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Cablegate: Brazilian Response to Reach Intervention Demarche

VZCZCXRO6268
PP RUEHRG
DE RUEHBR #1237 1721318
ZNR UUUUU ZZH
P 211318Z JUN 06
FM AMEMBASSY BRASILIA
TO RUEHC/SECSTATE WASHDC PRIORITY 5824
INFO RUEHRI/AMCONSUL RIO DE JANEIRO 2315
RUEHSO/AMCONSUL SAO PAULO 7234
RUEHRG/AMCONSUL RECIFE 4994
RUEHBS/AMEMBASSY BRUSSELS 0107
RUEHMD/AMEMBASSY MADRID 0572

UNCLAS BRASILIA 001237

SIPDIS

SIPDIS

STATE FOR OES/ENV JOHN THOMPSON

E.O. 12958: N/A
TAGS: SENV ETRD ECON KSCA BR
SUBJECT: BRAZILIAN RESPONSE TO REACH INTERVENTION DEMARCHE


REF: 06 STATE 91954

1. Scioff delivered reftel and talking points to Raphael Azeredo and
Otavio Trindade of the MFA's Division for Environmental Policy and
Sustainable Development on June 16. Azeredo declared that the GoB,
possessing a highly developed chemical industry, was immensely
concerned with investing in R&D and chemical safety regulation.
However, he also noted that excessive regulation was a worry and
that there is "a fine line between policies that safeguard and
policies that create unwanted trade barriers". The GoB is worried
that REACH goes too far in "restricting access". According to
Azeredo, Brazil's chemical governance structure is highly developed
and in line with existing international standards. Therefore, the
GoB believes that a new regimen and structures will harm Brazilian
commercial interests.

2. In response to Scioff's suggestion that the GoB broach the
talking point concepts with its EU allies, Azeredo stated he would
call the GoB Mission in Brussels on Monday and evaluate the state of
affairs, at that time. He noted that if Brussels concurred with the
situation's proscribed urgency, the GoB would identify specific
countries to approach. Scioff later elicited that Spain was a
likely target because of its heavy investment into Brazil's chemical
industry. Interestingly, Azeredo considers Germany and Great
Britain to be REACHES most avid champions, due to the protection and
support it would afford their domestic chemical industries. He
further noted that he expects India and China to be of a similar
mind to Brazil and the USG.

CHICOLA

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