Washington Watch

Items

  • 5 May 2004

    05 May 2004 Hits: 145

    TERRORISM: Only Cuba on blacklist

    CUBA: Poll shows Cuban Americans disagree

    DRUGS: Cali cartel leaders ready for extradition, families say

    DEATH ROW: Mexico steps up pressure on US

    GUATEMALA: Berger fobbed off with promises

    MEXICO & PERU: US supports decision on Cuba

    BRAZIL: US accuses Brazil of piracy

     

    TERRORISM
    Cuba is the only country in the hemisphere to appear on the blacklist, published by the US State Department, on 29 April. The blacklist is composed of those countries that the US believes sponsor terrorism. The other countries on the list are Iran, Iraq, Libya, North Korea, Sudan and Syria. The US praised Uruguay, Paraguay and Brazil for the action they have taken to deal with what the US calls supposed terrorists. The US accused Cuba of sheltering and supporting terrorist groups, dozens of terrorist suspects and fugitives from US justice. In particular the US accuses Cuba of sheltering members of the Basque separatist group, ETA, and members of two Colombia guerrilla groups, the Farc and the ELN. The State Department also concluded that the threat from local terrorists in Colombia and to a lesser extent Peru remained high. The State Department had some odd things to say about Venezuela. It accused the government there of incoherent support in the war against terrorism and accused the government of President Hugo Chávez of sympathising with the both the Farc's and the ELN's [Marxist] ideology. The coordinator of the war against terrorism at the State Department, Cofer Black, said that the support from the US allies had meant that the number of terrorist attacks in 2003 was the lowest since 1969.

    CUBA
    The majority of Cubans exiled in Florida are in favour of negotiating with President Fidel Castro's government and the regime's opponents on the island. The poll, of 1,800 people, taken by Centro de Investigaciones Cubanas at the Florida International University, found that 58% of those polled wanted talks. On the other hand, 44% did not want any dealings with the regime. The overwhelming majority of exiles (74%) believed that the trade embargo on the island has not worked. Even so 67% believe that the embargo should be continued. More confusingly 69% believe that US companies should sell medicine to the island and 59% believe that they should be able to remit money directly to their families on the island. Even more confusingly, 60% said that they would support military action, either by the US or by Cuban exiles, against the Castro regime. There are reckoned to be 2m Cuban exiles in the US: 600,000 have the right to vote in the US. The US government is currently mulling over its Cuban policy: Otto Reich, a former special adviser to the White House on Latin America, handed over a report to President Bush on policy options on 3 May.

    DRUGS
    Gilberto and Miguel Rodrí­guez Orejuela, heads of the now-disbanded Cali cartel, said, according to their children, that they will allow themselves to be extradited to the US provided their families are left in peace. The brothers were arrested in 1995 and have been in Colombian jails since. The US application to extradite them has been before the Colombian supreme court since March. Technically, they were arrested when extradition to the US was not allowed. Last year a court in Florida, USA, accused them of carrying on their business while in prison and of having made US$2bn while in prison.

    MEXICO
    The president of the senate in Mexico, Enrique Jackson, led a delegation of senators to visit Osvaldo Torres, the Mexican facing execution in Oklahoma on 18 May. He was found guilty of murdering a couple in 1993. His case is important because the International Court of Justice in The Hague recently ruled that the US had broken international law by failing to allow 51 Mexicans, now on death row, access to Mexican consular services before prosecuting them.

    GUATEMALA
    The President of Guatemala, Oscar Berger, met President George W Bush on 30 April. Berger said that Bush was amenable to the idea of granting the thousands of Guatemalans working in the US temporary visas and that he was keen on improving their rights and status. Berger is also pushing hard for the US congress to end its ban on arms sales to Guatemala. The ban has been in place since 1979. Berger said that he did not want to buy arms (indeed he has started to halve the size of the army) but he does want to be able to buy transport and logistical equipment.

    MEXICO & PERU
    Colin Powell, the US Secretary of State, praised the decision taken by Mexico and Peru on 3 May, to withdraw their ambassadors from Havana. President Fidel Castro had made some disparaging remarks about both countries' foreign policy in his traditional May Day speech. Mexico's foreign minister said that the remarks, which attacked Mexico for condemning the human rights situation in Cuba, could not be ignored. Mexico also expelled the Cuban ambassador.

    BRAZIL
    The US accused Brazil of allowing piracy: it claimed that US companies had lost US$785m in 2003 because of Brazil's lack of respect for patents and copyrights. President Lula da Silva rejected the allegation. On 4 May he said that the US was just as much a pirate centre as Brazil. Brazil is one of the 52 countries on the US Department of Commerce's list of countries against whom action on intellectual property rights may be taken at the World Trade Organization.

  • 12 May 2004

    12 May 2004 Hits: 42

    Washington Watch

    CUBA: US tightens embargo and draws criticism

    MIGRATION: Democrats and Senate come up with proposals for easier access

    FLIGHTS: US puts armed guards on some flights from Mexico

    WEAPONS OF MASS DESTRUCTION: US and Panama sign deal

    DEATH PENALTY: Time running out for Torres, despite lobbying from Mexico

    URUGUAY: Bilateral investment deal in home straight

    CUBA
    The local opposition in Cuba, Cuban Americans in Miami and a signficiant number of congressmen dismissed the proposals made by President George W. Bush on 6 May to tighten the embargo and force the end of Cuban President Fidel Castro's rule. The US is preparing to step up anti-Castro propaganda and bolster dissident groups. Elizardo Sánchez, head of the Comisión Cubana de Derechos Humanos y Reconciliación, said that he had heard all this before. Oswaldo Paya, another prominent Cuban dissident said that the initiative could be counterproductive. The US initiative was drawn up by the Commission for Assistance to a Free Cuba, chaired by an outspoken Cuban-American, Otto Reich. The US will also tighten limits on visits to Cuba by American family members: only one visit every three years will now be allowed and visitors from the US will only be allowed to take US$50 a day, rather than the US$164 they are currently permitted. President Bush also wants to deploy aeroplanes to prevent Cuba from jamming anti-Castro broadcasts from the US. The President said that up to US$59m will be spent on anti-Castro efforts over the next two years. The big issue for President Bush is how the proposals will play in southern Florida, home to around 450,000 Cuban Americans, 69% of whom are registered to his Republican party. Support from anti-Castro Cuban-Americans helped Bush win a disputed but crucial victory in Florida in 2000. The move caused controversy inside the Beltway. Five senators urged Bush to jettison his get-tough approach. Allowing travel and other contact would aid the flow of ideas and encourage reform from within, they said in a letter. It was signed by Democratic Senators. Max Baucus of Montana, Christopher Dodd of Connecticut and Byron Dorgan of North Dakota, and two Republicans, Mike Enzi of Wyoming and Larry Craig of Idaho. Baucus said the crackdown on Cuba was diverting money from the "war on terror" and he accused the administration of having an "absurd and increasingly bizarre obsession with Cuba."

    MIGRATION
    On 4 May, the Democrats published their ideas for making it easier for Mexicans to move to the US legally. In particular, the Democrats are focusing on making it easier for families to move to the US. The Democrat proposal goes under the catchy acronym SOLVE (Safe, Orderly Legal Visas and Enforcement Act of 2004). The proposal was launched by Senator Edward Kennedy, the president of the Democrat Caucus, Bob Menéndez and the president of the working party of immigration, Luis Gutiérrez. Kennedy argued that it was in the interests of all Americans to regularise the status of hardworking migrants, who would otherwise be easy targets for exploitation. Raúl Yzaguirre, the president of the Consejo Nacional de la Raza, the main lobbying group for Hispanic civil rights, argued that improving the status of immigrants would not affect the flow; he said that it would neither increase nor fall because of changes in the law. He argued that improving the legal status of immigrants would, however, ensure that the US got the sort of workers it would need in the future. Significantly, a bi-partisan move to legalise the status of hundreds of thousands of migrant agricultural workers has now secured the backing of 60 Senators. This should mean that the legislation will pass when it comes before the senate. The proposal, known as AgJobs, was launched by Larry Craig, a Republican Senator from Idaho and Senator Edward Kennedy from Massachussetts. The kernel of the proposal is to award greencards (permanent resident status) to agricultural workers who work for at least 360 days over periods of between three and six years. The White House has yet to decide on its response to the senators' proposal. One prominent opponent of the senators' proposal is Tom Tancredo, a Republican congressman from California. He claims that undocumented agricultural workers are depriving American youngsters of summer jobs in the agricultural industry.

    FLIGHTS
    Armed guards from the US are travelling undercover on flights between Mexico and the US in an effort to catch terrorists, the head of the Mexican pilots' union, Francisco Esquiveizeta, alleged on 6 May. He claimed that US officials scanned passenger lists and allocated the guards to the flights with the greatest chance of an incident. The allegations were confirmed by police sources at Mexico City's international airport. They said that the guards were mostly on flights to Los Angeles, Atlanta and Washington. The police said that the US guards hand in their weapons when they arrive and only get them back when they fly out again.

    WEAPONS OF MASS DESTRUCTION
    The US and Panama signed an accord to combat the shipping of weapons of mass destruction. The accord was signed on 10 May by the government and justice minister, Arnulfo Escalona, and the US deputy secretary of state for arms control and international security, John Bolton. Under the accord both countries will allow officials from the other country to board vessels flying the respective national flag. The agreement is an amendment to the so-called Salas-Becker agreement between the two countries, signed in 2002.

    DEATH PENALTY
    The family of a Mexican convict, Osvaldo Torres, was delighted by the ruling from the Oklahoma appeals board, a lay group of five citizens, that clemency should be extended to Torres. He is scheduled for execution on 18 May. He was convicted of killing a couple in Oklahoma in 1993. The case has a high profile in Mexico, since the International Court of Justice recently ruled that the US was wrong not to alert Mexican consular officials to the charges Torres faced. The ICJ ruled that 50 other capital sentences imposed by the US courts on Mexicans should be overturned for the same reason. The Torres case is odd because he was originally sentenced to life imprisonment: the sentence was increased to death when he reached 21. Torres is now 28. Only the governor of Oklahoma, Brad Henry, can grant clemency. He has been lobbied by everyone who counts in Mexico, from President Vicente Fox down. Henry has yet to extend clemency to anybody sentenced to execution.

    URUGUAY
    On 11 May, the US and Uruguay started the final round of negotiations over a deal to protect investment in either country. The deal is scheduled for signing in August. If the US signs the deal it will be the first bilateral investment deal it has agreed for five years. It currently has 36.

  • 19 May 2004

    19 May 2004 Hits: 39


    IMMIGRATION:
    US imports between 14,500 and 17,500 `slaves' each year

    REMITTANCES: Tancredo proposes 5% tax on remittances

    EXTRADITION: US wants AUC leaders extradited

    VENEZUELA: Arrested Colombians ` not boy scouts' says ambassador

    ANDEAN COUNTRIES:
    Free trade negotiations start

    AIRCRAFT: Brazilian lowcost airline sticks with Boeing

    IMMIGRATION:
    An investigation by the US Department of Justice reckons that between 14,500 and 17,500 people are smuggled into the US each year and used as either sexual or general-labour slaves. The report was sent to congress on 18 May. The Department of Justice reckons that the world-wide people smuggling business is worth US$9.5bn a year and is largely controlled by organised crime. Invariably the trafficked individuals, according to the Department of Justice, end up in the sex industry or working in sub-human conditions, often in the US.  
    The Department of Justice said that people smuggling and slavery were hard to prosecute because the slaves were invariably more afraid of the authorities than the slavers. Since 2001, only 149 people have been prosecuted for people smuggling.  

    REMITTANCES:
    Tom Tancredo, a Republican congressman from California, is proposing to levy a 5% tax on remittances sent by Latin Americans to their countries of origin. Tancredo, who is an outspoken critic of any moves to improve immigrants' rights in the US, made his proposal, which is not yet a bill, on 18 May. On the same day the InterAmerican Development Bank reckoned that Latin American migrants in the US will remit a total of US$30bn this year. Tancredo said that the proceeds from his proposed 5% tax should go to the Department of Homeland Security and be used to improve border security. The National Immigration Forum, an NGO representing immigrants argues that Tancredo's proposal is unfair since migrant workers already make a contribution by paying sales tax. The NIF points out that a recent study by the National Academy of Sciences concluded that migrant workers contributed US$10bn a year to the US economy. This sum does not include the value of what they produce. The NAS pointed out that in 1997, migrant workers paid US$133bn in local, state and federal taxes. The IDB study reckons that 32% of all migrant-workers in the US are undocumented.  

    EXTRADITION:
    The US asked Colombia to arrest and extradite six leaders of the Autodefensas Unidas de Colombia and 23 narco-group leaders. The US request will test the promise by the government, made to AUC leaders as part of the peace and demobilisation deal, that no AUC leaders will be extradited to US. The extradition requests were made in person by the US deputy attorney general, Mary Lee Warren.. Among those wanted for extradition is the current leader of the AUC, Salvatore Mancuso. He is wanted on drug trafficking charges.  

    VENEZUELA:
    The US ambassador to Venezuela, Charles Shapiro, said that the case of the 100 or so Colombians who were arrested in Venezuela on 8 May, was very worrying. The Venezuelan government accused the Colombians of being paramilitaries and the spearhead of a force of 3,000 that would try to overthrow President Hugo Chávez . Shapiro said that it was clear that the Colombians were not boy scouts and that they did not come to Venezuela on a camping holiday. The Chávez government alleges that some hardline elements in the opposition must have paid for the Colombians to come. Some elements in the opposition retort that the whole saga is a stunt dreamt up by the Chávez government. Shapiro added that, contrary to what President Chávez believes, the US government utterly rejects any attempt to change the government in Venezuela, or any other democratically-elected government, by non-constitutional methods.  
    The US did confess that it was disappointed being asked by the Venezuelan government to move its military advisers off four Venezuelan military bases and locate them at the embassy.  

    ANDEAN COUNTRIES:
    The US started talks with Colombia, Ecuador and Peru about a free trade agreement on 18 May. The site for the first round was Cartagena, in Colombia. The opening of the negotiation triggered protests by 10,000 people which led to a heavy handed police response.  
    It is not entirely clear how the negotiations will work: it seems likely that the three countries will negotiate in parallel but not as one, so the US will end up with three almost identical agreements. It also seems possible that Bolivia will join the negotiations, perhaps as early as the second round. The negotiators expect to have between eight and 10 rounds of negotiations.  

    AIRCRAFT SALES:
    The biggest budget-airline in Brazil, Gol, now the country's third biggest carrier, ordered 15 new Boeing 737-800 Next Generations and has taken options on another 28. Gol started in 2001 with six aircraft and now has 22. The contract with Boeing, announced on 17 May is worth US$2.57bn. The aircraft will be delivered in 2007 and 2008. Gol currently flies 18 Boeing 737-700s and four 737-800s. Gol currently operates 236 flights a day between 29 Brazilian cities. Gol is 20% owned by AIG, the US financial services company.

  • 26 May 2004

    26 May 2004 Hits: 44

    Washington Watch

    DRUGS: Mexican gangs most dangerous, DEA says

    HISPANIC VOTE: Decisive in the November elections, activists claim

    BOLIVIA: US steps up pressure on immunity

    CAFTA: Signing scheduled for 28 May

    ECUADOR: US bars minister's wife and officials

    CUBA: US issues 20,000 visas

     

    DRUGS
    Larry Holyfield, the director of the Mexican and Central American department of the US Drug Enforcement Administration, said that the Mexican drug gangs were the most dangerous in the drug business. He reckoned that the value of the trade in illegal drugs handled by Mexican gangs was US$65bn a year. Holyfield, speaking at the International Drug Enforcement Conference in Panama on 25 May, said that the Mexican gangs are the best organised, the most vicious and the strongest in the world. He said that the Mexican gangs were stronger that the Colombian gangs and that they told the police and other enforcement agencies that they could choose whether to take their payment in money or lead. Holyfield, however, praised the role the Mexican government has played in clamping down on the drug trade. Holyfield pussy-footed around the issue of whether the DEA issues instructions to the Mexican drug enforcement agencies. He noted that DEA research had found that there was an increase in amphetamines being produced in Mexico: Holyfield said that the Mexican authorities were responsible for investigating this. He also noted that more heroin from Colombia seemed to be coming through Central America to the US and Europe.

    HISPANIC VOTE
    The US-based Asociación Nacional de Funcionarios Latinos Electos y Designados claims that more Hispanic voters will vote in this November's elections and that they are likely to have a decisive role in several states. The Asociación reckons that 6.9m Hispanics will vote in the 2004 election. This is around 1m more than voted in the 2000 election. If this many vote, they will account for just over 6% of the votes cast. The Hispanic vote is likely to be important in Florida and New Mexico. There are 838,000 Hispanic voters in Florida. There is a growing dispute in Florida over state officials' slowness on overhauling voter rolls: in 2000 these were widely agreed to be defective and deprived large numbers of likely-Democratic Party supporters of the right to vote. Over half the state's 67 countries still have to overhaul their voter lists. President George W Bush won Florida, and its 27 electoral college votes, by just 537 votes. Altogether there are 40m Hispanics in the US.

    BOLIVIA
    General John D. Gardner, the head of the US Southern Command, said that the US would reduce military support for countries which refuse to provide immunity from international prosecution for US soldiers. He was speaking as the Bolivian senate approved a measure to grant immunity from prosecution before the International Court of Justice at the Hague. The lower chamber of the Bolivian congress, however, does not want to offer US soldiers immunity. General Gardner said that if US personnel are not given immunity, their activities will be curtailed. US aid to the Bolivian military is running at US$8m a year.

    CAFTA
    The US and the five Central American countries have agreed to sign their free trade agreement, CAFTA, at the HQ of the Organization of Americans States in Washington on 28 May. The signing will be done by trade and industry ministers. The treaty still has to be ratified by the US congress and this is unlikely until after the November elections.

    ECUADOR
    The US barred Sandra Pazmiño, the wife of the social welfare minister, Patricio Acosta, from entering the US. It is not known why the US has refused to issue her, and several other Ecuadorian officials, with a visa. Press reports in Ecuador say that Acosta himself, one of President Lucio Gutiérrez's relations and some senior police officials have also been refused visas to enter the US.

    CUBA
    James Carson, the US chargé d'affaires in Havana, said that the US had fulfilled its promise to Cuba and issued 21,075 visas last year and that it expected to issue 20,000 visas this year. Carson was answering allegations by the Cuban foreign minister, Felipe Pérez Roque that the US was trying to encourage people to flee Cuba illegally by not granting enough visas. Pérez Roque claimed that the US had issued only 17,000 visas in 2003. The US is committed to issuing at least 20,000 visas a year to applicants in Havana.

  • 2 June 2004

    02 June 2004 Hits: 37

    FLOODS: US offers aid to Haiti and the Dominican Republic

    DRUGS: US ambassador worried about paramilitary link with Colombian drug trade

    VENEZUELA: Noriega ups the ante

    NATIONAL SECURITY: Mexican diplomats head to US for talks

    EU-LATIN AMERICAN SUMMIT: Mixed criticism of US foreign policy

    FLOODS
    Colin Powell, the US secretary of state, said on 28 May that the US 'will do all it can to help' those affected by the floods in the Dominican Republic and Haiti where 2,000 people have been killed. At a press conference in Washington, Powell expressed his deep concern for the loss of life on the island. The US government has been in contact with the governments of both countries and has offered some of its troops, which currently form part of a multinational peace force in Haiti, to help deal with the situation. The US agency for international development (USAID) is currently examining what type of assistance is necessary. The state department announced it will donate a further US$250,000 on top of the US$50,000 it has given to its embassies in Santo Domingo and Port-au-Prince to help the victims of the floods.

    DRUGS
    The US ambassador to Colombia, William Wood, on 31 May reiterated his country's concern over links between paramilitary organisations and drug-trafficking. Wood told journalists that, 'it remains to be seen if the AUC (Colombia's umbrella paramilitary organisation) will honour its part of the deal with the government'. The ambassador insisted that the AUC does not appear to want to break their links with the drug trade. Some bosses 'keep on being drug-traffickers and that is a source of concern', said Wood, who pointed out that despite the agreements reached, the AUC had yet to prove they had stopped their illicit activities. The US, like the EU, classifies the AUC as a terrorist organisation, funded by drug-trafficking. Washington has asked Bogotá to extradite a number of paramilitary bosses because of their links to the drug trade.

    VENEZUELA
    The electoral authorities and government supporters reacted furiously to statements by the US's top policymaker for Latin America, Roger Noriega. The US assistant secretary of state for western hemisphere affairs claimed on 26 May in an article in the 'Washington Times' that the opposition had already secured enough support to trigger a recall referendum of President Hugo Chávez . The criticism of Noriega's ill-informed opinion came from a range of people. Jorge Rodrí­guez, who is responsible for the double-checking process, said that the actual number of valid signatures calling for referendum was 1.9m, not the 3.4m Noriega claimed, and which even the opposition accepts was an inflated figure. Rodrí­guez pointed out that both the international monitors, the Carter Center and the Organization of American States (OAS), had accepted that the Consejo Nacional Electoral (CNE) was right to double-check the signatures it had doubts about. The results of the recount should be ready on 4 June.

    NATIONAL SECURITY
    Five Mexican senators from the national defence commission of the chamber of deputies went to the US on 1 June to discuss national security with their US counterparts. The trip will include a visit to the Pentagon, the department of homeland security and Capitol Hill, where the guests will look at the relationship between congress and the armed forces. Amongst other issues, the Mexican delegation is expected to discuss terrorist threats and the treatment of soldiers of Hispanic origin in the US army.

    EU-LATIN AMERICAN SUMMIT
    The summit in Guadalajara, Mexico, between the EU and Latin American countries produced wide-ranging criticism of US foreign policy. In article 19 of the final declaration published on 28 May, the document condemned the abuse of Iraqi prisoners of war (although, curiously, without mentioning the perpetrators). In the same paragraph it called on all governments to comply with the Geneva Convention. Elsewhere, the document berated the US's failure to ratify the Kyoto protocol on climate change or sign up to the International Criminal Court. It also called on the US to end its embargo on Cuba.

  • 9 June 2004

    09 June 2004 Hits: 37
    REGION: Powell focuses on corruption at OAS meeting

    CUBA: Kerry shapes Cuba policy

    DRUGS: Two seized from Arellano Félix gang

    TRUCKS: Positive court ruling on Mexican lorries

    HAITI: Latortue visits Washington

    HONDURAS: Debt write-off

    REGION
    US Secretary of State Colin Powell chose the forum of the Organization of American States (OAS) in Quito to focus on the need to tackle corruption to create viable democracies. 'Corruption is deeply destructive of our people's faith in democracy and its ability to deliver a better life. Corruption sucks away the life and soul of a society. Corruption is a legal word, but the common word for it is stealing. Corruption is stealing from schools, stealing from hospitals, stealing from children, stealing from the poorest of our citizens, stealing from the investment that could go into new roads, clean water and all of the other things that people want, that people expect and people deserve from their government, that people expect for moving onto the path of democratic reform. And corruption scares off investors, denying countries the money they need to lift themselves out of poverty and onto the road to sustainable development,' Powell said. Powell said that the US would provide US$40m annually to go towards promoting 'good governance', such as improving transparency in government purchasing and denying safe havens for members of money-laundering regimes. The Ecuadorean media revelled in the irony of Powell's decision to adopt corruption as the theme for his peroration. President Lucio Gutiérrez has been embroiled in numerous corruption charges in recent months. Powell stopped short of backing Gutiérrez although he offered full support for democracy in Ecuador. 'We support the democratic system in Ecuador, the constitution. The role of congress, the president and the opposition is to act in line with the constitution and therefore we support democracy in Ecuador and the constitution,' Powell said at a press conference. US Trade Representative Robert Zoellick arrived in Quito on 9 June to meet Gutiérrez and other government officials to discuss the progress of the free trade agreement which the US is currently negotiating with Ecuador, Colombia and Peru.

    CUBA
    John Kerry, the Democratic Party candidate for the US presidency is starting to generate support from some Cuban-American voters in Florida, according to opinion polls. In 2000, this segment of the electorate was solidly behind George W Bush and helped him to carry the state by 537 votes. Although the biggest segment of the Cuban-American vote, those who arrived before the 1980 Mariel boatlift, is still overwhelmingly pro-Bush, Kerry is picking up support from younger Cuban-Americans. The emerging split in the Cuban-American vote means that the race in Florida is too close to call. It was significant, therefore, that Kerry announced a major development in his policy on Cuba on 4 June. He said that although he supported the US embargo against Cuba, he did not support the recent package of measures, announced by President Bush, to cut visits to Cuba by Cuban-Americans and to restrict the amount of money Cuban-Americans could take with them when they went home. Kerry also suggested that he would be better placed than President Bush to engineer international support for a change of regime in Cuba. This is what Cuban-Americans want and where President Bush has failed.

    DRUGS
    The Mexican attorney general, Rafael Macedo de la Concha announced that the authorities had arrested Jorge Arellano Félix and Efraí­n Pérez Pasuengo on 3 June in Tijuana. They are the chief lieutenants of Francisco Javier Arellano Félix, who still leads the Arellano Félix gang, also known as the Cartel de Tijuana. Francisco Javier is still on the loose. Macedo claimed that he was now virtually on his own, without his lieutenants and heading a heavily denuded operation. Jorge Arellano Félix and Pérez were picked up in a joint operation with the US. The US Drug Enforcement Administration had offered US$5m for information leading to their capture. Besides contending with pressure from the authorities on both sides of the border, the Arellano Félix gang is also locked in a battle with the Cartel de Sinaloa, headed by Ismael 'El Mayo' Zambrano. The gangs are fighting for control of the lucrative business of supplying cocaine and marijuana to the west of the US.

    TRUCKS
    The US Supreme Court ruled on 7 June that the US government did not need to carry out a more thorough environmental impact assessment of the effect Mexican lorries would have on US air quality when they use US roads. The unanimous decision by the Supreme Court opens the way for Mexican lorries to use US roads. It overturned a decision by a San Francisco appeals court in January 2003. The appeals court had upheld the claim by environmentalists and others that the US Department of Transport should conduct a widespread and thorough survey of the effect Mexican lorries would have on air quality in the US before obeying President George Bush's decision, made in November 2002, to allow Mexican lorries to use US roads. The Supreme Court's decision is likely to lower the shipment costs of Mexican manufactured goods to the US.

    HAITI
    The Prime Minister of Haiti, Gérard Latortue, is currently in Washington to meet members of the Bush administration and multilateral organisations. Latortue said that Haiti was on the verge of sealing an agreement with the IMF. On his previous trip to Washington Latortue appealed for financial assistance to address widespread poverty in Haiti. He said that it was not sufficient for the international community to simply send a peacekeeping force and expect to see the country's problems disappear.

    HONDURAS
    The US has written off US$54.5m of Honduras's bilateral debt. The debt forgiveness comes after the administration of President Ricardo Maduro reached an agreement last April with the Paris Club, which represents rich country creditor nations, to write off 90% of the debt the country owes. Honduras must adhere to the terms of the agreement it sealed with the IMF on 20 February in order to qualify for the debt write-off.

  • 16 June 2004

    16 June 2004 Hits: 34

    HAITI: Coha denounces US involvement

    CUBA: US government denies visa to moderate Cuban dissident

    VENEZUELA & ECUADOR: US state department list on people-trafficking

    VENEZUELA: Pentagon accuses Chávez of funding Colombian guerrillas

    ECUADOR: Head of US Southern Command visits Ecuador

    US: The population of Hispanic-Americans clears 40m

    PANAMA: Free trade agreement

    HAITI
    The Council on Hemispheric Affairs (Coha), a Washington-based independent thinktank, has lambasted the Bush administration for dangerous meddling in Haiti. In an article entitled, Another Failed Washington Regime Change: Haiti's Caricature of Democratic Governance, Coha accuses the Bush administration of playing a decisive role in the uprising that brought down former president Jean-Bertrand Aristide in February this year. The report accuses the US of favouring the opposition groups in Haiti and silently standing by as 'unsavoury thugs and paramilitaries rampaged through the Haitian countryside as they headed for Port-au-Prince'. It concludes that 'Washington's overweening role_ may yet emerge as one of the more shocking examples of US interference in the internal politics of a hemispheric nation over the last half-century.' The report doesn't stop there, going on to accuse the US government of using the expulsion of Aristide as 'an excuse to hijack the country's political system' and set up 'a virtually hand-picked' interim administration in Haiti.

    CUBA
    The US government denied a visa to a moderate Cuban dissident, Dimas Cecilio Castellanos, on 15 June. The decision to deny a visa to Castellanos, who belongs to the opposition group Arco Progresista, came as a surprise. The government of President George W Bush has stepped up its pressure on the government of Fidel Castro and its support for dissident groups as part of its effort for democratic transition. The US Interests Section defended the decision to deny Castellanos a visa in a statement saying that 'support or non-support for US policy is not a litmus test for receiving a US visa.' It refused to reveal why Castellanos was denied a visa. It also dismissed the accusation that it was discriminating against Arco Progresista. 'We have provided informational materials to supporters of Arco Progresista, despite this organisation's well-known disagreement with US policy,' it said.

    VENEZUELA & ECUADOR
    Ecuador and Venezuela featured near the top of the fourth annual US state department list of countries that have failed to crackdown on people-trafficking, along with the likes of Cuba from Latin America, and North Korea, Burma and Sudan from further afield. The report accuses Venezuela of doing little to tackle human smuggling adding that 'Venezuela's long porous borders facilitate the movement of trafficked persons into and through the country and require better government control.' The US has promised to cut back its economic aid to Ecuador unless it starts to address the issue within the next 60 days. The Trafficking in Persons Report contains data on human trafficking and official efforts to combat it in 140 countries.

    VENEZUELA
    The Pentagon has released a report alleging that Venezuela channelled US$1m to Colombian guerrillas from the government budget in 2002 and trafficked arms to Colombia through Panama and various Caribbean islands. The report says that the government of President Hugo Chávez passed the money through to the guerrilla groups Fuerzas Armadas Revolucionarias de Colombia (Farc) and the Ejército de Liberación Nacional (ELN) by means of a ghost company set up by guerrillas known as Cootraguas.

    ECUADOR
    Head of the US Southern Command, General James T. Hill dropped into Ecuador on 15 June to meet high-ranking officials in the Ecuadorean armed forces and representatives from congress. The two-day visit was Hill's fifth to Ecuador since 2002. It comes at an interesting time, fuelling speculation that beleaguered President Lucio Gutiérrez might be prepared to offer support for the US-led counter-narcotics and counter-insurgency initiative Plan Colombia in exchange for solid backing from the Bush administration. Quito has strenuously denied that it has any intention of signing up to the Plan Colombia.

    US
    The population of Hispanic-Americans in the US has cleared 40m according to the release of the 2003 census. Hispanics are the largest growing minority in the US, increasing by 13% in the three years to July 2003 or 1.5m every year. In the same time period, non-hispanic whites grew by just 0.9% to 197.3m. The results of the census serve to underline the importance of the Hispanic vote in the upcoming and forthcoming presidential elections.

    PANAMA
    Representatives from the US and Panama concluded the second of four rounds of free trade negotiations. The hard bargaining is yet to begin with both sides so far leaving their more sensitive products to one side. Panamanian farmers want the government to guarantee that it will exclude 16 products from the free trade agreement. These products include most dairy products, beef, sugar, rice, maize chicken, pork onions, potatoes and tomatoes. The local producers say that they cannot compete with the heavily subsidised US competition.

  • 23 June 2004

    23 June 2004 Hits: 40

    DRUGS: US and Brazil co-ordinate plans

    HAITI: US gets ready to hand over to UN

    VENEZUELA: US Senate foreign relation commitee to discuss state of democracy

    REFERENDUM: Carter Center expert seeks peaceful resolution

    IRAQ: El Salvador thanked for keeping troops

    CHILEAN TRADE: Jeb Bush welcomes delegation to Florida

    ANDEAN TRADE: Free-trade agreement reached

    DRUGS
    The US and Brazil are on the verge of reaching an agreement on ways to co-operate on shooting down aircraft over Brazil that belong to drug dealers from neighbouring countries, the US ambassador to Brazil, Donna Hrinak, said. Last May Defence Minister José Viegas said that Brazil was interested in co-operating more closely with US officials in tracking aircraft in the region owned by alleged drug dealers. In 1998, Brazil's Congress approved legislation regulating the nation's airspace. However, Congress left the job of detailing rules for downing unidentified aircraft to the executive branch of government, which is set to unveil these rules by the end of June. Hrinak said that if the rules tally with those under US laws then 'we can help Brazil by offering information on aircraft leaving Colombia with drugs, for example.' Meanwhile, the US ambassador to Ecuador, Kristie Kenney, said that the US government will increase collaboration with Ecuadorean police in the south of the country in a bid to clampdown on the transit of drugs through Ecuador. Kenney said that the US would provide training and exchange programmes, hand over sniffer dogs and install X-ray machines in airports in Quito and Guayaquil.

    HAITI
    The US-led multinational force will hand over command control in Haiti to a UN stabilisation force on 1 July. On 22 June, US Ambassador James Foley accompanied interim Prime Minister, Gerard Latortue, to a special presentation ceremony in Cite Soleil, an impoverished slum-suburb of the capital, Port-au-Prince, where US marines have restored a football field that had become a rubbish dump. Speaking at the ceremony, Foley said 'This is an area that's one of the most forsaken places on Earth, at least in this Hemisphere.' On 16 June, Jeb Bush visited the Haitian capital Port-au-Prince for talks with Haiti's interim prime minister Gerard Latortue and aid workers helping on the southern border with the Dominican Republic, the scene of a devastating flood last month. Floridians have donated some US$250,000 to flood victims on the island. 'I'm proud of the fact that after the tragic floods, Floridians, particularly the Haitians who live there, were very generous,' Bush said.

    VENEZUELA
    The US Senate foreign relations committee is to hold a hearing on the state of democracy in Venezuela on 24 June. The session will be chaired by Norm Coleman, the chairman of the senate's interamerican affairs subcommittee. Roger Noriega, the assistant Secretary of State for western hemisphere affairs and an outspoken critic of Venezuela's President Hugo Chávez , will speak at the hearing. Balancing Noriega will be speakers from various Non Governmental Organisations. These include: Jennifer McCoy from the Carter Center, Jose Miguel Vavanco from Human Rights Watch, Miguel Dí­az from the Center for Strategic and International Studies and Roger Tissot from PFC Energy, a Washington energy consultancy.

    REFERENDUM
    The Carter Center, which along with the Organization of American States, is heading the international effort to find a peaceful and constitutional solution to the political crisis in Venezuela has summoned William Urry, a specialist in negotiation and conflict resolution from Harvard University. He said that he saw his role as exploring the specific steps that needed to be taken by both sides for the successful implementation of the referendum on whether President Hugo Chávez should continue in office. He said that one of his jobs would be to help media owners and editors to provide a balanced coverage in the run-up to the referendum, which is scheduled for 15 August.

    IRAQ
    The head of the US Southern Command, General James Hill, visited San Salvador on 21 June for talks with President Tony Saca. Hill thanked Saca for his decision to keep Salvadorean troops in Iraq. Saca is considering sending a further troop detachment to Iraq shortly. El Salvador's 380-strong Batallón Cuscatlán is based in An Najaf, south of Baghdad.

    CHILEAN TRADE
    Jeb Bush, governor of Florida and brother to President George W Bush welcomed a delegation of Chilean businessmen to Miami on 22 June. The governor lavished praise, in Spanish, on the Chileans, calling Chile 'a catalyst for increased business and investment in the whole of South America', whose 'brilliant future was an inspiration for the whole of the world'. Last year the volume of trade between Chile and Florida reached US$1.8bn. The two stereotypical Chilean products of wine and salmon were hardly represented; instead, delegates from 15 different firms represented diverse sectors ranging from the cosmetics industry to legal services.

    ANDEAN TRADE
    The US reached an agreement with Peru, Colombia and Ecuador on the terms of tariff reductions on industrial and agricultural products during the second round of negotiations on a free trade agreement (FTA). The terms of customs' reduction ranged from 5 to 10 years.

  • 30 June 2004

    30 June 2004 Hits: 32

    DRUGS: US and Colombian officials break drug-trafficking network

    KERRY: Kerry blasts Bush administration on Latin America

    CUBA: US embargo toughened up

    ARGENTINA: Bielsa reacts angrily to US comments on piqueteros

    MEXICO: US and Mexico agree on double taxation treaty

    MEXICO: Illegal immigrants to be flown home

    SECURITY: US official outlines new regional approach to terrorist threat

    DRUGS
    US and Colombian officials claim to have broken up a drug trafficking network that shipped some 94 tonnes of cocaine through the Caribbean and into the US each year. Colombia's national police chief, Jorge Daniel Castro, says that 87 people were rounded up in the two countries, as well as in the Bahamas, Jamaica and Canada. US authorities are expected to request the extradition of seven of the suspects being held in Colombia, including a suspected leader of the group. The drug gang used human couriers and high-speed boats to transport the drugs from Colombia's northern coast into Florida or the Caribbean islands.

    KERRY
    Democrat candidate John Kerry has started to campaign hard for the Hispanic vote. Speaking at the National Association of Latino Elected and Appointed Officials on 26 June, he spelt out his vision for relations with Latin America. He said that his administration would go beyond the 'one-note insistence' on free-trade agreements, which he said had characterised Bush's approach to US-Latin American ties. Kerry said that 'I will be a president of the United States who knows where Latin America is and knows that we owe it respect'. He proposed a council for democracy composed of distinguished international leaders who can work within the Organization of American States to resolve crises like those in Haiti before constitutional order is threatened. He also proposed tripling US funds to the National Endowment for Democracy to support its work training and organising party leaders in Latin America.
    On 30 June, Kerry wrote an opinion piece in The Miami Herald in which he insisted that the Bush administration must accept some of the blame for the democratic reverses suffered by several countries in Latin America: 'In Argentina, the Bush administration stood aside and watched as the economy spiralled downward and mob violence forced the president from office. In Bolivia, Bush encouraged the election of a pro-market, pro-US president and did nothing to help the country when riots shook the capital and the president was forced to flee. In Haiti, the Bush team acquiesced in mob violence and a quasi-military coup that ousted a democratically elected, albeit flawed, regime. In Venezuela, Bush welcomed a new government installed by the generals as the elected president sat in military custody, only to see the president restored to power within hours.'

    CUBA
    Tough new measures to ratchet up the US trade embargo on Cuba will be introduced from midnight on 30 June. The new policies include restricting visits by Cuban Americans to Cuba to once every three years (as opposed to once a year) for a maximum of two weeks, a ban on remittances to all but close relatives, and a US$59m fund to support 'regime change'. The Bush administration calculates that the restrictions placed on Cuban-Americans' remittances will deprive Cuba of some US$150m a year.

    ARGENTINA
    Argentina reacted angrily to comments from the US registering concern at the current unrest in the country caused by the piquetero movement. Foreign minister Rafael Bielsa declared on 29 June that he was 'fed up with [the US] intervention in the domestic affairs of our country', and he questioned whether an Argentine official had the right to criticise the 'barbarity' of US prisons in Guantánamo and Iraq. Even though the US's concern at the situation in Argentina was traced only as far as a high-level official, Bielsa immediately went after the subsecretary for western hemisphere affairs, Roger Noriega, whom he accused of engaging in diplomacy by bar-room chatter. The foreign minister also claimed that Noriega's comments were aimed at undermining the government and suggested he was doing so at the behest of opposition forces in Argentina.

    MEXICO
    The US and Mexico have agreed on a double taxation treaty for social security payments. This deal, signed on 20 June, will benefit Mexicans who make social security payments in the US. President Vicente Fox said that the idea was that the two countries would eventually more towards a system under which Mexicans working in the US and making social security payments would be allowed to use this money to provide a pension in Mexico.

    MEXICO
    The US government said that Mexico had accepted a deal on 29 June, under which illegal migrants arrested in the Arizona desert would be flown home. The programme will start on 12 July, according to the US Department of Homeland Security. In the last US fiscal year, which ended in September 2003, 154 illegal Mexican migrants died in the Arizona desert.

    SECURITY
    Roger Pardo-Maurer, the US deputy defence secretary for Western Hemisphere affairs, outlined the US's new security strategy for Latin America on 29 June. Speaking at the Centre for Strategic International Studies, he said that the US wished to help the region's security forces to work together to face the threats of terrorism and drug-trafficking. Pardo-Maurer said previous US-Latin American relations on this issue had been 'very bilateral' and that the US would strive for greater regional co-operation. The US official cited recent joint military exercises between the US, Panama and Chile, which practised defending the Panama canal against a terrorist attack, as an template for possible future ventures.

  • 7 July 2004

    07 July 2004 Hits: 28

    MEXICO: US demands apology for funeral fiasco

    AIDS: Bush adminstration criticised over sex education

    TRADE: EU-Mercosur Free Trade: US, a third wheel?

    CUBA: Powell exempts medical students from travel ban

    COLOMBIA: Senator asks US to stop putting obstacles in way of peace talks

    MEXICO
    The US demanded an apology from the Mexican government for the interruption in Mexico of a funeral of a Mexican national who was killed while serving as a US marine in Iraq. Juan López Rangel was being buried in Guanajuato, with full US military honours, on 4 July, when a squad of 80 Mexican soldiers interrupted the ceremony just as a detachment of US marines were about to fire a final salute over the coffin. The Mexican soldiers said that foreign soldiers were not allowed to bear arms on national territory. They arrested two US marines who were released after about an hour. Rangel held dual citizenship and was killed in Iraq on 21 June. Around 3,000 people attended his funeral. He had married a Mexican he met in the US. The US embassy said that the guns the US marines were using were purely ceremonial and were not proper firearms.

    AIDS
    The US government's policy initiatives advocating sexual abstinence over abortion and the use of condoms in Latin America and the Caribbean came in for sharp criticism in reports presented at the meeting of the United Nations Economic Commission on Population and Development in Puerto Rico. The US health group Kaiser Family Foundation Daily accused the Bush administration of neglecting sex education initiatives in favour of funding abstinence-only solutions, despite what it claims as 'the proven success of sex education programs in combating the spread of the disease in nations such as Brazil'.

    TRADE
    With free-trade talks between the EU and Mercosur reaching the end game, the Washington think tank, the Council on Hemispheric Affairs (Coha) published an article entitled EU-Mercosur Free Trade: US, a third wheel? Coha leaps to the conclusion that the EU-Mercosur deal means that the US can no longer treat Latin American countries as 'subsidiaries of a holding company which it controls'. Coha goes on to say that 'the trade agreement between the European Union and Mercosur could come to rival the Free Trade Area of the Americas as a major hemispheric economic force […] From a Caribbean, Andean or South American standpoint, the EU-Mercosur pact strengthens their respective chances for a fairer and freer FTAA agreement_' Coha sententiously declares, 'As the United States's soft power continues to decline in the region, Europe's global stock looks increasingly more appealing. If the US wishes to maintain its traditional position astride the Western Hemisphere, it must learn from its European counterparts how to stop talking down and start talking to Latin America.' What Coha does not mention is that Mercosur's FTA with the EU is foundering on exactly the same issue as the FTAA: farm subsidies. Mercosur has managed to get the EU to lower its barriers to agricultural products but it has in no sense prised open the EU market.

    CUBA
    Secretary of State Colin Powell has exempted a group of US medical students from the Bush administration's new, tighter restrictions on travel to Cuba. The 80 students, mostly black and Hispanic, are enrolled in Cuba's Latin American Medical School on the outskirts of Havana. The Cuban government, which has offered to provide a free medical-school education for up to 500 students from disadvantaged communities in the US, pays the full cost of the students' tuition, housing and meals. Under the old travel restrictions, these students were exempted from the Cuba travel ban because their stay was funded by the Cuban government, but under the new rules, this 'fully hosted' category expires on 1 August. The students wrote to Powell saying they could not afford the high cost of medical education in the US. A special education-travel license is currently being written to allow them to finish their studies in Cuba. Under the old rules, Cuban-Americans could return to the island once a year and take as much as US$3,000 to aid family members. The new rules limit them to one visit every three years and US$300.

    COLOMBIA
    On 6 July the vice-president of the Colombian senate peace commission, Carlos Moreno de Caro, asked the US 'to not put obstacles' in the way of the government's peace process with the paramilitaries, many of whom the US wishes to extradite for drug-trafficking. Speaking on Radio Caracol, Moreno de Caro said that all aspects of Colombian life have been permeated by drug-trafficking money and that for the peace process to have a chance of success it is necessary 'to forgive'. Last week the US ambassador to Colombia, William Wood, said that the extradition of drug-traffickers was 'non-negotiable'.

  • 14 July 2004

    14 July 2004 Hits: 34

    TOURISM: Brazil is the most popular tourist destination for US citizens.

    TRADE: Although the US trade deficit with Asia and Western Europe fell, by 7% and 17.5% respectively, its deficit with Latin America rose by 10.4%.

    BOAT SINKINGS: Ecuador's foreign ministry has confirmed one of the sinkings of fishing vessels by the US navy

    US ELECTIONS: Massive spending on Spanish-language election campaign

    SACA VISIT: The president of El Salvador, Tony Saca, visited the US for talks with his US counterpart, George Bush

    REICH: Coha writes Otto Reich: A Career in Disservice

    TOURISM
    Brazil is the most popular tourist destination for US citizens. Of the 57m US citizens who take foreign holidays only 4% travel to South America. Over 68% go to Western Europe. In the Latin American league table, Brazil is followed by Costa Rica and then Peru. According to a study by the Peruvian government on US tourists, most are well educated and have an annual income of over US$114,000 a year. They tend to take two or three foreign trips each year.

    TRADE
    The US reduced its trade deficit in May by 4.5%, the Commerce Department reported on 13 July. Although the US trade deficit with Asia and Western Europe fell, by 7% and 17.5% respectively, its deficit with Latin America rose by 10.4%. The fall in the overall US deficit, to US$46bn, was the first fall since October 2002. Latin America and the Caribbean's trade surplus with the US rose to US$6.39bn in May. For the first five months of the year the trade surplus was US$29.4bn, up from US$27.8bn in the same period of 2003.

    BOAT SINKINGS
    Ecuador's foreign ministry has confirmed one of the sinkings of fishing vessels by the US navy denounced three weeks ago by Aldhu, a Quito-based human rights NGO, but claimed that the sinking took place in international waters. The US government has not explicitly acknowledged sinking the boat, which was carrying illegal migrants. The inquiry determined that five ships reported as sunk had been detained by the authorities of various Central American countries when engaged in illegal activities.

    US ELECTIONS
    The Republican and Democrat election campaigns have spent over US$9m on Spanish-language publicity in order to boost their share of the Latino vote. This is over three times the amount spent in the 2000 campaign. Hispanics are one of the most hotly sought-after voting blocs in the 2004 elections: around seven million are expected to vote in November, giving them the potential to swing the election in several states where the outcome is too close to call, including Florida, Arizona, New Mexico and Nevada. In the 2000 elections, then-vice-president Al Gore won 62% of the Latino vote; Bush won 35%, considered a good result for a Republican. According to a Gallup opinion poll taken at the end of June, Kerry has 58% of Latino voter intentions and Bush has 38%.

    SACA VISIT
    The president of El Salvador, Tony Saca, visited the US for talks with his US counterpart, George Bush, on 12 July. Saca pledged to send more troops out to Iraq as part of a humanitarian mission, despite strong misgivings from the political opposition and Salvadorean social organisations. Bush told Saca that the US-Central American free trade agreement (Cafta) would not be sent to congress before the presidential elections. This will come as a blow for the five Central American governments that reached the agreement with the US last December but it is scarcely a surprise. Democrat opposition to the deal, especially on the sensitive topic of labour laws, could have led to an embarrassing defeat for the government.

    REICH
    The Washington think tank Council on Hemispheric Affairs produced a report to celebrate the achievements of Otto Reich, who resigned on 16 June from his position as White House adviser on Latin American issues. The title Otto Reich: A Career in Disservice sets the tone for a report that has little in the credit column for the man who was the scourge of liberal groups: 'Reich has repeatedly shown that he is the anti-Christ for any crusade for responsible democratic self-rule, and his name will rank high among those pathalogues who manage to diminish everything they touch_ Almost single-handedly, he has bent and distorted U.S.-Latin American relations, and in the past several decades has contributed to a level of odium that cannot easily be recalled in the bilateral relationship between the two continents. His legacy hardly deserves that word, filled as it has been with vulgar rhetoric, meretricious analysis, Rasputin-like conspiracies and inability to distinguish responsible behavior from that of a low quality goon.'

    In between these colourful tirades, Coha charts Reich's three-decade long career during which he held a series of senior public positions. Reich, an aggressively rightwing Cuban-American, was a firm advocate of tightening up the trade embargo on Cuba. He worked tirelessly to stop the advance of Communism. Most notoriously, he was a key player in the Iran-contra scandal during which he worked at the Office of Public Diplomacy (OPD) in the State Department, fashioning op-eds that were passed off to the US media under the name of Nicaraguan rebel leaders to boost the case for overthrowing the Sandinista government.

  • 21 July 2004

    21 July 2004 Hits: 30

    FOREIGN INVESTMENT: US and Nicaragua sign investment deal

    HAITI: Donors raise over US$1bn

    MEXICO: Foreign minister heads to Washington for talks

    OIL: Ecuador refuses to hand over tax rebate to Occidental

    PINOCHET: Bush says Riggs Bank money-laundering claims will be fully investigated

    VENEZUELA: Bush calls for transparency in recall referendum

    CAFTA: League of Latin American Citizens condemns free-trade agreement

    FOREIGN INVESTMENT
    The governments of Nicaragua and the US have signed an agreement paving the way for the Overseas Private Investment Corporation (OPIC) to simplify and speed up its support for US investment in Nicaragua. The agreement was signed by Nicaragua's foreign minister Norman Caldera and US ambassador Barbara Moore. Moore heaped praise on the government's management of the economy, which she said was one of the fastest growing in Central America and had the potential to attract more foreign investment. The Overseas Private Investment Corporation (OPIC) was established as a development agency of the US government in 1971 to support US foreign policy. OPIC helps US businesses invest overseas, seeks to foster economic development in new and emerging markets, and complements the private sector in managing the risks associated with foreign direct investment.

    HAITI
    US Secretary of State Colin Powell pledged US$230m of financial assistance for Haiti as part of a massive US$1.1bn of funds promised by the wider international community to help the troubled country get off its feet before democratic elections are held in 2006. Speaking at the opening of the two-day international donors' conference on Haiti held at the World Bank, Powell lobbied donors to support the cause: 'The international community will benefit from the transformation of Haiti into a fully democratic, stable and prosperous country. The government is committed to creating a new kind of political dialogue in Haiti, a dialogue that emphasises tolerance, that emphasises consensus and that emphasises inclusiveness,' Powell said. About half of the US$230 donated by the US will go towards health, nutrition and education, with a further US$22m providing AIDS relief. The rest will help get basic infrastructure like roads, ports and electricity up and running. 'We will help the Haitians prepare for free and fair elections. We will help Haiti meet the health and humanitarian needs of its most vulnerable citizens. We will support a jobs programme to spur economic activity and repair neglected infrastructure, and we will help the Haitian national police become an apolitical, professional corps,' Powell said. He added that 'the international community will be there for (the Haitian government), for the Haitian people, and above all, for the children of Haiti.'

    MEXICO
    Luis Ernesto Derbez, the Mexican foreign minister, will head to Washington on 22 July for a two day visit, during which he will meet with Colin Powell and Condoleezza Rice. The Mexican foreign office released a statement saying the purpose of Derbez's trip was to 'continue our dialogue with the US authorities and to revise the terms of the bilateral agenda'. Derbez is also expected to sign a deal protecting workers' rights; the accord is intended to improve the living standards of the 5 million undocumented Mexican workers in the US.

    OIL
    On 21 July Ecuador rejected a decision by the International Court of Arbitration which ordered the country to pay a US$75m tax rebate to the US oil firm Occidental. Carlos Burgos, Ecuador's attorney general, said that the country did not accept the ruling and was studying how to appeal against it. An Ecuadorean law, passed three years ago, guarantees a VAT rebate for exporting companies, but it does not state whether this includes the oil industry. The law was designed to increase the export of goods produced in Ecuador, but it does not indicate whether that includes oil, which is merely extracted and not processed.

    PINOCHET
    US President George Bush met his Chilean counterpart Ricardo Lagos on 19 July. Bush assured Lagos that allegations of money-laundering at Riggs National Corp are being fully investigated after a US senate report found the bank helped former dictator Augusto Pinochet hid millions of dollars. This is the first time the US president has spoken out about the Riggs case, and it will encourage those who believe there is still a chance to see the 88-year old Pinochet prosecuted. 'The people of Chile must know there will be a full investigation,' Bush said. 'You're seeing a transparent society dealing with the allegations. The Riggs Bank is being fully investigated and they'll be investigated in a very open way.'

    VENEZUELA
    On 19 July US President Bush urged transparency in Venezuela's approaching recall referendum on President Hugo Chávez . He also added his voice to calls for open access for observers monitoring the vote. 'The referendum must be conducted in an honest and open way,' Bush said shortly after meeting the President of Chile, Ricardo Lagos. In order to recall the president, his opponents not only have to gain at least the 3.76m votes that Chávez received when he won the last election, but will also have to surpass the number of voters who want Chávez to stay on, at least until the end of his term in 2007.

    CAFTA
    The League of United Latin American Citizens, one of the largest Latino civil rights organizations in the US condemned the US-Central American free trade agreement (Cafta), which they said would undermine the sub-region's economies, flout labour standards and trigger increased immigration to the US. The group has urged Congress to vote against Cafta. Bush told the president of El Salvador, Tony Saca, last week that Cafta would not be sent to congress before the presidential elections.

  • 28 July 2004

    28 July 2004 Hits: 38

    MILITARY: General Hill to retire in November

    FREE TRADE: Dominican Republic joins Cafta

    PIRACY: US pay Paraguay to fight intellectual property violations

    GUATEMALA: Vice-president hopes US will lift ban on military aid

    VENEZUELA: Former army officer admits contact with dissident general

    COLOMBIA: Vice-president rejects human rights letter

    MILITARY
    The head of the US Southern Command, General James Hill, announced that he will retire in November. He has held the position since 2002. Hill's main contribution has been in supporting the counter-insurgency and counter-narcotics campaign in Colombia and organising the multinational force that restored some semblance of stability to Haiti after former president Jean-Bertrand Aristide was removed from power in a rebel uprising last February. General Bantz J. Craddock, a key advisor to defence secretary Donald Rumsfeld, will take over from Hill.

    FREE TRADE
    The US will sign a free-trade agreement with the Dominican Republic on 5 August in Washington, US trade representative Robert Zoellick announced. This will result in the Dominican Republic being officially anchored to the US-Central America free trade agreement (Cafta). The US has already announced that it will not send Cafta to congress before the presidential elections in November. The outcome of the US elections could dictate the future of Cafta. A high percentage of Democrats are opposed to the bill, which they feel lacks crucial environmental safeguards and protection of labour rights.

    PIRACY
    The US government will present Paraguay with a cheque for US$320,000 to fight piracy. The spokesman for the state department, Richard Boucher, said that Asunción was selected for the financial assistance to boost the country's fight against the violation of intellectual property in accordance with agreements signed between the two countries in 2003. Paraguay is Latin America's worst offender for piracy. It topped two lists in the space of two weeks in July for its poor record against piracy. First, the Business Software Alliance (BSA) reported that 83% of computer programmes used in Paraguay were obtained illegally. Then the International Federation for the Phonographic Industry (IFPI), representing music labels in 70 countries, highlighted Paraguay, along with Brazil, China, Mexico and Pakistan as centres for illegally-produced compact discs.

    GUATEMALA
    The vice-president of Guatemala, Eduardo Stein, said that he hopes the US will lift its restriction on providing financial assistance to the Guatemalan army when it discusses the 2006 budget. Speaking at a conference in Washington at the Center for Strategic & International Studies (CSIS), entitled 'Consolidating Democracy in Guatemala', Stein said that he would like to see the restriction removed, if only for the political reasons: Guatemala shares with Cuba the distinction of being the only country in the Western hemisphere ineligible for military aid from the US after restrictions on El Salvador and Nicaragua were removed. Washington cut off military aid to Guatemala during the Carter administration due to the army's human rights violations. Stein said that he hopes President Oscar Berger's military reforms, including the downsizing of the army to 15,500 will be enough to persuade Washington to resume aid. He said that the army's increased involvement with domestic social organisations and in peacekeeping missions abroad (most recently in Haiti) was part of its national and international rehabilitation. He said that the government was promoting human rights in compliance with the 1996 peace accords signed with left-wing guerrillas at the end of the country's 36-year civil war. He also said that the government was working to allow Guatemalan expatriates to have the vote: 1.3m Guatemalans (11% of the population) currently live in the US.

    VENEZUELA
    During a cross-examination in a Miami court dissident Venezuelan army officer José Antonio Colina admitted he had been in indirect contact with a fugitive Venezuelan general accused of plotting the violent overthrow of President Hugo Chávez . Colina is charged with bombing both the Spanish embassy and the Colombian embassy in Caracas. The dissident general, Felipe Rodí­guez, (also known as 'The Crow') is believed to head an anti-Chávez guerrilla group called 'Comandos de la Libertad'. The cross examination, by Gina Garrett Jackson, the homeland security chief counsel, was aimed at persuading immigration judge Neale Foster that Colina fled Venezuela to avoid a legitimate criminal process and not torture or death as he had testified earlier.

    COLOMBIA
    Francisco Santos, the vice-president of Colombia, rejected a letter sent to President Alvaro Uribe on 28 July from 22 US senators, one of whom was Democratic presidential candidate John Kerry, calling for Colombia to fulfil its human rights obligations. Other than Kerry, the letter, which reminded the country to observe its UN obligations, was signed by vice-presidential candidate John Edwards, Patrick Leahy and Edward Kennedy. Although the letter commended the drop in homicide rates, it asked the Colombian government to cut the alleged links between the army and rightwing paramilitary groups. Santos claimed that the letter was merely a political stunt, designed to boost the Democrats' election campaign.

  • 4 August 2004

    04 August 2004 Hits: 35

    COLOMBIA: US backs Uribe over allegations of links to drugs trade

    SHRIMPS: US imposes tariffs on shrimp from Brazil and Ecuador

    BORDER CONTROL: Pilot security programme extended

    VENEZUELA: Concern voiced ahead of recall referendum

    BRAZIL: Embraer win defence contract

    PANAMA: Two former government officials lose visas

    HONDURAS: Tegucigalpa rewarded for drugs bust

    COLOMBIA
    President Alvaro Uribe met the director of the US Office of National Drug Control Policy, John P. Walters and the assistant secretary of state for western hemisphere affairs, Roger Noriega in Bogotá on 3 August. The visit coincided with the release of controversial articles in the US weekly current affairs magazine Newsweek and the New York Times, which quoted a report drawn up by the US Defence Intelligence Agency (DIA) in 1991 on Uribe's alleged links to the notorious drug-trafficker, Pablo Escobar. The report describes Uribe as a 'Colombian politician and senator dedicated to collaboration with the Medellí­n cartel at high government levels'. 'Uribe was linked,' the report goes on 'to a business involved in narcotics activities in the US. His father was murdered in Colombia for his connection with the narcotic traffickers. Uribe has worked for the Medellí­n cartel and is a close personal friend of Pablo Escobar Gaviria. He has participated in Escobar's political campaign to win the position of assistant parliamentarian to Jorge (Ortega). Uribe has been one of the politicians, from the Senate, who has attacked all forms of the extradition treaty'. The report has been dismissed by the Colombian government. The US is backing Uribe to the hilt. 'We completely disavow these allegations about President Uribe', State Department spokesman Adam Ereli said. 'We have no credible information that substantiates or corroborates these allegations that appeared in an unevaluated 1991 report, linking President Uribe to the narcotics business or trafficking. What I can tell you is that this was a report that included information that was based on input from an uncorroborated source. It is raw information ... (not) finely evaluated intelligence, and my understanding from my Department of Defence (DOD) colleagues is that it did not constitute an official DIA (Defence Intelligence Agency) or DOD position'.

    SHRIMPS
    The US department of trade announced temporary tariffs on shrimp imports from Brazil and Ecuador. The tariffs will affect both tinned and frozen squid imports. The tariffs will range from 4% to 68% based on the volume of sales and production costs of each country. The US also placed tariffs on India and Thailand to add to the tariffs of as much as 112% it slapped on shrimp imports from Vietnam and China three weeks ago. Tariffs on Brazilian squid imports will range from 0% to 68%; those on Ecuador from 6% to 9.3%. The Southern Shrimp Alliance, which represents tens of thousands of small US shrimp farmers in eight states, filed the complaint last December. It requested tariffs ranging up to 349%.

    BORDER CONTROL
    On 3 August, the US expanded its pilot project of recording photographs and fingerprints of every visitor entering and leaving the country. The pilot programme, launched in January 2004 at 115 airports recorded everyone, apart from nationals from 27 exempt countries, who entered the country. Exit data was also collected at two points: Baltimore airport and the cruise ship terminal at Miami. The government has now extended the exit programme to Chicago airport and from September it will be extended to another nine airports: Atlanta; Dallas/Fort Worth, Denver, Detroit, Newark, Philadelphia, Phoenix, San Francisco and Seattle. From 27 September, the controls will also take in nationals from 27 countries currently exempt.

    VENEZUELA
    The US is concerned about the forthcoming recall referendum on President Hugo Chávez . Reuters, a news agency, reported on 3 August that the chairman of the senate foreign relations committee, Richard Lugar, had sent 26 questions about Venezuela/US relations to Roger Noriega, the assistant secretary of state responsible for US policy towards Latin America, and John Maisto, the US ambassador to Venezuela. The replies, according to Reuters, were sent in the final week of July. The US policymakers' view is critical of Chávez , but also recognises that the US will have to work with Venezuela if Chávez wins the referendum on 15 August. The US reckons that it has most chance of working with Chávez on anti-drugs policy and energy issues. The US policymakers said that they were alarmed by the new supreme court law which will increase the number of supreme court justices from 20 to 32 and allow justices to be sacked by congress. The policymakers also said that they were concerned by the apparent politicisation of the armed forces by means of the preferential promotion of loyal Chavistas.

    BRAZIL
    The US Defense Department picked a Lockheed Martin-led consortium to supply 58 aeroplanes to provide battlefield intelligence. While Lockheed will lead on the data-systems, the Brazilian aircraft manufacturer, Embraer, will provide the planes. The surprise win by the Lockheed consortium vindicates Embraer's decision to set up a US manufacturing operation in Florida. This plant will produce the ERJ-145 aeroplane in which the avionics (high-tech surveillance equipment) will sit. The contract calls for up to 58 planes to be delivered to both the US Army and Navy by 2025.

    PANAMA
    The US has cancelled the visas of five Panamanians, including two former government officials. Eric Oscar Signares and Andrés Avelino Jaén Rodrí­guez served as the director of immigration and naturalisation and in the trade and industry ministry respectively earlier in the mandate of incumbent President Mireya Moscoso. Both have been accused of fraud and falsifying documents.

    HONDURAS
    The US has given US$749,142 to Honduras for anti-drug initiatives. The US embassy in Honduras said that the financial support was in recognition of Tegucigalpa's impressive efforts to clamp down on drug-trafficking. Honduras confiscated 6,000kg of cocaine in 2003. It has confiscated 4,000kg of cocaine so far this year.