US embassy cable - 05TEGUCIGALPA2480

C O N F I D E N T I A L SECTION 01 OF 03 TEGUCIGALPA 002480 
 
SIPDIS 
 
STATE FOR U/S HUGHES, R 
STATE FOR WHA A/S SHANNON, WHA/PPC, AND WHA/CEN 
STATE FOR EB, OES, PRM, AND INL/LP 
NSC FOR DAN FISK 
STATE PASS USTR 
STATE PASS AID FOR LAC/CAM 
 
E.O. 12958: DECL: 12/08/2015 
TAGS: PREL, PGOV, SENV, KCRM, ETRD, SMIG, PINR, KDEM, HO 
SUBJECT: WASHINGTON COMES TO HONDURAS: U/S HUGHES AND WHA 
A/S SHANNON MEET WITH PRESIDENT-ELECT ZELAYA 
 
REF: TEGUCIGALPA 2461 AND PREVIOUS 
 
Classified By: Ambassador Charles A. Ford; 
Reasons 1.4 (b) and (d). 
 
1. (SBU) Summary:  In his first official meeting with a 
senior foreign official since winning the Honduran 
presidency, President-elect Jose Manuel "Mel" Zelaya Rosales 
met with U/S Karen Hughes on December 7 in San Pedro Sula. 
The cordial half-hour meeting included WHA A/S Tom Shannon 
and the Ambassador, as well as members of Zelaya's senior 
staff.  Both Hughes and Zelaya affirmed their mutual interest 
in maintaining close, friendly bilateral relations.  Zelaya's 
team took the opportunity to raise certain key issues: 
deforestation, CAFTA, the Millennium Challenge Account (MCA), 
anti-narcotics, and the Temporary Protected Status (TPS) 
program.  End Summary. 
 
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Hughes Meets Zelaya 
------------------- 
 
2. (SBU) Following a morning meeting with Honduran President 
Ricardo Maduro and a subsequent helicopter visit to flood 
affected regions of northern Honduras, U/S Hughes engaged 
President-elect Jose Manuel "Mel" Zelaya Rosales in a 
friendly meeting at the San Pedro Sula airport.  Zelaya, who 
had only been informed of the possible meeting with Hughes 
the previous day, brought much of his senior leadership with 
him to the northern city.  In attendance were future 
ministers Yani Rosenthal (Presidency) and Hugo Noe Pino 
(Finance), Chief of Staff Roberto Babun, Advisor to the 
Presidential Palace Moises Starkman, and Private Secretary 
Raul Valladares.  In addition to WHA A/S Shannon and the 
Ambassador, U/S Hughes was accompanied by Mr. Robert Lane of 
John Deere and Company.  While Zelaya is not known for his 
punctuality, it is interesting to note that he arrived 45 
minutes early for his meeting. 
 
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Deforestation/Natural Disasters 
------------------------------- 
 
3. (SBU) Perhaps in recognition of U/S Hughes' mission to 
encourage private sector involvement with disaster relief in 
the region, Zelaya focused his initial remarks on what he 
termed "ecological vulnerabilities" in Honduras.  Zelaya 
confirmed that recent storms and floods had accelerated 
deforestation in the country.  He called for more attention 
to irrigation projects and the dredging of canals to help 
protect forestry from flooding.  Subsequently, Rosenthal 
proposed spending Millennium Challenge Account (MCA) money on 
flood prevention and protection.  He further stressed the 
importance of strengthening levees and constructing new dams 
to both protect the environment and generate electricity. 
 
4. (SBU) Referring to U.S. experience with managing forests 
and developing irrigation systems, Hughes suggested the 
possibility that the U.S. could offer expertise in both 
areas.  Hughes noted the enduring bilateral ties between the 
peoples and governments of the two countries and assured 
Zelaya that this relationship would continue.  The Ambassador 
mentioned pending Honduran legislation on forestry issues and 
agreed that this is an area of mutual concern that the two 
countries could address together.  The Ambassador further 
endorsed the role that the private sector in both countries 
can play in protecting the environment against natural 
disasters. 
 
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CAFTA 
----- 
 
5. (SBU) Zelaya voiced his personal support for CAFTA and 
pledged to work for passage of implementing legislation 
during the legislative session which ends in mid-December. 
Rosenthal expressed optimism that CAFTA could launch in 
January with Honduras' participation.  Zelaya remarked that, 
under CAFTA, Honduras would have to guarantee international 
investments under clear, transparent rules.  He identified 
tourism and energy development as huge areas for investment. 
Noe Pino added that the government placed high priority on 
assisting the medium and small business person, especially 
the farmer, under CAFTA.  Hughes looked forward to 
implementing CAFTA, which she said was important to both 
countries and to the region.  Hughes also pointed to recent 
international debt relief and the MCA as indicators of the 
bright economic future ahead for Honduras.  A/S Shannon 
stressed the importance of the government remaining engaged 
with the private sector even after CAFTA is implemented, 
continuing to promote and guide the process. 
 
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Temporary Protected Status 
-------------------------- 
 
6. (SBU) Noe Pino highlighted the importance of the Temporary 
Protected Status (TPS) program to Honduras, urging an early 
constructive dialogue on this issue.  Noe Pino stated that 
the TPS program needed to be formalized.  Hughes underscored 
President Bush's commitment to comprehensive immigration 
reform, embodied in the proposed temporary worker program. 
She stated that people in the U.S. should be living in the 
open and be able to visit their families in other countries. 
She indicated that the President would work very hard for 
immigration reform in order to provide foreign workers in the 
U.S. with dignity. 
 
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Counternarcotics 
---------------- 
 
7. (C) Both during the meeting and on the margins, Noe Pino 
emphasized Zelaya's commitment to combating illegal 
narcotics.  Noe Pino stressed that fighting narcotraffickers 
was a national security matter for both Honduras and the 
United States.  In an aside, the DCM told Noe Pino and 
Valladares that Honduras needed to augment its military 
transport capability to reach remote areas infested with the 
narcotics trade rather than continue to maintain its 
expensive and ill-equipped fighter aircraft. 
 
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Comment 
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8. (C) U/S Hughes' visit provided a great opportunity for 
President-elect Zelaya to claim his new role as the next 
Chief of State.  The meeting came as the electoral impasse 
over final election results dragged into its second week. 
The highly visible meeting - well covered by the media - 
moved the inevitable recognition of Zelaya's victory further 
along.  In fact, National Party presidential candidate 
Porfirio "Pepe" Lobo conceded the election less than 24 hours 
later.  The meeting was also a highly productive start to 
bilateral engagement as both sides found common interests and 
mutual good will in addressing economic, security, and social 
issues.  Noe Pino conveyed to the Ambassador later the same 
evening Zelaya's elation over having met with a key senior 
American official - and close associate of President Bush. 
The Zelaya team, which has appeared skeptical in the past 
over the degree of U.S. support for their program, clearly 
benefited from the candid and warm exchange with the Hughes 
delegation.  They also heard WHA A/S Shannon's clear message 
that the Ambassador speaks for the Secretary of State and the 
President in presenting U.S. foreign policy to Honduras. 
Zelaya and Hughes agreed that this is an opportune moment for 
bilateral relations with a new Honduran President and a new 
American Ambassador both ready to build on the relationship. 
Post is told that Zelaya plans to visit the U.S. in January 
before the January 27, 2006 innauguration and we look forward 
to constructing a schedule that will further cement our 
developing relations with Zelaya and his team.  End Comment. 
Ford