NEWS IN DETAIL

Gov't calls on farmers to call off protests

"The government has shown good faith and understanding, has satisfied the majority of the farmers' demands and expects the same good faith from the organisers of the mobilisations," Nikolaou told reporters.

Earlier today, farmers in Achaia in the Peloponnese decided to erect a road block on the Patras-Pyrgos and Patras-Tripoli national roads, bringing the number of blockades around the country to more than 35.

As the protest entered its fifth day, serious problems in intrastate traffice and the distribution of goods throughout the country were beginning to emerge.

Farmers this morning rejected a package of measures put together by Agriculture Minister Stephanos Tzoumakas, saying that they would continue their protests and holding out for a meeting with the prime minister, who is due back from Lisbon tonight.

Nikolaou said that the farmers should also be aware that their actions created problems affecting other social groups.

"Intransigence is of no benefit to anybody and it is time they - both the organisers of the mobilisations and all those who hastened, for the sake of populism, to adopt their demands - faced their responsibilities," the spokesman said.

He criticised a statement by main opposition New Democracy leader Miltiades Evert that the farmers had no other means to express their demands other than "blockading the country", calling it "unprecedented".

Nikolaou said the government was not considering reopening road and rail access by force and insisted on dialogue, stressing, however, that the government was not prepared to negotiate the country's overall course and that the situation had to end.

Farmers placed roadblocks at a number of points on the Athens-Thessaloniki national highway, while others in the northern prefectures of Thessaloniki, Imathia, Pella and Pieria cut off western Macedonia from the city of Thessaloniki yesterday as part of their ongoing protests for cheaper fuel and increased crop subsidies.

Meanwhile, transportation to northern Greece came at a standstill as national bus company lines (KTEL) were prevented from going through blockades, while farmers also blocked the railway line at Larisa.

Agriculture Minister Stephanos Tzoumakas, after chairing a meeting with representatives of agricultural cooperatives, announced a number of measures for cotton farmers, including a 40-drachma-increase per kilo, favourable terms for settlement of outstan ding debts and a freezing of current debts. He also promised to ask the European Commission for increased subsidies for stockbreeders. He added that demands put forward by the Farmers' Coordinating Committee represented a cost of one trillion drachmas, besides amounting to an overturn of the government's Common Agricultural Policy.

"Only two of the demands, regarding fuel and subsidies per acre cost 130- 150 billion drachmas. There is simply no such money," Mr. Tzoumakas said.

Athens comments on proposed moratorium on Cyprus flyovers

Speaking to reporters, acting government spokesman Yiannis Nikolaou said such a decision would in no way affect the Greece-Cyprus joint defence doctrine.

"The doctrine exists, will exist and will be in effect in its totality," Nikolaou said.

He added that the initiative was taken by the Cypriot government with the knowledge and consent of the Greek government following talks relating to the promotion of a solution of the Cyprus issue.

"The Greek positions on the presence of occupation forces on Cyprus and the demilitarisation of the island remain unchanged," Nikolaou added.

Asked whether a suspension of Greek flyovers could be considered a precedent on how to deal with problems in the Aegean, Nikolaou said the two issues were not related.

Pangalos talks in China

Beijing's minister elaborated on his country's foreign policy and briefed the Greek delegation on the operation and prospects of the "Asian-Pacific Economic Cooperation."

Mr. Pangalos elaborated on Athens' policy in the Balkans and presented the government's positions in Greek-Turkish relations and the Cyprus problem.

He also held a meeting with the first vice-president of the People's Republic of China, Le Lan Ching, who expressed the government's interest in greater imports of Greek products as well as establishing a framework for Greek investment and business activity in the emerging Chinese market.

Mr. Le also reiterated China's support for a just and viable solution to the Cyprus problem.

Japan visit

At a meeting, both sides reaffirmed the very positive climate prevailing in bilateral relations, while Mr. Ikeda expressed his government's intention to open a Japanese consulate in Thessaloniki.

Mr. Pangalos briefed his Japanese counterpart on Greece's intention to submit in 1999 an application for the position of a non-permament member at the UN Security Council.

He also said Greece would support Japan in the event of a future change in the composition of the Security Council.

Mr. Ikeda and Mr. Pangalos also discussed economic relations between Greece and Japan with an emphasis on increasing Greek imports to Japan, increasing the number of Japanese tourists visiting Greece and attracting Japanese investment to Greece.

The Greek minister briefed Mr. Ikeda on the situation in the Balkans, developments in the Cyprus problem and Greek-Turkish relations.

Mr. Ikeda said Tokyo would support the Cyprus' cause in its capacity as non- permament member to the Security Council which goes into effect as of Jan. 1, 1997.

He further accepted an invitation by the Greek minister to visit Greece.

Mr. Pangalos also conveyed an invitation by Prime Minister Costas Simitis to the emperor and empress of Japan to visit Greece.

G.Papandreou rejects notion of `traditional hostility` between Greece, Turkey

In the interview, given during his two-day stay in Istanbul, Mr. Papandreou said "pending issues exist" and, referring to the Imia islet incident last January, he said "Turkey showed an aggressive behaviour."

"If you think some border difference exists there are legal ways of resolving it," he said.

Mr. Papandreou said if Greek-Turkish issues are resolved at some time, "Greece will become Turkey's biggest supporter and ally in the European Union."

In an interview with the newspaper "Hurriyet" and referring to the Cyprus issue, Mr. Papandreou said: "I would prefer to see a solution before EU accession," adding: "In this way the Turkish community could participate in accession negotiations together with the Greek Cypriots. If the Turkish Cypriot community becomes a part of the EU it will constitute a bridge between the EU and Turkey."

Tzoganis with Bulgarian defence minister, general staff chief

The two armed forces' chiefs are due to sign a bilateral military cooperation agreement for 1997, something Gen. Tzoganis has described as being "realistic", adding it will contribute to improvement of contacts between the two countries' armed forces and to stability in the region.

Gen. Tzoganis and Mr. Pavlov discussed the ability of Bulgaria to participate in new peacekeeping forces for support of the Dayton peace agreement in Bosnia.

The Greek military leader expressed Athens' support for the convening of a Balkan defence ministers' meeting in Sofia next year.

Air force chief: Moscow visit

Lt. Gen. Antonetsis headed a Hellenic Air Force delegation, which visited Russia from Nov. 27 until yesterday, at the invitation of the chief of the Russian air defence forces, Gen. Prudikov, and returning a visit the latter made to Greece. The exchange was part of the military cooperation agreement signed two years ago by the two countries' defence ministers at the time.

Gen. Antonetsis visited Russian military bases and the S300 anti-aircraft missile unit protecting the Russian capital. Cyprus has also shown interest in the S300 missile system, considered to be Russia's counterpart of the US Patriot missile.

Simitis talks with European leaders on OSCE sidelines

Mr. Simitis is due to address the summit today, whose agenda includes European security issues as well as the OSCE's relations with Russia.

The premier is accompanied on his trip by Alternate Foreign Minister George Papandreou and Press and Media Minister Dimitris Reppas.

The Greek premier had separate meetings with Romanian President Emil Constantinescu, Albanian President Sali Berisha and the secretary general of the West European Union (WEU) Jose Cutilheiro.

He also held short meetings with the Italian, Norwegian and Irish prime ministers, NATO's secretary general Javier Solana and EU Commissioner Hans van den Broek.

Later, Mr. Simitis also met with Portuguese Prime Minister Antonio Guterres and Spanish Prime Minister Jose Maria Aznar.

According to Greek government sources, talks focused on issues concerning bilateral relations as well as European Union matters and the Intergovernmental Conference, in light of the EU Dublin summit.

Mr. Simitis stressed to his counterparts that Athens insists on the issue of safeguarding the EU's external borders.

1998 congress of TV channels in Thessaloniki

CIRCOM's administrative council met for the first time outside Strasbourg, where it is based, yesterday accepted a proposal submitted by the Greek state-held channel ERT-3 and on the occasion of Thessaloniki being Cultural Capital of Europe in 1997.

Roughly 360 channels from 36 countries are to participate in the meeting, which is to be held in May 1998.

ADEDY strike December 17

The union is demanding implementation of a new pay scale to protect and improve the incomes of civil servants, price indexation of the tax scale and extention of the non-taxable limit.

Gov't: foreign accountants auditing 12 ASE stock brokerage firms

"The findings will be released as soon audits are completed," he added.

He said the government was doing everything possible in respect to legal provisions for the restoration of confidence in the Athens Stock Exchange (ASE).

Main opposition New Democracy party deputies criticised the government of failing to adopt measures to prevent the scandal, which cost small investors 2.5 billion drachmas.

Mr. Baltas retorted that the scandal came to light after an auditing by the national economy ministry.

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