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DE RUEHBR #0967 1991450
ZNR UUUUU ZZH
O 171450Z JUL 08
FM AMEMBASSY BRASILIA
TO RUEHC/SECSTATE WASHDC IMMEDIATE 2119
INFO RUEHRI/AMCONSUL RIO DE JANEIRO 6414
RUEHSO/AMCONSUL SAO PAULO 2453
RUEHRG/AMCONSUL RECIFE 8280
RUEHWH/WESTERN HEMISPHERIC AFFAIRS DIPL POSTS

UNCLAS BRASILIA 000967 
 
SIPDIS 
 
STATE FOR G FOR PBATES 
STATE FOR OES/ENV DBROWN; OES/PCI LSPERLING 
STATE FOR OES/ETC SCASWELL AND DGRIER 
STATE FOR WHA/BSC DSCNIER AND BCHIANG 
 
PLEASE PASS TO JPUTNUM AND SMORRIS AT NPS 
 
E.O. 12958: N/A 
TAGS: SENV TNGD TRGY KSCA EAGR BR
SUBJECT: AMBASSADOR MEETS WITH ENVIRONMENT MINISTER AND ENGAGES ON 
TFCA DEAL 
 
¶1. (U) Summary: On Wednesday, July 2, Ambassador Sobel met with new 
Minister of Environment, Carlos Minc.  During a positive 
conversation that covered issues ranging from the development of 
ecotourism in the state of Amazonas to the impending visit to Brazil 
by USAID Administrator Fore, Ambassador Sobel also sought 
reaffirmation of the Ministry of Environment's support of a debt for 
nature swap with the USG under the Tropical Forest Conservation Act 
(TFCA).  Minc said that his Ministry fully supports such an 
agreement and that he would approach Itamaraty and other 
institutions to learn more about the status of the GoB's position 
and to push for resolution as soon as possible. End summary. 
 
¶2. (U) A courtesy call with new Environment Minister, Carlos Minc, 
quickly turned in an action oriented meeting.  Ambassador Sobel 
opened the meeting by detailing his recent trip to Amazonas and 
meeting with Amazonas Governor, Eduardo Braga, where they discussed 
possible US partnership in developing the ecotourism sector there. 
Minc said that the GoB 'wants more ecotourism in Brazil' and has 
similar ideas for the development of this sector in the Amazon.  He 
said that the GoB would welcome US cooperation and support in this 
regard.  Ambassador Sobel also invited Minc to visit US National 
Parks as his predecessor Marina Silva did.  Minc accepted. 
 
¶3. (U) With regard to the TFCA debt for nature swap currently under 
negotiation between the USG and Brazil, Ambassador Sobel explained 
that the original USD 30 million in debt forgiveness has been 
reduced to USD 20 million.  He went on to explain that Brazil must 
act quickly to accept the deal as the funds will likely not be 
available after September 30.  Minc said that Brazil 'has the need 
and wants the TFCA deal to go through.'  Ambassador Sobel assured 
Minc that Itamaraty has told him they would like to see an agreement 
reached, but that they need more time to discuss internally.  Minc 
responded that he would personally engage on the issue with 
Itamaraty and other ministries/agencies so that 'we [GoB] don't let 
this important opportunity pass.' He promised to update the Embassy 
as soon as possible on his efforts. 
 
¶4. (U) Minc went on to explain that TFCA funding could be used, 
inter alia, to fund programs to combat rising deforestation rates 
and encourage sustainable management, especially in the state of 
Mato Grosso.  Even so, his Ministry is taking action early on in his 
tenure to combat deforestation and to rein in illegal logging and 
ranching in protected areas.  For example, Minc highlighted that in 
a recent crackdown on illegal logging, the Brazilian government 
seized thousands of cattle grazing on public land in the Amazon rain 
forest.  In May, Brazil's environmental protection agency seized 
several tons of grain, mostly soy and corn, grown on illegally 
deforested lands.  In June, sixty steel companies across Brazil (not 
all in the Amazon) were charged nearly USD$250 million in fines for 
using illegally harvested forest charcoal.  The Ministry of 
Environment also recently entered into an agreement with timber 
companies to extract and export only from non-protected areas. 
 
¶5. (U) COMMENT: Lula has described Minc as an environmentalist who 
brings solutions instead of problems.  Minc emulated this reputation 
during the meeting with Ambassador Sobel.  In addition to 
highlighting the many actions that his Ministry has undertaken to 
address some of the environmental challenges that Brazil faces, his 
willingness to become personally engaged in issues such as TFCA 
(where the Ministry of Environment is not the lead on technical 
negotiations) and ecotourism illustrated his openness to cooperation 
with the USG.  Perhaps more importantly, however, it also exhibited 
his confidence in his ability to influence the TFCA negotiations, 
likely due to his close relationship with Casa Civil.  While it 
remains to be seen the level of influence he may wield overseeing 
one of the more traditionally weak ministries in the GOB, and in 
contrast to his predecessor, his personal relationships within the 
higher echelon of the GoB may bode well for future USG cooperation 
in this and other areas. END COMMENT. 
 
KUBISKE