KAZAKHSTAN 2006 SPECIAL 301 NOTIFICATION

UNCLAS ALMATY 001729

SIPDIS

SENSITIVE

SIPDIS

DEPARTMENT FOR SCA/CEN (J. MUDGE)

E.O. 12958: N/A
TAGS: ECON ETRD PREL KZ
SUBJECT: KAZAKHSTAN 2006 SPECIAL 301 NOTIFICATION

REF: STATE 66981


1. (U) Summary: IPR Committee officials expressed deep
gratitude for Kazakhstan's removal from the Special 301
Watchlist, were receptive to U.S. recommendations, and
requested U.S. expertise in implementing further reforms.
End summary.


2. (U) POEC Chief notified Nurgaysha Sakhipova, Deputy
Chairman of the Ministry of Justice's IPR Committee, on
April 28 that Kazakhstan would not be listed in the 2006
Special 301 Report due to its substantial progress in IPR
protection and enforcement in 2005. Sakhiphova expressed
deep appreciation for the USG's recognition of Kazakhstan's
hard work on this issue, noting that Kazakhstan's
legislation is already "the strongest in the CIS" and
expressing determination to further improve protection and
enforcement.


3. (U) In a follow-up meeting on May 2, Astana Econoff
presented to Sakhipova and IPR Committee staff reftel U.S.
recommendations for further improvements in Kazakhstan's
intellectual property regime. The group reacted favorably
to the suggestions.


4. (SBU) On granting customs officials ex officio powers,
Sakhipova replied that work is continuing. The solution,
she said, cannot be "instant" and requires amending the
Administrative Code. U.S. expertise, the Committee
officials noted, would be valuable in writing and
implementing the necessary legislation.


5. (SBU) Amending the Criminal Code to permit confiscation
and destruction of manufacturing equipment used to produce
pirated material is not necessary, Sakhipova said. The
Criminal Procedural Code already contains a general
provision for confiscation of equipment used in the
commission of a crime. Criminal violations of intellectual
property rights, she added, currently result in such
confiscations.


6. (SBU) In regard to the full implementation of the WIPO
digital treaties (WCT and WPPT),the Committee officials
asked for U.S. assistance in identifying and closing
remaining compliance gaps.


7. (SBU) The recommendation on adoption of a regulatory
scheme for the production and distribution of optical disc
material and equipment seemed to perplex the Committee
officials. The general Copyright Law, they said, already
protects all works subject to copyright protection
irrespective of the media on which they are recorded. The
officials asked for further elaboration on the need for -
and means of - enacting such a regulatory scheme. Sakhipova
added that pirated discs are overwhelmingly brought into
Kazakhstan from Russia and China, not produced domestically.

ORDWAY