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RR RUEHAST RUEHDBU RUEHFL RUEHLA RUEHMA RUEHMRE RUEHROV RUEHSR
DE RUEHSK #1159/01 3041015
ZNR UUUUU ZZH
R 311015Z OCT 06
FM AMEMBASSY MINSK
TO RUEHC/SECSTATE WASHDC 5285
INFO RUCNOSC/ORGANIZATION FOR SECURITY COOPERATION IN EUROPE
RHMFISS/HQ USEUCOM VAIHINGEN GE
RUFOADA/JAC MOLESWORTH RAF MOLESWORTH UK

UNCLAS SECTION 01 OF 03 MINSK 001159 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PGOV PREL PHUM ECON KTDB EPET BO
SUBJECT: EMBASSY MINSK WEEKLY POL/ECON REPORT - OCTOBER 31, 
2006 
 
 
¶1.  The following are brief items of interest compiled by 
Embassy Minsk. 
 
TABLE OF CONTENTS 
 
CIVIL SOCIETY 
------------- 
 
- Milinkevich Wins European Parliament's Sakharov Award (para. 2) 
- Skrebets Will Be Released in November (para. 3) 
- Activist Arrested Near Presidential Administration (para. 4) 
 
ELECTIONS 
--------- 
- Candidates in Large Cities Get Radio Spots (para. 5) 
- District Election Commissions Formed by October 30 (para. 6) 
- Opposition Appeals Exclusion from Executive Committee para. 7) 
 
INTERNATIONAL RELATIONS 
----------------------- 
 
- Interagency Committee on Border Cooperation in Minsk (para. 8) 
 
 
TRADE AND INVESTMENT 
-------------------- 
 
- Belarus' Food Imports Up 21.9 Percent (para. 9) 
- Iran Considers Opening Bank in Belarus (para. 10) 
 
DOMESTIC ECONOMICS 
------------------ 
 
- One Quarter of Industrial Companies in Red (para. 11) 
- Average pay in Belarus Up 7.9 percent in September (para. 12) 
- Lukashenko Raises Pensions by Nine Percent (para. 13) 
 
- QUOTE OF THE WEEK (para. 14) 
 
------------- 
Civil Society 
------------- 
 
¶2.  Milinkevich Wins European Parliament's Sakharov Award 
 
On October 26, independent Belarusian media reported that 
opposition leader and former presidential candidate Aleksandr 
Milinkevich won the European Parliament's Sakharov Prize for 
Freedom of Thought.  The European Parliament (EP) will present the 
award to Milinkevich during a formal plenary session on December 
¶13.  The EP's Delegation for Relations with Belarus nominated 
Milinkevich on the grounds that he "succeeded in uniting the 
opposition forces and expressing the desire of a large part of 
Belarus society to restore democratic rights and political freedoms 
in their country."  In December 1985, the EP created the prize, 
named after Soviet dissident Andrei Sakharov, to honor individuals 
or organizations that dedicated their lives to the defense of human 
rights.  The Belarusian Association of Journalists won the prize in 
¶2004. 
 
¶3.  Skrebets will Be Released in November 
 
On October 27, independent media reported that opposition 
politician Sergei Skrebets will be released from prison on November 
¶15.  According to Skrebets' brother Aleksandr, authorities agreed 
to cut Skrebets' prison term by one year under Belarus' amnesty law 
because he has already served more than half of his term and has a 
good conduct record.  On February 14, the Supreme Court found 
Skrebets guilty of fraudulent bank loans and sentenced him to two 
years and six months in a minimum-security correctional facility. 
Skrebets denounced the conviction as politically motivated. 
 
¶4.  Activist Arrested Near Presidential Administration 
 
On October 26, Borisov-based opposition Belarusian Social 
Democratic Party "Gramada" (BSDP) activist Ales Abramovich was 
arrested in Minsk after he unfurled a sign reading "Freedom to 
Kozulin and other political prisoners!" near the Presidential 
Administration building.  Authorities also apprehended independent 
journalists Galina Abakunchik of the Belarusian Service of RFE/RL 
and Kseniya Alimova of the private weekly Belorusy i Rynok. 
Authorities released the reporters after two hours without charges. 
Abramovich was charged with holding an unsanctioned demonstration 
and taken to the Leninsky District Court for trial. 
 
--------- 
Elections 
--------- 
 
¶5.  Candidates in Large Cities Get Radio Spots 
 
MINSK 00001159  002 OF 003 
 
 
 
On October 26, the Belarusian Central Election Commission announced 
that candidates running in larger cities and districts during 
Belarus' January 14 local elections would be allowed five-minute 
pre-recorded appearances on local radio networks but refused air 
time to candidates running in smaller and rural constituencies. 
CEC Head Lidiya Yermoshina noted that addresses calling for war or 
for the overthrow of the constitutional order, inciting social, 
religious, ethnic and race hatred, as well as defaming government 
officials and other candidates would not be broadcast.  The CEC 
also adopted a directive that allows persons serving "arrest" 
sentences to vote.  A total of 1,587 people were serving sentences 
in jail as of September 1. 
 
¶6.  District Election Commissions Formed by October 30 
 
On October 25, CEC Secretary Nikolay Lozovik announced that the 
formation of the district election commissions for the January 14 
local elections will be completed by October 30.  According to 
Lozovik, only political parties, "workers' collectives" having no 
fewer than 30 members, and individuals who have collected no fewer 
than 30 voter signatures will have the right to nominate candidates 
to the 369 district election commissions throughout Belarus.  The 
deadline for nominations to district commissions was October 27. 
Formation of territorial election commissions was completed on 
October 20. 
 
¶7.  Opposition Party Appeals Exclusion from Executive Committee 
 
On October 25, opposition Belarusian Social Democratic Party 
"Gramada" (BSDP) Brest-regional chapter leader Igor Maslovskiy sent 
an appeal to the Brest Regional Executive Committee asking why BSDP 
nominee and former Brest city election commission member Pavel 
Kornev was not included in the current regional election 
commission.  Another BSDP nominee, Vitaly Nagorny, was also denied 
membership.  Other opposition parties recently reported that the 
CEC has also not accepted any of their nominations for the election 
commissions. 
 
----------------------- 
International Relations 
----------------------- 
 
¶8.  Inter-Agency Committee on Border Cooperation in Minsk 
 
On October 26, the Inter-Agency Committee on Border Cooperation 
with Neighboring Countries met at Belarus' Foreign Ministry to 
discuss cross-border cooperation among Poland, Ukraine, Latvia, 
Lithuania, and Belarus and receive a report on the European 
Neighborhood and Partnership Instrument (ENPI), which will replace 
the Technical Assistance for the CIS (TACIS) program from 2007 to 
¶2013.  The meeting included representatives of all six regional 
executive committees, district executive committees, the TACIS 
National Coordination Unit, the State Border Troops Committee, the 
State Customs Committee, and the Ministries of Foreign Affairs, 
Economics, Transport, Finance, Energy, and Environment. 
 
-------------------- 
Trade and Investment 
-------------------- 
 
¶9.  Belarus' Food Imports Up 21.9 Percent 
 
On October 24, the Belarusian Ministry of Statistics and Analysis 
reported that Belarus' food imports increased 21.9 percent on the 
year in January-August to USD 914.1 million.  Imports from Russia 
totaled USD 392.1 million, up 18.1 percent.  Belarus mainly 
imported ready-to-eat foods, worth USD 677 million, from January to 
August, an increase of 18.5 percent on the year.  The share of 
foods in Belarus' total exports reached 7.2 percent, down 0.8 
percentage point on the year.  Belarusian companies' food exports 
rose 15.8 percent on the year in January-August to USD 938 million. 
Exports of food to Russia increased 17 percent on the year to USD 
709.4 million. 
 
¶10.  Iran Considers Opening Bank in Belarus 
 
On October 23, during an official visit to Tehran, Belarus' Foreign 
Minister Sergei Martynov and Iran's Commerce Minister Masud Mir- 
Kazemi discussed the possibility of opening a bank in Minsk with 
100 percent Iranian capital.  Martynov also met with the chairman 
of Iran's Chamber of Commerce.  Martynov and senior Iranian 
officials agreed to establish a joint business cooperation council, 
which will coordinate efforts of the Belarusian and Iranian 
chambers of commerce and provide assistance to businesses. 
 
---------------- 
Domestic Economy 
---------------- 
 
 
MINSK 00001159  003 OF 003 
 
 
¶11.  One Quarter of Industrial Companies in Red 
On October 23, the Ministry of Statistics and Analysis projected 
that many as 582 industrial enterprises, or 25.3 percent of all 
industrial enterprises, operated at a loss in the first eight 
months of 2006.  Their losses reportedly totaled USD 109 million. 
The number of unprofitable enterprises amounted to 40.6 percent of 
firms in light industry, 27 percent in the fuel industry, 26 
percent in food processing, 25.3 percent in the chemical and 
petrochemical industries, 24.3 percent in the timber, woodworking 
and paper industries, 20.2 percent in the machine building and 
metalworking industries, 20.1 percent in the construction materials 
industry, and 4.8 percent in the ferrous metal industry. 
¶13.  Average Pay in Belarus Up 7.9 percent in September 
 
On October 24, citing a recent GOB analysis, independent media 
reported that inflation-adjusted average pay in September was 7.9 
percent higher than in December 2005.  Consumer prices rose by 3.1 
percent during that same period.  Real average pay rose by 19.7 
percent in Belarus in 2005.  The dollar equivalent of the average 
before-tax monthly pay went up from USD 261 in December 2005 to USD 
283 in September. 
 
¶14.  Lukashenko Raises Pensions by Nine Percent 
 
On October 20, independent media reported that President Lukashenko 
issued a presidential edict raising retirement pensions by nine 
percent as of November 1.  The average retirement pension will 
amount to USD 133, up from USD 121.  Lukashenko has raised 
retirement pensions twice this year.  Meanwhile, the GOB increased 
the minimum pension rate and social pensions three times.  Taken 
together, these measures have increased the average pension 17.8 
percent since January 1. 
 
----------------- 
Quote of the Week 
----------------- 
 
¶15.  During an interview with Deutsche Welle, Belarusian MP Sergey 
Kostyan offered the following tortured insight regarding Belarus' 
potential need for nuclear weapons: 
 
"If we were besieged, like Cuba, Iran, the Democratic People`s 
Republic of Korea, we would have to protect ourselves.  America has 
constructed two military bases along our borders.  The Poles are 
going to sell more land for one more to be constructed.  What 
should we do?  As for nuclear weapons, this question would never be 
brought up in the leading circles of our country.  Heaven forbid, 
and I do not want that. But, life is so unpredictable, and 
sometimes it makes us do the things we do not want." 
 
Stewart