Identifier
Created
Classification
Origin
07QUITO3
2007-01-03 09:07:00
CONFIDENTIAL
Embassy Quito
Cable title:
CODEL REID MEETING WITH PRESIDENT-ELECT CORREA
how-toVZCZCXYZ0016 OO RUEHWEB DE RUEHQT #0003/01 0030907 ZNY CCCCC ZZH O 030907Z JAN 07 FM AMEMBASSY QUITO TO RUEHC/SECSTATE WASHDC IMMEDIATE 5966 INFO RUEHBO/AMEMBASSY BOGOTA PRIORITY 6287 RUEHCV/AMEMBASSY CARACAS PRIORITY 2247 RUEHLP/AMEMBASSY LA PAZ JAN 0296 RUEHPE/AMEMBASSY LIMA PRIORITY 1250 RUEHGL/AMCONSUL GUAYAQUIL PRIORITY 1632 RHMFISS/CDR USSOUTHCOM MIAMI FL PRIORITY
C O N F I D E N T I A L QUITO 000003
SIPDIS
SIPDIS
DEPT OF COMMERCE WASHDC
TREASURY FOR SGOOCH
E.O. 12958: DECL: 01/02/2017
TAGS: PREL PGOV SNAR CVIS ETRD ECON EFIN EINV EC
SUBJECT: CODEL REID MEETING WITH PRESIDENT-ELECT CORREA
Classified By: Charge d'Affaires Jefferson T. Brown for Reasons 1.4(b)
and (d)
C O N F I D E N T I A L QUITO 000003
SIPDIS
SIPDIS
DEPT OF COMMERCE WASHDC
TREASURY FOR SGOOCH
E.O. 12958: DECL: 01/02/2017
TAGS: PREL PGOV SNAR CVIS ETRD ECON EFIN EINV EC
SUBJECT: CODEL REID MEETING WITH PRESIDENT-ELECT CORREA
Classified By: Charge d'Affaires Jefferson T. Brown for Reasons 1.4(b)
and (d)
1. (C) Summary. In a wide ranging conversation with Codel
Reid, president-elect Rafael Correa asked for better
treatment of Ecuadorian migrants, welcomed Sen. Reid's
statement that he would work for ATPA extension, expressed a
commitment to combat narcotic trafficking, complained
vociferously about Colombian spraying along the border,
reaffirmed that the Manta FOL agreement would not be renewed,
stressed his commitment to combat corruption, and asserted
that the Occidental Petroleum case is closed from Ecuador's
perspective. End summary.
2. (U) Senator Harry Reid, accompanied by Senators Durbin,
Conrad, Gregg, Bennett and Salazar, met on December 29 with
President-elect Rafael Correa. Correa was accompanied by
nine members of his transition team, including five
ministers-designate, Maria Fernanda Espinosa (Foreign
Relations),Gustavo Larrea (Government),Ricardo Patino
(Economy),Alberto Acosta (Energy),and Raul Sagasti
(Industry).
3. (U) Sen. Reid opened the discussion by noting that the
visit by the bipartisan delegation to Bolivia, Ecuador and
Peru is an indication of the importance they place on U.S.
relations with the Andean region. Correa in turn welcomed
the visit by senior members of the U.S. Senate and stressed
the importance that he places on relations with the United
States.
Immigration
-- -- -- -- --
4. (C) Correa first raised the status of Ecuadorian
immigrants in the United States. He stressed that he regrets
that conditions are such in Ecuador that the migrants have
felt compelled to look elsewhere for work and that his top
priority will be to change the economic and social conditions
in Ecuador. However, given the large number of Ecuadorians
in the United States, many of whom are in "irregular" status,
Correa asked for a dialogue with the Senators on what can be
done to improve the status of Ecuadorian migrants.
5. (C) Senator Reid replied that members of Congress are
committed to try to do something about immigration in the
United States and will work on a solution that needs to
address four issues: better border security, a temporary
guest worker program, a pathway for legalization for the
11-12 million undocumented workers in the United States, and
a more effective employer sanction program.
6. (C) Senator Reid said that if Correa's team had
additional information on specific immigration cases, to
please share that information with the Ambassador, who would
relay it to the Congressional delegation.
ATPA
-- --
7. (C) Senator Reid said the United States and Ecuador could
also work on other areas of cooperation, and said that that
all the members of the congressional delegation support
extending the Andean Trade Preferences Act (ATPA) by more
than six months.
8. (C) Correa welcomed the support for ATPA extension, and
said that had been the second item that he had intended to
raise.
Counter Narcotics
-- -- -- -- -- -- --
9. (C) Senator Durbin, acknowledging that demand for illegal
narcotics comes from the United States, asked for Correa's
views on combating narcotics trafficking.
10. (C) Correa said that combating narcotics is not a U.S.
problem, but a global one, noting in particular the problems
it causes for young people. He said that his government will
be committed to fighting the narcotics problem. He said that
his government will be pragmatic, and therefore will look at
what is effective. He stressed the need to generate
alternative employment. He also expressed dissatisfaction
with heavy penalties in Ecuador for minor drug offenders
(such as mules),often marginal unemployed people and single
mothers, while major traffickers are less frequently caught.
11. (C) Government Minister-designate Larrea noted recent
record drug seizures in Ecuador as a sign of Ecuador's
commitment to combat narcotics. He acknowledged DEA support,
but stressed the work done by the Ecuadorian police. He also
highlighted the Ecuadorian police and military presence along
Ecuador's border with Colombia, saying that the state
presence is key to impeding coca cultivation in Ecuador.
Colombian Spraying
-- -- -- -- -- -- --
12. (C) Correa complained vociferously about the Colombian
decision to renew coca spraying close to the Ecuadorian
border. In response to Sen. Reid's comment that he views the
matter as a bilateral problem that he hopes Colombia and
Ecuador can resolve, Correa said that the spraying is not
just a bilateral problem, since it contaminates the ecosystem
and affects human rights. He asserted that most South
American nations support Ecuador's position, and asked that
the United States pronounce on the matter.
Manta FOL
-- -- -- --
13. (C) Senator Durbin asked for Correa's views on the Manta
Forward Operating Location (FOL),saying that from the U.S.
perspective the Manta FOL was serving both U.S. and
Ecuadorian interests. Senator Reid said that he had heard
about Correa's opposition to renewing the agreement in 2009,
but asked that in the next two years the United States be
given the opportunity to explain how the FOL advances both
nations' interests.
14. (C) In Correa's reply, he (incorrectly) stated that the
United States has only three military bases in Latin America
) in Puerto Rico, Guantanamo, and Manta -- and that in his
concept of sovereignty, Ecuador cannot have a foreign base on
its soil. He added that Ecuador is not a coca producer, while
Colombia is; therefore he suggested that the FOL would be
more appropriately located in Colombia. He repeated that
Ecuador will respect the current agreement, although in his
view it is not receiving any compensation. He concluded by
firmly asserting that the agreement will not be renewed in
2009.
Anti-drug Assistance
-- -- -- -- -- -- -- --
15. (C) FM-designate Espinosa said that of the resources
available under the Andean Counter-Drug Initiative, only
three percent of the funds go to Ecuador, while 60% go to
Colombia. Sen. Reid replied that under current budget
constraints, assistance will not increase, but he would look
into the distribution of funds.
Corruption
-- -- -- --
16. (C) Senator Bennett, noting concerns from his
constituents that corruption has affected Ecuador's
investment climate, applauded Correa's campaign commitment to
combat corruption. Senator Reid noted that the United States
had withdrawn visas for certain corrupt individuals. Correa
said he will combat corruption to the death, since otherwise
his government could not implement a successful economic
policy. He welcomed the U.S. decision to withdraw visas from
corrupt officials as a means to highlight the problem, and
expressed the hope that the individuals will also be
prosecuted within Ecuador's judicial system.
Economic Cooperation?
-- -- -- -- -- -- -- --
17. (C) Senator Conrad asked how the United States and
Ecuador could work to promote opportunities for all. Correa
noted that two areas had already been addressed: migration
and ATPA. He then when on to criticize certain aspects of
the current international economic system, including
intellectual property rights which restrict the use of
pharmaceutical generics and sharing technologies, and a
global debt system that charges higher interest rates for
bankrupt countries. He called for an international
bankruptcy court and the need to change the "international
mercantilistic financial" system.
Dollarization
-- -- -- -- --
18. (C) Senator Gregg asked if Ecuador would continue to use
the dollar, and Correa simply replied yes.
Investment Climate/Oxy
-- -- -- -- -- -- -- --
19. (C) Senator Salazar noted the need to maintain a
positive investment climate. Correa, inferring that the
comments were aimed at the seizure of Occident Petroleum's
(Oxy) assets, asserted that Oxy had violated its contract and
that Ecuador was simply applying its law. He said that the
ICSID arbitration process requires that both parties agree to
arbitration, and Ecuador never concurred to ICSID
arbitration. When Sen. Salazar said that it would be best
for all parties of the matter were resolved quickly, Correa
responded that is for Oxy to decide, since from Ecuador's
perspective the matter is closed.
Comment
-- -- --
20. (C) In a wide-ranging discussion, President-elect Correa
for the most part appeared to stick to his script as one who
is prepared to work with the United States where our
interests coincide from his perspective. End comment.
21. (U) The CODEL has cleared on this cable.
JEWELL
SIPDIS
SIPDIS
DEPT OF COMMERCE WASHDC
TREASURY FOR SGOOCH
E.O. 12958: DECL: 01/02/2017
TAGS: PREL PGOV SNAR CVIS ETRD ECON EFIN EINV EC
SUBJECT: CODEL REID MEETING WITH PRESIDENT-ELECT CORREA
Classified By: Charge d'Affaires Jefferson T. Brown for Reasons 1.4(b)
and (d)
1. (C) Summary. In a wide ranging conversation with Codel
Reid, president-elect Rafael Correa asked for better
treatment of Ecuadorian migrants, welcomed Sen. Reid's
statement that he would work for ATPA extension, expressed a
commitment to combat narcotic trafficking, complained
vociferously about Colombian spraying along the border,
reaffirmed that the Manta FOL agreement would not be renewed,
stressed his commitment to combat corruption, and asserted
that the Occidental Petroleum case is closed from Ecuador's
perspective. End summary.
2. (U) Senator Harry Reid, accompanied by Senators Durbin,
Conrad, Gregg, Bennett and Salazar, met on December 29 with
President-elect Rafael Correa. Correa was accompanied by
nine members of his transition team, including five
ministers-designate, Maria Fernanda Espinosa (Foreign
Relations),Gustavo Larrea (Government),Ricardo Patino
(Economy),Alberto Acosta (Energy),and Raul Sagasti
(Industry).
3. (U) Sen. Reid opened the discussion by noting that the
visit by the bipartisan delegation to Bolivia, Ecuador and
Peru is an indication of the importance they place on U.S.
relations with the Andean region. Correa in turn welcomed
the visit by senior members of the U.S. Senate and stressed
the importance that he places on relations with the United
States.
Immigration
-- -- -- -- --
4. (C) Correa first raised the status of Ecuadorian
immigrants in the United States. He stressed that he regrets
that conditions are such in Ecuador that the migrants have
felt compelled to look elsewhere for work and that his top
priority will be to change the economic and social conditions
in Ecuador. However, given the large number of Ecuadorians
in the United States, many of whom are in "irregular" status,
Correa asked for a dialogue with the Senators on what can be
done to improve the status of Ecuadorian migrants.
5. (C) Senator Reid replied that members of Congress are
committed to try to do something about immigration in the
United States and will work on a solution that needs to
address four issues: better border security, a temporary
guest worker program, a pathway for legalization for the
11-12 million undocumented workers in the United States, and
a more effective employer sanction program.
6. (C) Senator Reid said that if Correa's team had
additional information on specific immigration cases, to
please share that information with the Ambassador, who would
relay it to the Congressional delegation.
ATPA
-- --
7. (C) Senator Reid said the United States and Ecuador could
also work on other areas of cooperation, and said that that
all the members of the congressional delegation support
extending the Andean Trade Preferences Act (ATPA) by more
than six months.
8. (C) Correa welcomed the support for ATPA extension, and
said that had been the second item that he had intended to
raise.
Counter Narcotics
-- -- -- -- -- -- --
9. (C) Senator Durbin, acknowledging that demand for illegal
narcotics comes from the United States, asked for Correa's
views on combating narcotics trafficking.
10. (C) Correa said that combating narcotics is not a U.S.
problem, but a global one, noting in particular the problems
it causes for young people. He said that his government will
be committed to fighting the narcotics problem. He said that
his government will be pragmatic, and therefore will look at
what is effective. He stressed the need to generate
alternative employment. He also expressed dissatisfaction
with heavy penalties in Ecuador for minor drug offenders
(such as mules),often marginal unemployed people and single
mothers, while major traffickers are less frequently caught.
11. (C) Government Minister-designate Larrea noted recent
record drug seizures in Ecuador as a sign of Ecuador's
commitment to combat narcotics. He acknowledged DEA support,
but stressed the work done by the Ecuadorian police. He also
highlighted the Ecuadorian police and military presence along
Ecuador's border with Colombia, saying that the state
presence is key to impeding coca cultivation in Ecuador.
Colombian Spraying
-- -- -- -- -- -- --
12. (C) Correa complained vociferously about the Colombian
decision to renew coca spraying close to the Ecuadorian
border. In response to Sen. Reid's comment that he views the
matter as a bilateral problem that he hopes Colombia and
Ecuador can resolve, Correa said that the spraying is not
just a bilateral problem, since it contaminates the ecosystem
and affects human rights. He asserted that most South
American nations support Ecuador's position, and asked that
the United States pronounce on the matter.
Manta FOL
-- -- -- --
13. (C) Senator Durbin asked for Correa's views on the Manta
Forward Operating Location (FOL),saying that from the U.S.
perspective the Manta FOL was serving both U.S. and
Ecuadorian interests. Senator Reid said that he had heard
about Correa's opposition to renewing the agreement in 2009,
but asked that in the next two years the United States be
given the opportunity to explain how the FOL advances both
nations' interests.
14. (C) In Correa's reply, he (incorrectly) stated that the
United States has only three military bases in Latin America
) in Puerto Rico, Guantanamo, and Manta -- and that in his
concept of sovereignty, Ecuador cannot have a foreign base on
its soil. He added that Ecuador is not a coca producer, while
Colombia is; therefore he suggested that the FOL would be
more appropriately located in Colombia. He repeated that
Ecuador will respect the current agreement, although in his
view it is not receiving any compensation. He concluded by
firmly asserting that the agreement will not be renewed in
2009.
Anti-drug Assistance
-- -- -- -- -- -- -- --
15. (C) FM-designate Espinosa said that of the resources
available under the Andean Counter-Drug Initiative, only
three percent of the funds go to Ecuador, while 60% go to
Colombia. Sen. Reid replied that under current budget
constraints, assistance will not increase, but he would look
into the distribution of funds.
Corruption
-- -- -- --
16. (C) Senator Bennett, noting concerns from his
constituents that corruption has affected Ecuador's
investment climate, applauded Correa's campaign commitment to
combat corruption. Senator Reid noted that the United States
had withdrawn visas for certain corrupt individuals. Correa
said he will combat corruption to the death, since otherwise
his government could not implement a successful economic
policy. He welcomed the U.S. decision to withdraw visas from
corrupt officials as a means to highlight the problem, and
expressed the hope that the individuals will also be
prosecuted within Ecuador's judicial system.
Economic Cooperation?
-- -- -- -- -- -- -- --
17. (C) Senator Conrad asked how the United States and
Ecuador could work to promote opportunities for all. Correa
noted that two areas had already been addressed: migration
and ATPA. He then when on to criticize certain aspects of
the current international economic system, including
intellectual property rights which restrict the use of
pharmaceutical generics and sharing technologies, and a
global debt system that charges higher interest rates for
bankrupt countries. He called for an international
bankruptcy court and the need to change the "international
mercantilistic financial" system.
Dollarization
-- -- -- -- --
18. (C) Senator Gregg asked if Ecuador would continue to use
the dollar, and Correa simply replied yes.
Investment Climate/Oxy
-- -- -- -- -- -- -- --
19. (C) Senator Salazar noted the need to maintain a
positive investment climate. Correa, inferring that the
comments were aimed at the seizure of Occident Petroleum's
(Oxy) assets, asserted that Oxy had violated its contract and
that Ecuador was simply applying its law. He said that the
ICSID arbitration process requires that both parties agree to
arbitration, and Ecuador never concurred to ICSID
arbitration. When Sen. Salazar said that it would be best
for all parties of the matter were resolved quickly, Correa
responded that is for Oxy to decide, since from Ecuador's
perspective the matter is closed.
Comment
-- -- --
20. (C) In a wide-ranging discussion, President-elect Correa
for the most part appeared to stick to his script as one who
is prepared to work with the United States where our
interests coincide from his perspective. End comment.
21. (U) The CODEL has cleared on this cable.
JEWELL