US embassy cable - 02ROME3641

NE ITALY'S TRANSPORT INFRASTRUCTURE: IMPRESSIVELY INTERMODAL

Identifier: 02ROME3641
Wikileaks: View 02ROME3641 at Wikileaks.org
Origin: Embassy Rome
Created: 2002-07-24 05:40:00
Classification: UNCLASSIFIED
Tags: KCIP EAIR ELTN EWWT EAIR ELTN EWWT EAIR ELTN EWWT EAIR ELTN EWWT IT ITKCIP ITKCIP ITKCIP
Redacted: This cable was not redacted by Wikileaks.
This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS SECTION 01 OF 04 ROME 003641 
 
SIPDIS 
 
TRANSPORTATION FOR FAA AND TSA 
 
COMMERCE FOR DAVID DEFALCO, ITA/MAC 
 
E.O. 12958: N/A 
                       UNCLASSIFIED 
 
PAGE 02        ROME  03641  01 OF 04  270634Z 
TAGS: KCIP, EAIR, ELTN, EWWT, EAIR, ELTN, EWWT, EAIR, ELTN, EWWT, EAIR, ELTN, EWWT, IT, ITKCIP, ITKCIP, ITKCIP 
SUBJECT: NE ITALY'S TRANSPORT INFRASTRUCTURE: 
IMPRESSIVELY INTERMODAL 
 
REFS: A) ROME 02912   B) 01 ROME 04158 
 
1. SUMMARY: THE NORTHEASTERN ITALIAN TRANSPORTATION 
CENTERS IN VENICE AND TRIESTE HAVE RELIED PRIMARILY ON 
INCREASED INTERMODALITY AND INFRASTRUCTURE INVESTMENT 
FOR ECONOMIC GROWTH.  THE PORT OF TRIESTE, IN 
PARTICULAR, HAS STRONG LINKS TO THE ITALIAN RAILWAYS AND 
IS AGGRESSIVELY SEEKING INTERNATIONAL PARTNERSHIPS TO 
BEAT ITS COMPETITION IN NORTHERN EUROPE.  WHILE SECURITY 
AT ALL SITES VISITED REMAINS A CONCERN, OFFICIALS 
REPORTED THAT EVERY PRECAUTION IS BEING TAKEN TO PROTECT 
TRANSPORTATION INFRASTRUCTURE.  WE SEE GROWING MARKET 
OPPORTUNITIES FOR U.S. FIRMS, INCLUDING THOSE RELATED TO 
INCREASING THE EFFICIENCY OF INTERMODAL TRANSPORTATION 
LINKS AND ENHANCING SECURITY THROUGH INFORMATION 
TECHNOLOGY (IT).  END SUMMARY. 
 
---------- 
BACKGROUND 
---------- 
2. AS PART OF AN ONGOING EFFORT TO GATHER INFORMATION ON 
ITALY'S TRANSPORTATION INFRASTRUCTURE, ECONOFF VISITED 
MAJOR NORTHEAST ITALY TRANSPORTATION HUBS IN VENICE AND 
TRIESTE.  TO DETERMINE THE LEVEL OF INTERMODALITY IN THE 
AREA, WE MET WITH OFFICIALS AT THE VENICE AIRPORT, THE 
TRIESTE AIRPORT, THE TRIESTE RAILWAY STATION, AND THE 
PORT OF TRIESTE. 
                       UNCLASSIFIED 
 
PAGE 03        ROME  03641  01 OF 04  270634Z 
 
3. WE FOUND THAT LEVELS OF INTERMODALITY VARIED GREATLY. 
WHILE THE PORT OF TRIESTE (WITH EXCELLENT LINKS TO RAIL 
AND ROAD LINES) IS A VIRTUAL CASE STUDY IN 
INTERMODALITY, THE TRIESTE AIRPORT COULD NOT BE MORE 
ISOLATED.  THE VENICE AIRPORT (WITH A NEWLY INAUGURATED 
AIR TERMINAL) IS WELL SUITED TO HANDLE THE MANY TOURISTS 
IT RECEIVES AND AIRPORT AUTHORITIES ARE HOPING TO 
ENHANCE ITS LEVEL OF SERVICE FOR THE BUSINESS COMMUNITY. 
WHILE ALMOST NINE MONTHS HAD PAST BETWEEN THE SEPTEMBER 
11 TERRORIST ATTACKS AND OUR TRIP, REASSURANCES OF 
ENHANCED SECURITY (AND CONDOLENCES) WERE OFFERED IN MANY 
OF OUR CONVERSATIONS. 
 
------------ 
THE AIRPORTS 
------------ 
 
THE VENICE AIRPORT 
------------------ 
4. AIRPORT DIRECTOR VALERIO BONATO (RESPONSIBLE FOR BOTH 
VENICE AND TRIESTE AIRPORTS) HOSTED A ROUND-TABLE 
MEETING WITH ROBERTO COIN, DIRECTOR OF SAVE S.P.A. (THE 
VENICE AIRPORT HANDLING COMPANY); SALVATORE FORTE, 
AIRPORT SECURITY MANAGER; PAOLO FURLAN, POLICE CHIEF OF 
THE AIRPORT AND PORT OF VENICE; AND DOMENICO MARIA 
TEDESCHI OF THE CUSTOMS AGENCY.  MUCH OF THE 
CONVERSATION FOCUSED ON THE OVER 250 MILLION DOLLARS IN 
INVESTMENTS SINCE 1996 TO IMPROVE THE AIRPORT'S 
INFRASTRUCTURE. 
 
                       UNCLASSIFIED 
 
PAGE 04        ROME  03641  01 OF 04  270634Z 
5. LOCATED ON A STRIP OF LAND BETWEEN THE PO RIVER AND 
THE VENICE LAGOON, VENICE'S MARCO POLO AIRPORT HANDLED 
APPROXIMATELY 4.4 MILLION PASSENGERS IN 2001, UP FROM 
THREE MILLION IN 1997. THE VAST MAJORITY OF ARRIVING 
PASSENGERS VISIT VENICE FOR TOURISM, WITH ABOUT TWO 
MILLION ALSO EMBARKING ON CRUISES ORIGINATING IN THE 
CITY (SIXTY-FIVE PERCENT OF THE AIRPORTS SCHEDULED 
TRAFFIC IS INTERNATIONAL).  (NOTE: VENICE IS ALSO THE 
FIRST ITALIAN REGIONAL AIRPORT WHERE A U.S. COMPANY 
(DELTA) IS OPERATING, WITH DAILY FLIGHTS TO NEW YORK IN 
THE SUMMER SEASON AND FIVE WEEKLY FLIGHTS IN THE WINTER 
SEASON.  THE COMMERCIAL MANAGER FOR DELTA TOLD US THAT, 
IN CONTRAST TO MILAN'S TROUBLED MALPENSA AIRPORT, 
SERVICES PROVIDED BY MARCO POLO AIRPORT ARE EXCELLENT. 
END NOTE.)  BONATO POINTED OUT THAT THE AIRPORTS' TWO 
RUNWAYS SERVE THE OVER HALF MILLION COMPANIES IN THE 
AREA.  TO BETTER SERVE THE BUSINESS COMMUNITY, 
AUTHORITIES INSTALLED A NEW CARGO AREA IN 2001, WHICH 
INCLUDES A 6,000 SQUARE METER WAREHOUSE.  OFFICIALS HOPE 
THIS WILL ACCOMMODATE FUTURE CARGO, SIMILAR TO THE OVER 
23,000 TONS OF CARGO TRANSITING THE AIRPORT IN 2001 (UP 
FROM ONLY 13,000 IN 1996). 
 
6. TO SERVICE THE 6.5 MILLION PASSENGERS THAT 
AUTHORITIES EXPECT TO RECEIVE ANNUALLY WITHIN THE NEXT 
FEW YEARS, A NEW 60,000 SQUARE METER PASSENGER TERMINAL 
 
                       UNCLASSIFIED 
 
                           UNCLASSIFIED     PTQ5894 
 
PAGE 01        ROME  03641  02 OF 04  270635Z 
ACTION EUR-00 
 
INFO  LOG-00   AID-00   CIAE-00  CTME-00  DODE-00  ITCE-00  DOTE-00 
      EB-00    EXME-00  E-00     UTED-00  VC-00    FRB-00   H-01 
      TEDE-00  INR-00   ITC-01   VCE-00   AC-01    NSAE-00  OES-01 
      OMB-01   OPIC-01  ACE-00   SP-00    SSO-00   STR-00   TEST-00 
      TRSE-00  USIE-00  G-00     SAS-00     /006W 
                  ------------------D0FB4E  270635Z /25 
R 240540Z JUL 02 
FM AMEMBASSY ROME 
TO SECSTATE WASHDC 5044 
INFO AMCONSUL MILAN 
AMCONSUL FLORENCE 
AMCONSUL NAPLES 
EU MEMBER STATES COLLECTIVE 
AMEMBASSY LJUBLJANA 
DEPT OF TRANSPORTATION WASHDC 
DEPT OF COMMERCE WASHDC 
 
UNCLAS SECTION 02 OF 04 ROME 003641 
 
SIPDIS 
 
C O R R E C T E D  C O P Y - PARA'S 12.,13.,14., AND 15. 
 
TRANSPORTATION FOR FAA AND TSA 
 
COMMERCE FOR DAVID DEFALCO, ITA/MAC 
 
E.O. 12958: N/A 
                       UNCLASSIFIED 
 
PAGE 02        ROME  03641  02 OF 04  270635Z 
TAGS: KCIP, EAIR, ELTN, EWWT, IT 
SUBJECT: NE ITALY'S TRANSPORT INFRASTRUCTURE: 
IMPRESSIVELY INTERMODAL 
 
WAS INAUGURATED IN JULY 2002.  THE PROJECT COST 
APPROXIMATELY 75 MILLION EURO AND WAS ACCOMPANIED BY THE 
42 MILLION EURO CONSTRUCTION OF A NEW CONTROL TOWER (THE 
OLD TERMINAL WILL STILL BE USED, BUT SOLELY FOR CHARTER 
TRAFFIC AND REGIONAL AIR COMPANIES).  THE IMPRESSIVE NEW 
TERMINAL INCLUDES A DOUBLE-LEVEL ROAD SYSTEM AND A 
MULTI-STORY CAR PARK.  THE AIRPORT SECURITY MANAGER TOLD 
US THAT THE TERMINAL IS ALREADY EQUIPPED TO SCREEN ONE 
HUNDRED PERCENT OF CHECKED BAGGAGE. 
 
7. SITUATED ABOUT TWELVE KILOMETERS FROM VENICE, THE 
AIRPORT IS WELL CONNECTED VIA FERRIES AND BUSES TO THE 
CITY, ITS TWO RAILWAY STATIONS (MESTRE AND THE MORE- 
CENTRALIZED SANTA LUCIA STATION), AND OTHER AREA TOWNS. 
THE NEW TERMINAL, ABOUT 300 YARDS AWAY FROM THE OLD ONE, 
IS CONNECTED BY BUS TO THE OLD STATION AND SOON WILL 
ALSO BE CONNECTED BY A MECHANIZED PEDESTRIAN WALKWAY. 
 
8. POLICE CHIEF FURLAN EXPLAINED THAT ALL INVOLVED IN 
THE AIRPORT'S SECURITY MEET MONTHLY TO COORDINATE THEIR 
EFFORTS AND TO DECIDE UPON NEW SECURITY PROCEDURES.  ONE 
IDEA HE IS HOPING TO IMPLEMENT IS THE PHOTOGRAPHING OF 
PILOTS AND CREWS THE NIGHT BEFORE A FLIGHT.  THE PHOTOS 
WILL THEN BE MATCHED AGAINST CREWS BEFORE BOARDING AN 
AIRCRAFT.  FURLAN STATED THAT ALMOST ALL PILOTS WITH 
WHOM HE HAS SPOKEN APPROVE OF THIS PROCEDURE. 
 
                       UNCLASSIFIED 
 
PAGE 03        ROME  03641  02 OF 04  270635Z 
THE TRIESTE AIRPORT 
------------------- 
9. IN CONTRAST TO VENICE'S AIRPORT WHICH IS LARGE, 
GROWING, AND WELL CONNECTED TO OTHER FORMS OF TRANSPORT, 
TRIESTE'S RONCHI DEI LEGIONARI AIRPORT (ABOUT 145 
KILOMETERS AWAY) LIES ABOUT THIRTY-FIVE KILOMETERS FROM 
THE MUCH SMALLER CITY'S LIMITS AND THEREFORE IS LESS 
PASSENGER-FRIENDLY (AND LESS UTILIZED).  DEPUTY AIRPORT 
DIRECTOR ENRICO MARTUCCI STATED THAT, WHILE THE AIRPORT 
WAS BUILT TO HANDLE AN ANNUAL CAPACITY OF TWO MILLION 
PASSENGERS, LESS THAN ONE MILLION ACTUALLY TRANSIT THE 
AIRPORT.  WHILE BUS LINES DO CONNECT THE AIRPORT TO THE 
CITY, FREQUENT TRAFFIC PROBLEMS OFTEN MAKE THE TRIP AN 
HOUR LONG.  NO TRAINS RUN FROM TRIESTE RAIL STATION TO 
THE AIRPORT.  AIRPORT HANDLING COMPANY DIRECTOR PAOLO 
STRADI ASSURED US THAT NEW SECURITY EQUIPMENT WOULD SOON 
BE PURCHASED IN ORDER TO MEET THE EU-IMPOSED DEADLINE 
FOR ONE HUNDRED PERCENT CHECKED BAGGAGE SCREENING. 
 
--------- 
THE PORTS 
--------- 
 
THE PORT OF VENICE 
------------------ 
10. VENICE AIRPORT POLICE CHIEF FURLAN IS ALSO IN CHARGE 
OF SECURITY AT VENICE'S HARBOR.  HE STATED THAT ILLEGAL 
STOWAWAYS ARE OFTEN FOUND HIDDEN IN CONTAINERS COMING 
FROM ABROAD.  HE ALLEGED THAT, IN ORDER TO BETTER DETECT 
THESE INTENDING IMMIGRANTS, A NEW INSTRUMENT THAT PICKS- 
UP A STOWAWAY'S HEARTBEAT INSIDE A CONTAINER IS IN USE. 
                       UNCLASSIFIED 
 
PAGE 04        ROME  03641  02 OF 04  270635Z 
(NOTE: NEITHER ECON NOR POST'S CUSTOMS OFFICE HAS 
KNOWLEDGE OF ANY SUCH DEVICES BUT ARE SEEKING 
INFORMATION ON THEM.  WE WILL REPORT SEPTEL ANY RELEVANT 
INFORMATION WE FIND.  END NOTE.) 
 
THE PORT OF TRIESTE -- GATEWAY TO CENTRAL AND EASTERN 
EUROPE 
--------------------------------------------- -------- 
11. MAURIZIO MARESCA, PRESIDENT OF THE TRIESTE PORT 
AUTHORITY, AND HIS STAFF EXPLAINED HOW THE PORT OF 
TRIESTE CONSIDERS ITS HOME NOT ONLY ITALY, BUT ALSO THE 
WHOLE OF CENTRAL EUROPE.  THE ORIGIN OR FINAL 
DESTINATION OF MOST OF THE GOODS PASSING THROUGH THE 
PORT LIE IN NORTHERN ITALY, SWITZERLAND, AUSTRIA, 
GERMANY, THE CZECH REPUBLIC, SLOVAKIA, SLOVENIA, 
HUNGARY, AND THE BALKANS.  SHIPPING LINES SAILING 
THROUGH THE PORT OF TRIESTE MAKE THEIR WAY TO PORTS ALL 
OVER AFRICA, ASIA, AND THE AMERICAS (NOTE: THERE ARE NO 
DIRECT ROUTES FROM TRIESTE TO THE U.S. AS ALL SHIPS 
DESTINED TO THE US MAKE STOPS AT OTHER PORTS PRIOR TO 
ARRIVAL.  END NOTE). 
 
12. THE PORT OF TRIESTE HAS OVER TWO MILLION SQUARE 
METERS OF PORT AREA, 1.7 MILLION OF WHICH ARE FREE ZONES 
(925,000 OF WHICH ARE WAREHOUSES AND STORAGE AREAS).  IT 
HAS FORTY-SEVEN OPERATIONAL BERTHS AND TWENTY-SIX 
 
                       UNCLASSIFIED 
 
                           UNCLASSIFIED     PTQ5895 
 
PAGE 01        ROME  03641  03 OF 04  270635Z 
ACTION EUR-00 
 
INFO  LOG-00   AID-00   CIAE-00  CTME-00  DODE-00  ITCE-00  DOTE-00 
      EB-00    EXME-00  E-00     UTED-00  VC-00    FRB-00   H-01 
      TEDE-00  INR-00   ITC-01   VCE-00   AC-01    NSAE-00  OES-01 
      OMB-01   OPIC-01  ACE-00   SP-00    SSO-00   STR-00   TEST-00 
      TRSE-00  USIE-00  G-00     SAS-00     /006W 
                  ------------------D0FB4F  270635Z /25 
R 240540Z JUL 02 
FM AMEMBASSY ROME 
TO SECSTATE WASHDC 5045 
INFO AMCONSUL MILAN 
AMCONSUL FLORENCE 
AMCONSUL NAPLES 
EU MEMBER STATES COLLECTIVE 
AMEMBASSY LJUBLJANA 
DEPT OF TRANSPORTATION WASHDC 
DEPT OF COMMERCE WASHDC 
 
UNCLAS SECTION 03 OF 04 ROME 003641 
 
SIPDIS 
 
C O R R E C T E D  C O P Y - PARA'S 12.,13.,14., AND 15. 
 
TRANSPORTATION FOR FAA AND TSA 
COMMERCE FOR DAVID DEFALCO, ITA/MAC 
 
E.O. 12958: N/A 
TAGS: KCIP, EAIR, ELTN, EWWT, IT 
SUBJECT: NE ITALY'S TRANSPORT INFRASTRUCTURE: 
                       UNCLASSIFIED 
 
PAGE 02        ROME  03641  03 OF 04  270635Z 
IMPRESSIVELY INTERMODAL 
 
TERMINALS, MANY OF WHICH SPECIALIZE IN A CERTAIN TYPE OF 
MERCHANDISE (TIMBER, STEEL, OILS, CEMENT, CHEMICALS, 
ETC.)  OVER TWENTY MILLION TONS OF GOODS WERE OFF-LOADED 
AT THE PORT (AND SENT ONWARD OVER LAND) IN THE FIRST 
HALF OF 2002, SEVENTEEN MILLION OF WHICH WERE CLASSIFIED 
AS EITHER OIL OR MINERALS.  OVER THE SAME TIME PERIOD, 
ALMOST THREE MILLION TONS OF GOODS DEPARTED FROM THE 
PORT.  PRIVATE SECURITY AND LOCAL POLICE PATROL THE PORT 
OR MAINTAIN CHECKPOINTS TWENTY-FOUR HOURS A DAY, SEVEN 
DAYS A WEEK.  MOST OF THE PORT OF TRIESTE IS A FREE PORT 
AREA, EXEMPTED FROM EU CUSTOMS REGULATIONS AND OFFERING 
NUMEROUS FINANCIAL ADVANTAGES INCLUDING: 
- GOODS ARE EXEMPT FROM DUTY AS LONG AS THEY REMAIN IN 
THE PORT AREA, 
- GOODS CAN BE STORED WITHIN FREE PORT ZONES WITHOUT 
TIME LIMIT, 
- ACTIVITIES SUCH AS PACKING AND LABELING CAN BE FREELY 
CARRIED OUT ON FOREIGN GOODS, 
- FOR GOODS IMPORTED INTO THE EU THROUGH THE FREE PORT, 
PAYMENT OF RELEVANT CUSTOMS DUTIES AND FISCAL BORDER 
DUTIES CAN BE DEFERRED BY UP TO SIX MONTHS AT A LOW 
INTEREST RATE, AND 
- INDUSTRIAL VEHICLES LEAVING OR ARRIVING TO THE PORT 
BENEFIT FROM FACILITATED TRANSIT ACROSS THE BORDERS WITH 
AUSTRIA AND SLOVENIA. 
 
13. MARESCA EXPLAINED THAT HIS BUSINESS VISION FOR THE 
PORT INCLUDES GREAT ECONOMIC GROWTH THROUGH NEW AND 
EXPANDED SEA-BORN TRAFFIC FLOWS, DUE TO ECONOMIC GROWTH 
                       UNCLASSIFIED 
 
PAGE 03        ROME  03641  03 OF 04  270635Z 
IN EASTERN EUROPE, AND AN ACCOMPANYING LACK OF DIRECT 
ACCESS TO THE MEDITERRANEAN FOR COUNTRIES LIKE AUSTRIA, 
SWITZERLAND, AND GERMANY.  THE PORT'S COMPETITION, HE 
EXPLAINED, DOES NOT COME FROM OTHER PORTS IN ITALY, BUT 
RATHER FROM NORTHERN EUROPEAN PORTS LIKE HAMBURG, 
GERMANY.  HE NOTED WITH PRIDE THAT TRIESTE IS 7,760 
NAUTICAL MILES FROM HONG KONG WHILE THE PORT OF HAMBURG 
IS ALMOST 10,000 NAUTICAL MILES DISTANT. 
 
14. TO FULFILL THIS VISION, THE PORT AUTHORITY HAS 
(APPARENTLY EFFECTIVELY) ESTABLISHED A FULLY INTERMODAL 
STRATEGY TO COORDINATE ROAD, RAIL, AND MARITIME 
TRANSPORT.  LOCATED IN NORTHEAST ITALY, TRIESTE IS 
WITHIN 450 KILOMETERS OF IMPORTANT URBAN CENTERS LIKE 
VIENNA, BUDAPEST, PRAGUE, MUNICH, STUTTGART, ZURICH, AND 
MILAN.  INLAND CONNECTIONS TO ALL OF THESE LOCATIONS 
INCLUDE NUMEROUS TUNNELS THROUGH THE ALPS (THE BRENNER, 
TARVISIO, AND FERNETTI PASSES).  TRIESTE'S PORT IS THE 
LARGEST RAIL-PORT IN SOUTHERN EUROPE, WITH SEVENTY-FIVE 
KILOMETERS OF TRACK WITHIN THE PORT ITSELF (SERVING ALL 
OF ITS DOCKS) AND LINKED TO THE EUROPEAN RAIL STATION 
THROUGH THE AREAS RAIL STATIONS.  THE CERVIGNANO 
INTERMODAL CENTER (A FEW KILOMETERS OUTSIDE OF TRIESTE) 
FACILITATES THE MOVEMENT OF GOODS BETWEEN RAILCARS AND 
TRUCKS, AND IN TURN THE MOVEMENT OF THE PORT'S CARGO. 
IN ANOTHER STRATEGIC MOVE, PORT OFFICIALS HAVE ENTERED 
INTO AN AGREEMENT WITH A RAILWAY TRANSPORT COMPANY IN 
ORDER TO ASSURE THE TRANSPORT OF GOODS TO MUNICH. 
 
15. PORT AUTHORITY OFFICIALS RECOGNIZE THAT THEIR 
GREATEST CHALLENGES INCLUDE A LACK OF PHYSICAL 
                       UNCLASSIFIED 
 
PAGE 04        ROME  03641  03 OF 04  270635Z 
INFRASTRUCTURE AND INFORMATION TECHNOLOGY (IT).  TO 
OVERCOME THESE SHORTCOMINGS, MARESCA IS FOCUSING ON THE 
POSSIBILITY OF INTEGRATING WITH OTHER NORTHERN ADRIATIC 
PORTS, IN PARTICULAR WITH THE PORT OF KOPER, SLOVENIA. 
THIS INITIATIVE WOULD REQUIRE INCREASED TRANSPORTATION 
INFRASTRUCTURE (TO INCLUDE ROAD AND RAIL) ORDER TO 
FACILITATE TRAFFIC FLOWS BETWEEN THE TWO PORTS AND TO 
ONWARD DESTINATIONS.  MARESCA IS ALSO PUSHING FOR 
ACTIONS FAVORABLE TO THE PORT LIKE THE CREATION OF 
INTERMODAL LOGISTICS FACILITIES ALONG THE ROUTES TO 
AUSTRIA AND GERMANY AND A HIGH-SPEED RAIL LINE TO 
LJUBLJANA, BUDAPEST, AND KIEV.  HE IS ALSO SEEKING A 
REDUCTION IN RAIL TARIFFS FOR TRANSPORT ALONG ROUTES TO 
MUNICH AND VIENNA TO LEVELS ON PAR WITH THOSE APPLIED BY 
GERMAN RAILWAYS TO THE PORT OF HAMBURG.  MARESCA HOPES 
THIS WILL BE ACHIEVED BY SETTING UP A PRIVATE RAIL 
COMPANY WHOSE SHAREHOLDERS WOULD INCLUDE AUSTRIAN, 
SLOVENIAN, AND ITALIAN RAILWAYS AND LOCAL BUSINESSES. 
 
16. THE PORT AUTHORITY IS ALSO EMBARKING ON AN AMBITIOUS 
INFRASTRUCTURE DEVELOPMENT PROJECT THAT INCLUDES THE 
REDEVELOPMENT OF THE HISTORIC PORT (AND PART OF ITS 
WATERFRONT) IN AN EFFORT TO CREATE A TOURIST/VISITOR- 
FRIENDLY COMMERCIAL AND CULTURAL AREA WITH RESTAURANTS, 
 
                       UNCLASSIFIED 
 
                           UNCLASSIFIED     PTQ5925 
 
PAGE 01        ROME  03641  04 OF 04  270658Z 
ACTION EUR-00 
 
INFO  LOG-00   AID-00   CIAE-00  CTME-00  DODE-00  ITCE-00  DOTE-00 
      EB-00    EXME-00  E-00     UTED-00  VC-00    FRB-00   H-01 
      TEDE-00  INR-00   ITC-01   VCE-00   AC-01    NSAE-00  OES-01 
      OMB-01   OPIC-01  ACE-00   SP-00    SSO-00   STR-00   TEST-00 
      TRSE-00  USIE-00  G-00     SAS-00     /006W 
                  ------------------D0FC42  270659Z /25 
R 240540Z JUL 02 
FM AMEMBASSY ROME 
TO SECSTATE WASHDC 5046 
INFO AMCONSUL MILAN 
AMCONSUL FLORENCE 
AMCONSUL NAPLES 
EU MEMBER STATES COLLECTIVE 
AMEMBASSY LJUBLJANA 
DEPT OF TRANSPORTATION WASHDC 
DEPT OF COMMERCE WASHDC 
 
UNCLAS SECTION 04 OF 04 ROME 003641 
 
SIPDIS 
 
TRANSPORTATION FOR FAA AND TSA 
 
COMMERCE FOR DAVID DEFALCO, ITA/MAC 
 
E.O. 12958: N/A 
TAGS: KCIP, EAIR, ELTN, EWWT, IT 
SUBJECT: NE ITALY'S TRANSPORT INFRASTRUCTURE: 
                       UNCLASSIFIED 
 
PAGE 02        ROME  03641  04 OF 04  270658Z 
IMPRESSIVELY INTERMODAL 
 
BARS, CLUBS, AND SHOPS.  IT ENVISIONS A BOULEVARD LINED 
WITH TREES, A SERIES OF PARKING AREAS, A PEDESTRIAN 
AREA, AND AN UNDERGROUND ROAD AND RAILWAY NETWORK TO 
BETTER TO THE AREA'S TRANSPORTATION INFRASTRUCTURE. 
WHILE THE PROJECT IS VERY MUCH IN THE PLANNING STAGES 
WITH THE PROJECT PROPOSAL APPROVED IN ONLY JANUARY, THE 
PORT AUTHORITY AND ITS PARTNERS HAVE SET A SUBSIDIARY 
COMPANY RESPONSIBLE FOR ATTRACTING INVESTMENT. 
 
------- 
COMMENT 
------- 
17. ENLIGHTENED MANAGEMENT AT THE PORT OF TRIESTE AND 
THE VENICE AIRPORT, THROUGH GOOD STRATEGIC PLANNING AND 
AMBITIOUS INVESTMENT, HAS WELL POSITIONED BOTH LOCATIONS 
FOR ECONOMIC GROWTH.  WE CAN EXPECT TO SEE THE PORT OF 
TRIESTE (IN PARTICULAR) BECOMING EVEN MORE OF A PLAYER 
ON THE EUROPEAN TRANSPORTATION SCENE, ESPECIALLY IF IT 
IMPLEMENTS ITS STRATEGY OF FORMING EVER-INCREASING 
INTERMODAL AND CROSS-BORDER NETWORKS.  AS WE HAVE 
REPORTED, OUR TRIESTE CONTACTS CONCUR THAT THERE ARE 
MARKET OPPORTUNITIES FOR U.S. FIRMS IN THE CARGO 
TRANSPORT INDUSTRY, ESPECIALLY THAT OF RAIL CARGO 
(REFTELS).  BOTH TRIESTE AND VENICE OFFICIALS ALSO CITE 
A NEED FOR IMPROVED TRANSPORTATION-RELATED SECURITY AND 
LOGISTICS CONTROLLING INFORMATION TECHNOLOGY (IT) 
SYSTEMS.  THESE TOO ARE OPPORTUNITIES FOR U.S. 
SUPPLIERS. 
 
                       UNCLASSIFIED 
 
PAGE 03        ROME  03641  04 OF 04  270658Z 
18. WHILE THE IMPACT OF SEPTEMBER 11 STILL WEIGHS HEAVY 
ON MANY ITALIAN HEARTS, THE INITIAL SHOCK TO THE 
TRANSPORTATION SECTOR SEEMS TO HAVE WORN OFF.  ALL 
SECURITY OFFICIALS WITH WHOM WE SPOKE HAVE TAKEN (OR ARE 
TAKING) ALL MANDATED OR OTHERWISE NECESSARY SECURITY 
MEASURES TO PROTECT THEIR INFRASTRUCTURE.  THE SENSE OF 
GREAT CONCERN THAT WE SAW THROUGH EARLY 2002 HAS GIVEN 
WAY TO A COMMITMENT TO IMPROVE SECURITY. 
 
SEMBLER 
 
                       UNCLASSIFIED 
 
> 
 2002ROME03641 - Classification: UNCLASSIFIED 


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