US embassy cable - 05PRAGUE1526

UNCLAS PRAGUE 001526 
 
SIPDIS 
 
SENSITIVE 
 
STATE PLEASE PASS TO USTR 
 
E.O. 12958: N/A 
TAGS: EAGR, ETRD, EZ, WTRO 
SUBJECT: CZECH REPUBLIC REMAINS IN THE PROGRESSIVE CAMP ON 
WTO AGRICULTURE PROPOSAL 
 
REF: A. SECSTATE 190730 
 
     B. PRAGUE 1496 
 
 1. (SBU) In culmination of a multi-day campaign to urge the 
Czech government and industry to push hard for a positive EU 
response to the U.S. agriculture proposal, the DCM met 
October 25 with Ladislava Votavova, Director of the 
Department of EU Multilateral Trade Policy at the Ministry of 
Trade, and asked for an assessment of a likely EU response on 
agriculture.  Following the October 21 conference call with 
USTR Deputy Ambassador Allgeier, Ambassador Cabaniss had sent 
letters to the Ministers of Trade and Foreign Affairs to push 
for a strong Czech voice in putting together the forthcoming 
EU proposal on agriculture, to put it in "the negotiating 
zone."  Econoffs also contacted the board members of the 
Czech Association of Industry and the American Chamber of 
Commerce to pass on a similar message. 
 
2. (SBU) Votavova spoke frankly, noting that the mood at the 
October 22 Luxembourg GAERC was "tense and difficult." 
French officials were working hard to discredit the U.S. 
offer and to prevent positive movement on a substantive 
counter-response.  She added that the French-led attempt to 
rein in Mandelson and tie his hands on negotiation on behalf 
of the EU struck a nerve with many of the "progressive" EU 
member states.  As a result, she said, there is discussion 
among twenty countries in the progressive camp within the EU 
to call for another GAERC emergency session to empower 
Mandelson in preparation for the Hong Kong Ministerial and to 
show that a united front of a strong majority of countries in 
the EU support positive, balanced movement in the Doha round. 
 The Czech government is deeply concerned about the prospects 
of "saving" the Doha round in the short period of time 
remaining before the Hong Kong Ministerial Conference, but 
noted that the Czechs will continue to push for positive 
movement on a trade agreement.  The Czech government does not 
want to see the Doha round founder on the agriculture issue, 
but also believes that the negotiation must involve positive 
movement on NAMA and Services to satisfy Czech interests. 
CABANISS