DEMARCHE DELIVERED: COLOMBIA NOT READY TO CO-SPONSOR WTO

UNCLAS BOGOTA 003285 SIPDIS E.O. 12958: N/A TAGS: EFIN ETRD PREL ECON WTRO CO SUBJECT: DEMARCHE DELIVERED: COLOMBIA NOT READY TO CO-SPONSOR WTO REMANUFACTURING INITIATIVE REF: STATE 107233 ¶1. (U) Econoff delivered reftel points and background in a joint demarche with officials from the Embassies of Japan and Switzerland to Juan Carlos Cadena, Director of Commercial Relations within Colombia's Ministry of Trade. Cadena said that the GOC remains committed to eliminating non-tariff barriers (NTBs) in general, but that the Colombian private sector's sensibilities in the area of remanufacturing have necessitated incremental steps for the Colombian Government. The GOC is not ready to be a co-sponsor of the initiative at this time, but Cadena pledged that Colombia would continue to study the proposal, offer constructive input, and consult with industry. ¶2. (U) Deputy Director of Commercial Relations Maria Eugenia Mesa said that Colombia understood the benefits of remanufactured goods, both in terms of less expensive products for Colombia, as well as the potential to become an exporter of such products. However, she explained the difficulties Colombian industry (particularly electrical appliances and auto parts) had with perceived competition from remanufactured goods during free trade negotiations with the U.S. She noted that in subsequent FTA negotiations with Canada and the European Free Trade Area, Colombian industry was less opposed to liberalizing trade in remanufactured goods, but that the process was a slow one. Finally, Mesa said that Colombia's private sector was generally lukewarm about WTO talks on NTBs in specific sectors (or groups of sectors) because of what Mesa described as the perceived pressure to reduce tariffs in those sectors that inevitably follows. ¶3. (U) Econoff inquired if the GOC planned to send anyone from Bogota to the November 4 industry-led remanufacturing workshop in Geneva. Cadena responded that Doris Jurado, Counselor at Colombia's Mission to the WTO would represent the GOC at the event. BROWNFIELD