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### Viewing cable 06SANJOSE132, CODEL BURTON ENGAGES GOCR ON CAFTA-DR AND U.S.

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Reference ID | Created | Released | Classification | Origin
--- | --- | --- | --- | ---
06SANJOSE132 | 2006-01-19 21:09 | 2011-03-03 16:04 | UNCLASSIFIED | Embassy San Jose

Appears in these articles:
http://www.nacion.com/2011-03-03/Investigacion/NotasDestacadas/Investigacion2697430.aspx
http://www.nacion.com/2011-03-03/Investigacion/NotaPrincipal/Investigacion2697496.aspx
http://www.nacion.com/2011-03-03/Investigacion/NotasSecundarias/Investigacion2697489.aspx
http://www.nacion.com/2011-03-03/Investigacion/NotasSecundarias/Investigacion2697532.aspx
http://www.nacion.com/2011-03-03/Investigacion/NotasSecundarias/Investigacion2697535.aspx
http://www.nacion.com/2011-03-03/Investigacion/NotasSecundarias/Investigacion2701964.aspx
http://www.nacion.com/2011-03-03/Investigacion/Relacionados/Investigacion2701965.aspx

`

    VZCZCXYZ0000
    RR RUEHWEB

    DE RUEHSJ #0132/01 0192118
    ZNR UUUUU ZZH
    R 192118Z JAN 06
    FM AMEMBASSY SAN JOSE
    TO RUEHC/SECSTATE WASHDC 4052
    INFO RUEHZA/WHA CENTRAL AMERICAN COLLECTIVE
    RUEHRC/USDA FAS WASHDC 1708
    RUCPDOC/DEPT OF COMMERCE WASHINGTON DC

` `

    UNCLAS SAN JOSE 000132

    SIPDIS

    SIPDIS

    WHA/CEN
    EB FOR WCRAFT, BLAMPRON
    E FOR DEDWARDS
    WHA FOR WMIELE
    WHA/EPSC FOR KURS, LGUMBINER
    H FOR JHAGAN
    STTE PASS TO USTR FOR RVARGO, NMORRJANI, AMALITO

    E.O. 12958: N/A
    TAGS: OREP ETRD EAGR PREL PGOV CS
    SUBJECT: CODEL BURTON ENGAGES GOCR ON CAFTA-DR AND U.S.
    MEAT AND POULTRY INSPECTION

    REF: A. 05 SAN JOSE 423

         ¶B. 05 SAN JOSE 933

    Summary
    --------
    ¶1.  In his third visit to Costa Rica in a year (see reftels
    for previous visits), Representative Dan Burton (R-IN) met
    with President Pacheco, several members of his cabinet, key
    legislators, and Pacheco's probable successor as president,
    Oscar Arias.  As in previous visits, discussions focused on
    the ratification and implementation of the U.S.-Central
    American-Dominican Republic Free Trade Agreement (CAFTA-DR).
    Costa Rican agriculture and foreign trade officials used the
    visit to argue that CAFTA-DR did not explicitly require Costa
    Rica to recognize the safety standards of the U.S. meat and
    poultry inspection system and therefore such recognition
    should not be a condition of the treaty's entry into force.
    End Summary.

    ¶2.  Representative Dan Burton (R-IN), Chairman of the House
    Subcommittee on the Western Hemisphere, visited Costa Rica
    January 10-12 together with an agricultural trade mission
    from Indiana headed by Lieutenant Governor Becky Skillman.
    They met with Agriculture Minister Rodolfo Coto and Acting
    Foreign Trade Minister Doris Osterlof.  See septels for
    Burton's separate meetings with President Pacheco,
    presidential candidate Oscar Arias, Minister of Public
    Security Rogelio Ramos, and legislative leaders.

    Minister of Agriculture
    -----------------------
    ¶3.  Lt. Governor Skillman made the point that U.S. and Costa
    Rican agricultural products were complementary, not in
    competition.  She said Indiana exported yellow corn and
    soybeans vital to Costa Rica's poultry and dairy industries.
    Coto agreed, noting that the United States was Costa Rica's
    principal market for agricultural products, including
    bananas, coffee, pineapples, melons, sugar, yucca, and
    ornamental plants.  He said that CAFTA-DR was important to
    Costa Rica to ensure permanent access to the U.S. market.

    ¶4.  Coto then cited a number of trade problems: (1) rice,
    produced in both countries and a staple in Costa Rica, is
    subsidized in the United States, creating problems for local
    producers; (2) the opening of Costa Rica's telecommunications
    and insurance sectors, required under CAFTA-DR, was "a
    sensitive matter and needed to be managed carefully;" and (3)
    the requirement that Costa Rica recognize the U.S. meat and
    poultry inspection system and "automatically" approve U.S.
    federally inspected meat and poultry products is not part of
    CAFTA-DR and therefore should not be imposed on Costa Rica.
    Coto said that if Costa Rica recognized the U.S. inspection
    system, which is often referred to as "equivalency," it would
    have to do the same for other CAFTA-DR countries.

    ¶5.  Representative Burton noted that the U.S. inspection
    system had the highest standards of quality and safety in the
    world.  The safety of the U.S. food supply, he believed, was
    second to none.  Burton promised nevertheless to communicate
    Coto's concerns to his colleagues and to USTR in Washington.

    Acting Minister of Foreign Trade
    --------------------------------
    ¶6.  In a separate meeting, Osterlof said that although the
    United States was already Costa Rica's biggest market, there
    was room for expansion.  She said that her ministry was in
    the midst of reviewing its marketing strategy in the United
    States and was considering opening two or three new offices
    around the country apart from the office that already exists
    in Miami.  Osterlof repeated Coto's complaint that the United
    States was "imposing requirements" on Central American
    countries that were not part of CAFTA-DR.  Opponents of the
    treaty, she said, argue that Costa Rica should not give
    concessions to the United States without getting anything in
    return; they use such arguments to delay ratification and to
    urge renegotiation of the treaty.

    ¶7.  Representative Burton responded that renegotiation of
    CAFTA-DR was out of the question, though some "fine-tuning"
    of the treaty was possible after ratification.  He said it
    was important that Costa Rica not delay in ratifying and
    implementing CAFTA-DR because it was unlikely that the

    country would continue to receive Caribbean Basin Initiative
    (CBI) benefits.

    Press Coverage
    --------------
    ¶8.  CODEL Burton was widely covered in the press, including
    an interview that covered more than half a page in the
    January 13 edition of "La Nacion."  In the interview, Burton
    focused on the need to combat leftist influence in the
    hemisphere with investment, economic growth, and jobs.  In
    another interview, which appeared in the business newspaper
    "El Finaciero" on January 16, Burton cautioned that if Costa
    Rica does not join CAFTA-DR within two years of the
    entry-into-force date of treaty, it might have to stay out.

    Comment
    -------
    ¶9.  Regarding equivalency, it was highly unusual that the
    Ministries of Agriculture and Foreign Trade coordinated to
    deliver a message to the United States.  This was the first
    time that Costa Rican officials denied that the GOCR had made
    a commitment during the CAFTA-DR negotiations to undertake an
    equivalency determination with respect to the U.S. meat and
    poultry inspection system.  In past contacts with AGATT,
    working-level officials certainly stalled and came up with
    various excuses for the lack of progress toward equivalency
    (including the political difficulty of the task), but they
    never disavowed the commitment.
    LANGDALE

`