US embassy cable - 03KABUL1560

C O N F I D E N T I A L SECTION 01 OF 02 KABUL 001560 
 
SIPDIS 
 
NSC FOR ZKHALILZAD, JDWORKEN, HMANN, RHANSON, DSEDNEY 
DEPT FOR SA/PAB, SA/AR, EB/FO 
MANILA PLEASE PASS AMB PSPELTZ 
USDOC FOR DAS/TD MURPHY AND AFGHAN RECON TASK FORCE 
USDOC FOR ITA/MAC/OSAO/ADLER 
STATE PASS USAID FOR JPRYOR 
STATE PASS TDA FOR DSTEIN AND JSUSSMAN 
STATE PASS TREASURY FOR U/S TAYLOR, LMCDONALD 
STATE PASS OPIC FOR RCONNELLY AND DZAHNHEISER 
 
E.O. 12958: DECL: 06/06/2013 
TAGS: ETRD, ECON, PREL, AF, PK, TU, IR 
SUBJECT: PROPOSAL TO WORK WITH ECONOMIC COOPERATION 
ORGANIZATION TO CONVENE  REGIONAL TRADE INITIATIVE 
PREPARATORY MEETING 
 
Classified By: CDA Bradford Hanson for reasons 1.5 (B) AND (D) 
 
1. (SBU) The USG and the World Bank are planning to hold the 
ministerial-level Regional Trade Initiative Conference on the 
margins of the IMF/WB Annual Meetings in Dubai from September 
21-23, 2003. 
 
2. (C) The interagency community is considering a proper 
venue to conduct a preliminary planning meeting on the 
Regional Trade Initiative in the June/July timeframe.  Post 
proposes that the USG consider  working with an existing 
regional body, the Economic Cooperation Organization (ECO), 
to convene this meeting.  The ECO is already scheduled to 
hold a Trade and Investment meeting in 2003, but according to 
their website, www.ecosecretariat.org, the exact date and 
location have not been fixed.  If the interagency and World 
Bank agree, we could proceed with a meeting in coordination 
with ECO that will serve both purposes. 
 
3. (C) The ECO,s membership includes Afghanistan,s 
neighbors --  Pakistan, Iran, Turkey, Turkmenistan, 
Uzbekistan, and Tajikistan -- along with regional countries 
with a high interest in regional trade and investment regimes 
like Turkey, Azerbaijan, Kazakhstan and Kyrgyzstan.  For the 
purposes of the regional trade initiative, observer nations 
might include the U.S., India, China, an E.U. representative 
and Russia. 
 
4. (C) Post defers to Washington,s judgment to determine the 
feasibility of including Iran in such a conference (Iran is a 
founding member of ECO ) which was founded in the 1970s by 
Turkey, Iran and Pakistan).  There is, however, a strong case 
to be made that any regional trade initiative intended to 
enhance, legalize and regularize regional trade and 
investment flows must by definition include Iran.  The 
alternative is to give Iran (and its proxies in Afghanistan) 
tremendous leverage to serve as a spoiler ) through 
smuggling and other extra-legal commercial activities ) of 
any regional trade initiative program we can develop. 
HANSON