TURKS LOOKING FOR A WAY TO GET TO "YES" ON FINNS'

C O N F I D E N T I A L SECTION 01 OF 02 ANKARA 005976

SIPDIS

SIPDIS

E.O. 12958: DECL: 10/15/2021
TAGS: PREL PGOV TU CY EU
SUBJECT: TURKS LOOKING FOR A WAY TO GET TO "YES" ON FINNS'
CYPRUS PROPOSAL

REF: A. NICOSIA 1768

B. ANKARA 5436

Classified By: Ambassador Ross Wilson, for reasons 1.4 (b),(d).


1. (C) Summary. The GOT understands that it must put its
best foot forward with respect to the Finnish package
proposal on Cyprus, MFA D/US Apakan told Ambassador and
EUR/SE director Silliman October 12. The Turks are asking
for more precision on questions such as what constitutes
direct trade and how Famagusta port would be administered.
Varosha remains difficult, but Apakan did not say it was out
of the question. Ambassador and Silliman strongly urged
Turkey to work with the Finns and negotiate seriously in
order to avoid a serious rupture with the EU later this year.
End summary.


2. (C) Apakan observed that the Finnish process remains
informal and oral. He clearly preferred to keep it in
informal channels, which box no one in and keep the process
moving. He said that in a bilateral Monday with the Finns,
on the margins of an EU-Troika meeting in Luxembourg, Turkey
would elaborate on requests for clarification already
conveyed to EU Enlargement Commissioner Rehn and his staff.
He identified several items on which Turkey needs a better
understanding.

--Direct Trade: What constitutes direct trade with the
Turkish Cypriots and how will it be achieved? For the Turks,
to be direct, the trade connection must be genuine and
unimpeded. The Turkey-EU Customs Union Agreement deals only
with goods, but what would be the status of trade in
services, the investment right of establishment and the
movement of persons -- all of which were considered for the
Turkey-EU deal in 1995.

--Ports: What specifically is the plan for the EU's role on
Famagusta? The Turkish understanding is that Famagusta port
should be under Turkish Cypriot administration in cooperation
with the EU, but that EU officials would only control
EU-destined exports.

--Direct Flights: Recognizing that Ercan airport is a
hot-button issue for the Greek Cypriots, Apakan said Turkey
would nonetheless like to explore some kind of Ercan opening
because of the economic boost charter flights would provide
the TCs. The Turks have commissioned a UK legal report and
believe there are no insuperable legal barriers; political
barriers may prove more intractable.

--Varosha: Just as Ercan is difficult for the GCs, so is
Varosha delicate for the Turks and TCs. For them, Varosha
is, at heart, a comprehensive settlement issue. Talat's view
is that Varosha can be opened for rehabilitation if all
measures that isolate the TCs are lifted. If Varosha were
handed over to UNFICYP, what would its status be?


3. (C) Speaking more generally, Apakan said the Cyprus
settlement paradigm is changing -- the key is to look for a
positive list of what can be accomplished, not play the old
blame game. It would be particularly useful if Cypriot FM
Lillikas and President Papadopolous would talk directly to
Talat, not just through Turkish FM Gul. "Talat," Apakan
stated, "is a very rare opportunity" who believes in
settlement and in unification. If the two leaders could
discuss elements of a substantive settlement, it would
complement and reinforce other actions but was not, Apakan
hastened to add, a pre-condition for other actions. He
explained that the Finns had talked little with Talat and
said the Turkish Cypriot leader must be part of any deal.


4. (C) Apakan had spoken with UN U/SYG Gambari while at UNGA.
Viewing the Annan Plan as the culmination of many years of
negotiations, the MFA has produced a survey of what has been
agreed by the UN over the past two decades. Apakan referred
to Gambari's intent to send letters to the two Cypriot
leaders to jump-start the process on the island, but noted
that their delivery has been delayed. With respect to the
EU, Turkey's ship is sailing and the GOT will not let Cyprus
be an obstacle or be used by others. Apakan asked for
continued USG support, including as expressed by President
Bush during his recent meeting with PM Erdogan, and thanked
us for our work with European capitals.


5. (C) Ambassador responded that the President's views on
Turkey and the EU were sincere. We want to ensure that
Cyprus does not unduly affect Turkey's work with the EU,
especially at the outset. The Finns are working hard to
develop a package acceptable on both sides of the island that
will ensure Cyprus isn't an undue barrier now with the EU and
that will create room for the UN to re-engage. It is the

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only game in town and time is short. All the elements exist
to create a political mess. The way to avoid the train wreck
scenario is to work urgently with the Finnish proposal to
defer the Cyprus problem for a couple of years. If there is
no success and Turkey's attitude has been forward-leaning,
the onus would be on the Greek Cypriots. Ambassador agreed
that the Turkish Cypriots must be on board, but cautioned
that the Finns' intent is to address a potential roadblock in
Turkey's negotiations, not solve all the Turkish Cypriots'
problems.


6. (C) EUR/SE Silliman added that in recent meetings in
Brussels he had learned tha the Finns had done considerable
work preparing the ground with their European colleagues.
They had implicitly linked the EU's Customs Union requirement
(that Turkey open its ports and airports to the GCs) with
Turkey's view on the need to lift the isolation of the TCs, a
linkage very much in Turkey's favor. The Finns, having laid
out a broad set of ideas, now count on the parties to come
back to them with constructive ideas. The Turks can
strengthen their hand through forward-leaning proposals.
Apakan affirmed that he had received the same message and had
informed FM Gul.


7. (C) Ambassador and Silliman reiterated that the USG would
follow the process, supporting the parties and especially the
Finnish effort. The door would be open to the very end,
Apakan stressed. At this point, the GOT could not commit to
every element of the Finnish package, but would not play a
negative role.


8. (C) Comment: On departure for Luxembourg Monday, FM Gul
said that the GOT could not accept resettlement of Varosha
absent a comprehensive settlement, a position that leaves the
door open for other variations. We will continue to urge
that the Turks be forward-leaning. This is not about Talat
or final settlement: it is about pushing Cyprus down the
road, constructively, and getting past December with Turkey's
EU candidacy intact.

Visit Ankara's Classified Web Site at
http://www.state.sgov.gov/p/eur/ankara/

WILSON