Identifier
Created
Classification
Origin
06DUSHANBE1555
2006-08-14 06:42:00
UNCLASSIFIED
Embassy Dushanbe
Cable title:  

BUMPS ON THE SILK ROAD: TAJIK PRESIDENT RAHMONOV PROMOTES

Tags:  PREL PGOV ETRD ECON ENRG EFIN TI IN 
pdf how-to read a cable
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PP RUEHLN RUEHVK RUEHYG
DE RUEHDBU #1555/01 2260642
ZNR UUUUU ZZH
P 140642Z AUG 06
FM AMEMBASSY DUSHANBE
TO RUEHC/SECSTATE WASHDC PRIORITY 8359
INFO RUCNCIS/CIS COLLECTIVE
RUEAIIA/CIA WASHDC
RHEFDIA/DIA WASHINGTON DC
RHEHAAA/NSC WASHINGTON DC
RUEHAK/AMEMBASSY ANKARA 1758
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RUEKJCS/SECDEF WASHDC
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RHMFISS/HQ USEUCOM VAIHINGEN GE
RUCNDT/USMISSION USUN NEW YORK
RUEHNO/USMISSION USNATO 1677
RUEHBS/USEU BRUSSELS 1036
RUEHVEN/USMISSION USOSCE 1729
RUEHDBU/AMEMBASSY DUSHANBE PRIORITY 9722
RUEHML/AMEMBASSY MANILA 0071
UNCLAS SECTION 01 OF 02 DUSHANBE 001555 

SIPDIS

SIPDIS
STATE FOR SCA/CEN

E.O. 12958: N/A
TAGS: PREL PGOV ETRD ECON ENRG EFIN TI IN
SUBJECT: BUMPS ON THE SILK ROAD: TAJIK PRESIDENT RAHMONOV PROMOTES
RELATIONS WITH INDIA


DUSHANBE 00001555 001.2 OF 002


UNCLAS SECTION 01 OF 02 DUSHANBE 001555

SIPDIS

SIPDIS
STATE FOR SCA/CEN

E.O. 12958: N/A
TAGS: PREL PGOV ETRD ECON ENRG EFIN TI IN
SUBJECT: BUMPS ON THE SILK ROAD: TAJIK PRESIDENT RAHMONOV PROMOTES
RELATIONS WITH INDIA


DUSHANBE 00001555 001.2 OF 002



1. SUMMARY: President Rahmonov conducted a five-day state visit
to India from August 6-10, his first trip to India since 2004.
Rahmonov sought to bolster flagging economic relations between
India and Tajikistan, encouraging Indian investments in hydro
power projects. The two countries signed five memoranda of
cooperation on economic and technical issues. This cable
highlights the Tajik press reports on the visit. End Summary.

NEW AGREEMENTS


2. According to media reports, President Rahmonov was given a
ceremonial welcome August 7 and formally greeted by Indian
President A P J Abdul Kalam and Prime Minister Manmohan Singh.
Speaking to reporters after the ceremony, Rahmonov said he
looked forward to enhancing inter-governmental and economic ties
between the two countries. According to President Rahmonov,
Tajikistan considers India one of its main strategic partners.


3. Five agreements were signed, covering energy cooperation;
cultural, scientific and technical cooperation; consultations
between MFAs; and cooperation between the Councils of Foreign
Affairs of India and Tajik Academy of Sciences. Additionally,
the Government of India granted $13 million in assistance to
rehabilitate a 12MW power plant at Varzob near Dushanbe.
Important to the Indian side, Tajikistan expressed its
willingness to support India as a candidate for permanent
membership in the United Nations Security Council.

TALKING TRADE


4. Meeting with Prime Minister Singh, President Rahmonov
highlighted the bilateral development on military and
inter-parliamentary cooperation but noted that the two
countries' economic cooperation does not meet its potential.
Trade between the two nations decreased from $30 million in 2002
to less than $1.5 million in 2005. According to Daily India,
President Rahmonov invited the Indian side to participate in the
construction of the Rogun and Dashtijum hydropower projects in

Tajikistan. The Indian Ambassador commented to the press,
however, that India has no specific plans to participate in the
large hydro energy projects in Tajikistan.


5. President Rahmonov met with several business and trade
associations August 7 to discuss trade, economic and cultural
issues. The participants discussed setting up Tajik-Indian
joint ventures for processing precious stones and cotton fiber.
President Rahmonov pledged support for Tajik-Indian trade,
economic and political relations "in every possible way."


6. On August 8, Rahmonov addressed a conference at the Indian
Council of World Affairs on "Tajikistan and the Vision of
Central Asia." Two volumes of the English translation of noted
Tajik scholar Bobojon Gafurov's seminal work "Central Asia:
Pre-Historic to Pre-Modern Times," were released on the
occasion.

A LIMITED BUT COOPERATIVE RELATIONSHIP COULD EXPAND


7. Tajikistan and India already cooperate on a limited basis on
military and social issues. India is currently reconstructing
the Ayni airport, situated 10-15 km to the west of Dushanbe.
India's Border Roads Organization is building three hangars
there. According to BBC, the facility's reconstruction will be
completed by the end of 2006.


8. India supports several projects to develop human resources
and technical capacity in Tajikistan, including the Bedil
India-Tajikistan Centre for Information Technology, inaugurated
July 18 in Dushanbe. India also helps train Tajik nationals in

DUSHANBE 00001555 002.2 OF 002


various Institutes in India under the India Technical and
Economic Cooperation program, as well as training of military
personnel in defense institutes.


9. At various stops during the visit, President Rahmonov
suggested tourism, pharmaceuticals, construction, agriculture,
hydro-energy, food supplies, and minerals, as areas to drive the
bilateral trade. (NOTE: Reports did not mention two
Indian-backed projects which have moved very slowly: a five-star
hotel that has encountered numerous problems with the Dushanbe
Mayor's office, and an Indian-financed juice factory that has
not come on line eighteen months after completion, also due to
problems with the Dushanbe Mayor. END NOTE.)

MOUNTAINS APART


10. COMMENT: No highways or railways connect Tajikistan and
India. Tajik Air cancelled the only direct air flight between
Tajikistan and India in 2005 due to serious losses. While
President Rahmonov wants to boost its economic and trade
relations, opportunities remain limited with Pakistan and
Afghanistan standing between Tajikistan and India. The
U.S.-funded bridge over Nizhniy Pyanj may help link India to
Central Asia and promote regional trade, but in the near future,
most of the statements of President Rahmonov will remain as talk
rather than real projects. The business climate in Tajikistan
has not yet convinced Indian investors that Tajikistan really
offers them potential partners. END COMMENT.
HUSHEK