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Viewing cable 08BUENOSAIRES634, Argentina: Negative Reaction to Special 301 Priority Watch

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Reference ID Created Released Classification Origin
08BUENOSAIRES634 2008-05-12 20:54 2011-08-25 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Buenos Aires
VZCZCXYZ0008
RR RUEHWEB

DE RUEHBU #0634 1332054
ZNR UUUUU ZZH
R 122054Z MAY 08
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC 1023
RUCNMER/MERCOSUR COLLECTIVE
RUCPDOC/USDOC WASHINGTON DC
UNCLAS BUENOS AIRES 000634 
 
EEB/TPP/IPE FOR RWATTS, RWALLACE AND CLACROSSE 
DEPT PLS PASS TO USTR JCGROVES, KDUCKWORTH 
DOC/ITA/MAC/OIPR FOR CATHERINE PETERS AND JENNIFER BOGER 
PLEASE PASS TO USPTO JURBAN AND LOC STEPP 
SAO PAULO FOR USPTO DMAZURKEVICH 
 
SIPDIS 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: KIPR ETRD ECON AR
SUBJECT: Argentina:  Negative Reaction to Special 301 Priority Watch 
List Designation 
 
REF: STATE 45063 
 
1. (SBU) GoA interlocutors in the Foreign Ministry reacted 
negatively to USTR's placement of Argentina on the Special 301 
Priority Watch List (PWL) for the thirteenth straight year.  Econoff 
delivered Reftel demarche to Luis Niscovolos, Director of 
Multilateral Economic Negotiations in the Argentine Foreign 
Ministry, and Deputy Director Conrado Solari-Yrigoyen on May 2.  As 
the Special 301 report was already public, both noted that PWL was 
currently the worst status in the report, and that several other 
countries on the 2007 PWL had been upgraded to Watch List status. 
They argued that Argentina's IPR regime was fully TRIPS-compliant. 
Both officials questioned why report language on Argentine Customs' 
activity was unchanged, despite the fact that the agency's 
"Trademark Fraud" program was put into effect in 2007, and that 
seizures of counterfeit goods had increased considerably compared to 
2006.  Econoff highlighted language about addressing outstanding 
issues through closer cooperation in the coming year, and noted that 
the GoA did not take advantage of USTR's invitation to provide 
comments prior to this year's 301 determination.  Solari-Yrigoyen 
asked how they might do so next year, and Econoff passed the 2008 
Special 301 Federal Register notice. 
 
2. (SBU) Turning to La Salada, the Argentine informal market singled 
out in the "Notorious Markets" section of the report, Niscovolos 
argued that La Salada "doesn't have an IP dimension," but rather 
problems in the areas of tax collection, informal labor, and 
environmental concerns.  He acknowledged that some goods which 
infringe copyrights are sold in La Salada, but said that trademark 
violations (using fake Rolexes as an example) were aimed at 
different market segments than the originals and therefore shouldn't 
be of concern.  He also objected to the assertion that "criminal 
gangs" are reputed to operate in La Salada. 
 
3. (SBU) The officials also inquired about the nature of the 
"training project" funded by the USG in the Tri-Border region shared 
with Paraguay and Brazil, as cited in that section of the report. 
Econoff was not aware of a current program involving Argentina, but 
promised to seek clarification.  (NOTE: We understand from EEB/IPE 
that this refers to a program begun in 2004 and intended for 
Paraguayan officials.) 
 
WAYNE