US embassy cable - 04ANKARA4737

C O N F I D E N T I A L ANKARA 004737 
 
SIPDIS 
 
E.O. 12958: DECL: 08/20/2014 
TAGS: PREL, TU, CY 
SUBJECT: CYPRUS: A FRUSTRATED "TRNC PM" TALAT MEETS FONMIN 
GUL 
 
 
(U) Classified by Political Counselor John Kunstadter, E.O. 
12958, reasons 1.4 (b) and (d). 
 
1.  (C) Summary:  In four-hour meeting with Turkish FM Gul 
August 18, "TRNC PM" Talat, accompanied by "FM" Serdar 
Denktas, expressed great frustration with EU's lack of 
concrete measures to help the Turkish Cypriots (TCs).  Talat 
appeared convinced that the EU's trade and aid proposals will 
be blocked or significantly delayed.  Talat asked the Turks 
not to extend the Customs Union to the Republic of Cyprus 
(ROC) absent reciprocal Greek Cypriot concessions.  End 
Summary. 
 
2.  (C) Jointly with UK embassy we obtained readout of Talat 
visit from Turkish MFA Cyprus Department Head Bilman.  It was 
Ankara which had asked for the meeting, Bilman confirmed. 
Talat and Gul exchanged ideas on a long list of issues 
including the status of EU measures for the TCs, Turkish 
extension of Customs Union to the ROC, GC claims in the ECHR, 
and other issues.  Bilman emphasized that throughout the 
meeting Talat expressed great frustration at the EU's lack of 
concrete action to support TCs. 
 
EU Trade and Aid Proposals 
-------------------------- 
 
3.  (C) Bilman described Talat as pessimistic and frustrated 
about what Talat feels is the lack of any concrete EU help to 
the TCs.  Talat is worried about the Council's September 
decision on the EU's trade and aid proposals.  Bilman  said 
Talat's consultations with EU on-island representatives 
convince him both will be either blocked or significantly 
delayed.  According to Bilman, Talat considers direct trade 
more important than the aid proposal. 
 
Customs Union Extension 
----------------------- 
 
4.  (C) Noting the Talat asked Gul not to extend the Customs 
Union to the ROC absent some reciprocal GC move on trade 
between the EU and the north or further openings for Turkish 
and TC products in the ROC.  He and Serdar argued that Turkey 
should consider concessions on trade and free movement of 
goods a two-way street. 
 
ECHR Case on the Horizon 
------------------------ 
 
5.  (C) Bilman noted that in early September the ECHR will 
decide on the admissibility of a Cyprus property case against 
Turkey.  The GOT hoped that payment of the Loizidou case plus 
an approved Annan Plan would end such claims.  Without the 
Annan Plan mechanisms, now the legal issue is whether "TRNC" 
mechanisms constitute an "adequate domestic remedy" for 
plaintiffs.  Turkey will argue they do and therefore the case 
should be dismissed.  However, Bilman worries that a contrary 
ECHR decision will set precedent for a flood of claims 
against Turkey, creating a significant political problem for 
the GOT. 
 
6.  (C) Comment:  There may be a growing gap between Ankara 
and Talat, operationally and politically.  Bilman told us 
Talat's recent letter to SYG Annan was "news to us" and noted 
pointedly that Talat does not tell Ankara about his on-island 
meetings with GCs.  The Customs Union problem, which Turkey 
must solve in order to get a date to begin accession talks in 
December, suggests a deeper fault line:  unlike Talat, Ankara 
must balance frustration at the slow pace of EU measures for 
the TCs against its EU aspirations.  End comment. 
 
EDELMAN