Identifier
Created
Classification
Origin
05ASUNCION570
2005-04-26 21:15:00
SECRET
Embassy Asuncion
Cable title:  

PARAGUAY: EXPANDING RELATIONS WITH THE ARAB WORLD

Tags:  PREL PGOV PINR PA 
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This record is a partial extract of the original cable. The full text of the original cable is not available.
S E C R E T SECTION 01 OF 02 ASUNCION 000570 

SIPDIS

STATE FOR WHA/BSC
NSC FOR KIM BREIER
SOUTHCOM FOR POLAD DAN JOHNSON
MIAMI FOR SCINCSO//SCJ5

E.O. 12958: DECL: 04/25/2025
TAGS: PREL PGOV PINR PA
SUBJECT: PARAGUAY: EXPANDING RELATIONS WITH THE ARAB WORLD

REF: TD-314/22246-05 (13 APRIL 2005)

Classified By: Ambassador John F. Keane, for reasons 1.4 (b) and (d).

S E C R E T SECTION 01 OF 02 ASUNCION 000570

SIPDIS

STATE FOR WHA/BSC
NSC FOR KIM BREIER
SOUTHCOM FOR POLAD DAN JOHNSON
MIAMI FOR SCINCSO//SCJ5

E.O. 12958: DECL: 04/25/2025
TAGS: PREL PGOV PINR PA
SUBJECT: PARAGUAY: EXPANDING RELATIONS WITH THE ARAB WORLD

REF: TD-314/22246-05 (13 APRIL 2005)

Classified By: Ambassador John F. Keane, for reasons 1.4 (b) and (d).


1. (U) SUMMARY: Over the course of the past year, Paraguay
has sought to expand relations with the Arab world by seeking
diplomatic relations with Arab nations, including plans for
Embassies to open in Palestine and Lebanon. It has also
launched a series of trade and business initiatives with
several countries in the Middle East in an effort to expand
trade. As current president of Mercosur, Paraguay has been
engaged in preparatory negotiations of a declaration for the
upcoming South American-Arab Summit. END SUMMARY.

--------------
Increasing Diplomatic Relations
--------------


2. (C) In the past year, Paraguay has made a strong effort
to expand its diplomatic relations with Arab nations by
appointing diplomatic representatives, such as an Ambassador
to Lebanon, and seeking to open diplomatic missions abroad.
On 6 December 2004, the GOP swore into office the first
Paraguayan Ambassador to Lebanon, Alejandro Amed Franco, who
will lead the GOP,s efforts to extend its diplomatic and
commercial relations in the region. Ambassador Franco will
also be accredited to Syria and possibly Qatar and Oman. MFA
Multilateral Affairs director Julio Arriola assured PolOffs
in October 2004 that expanding Paraguay,s ties with Lebanon
was primarily for GOP and Mercosur interest in developing
trade with Arab nations rather than for any overarching
political purpose.


3. (C) In mid-March, Paraguay announced it had established
full diplomatic relations with the Palestinian Authority
after Foreign Minister Rachid signed the diplomatic agreement
during her trip to Morocco. FM Rachid and Nasser al-Kidwa,
foreign minister of the Palestinian Authority, signed the
agreement in Marrakech, Morocco where they were participating
in a preparatory session for the upcoming South American-Arab
Summit. Rachid commented to the press at the time that the
GOP sought to contribute to the Middle East peace process and
to establish a political dialogue and a sustained commercial

exchange between the two nations.

--------------
Expanding Trade with the Arab World
--------------


4. (U) FM Rachid and other members of the Foreign Ministry
have stressed to EmbOffs, in meetings over the past year, an
interest in increasing trade and business initiatives with
Arab nations (particularly as it pertains to the Mercosur
context, as the GOP is currently presiding over Mercosur as
its rotating President). In December, the GOP hosted a
congressional delegation from Morocco that sought to
strengthen cultural and commercial ties with Paraguay. The
Moroccan Ambassador to Paraguay stated to the press that his
country had great interest in expanding its trade with
Paraguay -- especially the importation of Paraguayan beef.


5. (C) The GOP also has had a series of meetings with other
Arab nations, mostly to discuss potential trade initiatives.
When questioned last fall on GOP-Syria meetings, MFA
Multilateral Affairs director Julio Arriola confirmed to
PolOff that meetings between FM Rachid and Syrian
representatives had taken place, but that the meetings were
devoid of any political discussions and had centered on the
GOP,s desire to develop trade relations. In February 2005,
Ceferino Valdez, the director of the MFA's Bilateral Affairs
Office, told PolOff that FM Rachid had canceled a planned
official visit to Syria and would instead only make a
personal visit to her father,s hometown in Syria. (Note:
Rachid ended up canceling the portion of her trip to Lebanon
and her father's Syrian hometown, due to political turmoil in
Lebanon. Instead she traveled straight to India and then to
Morocco for the Arab Summit Preparatory session. End Note.)

--------------
A Role in the South American-Arab Summit
--------------


6. (U) As the current president of Mercosur, Paraguay has
assumed a significant role in the preparations for the South
American-Arab Summit to be held in Brasilia May 10-11. As
noted earlier, FM Rachid traveled to Marrakech, Morocco March
25-26 to head up Paraguay,s delegation during the
preparatory meetings in which the discussions centered on the
creation of a free trade zone between Arab and South American
nations. Mercosur has already signed several individual
agreements with Egypt and Morocco. Also on the agenda for
the May meeting is the establishment of an agreement between
the Gulf Cooperation Council and Mercosur. At least 20 heads
of state have confirmed their presence at the May summit,
including all but two South American presidents, according to
press reports.


7. (S/NF) During the March preparatory sessions,
participating ministers approved a proposal for the final
summit declaration. According to sensitive reporting (ref
A),a version of the draft summit declaration dated 15
October 2004 contains 13 parts, including a section on
bi-regional cooperation on peace and security, enhancing
cultural cooperation, expanding international trade, and
establishing a mechanism for economic cooperation. The
section on peace and security includes a comment expressing
concern over USG unilateral sanctions imposed on Syria. In
addition, international press reported that economic
ministers of both regions agreed during the March session to
meet in Ecuador at a future date to foster the expansion of
trade between South American and Arab nations and to discuss
stimulating investment in strategic sectors like energy,
transport, and telecommunications.


8. (C) COMMENT: Paraguay's foreign ministry has come under
fire for not delivering economic benefits from its investment
in relations with other states. The GOP's overtures to the
Arab world represent an effort to expand trade, particularly
the export of Paraguayan beef.
KEANE