IRAQ SANCTIONS MONITOR
Number 172
Monday December 18,2000

India may buy crude oil from Iraq at 7 usd/barrel: report 

BOMBAY (AFX-ASIA) - The Indian and Iraqi governments are working on a deal
whereby India will buy from Iraq crude oil at 7 usd a barrel in exchange for
wheat supplies, the Economic Times reported, quoting unnamed ministry
sources.

A government delegation will be visiting Iraq shortly to finalise the price
at which India will finally buy the oil and the amounts involved, it said.

The report said the deal, which is part of an oil-for-wheat programme, is
subject to UN approval.

The deal will also help India find an export market for its bumper wheat
crop, the report added.

It said the immediate effect of the deal would be to check the increasing
oil pool deficit, estimated to be in the region of 120 bln rupees by the end
of the current year to March.
If the deal goes through, the oil pool deficit may be wiped out and even
contribute positive cash flow into the account, the newspaper said.

It said the pricing of the oil is likely to be arrived at by subtracting
some cents from the average of the Dubai and Oman oil prices, yielding the
approximate price which India will pay per barrel to Iraq.

The reduction in the price is due to the inferior quality of Basrah light
oil as compared to Dubai and Oman, it added.

______________________________
Iraq sends mixed signals with new oil premium demand 
By BridgeNews Nicosia--Dec. 18--Confusion continued to surround Iraqi oil
exports, despite a limited resumption, due to the latest reported Iraqi
demand for a premium of 40 U.S. cents to be paid into a non-U.N. account,
the Middle East Economic Survey (MEES) reported Monday. The U.N. Sanctions
Committee, which oversees the oil-for-aid program, is due to meet and
discuss the issue on Dec. 19.

MEES pointed out that while some cargoes had loaded and left from the Gulf
terminal of Mina al-Bakr, there had been no exports from the Turkish export
terminal of Ceyhan, in part due to a fall in Russian Urals differentials,
which has left Kirkuk uncompetitive in December.

"MEES soundings indicate there are two theories to explain the confusion
surrounding the surcharge issue," it said.
"The first is that the companies lifting from Mina al-Bakr have reached some
kind of special agreement with SOMO--to pay the surcharge by barter or other
arrangement.

"There has been speculation, for example, that the recently concluded
agreement between Iraq and India--covering, among other things, the exchange
of more Indian wheat for an increased volume of Iraqi oil--might have
provided a mechanism for circumventing the payment of the surcharge," it
added.

MEES said the other theory is that SOMO is exempting lifters under the 8th
U.N. oil-for-food program (as all the current customers are) because of the
costly $60,000 per day demurrage that the lifters who already had their
ships at Mina al-Bakr have been paying.

There are 56 approved contracts for 77 million barrels yet to be sold from
the 8th phase, which officially ended on Dec. 5. Companies with tankers in
the northern Gulf are Bayoil, Vitol, Koch, Coastal, Taurus and IOC.
"For the moment, though, lifters who do not want to pay a surcharge are
faced with a confused picture. The Security Council is also left wondering
how to prevent the surcharge when there is no physical evidence that it is
being paid. This, perhaps, is Iraq's intention," MEES said.

These factors are combining to create uncertainty about the volume of Iraqi
crude that will reach the markets in December.

Aside from the confusion over the surcharge, SOMO needs to take steps to
adjust the price of Kirkuk crude to make it competitive with Urals. Unless
the price formula is amended, there are likely to be only small volumes, if
any, of Kirkuk crude exports from Ceyhan before January. 

_____________________________
Russia, US urge Baghdad to resume cooperation with UN

BridgeNews Moscow--Dec. 18--Russia and the United States at their
consultations over the weekend urged Iraq to resume cooperation with the
United Nations in the arms control sphere, a Russian Foreign Ministry
spokesman said Monday. Russia believes the restoration of international
control over the banned Iraqi military programs and resumption of Baghdad's
cooperation with the United Nations will pave the way for lifting the U.N.
sanctions against Iraq, the spokesman added.

"While discussing the situation around Iraq, Russian and U.S. officials have
supported the idea of restoring Baghdad's cooperation with the United
Nations as soon as possible in the sphere of arms monitoring," the spokesman
said.

Russia also called for finding political solution to the no-fly-zones
problem, he said.

Moscow has repeatedly said it does not recognize the no-fly zones, enforced
by the United States and Great Britain, and condemned the continuing
U.S./U.K. 
air strikes against Iraq.

The sides have agreed to "deepen the discussion" of the issues related to
the Iraqi settlement, the spokesman added.
Deputy Foreign Minister Vasily Sredin and Assistant Secretary of State
Edward S. Walker headed the Russian and U.S. delegations at the talks
respectively.

Moscow has repeatedly called for lifting the U.N. sanctions against Iraq and
working out a new arms control mechanism for the country.

Meanwhile, Moscow and Baghdad reportedly failed to agree last month on a new
arms control mechanism for Iraq during Iraqi Deputy Prime Minister Tariq
Aziz's visit to Moscow. 

______________________________

Iraq brands future US secretary of state as `war criminal` 
 
BAGHDAD, Dec 18 (AFP) - An Iraqi government newspaper on Monday branded the
US secretary of state-designate, retired General Colin Powell, as a "war
criminal" and said his nomination was a sign that American diplomacy was in
decline.


"The choice of Colin Powell, an arrogant military man who understands
nothing of how to manage political affairs, ... proves the new US
administration has nothing new to offer, except for continued aggression 
against the will of independent peoples," charged Al-Jumhuriya.
                                                                      
It accused Powell of being a "war criminal," apparently for his leading role
in the 1991 Gulf conflict which evicted Iraqi occupation forces from Kuwait.
                                                                      
"All the indications are that American diplomacy is in a state of decline in
the face of the forces defying the agressiveness of the United States," said
the Iraqi daily.
                                                                      
On Saturday, US President-elect George W. Bush nominated Powell, a Gulf War
hero for the United States and former chairman of the joint chiefs of staff,
as his secretary of state.
                                                                      
Powell promptly delivered a blunt warning to Iraq's leadership.
                                                                      
"Saddam Hussein is sitting on a failed regime that is not going to be around
in a few years' time ... We are in the strong position, he is in the weak
position," said Powell.
                                                                      
"We will work with our allies to re-energize the sanctions regime," which
has been in force since Iraq invaded Kuwait in 1990, he added.
                                                                      
An Iraqi information ministry spokesman said Sunday Powell had "ignored the
fact that the (US-led Gulf War) coalition has fallen apart" and that only
Britain continued to support the hard line against Iraq.
                                                                      
"The current international mood is against US policy and maintaining the
embargo," he said.
                                                                      
______________________________

Iraq Agrees to Foreign Requests 
to Resume Regular Flights 

BAGHDAD (Dec. 17) XINHUA - Iraq has agreed to requests from aviation
companies of Egypt, Jordan, Russia, the United Arab Emirates (UAE) and Yemen
to operate regular flights to Iraq after a hiatus of 10 years, the official
Al-Thawrah reported on Sunday. 
The Iraqi Airways received applications from the countries to run direct
flights to Iraq, Deputy Director General of the Iraqi national carrier Ayad
Abdul Kareem was quoted as saying. 

The Iraqi Airways has already opened offices in Amman and Damascus, capitals
of Jordan and Syria, in preparation for resuming flights to the two
countries, the report said. 

However, it did not say whether these countries have got approval from the
United Nations Sanctions Committee. 
Iraq has been under crippling U.N. sanctions ever since its 1990 invasion of
Kuwait. 
The United States and Britain, which imposed two no-fly zones in Iraq after
the 1991 Gulf War, have argued that all flights to and from Iraq must get
prior permission from the U.N. committee. 

Iraq, who maintains that no U.N. resolutions ban civil flights to and from
it, reopened the Saddam International Airport in Baghdad in August. Since
then, more than 70 planes from Arab and non-Arab countries have landed at
the airport to show their solidarity with Iraq. 
  
_____________________________

Iraq shrugs off warning from Colin Powell 
 
BAGHDAD, Dec 17 (AFP) - An Iraqi military official on Sunday shrugged off a
warning from US secretary of state-designate Colin Powell that President
Saddam Hussein's rule was coming to an end.
                                                                      
"Powell's threats do not frighten us and they will not make us bow," the
commander of Iraq's air defences, General Shahin Mohammad Yassin, said at a
news conference in Baghdad.
                                                                      
"Let him make threats. Others have done the same before him," Yassin said,
referring to the outgoing administration of US President Bill Clinton. Such
threats only "make us (Iraq) more determined."
                                                                      
On Saturday, president-elect George W. Bush, who is to take office in
January, nominated Gulf War hero and former chairman of the joint chiefs of
staff, retired General Colin Powell, as his secretary of state.
                                                                      
Powell, joining a team that also includes vice president-elect Dick Cheney,
who was defence secretary during the 1991 war against Iraq, promptly
delivered a blunt warning to Iraq's leadership.
                                                                      
"Saddam Hussein is sitting on a failed regime that is not going to be around
in a few years' time," he said. "The world is going to leave him behind, and
that regime behind", Powell added.
                                                                      
"I don't know what it will take to bring him (Saddam) to his senses, but we
are in the strong position, he is in the weak position," Powell said.
                                                                      
______________________________

Iraqi leader Saddam Husayn orders publication of new weekly 

Text of report by Iraqi radio on 17 December

God-supported President leader Saddam Husayn has ordered the establishment
of a weekly newspaper with the name of Ashnunah in Diyala Governorate. The
name of the weekly comes from the Kingdom of Ashnunah [name as heard], which
established a civilization and canon law that flourished in Diyala before
Hammurabi annexed it to his empire in Babylon.

This was announced by Diyala Governor Fawzi Humud al-Kubaysi to the Iraqi
News Agency. He said that in endorsing the publication of the weekly
newspaper by the residents of the governorate of loyalty, President leader
Saddam Husayn, the muse of culture and creativity, has made a kind gesture
that expresses his excellency's care for the science and culture of this
governorate. He noted that the history of Diyala is full of heroism and
bright epics that illustrate the greatness of Iraqis throughout history.
 
______________________________

First direct flight in ten years leaves Spain for Iraq 

The first direct flight between Spain and Iraq since 1990 left Madrid on
Saturday morning carrying eight tonnes of humanitarian aid and 150
passengers, Spanish TV reported.

"The flight is hoping to alleviate the needs suffered by the population and,
above all, the children, after ten years of  sanctions," the TV said.

MPs, union members, businessmen and cultural personalities are on board; the
plane is also returning home a group of Iraqi boys
and girls who have been receiving treatment in Spanish hospitals.

"It seems absolutely just to me to try to break these wicked sanctions
against the people of Iraq," Spanish film director
Juan Antonio Barden told the TV.
 
______________________________

Iraq accepts Iran's plan on PoWs 

Text of report in English by Iranian news agency IRNA 16 Dec 00

Tehran, 16th December: Iraq has accepted Iran's proposed plan over
expediting the repatriation of remaining prisoners of war
from the 1980-1988 Iraqi imposed war, press reports said here Saturday.

The Persian newspaper `Entekhab' quoted the head of Iran's commission for
PoWs and those missing in action, Brig-Gen Abdollah Najafi, as saying that
the visiting Iraqi delegation
last week had announced that it would study Iran's proposal and would inform
it about the results.

"During this week's talks in Tehran between representatives of the two
countries, Iran put forward a new plan for expediting
the return of the remaining three per cent of the PoWs of the two countries
which was accepted by the Iraqi side," the paper
quoted Najafi as saying.

"The implementation of this plan could secure the trust of the two sides in
what they have said so far about the situation of
each other's PoWs," Najafi said.

The issue of PoWs is a key stumbling-block to a normalization of ties
between the two former foes some 12 years after a ceasefire
was declared.

Iran and Iraq have freed nearly 100,000 of their prisoners of war since the
end of the war, with Tehran unilaterally releasing
a large number of Iraqis as a humanitarian gesture. Iraq says Iran still
holds 29,000 of its soldiers. However, Iran says there are still 3,206
Iranian prisoners of war in Iraq.
 
______________________________



MISCELLANY........


PRESS RELEASE PRESS RELEASE PRESS RELEASE PRESS RELEASE PRESS RELEASE PRESS
RELEASE
 
15 December 2000
 
The Great Britain - Iraq Society last night held a reception at the House of
Commons to celebrate the seasons of Christmas and Eid. Nearly 100 members of
the Society were in attendance along with the Ambassadors of Jordan, Tunisia
and Yemen and senior representatives of the Chinese and Russian Embassies.
 
The Rt Hon Tony Benn MP and George Galloway MP, the Chairman of the GBIS
gave speeches and Mr Galloway in a heartfelt speech stated "I can no longer
go into the hospitals in Baghdad, I can no longer bear to see those children
suffering as a result of British Foreign Policy - but these children
continue to suffer. We must do what we can to end these sanctions; on moral
grounds and for the simple reason that they just do not work."
 
The evening was also an opportunity for members to discuss new ideas and to
absorb Iraqi culture in very British surroundings: a special performance by
Alfred George Benjamin, the distinguished Iraqi Oud player rounded off the
evening. 
 
The Great Britain - Iraq Society aims to work for better understanding,
reconciliation and peace between the peoples of Britain and Iraq. Its
membership includes MPs and Peers, people from the worlds of health,
education, the arts, local government, trade unions, religion, the media,
the law and business. Membership is open to all people of goodwill of any
nationality who wish to see the strengthening of British-Iraqi relations and
an end to current enmity.
 
For further information contact Stuart Halford at the Great Britain- Iraq
Society on 0207 403 5200.   
 
___________________________________________________


Mariam Hamza to see Pediatric Neurologist
in Pittsburgh on Monday, December 18

Dr. Yoshio Futatshugi, Pediatric Neurologist, will see Mariam at 1811
Boulevard of the Allies on December 18, at 3:45 pm.

December 14, 2000. Pittsburgh, PA.  Mariam Hamza, a six-year-old Iraqi Child
known throughout the Middle East and much of Europe as a symbol of all Iraqi
children suffering under the sanctions, is blind and has suffered from
leukemia. She arrived in the US on August 14, 2000 and since her arrival has
undergone extensive medical testing to determine the cause of her blindness
and the status of her cancer. It has been determined that her blindness was
caused by an incorrect dose of chemotherapy while she was being treated in
Baghdad, a result of the fact that the sanctions do not allow the
importation of equipment needed to accurately determine correct dosages for
chemotherapy. Recent tests show that Mariam's cancer is in remission.

Mariam also sustained damage to the center of her brain responsible for
Maintaining balance, an area located adjacent to that related to sight. She
has received physical therapy at the New Meadow Run Bruderhof in Farmington,
PA to help her regain her sense of balance and the results have been
impressive. However, her pediatrician, Dr. Aboosi of Greensburg, PA has
recommended that Mariam be examined by a Pediatric Neurologist in order to
evaluate the extent of the neurological damage and to determine the best
course of further therapy. She will be seen by Dr. Yoshio Futatshugi at 1811
Boulevard of the Allies on December 18 at 3:45 pm.

Mariam had normal eyesight at birth. But 1-1/2 years ago, while undergoing
chemotherapy for leukemia in Baghdad, Mariam went into a coma. Twenty-four
hours later she regained consciousness, but she was unable to see. A day
following the loss of her sight she became paralyzed on her right side.
Mariam never regained her sight, but most of her motor functions on the
right side have returned. In spite of the loss of her vision Mariam is a
very happy, intelligent, outgoing and endearing child. She has touched
hearts in the UK, where she went in 1998 for her initial treatment under the
sponsorship of British Parliament member George Galloway. Mariam continues
to touch hearts in the US, where she has been for the last 4-1/2
months.

The Mariam Appeal, a campaign to end the sanctions, was founded by George
Galloway, MP and is named after Mariam Hamza. Her picture has appeared on
posters throughout the Middle East and Europe. For further information
regarding Mariam and the Mariam Appeal please visit website:
www.mariamappeal.com
______________________________________________________

IRAQ SANCTIONS - LONDON DEMO - JANUARY 16, 2001.
 
It's been agreed to hold a non-violent mass action outside the House of
Commons on the 16th January - tenth anniversary of the Gulf War. There will
be arrestable and non-arrestable actions - a non-arrestable assembly, and
(I'm reliably informed), a potentially arrestable mass sit-down for those
who want to sit down. 

Gather at 1.00 p.m. outside Westminster Abbey.

Someone has volunteered to make loads of leafets. Once we have leaflets - it
won't be long now, promise- we'll start mailing out in bundles to whoever
wants to take some. E-mail me, giving your snail mail address, and I'll see
that a good thick bundle reaches you, ASAP.

If anyone has particular skills to offer on the day, again please don't
hesitate to get in touch. (Bristol Peace & Justice are co-ordinating the
event, but we're not the piano player, only the messenger, so please don't
shoot...) 

Input from legal observers, leafletters on the day and beforehand,
photographers, musicians, artists, and a host of others, is needed. Think
about making a sculpture, or a banner, and bringing that along. If you have
any good ideas for speakers (we're still in the process of drawing up a
shortlist), these would be most welcome, too. 

In short, within the parameters of non-violent direct action, anything goes.
To make it effective, we need YOU!

Looking forward to getting lots of messages out of cyberspace quite soon -
E-mail Address:  [EMAIL PROTECTED]

All best wishes - 

Margaret Jones

tel: +44 (0)20 7403 5200
fax: +44 (0)20 7403 3823
email: [EMAIL PROTECTED]
web: www.mariamappeal.com





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