VZCZCXYZ0004
OO RUEHWEB

DE RUEHBU #1273/01 1571946
ZNR UUUUU ZZH
O 061946Z JUN 06
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC IMMEDIATE 4794
INFO RHMFISS/CDR USSOCOM MACDILL AFB FL//SCJ2//
RULGPUA/USCOMSOLANT

UNCLAS BUENOS AIRES 001273 
 
SIPDIS 
 
STATE FOR INR/R/MR, I/GWHA, WHA, WHA/PDA, WHA/BSC, 
WHA/EPSC 
CDR USSOCOM FOR J-2 IAD/LAMA 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: KPAO OPRC KMDR PREL MEDIA REACTION
SUBJECT: MEDIA REACTION OUTCOME OF PERUVIAN ELECTIONS 
US-URUGUAYAN AND US-PARAGUAYAN FTAS 2006 TRAFFICKING 
IN PERSONS REPORT VENEZUELA'S ENTRY INTO MERCOSUR 
06/06/06 
 
¶1. SUMMARY STATEMENT 
 
Today's most important international stories include 
the implications of the Peruvian elections; the 
possibility of US-Uruguayan and US-Paraguayan FTAs; 
the US 2006 trafficking in Persons Report; and 
Venezuela's alleged entry into Mercosur. 
 
¶2. OPINION PIECES AND KEY STORIES 
 
- "The US is relieved by Chavez's 'defeat'" 
 
Hugo Alconada Mon, Washington-based correspondent for 
daily-of-record "La Nacion," comments (06/06) "The US 
sighed in relief with and was sort of amazed at the 
victory of Alan Garcia, who defeated Ollanta Humala in 
Peruvian elections. Humala was the candidate that most 
concerned the Bush administration and the one who was 
closest to Hugo Chavez. 
 
"According to US Deputy Secretary of State Robert 
Zoellick, Garcia 'is the best response' of the 
Peruvian people to Chavez's interference... 
 
"However, Garcia is far from being the favorite 
candidate for the USG. Lourdes Flores was the best 
option based on her capitalistic and business-like 
profile, but she was unable to reach the second 
round." 
 
- "The lesser of two evils" 
 
James Scout, contributor to liberal, English-language 
"Buenos Aires Herald," writes (06/06) "... For all his 
past flaws..., Garcia is at least predictable when 
compared to his wildcard rival Humala, a populist who 
made campaign threats of increasing state control over 
the mining and gas industries and abandoning free- 
market policies. 
 
"But the race has implications beyond the rugged 
borders of Peru. To investors and the international 
community, this election was widely viewed as a litmus 
test as to whether Venezuelan President's populist and 
anti-US policies would gain another foothold in the 
continent. 
 
"'It shows the limits of Chavez's influence,' Vinay 
Jawahar, with the Inter-American Dialogue, told the 
'Herald.' 'A lot of people had to hold their noses, 
swallow hard and vote.' 
 
"... Experts point out that while Chavez is playing 
off many Latin American nations' frustration with 
historical US dominance in the region, he is only 
offering Venezuelan dominance and bullying in return. 
 
"The Peruvian elections, experts say, is an example of 
how strong-minded countries, like Peru, won't be 
swayed by the promise of cheap oil and a bourgeois 
neighbor who likes to flaunt his wealth." 
 
- "The limits of a policy" 
 
Oscar Raul Cardoso, international analyst of leading 
"Clarin," writes (06/06) "Exporting a view is not easy 
in Latin America, much less a determined historic 
direction... This is something not even Fidel Castro 
managed to do in his best days when he won his 
revolution in Cuba more than half a century ago. 
 
"Just a few tried, like him, to turn a national 
project into a hemispheric trend..., although he did 
not manage to do it... 
 
"... Now it is Venezuelan Hugo Chavez who has just 
received the same lesson of humility about the limits 
of potential regional leadership through the defeat of 
presidential candidate Humala in the runoff of 
Peruvian presidential elections. 
 
"... Chavez will have to review his hostility toward 
Garcia and acknowledge that 'Latin American unity' is 
rhetoric rather than real, regardless of how much one 
wants it, and that any project can only be as big as 
 
 
 
its own limits." 
 
- "The (Argentine) Government dismisses FTAs reached 
between the US and Uruguay and Paraguay" 
 
Alejandro Bercovich, columnist of business-financial 
"El Cronista," writes (06/06) "According to Eduardo 
Sigal, Argentine Under Secretary for Integration at 
the Foreign Ministry, Uruguay and Paraguay will not 
break off from Mercosur to sign FTAs with the US 
because the US will never lower its farm subsidies... 
 
"According to Sigal, Mercosur is not in jeopardy from 
the threats that have recently been launched by 'minor 
partners,' which come from opposition sectors that 
have no ties with foreign policy authorities. 
 
"... Sigal also downplayed the recent Uruguayan 
flirtation with the White House... 'I am under the 
impression that the Uruguayan government has not made 
any progress on an FTA (with the US) because it knows 
that (US) farm subsidies on meat and dairy products 
will not be removed. If this could be done, we would 
also sign such a deal, because we do not have an anti- 
US problem.'" 
 
- "The US places Argentina on a watch list on 
trafficking in persons" 
 
Ana Baron, Washington-based correspondent for leading 
"Clarin," comments (06/06) "The US believes that 
Argentina does not fully comply with the minimum 
standards for the elimination of trafficking and that 
it has not made enough progress in this area  in the 
previous year. This is why, the country has been 
placed on a watch list. 
 
"In this report, the Bush administration advised the 
Kirchner administration that it should work with 
Congress to achieve passage of anti-trafficking 
legislation, increase efforts to prosecute 
traffickers, expand training for court and law 
enforcement officials, and work with NGOs to heighten 
public awareness of the problem. 
 
"According to the US Department of State's latest 
report on the subject, which was made public 
yesterday, Argentina is primarily a destination 
country for women and children trafficked for the 
purposes of sexual and labor exploitation. 'Most 
victims are trafficked from rural to urban areas.' 
 
"As per the report, Argentine women and girls are 
trafficked to neighboring countries for sexual 
exploitation. Foreign women and children are also 
trafficked for commercial sexual exploitation, 
primarily from Paraguay, Bolivia, Brazil, Dominican 
Republic, Colombia and Chile... 
 
"While the US Department of State asserts that 
Argentina does not comply with the minimum standards 
for the elimination of trafficking in persons, it 
acknowledges that, at least, it is making significant 
efforts. In any event, US experts decided to place 
Argentina on a watch list for its failure to show 
evidence of increasing efforts to combat trafficking 
over the previous year, particularly in the key area 
of prosecutions. 
 
"Even though the reports points out that 'The 
(Argentine) government's efforts to improve 
interagency anti-trafficking coordination did not 
achieve significant progress in moving cases against 
traffickers through the judicial system,' it 
acknowledges that there was progress in other areas, 
by submitting anti-trafficking legislation to Congress 
in August 2005, it heightened the awareness of 
provincial and local authorities. 
 
"... In parallel, the US believes that the Argentine 
government made modest efforts to assist victims 
during the reporting period. While authorities offered 
a variety of services including medical and 
psychological treatment, legal counseling and even 
repatriation, the Government did not operate victim's 
 
 
 
shelters. 
 
"According to the US, the area in which the Government 
has made most progress is prevention. What Washington 
praises most is that the government submitted anti- 
trafficking legislation to Congress, which defines 
trafficking of persons according to international 
standards, or to prevent, suppress, condemn, and 
punish trafficking persons, especially women and 
children." 
 
- "Venezuela will officially enter Mercosur in 
Cordoba" 
 
Gabriel Buttazzoni, columnist of business-financial, 
center-right "InfoBae," writes (06/06) "Venezuela will 
officially enter Mercosur during the Mercosur 
presidential encounter to be held in Cordoba on July 
20... 
 
"... Formally speaking, Venezuela will act as a full 
member when the Congresses of Mercosur's five country 
members approve it, which is expected to be a complex 
procedure. 
 
"In this regard, Sigal focused his concern on the 
speed with which legislators from Mercosur's minor 
partners, Uruguay and Paraguay, will approve 
Venezuela's entry into Mercosur." 
 
To see more Buenos Aires reporting, visit our 
classified website at: 
http://www.state.sqov.gov/p/wha/buenosaires 
 
GUTIERREZ