PRO-CAFTA-DR MARCH DRAWS THOUSANDS IN COSTA RICA

UNCLAS SAN JOSE 001822

SIPDIS

SENSITIVE

WHA/CEN
EB FOR WCRAFT, BLAMPRON
E FOR DEDWARDS
WHA/EPSC FOR KURS, LGUMBINER
STATE PASS TO USTR FOR RVARGO, CPADILLA, AMALITO

E.O. 12958: N/A
TAGS: ETRD ECPS ECON PREL PGOV SOCI CS
SUBJECT: PRO-CAFTA-DR MARCH DRAWS THOUSANDS IN COSTA RICA



1. (U) On August 9, 2005, workers from more than 60
companies marched to the President's offices to show their
support for the United States-Central American-Dominican
Republic Free Trade Agreement (CAFTA-DR). While estimates
of the number of participants ranged from 4,000 to 8,000,
most media outlets reported that approximately 5,000
workers took part in the peaceful march. The workers urged
the President to send the agreement to the Legislative
Assembly and for the Assembly to approve CAFTA-DR and the
necessary legislation to implement it.


2. (U) The workers expressed concern that the lack of
action by the GOCR on this issue will risk jobs and result
in more unemployment. "We are worried that CAFTA-DR has
not been approved. There are 45,000 unemployed people.
Foreign investment may leave the country. We cannot remain
isolated," said Ignacio Trejos, worker at Conservas de
Valle. The workers also asked the Commission of Eminent
Persons, which is analyzing the agreement, to work to
ensure the future of their children.


3. (U) President Pacheco, Minister of Foreign Trade
(COMEX) Manuel Gonzalez, and Minister of the Economy
Gilberto Barrantes met with approximately twenty
representatives of the workers to discuss their concerns.
Pacheco did not promise to send the agreement to the
Assembly but stated that a "response will be given at the
appropriate time, and you must respect the process." He
deflected attention by saying that the approval of the
agreement will be in the hands of the Assembly members.


4. (U) After the meeting, Ministers Gonzalez and Barrantes
said that Pacheco has never said he will not send CAFTA-DR
to the Assembly. "The workers expressed their support of
the President. Some requested that he send the agreement
to the Assembly. We take note of their request and the
call of the workers of the country," said Gonzalez. He
further stated "We are sensitive to your worries and we
know many jobs depend on CAFTA-DR. However, now is not the
moment to send the project for discussion."


5. (SBU) COMMENT. This event was significant because it
was the first organized pro-CAFTA-DR event. The responses
from the President and the COMEX Minister speak for
themselves. Despite the turnout of thousands of workers who
are worried about their jobs, their actions had little
immediate impact on the attitude of the Administration. END
COMMENT.
KAPLAN