VZCZCXYZ0042
PP RUEHWEB

DE RUEHMS #1223/01 2261331
ZNR UUUUU ZZH
P 141331Z AUG 06
FM AMEMBASSY MUSCAT
TO RUEHC/SECSTATE WASHDC PRIORITY 7019
INFO RUCPDOC/DEPT OF COMMERCE WASHDC

UNCLAS MUSCAT 001223 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE FOR NEA/ARP, EB/CBA 
STATE PASS USTR FOR J.BUNTIN 
COMMERCE FOR C.OBERG 
 
E.O. 12958: N/A 
TAGS: ETRD ECON BEXP KIPR PREL MU
SUBJECT: OMAN FTA: MINISTER COMMITTED TO JAN 
IMPLEMENTATION, PROMOTION 
 
REF: MUSCAT 1155 
 
(U) This is an action message.  Please see paragraph 6. 
 
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SUMMARY 
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¶1. (U) Commerce and Industry Minister Maqbul bin Ali Sultan 
expressed to the Ambassador his commitment to ensuring that 
necessary regulations are in place for the U.S.-Oman Free 
Trade Agreement to take effect on January 1, 2007.  He also 
expressed his government's interest in promoting the FTA 
through its attendance at the upcoming MEFTA Investment 
Conference and development of FTA promotional events.  End 
summary. 
 
------------------------------------- 
WAITING FOR THE PRESIDENT'S SIGNATURE 
------------------------------------- 
 
¶2. (SBU) On August 14, the Ambassador reviewed the status of 
the U.S.-Oman Free Trade Agreement with Minister of Commerce 
and Industry Maqbul bin Ali Sultan.  The Ambassador reassured 
Maqbul that the U.S. Senate's upcoming September vote on the 
FTA was a procedural formality, given that the legislation 
was classified as a "revenue" bill that had to originate in 
the House.  The Ambassador then asked if Maqbul would be able 
to attend a possible presidential signing ceremony, should 
one be arranged.  Maqbul responded that he most likely would 
be able to attend, pending the Sultan's and Cabinet's 
concurrence.  Maqbul further remarked that the only remaining 
Omani government action was the issuance of a Royal Decree, 
which would occur once the President signed the bill into 
law.  He noted that with the Sultan's and the Council of 
Ministers' approval already in hand, there would not be an 
official signing ceremony in Oman. 
 
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TAKING STOCK 
------------ 
 
¶3. (SBU) The Ambassador, in expressing the USG's commitment 
to see the FTA's implementation on January 1, 2007, inquired 
about Omani efforts to revise those regulations currently not 
in compliance with FTA standards.  Maqbul remarked that the 
government already has finished updating its corruption 
statutes, and is working on finalizing updates to its 
investment and labor codes.  On revising intellectual 
property regulations, Maqbul expressed frustration in working 
with USTR.  He remarked that his Ministry had made it clear 
early on that it did not have the expertise available to 
draft FTA-compliant IPR protections.  Given USTR's 
unwillingness to provide a sample draft from which his 
Ministry could model, Maqbul commented that his Ministry had 
to turn to the World Intellectual Property Organization 
(WIPO) for guidance.  He acknowledged the comments USTR had 
sent back regarding the draft copyright regulations, which 
the Ministry has sent to WIPO for revision, along with a copy 
of Bahrain's IPR regulations as an example.  The Ambassador 
suggested that both sides may be better served by working 
together through a meeting of IPR officials either in Muscat 
or Washington, rather than working through WIPO.   Both 
agreed that all revisions would need to be completed by 
mid-November.  To this end, Maqbul noted that they would hold 
a late August stock-taking meeting to see what remained 
outstanding. 
 
----------------- 
PROMOTING THE FTA 
----------------- 
 
¶4. (SBU) The Ambassador also raised Oman's participation in 
the Middle East Free Trade Agreement Investment Conference, 
scheduled for November 2-3 in London.  Maqbul noted that 
those dates would work for him, since he will already be in 
London to deliver a speech on November 2.  The Ambassador 
further asked for the Minister's thoughts on participation in 
a multi-state promotional tour of the United States in either 
the spring or autumn of 2007.  Maqbul, in consultation with 
Minister of National Economy Ahmed bin Abdul Nabi Macki, was 
very receptive to the idea of leading a delegation with stops 
in New York, Chicago, Houston, and points to be determined on 
the West Coast. 
 
¶5. (U) In a follow-on meeting with Omani Center for 
Investment Promotion and Export Development Executive 
 
President Salim al-Ismaily, the Ambassador stressed the 
importance of the delegation bringing a clearly defined 
message for the American business community.  Ismaily agreed 
that preparation would be key to a successful tour and 
inquired about potential partners that could manage the 
logistics.  As a starting point, the Ambassador endeavored to 
put OCIPED in touch with the National U.S.-Arab Chamber of 
Commerce and the Business Council for International 
Understanding.  Furthermore, Ismaily expressed interest in 
working with the Embassy on the logistics of a one-day FTA 
promotional outreach event in mid-November, with the 
possibility of conducting an FTA promotional road-show within 
Oman. 
 
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ACTION REQUESTS 
--------------- 
 
¶6. (U) Action requests.  Embassy requests Department 
assistance in advocating for a Presidential signing ceremony 
for the FTA legislation.  Such a ceremony would highlight the 
importance of our bilateral relationship and would provide 
the President an opportunity to showcase a good-news event in 
the Middle East.  On IPR, Embassy requests that USTR either 
send a team of experts to work directly with Omani officials 
in revising their regulations according to FTA standards or, 
alternatively, identify dates when the appropriate Omani 
officials could meet with IPR counterparts in Washington. 
 
GRAPPO