VZCZCXRO6227
OO RUEHAG RUEHAST RUEHBI RUEHCI RUEHDA RUEHDBU RUEHDF RUEHFL RUEHIK
RUEHKW RUEHLA RUEHLH RUEHLN RUEHLZ RUEHNEH RUEHNP RUEHPOD RUEHPW
RUEHROV RUEHSK RUEHSL RUEHSR RUEHVK RUEHYG
DE RUEHTA #1357/01 2181020
ZNR UUUUU ZZH
O 061020Z AUG 09
FM AMEMBASSY ASTANA
TO RUEHC/SECSTATE WASHDC IMMEDIATE 5979
INFO RUCNCIS/CIS COLLECTIVE 1824
RUCNCLS/ALL SOUTH AND CENTRAL ASIA COLLECTIVE
RUEHZL/EUROPEAN POLITICAL COLLECTIVE
RUEHBJ/AMEMBASSY BEIJING 1189
RUEHKO/AMEMBASSY TOKYO 1891
RUEHUL/AMEMBASSY SEOUL 0850
RHEBAAA/DEPT OF ENERGY WASHINGTON DC
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RUEATRS/DEPT OF TREASURY WASHINGTON DC
RUEAIIA/CIA WASHDC
RHEFAAA/DIA WASHDC
RHEHNSC/NSC WASHDC 1376
RUEKJCS/SECDEF WASHDC 1285
RUEKJCS/JOINT STAFF WASHDC
RHMFIUU/CDR USCENTCOM MACDILL AFB FL
RUEHAST/USOFFICE ALMATY 1775

UNCLAS SECTION 01 OF 02 ASTANA 001357 
 
SENSITIVE 
SIPDIS 
 
STATE FOR SCA/CEN, EEB 
STATE PLEASE PASS TO USTR AND USAID 
 
E.O. 12958: N/A 
TAGS: PGOV PREL ETRD ECON EINV EFIN KZ
SUBJECT:  KAZAKHSTAN:  PRELIMINARY RESPONSE TO TIFA AGENDA 
 
REF:  (A) SECSTATE 079187 
      (B) ASTANA 1330 
 
ASTANA 00001357  001.2 OF 002 
 
¶1.  (SBU) SUMMARY:  Acting Pol-Econ Chief met on August 5 with 
Saadat Asanseitova, Director of the Department for Regional 
Integration at the Ministry of Industry and Trade, to discuss the 
draft agenda for the 4th U.S.-Central Asia Trade and Investment 
Framework Agreement (TIFA) Council meeting on October 8 (reftel A). 
Asanseitova promised to circulate the draft agenda to government and 
private-sector stakeholders and provide feedback by the end of 
August.  She expects the government to be particularly interested in 
discussing investment in agriculture and tourism, was curious about 
the Northern Distribution Network, and said that Vice Minister 
Zhanar Aitzhanova will likely represent Kazakhstan at the TIFA 
Council meeting.  END SUMMARY. 
 
DRAFT AGENDA WELL RECEIVED 
 
¶2.  (SBU) On August 5, Acting Pol-Econ Chief met Saadat Asanseitova, 
Director of the Department for Regional Integration, and Aizhan 
Aliakparova of the Investment Committee at the Ministry of Industry 
and Trade.  Asanseitova reports directly to Aitzhanova, Kazakhstan's 
lead negotiator on WTO accession and the proposed Customs Union with 
Belarus and Russia.  She said the government appreciated the 
opportunity to review and comment on the draft agenda in advance, 
and promised to circulate it to relevant agencies and private sector 
associations.  Asanseitova said she expects to be able to provide 
written feedback to the Embassy by August 28. 
 
¶3.  (SBU) Asanseitova expects the government to be particularly 
interested in discussing investment in agriculture, food processing, 
and tourism.  "It's good to see a fresh, new agenda with issues like 
this," she said, "instead of always talking about ways to overcome 
trade barriers." 
 
INTEREST IN BILATERAL  MEETINGS 
 
¶4.  (SBU) Asanseitova welcomed the idea of holding bilateral 
discussions in Washington, saying the government has always been in 
favor of establishing a working group that would facilitate regular 
bilateral communication on trade-related issues.  Asanseitova seemed 
particularly enthusiastic about the opportunity to help develop the 
bilateral agenda.  She suggested, for example, that it might include 
a discussion about gaining access to the U.S. market for Kazakhstani 
farm products. 
 
NORTHERN DISTRIBUTION NETWORK 
 
¶5.  (SBU) Asanseitova welcomed the inclusion of Afghanistan on the 
draft TIFA agenda, and said that the Government of Kazakhstan is 
proud of the role it has played in the reconstruction of 
Afghanistan.  She wondered, however, about the inclusion of the 
Northern Distribution Network in the context of TIFA and asked for 
more information about that initiative, to help them prepare for a 
meaningful discussion of the issue. 
 
"WHO ELSE IS COMING?" 
 
¶6.  (SBU) Asanseitova was keen to learn who will represent the 
Eurasian Economic Community (EURASEC) and the OSCE at the U.S. 
Chamber of Commerce event, and recommended inviting EURASEC General 
Secretary Tair Mansurov.  Since Kazakhstan will be the next 
Chairman-in-Office of the OSCE, she said Kazakhstan would be very 
interested in the content of the OSCE presentation as well. 
Asanseitova also asked who will represent the United States at the 
TIFA Council and bilateral meetings, and said the government would 
prepare a wish list of officials they would like to meet in a 
bilateral setting. 
 
POTENTIAL CONFLICT WITH KAZAKHSTAN INVESTMENT FORUM 
 
¶7.  (SBU) According to Aliakparova of the Investment Committee, the 
Ministry of Industry and Trade, together with the Embassy of 
 
ASTANA 00001357  002.2 OF 002 
 
 
Kazakhstan, will organize the Kazakhstan Investment Forum in New 
York in November.  Aliakparova said the timing of this event would 
most likely preclude the participation of Minister of Industry and 
Trade Isekeshev and Kazakhstan's leading business associations, such 
as the Atameken Union and the Forum of Entrepreneurs, at the TIFA 
and U.S. Chamber of Commerce events in October.  Asanseitova agreed 
and said that Vice Minister Aitzhanova will likely represent 
Kazakhstan at the TIFA Council meeting. 
 
CUSTOMS UNION OR WTO? 
 
¶8.  (SBU) As the meeting adjourned, Acting Pol-Econ Chief commented 
that it must be difficult to work simultaneously on both WTO 
accession and the proposed customs union with Russia and Belarus. 
Asanseitova smiled and said her orders are to work exclusively on 
the customs union.  She also pointed out that the name of her 
department was recently changed -- from "Department of International 
Negotiations" to "Department for Regional Integration." 
Nevertheless, Asanseitova said that Kazakhstan is still very much 
interested in joining the WTO and welcomes the visit by two U.S. 
Embassy Science Fellows in September for a workshop on Sanitary and 
Phytosanitary management (reftel B). 
 
HOAGLAND