BELGIUM: LIBERTAD ACT REVIEW

C O N F I D E N T I A L SECTION 01 OF 02 BRUSSELS 004057

SIPDIS

NOFORN
SIPDIS

DEPT FOR WHA/CCA

E.O. 12958: DECL: 12/07/2016
TAGS: ETTC ETRD PREL BE CU
SUBJECT: BELGIUM: LIBERTAD ACT REVIEW

REF: A. STATE 191752

B. BRUSSELS 1419

C. BRUSSELS 2678

BRUSSELS 00004057 001.2 OF 002


Classified By: ECONCOUNS T.L. ROBL, REASONS 1.4 B/D


1. (C) SUMMARY: In response to ref A, post submits the
following information regarding the suspension of Title III
of the Libertad Act. Post has no basis to suggest that any
Belgian investments qualify for consideration under the
Libertad Act. END SUMMARY


2. (C) In conjunction with its European partners, Belgian
diplomats do meet with Cuban dissidents. Belgium has not
undertaken any formal bilateral plans or programs
specifically related to the promotion of democracy, human
rights, and fundamental freedoms in Cuba. However, in August
2006 when Castro transferred power to his brother, the
Belgian Foreign Minister issued a public statement expressing
hope for a democratic regime in Cuba (see para 8). Cuba is
not among Belgium's 18 partner countries that receive
official development assistance. In October 2006 Marc
Verwilghen, Belgian Minister of Economy, Energy, Foreign
Trade, and Scientific Policy, visited Havana for several
days. During the visit four Memoranda of Understanding (MOU)
were signed (para 9).


3. (U) In Belgium, foreign trade is a regional competency,
divided among the three regions: Flanders, Wallonia, and the
Brussels Capital region. Flanders Investment and Trade,
Agence Wallonne a l'Exportation (AWEX),and Brussels Export
have a combined joint trade promotion office in Havana that
is operated by two Brussels Export employees on behalf of the
three agencies.


4. (U) As reported in ref B, the Flanders region accounts for
approximately 80 percent of Belgian exports to Cuba in recent
years. The value of overall exports from Flanders to Cuba
has gone up sharply in recent years. In 2003, total exports
were worth 13.3 million euros. In 2004 the figure rose to
15.6 million euros, and in 2005 it jumped to 27.3 million
euros. Nonetheless, Cuba is just 102nd on Belgium's list of
export target countries. The principal Belgian exports by
volume to Cuba are: animal products (25 percent),
pharmaceuticals and chemicals (21 percent),machines and
electrical materials (17.5 percent) and rubber (16.5
percent).


5. (U) The value of exports from Wallonia to Cuba during past
five years has averaged approximately three million euros
annually. In 2002 exports were worth, in millions of euros,
3.58; in 2003, 2.41; in 2004, 3.03; and in 2005, 2.92.
Through the first quarter of 2006, exports from Wallonia to
Cuba were worth a total of 2.97 million euros.


6. (U) Belgian imports from Cuba have declined in recent
years (ref B) in terms of value. From 5.5 million euros in
2003, their value fell to 3.1 million euros in 2004 and 2.7
million euros in 2005. Tobacco and food products (mainly
fruits) account for 92 percent of imports from Cuba to
Belgium by volume. Plant and animal products account for 4.5
percent and textiles 2.6 percent.


7. (C) Cuba and the Belgium/Luxembourg Union (BLEU) signed an
accord on May 19, 1998 for the mutual promotion and
protection of investment. In 1997, the Flemish Education
Minister signed an agreement with Cuba on education; the
accord was termed a "transnational contract" rather than a
formal treaty.


8. (U) In August 2006 Belgim Foreign Minister De Gucht,
speaking about Cstro's hospitalization and temporary
relinquishment of power to his brother, issued a public
statement in support of democracy. The FM told Belgian
journalists, "I am always sad when someone is sick. But one
should take Fidel Castro for what he is, i.e., a Communist
Dictator. I am hoping for a democratic regime for Cuba."


9. (U) From October 30 to November 4, 2006 Marc Verwilghen
(Belgium's Federal Minister of Economy, Energy, Foreign Trade
and Scientific Policy) visited Havana for the 14th
International Fair of Havana (FIHAU). Accompanied by
directors of three federal scientific organizations, the
Minister met with GOC officials at the Cuban Ministry of
Foreign Investment and Economic Cooperation in Cuba. On
November 4 four bilateral agreements (MOUs) on cultural and
scientific cooperation were signed. The first MOU provides

BRUSSELS 00004057 002.2 OF 002


for joint educational activities in the field of cultural
preservation. Two MOUs on biological diversity were also
signed. The fourth MOU is designed to facilitate
professional contacts and information exchange between the
respective national archives of each country.


10. (C) Overall, Belgian-Cuban relations remain formal and
correct, but not warm. Post has no basis to suggest that any
Belgian investments qualify for consideration under the
Libertad Act.
KOROLOGOS
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