GOI MINISTERS ASSERT SAFETY AND IMPORTANCE OF

C O N F I D E N T I A L ROME 002956

SIPDIS


STATE PASS USDA FOR FAS ITP/MACKE AND OFSTS/RICHEY
STATE PASS USTR
GENEVA FOR USTR

E.O. 12958: DECL: 06/30/2013
TAGS: EAGR ETRD IT PGOV TBIO UN
SUBJECT: GOI MINISTERS ASSERT SAFETY AND IMPORTANCE OF
BIOTECH PRODUCTS

Classified By: Economic Minister-Counselor Scott Kilner for reasons 1.5
(b) (d)


1. (SBU) Summary. At the annual assembly of Assobiotec
(Italy,s national association of biotechnology companies)
held in Rome on June 10, 2003, Minister of Productive
Activities Antonio Marzano and Minister of Health Girolamo
Sirchia addressed the importance of the sector to Italy,s
future. They stressed the safety of biotech and the
importance of biotechnology to the developing world. Dr.
Adriano de Maio, Rector of LUISS University, and Dr. Claudio
Bordignon, Scientific Director of Fondazione San Raffaele
described the current plight of biotechnology research and
development capacity in Italy. Despite these welcome words,
there is still no consensus about biotech policy within the
GOI cabinet, and we are not confident of gaining a policy
breakthrough in the short term. End summary.


2. (U) CDA Skodon delivered opening remarks focusing mainly
on the US trade dispute with the European Union over the
moratorium on Genetically Modified Organisms (GMOs). He
cited the fact that even the Commission recognizes that there
are no known negative effects on human health and that the
moratorium prevents developing countries from reaping the
benefits of innovative agricultural technologies. In
addition, he expressed his hope that the Italian Presidency
of the EU will take the lead to give European consumers the
right to choose to buy biotech products.


3. (U) Minister of Productive Activities Marzano discussed
the costs and benefits of biotechnology, citing benefits such
as new drugs, new vaccines, new therapies, and new diagnostic
instruments. He stressed the fact that the drawbacks of
biotechnology have not been substantiated and are founded on
political references and anti-American feelings. He
emphasized that we face death from starvation in the
developing world if we turn away from agricultural
biotechnology. In addition, Italy and Europe risk becoming
consumers, rather than producers, of biotechnology research.
He stressed the need to keep Italian researchers in Italy and
to attract foreign researchers.


4. (C) Marzano,s remarks were apparently influenced by a
June 4 internal memo on agricultural biotech from Director
General for Commercial Agreements Amedeo Teti to Vice
Minister of Productive Activities (Foreign Trade) Adolfo
Urso. Teti,s paper, a copy of which was obtained by the
Embassy (please strictly protect),reiterates familiar themes
covered in recent bilateral discussions, including the
possibility that the U.S. request for WTO consultations on
the EU moratorium on biotech approvals could spur the GOI to
adopt a unified position on agricultural biotech. The flip
side of a unified policy, according to Teti, would be the
GOI,s improved ability to manage the issue during its EU
presidency, especially given the upcoming WTO ministerial
meeting in Cancun. He also called for the GOI to work
towards formulating a U.S.-EU compromise on ag biotech, in
which a less restrictive EU policy would be matched by U.S.
support for greater protection of geographic indications
(though Teti acknowledged continued U.S. opposition to
expandng GI protections). Teti further advocated greater GOI
leadership on ag biotech to make Italy compettive with other
more pro-GMO EU member states. Te expected results would
include more foreign inestment in the Italian biotech
sector, and incresed biotech research and development by
Italian SMEs (which, in contrast to large corporations,
geerally cannot shift biotech activity to more
bioech-friendly areas outside of the EU).

5.(U) Miister of Health Sirchia addressed the Assobiotec
meeting on the lack of evidence of any harm to human health
of agricultural biotechnology. He notedthat genetic
modification has happened naturallyover hundreds of years
and there is no proof tha genetic modification over
milliseconds has a diferent effect. Protective measures
should only b considered when the evidence could prove
otherwse. Minister Sirchia also spoke of the importance f
linking industry to research in universities t make better
use of the resources allocated to tis sector.

6.(U) Dr. Adriano De Maio and Dr. Cladio Bordignon both
discussed the more academic apects of the biotech sector


stating that there is very little funding for biotech
research activities in Italy. A fundamental problem is the
lack of a concentration of and funding for research
centers--centers of excellence like the NIH and NSF in the
U.S. These centers would, in their opinion, give a
much-needed focus for biotech research and increase
efficiency. The importance of synthesis between academics,
research, and industry was also highlighted.

7.(C) Embassy comment: On a day when Italian journalists were
on strike and coverage minimal, the two most pro-biotech
ministers of the Berlusconi government preached to an
audience of the converted. In addition, a half-dozen or so
Italian Parliamentarians and a number of representatives from
scientific institutions were identified by name. The
ministers provided a welcome focus on the impact of
unreasonable concerns about biotech products on funding for
biotech research and, as importantly, the sorry state of
biotechnology companies in Italy, which are near dead last in
Europe in number and amount of investment capital. Still, we
see little evidence that a breakthrough on GOI biotech policy
is likely due to continued opposition by other members of the
government, notably Agricultural Minister Alemanno. We
therefore hold out no great hope for decisive Italian
leadership during the upcoming EU Presidency.

8.(U) This cable was prepared by Science Section intern Lisa
George.

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2003ROME02956 - Classification: CONFIDENTIAL