US embassy cable - 03KUWAIT1932

UNCLAS SECTION 01 OF 03 KUWAIT 001932 
 
SIPDIS 
 
STATE ALSO PASS USAID/W 
STATE PLEASE REPEAT TO IO COLLECTIVE 
STATE FOR PRM/ANE, EUR/SE, NEA/NGA, IO AND SA/PAB 
NSC FOR EABRAMS, SMCCORMICK, STAHIR-KHELI, JDWORKEN 
USAID FOR USAID/A, DCHA/AA, DCHA/RMT, DCHA/FFP 
USAID FOR DCHA/OTI, DCHA/DG, ANE/AA 
USAID FOR DCHA/OFDA:WGARVELINK, BMCCONNELL, KFARNSWORTH 
USAID FOR ANE/AA:WCHAMBERLIN 
ROME FOR FODAG 
GENEVA FOR RMA AND NKYLOH 
DOHA FOR MSHIRLEY 
ANKARA FOR AMB WRPEARSON, ECON AJSIROTIC AND DART 
AMMAN FOR USAID AND DART 
 
E.O. 12958:  N/A 
TAGS: EAID, PREF, IZ, WFP 
SUBJECT:  TFIZ01: FOOD SUPPLIES IN BASRAH GOVERNORATE 
 
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SUMMARY 
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1.  Representatives of the Iraqi Ministry of Trade (MOT), 
DART, WFP, and Coalition forces met on 4 May at the CMOC in 
Basrah to review the status of Basrah's Public Distribution 
System (PDS) for food rations, and to determine what 
immediate steps need to be taken to enable officials in 
Basrah Governorate to carry out a major food distribution by 
late May.  End Summary. 
 
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LOCAL CAPACITY AND REQUIREMENTS 
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2.  Ministry of Trade (MOT) staff reported that the nine 
mills in Basrah are operating at full capacity, with a 
combined flour production of 1,080 metric tons (MTs) per 
day.  To date, only 3,332 MTs of the 6,000 MT required for 
one month's distribution have been milled.  Coalition forces 
confirmed that wheat is moving from Basrah's main silo 
complex to the mills on a regular basis. 
 
3.  The silo complex currently holds an estimated 15,000 MTs 
of wheat.  The MOT reports the silo's granary equipment is 
functioning, and that operations at the complex are in full- 
swing, despite earlier reports that a three to four week 
clean-up would be necessary. 
 
4.  The MOT listed the amount of supplies held in the Basrah 
and Az Zubayr warehouses (current balance), followed by the 
amounts needed for monthly distributions in Basrah 
Governorate (monthly requirement), as follows: tea : current 
balance : 1,886 MT / monthly requirement : 392 MT; vegetable 
oil : current balance : 4,430 MT / monthly requirement : 
2,459 MT; weaning cereals : current balance : 3 MT / monthly 
requirement : 100 MT; salt : current balance : 318 MT / 
monthly requirement : 300 MT; milk powder : current balance 
: 21 MT / monthly requirement : 1,000 MT; lentils : current 
balance : 110 MT / monthly requirements : 975 MT; beans : 
current balance : 275 MT / monthly requirements : 975 MT; 
chick peas : current balance : 46 MT; monthly requirements : 
975 MT; rice : current balance 0 MT / monthly requirements : 
7,000 MT; wheat : current balance :  15,000 MT(silo/mills) 
and 3,300 MT (warehouses) / monthly requirement : 21,250 MT; 
infant formula : current balance : 667 MT / monthly 
requirement : 200 MT; detergent : current balance : 1,619 MT 
/ monthly requirement : 964 MT; soap : current balance : 
1,075 MT / monthly requirement : 600 MT. 
 
5.  The MOT reported that the significant shortfalls in 
weaning cereals and pulses are long-standing problems. 
(Note:  These traditional shortfalls in protein-rich foods 
have been noted in other areas of southern Iraq, such as Umm 
Qasr.  End Note.) 
 
6.  The MOT reported that there are 437 shipping containers 
at Port Umm Qasr, containing vegetable oil (5,750 MT); tea 
(450 MT); powdered milk (1,315 MT); soap (695 MTs); and 
detergent (503 MT).  MOT staff believes the containers form 
part of two large shipments being shipped in tranches from 
Dubai, which were disrupted by the war.   Coalition forces 
reported that there are currently 1,800 containers in Dubai, 
believed to be consigned to the Oil-For-Food Program. 
 
7.  The MOT, U.N. World Food Program (WFP), Coalition forces 
and the Maritime Department in Umm Qasr will review waybills 
and other records associated with the containers at the port 
to determine if they are part of a Dubai cargo and to 
identify the shipping company responsible for completing the 
transshipment. 
 
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LOGISTICAL PROBLEMS 
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8.  According to the MOT, there are several problems in 
getting the public distribution system (PDS) operational, 
and the MOT has asked for immediate assistance from the 
international community to restore the system. 
 
9.  With the Basrah Governorate's trucking fleet reduced 
from 21 trucks to 3 (most were stolen by looters), the MOT 
has asked Coalition forces and WFP for help in transporting 
the 437 containers from Port Umm Qasr to Basrah.  The MOT 
estimates that 10 trucks could move the containers to Basrah 
in 40 days. (Note:  Normally, the containers would be 
trucked directly from Umm Qasr to the designated 
Governorate.  WFP is working to determine the pipeline needs 
in all southern Governorates.  End Note.) 
 
10.  The lack of security continues to be a problem. 
MOT/Basrah computers at the central administrative offices 
and at the registration center complex were stolen or 
damaged during the fighting.  Just last week, looters stole 
the air conditioners and desks in MOT's administrative 
offices, which are occupied by Coalition forces.  WFP and 
the DART are working to address the problem of looted or 
damaged computers, which has occurred in several southern 
governorates and makes it all the more difficult for the MOT 
to begin its critical PDS function. 
 
11.  WFP has agreed to repair the damaged doors and locks in 
Basrah's central (Hartha) warehouse.   The MOT is less sure 
about how to proceed on repairing or replacing the computer 
system in its central complex.  In Basrah, MOT employees 
salvaged some PDS information by copying the information 
onto diskettes and hiding them during the fighting.  But the 
MOT fears that if the computers are replaced, they might be 
looted again.   MOT has so far resisted the idea of posting 
armed guards at its facilities. 
 
12.  Another problem is that Basrah lacks the administrative 
and registration forms used by the PDS program, which were 
previously supplied by Baghdad.  The DART believes that 
WFP's EMOP could be used to recreate the forms during this 
phase of the operation and is working with WFP on this 
issue. 
 
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FOLLOW-ON 
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13.  The participants agreed to meet again 7 May, and to 
include representatives of the Office of Reconstruction and 
Humanitarian Assistance and the U.K.'s Department for 
International Development.  By the next meeting, the MOT is 
to provide a firmer estimate of the loose wheat grain stored 
in the central Basrah warehouse, WFP is to draft a 
governorate distribution plan and develop a chart of 
commodities arriving in the southern corridor.  Coalition 
forces are to propose how to clear containers from Umm Qasr, 
suggest ways to increase security at the central Basrah 
warehouse complex, and set a date for the return of the 
administrative offices to MOT.  The DART and WFP are 
expected to outline funding possibilities to cover the MOT's 
material needs, such as computers, office supplies, desks, 
chairs, etc. 
 
URBANCIC