Identifier
Created
Classification
Origin
06BRASILIA2626
2006-12-18 14:16:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Brasilia
Cable title:  

BRAZIL: CODEL GOODLATTE PARTICIPATES IN INFORMATIVE SET OF

Tags:  EAGR OREP EINV ETRD ENRG PREL PGOV BR 
pdf how-to read a cable
VZCZCXRO7767
RR RUEHRG
DE RUEHBR #2626/01 3521416
ZNR UUUUU ZZH
R 181416Z DEC 06
FM AMEMBASSY BRASILIA
TO RUEHRC/USDA FAS WASHDC
RUEHC/SECSTATE WASHDC 7661
INFO RUEHSO/AMCONSUL SAO PAULO 8870
RUEHRI/AMCONSUL RIO DE JANEIRO 3569
RUEHRG/AMCONSUL RECIFE 6025
RUEHBU/AMEMBASSY BUENOS AIRES 4484
RUEHMN/AMEMBASSY MONTEVIDEO 6658
RUEHAC/AMEMBASSY ASUNCION 5850
RUCPDOC/USDOC WASHDC
UNCLAS SECTION 01 OF 02 BRASILIA 002626 

SIPDIS

USDA FOR FAA SUSAN SCHAYES
DEPARTMENT FOR WHA/BSC AND H
STATE PASS USTR:SCRONIN
USDOC FOR 3134/USFCS/OIO/WH/SHUPKA
USDOC FOR 4332/ITA/MAC/WH/OLAC/JANDERSEN/ADRISCOLL/MWAR D

TOFAS 158

SENSITIVE
SIPDIS

E.O. 12958: N/A
TAGS: EAGR OREP EINV ETRD ENRG PREL PGOV BR
SUBJECT: BRAZIL: CODEL GOODLATTE PARTICIPATES IN INFORMATIVE SET OF
MEETINGS


UNCLAS SECTION 01 OF 02 BRASILIA 002626

SIPDIS

USDA FOR FAA SUSAN SCHAYES
DEPARTMENT FOR WHA/BSC AND H
STATE PASS USTR:SCRONIN
USDOC FOR 3134/USFCS/OIO/WH/SHUPKA
USDOC FOR 4332/ITA/MAC/WH/OLAC/JANDERSEN/ADRISCOLL/MWAR D

TOFAS 158

SENSITIVE
SIPDIS

E.O. 12958: N/A
TAGS: EAGR OREP EINV ETRD ENRG PREL PGOV BR
SUBJECT: BRAZIL: CODEL GOODLATTE PARTICIPATES IN INFORMATIVE SET OF
MEETINGS



1. (SBU) SUMMARY: CODEL Goodlatte, led by Chairman of the
Agriculture Committee of the House of Representatives Bob Goodlatte,
accompanied by eight members of the House Agricultural Committee and
one member of the House Appropriations Committee, visited Rio de
Janeiro on November 26-28. During their brief stay, the delegation
met with U.S. companies ADM and Monsanto, participated in an
official lunch that included high level Brazilian government
officials and industry representatives, received a briefing on
flexfuel vehicles from General Motors, and engaged in an economic
and business roundtable with prominent Brazilian business leaders.
END SUMMARY.


2. (SBU) The CODEL's meetings began with a country team briefing,
led by the Deputy Chief of Mission and the Agricultural Counselor.
Questions from the Congressmen included such topics as crime and
drugs, the size of the middle class and the success of anti-hunger
programs, level and quality of education, and the status of the U.S.
pilots involved in the recent disaster over the Amazon, as well as
transportation infrastructure, cost of agricultural inputs, land
availability for food and biofuel production, and livestock
production and meat exports.


3. (SBU) The country team briefing was followed by a meeting with
the presidents of U.S. agricultural companies ADM and Monsanto.
Both ADM and Monsanto briefed the group on the challenges they and
other agricultural enterprises face in Brazil, specifically the
infrastructure challenges in transporting goods thousands of miles
from the interior of the country to its main ports. Congressmen
asked a number of questions about transportation and port
infrastructure, biofuel production, issues of intellectual property
and how Monsanto charges for the use of their technology. Monsanto
addressed the congressmen's concerns about the pricing structure of
key herbicides, demonstrating the similarity in pricing of such
products in both Brazil and the U.S.


4. (SBU) The official lunch was well attended by high-level
Brazilian officials from the Ministries of Agriculture and Foreign
Affairs including and industry representatives from Rio de Janeiro,
Sao Paulo and Brasilia. This provided the CODEL with the
opportunity to discuss informally agricultural and trade issues with
key decision makers.


5. (SBU) General Motors-Brazil representatives provided the
Congressmen a briefing on the history and capabilities of flexfuel
vehicles in Brazil, and a Washington-based GM representative
discussed issues associated with applying flexfuel vehicle
technology to the United States. GM described how its production
has moved to almost all flexfuel cars over the past five years, and
how the price of gasoline versus alcohol-based fuel has influenced
that shift. GM also highlighted that Brazilian Government mandates
that fuel stations sell both types of fuel also had a significant
impact.


6. (SBU) Prior to their departure, Congressmen engaged in an
economic, business and trade roundtable discussion with prominent
Brazilian business and academic leaders from Rio de Janeiro and Sao
Paulo. Chairman Goodlatte remarked that this was his second CODEL
visit to Brazil, and he was pleased that other members of the House
Agriculture Committee had the opportunity to discuss with Brazilian
government and business leaders issues of mutual interest to both
countries. He agreed with one member of the roundtable that the
United States does not focus on Brazil enough and that we should be
not only competitors, but also partners. Congressman Peterson
responded to one panel member's comments regarding Brazil's desire
to export more ethanol to the United States by stating that "we're
not interested," noting that the U.S. ethanol industry was
relatively nascent compared to Brazil's and that the tax on imported
ethanol would be necessary until our domestic industry strengthens;
the United States wants to keep ethanol production in the hands of
the rural community, rather than the large companies, and we should
not let the regulators get involved in this market. Other comments
focused on infrastructure, educational needs and bilateral
relations.


7. (U) This cable was not cleared by Codel Goodlatte prior to

BRASILIA 00002626 002 OF 002


transmission.

SOBEL