VZCZCXYZ0001
OO RUEHWEB

DE RUEHQT #2928 3341319
ZNR UUUUU ZZH
O 301319Z NOV 06
FM AMEMBASSY QUITO
TO RUEHC/SECSTATE WASHDC IMMEDIATE 5797
INFO RUEHBO/AMEMBASSY BOGOTA 6219
RUEHCV/AMEMBASSY CARACAS 2195
RUEHLP/AMEMBASSY LA PAZ NOV LIMA 1192
RUEHGL/AMCONSUL GUAYAQUIL 1501

UNCLAS QUITO 002928 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
DEPT FOR WHA/AND AND EB/TPP/ABT 
USTR FOR BENNETT HARMAN 
USDA/FAS/OA/BIOTECH 
USDA/APHIS/BRS 
 
E.O. 12958: N/A 
TAGS: ETRD EAGR PGOV EC
SUBJECT:   PRESIDENT DID NOT VETO GMO PROVISIONS IN HEALTH CODE 
 
REF:  Quito 2698 
 
¶1.  (U) Summary and action request.  President Palacio did not veto 
the GMO provisions of the draft Health Code, which is expected to 
enter into force in mid to late December.  Post will work with the 
private sector and interested GOE agencies to develop implementing 
regulations that do not impede trade in GMO products.  Post requests 
Washington support in identifying experts to visit Ecuador to 
discuss the regulatory process to approve foods that include GMO 
products.  End summary and action request. 
 
¶2.  (U) President Palacio declined to veto provisions in Ecuador's 
draft Health Code that would require regulation of foods that 
include genetically modified organisms.  As noted in reftel, several 
provisions of the Health Code require certification that foods 
containing GMOs be certified as safe before they can be imported, 
sold or accepted as food aid.  In addition, the code requires that 
labeling for GMO foods. 
 
¶3.  (SBU) EconCons and AgAttache raised U.S. concerns with the 
Ministers of Commerce on November 9 and on November 13 with the 
Minister of Health and the Acting Minister of Agriculture.  All 
expressed concerns that the GMO provisions would disrupt trade, and 
that they would recommend to President Palacio that he veto 
provisions. 
 
¶4.  (SBU) Subsequently, post heard from industry and GOE contacts 
that President Palacio expressed reservations about vetoing the GMO 
provisions, and requested information about the safety of GMO food 
products.  Post provided Ministries of Commerce and Agricultural 
information prepared by the WHO and FAO explaining the regulatory 
process for establishing the safety of GMO products.  Time 
constraints precluded a visit by USG experts. 
 
¶5.  (SBU) A Ministry of Commerce contact confirmed that President 
Palacio was not persuaded by the arguments made by his cabinet and 
declined to veto the GMO provisions because of his concerns about 
the safety of GMO foods. 
 
¶6.  (U) President Palacio did veto some other provisions in the 
Health Code and returned it to Congress November 24.  Congress has 
up to 30 days to react to those changes, and Congress's decision 
will be the final hurdle for the Health Code.  Therefore we expect 
the Code will enter into force in mid to late December.  The 
administration has 90 days to develop the implementing regulations, 
although this time span will cross over into the incoming 
administration, which will take office January 15. 
 
¶7.  (U) Post will work with the private sector and interested GOE 
agencies to encourage regulations that will not impede trade of GMO 
products.  We will also work with them to urge that trade not be 
disrupted in the interim between the Health Code entering into force 
and the issuance of implementing regulations. 
 
¶8.  (U) Action request.  Visits by experts on the GMO regulatory 
process would be helpful as Ecuador develops implementing 
regulations for the Health Code.  Post would appreciate USDA and 
Department assistance in identifying experts who could explain to 
Ecuadorian government and private sector officials (and, possibly, 
the media) international regulatory experiences in approving GMO 
food products.  Post would also appreciate Washington agencies 
assistance in identifying data that can be share with GOE agencies 
to demonstrate the GMO products are safe. 
 
Jewell