US embassy cable - 04TELAVIV1362

UNCLAS SECTION 01 OF 02 TEL AVIV 001362 
 
SIPDIS 
 
SENSITIVE 
 
DEPT FOR NEA/IPA, NEA/ARN, EUR/SE 
NSC FOR KIFAYAT 
USDOC FOR 4520/CLOUSTANAU/TSAMS/NWEIGLER 
DEPT PASS TO USTR CNOVELLI AND ESAUMS 
 
E.O. 12958: N/A 
TAGS: EAID, ECON, ETRD, PREL, KWBG, TU, JO, IS, GOI EXTERNAL, ECONOMY AND FINANCE, U.S.-ISRAEL RELATIONS 
SUBJECT: WERTHEIMER APPARENTLY GIVING UP ON "MARSHALL PLAN" 
FOR THE MIDDLE EAST 
 
 
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"You Can Lead a Horse to Water...." 
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1. (SBU) Israeli industrialist Stef Wertheimer told visiting 
NSC Director Adnan Kifayat and Embassy Econoff on Feb. 24 
that he will no longer seek USG financial assistance for his 
"New Marshall Plan" for the Middle East.   Using the phrase 
"you can lead a horse to water, but you can't force him to 
drink", Wertheimer hinted that he was frustrated at his 
continued inability to secure financial aid from the USG for 
his vision of a series of industrial parks in the poorer Arab 
countries of the region. 
 
2. (SBU) If the USG or the wider international donor 
community decided to promote an idea similar to his own, 
Wertheimer said, he would be willing to act as an advisor. 
He may also be prepared to locate one of his companies in 
such a zone, he said.  However, he would not actively seek 
money from the USG as in the past, he said, nor would he 
attempt to develop such parks on his own in any other 
countries except Turkey.  Wertheimer said he had already 
declined a recent invitation from Sen. Chuck Hagel to again 
pitch his idea before Congress, as he had already done in 
2002. 
 
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Wertheimer Rethinks His Vision 
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3. (SBU) In recent weeks, Wertheimer said, he had begun 
rethinking his vision for a large number of industrial parks 
in the non-oil countries of the Middle East.  These parks 
would have been modeled after the industrial estates he has 
established in Israel, where he has augmented manufacturing 
activities with vocational training and comfortable 
surroundings aimed at enhancing worker satisfaction and 
productivity.  Wertheimer sought substantial USG financial 
assistance by arguing that such parks could act as a catalyst 
for the industrialization, and hence the stabilization, of 
the region. 
 
4. (SBU) Wertheimer said that former Senator George J. 
Mitchell had heavily influenced his decision to rethink his 
industrial park idea, based upon conversations he had with 
Mitchell just prior to Kifayat's visit. (Note:  Earlier, an 
aide to Wertheimer told Econoff that Wertheimer had recently 
hired Mitchell and former Congressman Robert Livingston as 
consultants and Washington lobbyists for his plans.  End 
note.)  Wertheimer also admitted that, as an Israeli, he was 
having difficulty gaining acceptance for his idea in Jordan 
and in the West Bank/Gaza, the two areas where he saw the 
most promise for his parks.  Wertheimer, who in past 
discussions with Embassy officers had routinely highlighted 
his good connections with Jordanian officials and 
businessmen, told Kifayat that the Jordanians had a 
"love-hate" relationship with him.  He said he would fulfill 
his commitments to a Jordanian partner in the industrial zone 
in Aqaba, but would not actively expand his engagement in 
Jordan. 
 
5. (SBU) Wertheimer said he plans to re-focus his attention 
to his business activities in Turkey, where he is, together 
with Turkish partners, developing one industrial estate in 
Gebze and planning a second in Mersin.  He said he also hopes 
to develop vocational training programs for businessmen and 
workers in industrializing economies.  NSC Director Kifayat 
briefed Wertheimer on the Greater Middle East Initiative and 
invited him to share his opinions on the issue with senior 
NSC staff during his next trip to the U.S. 
 
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Comment 
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6. (SBU) The timing of Wertheimer's change of heart came as a 
surprise.  As recently as January Wertheimer had staged a 
large event at his flagship park in northern Israel to 
promote his industrial park idea.  Cabinet level politicians 
from Israel and Turkey attended, as did several former U.S. 
Congressmen.  All had voiced strong support for Wertheimer's 
vision.  Conspicuously absent at that meeting, however, were 
any official speakers from the international donor community. 
 It now appears that Wertheimer has concluded that his 
"Marshall Plan" is a no-go based upon the lukewarm support 
that he has received for his ideas in donor circles. 
 
7. (U) NSC Director Kifayat cleared this message. 
 
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