Identifier
Created
Classification
Origin
06MINSK881
2006-08-14 13:45:00
UNCLASSIFIED
Embassy Minsk
Cable title:
EMBASSY MINSK WEEKLY REPORT - August 14, 2006
how-toVZCZCXRO9829 RR RUEHAST DE RUEHSK #0881/01 2261345 ZNR UUUUU ZZH R 141345Z AUG 06 FM AMEMBASSY MINSK TO RUEHC/SECSTATE WASHDC 4917 INFO RUCNOSC/ORGANIZATION FOR SECURITY COOPERATION IN EUROPE RHMFISS/HQ USEUCOM VAIHINGEN GE RUFOADA/JAC MOLESWORTH RAF MOLESWORTH UK
UNCLAS SECTION 01 OF 03 MINSK 000881
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: PGOV PREL PHUM ECON EPET EAGR ENRG KTDB BO
SUBJECT: EMBASSY MINSK WEEKLY REPORT - August 14, 2006
MINSK 00000881 001.2 OF 003
UNCLAS SECTION 01 OF 03 MINSK 000881
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: PGOV PREL PHUM ECON EPET EAGR ENRG KTDB BO
SUBJECT: EMBASSY MINSK WEEKLY REPORT - August 14, 2006
MINSK 00000881 001.2 OF 003
1. The following are brief items of interest compiled by
Embassy Minsk.
--------------
International Relations
--------------
2. Parliament Leader Receives Iranian Delegation
On August 9, Chairman of the Belarusian House of Representatives
Vladimir Konoplev received a delegation led by Iran's Ministry of
Industry and Mines, Ali-Reza Tahmashi. During the meeting,
Konoplev maintained Iran and Belarus have no political differences
and predicted a tripling of bilateral trade between the countries.
Tahmashi echoed Konoplev's sentiments and noted Iran looks forward
to President Lukashenko's visit to Tehran. In separate news
reports, the Iranian ambassador to Belarus indicated Iranian
President Ahmadinejad plans to visit Belarus in "the near future."
The Iranian delegation also attended the dedication ceremony of a
plant originally built by Ford near Minsk that will assemble a
luxury version of the "Samand," an Iranian car powered by a 1.8
liter Peugeot engine which will sell for USD 12,500 each.
3. Parliamentary Committee Endorses Free Trade Accord with Ukraine
On August 9, the Standing Committee on International Affairs and
Relations in Belarus' House of Representatives recommended
ratification of a free trade agreement between Belarus and Ukraine.
Deputy Foreign Minister Vasily Pugachev predicted the agreement
would increase Belarusian exports to Ukraine, which at present
total USD 1.6 billion. Belarus and Ukraine originally signed the
agreement in 1992 but the Belarusian parliament never ratified the
accord. In 2005, the two countries signed a protocol to clarify
provisions of the 1992 agreement.
--------------
Political Parties
--------------
4. Opposition Communist Party Seeks Invalidation of Merger
On August 10, the leadership of the Belarusian Party of Communists
(BPC) petitioned the Ministry of Justice (MOJ) to invalidate a
controversial convention at which the pro-government Communist
Party of Belarus (CPB) proclaimed a merger with the BPC. Following
a "merger conference" on July 15, the CPB re-registered several BPC
local organizations as CPB chapters. The BPC urged the MOJ to
examine the minutes of the merger conference and declare it
illegal. According to BPC Central Committee Secretary Yelena
Skrigan, no more than seven BPC members participated in the
convention despite CPB's claim that 74 BPC members were involved.
--------------
Civil Society
--------------
5. Convicted NGO Partnership Leaders Transferred to Minsk
Detention
On August 10, convicted election observers Nikolay Astreyko and
Timofey Dranchuk were transferred from the BKGB detention center to
the pretrial detention center on Volodarskogo Street in Minsk.
Astreyko and Dranchuk, as well as two others, Aleksandr Shalayko
and Enira Bronitskaya, were convicted of running an unregistered
organization "Partnerstvo" (Partnership) following a closed-door
trial. Astreiko and Dranchuk were sentenced to two years and one
year, respectively, in a minimum security correctional institution.
The four stood accused under Part 2 of the Criminal Code's Article
193, but were convicted under Article 193.1.
6. Opposition Party Leader Briefly Detained in Mogilev
On August 10, opposition United Civic Party leader (UCP) Anatoly
Lebedko and UCP Deputy Chairman Igor Shinkarik were detained by
police for an hour and a half during their visit to Mogilev.
Police detained the opposition leaders as they were distributing
copies of the most recent issue of "Narodnaya Volya" that featured
an article by Lebedko. The officers asked the UCP leaders where
they had gotten the newspaper copies. Lebedko and Shinkarik were
in Mogilev to meet with Artur Finkevich, an opposition youth
serving a sentence of two years of "restricted freedom" at a
correctional facility. However, they did not succeed in meeting
him as he had temporarily been moved elsewhere.
7. Authorities in Western Belarus Crack Down of Human Trafficking
On August 7, police in the western region of Brest reported the
break up of six human trafficking rings in the first six months of
2006. During that period, authorities completed 13 criminal cases
MINSK 00000881 002.2 OF 003
and charged five persons with human trafficking and four others
with illegally employing Belarusians abroad. On August 6,
Belarusian police arrested a German couple at the Belarusian-Polish
border for allegedly attempting to traffic two Belarusian women for
prostitution.
8. Five Hunger Strikers in Brest End Fast
On August 9, five hunger strikers in Brest ended their fast as a
display of solidarity with fellow protestor Lyubov Rezanovich who
was hospitalized two days earlier. Rezanovich had been refusing
food since July 5 and began refusing water in early August. On
August 8, she was admitted to the first medical unit of the Brest
City Central Hospital, which describes her condition as grave.
Four taxi minibus owners began the hunger strike in early July to
protest penalties that had been imposed on them for failure to pay
taxes on their minibuses. Authorities reportedly exempted
minibuses imported before April 2004 from taxes but later ordered
the owners to pay USD 9,000 to USD 27,000. Nine persons continue
the hunger strike.
--------------
Economy
--------------
9. Business Group Complains to Lukashenko about Telecom Monoply
On August 9, the Minsk City Association of Entrepreneurs and
Employers sent a letter of complaint to Belarusian President
Lukashenko about telecommunication monopoly Beltelecom's anti-
competitive behavior and urged Lukashenko to establish an agency to
oversee the enforcement of competition laws. On August 1,
Beltelecom raised fees for its point-to-point connection service
offered to private Internet providers. Beltelecom has raised its
fees for Internet providers by 40 percent and cut its charges for
individual clients by between 10 and 40 percent since the beginning
of the year. Independent economist Yaroslav Romanchuk predicts
that Beltelecom would gain USD 10 million from the most recent
price hike.
10. Fixed Capital Expenditures on Food Industry Below Target
On August 10, the Belarusian State Food Industry Concern
(Belgospishcheprom) reported that capital expenditures on the
Belarusian food industry fell by 40 percent below the GOB target
level in the first six months of 2006. According to
Belgopishcheprom, fixed expenditures totaled USD 25 million, with
the target set at USD 43 million for the period. The GOB had
projected an investment of USD 10 billion of fixed capital
expenditures in the food industry this year. Belgopishcheprom
attributed the shortfall to late purchases of equipment and failure
to obtain government loans but noted that modernization is under
way at several regional brewing companies, sugar refineries, and
tobacco and salt factories.
11. Belarusian Steel Works Claims 9.3 Percent Rise in Steel Output
On August 9, the Belarusian Steel Works (BMZ) in Zhlobin reported a
steel output of 1,280,100 tons between January and July, an
increase 9.3 percent from the same period last year. Exports were
projected to rise by 12.9 percent to USD 550 million. BMZ
purportedly ranks among the top five steel manufacturers in the
Commonwealth of Independent States and reported a 10.5-percent rise
in exports in 2005.
12. Low Cost Housing to Increase 80 Percent by 2010
On August 10, Belarusian Minister of Architecture and Construction
Aleksandr Seleznev promised significant increases in affordable
housing by 2010. According to Seleznev, low-price housing, defined
as costing USD 350 to 400 per square meter, accounts for 30 to 35
percent of the total volume of new housing. Seleznev predicted the
construction of 4.2 million square meters of low-cost housing,
about 80 percent of all new housing, and a shortage of "elite,
expensive housing" by 2010. He argued that the construction sector
would cut the cost of new housing through energy and material
saving measures, the standardization of home design specifications
throughout Belarus, and new presidential edicts ostensibly intended
to promote competitive bidding.
--------------
Quote of the Week
--------------
13. Noting that Belarus' grain harvest would barely exceed seven
million tons in 2006, President Lukashenko lamented:
"Seven million tons is enough for a normal life. However, for a
very good life and future we need eight million tons. It is high
time to provide people with eight million tons. Unfortunately,
neither the cabinet, nor the governors, nor peasants have learned
MINSK 00000881 003.2 OF 003
to gather eight million tons."
Moore
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: PGOV PREL PHUM ECON EPET EAGR ENRG KTDB BO
SUBJECT: EMBASSY MINSK WEEKLY REPORT - August 14, 2006
MINSK 00000881 001.2 OF 003
1. The following are brief items of interest compiled by
Embassy Minsk.
--------------
International Relations
--------------
2. Parliament Leader Receives Iranian Delegation
On August 9, Chairman of the Belarusian House of Representatives
Vladimir Konoplev received a delegation led by Iran's Ministry of
Industry and Mines, Ali-Reza Tahmashi. During the meeting,
Konoplev maintained Iran and Belarus have no political differences
and predicted a tripling of bilateral trade between the countries.
Tahmashi echoed Konoplev's sentiments and noted Iran looks forward
to President Lukashenko's visit to Tehran. In separate news
reports, the Iranian ambassador to Belarus indicated Iranian
President Ahmadinejad plans to visit Belarus in "the near future."
The Iranian delegation also attended the dedication ceremony of a
plant originally built by Ford near Minsk that will assemble a
luxury version of the "Samand," an Iranian car powered by a 1.8
liter Peugeot engine which will sell for USD 12,500 each.
3. Parliamentary Committee Endorses Free Trade Accord with Ukraine
On August 9, the Standing Committee on International Affairs and
Relations in Belarus' House of Representatives recommended
ratification of a free trade agreement between Belarus and Ukraine.
Deputy Foreign Minister Vasily Pugachev predicted the agreement
would increase Belarusian exports to Ukraine, which at present
total USD 1.6 billion. Belarus and Ukraine originally signed the
agreement in 1992 but the Belarusian parliament never ratified the
accord. In 2005, the two countries signed a protocol to clarify
provisions of the 1992 agreement.
--------------
Political Parties
--------------
4. Opposition Communist Party Seeks Invalidation of Merger
On August 10, the leadership of the Belarusian Party of Communists
(BPC) petitioned the Ministry of Justice (MOJ) to invalidate a
controversial convention at which the pro-government Communist
Party of Belarus (CPB) proclaimed a merger with the BPC. Following
a "merger conference" on July 15, the CPB re-registered several BPC
local organizations as CPB chapters. The BPC urged the MOJ to
examine the minutes of the merger conference and declare it
illegal. According to BPC Central Committee Secretary Yelena
Skrigan, no more than seven BPC members participated in the
convention despite CPB's claim that 74 BPC members were involved.
--------------
Civil Society
--------------
5. Convicted NGO Partnership Leaders Transferred to Minsk
Detention
On August 10, convicted election observers Nikolay Astreyko and
Timofey Dranchuk were transferred from the BKGB detention center to
the pretrial detention center on Volodarskogo Street in Minsk.
Astreyko and Dranchuk, as well as two others, Aleksandr Shalayko
and Enira Bronitskaya, were convicted of running an unregistered
organization "Partnerstvo" (Partnership) following a closed-door
trial. Astreiko and Dranchuk were sentenced to two years and one
year, respectively, in a minimum security correctional institution.
The four stood accused under Part 2 of the Criminal Code's Article
193, but were convicted under Article 193.1.
6. Opposition Party Leader Briefly Detained in Mogilev
On August 10, opposition United Civic Party leader (UCP) Anatoly
Lebedko and UCP Deputy Chairman Igor Shinkarik were detained by
police for an hour and a half during their visit to Mogilev.
Police detained the opposition leaders as they were distributing
copies of the most recent issue of "Narodnaya Volya" that featured
an article by Lebedko. The officers asked the UCP leaders where
they had gotten the newspaper copies. Lebedko and Shinkarik were
in Mogilev to meet with Artur Finkevich, an opposition youth
serving a sentence of two years of "restricted freedom" at a
correctional facility. However, they did not succeed in meeting
him as he had temporarily been moved elsewhere.
7. Authorities in Western Belarus Crack Down of Human Trafficking
On August 7, police in the western region of Brest reported the
break up of six human trafficking rings in the first six months of
2006. During that period, authorities completed 13 criminal cases
MINSK 00000881 002.2 OF 003
and charged five persons with human trafficking and four others
with illegally employing Belarusians abroad. On August 6,
Belarusian police arrested a German couple at the Belarusian-Polish
border for allegedly attempting to traffic two Belarusian women for
prostitution.
8. Five Hunger Strikers in Brest End Fast
On August 9, five hunger strikers in Brest ended their fast as a
display of solidarity with fellow protestor Lyubov Rezanovich who
was hospitalized two days earlier. Rezanovich had been refusing
food since July 5 and began refusing water in early August. On
August 8, she was admitted to the first medical unit of the Brest
City Central Hospital, which describes her condition as grave.
Four taxi minibus owners began the hunger strike in early July to
protest penalties that had been imposed on them for failure to pay
taxes on their minibuses. Authorities reportedly exempted
minibuses imported before April 2004 from taxes but later ordered
the owners to pay USD 9,000 to USD 27,000. Nine persons continue
the hunger strike.
--------------
Economy
--------------
9. Business Group Complains to Lukashenko about Telecom Monoply
On August 9, the Minsk City Association of Entrepreneurs and
Employers sent a letter of complaint to Belarusian President
Lukashenko about telecommunication monopoly Beltelecom's anti-
competitive behavior and urged Lukashenko to establish an agency to
oversee the enforcement of competition laws. On August 1,
Beltelecom raised fees for its point-to-point connection service
offered to private Internet providers. Beltelecom has raised its
fees for Internet providers by 40 percent and cut its charges for
individual clients by between 10 and 40 percent since the beginning
of the year. Independent economist Yaroslav Romanchuk predicts
that Beltelecom would gain USD 10 million from the most recent
price hike.
10. Fixed Capital Expenditures on Food Industry Below Target
On August 10, the Belarusian State Food Industry Concern
(Belgospishcheprom) reported that capital expenditures on the
Belarusian food industry fell by 40 percent below the GOB target
level in the first six months of 2006. According to
Belgopishcheprom, fixed expenditures totaled USD 25 million, with
the target set at USD 43 million for the period. The GOB had
projected an investment of USD 10 billion of fixed capital
expenditures in the food industry this year. Belgopishcheprom
attributed the shortfall to late purchases of equipment and failure
to obtain government loans but noted that modernization is under
way at several regional brewing companies, sugar refineries, and
tobacco and salt factories.
11. Belarusian Steel Works Claims 9.3 Percent Rise in Steel Output
On August 9, the Belarusian Steel Works (BMZ) in Zhlobin reported a
steel output of 1,280,100 tons between January and July, an
increase 9.3 percent from the same period last year. Exports were
projected to rise by 12.9 percent to USD 550 million. BMZ
purportedly ranks among the top five steel manufacturers in the
Commonwealth of Independent States and reported a 10.5-percent rise
in exports in 2005.
12. Low Cost Housing to Increase 80 Percent by 2010
On August 10, Belarusian Minister of Architecture and Construction
Aleksandr Seleznev promised significant increases in affordable
housing by 2010. According to Seleznev, low-price housing, defined
as costing USD 350 to 400 per square meter, accounts for 30 to 35
percent of the total volume of new housing. Seleznev predicted the
construction of 4.2 million square meters of low-cost housing,
about 80 percent of all new housing, and a shortage of "elite,
expensive housing" by 2010. He argued that the construction sector
would cut the cost of new housing through energy and material
saving measures, the standardization of home design specifications
throughout Belarus, and new presidential edicts ostensibly intended
to promote competitive bidding.
--------------
Quote of the Week
--------------
13. Noting that Belarus' grain harvest would barely exceed seven
million tons in 2006, President Lukashenko lamented:
"Seven million tons is enough for a normal life. However, for a
very good life and future we need eight million tons. It is high
time to provide people with eight million tons. Unfortunately,
neither the cabinet, nor the governors, nor peasants have learned
MINSK 00000881 003.2 OF 003
to gather eight million tons."
Moore