US embassy cable - 05TEGUCIGALPA536

UNCLAS TEGUCIGALPA 000536 
 
SIPDIS 
 
DEPT. FOR WHA/PD; IIP/G/WHA DIPASQUALE; AND IIP/T/ES 
DEPT. FOR EB/TPP DCLUNE, WHA/EPSC AND WHA/CEN 
DEPT. PASS USTR 
 
E.O. 12958: N/A 
TAGS: OIIP, KPAO, ETRD, HO, USTR 
SUBJECT: MEDIA REACTION ON CAFTA, MARCH 9, 2005 
 
 
1. Editorial in Tegucigalpa-based moderate daily "El Heraldo" on 
3/7, titled "Getting Ready To Compete."  "CAFTA, which was 
approved by Congress last Thursday, may not be the panacea that 
will solve all Honduras' economic problems, as it has been 
presented by its boldest promoters, but it cannot be the reason 
for all our future crises either, as it's been said by its most 
ferocious enemies.  It's just a trade agreement where some will 
gain and others will lose, depending on what they produce and the 
level of competitiveness they can achieve." 
 
"It's expected that CAFTA will be implemented during the second 
half of the year, once it's approved by the congresses of all 
signing countries, particularly by the U.S. Congress, where it's 
unlikely to face significant problems since the Republican Party 
and the Bush administration have a majority in the Senate and the 
House of Representatives." 
 
"During the interim, the countries that have already ratified it, 
namely El Salvador and Honduras, need to focus all their energy 
and capabilities on improving the competitiveness of the 
productive sectors more likely to take advantage of having access 
to the largest and strongest global market, such as the micro, 
small and medium enterprises, as well as the agricultural 
sector." 
 
"Those who are afraid that CAFTA will harm the weakest producers 
should direct their attention on organizing them or helping them 
find adequate sources of financial and technical assistance, 
instead of focusing their efforts to arrange futile 
demonstrations.  At this moment in time, we should be convinced 
that the only way to escape poverty is by increasing our 
production, but to do so we need to have access to a stable 
market where we can sell our products, and that is precisely what 
CAFTA will do." 
 
Palmer