US embassy cable - 04ROME4141

C O N F I D E N T I A L  ROME 004141 
 
SIPDIS 
 
 
STATE PASS USDA FOR OSEC - PENN AND SIMMONS 
STATE PASS USDA/FAS FOR BLUM AND D.YOUNG 
STATE PASS USTR 
 
E.O. 12958: DECL: 10/25/2009 
TAGS: EAGR, ETRD, TBIO, KSCA, IT 
SUBJECT: ITALY/BIOTECH: PROPOSED COEXISTENCE DEGREE COULD 
BLOCK GM CULTIVATION IN ITALY 
 
REF: A. 03 ROME 5507 
 
     B. 03 ROME 5149 
     C. 03 ROME 5127 
 
Classified By: Economic Minister-Counselor Scott Kilner for Reason 1.4 
(b) and (d) 
 
1. (C) Summary. Agriculture Minister Alemanno has once again 
asked the Italian Council of Ministers to approve a 
decree-law on the coexistence of GM and non-GM seeds planted 
in Italy.  Like the draft that Alemanno attempted 
(unsuccessfully) to push through in November 2003, the vague 
text of the new draft decree-law seems designed to deny 
Italian farmers the possibility of cultivating GM crops. The 
Ambassador raised our concerns on the new draft with Prime 
Minister Berlusconi's key advisor, Under Secretary Gianni 
Letta, as well as several other ministers that are generally 
favorable to biotech. Enough ministers objected to the draft 
during the October 8 Council meeting to keep it from being 
approved, but Alemanno has vowed to present a slightly 
reworked (though still very troublesome) draft at the next 
Council meeting, perhaps as soon as October 28.  End summary. 
 
2. (U) Agriculture Minister Alemanno has resumed his push to 
implement a decree-law on the coexistence of GM and non-GM 
seeds that would effectively inhibit farmers from attempting 
to cultivate GM crops in Italy. Reacting to the European 
Union,s decision in September to inscribe 17 varieties of GM 
corn into the EU,s seed register, Alemanno announced October 
5 that he would introduce the draft decree-law at the October 
8 meeting of the Council of Ministers. Once adopted by the 
Council, a decree-law takes effect immediately, but must be 
ratified by parliament within sixty days; otherwise the 
decree-law lapses. In theory, the Italian constitution limits 
decree laws to cases of necessity and urgency, although in 
practice the authority has been used quite broadly. 
 
Draft Decree-Law of October 8, 2004 
----------------------------------- 
 
3. (SBU) Embassy obtained a copy of the draft decree-law 
presented at the October 8 cabinet meeting. Like his draft 
coexistence decree of November 2003 (see reftels), this new 
vaguely worded draft does not provide a neutral set of rules 
under which farmers could choose whether or not to grow GM 
crops. Rather, the draft includes a number of measures that 
appear primarily aimed at stopping Italian farmers from 
choosing to sow GM seeds. Among the more troublesome parts of 
the draft decree-law: 
 
-- Farmers growing biotech crops must bear all responsibility 
and potential legal burdens for coexistence impacts on 
neighboring conventional or organic production or on the 
environment, and could face heavy fines or imprisonment for 
damages. 
 
-- Each individual region would be responsible for 
implementing the decree, potentially creating a patchwork of 
regulations that would fragment the Italian seed market. 
 
-- GM production would be banned in a "homogeneous" 
production area that also produces a quality agricultural 
product (usually associated with a geographic indication). 
 
-- GM production would be banned until the necessary 
regulatory work had been completed at the regional level to 
implement the decree. 
 
Ambassador Intervenes 
--------------------- 
 
4. (C) Given the likely negative impact of this proposal on 
exports of U.S. seeds to Italy, Ambassador Sembler (joined by 
AgMinCouns and Econ MinCouns) met with Under Secretary Gianni 
Letta, PM Berlusconi,s top advisor, prior to the October 8 
cabinet meeting to underscore our serious concerns with the 
draft decree-law.  (Letta had been instrumental in derailing 
Alemanno,s attempt in November 2003 to impose a similar, 
flawed coexistence decree). The Ambassador also telephoned 
several ministers known to be receptive towards GM issues, 
including Minister of Productive Activities Antonio Marzano, 
Minister of Education and Research Letizia Moratti, Minister 
of Health Girolamo Sirchia, and Minister for EU Affairs Rocco 
Buttiglione. 
 
5. (C) In his discussions the Ambassador emphasized that 
regulating an important issue like coexistence should not be 
 
 
done through a decree-law circumventing normal parliamentary 
procedure. Such decree-laws are intended to be used only in 
limited circumstances involving an urgent need, yet Italian 
farmers would not be planting any GM corn until spring 2005 
at the earliest.  The Ambassador further noted that the draft 
decree-law runs counter to the intention of the EU to give 
farmers choice in cultivation decisions, and he suggested 
that the government should consider consultations with the 
European Commission before finalizing the regulations. 
Rather than providing a practical framework in which farmers 
could choose whether or not to cultivate GM crops, 
Alemanno,s proposal would create such a high level of 
uncertainty, with potentially serious punishment, that no 
Italian farmer would run the risk of cultivating GM seeds. 
 
Council of Ministers Delays Coexistence Decree -- For Now 
--------------------------------------------- ------------ 
 
6. (SBU) At the Council of Ministers' October 8 meeting, 
several ministers, reportedly including Marzano, Sirchia, and 
Moratti, expressed their opposition to the current draft, 
which in the end was not approved. We understand that some 
ministers expressed the concerns of leaders of some of 
Italy,s regions regarding the significant responsibility 
placed on them to implement the new rules. The Council 
reportedly found the draft decree,s outright ban on biotech 
cultivation, pending regional implementation of the 
coexistence decree, to be inconsistent with EU regulations. 
In addition, some ministers expressed doubt regarding the 
urgency of the issue, and whether the EU should be consulted 
before finalizing a decree.  Press reports recently quoted 
Prime Minister Berlusconi saying "I'm in favor of 
guaranteeing maximum freedom. Perhaps with regard to this 
decree it would be good to take a pause or pass a 
parliamentary bill" (informal translation). 
 
7. (SBU) Alemanno has indicated that he plans to ask the 
Council of Ministers to reconsider the draft coexistence 
decree at the next council meeting (the prime minister's 
office has yet to confirm the timing of the meeting or 
whether Alemanno's decree will be on the agenda). In the 
meantime Alemanno has held meetings with both regional 
leaders and farmers organizations in order to persuade them 
to support the decree. Embassy has obtained a revised draft 
that does not appear to differ significantly from the October 
8 draft, at least in terms of providing farmers with a more 
definitive framework that would enable them to freely choose 
to cultivate GM crops. The revised decree provides for a 
federal/regional conference to define coexistence rules, 
including along regional borders. However, it still leaves 
each region to implement its own autonomous coexistence plan. 
 
Comment 
------- 
 
8. (C) Embassy is continuing to press more biotech-friendly 
ministries, as well as the prime ministry, at senior levels 
in advance of the next Council of Ministers meeting (which we 
understand has been scheduled for October 28). Nevertheless, 
it appears likely that the Council will eventually pass some 
sort of coexistence decree, given that Alemanno has placed 
his personal credibility on its approval, and reportedly has 
even threatened to resign if his decree law is not enacted. 
If the government does decide to pursue such rules through a 
normal parliamentary bill (in line with Berlusconi's reported 
preference), this may provide for additional opportunities to 
water down the legislation's most harmful provisions. 
 
 
SEMBLER 
 
 
NNNN 
 2004ROME04141 - Classification: CONFIDENTIAL