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

UNCLAS SOFIA 001799 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: EAGR ETRD BU WTRO
SUBJECT: BULGARIA: U.S. WTO AG PROPOSAL 
 
REF: SECSTATE 190748 
 
¶1. We delivered reftel demarche and fact sheet to Bulgarian 
trade official Diana Naydenova on October 17.  The GOB is 
currently reviewing the U.S. proposal with its future EU 
colleagues.  Naydenova feels agriculture is the most advanced 
topic in the discussions.  She said the EU proposal put forth 
by Commissioner Mandelson is "ambitious enough."  Naydenova 
sees only slight differences in the U.S. and EU proposals on 
tariffs - so could see agreement there.  However, Naydenova 
said there are major differences between the two sides in the 
areas of domestic support and export competition (subsidies), 
and the EU has concerns about U.S. export crediting 
provisions. 
 
¶2. Naydenova admitted that Bulgaria's position will be 
influenced by the EU's because it is acceding to the Union at 
the same time that the WTO rounds are being finalized.  From 
Bulgaria's individual point of view, they are not concerned 
about export subsidies or domestic support because the GOB 
does not provide much in either area.  Market access is the 
most sensitive issue for them.  Bulgaria will greatly benefit 
from access to the EU markets.  The GOB feels a sharp 
lowering of tariffs will hurt Bulgarian products' 
competitiveness against Brazilian, New Zealand and Latin 
American producers in the areas of dairy, meat, and wines. 
In fact, Bulgaria feels the EU is already too open in its 
wine agreement with the U.S. and other trading partners. 
 
¶3. Although the GOB is sensitive to tariff reductions, 
Naydenova said they were not likely to oppose a deal on this 
issue.  She envisions levels similar to those of the Uruguay 
round to be appropriate - and thought that the overall 
reduction in the 55-90 and 75 cap plan might be comparable. 
She also said there is "serious concern" in the EU about the 
attitudes of India and Brazil on Services and Market Access. 
LEVINE