Identifier
Created
Classification
Origin
05ATHENS616
2005-03-03 14:17:00
UNCLASSIFIED
Embassy Athens
Cable title:  

CODEL GOODLATTE'S FEBRUARY 24-27, 2005 VISIT TO

Tags:  OREP EAGR ECON EINT PREL GR VISIT 
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UNCLAS SECTION 01 OF 03 ATHENS 000616 

SIPDIS

CODEL

H - PLEASE PASS TO CODEL GOODLATTE, ALSO FOR EUR/SE
ROME FOR FAS

E.O. 12958: N/A
TAGS: OREP EAGR ECON EINT PREL GR VISIT
SUBJECT: CODEL GOODLATTE'S FEBRUARY 24-27, 2005 VISIT TO
ATHENS

REF: A. ATHENS 00503


B. STATE 24215

C. ATHENS 00356

D. STATE 16329

UNCLAS SECTION 01 OF 03 ATHENS 000616

SIPDIS

CODEL

H - PLEASE PASS TO CODEL GOODLATTE, ALSO FOR EUR/SE
ROME FOR FAS

E.O. 12958: N/A
TAGS: OREP EAGR ECON EINT PREL GR VISIT
SUBJECT: CODEL GOODLATTE'S FEBRUARY 24-27, 2005 VISIT TO
ATHENS

REF: A. ATHENS 00503


B. STATE 24215

C. ATHENS 00356

D. STATE 16329


1. (U) SUMMARY: A congressional delegation led by
Representative Bob Goodlatte visited Athens on February 24th
to 27th, 2005 and held wide ranging meetings on agricultural,
telecommunication, and other issues. CODEL Goodlatte
discussed Internet opportunities in Greece with the Minister
of Transportation and Communication, Turkey's path to EU
membership with the Minister of Foreign Affairs, bioterrorism
and trade obstacles with the Minister of Agriculture, and the
state of Greece's economy with Minister of Economy and
Finance. CODEL Goodlatte also met with the President of the
Panhellenic Confederation of Agricultural Cooperatives to
discuss agricultural issues from the Greek farmers'
perspective, as well as visiting a dairy cooperative. END
SUMMARY.

--------------
MINISTRY OF TRANSPORTATION AND COMMUNICATION
--------------


2. (U) CODEL Goodlatte's conversation with Minister of
Transportation and Communication Liapis focused on the
Internet in Greece. Currently, Greece has the lowest rate of
Internet usage in the EU15 at 18 percent of the population.
Broadband access is even worse, with less than .005 percent
of the population subscribing to ADSL or IDSN service.
Minister Liapis gave a short presentation on the subject and
provided information on the new electronic communications
bill his ministry hopes to present to Parliament in the next
few weeks. The bill will address regulatory concerns,
simplify licensing procedures for service providers, and
clarify rights of way for network infrastructure.


3. (U) Members of CODEL Goodlatte stressed the potential
benefits in increased efficiency and promotion of high tech
industries that come with increased Internet usage, as well
as the interest of U.S. companies to provide sales and
services to such an expansion. Liapis noted that Greece
faces geographic difficulties with bringing Internet access
to its islands, but that he hopes to increase Greek societal

awareness of the Internet, especially through the educational
system. He noted that the GoG will be spending slightly over
400 million euro in EU-provided funds to increase broadband
and wireless Internet access in Greece, including fiber-optic
networks for 60 major Greek cities, 477 new wireless
hotspots, and satellite Internet access for remote and
underserved areas. Liapis welcomed any U.S. bids on any of
the projects being planned.

--------------
MINISTRY OF FOREIGN AFFAIRS
--------------


4. (U) CODEL Goodlatte thanked Foreign Minister Molyviatis
for Greece's cooperation on terrorism, taking note of
Greece's success in hosting a safe and secure 2004 Olympic
Games. The CODEL cautioned, however, that the release of
convicted domestic terrorists did not send the right message.
CODEL Goodlatte also expressed appreciation for Greek
contributions to the NATO mission in Afghanistan and its
recent decision to fund training for Iraqi security
personnel.


5. (U) In a lengthy exchange, CODEL Goodlatte questioned
Molyviatis about Turkey's EU path. Molyviatis told the
visiting CODEL that while Greece's decision to support
Turkey's EU accession had been a bipartisan effort, it was
not necessarily popular with the Greek public. To assure
continuing Greek support for Turkish accession, Molyviatis
said that Turkey would need to avoid actions that were
unpopular in Greece (unstated but implied Turkish
"provocations" in the Aegean). Molyviatis pointed out that,
to date, Greece was not one of the EU members, such as
France, that required a referendum to approve Turkish
accession to the EU. However, should Turkey continue to
"make problems" for Greece, Molyviatis did not rule out that
"in ten years" the Greek Government would be forced to cede
to the Greek people the decision on whether Turkey joins the
EU. Returning to the theme of improving Ankara's
performance, Molyviatis stressed that starting EU
negotiations was not the same as joining the EU; in the
process of joining the EU, Greece hoped to see some progress
in Turkish attitudes. At the same time, Molyviatis warned
CODEL Goodlatte not to dismiss European "angst" over the
Turkish question. Turkey was big, complicated and conflicted
in its identity. It bordered Iran and Iraq, and many
citizens in the EU were not sure they wanted to be neighbors
yet with these countries. That said, Molyviatis summarized
his discourse: Greece supports Turkish accession because it
is in Greece's best interest.


6. (U) Molyviatis also made a point of stressing the
vitality of the U.S.-Greece relationship and the U.S.-Europe
relationship. He told CODEL Goodlatte that the stability of
the world depended on a strong U.S.-Europe relationship and
that disagreement did not destroy a relationship like that
between the U.S. and EU. Molyviatis praised the President's
visit to Europe and what he saw as "new attitudes" in the
United States. In particular, he told the CODEL that U.S.
engagement on the Middle East Peace Process gave him great
hope a solution could be found. It was only the U.S. that
could lead on this issue. But in his view, the EU was ready
to follow.


7. (U) Immediately following the Molyviatis meeting, Deputy
Foreign Minister Valinakis hosted a reception in honor of
CODEL Goodlatte. Reception guests included Greek Members of
Parliament, noted members of the Athens business community,
and Embassy officials. This reception enabled CODEL
Goodlatte to discuss agricultural and high tech issues
directly with Greek lawmakers.

--------------
MINISTRY OF AGRICULTURE
--------------


8. (U) In their meeting with Minister of Agriculture
Basiakos, CODEL Goodlatte discussed three agricultural issues
-- geographical indicators, biotechnology, and the Doha
Round. Although the U.S. and Greece take different stances
on these issues, the CODEL and Basiakos recognized that they
share a common concern on bioterrorism and should continue to
cooperate in protecting food and water supplies.


9. (U) On geographical indicators, CODEL members maintained
that it is better to address the issue under a legal
framework. They observed, for example, that there is no
place in Greece called "feta," implying that feta should not
become a legally protected geographical indicator. Basiakos
responded that currently there is no discussion of modifying
the EU system on geographical indicators, and, in any case,
Greek has low weight in such decision-making.


10. (U) CODEL members also urged Greece -- through the EU --
to move more quickly in the acceptance of biotech
agricultural products. Accelerated acceptance is
particularly important for Greece, because of increased
competitive pressure in the EU following the expansion to 25
members. Basiakos noted that any change in the current
regime would bring opposition by NGO's. Plus, the Greek
prefectures are concerned about health and environmental
consequences biotech usage. Finally, CODEL members stressed
the importance of improving market access in the Doha
agricultural trade negotiations, noting that the EU imposes
tariffs on food and agricultural products averaging 30
percent while the U.S. imposes tariffs averaging 12 percent,
and that the EU continues to maintain non-tariff barriers on
imports of U.S. beef and poultry.

--------------
MINISTRY OF ECONOMY AND FINANCE
--------------


11. (U) Minister of Economy and Finance George Alogoskoufis
and Secretary General of the Ministry George Mergos discussed
Greece's efforts to achieve debt reduction and increase its
competitiveness. The fiscal inventory conducted last year
by the New Democracy government (with the help of Eurostat)
revealed major inaccuracies in how the previous PASOK
government recorded expenditures, particularly defense
procurements. The GoG is taking steps to bring down the
deficit without putting economic growth at risk. Measures
include limited tax cuts for corporations, a cap on hiring of
public sector employees, and a reduction of defense
expenditures. Alogoskoufis mentioned that he had just
approved a plan for restructuring the parastatal
telecommunications monopoly (OTE),which would gradually
reduce the state's shares in the company (about 30 percent at
present). Furthermore, a telecommunications commission was
recently established to oversee competition in the
telecommunications sector.


12. (U) Alogoskoufis pointed out the need for Greece to be
"outward looking" and take the lead in developing economic
relations with its closest neighbors: Turkey and other Balkan
countries. "If the region thrives economically, so will
Greece," he declared. Responding to inquiries about IPR in
Greece, Alogoskoufis acknowledged that Greece has had
problems in controlling software and motion picture piracy.
He recognized the importance of having strong IPR laws and
enforcement in order to attract foreign investment. This
would be all the more important as Greece seeks to invest
more in capital intensive sectors as well as tourism and
financial services.

-------------- --------------
PANHELLENIC CONFEDERATION OF AGRICULTURAL COOPERATIVES
-------------- --------------


13. (U) CODEL Goodlatte met with Mr. Tzanetos Karamihas,
President of the Panhellenic Confederation of Agricultural
Cooperatives (PASEGES),and discussed agricultural issues
from the Greek farmers' perspective. PASEGES is an umbrella
organization representing 120 unions, 3500 coops, and 600,000
families. Karamihas identified three main issues confronting
Greek agriculture: the rising age of the farming population;
the changes in the EU's CAP system; and the small farm sizes.
CODEL members contended that biotechnology can help
alleviate these problems by enhancing the quality and
productivity of a given crop. According to Karamihas,
however, consumers seek quality products made in traditional
ways. Therefore, Greek farmers aim to improve quality rather
than quantity, implying that biotech only boosts productivity
but does not benefit consumers. Karamihas added that feta
should be a geographical indicator because it is a
traditional Greek product with distinctly local parameters.
CODEL members replied that, if granted the status of a
geographical indicator, feta may follow the example of
Roquefort cheese, almost entirely supplanted by blue cheese
in the U.S. market. He warned that feta may suffer a similar
fate and Greek farmers may lose the advantage of the "feta"
name.



14. (U) CODEL Goodlatte did not have the opportunity to
clear this cable before departure.
RIES