Cablegate: Three New Ministers Sworn in; Cabinet Shuffle

VZCZCXRO5440
RR RUEHRG
DE RUEHBR #0503 0851201
ZNR UUUUU ZZH
R 261201Z MAR 07
FM AMEMBASSY BRASILIA
TO RUEHC/SECSTATE WASHDC 8410
INFO RUEHAC/AMEMBASSY ASUNCION 6000
RUEHBU/AMEMBASSY BUENOS AIRES 4650
RUEHMN/AMEMBASSY MONTEVIDEO 6797
RUEHSG/AMEMBASSY SANTIAGO 6140
RUEHRG/AMCONSUL RECIFE 6375
RUEHRI/AMCONSUL RIO DE JANEIRO 4040
RUEHSO/AMCONSUL SAO PAULO 9438
RUEAIIA/CIA WASHDC
RHEHNSC/NSC WASHDC

UNCLAS BRASILIA 000503

SIPDIS

SIPDIS

E.O. 12958: N/A
TAGS: PGOV BR
SUBJECT: THREE NEW MINISTERS SWORN IN; CABINET SHUFFLE
ALMOST FINISHED

REF: BRASILIA 457

1. Three new cabinet ministers were sworn in on March 23,
nearly completing the long-awaited cabinet shuffle of
President Luiz Inacio Lula da Silva's second term (reftel).
Lula has also selected Miguel Jorge, a banker, to be the new
Minister of Development, Industry and Trade. He could be
sworn in next week.

2. Walfrido dos Mares Guia, of the Brazilian Labor Party
(PTB), is the new Minister of Institutional Relations (or
"political coordination"). Mares Guia will manage the
Planalto Palace's relationship with Congress, parties, and
state governments in this key cabinet job. Mares Guia is the
immediate past Tourism Minister.

3. Marta Suplicy, of the Workers Party (PT), is the new
Minister of Tourism. She is a longtime PT leader and former
mayor of Sao Paulo. She is a possible 2008 Sao Paulo mayoral
candidate and 2010 presidential candidate.

4. Reinhold Stephanes, of the Brazilian Democratic Movement
Party (PMDB), is the new Minister of Agriculture. Stephanes
took leave as a Federal Deputy from Parana state to assume
the post.

5. Media reports say Miguel Jorge, an executive with the
Santander Group, has accepted Lula's request to become the
new Minister of Development, Industry and Trade. He could be
sworn in next week.

6. The cabinet shuffle now appears to be almost finished.
It is widely expected that Lula will also replace Waldir
Pires, the Minister of Defense. Deputy Aldo Rebelo,
Communist Party of Brazil (PCdoB), has been mentioned in the
media this week as a likely successor. It is uncertain
whether Guilherme Cassel, Minister of Agrarian Develoment,
will remain. Two additional appointments are understood to
be confirmed but not yet officially announced: Carlos Lupi,
head of the Democratic Labor Party (PDT), as Minister of
Social Security, and Senator Alberto Nascimento, (Party of
the Republic - Amazonas), as Minister of Transportation.

Sobel

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