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I am pleased to open this seminar on trading with the United States.  In our experience and throughout the world, trade has proved to be a powerful engine for economic growth.  Regions that embrace trade have found themselves consistently on an accelerated growth path. 

Trade also builds bridges between peoples and communities.  It is in all of our interests to see trade expand – whether it be trade across the island or trade between businesses in Cyprus and the rest of the world.  What better way to bring a lasting settlement to this island than for Greek and Turkish Cypriots to make business together?

We are thus pleased that trade, although still modest, has begun to take place across the Green Line.   We hope such commerce will continue to grow. We applaud efforts by the Turkish Cypriot Chamber of Commerce and KEVE, the Greek Cypriot Chamber of Commerce and Industry, to bring their members together.  Additional matchmaking is the way forward. 

Trade, however, cannot be a one-way street.  To be effective and sustainable, trade must be reciprocal.  Wherever possible restrictions on trade should be removed.  Trade cannot just flow from the north to the south, but must be free to flow both ways.    

Earlier this year, in the wake of the disappointing outcome of referenda on the Annan Plan, UN Secretary General Kofi Annan called on the international community to facilitate a comprehensive settlement by encouraging Turkish Cypriots, and Turkey, to remain committed to the goal of reunification.  In that context, and not for the purpose of affording recognition, the Secretary General called on Security Council members to give a lead to others in eliminating unnecessary restrictions and barriers that have the effect of isolating Turkish Cypriots and impeding their development. 

The United States is working in line with the UN Secretary General’s recommendations and in parallel with the EU.  Narrowing the economic gap on the island between north and south and bringing Turkish Cypriot laws and institutions in line with European norms will advance the goal of a settlement.   We had an assessment/design team on the island last month, examining how we can use our new $30.5 million assistance program for north Cyprus.  Washington is reviewing the team’s findings and preparing specific initiatives, which we hope to launch in the near future,  to advance development of SMEs, to promote needed restructuring of the financial sector, and to support infrastructure and energy.  Steps in other areas are also under consideration.

From this perspective, we also want to help increase ties between American and Turkish Cypriot businesses.   Some trade between American and Turkish Cypriot businesses, although modest, already exists.  According to Turkish Cypriot statistics, Turkish Cypriot businesses imported in 2003 more than $3.5 million in goods from the U.S.  While in 2003 there were no exports to the U.S., in 2002, Turkish Cypriot businesses exported $100,000 worth of goods to America.  We would like to build on that to increase significantly the level of trade and business between us. 

Because the United States is far away and freight costs are high, we will never be your main market.  Nevertheless, more trade between us is possible.  We stand ready to support your efforts to buy U.S. products and to sell your products into the U.S. market.  We also stand ready to help you attract more international business by increasing your ability to meet international standards, for instance in financial sector regulation and the protection of intellectual property rights.   The Embassy, especially our Economic and   Commercial section, stands committed to help commercial ties grow. 

Let me be very clear on this point, the U.S. remains open to trade with Turkish Cypriot businesses.  Where you encounter obstacles, we will work with you to try to overcome them.

I am very pleased now to introduce our two speakers:  Amer Kayani from the U.S. Department of Commerce and Jim Higgiston from the U.S. Department of Agriculture.  They have come to Cyprus to assist all of you in your efforts to do business with U.S. companies.   Before turning the floor over to them, let me thank Ali Erel and the Chamber of Commerce for co-hosting this event.