TURKISH AGR MINISTER ON AI AND WTO RICE CASE

UNCLAS SECTION 01 OF 02 ANKARA 002113

SIPDIS

USAID FOR TROSTLE, BLANCHET AND CARROLL
HHS FOR WSTEIGER/PBUDASHEWITZ
FAS FOR ITP/MACKE/THOMAS, CMP/DLP/WETZEL, FAS/JDEVER
FAS PASS FSIS AND APHIS
VIENNA PASS APHIS
BRUSSELS PASS APHIS/FERNANDEZ
GENEVA PASS HEALTH ATTACHE
ROME FOR US MISSION TO FAO

SIPDIS

E.O. 12958:N/A
TAGS: TBIO AMED EAID CASC SENV EAGR KPAO TU
SUBJECT: TURKISH AGR MINISTER ON AI AND WTO RICE CASE

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1. Summary. Turkish Minister of Agriculture and Rural
Affairs Mehmet Eker, in a meeting with Ambassador April 17,
reported that bird flu had been essentially eliminated in
Turkey and thanked the United States for its financial
support in dealing with AI. Eker also reported that with
the next few days, the Secretariat for Foreign Trade would
issue instructions on Turkey's new rice import regime. He
expressed interest in the dropping of the US WTO rice case
against Turkey. Ambassador responded that the issue for
Washington will be whether the issues that gave rise to the
US complaint to the WTO have in fact been addressed. End
Summary.

AI Regional Conference and Current AI Situation
-------------- --


2. Eker commented that the recent WHO/FAO sponsored
Regional Conference on Avian Influenza held April 12-13 in
Ankara was extremely useful, particularly the participation
of 6 countries neighboring Turkey including Armenia,
Azerbaijan, Georgia, Iran, Iraq and Syria. He emphasized
that Avian Influenza is a disease that does not respect
borders. The minister underscored that Turkey had been as
transparent as possible during its outbreak and had made an
effort to share information with its neighbors. He also
noted a willingness to help other countries in the region.


3. Eker provided an overview of the current AI situation in
Turkey. He reported that the poultry sector is recovering
and that there have been no new cases. The minister noted
that consumption levels had reached 90 percent of normal
levels, and poultry prices have buoyed to YTL 3.5/kilogram.
To underscore this point, he said suppliers declined to bid
for a recent Turkish military poultry tender because the
price offered was too low. (In separate conversations,
poultry sector officials have claimed that consumption has
only reached 60-70 percent of pre-AI crisis levels although
consumption has steadily risen. We also understand there
are still sporadic reports of new AI cases in the bird
population although none in any large commercial
operations.)


4. Ambassador commended Eker for his and the government's
work in responding to AI. He noted that a video conference
between the Ministry, the World Bank and USAID/Washington
would be organized in the near future to discuss AID's USD 1
million donation, as part of a large World Bank-coordinated

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package, to restock poultry in safe and hygiene ways that
will ensure against a reintroduction of the AI. Ambassador
expressed interest in Turkey's regional role. We
appreciated its leadership role in helping organize the
April 12-13 conference in Ankara. Recalling his own prior
work in Azerbaijan, Ambassador suggested that continued
efforts by Turkey with the Azeris could be especially
helpful given the difficulty the authorities there have had
in coming to grips with AI. Eker expressed interest in
this, but did not respond substantively.

WTO Rice Case
--------------


5. Eker said that Turkey had lifted its Tariff Rate Quota
for rice as of April 1 and that importers had been issued
licenses since that date. He stated that there was no
official announcement about the TRQ, but that importers had
been informed. However, real next steps by Turkey would
follow the receipt of a letter to MARA from the Foreign
Trade Undersecretariat (FTU),expected in the next few days
that would provide details on the new import regime that
would comply with Turkey's WTO obligations. The "domestic
purchase" requirement would be abolished as part of this
overall package that would be fully implemented by July 31.
Eker declined to answer questions about whether the TRQ and
domestic purchase requirement abolitions would be permanent,
but pointed to the new system that FTU would be
establishing. Eker stated that his ministry was only
responsible for health, quality and standards for food
imports and that FTU was responsible for WTO compliance and
the import regime. Eker asked about the possible suspension
of the US WTO case.


6. The Ambassador expressed the hope that both countries
could resolve the WTO rice case. He noted that USTR
Ambassador Portman had expressed appreciation to Minister
Tuzmen for Turkey's efforts, but had not replied to Tuzmen's
suggestion that the US WTO case should be dropped.
Ambassador emphasized to Eker that it is imperative for GOT
to provide information on Turkey's new import regime that
give Washington full assurance that the complaints that gave
rise to the US case against Turkey have been completely
addressed.

Wilson