US embassy cable - 05TAIPEI4040

C O N F I D E N T I A L SECTION 01 OF 02 TAIPEI 004040 
 
SIPDIS 
 
STATE PASS AIT/W AND USTR 
STATE FOR EAP/TC, 
USTR FOR WINTER AND WINELAND 
USDOC FOR 4420/USFCS/OCEA/EAP/LDROKER 
USDOC FOR 3132/USFCS/OIO/EAP/ADAVENPORT 
USDA/FAS FOR WETZEL, MIRELES AND TERPSTRA 
USDA/APHIS FOR DEHAVEN 
 
E.O. 12958: DECL: 06/03/2020 
TAGS: ETRD, BEXP, TW, Trade, Domestic Politics 
SUBJECT: TAIWAN MAY DELAY BEEF IMPORT DECISION 
 
REF: A. 04 TAIPEI 3728 
 
     B. 04 SECSTATE 243653 
 
Classified By: AIT Director Douglas Paal, REASON 1.5 (b), (d) 
 
1.  (C) Summary.  AIT/T has heard disturbing reports that 
Taiwan may be contemplating delaying a decision on reopening 
its market to beef imports because of upcoming elections. 
The October 3-4 visit of Ron DeHaven, Administrator of the 
Animal and Plant Health Inspection Service (APHIS) would be a 
good opportunity to reiterate U.S. interest in Taiwan 
following through on its science-based review of beef import 
policies.  End Summary. 
 
Politics Influencing Beef Imports 
--------------------------------- 
2. (C) On September 26, 2005, Benjamin Liang, Director 
General of the Taiwan Economic and Cultural Relations Office 
told AIT/T Agriculture Chief that Taiwan may need to delay a 
decision on reopening its market to imports of U.S. beef 
because of the approaching election on December 3.  Liang did 
not offer any further elaboration.  Liang's suggestion is 
troubling because the Taiwan bureaucracy had already started 
its process to reopen the market and seemed to be moving 
forward quickly and appropriately. 
 
3. (C) Following USDA Deputy U/S Lambert's visit to Taiwan to 
review in advance the epidemiological report on the most 
recent BSE case, the Bureau of Food Safety (BFS) in the 
Department of Health (DOH) submitted the official report to 
its Advisory Committee.  The Committee has until October 10 
to provide its response and BFS Director General Chen Lu-hong 
told AIT/T that he expects to be able to move forward shortly 
after October 10 to recommend to his minister that Taiwan's 
market be reopened.  A further sign of smooth sailing was a 
noticeable absence of efforts by the Council of Agriculture 
to interfere in the bureaucratic process that clearly falls 
under the purview of DOH.  Prior to Taiwan reopening its 
market in April, AIT had observed that the Council of 
Agriculture (COA) had repeatedly sought to stall the DOH 
review process. 
 
4. (C) AIT Acting Director raised the beef issue with 
National Security Council Secretary General Chiou I-jen on 
September 28.  The ADIR reviewed progress on the issue, 
noting that DOH is scheduled to issue a risk advisory report 
on October 10.  He expressed hope that we can move forward 
rapidly to resolve the issue because we have heard some 
disturbing rumors that political considerations might cause 
delays.  Chiou said he would talk to President Chen Shui-bian 
after he returns from Central America and the Caribbean and 
would also gain a better understanding of where DOH stands in 
the process.  Chiou stressed that both Chen and he support 
reopening the beef market and that he is encouraged that DOH 
is considering the issue on a scientific basis.  Chiou also 
acknowledged that the current atmosphere is highly 
politicized. 
 
5.  (C) AIT/T Econ Chief raised the beef issue with a variety 
of people this week, noting the disturbing rumors of 
politically-motivated delays in the process and the 
science-based approach that DOH has been carefully 
implementing.  AIT/T met with DPP Legislator Tsai Ing-wen on 
September 28, with Ministry of Economic Affairs Vice Minister 
Steve Chen (Ruey-long) and Director General of the Board of 
Foreign Trade Franco Huang (Chih-peng) on September 29 and on 
the same day with Hu Sheng-cheng, Chairman of the Council on 
Economic Planning and Development.  All four observed that 
the atmosphere in Taipei is highly politicized.  Tsai said 
that the public perceives the beef issue to be a political 
one because the original decision to reopen was portrayed as 
a political decision.  She said that with the Premier under 
sustained attack over a number of different issues recently, 
any decision by the Government, including reopening the beef 
market, will be analyzed from a political perspective.  Chen 
noted that there is a small group of people willing to use 
any issue to attack the government and happy to use the beef 
issue as a tool to attack the government. Huang and Hu 
essentially echoed comments already made by Tsai and Chen. 
 
6.  (C) VM Chen observed that MOEA has no direct role in the 
beef import review process.  He did, however, suggest that it 
would be easier for Taiwan to reopen its market once again if 
other countries in Asia were to reopen their markets.  Chen 
also noted that recent press coverage of Deputy U/S Lambert's 
visit did not help the situation.  He cited an article which 
reported on TSU Legislator Lai Hsin-yuan commenting that she 
had met with Lambert during his visit.  Chen said that such 
reports made the situation more politically sensitive and 
thus more difficult for the government to resolve.  (Note: 
Lai Hsin-yuan has been an outspoken critic of the 
government's beef import policy.  She has attacked the 
government for failing to have a transparent process assuring 
the population that food imports are safe and secure. End 
note.)  AIT/T Econ chief also had dinner with former Premier 
Vincent Siew September 29.  Displaying his savvy knowledge of 
politics and business in Taiwan, Siew noted, as we were 
sitting down, that beef continues to be a problem for the 
U.S.  He lamented that beef imports, like all other issues in 
Taiwan, had become entirely politicized.  He complained that 
the ruling and opposition parties do not face issues directly 
and seek solutions. 
 
7.  (C) Comment:  We believe that DOH, Chen Lu-hong in 
particular, is proceeding ahead with a rigorous, 
science-based review of Taiwan's beef import policy with an 
expectation that it will reopen the market.  The current 
political environment is closely balanced between the Green 
and Blue camps.  As we have seen on a number of other issues, 
including defense procurement, both parties try to avoid 
taking any initiative that might open them to criticism.  In 
this environment, political levels of the government may well 
wish to avoid finalizing any such recommendation until after 
the election.  DPP politicians would want to avoid handing an 
issue to the opposition that could potentially be exploited 
during the campaign for the December 3 mayoral and county 
magistrate elections.  Ron DeHaven, Administrator of the 
Animal and Plant Health Inspection Service (APHIS) is 
visiting Taiwan October 3-4.  This would be a good 
opportunity for the U.S. to more fully explore Taiwan's 
review of beef import policies and press Taiwan to continue 
to follow a science-based approach.  End Comment. 
PAAL