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Cablegate: Media Reaction: Western Hemisphere: Us-Cuba Dialogue;

VZCZCXYZ0014
OO RUEHWEB

DE RUEHSO #0640 2111933
ZNR UUUUU ZZH
O 301933Z JUL 07
FM AMCONSUL SAO PAULO
TO RUEHC/SECSTATE WASHDC IMMEDIATE 7288
INFO RHEHNSC/NATIONAL SECURITY COUNCIL WASHDC IMMEDIATE
RUEHBR/AMEMBASSY BRASILIA PRIORITY 8393
RUEHRI/AMCONSUL RIO DE JANEIRO PRIORITY 8226
RUCPDOC/USDOC WASHDC 2861

UNCLAS SAO PAULO 000640

SIPDIS

SIPDIS

STATE INR/R/MR; IIP/R/MR; WHA/PD

DEPT PASS USTR

USDOC 4322/MAC/OLAC/JAFEE
E.O. 12958: N/A
TAGS: KMDR OPRC OIIP ETRD BR
SUBJECT: MEDIA REACTION: WESTERN HEMISPHERE: US-CUBA DIALOGUE;
VENEZUELA, CHAVEZ'S POLICY; SAO PAULO

1. "From Havana To Washington"

Foreign affairs analyst Newton Carlos commented in liberal, largest
national circulation daily Folha de S. Paulo (7/28): "The idea of a
possible dialogue between Cuba and the United States seems to be in
Ral Castro's mind with who knows, maybe a slight ray of hope. There
have already been three proposals based perhaps on an important
development - the recent visit of ten US congressmen to Cuba.
Republicans and Democrats joined the initiative, and some of them
decided to break the silence by showing themselves favorable to a
'softening' of sanctions imposed on Cuba in the early 60's. The most
recent proposal for dialogue brings a difference. It was not
addressed to the Bush administration, but to the one that will
replace it. An inter American relations expert says that the current
White House and DOS tenants 'do not understand anything of what is
going on in Latin America, and the lack of understanding causes
disinterest'.... The expectation is that the future American
president, especially if it is a Democrat, will behave in a 'more
understanding, more negotiating' way."

2. "Effects Of Chvez's Socialism"

Center-right national circulation daily O Estado de S. Paulo (7/29)
editorialized: "Venezuela is marching towards socialism, but its
private sector is moving to other nations.... In the past three
years, four major oil companies either left Venezuela or are
dismounting their business in that nation because they will not
accept the conditions Chvez has imposed.... Oil production in
Venezuela has declined for two years.... It is with state owned
PDVSA's resources that Chvez conducts social projects in Venezuela
and finances overseas his plans to become the world leader of
anti-globalization and anti-American movements.... As long as the
price of oil remains high, the caudillo will always be able to use
PDVSA's resources to finance his project of power.... The Bolivarian
policies have already destroyed 50% of the national industry,
according to business associations.... In order to eliminate free
enterprise, Chvez will lead Venezuela to bankruptcy. What remains
to be seen is what the political effect will be."
Helling

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