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

C O N F I D E N T I A L SECTION 01 OF 03 ROME 005255 
 
SIPDIS 
 
DEPT FOR EUR/WE AND EUR/ERA. 
 
E.O. 12958: DECL: 10/28/2012 
                       CONFIDENTIAL 
 
PAGE 02        ROME  05255  01 OF 03  280906Z 
TAGS: PREL ECON EFIN IR TU EU EAGR ECON EFIN IR TU EU EAGR ECON EFIN IR TU EU EAGR IT ITPREL ITPREL
SUBJECT: GOI BRIEFS USEU AMB SCHNABEL ON EU PRESIDENCY 
PRIORITES, IRAN, TURKEY, BIOTECH 
 
REF: ATHENS 
 
CLASSIFIED BY: DCM EMIL SKODON.  REASON: 1.5 (B)(D). 
 
¶1.  (U)  THIS IS A JOINT USEU/EMBASSY ROME CABLE. 
 
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SUMMARY 
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¶2.  (C)  IN PREPARATION FOR ITALY,S PRESIDENCY OF THE EU 
DURING THE SECOND HALF OF 2003, U.S. AMBASSADOR TO THE EU 
ROCKWELL SCHNABEL PAID INTRODUCTORY CALLS ON ITALIAN MFA 
SECRETARY GENERAL GIUSEPPE BALDOCCI AND GIOVANNI 
 
SIPDIS 
CASTELLANETA, DIPLOMATIC ADVISOR TO THE PRIME MINISTER, 
OCTOBER 17.  BALDOCCI QUESTIONED THE GREEK,S ABILITY TO 
SUCCESSFULLY HANDLE THE 2003 U.S.-EU SUMMIT AND EXPRESSED 
INTEREST IN A SECOND SUMMIT DURING THE ITALIAN PRESIDENCY. 
BOTH OFFICIALS FELT THE EU HAD FALLEN SHORT BY FAILING TO 
PROVIDE THE TURKS A DATE CERTAIN TO BEGIN ACCESSION TALKS. 
BOTH WANTED THE GAC TO SEND A SUPPORTIVE MESSAGE TO TURKEY IN 
ADVANCE OF THE NOVEMBER 3 ELECTION.  THOUGH BOTH OFFICIALS 
CONFIRMED NO FINAL DECISION ON ITALY,S EU PROGRAM HAD BEEN 
TAKEN, THEY INDIVIDUALLY LISTED CONCLUSION OF THE EU,S 
CONSTITUTIONAL PROCESS, ENLARGEMENT, THE MEDITERRANEAN, AND 
ILLEGAL IMMIGRATION AS KEY AREAS FOR FOCUS.  BOTH WERE LESS 
OPTIMISTIC OVER FINDING A WAY OUT ON THE U.S.-EU DISAGREEMENT 
                       CONFIDENTIAL 
 
PAGE 03        ROME  05255  01 OF 03  280906Z 
OVER AGRICULTURAL BIOTECHNOLOGY.  END SUMMARY. 
 
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BALDOCCI 
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PRESIDENCY PROGRAM 
------------------------ 
 
¶3.  (C)  MFA SECRETARY GENERAL BALDOCCI TOLD THE AMBASSADOR 
THAT PREPARING FOR THE EU PRESIDENCY WOULD BE A "BURDEN." 
THE ORGANIZATIONAL REQUIREMENTS WOULD BE CONSIDERABLE.  THE 
GOI WAS CURRENTLY WORKING TO SET OUT ITS PRIORITIES.  THE 
MFA'S DIRECTOR GENERAL FOR EUROPEAN INTEGRATION, ROCCO 
CANGELOSI, IS FOLLOWING THROUGH DIRECTLY ON THE INITIATIVE. 
(EMBASSY NOTE, CANGELOSI IS DESIGNATED TO BE COUNTERPART TO 
U/S LARSON FOR PRESIDENCY ISSUES.)  HE EXPECTED AN 
ANNOUNCEMENT OF AN ITALIAN PROGRAM "IN THE NEXT FEW WEEKS." 
THAT AGENDA WOULD NEED POLITICAL, AS WELL AS PARLIAMENTARY 
APPROVAL 
 
¶4.  (C)  HIGHEST ON THE AGENDA WOULD BE AN INTERGOVERNMENTAL 
CONFERENCE (IGC) THAT WOULD PREFERABLY OPEN AND CLOSE DURING 
THE ITALIAN PRESIDENCY.  THERE WAS MUCH MORAL SUPPORT FOR A 
SIGNING A SECOND "TREATY OF ROME", BUT THE FINAL OUTCOME 
WOULD DEPEND ON THE OUTCOME OF THE CURRENT CONVENTION ON THE 
FUTURE OF EUROPE AND WHETHER IT WOULD BE ABLE TO PRODUCE AN 
ACCEPTABLE "CONSTITUTIONAL TREATY" FOR THE EU.  BALDOCCI 
ADMITTED THE CONVENTION REMAINED DIVIDED.  BUT OPTIONS FOR 
DEALING WITH EUROPEAN INSTITUTIONAL QUESTIONS, HOWEVER THEY 
AROSE, COULD NOT BE REALISTICALLY CONSIDERED UNTIL 2003. 
                       CONFIDENTIAL 
 
PAGE 04        ROME  05255  01 OF 03  280906Z 
 
¶5.  (C)  REGIONALLY, BALDOCCI SAID THE MEDITERRANEAN ALSO 
SPARKED INTEREST, DRIVEN LARGELY BY CONCERNS OVER TERRORISM. 
ITALIAN PROXIMITY TO THE BALKANS ALSO ENSURED THAT AN EFFORT 
TO MAINTAIN MOMENTUM IN THAT REGION WOULD BE CONSIDERED FOR 
FOCUS.  BALDOCCI ADDED TRANSATLANTIC RELATIONS WOULD FIGURE 
PROMINENTLY. 
 
¶6.  (C)  AMBASSADOR SCHNABEL SAID HE HOPED THE U.S. AND EU 
COULD MAKE PROGRESS ON THE EUROPOL II AGREEMENT.  BALDOCCI 
NOTED THAT JHA COOPERATION WOULD BE PART OF THE ITALIAN 
AGENDA.  HE COMMENTED THAT TRAFFICKING IN PERSONS HAS BECOME 
MORE PRESSING AS AN ISSUE AS THE EU MOVES CLOSER TO 
ENLARGEMENT.  HE PERSONALLY WANTED TO SEE THE COMMUNITY 
ASSUME MORE RESPONSIBILITY.  CEMENTING ACHIEVEMENTS IN THE 
INTERNAL MARKET AND FINANCIAL IMPLICATIONS OF THE IMPENDING 
ENLARGEMENT WOULD ALSO BE UNDER CONSIDERATION FOR THE 
PRESIDENCY PROGRAM. 
 
SUMMITS 
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¶7.  (C)  BALDOCCI TOLD THE AMBASSADOR HE UNDERSTOOD THE 
EARLIER U.S. DECISION TO MOVE TO ONE U.S.-EU SUMMIT PER YEAR, 
AND ACKNOWLEDGED THAT STICKING TO TRADITION WOULD MEAN THAT 
 
                       CONFIDENTIAL 
 
                           CONFIDENTIAL     PTQ8861 
 
PAGE 01        ROME  05255  02 OF 03  280907Z 
ACTION EUR-00 
 
INFO  LOG-00   NP-00    AGRE-00  AID-00   CEA-01   CIAE-00  CTME-00 
      INL-00   DODE-00  DOTE-00  PERC-00  SRPP-00  DS-00    EB-00 
      EXIM-01  E-00     FAAE-00  FBIE-00  VC-00    FRB-00   H-01 
      TEDE-00  INR-00   ITC-01   L-00     VCE-00   AC-01    NEA-00 
      DCP-01   NSAE-00  NSCE-00  OMB-01   OPIC-01  PA-00    PM-00 
      PRS-00   ACE-00   P-00     SCT-00   SP-00    SSO-00   SS-00 
      STR-00   T-00     USIE-00  EPAE-00  PMB-00   DSCC-00  PRM-00 
      DRL-02   G-00     NFAT-00  SAS-00   SWCI-00    /010W 
                  ------------------FF1819  280907Z /38 
O 280815Z OCT 02 
FM AMEMBASSY ROME 
TO SECSTATE WASHDC IMMEDIATE 6597 
USEU BRUSSELS IMMEDIATE 2876 
INFO EU CANDIDATE STATES COLLECTIVE PRIORITY 
EU INTEREST COLLECTIVE PRIORITY 
EU MEMBER STATES COLLECTIVE PRIORITY 
AMCONSUL FLORENCE PRIORITY 
AMCONSUL MILAN PRIORITY 
AMCONSUL NAPLES PRIORITY 
DEPT OF TREASURY WASHDC PRIORITY 
USDOC WASHDC PRIORITY 
 
C O N F I D E N T I A L SECTION 02 OF 03 ROME 005255 
 
SIPDIS 
 
DEPT FOR EUR/WE AND EUR/ERA. 
 
E.O. 12958: DECL: 10/28/2012 
                       CONFIDENTIAL 
 
PAGE 02        ROME  05255  02 OF 03  280907Z 
TAGS: PREL ECON EFIN IR TU EU EAGR ECON EFIN IR TU EU EAGR ECON EFIN IR TU EU EAGR IT ITPREL ITPREL
SUBJECT: GOI BRIEFS USEU AMB SCHNABEL ON EU PRESIDENCY 
PRIORITES, IRAN, TURKEY, BIOTECH 
 
SUMMIT SHOULD FALL DURING THE GREEK PRESIDENCY.  THE QUESTION 
OF JUST HOW THE GREEKS WOULD HANDLE THE SUMMIT TASK WAS OF 
GREAT INTEREST TO THE ITALIANS.  WHILE BALDOCCI UNDERSTOOD 
THE DEMANDS ON PRESIDENT BUSH,S SCHEDULE WERE GREAT, AND THE 
CONCERN THAT THERE WOULD BE LITTLE IN THE WAY OF "NEW 
DISCOVERIES" MADE AT A SECOND SUMMIT, HE ASKED WHETHER, GIVEN 
THE IMPORTANCE OF THE RELATIONSHIP, ONCE OR TWICE A YEAR WAS 
MORE APPROPRIATE.  HE SAW THE MEETING AS MORE THAN SYMBOLIC. 
IT WAS PART OF THE CLOSE CHARACTERISTIC OF U.S.-EU RELATIONS. 
 
TURKEY 
-------- 
 
¶8.  (C)  AMBASSADOR SCHNABEL NOTED THE IMPORTANCE OF 
INCLUDING TURKEY AS A VITAL PART OF A STRONG EUROPE. 
BALDOCCI SAID HE HAD BEEN PERSONALLY DISAPPOINTED BY THE 
OCTOBER 9 COMMISSION REPORT LANGUAGE, DESCRIBING HIS POSITION 
AS "CLOSER TO THE AMBASSADOR,S." THE EU HAD RECEIVED CLEAR 
INDICATORS FROM THE GOT OF A WILL TO CHANGE.  HE HOPED THAT 
UNDER AN ITALIAN PRESIDENCY IT WOULD GIVE A CONCRETE SIGNAL 
TO THE TURKS.  HE WAS WORKING TO PRESS THE IDEA OF TURKEY AS 
AN IMPORTANT COUNTRY THAT SHOULD BE PART OF EUROPE WITHIN THE 
GOI.  RESPONDING TO DCM,S SUGGESTION THAT A POSITIVE SIGNAL 
WOULD BE NEEDED BEFORE NOVEMBER 3 TURKISH ELECTIONS, BALDOCCI 
NOTED AN OCTOBER 18 MEETING TO PREPARE FOR THE GENERAL 
AFFAIRS AND EXTERNAL RELATIONS COUNCIL MEETING ON OCT. 21-22. 
                       CONFIDENTIAL 
 
PAGE 03        ROME  05255  02 OF 03  280907Z 
 AT THAT SESSION, HE WOULD PERSONALLY PRESS FOR A POSITIVE EU 
SIGNAL TO TURKEY BEFORE THE END OF OCTOBER. 
 
IRAN 
---- 
 
¶9.  (C)  RESPONDING TO THE DCM,S QUESTION ON THE ITALIAN 
PRESIDENCY,S TAKE ON IRAN AND THE EU'S WILLINGNESS TO 
INTRODUCE A UNCHR RESOLUTION, BALDOCCI NOTED THAT AS ITALIAN 
AMBASSADOR IN TEHRAN IN THE MID-1980S, HE HAD BEEN IMPRESSED 
BY THE SIGNIFICANT CHANGES HE HAD WITNESSED.  IRAN REMAINED 
HIGH ON THE EU AGENDA, BUT JUST HOW ITALY WOULD APPROACH A 
RESOLUTION REMAINED TO BE DECIDED.  THE DCM NOTED THAT THE 
U.S. WAS NOT OPPOSED TO ENGAGEMENT PER SE, BUT WOULD EXPECT 
THAT THE EU WOULD COMMENT ON UNACCEPTABLE ASPECTS OF IRANIAN 
POLICY.  BALDOCCI AGREED TO CONSIDER THE REQUEST.  HE NOTED 
THAT GREAT BUT GRADUAL CHANGES WERE TAKING PLACE IN IRAN. 
WHILE THOSE IN POWER WERE NOT TRUSTWORTHY, IT WOULD BE 
IMPORTANT TO FIND WAYS TO ENGAGE THE YOUNGER GENERATION. 
IRANIANS HE KNEW WERE EAGER FOR GOOD RELATIONS WITH THE 
UNITED STATES. 
 
BIOTECH 
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¶10.  (SBU)  NOTING ITALIAN CULTURAL CONCERNS, THE AMBASSADOR 
ASKED HOW ITALY WOULD CARRY FORWARD THE BIOTECH ISSUE DURING 
ITS PRESIDENCY.  WHILE ADMITTING HE DID NOT FOLLOW THE 
DOSSIER HIMSELF, BALDOCCI NOTED THAT BEFORE ADOPTING 
REGULATIONS ON SENSITIVE ISSUES WITH TRANSATLANTIC EFFECTS 
LIKE BIOTECH, HE SUPPORTED MORE IN DEPTH CONSULTATION. 
                       CONFIDENTIAL 
 
PAGE 04        ROME  05255  02 OF 03  280907Z 
 
------------ 
CASTELLANETA 
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PRESIDENCY PROGRAM 
------------------ 
 
¶11.  (C)  THE PM'S DIPLOMATIC ADVISOR GIOVANNI CASTELLANETA 
TOLD THE AMBASSADOR THAT WHILE SENIOR OFFICIALS IN THE GOI 
WERE STILL COLLECTING IDEAS, HE BELIEVED THE OUTCOME OF THE 
EU CONSTITUTIONAL CONVENTION, IMPROVING ECONOMIC TIES IN THE 
MEDITERRANEAN (THE BARCELONA PROCESS), COMPLETING MEMBER 
STATE RATIFICATION OF THE ENLARGEMENT, AND COMBATING ILLEGAL 
IMMIGRATION WOULD LIKELY BE KEY PRIORITIES DURING THE ITALIAN 
PRESIDENCY.   HE ADDED THAT LINKED WITH ILLEGAL IMMIGRATION, 
THE QUESTION OF TERRORISM MIGHT ALSO BE ADDRESSED.  WHILE 
SPRING COUNCILS TRADITIONALLY DEALT WITH THE LISBON PROCESS, 
GIVEN THE IMPORTANCE OF EMPLOYMENT TO THE CENTER RIGHT 
BERLUSCONI GOVERNMENT, IT MIGHT ALSO FIND A PLACE IN THE 
PROGRAM. 
 
¶12.  (C)  RESPONDING TO AMBASSADOR SCHNABEL,S COMMENT THAT 
PREVIOUS U.S.-EU SUMMITS HAD NOT WARRANTED EXTENSIVE MEDIA 
COVERAGE, CASTELLANETA NOTED THE COUNCIL "NEEDED A PRESIDENT" 
 
                       CONFIDENTIAL 
 
                           CONFIDENTIAL     PTQ8862 
 
PAGE 01        ROME  05255  03 OF 03  280907Z 
ACTION EUR-00 
 
INFO  LOG-00   NP-00    AGRE-00  AID-00   CEA-01   CIAE-00  CTME-00 
      INL-00   DODE-00  DOTE-00  PERC-00  SRPP-00  DS-00    EB-00 
      EXIM-01  E-00     FAAE-00  FBIE-00  VC-00    FRB-00   H-01 
      TEDE-00  INR-00   ITC-01   L-00     VCE-00   AC-01    NEA-00 
      DCP-01   NSAE-00  NSCE-00  OMB-01   OPIC-01  PA-00    PM-00 
      PRS-00   ACE-00   P-00     SCT-00   SP-00    SSO-00   SS-00 
      STR-00   T-00     USIE-00  EPAE-00  PMB-00   DSCC-00  PRM-00 
      DRL-02   G-00     NFAT-00  SAS-00   SWCI-00    /010W 
                  ------------------FF1821  280907Z /38 
O 280815Z OCT 02 
FM AMEMBASSY ROME 
TO SECSTATE WASHDC IMMEDIATE 6598 
USEU BRUSSELS IMMEDIATE 2877 
INFO EU CANDIDATE STATES COLLECTIVE PRIORITY 
EU INTEREST COLLECTIVE PRIORITY 
EU MEMBER STATES COLLECTIVE PRIORITY 
AMCONSUL FLORENCE PRIORITY 
AMCONSUL MILAN PRIORITY 
AMCONSUL NAPLES PRIORITY 
DEPT OF TREASURY WASHDC PRIORITY 
USDOC WASHDC PRIORITY 
 
C O N F I D E N T I A L SECTION 03 OF 03 ROME 005255 
 
SIPDIS 
 
DEPT FOR EUR/WE AND EUR/ERA. 
 
E.O. 12958: DECL: 10/28/2012 
                       CONFIDENTIAL 
 
PAGE 02        ROME  05255  03 OF 03  280907Z 
TAGS: PREL ECON EFIN IR TU EU EAGR ECON EFIN IR TU EU EAGR ECON EFIN IR TU EU EAGR IT ITPREL ITPREL
SUBJECT: GOI BRIEFS USEU AMB SCHNABEL ON EU PRESIDENCY 
PRIORITES, IRAN, TURKEY, BIOTECH 
 
TO GET ATTENTION AND GISCARD WAS LEANING IN THAT DIRECTION IN 
THE CONVENTION.  ONE OF GISCARD'S DEPUTIES, FORMER PM AMATO, 
AND THE ITALIAN DELEGATION, LED BY DEPUTY PM FINI, HAVE BEEN 
AMONG THE GREATEST SUPPORTERS OF A STRONGER EUROPE.  THE 
INSTITUTIONS NEED TO BE REORGANIZED.  BERLUSCONI, WHO "DID 
NOT LIKE TECHNICALITIES," FELT "PILLARS" SHOULD BE ABOLISHED. 
 REFORM SHOULD SIMPLIFY THE EU PROCESS AND CLARIFY 
COMPETENCIES OF THE COMMUNITY AND MEMBER STATES.  WITHOUT 
CHANGING THE INSTITUTIONAL BALANCE, STREAMLINING DECISION 
MAKING, ESPECIALLY WITH 25 MEMBERS, WOULD CREATE A MORE 
COMPETITIVE EUROPE. 
 
¶13. (C) SCHNABEL ASKED ABOUT BERLUSCONI,S SPECIFIC GOALS. 
CASTELLANETA SAID GISCARD SHOULD FOLLOW HIS LAEKEN MANDATE, 
ENDING THE CONVENTION IN MARCH 2003 AND PUBLISHING HIS REPORT 
2-3 MONTHS LATER.  THE ITALIAN PRESIDENCY SHOULD START WITH 
THE OPENING OF THE INTER GOVERNMENTAL CONFERENCE (IGC) AND 
FINALIZE RESULTS BEFORE THE END OF ITS PRESIDENCY. 
HIGHLIGHTS OF THE PRESIDENCY WOULD INCLUDE THE TWO EUROPEAN 
COUNCILS, WHICH WOULD BE HELD IN BRUSSELS IN ACCORDANCE WITH 
EU PROPOSALS IN THE NICE TREATY, THE OPENING OF THE IGC, AND 
ITS CULMINATION IN THE SIGNING OF A SECOND "TREATY OF ROME." 
TO CEMENT THE INSTITUTIONAL DEAL, ITALY WAS WORKING WITH 
FRANCE AND THE UK.  THE UK COULD SCUTTLE ITALY'S TIMING IF 
THEY CALLED A REFERENDUM BEFORE SIGNING, THOUGH CASTELLANETA 
ADDED THAT THE SPANISH WERE ALREADY ON BOARD.  HE NOTED THAT 
THE ITALIAN PRESIDENCY WOULD HAVE TO PUSH THIS APPROACH AS 
                       CONFIDENTIAL 
 
PAGE 03        ROME  05255  03 OF 03  280907Z 
THE "LARGE STATE PRESIDENCY" SCHEDULED BETWEEN GREECE AND 
IRELAND.  AMBASSADOR SCHNABEL CONGRATULATED CASTELLANETA ON 
ITALY,S CAREFUL PREPARATION.  CASTELLANETA NOTED THAT FOR 
THE FIRST TIME IN YEARS, THERE WAS "A STABILITY IN ITALIAN 
POLITICAL LIFE."  IT WAS RARE THAT AN ITALIAN GOVERNMENT 
COULD BE CONFIDENT THAT IT WOULD REMAIN IN POWER 18 MONTHS 
HENCE. 
 
TURKEY 
------ 
 
¶14.  (C)  CASTELLANETA NOTED THAT BERLUSCONI FELT THE 
ITALIAN-TURKISH RELATIONSHIP WAS IMPORTANT, BUT THAT THE 
ISSUE HAD BEEN POLITICIZED.  HE WAS DISSATISFIED THAT NO DATE 
HAD BEEN SET FOR TURKISH ACCESSION.  CASTELLANETA HOPED THE 
GAERC AND SUBSEQUENT BRUSSELS SUMMIT MEETING ON OCT 24-25 
WOULD GIVE TURKEY SOME HOPE OF A DATE CERTAIN FOR ACCESSION. 
EUROPEANS MUST BALANCE THEIR CONCERNS WITH TURKISH POLITICAL 
REALITIES.  JUST AS IT WAS "KEEN ON TURKEY", ITALY ALSO 
SUPPORTED ROMANIAN AND BULGARIAN ACCESSION BY 2007. 
 
BIOTECH 
------- 
 
¶15.  (C)  ON BIOTECHNOLOGY, DCM SKODON CAUTIONED THAT WE WERE 
HEADED TOWARDS A MAJOR TRADE DISPUTE WITH THE EU. 
CASTELLANETA NOTED THE DEBATE REMAINED OPEN, THOUGH ITALY,S 
AGRICULTURE MINISTER ALEMANNO REMAINED LESS SO.  BERLUSCONI, 
WANTING TO CAPTURE THE BENEFITS OF AGRICULTURAL 
BIOTECHNOLOGY, HAD ASKED ALEMANNO TO WORK TO REASSURE THE 
PUBLIC USING TESTS AND SCIENTIFIC EVIDENCE THAT GENETICALLY 
                       CONFIDENTIAL 
 
PAGE 04        ROME  05255  03 OF 03  280907Z 
MODIFIED PRODUCTS WERE SAFE.  AMBASSADOR SCHNABEL NOTED THAT 
THE DISCUSSION ITSELF HAD GONE ON TOO LONG.  PRESSURE WAS 
GROWING IN THE UNITED STATES TO TAKE SOME ACTION.  MOVEMENT 
BY THE EU WOULD BE NECESSARY TO HEAD OFF A FORMAL DISPUTE. 
 
¶16. (SBU)  AMBASSADOR SCHNABEL,S OTHER MEETINGS IN ROME WILL 
BE REPORTED SEPTEL.  EMBASSY ROME DCM EMIL SKODON, USEU 
SPECIAL ASSISTANT MEGAN MARSHALL, AND USEU ECONOFF 
ACCOMPANIED THE AMBASSADOR. 
SKODON 
 
                       CONFIDENTIAL 
 
> 
 2002ROME05255 - Classification: CONFIDENTIAL