US embassy cable - 05VIENNA3442

UNCLAS VIENNA 003442 
 
SIPDIS 
 
STATE FOR EUR/ERA AND EUR/AGS - VIKMANIS KELLER 
 
E.O. 12958: N/A 
 
TAGS: EAGR, ETRD, AU 
SUBJECT: DEMARCHES TO AUSTRIA ON EU'S AGRICULTURAL MARKET 
 
ACCESS PROPOSAL 
 
REF: A. (A) ALLGEIER CONFERENCE CALL 10/21/05 
 
     B. (B) STATE 195286 
 
     C. (C) VIENNA 3398 
 
     D. (D) STATE 190583 
 
1.  In response to ref (a), Charge delivered our request for 
 
Austria's support to key Austrian officials. 
 
2.  On Friday, October 21, Charge urged Agriculture Minister 
 
Josef Proell to support reductions in tariffs to a zone 
 
between the U.S. and the G-20 positions.  Proell, who was 
 
going to meet with his EU counterparts in Luxembourg on 
 
October 24-25, said he hoped for a solution in WTO talks, but 
 
added that he wants it to be a solution that "protects 
 
Austrian farmers."  Proell acknowledged the need for 
 
reductions in market access protections and in amber box 
 
domestic support, but said the U.S., Asia and the G-20 had to 
 
reduce such supports, as well as cut export subsidies.  He 
 
said be believed a solution "within the mandate of the 
 
Commission" was possible.  He noted the difficulty in the 
 
need to find solutions to issues such as non-agricultural 
 
market access (NAMA) and services, as well.  Proell also 
 
pointed out disagreements on the sensitive products list. 
 
3.  Charge stressed that agriculture was blocking progress 
 
across the board, and we had to address these issues in order 
 
to move to NAMA and services.  She noted that the U.S. 
 
believed we were where we needed to be to negotiate on 
 
domestic support and export subsidies.  The key was the issue 
 
of tariffs on agricultural products between developed 
 
countries, and the Commission's proposal had to be within the 
 
zone which the U.S. and G-20 proposals had defined.  We 
 
acknowledged the need for a realistic position on sensitive 
 
products, as well. 
 
4.  On Monday, October 24, in the absence of the Foreign 
 
Minister and her deputy, Charge met with Johannes Kyrle, 
 
Austria's acting deputy foreign minister.  Kyrle observed 
 
that Proell was key on the issue, noted tha the government 
 
must be responsive to the needs of the agricultural sector, 
 
and undertook to get back to us on the Austrian position 
 
expeditiously.  The Charge pointed to the U.S.'s willingness 
 
to put difficult and robust proposals on the table in order 
 
to push ahead in Hong Kong and urged Austria to be equally 
 
forward-leaning. 
 
5.  Economics Minister Martin Bartenstein remains out of town 
 
(he is in London October 24-25).  In his absence, post 
 
conveyed our message to the Economics Ministry's Under 
 
Secretary-level head of Foreign Trade, Josef Mayer.  Per ref 
 
SIPDIS 
 
(c), the Economics Ministry has supported initiatives to 
 
ensure that negotiations remain possible.  We will follow up 
 
with Bartenstein, who is now scheduled to meet with the 
 
Deputy Secretary in Washington on October 28. 
 
van Voorst