1. (C) SUMMARY: THE CFU AND THE GOZ ARE QUIETLY MEETING
TO TRY AND REACH AN AGREEMENT TO END THE STAND-OFF OVER
LAND. THE CFU IS PITCHING A PROPOSAL TO THE GOZ WHEREBY
IT WILL PROVIDE A LIST OF FARMS TOTALING FIVE MILLION
HECTARES THAT WOULD BE MADE AVAILABLE FOR RESETTLEMENT,
A PORTION OF THEM IMMEDIATELY. THE GOZ WOULD THEN
PRIVATELY AGREE TO AN ACQUISITION TIMETABLE SPREAD OVER
A NUMBER OF YEARS, GIVING THE FARMERS TIME TO WIND-DOWN
THEIR OPERATIONS. THE PROSPECTS FOR SUCCESS IN THESE
NEGOTIATIONS HINGE ON THE CFU AND COMMERCIAL FARMERS
DECIDING THAT THEY CAN TRUST THE GOZ TO HONOR AN
AGREEMENT OF THIS TYPE, INCLUDING PROVIDING FAIR
COMPENSATION FOR THE VALUE OF THE FARMS OBTAINED (NOTE:
THE FARMERS WILL ACCEPT FAIR COMPENSATION FOR THE
IMPROVEMENTS, WITH THE HOPE THAT THEY WOULD LATER BE
COMPENSATED FOR THE VALUE OF LAND IF DONOR OR GOZ FUNDS
BECAME AVAILABLE FOR THIS.) MORE CRUCIAL TO THE SUCCESS
OF THESE NEGOTIATIONS IS A DEAL THAT WILL ALLOW
PRESIDENT MUGABE TO PROCLAIM THAT HE HAS FULFILLED HIS
PROMISE TO PROVIDE LAND TO THE BLACK MAJORITY. END
SUMMARY.



2. (C) ON APRIL 5, ECONOFF MET WITH WILLIAM HUGHES,
COMMERCIAL FARMERS UNION (CFU) VICE PRESIDENT FOR
CONFIDENTIAL

PAGE 03 HARARE 01276 01 OF 02 091254Z
REGIONS, AND COLLIN CLOETE, CFU VICE PRESIDENT FOR
COMMODITIES, TO DISCUSS THE STATUS OF CFU EFFORTS TO RE-
ENGAGE THE GOVERNMENT OF ZIMBABWE (GOZ) ON THE ISSUE OF
LAND REFORM. HUGHES AND CLOETE WERE IN AGREEMENT THAT
COMMUNICATION BETWEEN THE CFU AND THE GOZ HAD IMPROVED
SINCE THE CFU SPECIAL CONGRESS IN MARCH (REFTEL), AND
SAID THAT THE CFU HAD PRESENTED TO THE GOZ ITS PLAN FOR
A WAY FORWARD ON THE ISSUE OF LAND REFORM. HUGHES
STATED THAT GOZ OFFICIALS WITH WHOM THE CFU HAS MET IN
THE LAST COUPLE OF WEEKS HAVE BEEN RECEPTIVE TO THE
CFU'S PROPOSALS, BUT ADDED THAT THESE OFFICIALS WERE
"TECHNOCRATS" AND IT IS NOT CLEAR THAT THEY CARRY MUCH
WEIGHT IN NEGOTIATING AN AGREEMENT BETWEEN THE CFU AND
THE GOZ.



3. (C) IN THE LAST FEW WEEKS, A CFU GROUP, LED BY NICK
SWANEPOEL, THE CO-CHAIRMAN OF THE NATIONAL ECONOMIC
CONSULTATIVE FORUM (NECF) LAND TASK FORCE, HAS MET WITH
VINCENT HUNGWE, THE PERMANENT SECRETARY IN THE LANDS
MINISTRY AND THE OTHER CO-CHAIRMAN OF THE NECF LAND TASK
FORCE, LANDS MINISTER JOSEPH MADE, FINANCE MINISTER
SIMBA MAKONI, AND VICE PRESIDENT JOSEPH MSIKA, WHO IS
THE NOMINAL HEAD OF THE GOZ LAND REFORM AND RESETTLEMENT
EFFORT IN THE CABINET. THE SWANEPOEL-LED GROUP HAS BEEN
ATTEMPTING TO SELL THE CFU'S PROPOSAL ON LAND REFORM TO
A SUSPICIOUS GOZ THAT CONTINUES TO VIEW ANY PROPOSALS
FROM THE CFU AND COMMERCIAL FARMERS AS DELAYING TACTICS
RATHER THAN GOOD FAITH EFFORTS TO SUPPORT LAND REFORM.
ACCORDING TO CLOETE, THE GOZ OFFICIALS HAVE INDICATED A
DESIRE TO CONTINUE THE DIALOGUE, BUT THEY ALSO WANT TO
SEE CONCRETE ACTIONS BY THE CFU. THESE INCLUDE THE
CONFIDENTIAL

PAGE 04 HARARE 01276 01 OF 02 091254Z
WITHDRAWAL OF THE CFU LAWSUIT AGAINST THE GOZ ON THE
CONSTITUTIONALITY OF "FAST-TRACK" AND A PUBLIC
COMMITMENT TO IDENTIFY FIVE MILLION HECTARES OF
COMMERCIAL FARMLAND FOR RESETTLEMENT.



4. (C) CLOETE SAID THAT THE REQUEST TO WITHDRAW THE CFU
LAWSUIT IS A MOOT POINT. THE SUPREME COURT HAS ALREADY
RULED ON THE SUIT AND HAS FOUND IN FAVOR OF THE CFU AND
COMMERCIAL FARMERS. HOWEVER, THE CFU HAS PROMISED THAT
IT WILL NOT PURSUE A RULING OF CONTEMPT