BRAZIL: OPEN MINEDED ON AUSTRALIAN PROPOSAL ON IMO SHIP

UNCLAS BRASILIA 000577 SENSITIVE SIPDIS GENEVA FOR USTR DEPT FOR OES/OMA, IO/T E.O. 12958: N/A TAGS: ECON EIDN ETRD EWWT IMO KTIA PREL SENV BR SUBJECT: BRAZIL: OPEN MINEDED ON AUSTRALIAN PROPOSAL ON IMO SHIP RECYCLING CONVENTION; CONCERNED ABOUT REDUCING SUPPORT REF: STATE 41904 (NOTAL) (U) THIS CABLE IS SENSITIVE BUT UNCLASSIFIED AND NOT FOR INTERNET DISTRIBUTION. ¶1. (SBU) On May 8, Post's Environment, Science and Technology, and Health (ESTH) Counselor together with Australian Deputy Chief of Mission Tim Millikan delivered the joint demarche (per REFTEL) concerning the International Maritime Organization (IMO) Ship Recycling Convention to the Brazilian Ministry of Exterior Relations (MRE) Director of the Division on Oceans, Space and Antarctica (DMAE),Counselor Fabio Pitaluga and his advisor Andre Tenorio Mourao. Key points and a copy of the Australian proposal were provided to Pitaluga. ¶2. (SBU) Pitaluga understood the points. ESTH Counselor had briefed him over the phone on them earlier in the week. He stated that he would share the information provided with the Brazilian delegation. The Brazilian Permanent Representative in London to the IMO will head the Brazilian delegation to the meeting in Hong Kong and he will be joined by his deputy. Pitaluga's DMAE Division has overall responsibility for the IMO, but the Brazilian Navy would be representing Brazil at this meeting and MRE would not be sending anyone. Pitaluga said he had discussed the matter earlier with the Navy drawing on the information Post had given him. He had also been in contact with the MRE's division responsible for the World Trade Organization (WTO) to discuss the WTO consistency points in REFTEL. ¶3. (SBU) Pitaluga noted that the Brazilian Navy had concern about allowing non-members to participate because this could reduce the incentive for countries to join the new convention and might delay or prevent it entering into force. As highlighted in REFTEL, ESTH Counselor and the Australian DCM pointed out that this equivalency provision was successfully used in other international environmental agreements. According to Pitaluga, the Brazilian Navy is open-minded on the question and would welcome an opportunity to discuss with the U.S. and Australian delegations in Hong Kong. ¶4. (SBU) Finally, Pitaluga and Tenorio Mourao commented that Brazil has little at stake with this convention. They said Brazil does not currently have a ship recycling industry and in this case is looking to preserve the possibility for an industry in the future. Of course, Brazil is interested in protecting the environment in general and is pleased to see this convention moving forward. SOBEL