US embassy cable - 05SANTIAGO1551

C O N F I D E N T I A L SANTIAGO 001551 
 
SIPDIS 
 
E.O. 12958: DECL: 07/16/2015 
TAGS: PREL, MARR, PBTS, PE, CI, PREL 
SUBJECT: CHILE AND PERU RENEW "2 PLUS 2" TALKS 
 
REF: SANTIAGO 1011 
 
Classified By: Charge d' Affaires Emi L. Yamauchi for reasons 1.4(b) an 
d (d). 
 
1.  (SBU) On July 6 Chilean and Peruvian Defense and Foreign 
Ministers met for the second time in the "2 plus 2" process 
meant to build mutual confidence and military cooperation 
between the two countries.  Peruvian President Alejandro 
Toledo was visibly supportive of the process, receiving the 
four ministers in his presidential residence for an afternoon 
meeting and making a surprise appearance at a cocktail hosted 
at the Chilean Embassy in Lima that evening.  Although the 
two countries avoided controversial issues and committed to 
easing border controls and exchanging comparative arms 
expenditure data, the primary significance was that the 
meeting, most recently postponed by a diplomatic chill that 
started in March 2005, was held and the high-level process 
may be back on track. 
 
2.  (C) Chilean Foreign Minister Ignacio Walker and Defense 
Minister Jaime Ravinet met with their Peruvian counterparts, 
Foreign Minister Manuel Rodriguez Cuadros and Defense 
Minister Roberto Chiabra, in Lima on July 6.  Chilean MFA 
Director for Multilateral Affairs Pedro Oyarce and  Deputy 
Director for Special Policy Francisco Bernales both reported 
the talks were very positive, and Bernales emphasized that 
Peru's President Toledo not only attended the subsequent 
reception at the Chilean Embassy, but stayed until almost 
11:00 p.m.  Oyarce said although the talks resulted in no new 
policy initiatives (both the easing of border controls and 
the comparison of defense expenditures previously had been 
announced), it was a positive sign of a thaw in the bilateral 
relationship. 
 
3.  (C) Both MFA and military sources reported that meetings 
between the military command staffs of Chile and Peru in 
Santiago from July 4 - 6 were also very positive.  The 
meetings resulted in resumption of a full range of military 
exchange and cooperation programs suspended by Peru in March, 
after reports of Chilean arms sales to Ecuador during the 
1995 border conflict between Ecuador and Peru resurfaced (ref 
A).  Post has been assured by both Chilean and Peruvian 
military attaches that the suspension of mil-to-mil contacts 
was a political decision, and that the two countries' 
militaries share a high level of confidence in each other and 
are relieved to resume normal relations. 
 
YAMAUCHI