EMBASSY HIGHLIGHTS INADEQUATE PORT SECURITY AT

C O N F I D E N T I A L SECTION 01 OF 02 TEGUCIGALPA 001559

SIPDIS

STATE FOR EB, PM, INL, S/CT, WHA/PPC, AND WHA/CEN
PANAMA FOR CUSTOMS

E.O. 12958: DECL: 07/02/2013
TAGS: PTER SNAR ETRD PGOV PREL ELAB EAGR EWWT HO
SUBJECT: EMBASSY HIGHLIGHTS INADEQUATE PORT SECURITY AT
PUERTO CORTES; GOH FINALLY ADDRESSING ISSUE

Classified By: Ambassador Larry Palmer;
reasons 1.5(b) and (d).


1. (C) SUMMARY: On June 14, 2003, Honduras Desk Officer and
PolOff met with Puerto Cortes Superintendent Antonio Cruz to
discuss the problematic security situation at the port.
Puerto Cortes is both the largest port in Honduras and on the
Caribbean coast of Central America. Port officials
acknowledged the lack of security and cited insufficient
resources as the major impediment to compliance with the new
U.S. Maritime Transportation Security Act, which requires
ports exporting cargo to the U.S. to meet specific security
standards and International Maritime Organization (IMO)
regulations. Current security procedures at the port are
virtually non-existent. During the meeting and a subsequent
impromptu press conference, DeskOff underscored the
importance of complying with new U.S. security regulations
and emphasized that the onus is on Hondurans to make the
necessary changes. Minister of the Presidency Luis Cosenza
has designated Presidential Advisor Mauro Membreno as the GOH
point person on this issue. END SUMMARY.

DeskOff/PolOff Meet with Puerto Cortes Superintendent
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2. (C) On June 14, 2003, WHA/CEN Desk Officer for Honduras
and PolOff met with Puerto Cortes Superintendent Antonio Cruz
and Vice Manager Fermin Boquin to discuss the problematic
security situation at the port. Port officials acknowledged
the lack of security and cited insufficient resources as the
major impediment to compliance with the new U.S. Maritime
Transportation Security Act, which requires ports exporting
cargo to the U.S. to meet specific security standards and IMO
regulations. More worrisome, current security procedures at
the port are virtually non-existent. During the meeting and
subsequent impromptu press conference, DeskOff underscored
the importance of complying with new U.S. security
regulations and emphasized that the onus is on Hondurans to
make the necessary changes. U.S.-donated counternarcotics
canines, costing USD 35,000 apiece, are not currently being
used to inspect outbound cargoes, and port managers were
unable to enumerate in detail the specific procedures for
inspecting containers. A Power Point presentation delivered
by port officials offered a laundry list of resources needed
for compliance, implying that the U.S. should fund these
requests. When asked whether the U.S. was planning to fund
the security modifications, DeskOff indicated that the U.S.
would offer support of some kind but that the nature of the
support had not yet been determined.


3. (SBU) Puerto Cortes is both the largest port in Honduras
and on the Caribbean coast of Central America. It provides
port services to companies from Guatemala, El Salvador and
Nicaragua, while serving as a distribution and manufacturing
site for the surrounding agricultural regions from which over
1,800,000 containers on more than 1,700 ships were
transported in 2002. Puerto Cortes can dock up to ten
vessels at once. More than 1,000 ships travel from Puerto
Cortes to the U.S. annually, and many others travel to
Europe, Africa and South America. Puerto Cortes yielded
revenues of approximately USD 81.4 million in 2002.

GOH Expresses Concern over Inadequate Port Security
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4. (SBU) The unacceptable port security situation in Puerto
Cortes finally captured the attention of the most senior
levels of the Maduro government in late May. Minister of the
Presidency Luis Cosenza met with EmbOffs to ask for U.S.
assistance in addressing the problem. His request came in
the wake of a sobering preliminary assessment (which included
an estimated USD 1-3 million price tag for the minimum
security improvements to meet the new legal requirements)
from a private U.S. port security consultant who works with
the International Maritime Organization. Cosenza's request
and designation of Presidential Advisor Mauro Membreno as the
GOH point person on this issue are encouraging signs that the
GOH is finally going to treat this issue as high priority.

GOH Slow to Act But Headed in Right Direction
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5. (C) Comment: Cosenza and Membreno's willingness to take
control of the issue is a very welcome sign of the serious
political will needed to tackle this difficult issue.
Membreno's reputation as a highly capable and well-connected
political fixer renders him a good choice for the position.
At the same time, Membreno is regarded as a charter member of
the dark side of the Nationalist Party. He will need those
credentials in order to tackle vested interests within his
own party, such as Vice President Diaz Lobo, and the port
labor union if the GOH is to make the necessary changes for
Puerto Cortes to be certified under the new U.S. Maritime
Transportation Security Act. The GOH finally seems to
understand that fixing the port's security is not as simple
as getting U.S. Customs to open an office at Puerto Cortes.
This is critical since the new U.S. law will impose a
complete shutoff of shipping to the U.S. from any port that
is not certified by July 1, 2004. End Comment.
Palmer