Identifier
Created
Classification
Origin
08STATE83009
2008-08-01 15:56:00
CONFIDENTIAL
Secretary of State
Cable title:  

GUAM BATUMI SUMMIT STRESSES TRADE, TRANSPORTATION

Tags:  PREL OVIP EAID ECON KCRM AJ GG MD UP 
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OO RUEHWEB

DE RUEHC #3009 2141600
ZNY CCCCC ZZH
O 011556Z AUG 08
FM SECSTATE WASHDC
TO CIS COLLECTIVE IMMEDIATE
NATO EU COLLECTIVE IMMEDIATE
RUEHKV/AMEMBASSY KYIV IMMEDIATE 0000
RUEHUL/AMEMBASSY SEOUL IMMEDIATE 0000
RUEHKO/AMEMBASSY TOKYO IMMEDIATE 0000
C O N F I D E N T I A L STATE 083009 

SIPDIS

E.O. 12958: DECL: 08/01/2018
TAGS: PREL OVIP EAID ECON KCRM AJ GG MD UP
SUBJECT: GUAM BATUMI SUMMIT STRESSES TRADE, TRANSPORTATION
IN "INTEGRATING EUROPE,S EAST"

Classified By: E.O. 12958

C O N F I D E N T I A L STATE 083009

SIPDIS

E.O. 12958: DECL: 08/01/2018
TAGS: PREL OVIP EAID ECON KCRM AJ GG MD UP
SUBJECT: GUAM BATUMI SUMMIT STRESSES TRADE, TRANSPORTATION
IN "INTEGRATING EUROPE,S EAST"

Classified By: E.O. 12958


1. (C) SUMMARY: On July 1, the Black Sea port of Batumi
played host to the 2008 Summit of the Organization for
Democracy and Economic Development, familiarly known as GUAM
for its members Georgia, Ukraine, Azerbaijan and Moldova.
Georgia assumed the year-long GUAM presidency from Azerbaijan
under the theme &Integrating Europe,s East.8 Although the
frozen conflicts were discussed at the plenary, much more
time was spent talking about trade, transportation and energy
and specifically about connecting Black Sea countries to
Caspian Sea countries and resources. The International Road
Transport Union announced a new cooperative venture with GUAM
covering motor and ferry transport. President Adamkus of
Lithuania urged GUAM to continue internal reforms, maintain
solidarity and keep faith with democratic values. The Summit
concluded with a picture-perfect press availability for the
five presidents and the Secretary-General on the beach near
the Summit venue, the sun setting on the Black Sea behind
them. A list of countries and international organizations
attending the Summit is in paragraph 13. The report of the
GUAM-U.S. meeting and the meeting of the U.S. delegation with
the GUAM Secretary-General will be reported septel. END
SUMMARY.

--------------
PLENARY ) MEMBER STATES SPEAK
--------------


2. (U) President Saakashvili of Georgia and President Aliyev
of Azerbaijan both began their presentations with detailed
discussion of the frozen conflicts. President Saakashvili

also explicitly cited the Summit site of Batumi as an example
of how Georgia has moved from an era of separatist war to
prosperity.
However, both moved fairly quickly onto issues of trade,
transportation and energy. President Aliyev noted how, on
his arrival in Batumi, he and President Saakashvili had
walked together to a private home and ceremonially turned on
the gas, vivid proof of how Azerbaijan is supporting Georgia
with natural gas supplies. He also mentioned the

Baku-Akhalkalaki-Kars railroad project as an example of
continuing regional integration. President Saakashvili
echoed this, and stressed the importance of customs and tax
harmonization among member states. He also put forward a
proposal for a summer youth camp program for GUAM countries,
joking that &the word camp, is not always a nice word in
this region.8


3. (U) In his statement, President Yushchenko of Ukraine
praised GUAM,s development, noting the establishment of the
Secretariat in 2007 and the creation of the nine GUAM working
groups (law-enforcement, emergencies, economics/trade,
energy, tourism, information technology,
culture/science/technology, transport and pol-mil issues)
with their individual action plans. He said that in the past
year, Ukraine,s trade with Georgia had doubled, as had its
trade with Azerbaijan (about USD 1 billion each),because of
the streamlining of customs and transportation procedures
brought about through GUAM. President Yushchenko said that
he felt issues surrounding the Odessa-Brody-Gdansk pipeline,
and its potential use in transporting Caspian oil, had been
resolved. A joint transportation policy is important for the
GUAM states, he added. Georgian ports like Batumi and Poti
could be harnessed to connect GUAM to Central Asia as well.
Yushchenko concluded by urging continued work to resolve
frozen conflicts.


4. (U) Moldova, represented by Interior Minister Mejinschi,
was the last to speak among the member states. The Minister
spoke briefly, saying that GUAM,s expert-level conferences
produced good results and that GUAM,s priority should be
European integration and the adoption of European standards.

--------------
LITHUANIA,S ADAMKUS ) THE CONSCIENCE OF GUAM?
--------------


5. (U) Perhaps the most extensive and thoughtful remarks came
from President Adamkus of Lithuania, who enjoys a deep
respect and deference at GUAM events. President Adamkus said
that GUAM was part of building a Europe &whole and free,8
and that the organization can be a &ray of hope8 for the
spread of democratic ideals. He spoke of GUAM,s cooperation
with the EU Border Assistance Mission (EUBAM) and of the
importance of Azerbaijani gas. What is key, he said firmly,
is that member states not undermine the solidarity of the
group by focusing only on their individual interests.
GUAM,s work will take time, said Adamkus, and members should
not repudiate the organization just because progress seems
slow.


6. (U) President Adamkus advised GUAM to focus on trade,
education and cultural programs, even though these are
lower-profile than security issues. He mentioned that he was
trying to create a &Friends of GUAM8 group within the EU,
and outlined three areas for GUAM,s future work: continued
work on domestic and democratic reform; improving
infrastructure, energy and transport links between the Black
and Caspian seas, possibly linking Kazakhstan as well; and
working with the UN and EU to resolve the &frozen
conflicts8 in GUAM states. He concluded by urging a firm
commitment to democratic and liberal values among the GUAM
countries, because it was &values-based cooperation8 that
ended the Communist era and transformed the region a
generation ago.


7. (C) COMMENT: Some of Adamkus,s remarks seemed obliquely
aimed at Moldova and that country,s sometimes-criticized
&fair-weather8 commitment to GUAM ) symbolized, among
other things, by their low level of representation at the
Summit. The Moldovan Minister did not react, but President
Aliyev seemed irritated by the stress on democratic values,
glancing sharply at the Lithuanian President at that point in
the presentation. END COMMENT.

--------------
OTHER NOTABLE SPEAKERS
--------------


8. (U) Polish President Kaczynski spoke of the importance of
the principle of territorial integrity and of NATO-MAP status
for Georgia and Ukraine. He urged GUAM to consider further
links to the Baltic states and said Poland would be GUAM,s
advocate within the Visegrad Group, returning to the issue of
using the Odessa-Brody pipeline to bring Caspian oil to
Gdansk. Czech Foreign Minister Schwarzenberg echoed this
point in his presentation. Japanese Ambassador Oki discussed
Japan,s dialogue with GUAM, noting the first GUAM-Japan
Meeting which took place in 2007. In 2007, representatives
of scientific organizations in the GUAM states visited Tokyo
for discussions on energy-efficient technologies, and the
Ambassador noted an upcoming GUAM expert-level workshop in
Tokyo on investment and trade promotion.


9. (U) Romania was represented by their State Secretary for
Foreign Affairs, who noted that she remembered conferences
like this one in the past when it was Romania, Lithuania, the
Czech Republic and Poland who were trying to reform and enter
the EU. Today, it is GUAM that is in that position. GUAM is
not directed against anyone but at the goal of European
integration, which &is possible and worth fighting for,8
she said. She urged GUAM to focus on the EU and on democracy
issues, and that &Romania will be there for you when you
need it.8 Echoing the Polish President, she said that
&your success is our success too.8


10. (U) EUR DAS David Merkel spoke for the United States,
noting the Summit theme of &Integrating Europe,s East8 and
the importance of bringing together the Black Sea and Caspian
Sea worlds, a gap that can be bridged by GUAM. He thanked
the Azeris for their leadership of GUAM over the past year
and congratulated Georgia on assuming the rotating
presidency, thanking them for their leadership of the
Secretariat. DAS Merkel briefly highlighted U.S. support for
the GUAM Secretariat, the Virtual Law Enforcement Center
(VLEC) as part of the U.S. partnership with the Law
Enforcement Working Group, and past support for the Trade and
Transportation Facilitation Initiative. He also reiterated
the U.S. commitment to resolving the frozen conflicts.

-------------- --------------
STATEMENTS BY INTERNATIONAL ORGANIZATIONS AND CONCLUSION
-------------- --------------


11. (U) In addition to GUAM Secretary-General Chechelashvili,
representatives of two other international organizations
spoke. First Deputy Executive Secretary Vladimir Garkun of
the CIS gave a brief, perfunctory speech where he noted the
common Soviet heritage of the GUAM members (the only time the
word &Soviet8 was uttered at the Summit).
Secretary-General Martin Marmy of the International Road
Transport Union discussed the New Eurasian Transport
Initiative (NETI),a new project to work with GUAM in
creating a Europe-Caucasus-Central Asia transport corridor
for freight and passenger services, including Black Sea and
Caspian Sea ferryboat links for motor vehicles. In his brief
remarks, GUAM Secretary-General Chechelashvili said that the
GUAM Transportation Working Group will hold an experts
meeting in September which will be followed by a conference
in Batumi. Secretary-General Chechelashvili noted that the
GUAM countries now enjoy USD 4 billion of internal trade per
annum, a billion dollars more than last year. He credited
the new GUAM Free Trade Zone and customs harmonization
procedures for bringing this about.


12. (U) After the plenary, the five presidents and the GUAM
Secretary-General appeared together to make statements to the
press. The press availability took place at the nearby beach
and was expertly choreographed. The six principals stood at
podiums facing the seated crowd, perfectly lit for television
and with the sun setting on the Black Sea behind them. After
a short dinner, featuring dancers from different regions of
Georgia, and a brief, tasteful concert by a large fountain,
the Summit concluded.


13. (U) The following were represented at the 2008 GUAM
Summit in Batumi:

Countries:

Bulgaria ) Ambassador to Georgia Branimir Radev
Czech Republic ) Foreign Minister Karel Schwarzenberg
Estonia ) their Ambassador to Georgia
Finland ) Ambassador to Georgia (non-resident) Petri Salo
France ) Ambassador to Georgia Erik Furnie
Germany ) Deputy Chief of Mission in Georgia
Japan ) Ambassador to Azerbaijan and Georgia (non-resident)
Masamitsu Oki
Kazakhstan ) Minster of Transportation Serik Akhmetov
Korea ) Mr. Dong-Sook Lee, Counselor (resident in Kyiv)
Latvia ) their Ambassador to Georgia
Lithuania ) President Valdas Adamkus
Poland ) President Lech Kaczynski
Romania ) State Secretary for Foreign Affairs
Russia ) Ambassador to Georgia Viacheslav Kovalenko
Slovakia ) Political Director Ambassador Roman Buzek
Sweden ) their non-resident Ambassador to Georgia
Turkey ) Ambassador to Georgia Ertan Tezgor
USA ) EUR DAS David A. Merkel

Organizations:

Arab League ) one participant
CIS ) First Deputy Executive Secretary Vladimir Garkun
Council of Europe ) their Ambassador to Georgia
International Road Transport Union ) Secretary-General
Martin Marmy
OSCE ) Head of Mission Terhi Hakala
RICE