Identifier
Created
Classification
Origin
06ANKARA1744
2006-03-31 15:28:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Ankara
Cable title:  

TURKEY: WTO PANEL CONTINUES AND MEDIA ANNOUNCES

Tags:  ETRD EAGR WTO TU 
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OO RUEHAG RUEHAP RUEHDE RUEHDF RUEHGI RUEHHM RUEHLZ RUEHMR RUEHPA
RUEHPB
DE RUEHAK #1744 0901528
ZNR UUUUU ZZH
O 311528Z MAR 06
FM AMEMBASSY ANKARA
TO RUEHC/SECSTATE WASHDC IMMEDIATE 4462
INFO RUEHRC/DEPT OF AGRICULTURE WASHDC IMMEDIATE
RUEHGV/USMISSION GENEVA IMMEDIATE 1459
RUCNWTO/WORLD TRADE ORGANIZATION COLLECTIVE
RUEHIT/AMCONSUL ISTANBUL 0210
UNCLAS ANKARA 001744 

SIPDIS

SENSITIVE
SIPDIS

DEPARTMENT PLEASE PASS USTR FOR JWEISS, LERRION
USDA FOR FAS JFLEMINGS, BLEIER, JDEVER

E.O. 12958: N/A
TAGS: ETRD EAGR WTO TU
SUBJECT: TURKEY: WTO PANEL CONTINUES AND MEDIA ANNOUNCES
RENEWAL OF CONTROL CERTIFICATE ISSUANCE

REF: ANKARA 1496

UNCLAS ANKARA 001744

SIPDIS

SENSITIVE
SIPDIS

DEPARTMENT PLEASE PASS USTR FOR JWEISS, LERRION
USDA FOR FAS JFLEMINGS, BLEIER, JDEVER

E.O. 12958: N/A
TAGS: ETRD EAGR WTO TU
SUBJECT: TURKEY: WTO PANEL CONTINUES AND MEDIA ANNOUNCES
RENEWAL OF CONTROL CERTIFICATE ISSUANCE

REF: ANKARA 1496


1. (SBU) Summary: A March 31 article in "Referans" (Turkey's
business paper of record) reports that the Ministry of
Agriculture will begin issuing control certificates for rice
imports on April 1. Upon hearing about the decision, Turkish
domestic producers sharply criticized the GOT for this
decision. In response to U.S. questions about how this
decision would be disseminated to the public, it appears that
the Ag Ministry chose to do so in the press. End summary.


2. (SBU) In line with a March 27 letter presented by Minister
of Foreign Trade, Kursad Tuzmen, to USTR Ambassador Rob
Portman (reftel),Turkey's business paper of record,
"Referans," reported March 31 that the Ministry of
Agriculture will begin issuing control certificates for
imported rice on April 1. According to the report, Turkey's
domestic rice production (approximately 380,000 tons) cannot
satisfy its yearly domestic rice consumption of approximately
580,000 tons and because of this, the GOT had initially hoped
to increase domestic rice production by 10% and stop imports.
However, due to the recent floods in Edirne (the country's
main rice producing region),the GOT's plans to stop rice
imports by increasing domestic production failed.


3. (SBU) Referans notes that this policy prompted the U.S. to
initiate a case before the WTO's Dispute Settlement Body
(DSB). It contends that Turkish officials decided to lift
barriers to rice imports earlier than expected because
domestic production was not sufficient and could result in
price speculation.


4. (SBU) According to Referans, the GOT has not officially
informed domestic producers about this decision. It states
that upon hearing about the decision, domestic producers
sharply criticized the GOT, and estimated that the GOT will
suffer a loss this year when the Turkish Grain Board is
required to purchase the domestically produced rice.
Domestic producers also estimate that, because of the recent
floods in Edirne, domestic production will decline by 60,000
tons, which represents a loss of approximately YTL 40,000,000
(USD 11,428,571). Turkish Agricultural Chambers Union
President, Semsi Bayraktar, is quoted as saying that the GOT
will face heavy criticism from its local rice producers over
its recent letter to USTR agreeing to lift the tariff quotas
on rice.


5. (SBU) Comment: Because the GOT's decision to end the
issuance of control certificates was not official, it was
never published in the official gazette. Therefore, the
decision to begin issuing the control certificates again
cannot be published in the official gazette. In response to
this we questioned how this decision would be disseminated to
the public. In response to these concerns, it seems that the
Ministry of Agriculture chose to do so through the press.
End comment.

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