Identifier
Created
Classification
Origin
06LAPAZ2207
2006-08-16 18:42:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy La Paz
Cable title:
EXPORTERS' EXPECTATIONS OF ATPDEA EXTENSION BEGIN
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UNCLAS LA PAZ 002207
SIPDIS
SENSITIVE
SIPDIS
STATE FOR WHA/AND LPETRONI
COMMERCE FOR JANGLIN
TREASURY FOR SGOOCH
E.O. 12958: N/A
TAGS: ETRD EINV ECON PREL PGOV BL
SUBJECT: EXPORTERS' EXPECTATIONS OF ATPDEA EXTENSION BEGIN
TO FADE
REF: LA PAZ 2079
UNCLAS LA PAZ 002207
SIPDIS
SENSITIVE
SIPDIS
STATE FOR WHA/AND LPETRONI
COMMERCE FOR JANGLIN
TREASURY FOR SGOOCH
E.O. 12958: N/A
TAGS: ETRD EINV ECON PREL PGOV BL
SUBJECT: EXPORTERS' EXPECTATIONS OF ATPDEA EXTENSION BEGIN
TO FADE
REF: LA PAZ 2079
1. (SBU) Summary: Expectations of an extension of the Andean
Trade Promotion and Drug Eradication Act (ATPDEA) have begun
to fade, as exporters gradually accept that the GOB stands
little chance of securing a continuation of existing trade
preferences. Even so, many La Paz and Santa Cruz businessmen
seem reluctant to face reality, holding out hope that Garcia
Linera's proposed September trip to Washington will yield
positive results. Despite our warnings that an ATPDEA
extension for Bolivia is unlikely (reftel),neither
businessmen nor the GOB seem ready to abandon their push for
an extension or consider a comprehensive trade arrangement.
End summary.
2. (SBU) Widespread expectations of an extension of the
Andean Trade Promotion and Drug Eradication Act (ATPDEA) have
begun to fade, as exporters gradually accept that the GOB
stands little chance of securing a continuation of existing
trade preferences. Confederation of Private Businessmen
President Roberto Mustafa told Econoff August 10 that recent
comments from U.S. congressmen have begun to sink in,
increasingly convincing exporters of the near impossibility
of obtaining an ATPDEA extension. Marcos Iberkleid,
President of Ametex, Bolivia's leading apparel manufacturer
and largest private employer, echoed Mustafa's statements
August 11, noting that Vice President Garcia Linera's July
19-23 trip to Washington had provided little reason to hope
for favorable U.S. congressional action.
3. (SBU) Despite signs that an ATPDEA extension is highly
unlikely, many La Paz and Santa Cruz businessmen seem
reluctant to face reality, holding out hope that Garcia
Linera's proposed September trip to Washington will yield
positive results. Iberkleid mentioned that many businessmen
viewed the impending lobbying effort as the GOB's last chance
to make its case for an extension, with some expressing
guarded optimism that Garcia Linera would return with signs
of greater U.S. congressional interest in extending existing
trade preferences. Iberkleid's comments coincided with those
of Gabriel Dabdoub, President of the Santa Cruz Chamber of
Industry, Trade, Services, and Tourism (CAINCO),who told
Econoff August 14 that many exporters may not seriously
prepare for the end of ATPDEA until they learn the final
results of GOB lobbying efforts.
4. (SBU) Comment: Despite our warnings that an ATPDEA
extension for Bolivia is unlikely (reftel),neither
businessmen nor the GOB seem ready to abandon their push for
an extension or consider a comprehensive trade arrangement.
Mustafa said he believed the U.S. congress would find it
prudent to renew ATPDEA to prevent Bolivia from slipping
entirely into the Chavez/Castro orbit, while Iberkleid noted
that GOB officials seemed convinced the United States would
have no choice but to extend ATPDEA trade preferences, lest
critics accuse it of "turning its back" on Bolivia. While
these perceptions persist, GOB officials will likely cling to
their hopes of an ATPDEA extension. End comment.
GREENLEE
SIPDIS
SENSITIVE
SIPDIS
STATE FOR WHA/AND LPETRONI
COMMERCE FOR JANGLIN
TREASURY FOR SGOOCH
E.O. 12958: N/A
TAGS: ETRD EINV ECON PREL PGOV BL
SUBJECT: EXPORTERS' EXPECTATIONS OF ATPDEA EXTENSION BEGIN
TO FADE
REF: LA PAZ 2079
1. (SBU) Summary: Expectations of an extension of the Andean
Trade Promotion and Drug Eradication Act (ATPDEA) have begun
to fade, as exporters gradually accept that the GOB stands
little chance of securing a continuation of existing trade
preferences. Even so, many La Paz and Santa Cruz businessmen
seem reluctant to face reality, holding out hope that Garcia
Linera's proposed September trip to Washington will yield
positive results. Despite our warnings that an ATPDEA
extension for Bolivia is unlikely (reftel),neither
businessmen nor the GOB seem ready to abandon their push for
an extension or consider a comprehensive trade arrangement.
End summary.
2. (SBU) Widespread expectations of an extension of the
Andean Trade Promotion and Drug Eradication Act (ATPDEA) have
begun to fade, as exporters gradually accept that the GOB
stands little chance of securing a continuation of existing
trade preferences. Confederation of Private Businessmen
President Roberto Mustafa told Econoff August 10 that recent
comments from U.S. congressmen have begun to sink in,
increasingly convincing exporters of the near impossibility
of obtaining an ATPDEA extension. Marcos Iberkleid,
President of Ametex, Bolivia's leading apparel manufacturer
and largest private employer, echoed Mustafa's statements
August 11, noting that Vice President Garcia Linera's July
19-23 trip to Washington had provided little reason to hope
for favorable U.S. congressional action.
3. (SBU) Despite signs that an ATPDEA extension is highly
unlikely, many La Paz and Santa Cruz businessmen seem
reluctant to face reality, holding out hope that Garcia
Linera's proposed September trip to Washington will yield
positive results. Iberkleid mentioned that many businessmen
viewed the impending lobbying effort as the GOB's last chance
to make its case for an extension, with some expressing
guarded optimism that Garcia Linera would return with signs
of greater U.S. congressional interest in extending existing
trade preferences. Iberkleid's comments coincided with those
of Gabriel Dabdoub, President of the Santa Cruz Chamber of
Industry, Trade, Services, and Tourism (CAINCO),who told
Econoff August 14 that many exporters may not seriously
prepare for the end of ATPDEA until they learn the final
results of GOB lobbying efforts.
4. (SBU) Comment: Despite our warnings that an ATPDEA
extension for Bolivia is unlikely (reftel),neither
businessmen nor the GOB seem ready to abandon their push for
an extension or consider a comprehensive trade arrangement.
Mustafa said he believed the U.S. congress would find it
prudent to renew ATPDEA to prevent Bolivia from slipping
entirely into the Chavez/Castro orbit, while Iberkleid noted
that GOB officials seemed convinced the United States would
have no choice but to extend ATPDEA trade preferences, lest
critics accuse it of "turning its back" on Bolivia. While
these perceptions persist, GOB officials will likely cling to
their hopes of an ATPDEA extension. End comment.
GREENLEE