VZCZCXRO5044
OO RUEHDBU RUEHIK RUEHPOD RUEHPW RUEHYG
DE RUEHBUL #1122 1231448
ZNR UUUUU ZZH
O 031448Z MAY 09
FM AMEMBASSY KABUL
TO RUEHC/SECSTATE WASHDC IMMEDIATE 8717
INFO RUEATRS/DEPT OF TREASURY WASHINGTON DC 0799
RUCNAFG/AFGHANISTAN COLLECTIVE
RUEHZG/NATO EU COLLECTIVE
RUEABND/DEA HQS WASHINGTON DC
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RUEHBU/AMEMBASSY BUENOS AIRES 0028

UNCLAS KABUL 001122 
 
DEPT FOR SRAP, SCA/FO, SCA/RA, AND SCA/A 
DEPT PASS AID/ANE 
DEPT PASS USTR FOR GERBER AND KLEIN 
DEPT PASS OPIC FOR ZAHNISER 
DEPT PASS TDA FOR STEIN AND GREENIP 
USOECD FOR ENERGY ATTACHE 
CENTCOM FOR CSTC-A 
NSC FOR JWOOD 
TREASURY FOR MHIRSON, ABAUKOL, AWELLER, AND MNUGENT 
COMMERCE FOR HAMROCK AND FONOVICH 
 
SENSITIVE 
 
SIPDIS 
 
E.O. 12958 N/A 
TAGS: ECON EFIN EAID ETRD AF PK
SUBJECT: TRILATERAL SUMMIT -- AFGHANS PREFER POLITICAL COMMITMENT ON 
TRANSIT TRADE TO DETAILED MOU 
 
AFGHANISTAN'S ISSUES WITH TRILAT MOU DELIVERABLE 
 
¶1. (SBU) Econ Counselor and Deputy met with Minister of Commerce and 
Industries Shahrani May 3 to discuss a variety of trade issues 
leading up to the May 13-14 Regional Economic Cooperation Conference 
on Afghanistan (RECCA)in Islamabad.  Shahrani also noted his 
intention to attend the May 6-7 Trilateral Summit in Washington, and 
raised the issue of the proposed MOU on transit trade with Pakistan. 
 Shahrani said that at a special cabinet meeting May 3 Foreign 
Minister Spanta stated that President Karzai will not sign the MOU 
the U.S. has proposed.  Instead, Afghanistan prefers that the GIRoA 
and GOP issue a political commitment to accelerated cooperation on 
all fronts, including a timetable for beginning - and concluding - 
negotiations on the Afghanistan-Pakistan Transit Trade Agreement 
(APTA). 
 
AFGHANISTAN SUGGESTS "DECLARATION" OR ABBREVIATED MOU 
 
¶2. (SBU) Shahrani said that Afghanistan is anxious to start APTA 
negotiations and has already identified a team of about 16 officials 
to engage the Pakistani side.  He said the proposed MOU "lifts 
language from the APTA" text proposed by the GIRoA and goes too far 
toward trying to negotiate the APTA at the trilateral meeting.  He 
said the GIRoA also objects to the interim character of the 
U.S.-proposed MOU.  Shahrani said that the Afghan preference is for 
an unsigned political declaration by the leaders on starting and 
finishing APTA negotiations.  If the U.S. insists on a signed MOU, 
it should be restricted to this political commitment.  He provided 
us a copy of his markup, and we have emailed this to SRAP and SCA/A 
staff.  Shahrani said that if the U.S. insists on a detailed MOU, it 
should cover the whole agenda of the Trilateral Summit rather than 
focus only on transit trade.  He said the GOP has not seen the 
GIRoA's alternative MOU text, and he does not know where the GOP 
stands on this issue. 
 
AFGHANISTAN "WELL PREPARED" FOR NEGOTIATIONS ON APTA 
 
¶3. (SBU) Econ Counselor told Shahrani that the United States prefers 
the MOU as written, with the detail on specific transit trade issues 
retained.  He also stressed the need for a prompt start of 
negotiations in order to meet the July 1 deadline suggested. 
Shahrani said the GIRoA is willing to begin soon and pointed to his 
draft text that gives May 10 as the kickoff date for APTA 
negotiations, with conclusion by June 30.  Shahrani said the Afghan 
side is "well prepared" for the talks. 
 
¶4. (SBU) Deputy Econ Counselor asked if the Afghan side has seen 
Pakistani comments on the APTA text submitted to Islamabad last 
year.  Shahrani replied that the Pakistani side has "accepted the 
draft in principle," but he realizes that there are issues that will 
need to be addressed. (NOTE: World Bank reps told Deputy Econ 
Counselor May 3 that the Pakistanis have made substantial markups to 
the APTA draft, but will not provide these to the Afghans until the 
RECCA. End Note) 
 
COMMENT 
 
¶5. (SBU) From Shahrani's comments, it appears the Afghans are wary 
of being locked into what they consider a premature agreement on the 
substance of the APTA.  The thrust of the draft MOU they propose -- 
if their first preference for a "declaration" is not supported -- 
makes it clear that they intend to discuss the APTA in detail as 
part of an actual negotiation with Pakistan. 
 
RICCIARDONE