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Viewing cable 08BUENOSAIRES273, ARGENTINA'S SCIENCE AND TECHNOLOGY MINISTER WANTS

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Reference ID Created Released Classification Origin
08BUENOSAIRES273 2008-03-04 10:12 2011-08-25 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Buenos Aires
VZCZCXYZ0956
RR RUEHWEB

DE RUEHBU #0273/01 0641012
ZNR UUUUU ZZH
R 041012Z MAR 08
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC 0382
INFO RUCNMER/MERCOSUR COLLECTIVE
RUEAIIA/CIA WASHINGTON DC
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RHEFDIA/DIA WASHINGTON DC
RUEANAT/NASA WASHINGTON DC
UNCLAS BUENOS AIRES 000273 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
FOR WHA/BSC 
OES/SAT FOR FERNANDO ECHAVARRIA 
OES/SCT FOR TAMARA SCOTT 
 
E.O. 12958: N/A 
TAGS: TSPL TSPA SCUL PREL AR
SUBJECT: ARGENTINA'S SCIENCE AND TECHNOLOGY MINISTER WANTS 
TO INCREASE COOPERATION WITH THE U.S. 
 
 
1. (U) This telegram is sensitive but unclassified, and not 
for Internet distribution. 
 
------- 
Summary 
------- 
 
2. (SBU) Argentine Minister of Science and Technology Lino 
Baranao told Ambassador Wayne February 29 that he would like 
to develop new bilateral initiatives.  Baranao hopes to work 
with U.S. scientific entities, both public and private, to 
fund joint projects in the pursuit of common goals.  He has 
begun talks with several U.S. universities to that end.  One 
of Baranao's most ambitious priorities is to change 
Argentina's basic scientific culture.  He hopes to move from 
a culture extolling pure research to one that is more 
practical and entrepreneur-oriented.  Baranao spent over 
three years in the U.S., and appears well-disposed toward us. 
 End Summary. 
 
--------------------------------------------- ----- 
Moving Forward with the Bilateral S&T Relationship 
--------------------------------------------- ----- 
 
3. (U) Ambassador Wayne met February 29 with Lino Baranao, 
Argentina's first Minister of Science, Technology, and 
Productive Innovation.  Baranao began the meeting by 
explaining that he hopes to use his new ministry -- which 
came into existence December 10, 2007, upon Baranao's 
swearing in -- to move the bilateral science and technology 
(S&T) relationship beyond traditional instruments such as 
research exchanges.  Instead, he is hoping to establish 
"common projects, funded by both sides, but with a single 
goal."  To that end, Baranao said that his ministry has begun 
talks with the Universities of Maryland, Illinois, Arizona, 
and Miami with the goal of conducting joint research and 
developing student exchange programs. 
 
4. (U) As an example of what he wishes to achieve, Baranao 
mentioned an agreement he had signed in November 2007 with 
the Max Planck Society for the Advancement of Science, a 
German non-profit research organization, to establish a Max 
Planck institute in Argentina.  Citing an Inter-American 
Development Bank (IDB) study showing that students with 
international experience perform better, Baranao noted the 
benefits to both sides of increasing student exchanges.  The 
ambassador agreed, and told Baranao that the Embassy would 
support that effort. 
 
------------------ 
Changing a Culture 
------------------ 
 
5. (SBU) Baranao expressed admiration for the ability of U.S. 
scientists and research institutions to capitalize on their 
ideas.  He noted that his ministry is partnering with the 
World Bank in a three-pronged approach to promote innovation 
in Argentina.  The idea is to establish a pool of seed 
capital for startup high-tech companies; create physical 
space for such companies within relevant public institutions; 
and train a cadre of "technology managers," or individuals 
who understand both science and money, and are therefore 
well-placed to turn ideas into businesses.  The goal, Baranao 
continued, is to change a national scientific culture that 
still finds something discreditable about turning research 
into profit.  Instead, Baranao said, he is trying to 
inculcate the feeling that "publicly-funded researchers have 
a moral obligation to make money" to generate jobs and repay 
the taxpayer. 
 
 
6. (SBU) Baranao did not say whether any monies had yet been 
committed to the startup capital fund, but the GOA is clearly 
taking steps to improve Argentina's scientific physical 
plant.  President Fernandez de Kirchner, flanked by Baranao, 
made a televised appearance February 28 to announce a new 
Science and Technology Infrastructure Plan.  That plan 
mandates spending USD 150 million over the next four years on 
construction and improvement of the Argentine scientific 
establishment's offices and laboratories throughout the 
country.  (Comment: That money will go a long way toward 
making Argentina's long-neglected scientific infrastructure 
more hospitable.  End Comment.) 
 
7. (SBU) The ambassador mentioned a roundtable discussion 
with Minister of Planning De Vido in May 2007, to which the 
ambassador invited a number of U.S.-based high-tech 
companies.  The rationale of that event was to allow those 
companies to pass to De Vido their ideas about how they could 
best effect research partnerships with Argentines.  The 
ambassador suggested that a similar meeting, possibly 
involving both Baranao and Economy Minister Martin Lousteau, 
could be useful.  Baranao appeared enthusiastic about the 
idea. 
 
--------------------------------------------- ----- 
Intellectual Property Protection: On the Same Page 
--------------------------------------------- ----- 
 
8. (SBU) Baranao observed that some multinational 
research-based pharmaceutical companies are beginning to fund 
research and development activity in Argentina.  Ambassador 
Wayne acknowledged the phenomenon, but pointed out that the 
approximately USD 50 million that U.S. research-based 
pharmaceutical companies are spending each year in Argentina 
goes primarily toward funding clinical trials, and not toward 
research and development, due to inadequacies in Argentina's 
intellectual property protection regime. 
 
9. (SBU) Baranao agreed, saying Argentina "has some problems" 
with IPR protections.  He described a case in which an 
Argentine biotech firm applied contemporaneously for patents 
in the U.S. and Argentina.  The U.S. patent was granted two 
years later, and was eventually sold for a significant sum. 
Even after that sale, the Argentine patent was still pending. 
 Such a system, Baranao continued, clearly needs some work. 
Baranao referred to another IDB study that he said analyzed 
scientific papers authored by researchers from developing 
nations.  Of the two hundred-plus patents derived from those 
papers, none went to the papers' authors or countries. 
Without a better utilization of IPR protections, Baranao 
continued, Argentina will continue to export both the 
knowledge of its scientists and any potential monetary gains 
from that knowledge.  When the ambassador explained that some 
U.S. universities have their own patent bureaucracies, 
Baranao commented that he would like to begin something 
similar at Argentine universities. 
 
------------------- 
Argentine Successes 
------------------- 
 
10. (U) The ambassador praised the GOA's INNOVAR program, an 
online, paperless innovation competition.  Baranao agreed 
that the idea of the competition is good, but admitted that 
it had been difficult thus far to turn some of the most 
promising ideas into functioning companies.  The ambassador 
mentioned a visit to Argentine high-tech service provider 
Globant, which has managed to secure around USD 500 million 
in venture capital from U.S. sources, to illustrate that 
Argentines can make the leap.  Baranao named Core Security 
Technologies, a company begun by young Argentine computer 
programmers that now employs around two hundred people in the 
U.S. and Argentina, as another example of the entrepreneurial 
spirit he is trying to encourage. 
 
------------------------------------ 
Our Bilateral S&T Agenda: Next Steps 
------------------------------------ 
 
11. (SBU) Baranao responded positively to a suggestion that 
his ministry work together with the Embassy on an exchange 
program on tertiary education for S&T.  Specifically, the USG 
would host a multidisciplinary group of curriculum 
decision-makers from Argentina's top universities and 
institutes, who ould travel to the U.S. to learn how 
selected U.S. universities are arranging their S&T curricula. 
 The ambassador also suggested cooperating to expand the use 
of the Fulbright program to increase the number of Argentine 
S&T doctoral students in the U.S.  We will also work to 
arrange a roundtable with U.S. high-tech firms and Minister 
Baranao. 
 
------- 
Comment 
------- 
 
12. (SBU) Baranao, who has a PhD in Chemical Sciences, has 
spent over three years in the U.S. (at the National 
Institutes of Health and at Penn State's M.S. Hershey Medical 
Centre).  The experience appears to have left him 
well-disposed toward the United States.  Indeed, his 
principal objective models change in the culture of 
Argentina's scientific establishment on that of our own 
country.  Our S&T cooperation has been a consistent positive 
in a sometimes tumultuous bilateral relationship, and we look 
forward to working closely with Baranao to strengthen that 
cooperation. 
WAYNE