This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS SECTION 01 OF 02 BRASILIA 000298 
 
SIPDIS 
 
SENSITIVE 
 
USDA FOR SECRETARY JOHANNS 
USDA FAS FOR ADMINISTRATOR ETERPSTRA; AREA 
DIRECTOR JBAILEY 
USDA APHIS FOR ADMINISTRATOR DEHAVEN 
 
SAO PAULO FOR ATO/RVERDONK 
 
E.O. 12958: N/A 
TAGS: EAGR PGOV ECON BR
SUBJECT: AMBASSADOR MEETS WITH ROBERTO RODRIGUES, 
BRAZILIAN MINISTER OF AGRICULTURE 
 
REF: BRASILIA 235 
 
FOR USDA, THIS IS AN ACTION MESSAGE USDA/APHIS 
(SEE PARA. 8-9) AND USDA/FAS (SEE PARA. 12). 
 
 
¶1. (SBU) SUMMARY.  Ambassador Danilovich met with the Brazilian 
Minister of Agriculture, Livestock, and Food Supply ("MAPA" is 
the Portuguese acronym), Roberto Rodrigues, on January 25 in 
Brasilia to discuss trade concerns and issues leading up to the 
CCA meetings in Washington in March 2005.  Rodrigues focused on 
the pending biosafety legislation in the Brazilian House of 
Representatives, the CCC agenda, access to the U.S. market for 
Brazilian fresh, chilled, and frozen beef, an increase in 
Brazil's sugar quota, access for papayas in the U.S. market, 
coffee contract C on the exchange in New York, and the upcoming 
RIMSA meetings in Mexico.  Rodrigues also requested a meeting 
with Secretary Johanns in Washington on the afternoon of April 19 
or morning of April 20.  Participants in the meeting included 
Ambassador Mauricio Costas, the Minister's new International 
Affairs Advisor, and AgCouns Westman.  END SUMMARY 
 
¶2.  (U) At a January 25 meeting with Brazilian MinAg Rodrigues, 
Ambassador complimented Brazil's increasing agricultural 
production and exports in recent years and its initial favorable 
ruling on the EU sugar and U.S. cotton cases in the WTO.  He 
added that the U.S. continues to be an excellent customer for 
Brazilian agricultural products --importing ten times more ag 
products than we export to Brazil. 
 
FTAA Negotiations 
----------------- 
 
¶3.  (U) The Ambassador emphasized the importance of restarting 
the FTAA negotiations and commented that Ambassador Zoellick's 
move to become Deputy Secretary of State will provide outstanding 
leadership in this area.  Minister Rodrigues commented that now 
is the time to resolve trade issues, construct mutually 
beneficial solutions, and truly address free trade in the 
hemisphere. 
 
U.S. Priorities 
--------------- 
¶4.  (U) Ambassador raised the following U.S. priority issues with 
the Minister: 
 
-- Consultative Committee on Agriculture (CCA) meetings planned 
for March 15-18 in Washington, D.C., and developing the proposed 
agenda as soon as possible; 
-- Biotechnology orientation tours with Brazilian Congressional 
representatives and the Brazilian media; 
-- USDA Food Safety and Inspection Service Audit (a comprehensive 
and detailed seven-week audit of the meat inspection system) 
scheduled for March/April, 
2005; and, 
-- Reorganization of the Brazilian Ministry of Agriculture. 
 
Jockeying for Position in the Brazilian Congress 
--------------------------------------------- --- 
¶5.  (SBU) Minister Rodrigues lamented the amount of time he had 
spent with the agriculture caucus in the Brazilian House of 
Representatives.  (Note, Rodrigues was lobbying for Deputy Luiz 
Eduardo Greenhalgh (PT) to become the next Speaker of the House. 
Greenhalgh is President Lula's preferred candidate but his 
background as an attorney for the Landless Movement (MST) has 
made him unpopular with members of the ag caucus.) 
 
The Minister's Priorities 
------------------------- 
¶6.  (U) Rodrigues had his own list of priorities prepared for the 
Ambassador's consideration: 
 
Biotechnology.    Regarding the pending biosafety billin the 
House, the Minister felt confident that the Senate version of 
this bill (generally favorable to biotechnology) will easily pass 
in March.  He was very encouraged by the Embassy proposal to 
sponsor two biotechnology orientation tours for Brazilian 
congressional representatives and the science press (reftel).  He 
felt that the timing of the tours in May/June, 2005, after the 
vote on the biosafety bill was "ideal" because the congress would 
not be pressured yet would benefit from this orientation. 
The Minister suggested expanding the tours to include serious 
non-governmental organizations and offered to provide prospective 
candidates from the "nucleo organico" side of the Workers' Party. 
 
Consultative Committee on Agriculture (CCA) 
------------------------------------------- 
¶7.  (U) The Minister is very enthusiastic about the CCA and 
upcoming meetings in Washington in mid-March.  He plans to ask 
former MAPA Executive Secretary (Vice Minister), Amauri Dimarzio, 
to travel to Washington with Luis Carlos Gedes Pinto, the new 
ExecSec at MAPA and former President of the National Supply 
Company (CONABsimilar to the Commodity Credit Corporation). 
Ambassador Costas, will contact the AgCouns regarding the 
proposed agenda for the CCA meetings. 
 
Fresh Beef Exports to the United States 
--------------------------------------- 
¶8.  (U) The Minister was informed, based on the last CCA meeting 
in Washington in September, that USDA/APHIS completed the risk 
analysis for fresh, chilled, and frozen (FCF) beef and now was in 
rule making.  He wanted to know why this was taking so long.  He 
noted that the same could be said for poultry (Note, AgCouns 
forwarded the new FSIS questionnaires to the MAPA the week of 
January 14.)  Ambassador commented that rulemaking can take a 
considerable amount of time after completion of the risk analysis 
but the Mission would request an update/status report from APHIS. 
 
Papayas 
------- 
¶9.  (U) Rodrigues requested the status of approval to export 
papayas from northeast Brazil to the U.S. (also under rule making 
in Washington). 
 
Request to Increase the U.S. Sugar Import Quota 
--------------------------------------------- -- 
¶10.  (SBU) The Minister requested that the U.S. double Brazil's 
share of the U.S. sugar import quota.  This would allow him to 
placate the sugar producers/exporters in Sao Paulo who are in a 
political battle with producers in the nine northeastern states 
(the northeast is allocated the entire Brazilian quota based on 
economic assistance objectives for the region, which is the 
poorest in Brazil). 
 
Coffee and the New York Board of Trade 
-------------------------------------- 
¶11.  (U) Rodrigues requested the Ambassador's and USG's 
intervention with the New York Board of Trade (NYBOT) to permit 
inclusion of Brazilian coffee in the contract to price Washed 
Arabica Beans.  Colombian producers oppose inclusion of Brazilian 
beans in contract C, and certain members of the U.S. Congress 
support their objectives, because of the potentially negative 
social costs to small producers of Arabica coffee.  We understand 
that the NYBOT's Coffee Committee has not yet made a decision on 
this issue. 
 
Request for Meeting with Secretary Johanns 
------------------------------------------ 
¶12.  (U) Lastly, Minister Rodrigues requested a meeting with 
Secretary of Agriculture Johanns, in Washington, either on the 
 
SIPDIS 
afternoon of April 19 or the morning of April 20.  Rodrigues will 
be in Washington, D.C., prior to participating in the RIMSA 
meetings in Mexico April 20-21, 2005.  Post supports this 
request. 
DANILOVICH