Identifier
Created
Classification
Origin
04CARACAS3936
2004-12-27 14:17:00
CONFIDENTIAL
Embassy Caracas
Cable title:  

AMBASSADOR VISITS VALENCIA, CAPITAL OF CARABOBO

Tags:  PGOV PREL ECON VE 
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This record is a partial extract of the original cable. The full text of the original cable is not available.
C O N F I D E N T I A L CARACAS 003936 

SIPDIS


STATE PASS USAID FOR DCHA/OTI, NSC FOR BARTON, USSOUTHCOM
FOR POLAD

E.O. 12958: DECL: 12/23/2014
TAGS: PGOV PREL ECON VE
SUBJECT: AMBASSADOR VISITS VALENCIA, CAPITAL OF CARABOBO
STATE

Classified By: WILLIAM R. BROWNFIELD, AMBASSADOR, FOR REASON 1.4 (d).

------
Summary
-------

C O N F I D E N T I A L CARACAS 003936

SIPDIS


STATE PASS USAID FOR DCHA/OTI, NSC FOR BARTON, USSOUTHCOM
FOR POLAD

E.O. 12958: DECL: 12/23/2014
TAGS: PGOV PREL ECON VE
SUBJECT: AMBASSADOR VISITS VALENCIA, CAPITAL OF CARABOBO
STATE

Classified By: WILLIAM R. BROWNFIELD, AMBASSADOR, FOR REASON 1.4 (d).

--------------
Summary
--------------


1. (C) Ambassador's visit to the central city of Valencia on
December 9 - 10, 2004 included meetings with the Governor and
Mayor, although for the third consecutive trip, the military
declined to meet. Newspaper coverage was excellent, and
there was an abundance of media reporters and questions at
most events. Press focused on the bilateral relationship and
reaction to the upcoming Media Content Law. Valencia is an
industrial center, attracting Venezuelans from all regions
for job security, relatively inexpensive housing,and a clean,
well-run community. Carabobo state has two airports, and the
largest port in Venezuela, through which enters approximately
65% of Venezuela's merchandise. The port of Puerto Cabello
was highlighted as a strong point of the region's continued
economic success. Among all parties, most especially in the
political and economic sectors, and in the business
community, there is a "Wait and See" attitude with the new
Chavista governor. End Summary.

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Political Climate
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2. (C) Governor Luis Felipe Acosta Carles formally received
the Ambassador in the governor's office. A former National
Guard commander of the region, Governor Acosta Carles was
recently elected governor in October 2004, ending the 12 year
hold on the governor's seat of the Salas family. Acosta
Carles stressed the need to reach out more to the public, and
to all elected officials in Carabobo state, in an effort to
bring to a close the political strife and animosity that has
reigned in Venezuela in recent years. He expressed a desire
to increase economic collaboration with the United States,
especially working with the three major auto industries
operating in Valencia (GM, Ford, Daimler-Chrysler),and
working to further develop the two major airports in the
region, that at Puerto Cabello, and the Valencia
International Airport. He was positive on recent dialogue
with Coca-Cola, whose local plant he had seized as National

Guard commander during the national strike in 2003.


3. (C) Mayor Francisco Cabrera Santos, a popular figure
re-elected in October for his third term, is regarded as
having devoted his time and office to the revitalization of
Valencia. He described himself as a political independent,
believing in social investment in the people of his
district-- by providing jobs, health programs and training.
Mayor Cabrera hopes to work with Governor Acosta Carles on
various projects, specifically a low-cost housing project for
the poorest citizens, slated to begin construction in January

2005. 2005 marks the anniversary of Valencia and the mayor
requested the assistance of the US Embassy in scheduling
cultural events.


4. (C) An informal meeting with former governor Henrique
Salas Feo provided an opportunity for the opposition
perspective. Salas Feo, defeated in the October 31 elections
by Acosta Carles, expressed his concern over the election
procedures and probable fraud, and the difficulty in
obtaining information or help from the National Electoral
Council. As regards the new governor, he expressed a "Wait
and See" attitude. Since the election, his Proyecto
Venezuela party is struggling to maintain momentum and
support.


5. (C) The Boston Group, comprised of pro-government and
opposition legislators, has formed a permanent group in
Valencia as a platform for discussion, conflict resolution
and building a common agenda. Twelve members attended a
meeting with the Ambassador and openly discussed their
concerns and issues. Each one expressed satisfaction with
the group and progress, and viewed it as a very positive
experience. They hoped that the Valencia group will be a
model throughout Venezuela, reducing dissension between
pro-government and opposition and building a better bilateral
relationship with the United States.

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Economic Interests
--------------



6. (U) The Valencia regional chapter of the Venezuelan-
American Chamber of Commerce hosted a luncheon for the
Ambassador with approximately 40 participants representing a
variety of the industries present in the region, including
the auto industry, banking, agriculture, and construction.
The Q & A session immediately following the luncheon
concentrated on economic growth in the region, and how to
collaborate bi-nationally for the continued economic vitality
of the region.


7. (C) In a separate meeting, the Venezuelan
Presidents/General Managers of Ford, Daimler/Chrysler and
General Motors offered their general impression of the new
governor and his effect on their industry. Production is
expected to rise for all three companies; however GM is
currently negotiating with its union, and tensions are up.
Chrysler and Ford also expressed concerns with their unions
and the relationship with their employee force. Chrysler
wants to invest more in local social programs, especially
environmental education in local area schools.


8. (C) The Ambassador visited Protinal/Proagro, a pioneer in
the agriculture and aviculture business in Venezuela,
producing poultry, animal feed and deli products. The
company employs 3,000, and is majority owned (51%) by Ag
Processing Inc. (AGP),the largest farmer-owned cooperative
and soybean producer in the US. Protinal distributes its
animal feed products to the meat producing states to the
south, and its grain and deli products throughout Venezuela.
Economically, the company has improved its production,
growth, and profits in the last six years, and has an
innovative housing program for its employees, co-sponsored by
a Venezuelan bank.

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Media/Education
--------------


9. (U) El Carabobeno newspaper, the leading conservative
daily paper in the central region of Venezuela, met with the
Ambassador, conducted an interview, and provided substantial
coverage in the next day's edition on his visit. Radio Lago
conducted an on-air 30 minute interview, filmed by a local TV
station for future presentation. Preceeding the interview
Notitarde, the second largest newspaper in the region,
attended a breakfast for the Ambassador, which was hosted by
Radio Lago.

10,(U) The Ambassador met with the Rector of the University
of Carabobo, a public university located on four campuses
with a combined student population of over 40,000. Also in
attendance were the major deans and a former International
Visitor Program (PAS) grantee, who expressed in glowing terms
the impact of her experience in the IV program. Issues of
discussion included stronger collaboration between the
university and the US, expecially in the area of exchange
programs with American universities, scholarships and
opportunities for research (to include American Studies),
visiting scholars, and PAS assistance with cultural and arts
programs on the campuses. The rector said the American
private sector represented in Valencia could also be
instrumental in providing financial suppport in the programs
and activities of the university.

--------------
Social Support
--------------


11. (C) The Ambassador also visited a recent recipient of a
USAID grant, the Organization "Refugios Pana," a small house
for at risk street children, located in the center of
Valencia. Founded in 1998, the building houses street
children, who live in a family-like setting, attend local
schools, and learn social skills and receive counseling from
professional social workers. A USAID funded industrial
kitchen, inaugurated with the Ambassador's visit, will
provide food for the house, and an opportunity for the
students to manage a restaurant/lunch delivery business.



12. (C) Press coverage was excellent, offering the Ambassador
the opportunity to deliver our message on the importance of
the bilateral, people-to-people US/Venezuela relationship.
The visit clearly caught the Chavista governor's attention;


he dispatched his wife uninvited to join the event midway
through the visit.

Brownfield


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2004CARACA03936 - CONFIDENTIAL