US embassy cable - 03ROME4436

UNCLAS  ROME 004436 
 
SIPDIS 
 
 
USEU BRUSSELS FOR AGRICULTURE 
USDA FOR FAS/IT/EAMED AND O/A JONES; 
ITP/FSTS/RICHEY 
STATE PASS USTR FOR BERNSTEIN AND PORTER 
 
NOT FOR INTERNET DISTRIBUTION 
 
E.O. 12958: N/A 
TAGS: EAGR, IT, ECON, EUN, ETRO, WTO 
SUBJECT: ITALY'S EU PRESIDENCY Q EU AG 
MINISTERS ASSESS CANCUN FAILURE AND WOO THE 
THIRD WORLD AT INFORMAL MINISTERIAL 
 
 
1.  SUMMARY: at the informal meeting in 
Taormina, Sicily Sept 20 Q 23 EU Agricultural 
Ministers, Ag Commissioner Fischler, and 
Health Minister Byrne assessed the outcomes 
of Cancun and started wooing the Third World. 
The Common Ag Policy (CAP)- was justified as 
good for Europe and good for the developing 
world. Fischler defended the green box, 
geographic indications and other policies 
Europe wants to maintain. Commissioner 
Fischler emphasized there is no turning back 
from CAP reform while Italy's Ag Minister 
Alemanno observed that perhaps they needn't 
have bothered. END SUMMARY. 
 
2. All deplored the failure at Cancun as a 
loss to agricultural interests worldwide. 
Commissioner Fischler said future EU public 
relations efforts will seek to win over EU 
consumers as well as Third World Countries 
who will learn about EU values and programs 
for the rural sector, the environment, 
geographic indications, food safety, and 
animal welfare. Commissioner for Health and 
Food Safety David Byrne praised the EU for 
being the number one donor of assistance and 
training to the Third World on food safety, 
pesticides, additives, animal health 
concerns, and even biotechnology. Minister 
Alemanno proclaimed Geographic Indications as 
a way to protect the rights of rural people 
in the context of development.  The working 
concept at this meeting was that whatever 
sustains agriculture in Europe, must be 
compatible with sustainable development 
around the globe. 
 
3.  Fischler referred to the World Food 
Summit and recalled a list of needs for the 
developing world including increasing 
agricultural productivity and incomes, 
boosting production, and doing so without 
degrading the rural environment.  Ag minister 
Alemanno cited the "everything but arms" 
initiative as emblematic of EU tutelage of 
the poor, and said the EU was ready to engage 
in a cultural dialog and share values with 
the developing world.  In his remarks to the 
press Alemanno did not clash with Fischler or 
Byrne, and he attempted to smooth over his 
previous statement in a council session where 
he reportedly expressed regrets about CAP 
reform.  He also attempted to clarify his 
remarks that placed blame on the EU 
Commissioners for imminent subsidy cuts to 
tobacco producers in Italy. Note: when asked 
privately, the Greek Deputy Minister of 
Agriculture said that there was time to iron 
out the problems the sector might face in 
Greece. end note. 
 
4.  Guest presenters at the EU Ministerial 
were from Brazil, Indonesia, and the Food and 
Agriculture Organization.  These guests 
reinforced the message that food insecurity 
and poverty were not addressed by trade 
liberalization alone. The EU's point was that 
accompanying policies and possible 
contributions by EU member countries were 
needed to bring about progress in the 
developing world. 
 
5.  In the presidency's working document on 
common objectives for Ag Policies, food 
security and rural development alemanno's 
stance against ag biotechnology is clearly a 
value he wants to share with the third world. 
in this development model he proposes that 
the eu should set up extension, training, and 
marketing assistance giving special attention 
to gmo free products. 
 
6. Regarding the impasse at Cancun, 
Commissioner Fischler shared blame between Ag 
negotiations and Singapore issues.  There 
were no spoken remarks in the press sessions 
blaming the US, although in his written 
remarks he said the Third World missed a 
chance to press the US to pare down its 
harmful ag support.  He had much to say about 
the way forward, none of it about 
biotechnology.  He emphasized that the EU 
will not revisit the definition of the Green 
Box, and that the concept of capping the 
Green Box is a huge problem.  He asserted 
that with each step of enlargement the Green 
Box will expand.  Note:  all acceding 
countries but Bulgaria were represented at 
the Informal Ministerial.  End Note. 
Fischler added that the EU will use Green Box 
subsidies, by definition not trade 
distorting, to satisfy their society's 
requests for animal welfare and protection of 
the environment, among others.  He thus 
indicated the EU's Green Box might expand not 
only with enlargement, but with the inclusion 
of society's growing requests.  Sembler 
 
 
NNNN 
 2003ROME04436 - Classification: UNCLASSIFIED