PORTUGUESE FM AMADO BROACHES PEACE AND TRADE IN

C O N F I D E N T I A L LISBON 001805

SIPDIS

SIPDIS

E.O. 12958: DECL: 08/23/2016
TAGS: PREL EAID PGOV EG JO LY PO
SUBJECT: PORTUGUESE FM AMADO BROACHES PEACE AND TRADE IN
MIDDLE EAST

REF: A. LISBON 1768


B. LISBON 204

Classified By: Dana M. Brown, Pol/Econ Officer, State Department.
Reason: 1.4 (b) and (d)


1. (SBU) Summary: Portuguese FM Luis Amado's first trip to
the Middle East since assuming office on July 3 aimed at
encouraging regional stabilization, assessing the
humanitarian crisis, and establishing greater commercial
ties, according to MFA Middle East Officer Lilia Navais.
Minister Amado decided to travel to Jordan and Egypt prior to
the UNSCR 1701 as a way to press moderate Arab nations such
as Jordan and Egypt to help negotiations. Once the
resolution was adopted, Amado chose to continue as scheduled
with the August 21-23 trip, both to remain informed of the
situation and to discuss future commercial cooperation with
Libya. End summary.

--------------
Jordan, Egypt Should Play a More Active Role
--------------


2. (C) Amado hopes to encourage Jordan to become more
proactive in responding to the Middle East crisis by
supporting the peace and by responding to the humanitarian
crisis, according to Navais. He also would like Egypt to
weigh in through the Arab League and appeal to Arab nations
to support the ceasefire. Navais further noted that FM Amado
has himself been proactive in responding to events and she
offered the example of his calling for the first
extraordinary EU foreign minister meeting to discuss the
crisis on August 1. She stressed that Portugal seeks to play
a constructive role given its positive relationship with many
Arab nations. When asked whether Amado's engagement
signified an uptick in Portugal's interest in the region,
Navais responded that former FM Freitas do Amaral had also
followed events in the Middle East closely but had difficulty
getting his message out within the EU after his controversial
comments on the Danish cartoons last winter (ref b). She
underscored that FM Amado's public interest is simply a
continuation of the Socrates Administration's policy towards
the region.

--------------
Considering Trade
--------------


3. (SBU) In addition to Amado's efforts to encourage peace,
he took the opportunity to sign a double taxation agreement
with Egypt and to approach Libya to discuss future commercial
possibilities. The double taxation agreement is the final in
a series of bilateral tourism and commercial agreements that
the two nations have signed. Regarding Libya, Navais noted
that Portugal plans to establish an embassy in Tripoli and
would like to begin creating trade relationships with Libya's
"rich markets." She commented that Portugal is not yet ready
to proceed with detailed talks and did not include Portugal's
Economic Minister Pinho on this visit, but Amado's visit was
to signal interest for the future. (NOTE: Pinho accompanied
PM Socrates to Libya on an official visit in October 2005.)

--------------
Comment: Remaining Proactive
--------------


4. (C) Although Portugal's participation in the UN Mission is
still awaiting definition, it is clear that Portugal wants to
play a greater role in the Middle East, particularly in the
run-up to its EU Presidency in the latter half of 2007.
Amado's Middle East visit will arm him with a first-hand view
of the situation in time for the August 25 Extraordinary EU
ministerial meeting and allow Portugal to continue having a
voice on this issue, at least among EU member states.
Portugal's interest in Libya also reaffirms recent MFA's
comments that Portugal hopes to establish trade links with
petroleum-rich nations, including Venezuela. Post notes that
at the time of Navais's account, Amado's trip was ongoing.
End comment.
O'Neal