Identifier
Created
Classification
Origin
05SANSALVADOR2958
2005-11-01 16:43:00
UNCLASSIFIED
Embassy San Salvador
Cable title:  

SECRETARY GUTIERREZ' MEETING WITH MINISTER OF

Tags:  ETRD EAGR OVIP PREL ES 
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UNCLAS SAN SALVADOR 002958 

SIPDIS

E.O. 12958: N/A
TAGS: ETRD EAGR OVIP PREL ES
SUBJECT: SECRETARY GUTIERREZ' MEETING WITH MINISTER OF
ECONOMY YOLANDA DE GAVIDIA

REF: A. SAN SALVADOR 2875


B. SAN SALVADOR 2873

UNCLAS SAN SALVADOR 002958

SIPDIS

E.O. 12958: N/A
TAGS: ETRD EAGR OVIP PREL ES
SUBJECT: SECRETARY GUTIERREZ' MEETING WITH MINISTER OF
ECONOMY YOLANDA DE GAVIDIA

REF: A. SAN SALVADOR 2875


B. SAN SALVADOR 2873


1. (SBU) Visiting Secretary of Commerce Carlos Gutierrez met
with his Salvadoran counterpart, Minister of Economy Yolanda
Mayora de Gavidia, for a brief bilateral meeting on October

21. The bulk of the meeting was taken up with the Minister's
presentation on GOES implementation of CAFTA-DR and its
economic strategy. Among the highlights:

-- the GOES plans to finalize changes to laws and regulations
to facilitate CAFTA implementation during October and submit
them to the Legislative Assembly for approval in November;

-- on the unresolved CAFTA-related issue of "retroactivity,"
de Gavidia stressed that El Salvador's proposal provides
equivalent treatment as required by CAFTA-DR. The Honduran
proposal on retroactivity would be unconstitutional in El
Salvador and could not be adopted here;

-- on renegotiating certain rules of origin, the GOES wants
to wait until after the January 1 target implementation date
and will seek an agreement in writing, beginning with
"pocketing" and moving on to other products.


2. (SBU) Concluding her presentation, de Gavidia proposed a
cooperation agreement between the Ministry of Economy and the
Department of Commerce. This agreement would involve the
Foreign Commercial Service, Economic and Statistics
Administration, the Economic Development Administration, and
the Patent and Trademark Office in activities to provide
technical assistance in marketing, updating statistical
methods and helping to strengthen the legal system. The
Minister also reiterated longstanding GOES requests for the
placement of an APHIS official in El Salvador, assuring the
Secretary that Salvadoran industry was prepared to pay for

SIPDIS
the inspectors, and support for an expanded U.S. Customs
presence in El Salvador (i.e., a Container Security
Initiative). The Secretary answered that Commerce could
consider a strategic alliance to explore cooperation and best
practices once past the immediate task of CAFTA
implementation. In closing, the Secretary and the Minister
agreed to focus their message to the press on the importance
of CAFTA as the next step on in ongoing U.S.-Salvadoran
relationship.


3. (U) The content of paras one and two was cleared by the
delegation following its return to Washington.


4. (U) Comment: The issues highlighted in para one have been
addressed in subsequent, and ongoing, discussions between the
GOES and USG on CAFTA implementation.
Barclay