TURKISH MFA ON IRAQ RECONSTRUCTION

C O N F I D E N T I A L ANKARA 002862

SIPDIS


STATE FOR E, EB, EUR/SE, NEA/NGA
STATE PASS NSC FOR QUANRUD AND BRYZA
USDOC FOR 4212/ITA/MAC/OEURA/CPD/DDEFALCO


E.O. 12958: DECL: 04/30/2013
TAGS: ECON ETRD EAIR PREL TU IZ
SUBJECT: TURKISH MFA ON IRAQ RECONSTRUCTION


REF: ANKARA 2817


Classified by EconCouns Scot Marciel, Reason 1.5 (b,d)



1. (C) Summary: MFA Director for Iraq Reconstruction Okcun
told EconCouns April 29 that Turkey would pursue an
aggressive private/public sector approach to winning
reconstruction contracts in Iraq. He asked if the U.S. could
help by dispelling the notion that Turkish firms were at a
disadvantage due to Turkey,s stance on the war, and by
"matchmaking" between Turkish and U.S. firms. Okcun noted
that Turkey hoped to normalize trade relations with Iraq as
soon as possible, and would reopen its embassy in Baghdad the
week of May 5. End summary.



2. (C) EconCouns met April 29 with MFA Director for Iraq
Reconstruction Ambassador Okcun, DDG for Bilateral Economic
Affairs for the Middle East/Africa Kaya Turkmen, and DDG for
Bilateral Economic Affairs for the West Mehmet Gucuk. Okcun
noted that the MFA,s goal was to help secure the
participation of Turkish companies in the reconstruction of
Iraq through aggressive "public/private sector teamwork."
The MFA had already established a permanent commission of
eight members -- four from the private sector, four from the
state sector -- to work on Iraq reconstruction issues. The
commission would convene regular meetings to discuss
opportunities and challenges in key sectors, i.e.
transportation, banking, and oil.



3. (C) Okcun noted that participating in Iraq reconstruction
would be more difficult for Turkish firms than it had been in
Afghanistan. He said the GOT would pursue an aggressive
approach, and would encourage the private sector to do the
same. He asked if the U.S. could help in this effort by
taking steps to dispel the persistent notion in the press and
the private sector that Turkish firms were at a disadvantage
due to Turkey,s stance on the war. Okcun also requested
U.S. assistance in "matchmaking" between Turkish and U.S.
firms, perhaps by organizing a reconstruction conference in
Turkey, as we had done in the Afghanistan case.



4. (C) Okcun noted that Turkey planned to resume normal trade
relations with Iraq as soon as possible. To this end, the
government hoped to open a second border gate to help ease
the traffic through Harbur gate, but needed an interlocutor
on the Iraqi side in order to proceed with the plan. Okcun
said the GOT also hoped to extend a railway line directly
across the Iraqi border. The current railway system, he
said, went through Syria first and then into Iraq. He
expected Turkish Airlines would also be interested in
resuming flights to Baghdad whenever that became possible.



5. (C) On other Iraq-related issues, DG Turkmen noted that
the GOT was planning on reopening its embassy -- staffed with
a skeleton crew for now -- in Baghdad the week of May 5.
Okcun said he understood that other countries were planning
on sending representatives to work with ORHA, and Turkey also
wanted to one to two officials. He said the MFA would
contact us when its proposal was more firm. Okcun claimed
there was an understanding following Secretary Powell,s
visit that we would help arrange a meeting for GOT officials
with General Garner. He said the GOT was willing to send a
delegation to Baghdad as soon as possible for such a meeting.
PEARSON