Identifier
Created
Classification
Origin
05TEGUCIGALPA1640
2005-08-05 21:01:00
UNCLASSIFIED
Embassy Tegucigalpa
Cable title:  

MEDIA REACTION ON CAFTA, AUGUST 4, 2005

Tags:  OIIP KPAO ETRD HO USTR 
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This record is a partial extract of the original cable. The full text of the original cable is not available.
UNCLAS TEGUCIGALPA 001640 

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, AUGUST 4, 2005


UNCLAS TEGUCIGALPA 001640

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, AUGUST 4, 2005



1. On 08/04, the Tegucigalpa-based moderate daily "El
Heraldo" published an editorial titled "CAFTA: A Turning
Point." "There's no doubt that when it enters into force
January of next year, the Central America-Dominican Republic
Free Trade Agreement with the United States will be a
turning point for trade relations between poor countries and
the biggest economy in the world. The agreement can be
compared to a gigantic door that opens to allow our
producers access to the large U.S. market, but it also
allows giants from that country to enter freely into ours."

"There are two large shadows that loom over the Free Trade
Agreement. First are the subsidies that the United States
gives to its agricultural producers, which when put together
with the technological gap, make it impossible for our
farmers to compete. Secondly, the clauses related to
intellectual property eliminate the possibility of producing
in our countries pharmaceuticals patented by the large U.S.
companies. It was through pharmaceutical production that
Brazil was able to reduce the price of medicines, mainly
those needed by AIDS victims."

"In general terms, the benefits that the Free Trade
Agreement will provide in countries like Honduras will
depend on the local capacity to create a favorable
environment, not only to attract large foreign and national
investments, but also to guide and effectively help the
micro, small, and medium businesses become competitive."

"CAFTA is a triumph for Bush, who will not arrive empty-
handed to the next Summit of the Americas -- a small
consolation after the failure of the Free Trade Agreement
for the Americas -- but it also represents a great
opportunity for poor countries like ours."


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