Identifier
Created
Classification
Origin
08OTTAWA491
2008-04-10 14:39:00
CONFIDENTIAL
Embassy Ottawa
Cable title:  

CANADA'S RENEWED FOCUS ON LATIN AMERICA

Tags:  PREL EAID KDEM XM CA 
pdf how-to read a cable
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C O N F I D E N T I A L SECTION 01 OF 05 OTTAWA 000491 

SIPDIS

SIPDIS

E.O. 12958: DECL: 04/09/2018
TAGS: PREL EAID KDEM XM CA
SUBJECT: CANADA'S RENEWED FOCUS ON LATIN AMERICA

REF: A. 07 OTTAWA 01464

B. OTTAWA 467

C. OTTAWA 294

D. 07 OTTAWA 2078

OTTAWA 00000491 001.2 OF 005


Classified By: PolMinCouns Scott Bellard, reasons 1.4 (b) and (d)

C O N F I D E N T I A L SECTION 01 OF 05 OTTAWA 000491

SIPDIS

SIPDIS

E.O. 12958: DECL: 04/09/2018
TAGS: PREL EAID KDEM XM CA
SUBJECT: CANADA'S RENEWED FOCUS ON LATIN AMERICA

REF: A. 07 OTTAWA 01464

B. OTTAWA 467

C. OTTAWA 294

D. 07 OTTAWA 2078

OTTAWA 00000491 001.2 OF 005


Classified By: PolMinCouns Scott Bellard, reasons 1.4 (b) and (d)


1. (C) Summary: PM Harper has made Latin America one of a
very few focal points for Canada's foreign policy, alongside
Afghanistan, improving relations with the U.S., and
developing stronger ties with the rising economic powers of
Asia. Of the three pillars of the Latin America strategy --
security, trade, and governance -- security will be the most
problematic for significant Canadian contributions, while
trade and governance play to long-standing Canadian
strengths. Under PM Harper, Canada has redoubled efforts in
Haiti, revitalized long-standing ties with the
English-speaking Caribbean, sought new free trade agreements,
and sustained its restrained engagement with Cuba and
Venezuela. Despite Canadian aid largesse, much of the "new"
strategy so far may be rhetorical rather than substantive,
but Canada's increased attention to the hemisphere presents
some new opportunities for enhanced U.S.-Canadian engagement,
including working together to bring along other partners to
help more in Haiti and blending our hard power with Canada's
soft power in stabilization efforts in Colombia. Canada's
Latin American focus will likely outlive the current minority
government, driven by increasing commercial opportunities, a
waning pre-occupation with "Old" Europe, and the acceptance
that the Western Hemisphere is indeed Canada's real
neighborhood. End Summary.

A STRATEGY OF ACTIONS, NOT WHITE PAPERS
--------------


2. (C) Conservative Prime Minister Stephen Harper took office
in 2006 determined to chart a different course in foreign
policy than his Liberal predecessors: shifting more of
Canada's international engagement from multilateral to
bilateral, its U.S. policy from frosty to friendly, and its
geographic focus from Europe and Africa to the Americas (as
well as Afghanistan, China, and India). In his first
statement on Latin America in February 2007, PM Harper
promised to "re-engage relationships throughout the Americas

with our partners in Mexico, the Caribbean, and Central and
South America," and followed this up with a major trip to
Latin America and the Caribbean in August 2007 (ref a).
According to Peruvian Embassy Political Counselor Pedro
Vuitro, the shift to the Americas made sense for four
reasons: Harper needed to "de-Afghanistanize" his foreign
policy; this focus helped further to deepen relations with
the U.S. while ensuring Canada was not left behind in the
hemisphere; Latin America had traditionally been more of a
Conservative Party priority (it was then Conservative Prime
Minister Brian Mulroney who brought Canada into the OAS
almost two decades ago); and, Canada woke up to the reality
that its hemispheric neighbors were increasingly prosperous
and democratic partners (with a few notable exceptions of
concern).


3. (C) According to Assistant Deputy Minister of Foreign
Affairs for the Americas Strategy Alexandra Bugailiskis, the
2007 trip effectively laid out Harper's Latin America
strategy on the ground, as opposed to in yet another wordy
policy document. While there was still talk about a formal
document -- Salvadoran DCM Christina Calderon told poloff
Qdocument -- Salvadoran DCM Christina Calderon told poloff
that there was a forthcoming 125-page policy statement, while
a Peruvian diplomat had heard mention of a memo to Parliament
-- Bugailiskis emphasized privately to PolMinCouns and poloff
that while "there is not a written strategy, there is a
commitment."


4. (C) PM Harper orchestrated his trip to highlight the
pillars of the strategy, while allowing for considerable
overlap: by visiting Colombia, he stressed that Canada would
not shy away from difficult security challenges; in Chile, he
extolled free trade; and, in Haiti and Barbados, he stressed
the importance of good governance. Security, trade, and
governance have become the pillars of the new Latin America
strategy, and are, in the Prime Minister's own words,
"mutually reinforcing."

SEARCHING FOR A NICHE IN REGIONAL SECURITY
--------------


5. (C) PM Harper's visit to Colombia and Haiti and follow-up

OTTAWA 00000491 002.2 OF 005


visits to Haiti by Foreign Minister Maxime Bernier have
showcased Canada's efforts to support bilateral and regional
efforts to improve security. Haiti, where Canada has been
involved in UN peacekeeping efforts for fifteen years,
provides a relatively easy and welcoming environment to put
considerable additional resources into the security arena
(ref b).


6. (C) Colombia has posed a more difficult challenge on
security for Canada, due mostly to a lack of Canadian
security assistance infrastructure and capacity and a far
riskier environment on the ground. Guillermo Mejia, Minister
Counselor at the Colombian Embassy, told poloff that Colombia
was pleased that Canada was not shying away from the
difficult security environments in conflict societies like
Colombia. He recounted a visit by then-Deputy Foreign
Minister Harder in spring 2006, during which DM Harder
accompanied President Uribe to a small village -- San Vicente
de Acuan -- where guerrilla negotiations were underway. He
claimed that Harder returned to Canada with a more positive
sense of what Canada could achieve and then began to move the
bureaucracy to do more.


7. (C) Mejia nonetheless indicated that Canada would be
working the "soft side" of security issues in Colombia, in
contrast to the "hard side" of U.S. programs. He commented
that both are needed and that the Canadian programs could
bring balance and promote as yet neglected pieces of the
security picture. PM Harper promised during his 2007 visit
to increase Canada's support for "peace-building, justice,
and national reconciliation," and, during a follow up visit
in January 2008, Minister of International Cooperation
Beverley Oda announced programs for the protection of
children in conflict zones and the provision of basic
services to displaced persons. Canada also has a program on
human rights and justice reform in Colombia. According to
Mejia, the two governments are planning for bilateral
security talks in fall 2008 in which officials will focus on
organized crime and more direct Canadian assistance.


8. (C) Executive Director of the Canadian Foundation for the
Americas (FOCAL) -- the country's premier think tank on the
hemisphere -- Carlo Dade separately commented that FOCAL sees
Canada's focus on governance and trade as on track, but noted
less clarity on its contributions to regional security. The
lack of a Canadian foreign intelligence service and a general
lack of capacity limited Canada's effectiveness in offering
security assistance. He noted that "while the Canadian
government has . . . chosen the Americas as a foreign policy
priority, officials have yet to address our role in the
region's alarming crime levels." He pointed to increasing
levels of violence in some Latin American and Caribbean
countries and suggested that "if we are concerned about
improving human rights and economic quality in Latin America
and the Caribbean, we must also be concerned about the
personal security of the people living and working there."
According to Stephen Randall, security policy analyst at the
University of Calgary, Canada was trying to shift to a more
robust security assistance posture, and cited the placement
of an LNO in USSOUTHCOM in 2007 as well as public
acknowledgment in official Canadian documents that "weak"
Qacknowledgment in official Canadian documents that "weak"
states such as Colombia can be seen as a security threat as
evidence of the change. He nonetheless predicted that Canada
would, for the short-term at least, prefer to stay on the
softer side of conflict issues to minimize association with
the U.S. Plan Colombia.

MORE TRADE FOR CANADA -- FREE TRADE FOR THE HEMISPHERE
-------------- --------------


9. (U) In a recent interview, PM Harper stated that "the
Canadian experience shows that, over the long term, there is
really no better way to boost living standards than with free
trade. An FTAA would have the potential to create the
world's largest free trade area. . .Though FTAA negotiations
have stalled in recent years, Canada remains steadfast in our
commitment to liberalize trade and investment with our
partners in the hemisphere." In a September 2007 speech to
the Council on Foreign Relations, Harper touted the
importance of free trade agreements, and urged the U.S. to
conclude and ratify its own agreement with Colombia.


10. (SBU) ADM Bugailiskis described Canada as a "cheerleader"
for the FTAA, a theme that PM Harper underscored during his
2007 trip to Chile on the 10-year anniversary of the
Canada-Chile Free Trade Agreement. While PM Harper couched

OTTAWA 00000491 003.2 OF 005


Canada's promotion of free trade in terms of a new model for
the hemisphere "for countries looking to enhance quality of
life but maintain their social cohesion," and avoid the stark
choices between "two models for development, one that is
focused on social justice, and the other on economic
liberalization," there is also considerable Canadian
self-interest at work in the trade agenda. Direct Canadian
foreign investment in the Americas now stands at close to
C$100 billion (approximately the same figure in US$) -- more
than twice the size of Canadian investments in Asia -- making
Canada the third largest investor in the hemisphere, after
the U.S. and Spain. Canadian exports to Latin America rose
14% in the last year, compared to only 2% in the rest of the
world. There are 80 Canadian companies involved in the
mining sector in Peru alone.


11. (SBU) To shore up its economic gains in the hemisphere,
Canada has launched free trade agreements with Peru,
Colombia, the Dominican Republic, and Caricom. PM Harper has
publicly pledged also to negotiate an agreement with "the
Central American Four" of El Salvador, Guatemala, Honduras,
and Nicaragua. Canada signed the agreement with Peru on July
16, 2007 in Davos, and is now in the implementation stage,
timed to correspond with the U.S.-Peru Trade Promotion
Agreement so the two enter into force simultaneously. The
Colombia agreement has been far more difficult to close. It
has been a particular target for Canadian human rights and
labor activists, such as Gauri Sreenivasan, a trade policy
analyst with the Canadian Council for International
Cooperation, who urged Canada to go slow in negotiations with
Colombia and develop "an explicit strategy to address the
terms of the trade agreement in a way that's protective of
human rights." Acting Representative of the UN High
Commission for Human Rights in Colombia Javier Hernandez told
Canadians publicly during a recent visit that if they did not
"take care of other issues like human rights, cultural
rights, and labor union rights, you are missing an
opportunity." Colombian labor leaders have also traveled to
Canada to criticize the agreement.

STRENGTHENING GOVERNANCE AND PUBLIC ADMINISTRATION
-------------- --------------


12. (U) PM Harper has reiterated publicly that "building
democratic institutions and strengthening the rule of law is
a second area in which Canada can offer expertise, unique to
our democratic experience but with universal lessons, to
countries working to resolve various lessons of democratic
consolidation." In a recent forum on "Canadian Approaches to
Democracy Support in the Americas," one participant suggested
that Canada had traditionally been involved in democracy
promotion in the Americas in two ways: openly through support
for free and fair elections and improved public institutions;
and, behind the scenes through support to democratic
oppositions, such as in Peru in 1989 and in Chile in the
1980's.


13. (SBU) As one participant from the Parliamentary Centre
said at the forum on democratization: "ten years ago, this
discussion would have been more ideological and theoretical,
now it is more practical and operational." In a September
2007 document on "Canada's Role in Democratic Governance in
Q2007 document on "Canada's Role in Democratic Governance in
the Americas," the Canadian International Development Agency
listed an array of hemispheric projects in freedom and
democracy, including: support for 12 elections since 2006
through the Organization of American States and development
of a "Democracy Handbook" for Practitioners; Indigenous
Peoples Partnership Programs; support for better government
contracting capacity in Nicaragua; technical support to the
OAS in writing the Convention Against Corruption; and, aid
programs to support justice reform in Haiti and the Eastern
Caribbean. The Department of Foreign Affairs and
International Trade's Democracy Unit has separately been
working to coordinate Canada's various programs and
positions. While the government decided in 2007 against
establishing a National Endowment for Democracy-style
organization, Canada will continue to seek more robust ways
to advance the democratic agenda in the hemisphere with
programs by both CIDA and DFAIT. Notably, the governance
agenda provides a way for Canada to engage with the
Caribbean, where some Canadians believe Canada had in recent
years lost influence.

NOT GIVING UP ON CUBA, VENEZUELA
--------------


OTTAWA 00000491 004.2 OF 005



14. (C) PM Harper has made human rights and democratization a
focal point of his foreign policy globally, but has not gone
out of his way to criticize wayward states in the hemisphere,
especially Cuba and Venezuela. Even under the Conservatives,
Canada has maintained its policy of "constructive engagement"
with Cuba, especially since the transition to Raul Castro,
which Foreign Minister Bernier said might "open the way for
the Cuban people to pursue a process of political and
economic reform" (ref c). ADM Bugailiskis cited a program in
which 135 Cuban academics will come to Montreal in the summer
of 2008. In another program, Canadian professors from
Carleton University teach modern economic theory (i.e.
non-Marxist) at Havana University. At a recent
democratization conference, former UN Director of Electoral
Assistance Division Carina Perelli expressed the belief that
"Canada is one of the few interlocutors who could help get
the transition in Cuba right." Deputy Foreign Minister Len
Edwards visited Cuba in December 2007 and reiterated Canada's
call for the release of all political prisoners and promotion
of human rights. Canada also maintains six Canadian centers
throughout Cuba that offer Internet access to
computer-starved ordinary Cubans.


15. (C) Similarly, Canada's "principled engagement" with
Venezuela has tried to avoid alienating President Chavez
while clearly expressing concerns about developments in
Venezuela that undercut democracy and civil society and
working to shore up relation with "vulnerable" near-by states
(ref d),according to DFAIT's South America Division Director
Daniel Daley.

DOUBTS ABOUT THE DEPTH
--------------


16. (SBU) The new strategy has been met with some skepticism
by Latin America watchers in Canada and the hemisphere.
Andres Rozental, former Mexican Deputy Foreign Minister,
quipped at a recent conference on "Canada and the Americas:
Defining Re-Engagement" that this is Canada's fourth
re-engagement with the Americas he can remember. FOCAL's
Carlo Dade separately expressed willingness to give the
strategy the benefit of the doubt, but will take a
wait-and-see attitude until resources start to flow a bit
more. Argentine-born opposition Member of Parliament Pablo
Rodriguez (Liberal Party) claimed to poloff that the Harper
government had not matched its rhetoric with personnel or
funding. He noted that there was no internal Latino bloc of
voters to ensure sustained political attention on the
hemisphere. Calgary academic Randall nonetheless called PM
Harper's speeches "the strongest statement of hemispheric
support since Canada joined the OAS in 1989."


17. (C) However, Salvadoran DCM Calderon commented that
Canada had begun under previous Liberal PM Chretien to move
away from a fixation with the two "mother countries" in North
America toward a fuller integration with the hemisphere. She
noted that the last time a Conservative government had
"discovered" the hemisphere, there was a flurry of activity
for the first year -- hosting the Summit of the Americas in
Quebec City, an important OAS meeting in Windsor, and the
First Ladies Summit of the Americas -- before the focus
simply lost steam. But Calderon underscored that Spanish was
now the third most studied language in Canada (a distant
Qnow the third most studied language in Canada (a distant
third, but growing),and that commercial ties and travel (1
million Canadians visit Mexico alone in any given year) are
increasing awareness and linkages in the hemisphere.
Colombian Embassy Minister Counselor Mejia expressed the
belief that the new strategy was "serious," albeit consisting
so far more of tactical rather than structural changes.


18. (SBU) The simple math of high-level contacts suggests an
enhanced focus on the hemisphere. One of FM Bernier's first
engagements as Minister was with his Mexican counterpart; he
followed this up with meetings with the Central America Four
and Rio Group Ministers, and traveled to Haiti and Colombia
in February. Minister of International Cooperation Oda
traveled to Haiti and Jamaica in October 2007, Peru and
Colombia in January 2008, and Honduras in March 2008. A
number of Canadian Secretaries of State (Members of
Parliament who work just under the relevant Ministers) have
also traveled, and more ministerial trips are now in the
works. There are new bilateral agreements, including with
Chile on geospatial knowledge exchanges and with the Pan
American Health Organization on a common health agenda for
the Americas. Canada will in May 2008 host the Annual
Meeting of the Caribbean Development Bank in Halifax, in

OTTAWA 00000491 005.2 OF 005


September the Defense Ministerial of the Americas in Banff,
and later in the year the Canada-Caricom Leaders Summit.
Canada also expects visits by Presidents Lula and Bacelet in
2008, and possibly President Uribe. Latin American diplomats
have commented that they feel it is easier to get high level
appointments with the current government because of the
perceived shift in strategy, in contrast to Asian and
European diplomats, who complain that access is more
difficult than under the Martin government.


19. (C) ADM Bugailiskis answered the "will it last"
question with an unequivocal yes. She insisted that this
time Canada was engaged in the hemisphere for the long-term
and the strategy, whether in written form or not, would be
lasting. In recent polls, Canadians ranked Latin America as
the second highest priority for advancing Canada's interest
in the world (outside the US),after Europe but ahead of
China.

OPPORTUNITIES FOR U.S. ENGAGEMENT
--------------


20. (C) In the midst of this flurry of activity in the
hemisphere by Canada, there will be increasing opportunities
for engagement and synergy between the U.S. and Canada. The
focus on Latin America will likely outlive the current
minority government, driven by increasing commercial
opportunities, a waning pre-occupation with "Old" Europe, and
the acceptance that the Western Hemisphere is indeed Canada's
real neighborhood. Canada's message to the hemisphere
(notably to Cuba and Venezuela) that there are more than one
way to be a free trading democracy is a positive one that
reinforces our own agenda. Canada can also in many places
potentially add soft power to our hard power. Especially in
dealing with non-democratic regimes, Canada's constructive
engagement can provide a window and a voice that we may not
have. Finally, Canada's strategy of working to bring along
other hemispheric partners such as Mexico and Brazil to do
more in the hemisphere could be very helpful in places like
Haiti.

Visit Canada,s Economy and Environment Forum at
http://www.intelink.gov/communities/state/can ada

WILKINS