MEDIA REACTION ON CAFTA, DECEMBER 21, 2004

UNCLAS TEGUCIGALPA 002822 SIPDIS DEPT. FOR WHA/PD; IIP/G/WHA DIPASQUALE; AND IIP/T/ES DEPT. FOR EB/TPP DCLUNE, WHA/EPSC AND WHA/CEN DEPT. PASS USTR E.O. 12958: N/A TAGS: OIIP KPAO ETRD HO USTR SUBJECT: MEDIA REACTION ON CAFTA, DECEMBER 21, 2004 ¶1. Editorial in Tegucigalpa-based liberal daily "La Tribuna" on 12/21, titled "They should hurry." "CAFTA is now in the process of being ratified by the Congresses of each country. Just last week and after long discussions, El Salvador was the first one to ratify it despite the opposition of leftist parties and popular organizations." "For sure, the same will happen here in Honduras. The Executive Board of Congress has said the treaty will be considered for approval right after Christmas and before the end of the year, although people in the other countries may be better informed on the actual content of the treaty. Anyway, it's likely that CAFTA will be ratified in the same manner Congress does with the annual budget and other controversial bills that are approved thoughtlessly, and if possible, very late at night to avoid popular demonstrations." "This won't be the first thing Congress approves without people really knowing what it's about. There are sectors which depend on the projected benefits of CAFTA and there will be others that will surely be affected, possibly the most sensitive ones such as agriculture, which won't be able to transform themselves to reach a competitive level to survive. We hope CAFTA's benefits exceed its limitations." ¶2. Editorial in San Pedro Sula-based liberal daily "Tiempo" on 12/21, entitled "Sharks and Sardines." "Congress is now ready to discuss and approve CAFTA, in the midst of strong opposition throughout Central America. According to the latest developments from Congress, its approval is almost certain in view of the commitments acquired after a long and demanding negotiation, which evidenced the considerable asymmetries between the U.S. and Central America, as well as the differences between the regional economies." "However, despite all the criticism, the general idea is that if CAFTA isn't ratified by Honduras, the country would be greatly isolated from our Central American counterparts and especially from the U.S., our main commercial partner." "CAFTA also brings a great challenge for Honduran businessmen, because it will promote an open competition where the most apt, hard working and better trained will subsist or, to put it in other terms, the bigger fish will eat the smaller." Palmer