Athens News Agency: News in English (AM), 97-10-17

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From: The Athens News Agency at <http://www.ana.gr>

NEWS IN ENGLISH

Athens, Greece, 17/10/1997 (ANA)

MAIN HEADLINES

• Annan urges reduced tension, military spending
• Pangalos: Balkan cooperation is a new institution
• Turkish warplanes again buzz Tsohatzopoulos' transport
• Kaklamanis holds talks with Albanian counterpart
• Kranidiotis presents Greek case to Europarliament
• Greece, Slovakia discuss broadening bilateral cooperation
• Harsh GSEE criticism of latest Spraos report
• Papaioannou: 'No question of pensions being decreased'
• Fourth Greek-Turkish business forum in Athens
• Greek stocks end down in jitters after new highs
• Greece to take part in Russian food, drinks trade fair
• Greek exporters to participate in Egyptian trade fair
• Lignite must become more environment-friendly, Papoutsis says
• Lambrou resigns as OTE managing director
• Pharmacists announce indefinite strike
• Weather
• Foreign Exchange

NEWS IN DETAIL

United Nations Secretary General Kofi Annan urged Greece, Turkey and Cyprus to "commit themselves to a reduction in defence spending and a reduction in the number of foreign troops on the island", in a satement released yesterday.

The message follows heightening of tenson during and after the carrying out of Cyprus' annual "Nikiforos" military exercise, which prompted protests from Greece over Turkish airforce violations of Greek airspace and denials by Turkey.

Mr. Annan said he was "concerned by reports of increased tension between Greek and Turkish forces in connection withmilitary exercises in an around Cuyprus and the Eastern Mediterranean". He sid tension followed "increasingly belligerent rhetoric in recent weeks emanating from both communities in Cyprus and from Greece and Turkey".

The competition in military exercises "increases tension on theisland, is dangerous, and could provoke a confrontation".

Mr. Annan urged all parties to abide by Security Council resolutions "which specifically express grave concern at the continuing excessive levels of military forces and armaments in Cyprus and at the rate at which they are being expanded".

He called on all parties to "create a climate for reconciliation and genuine mutual confidence on both sides" and to "avoid any actions which might increase tension".

Pangalos: Balkan cooperation is a new institution

Foreign Minister Theodoros Pangalos told a meeting of paqrliament presidents from Southeastern European countries held here that Balkan cooperation was a new institution that would be consolidated at next month's Balkan summit on Crete.

Mr. Pangalos said that even during the Cold War period, there were tendencies in the Balkans for cooperation, which "in turn contributed to the disintegration of the blocs". Today, he said, there were unprecedented prospects for cooperation, and it would be a shame if those prospects were not taken advantage of.

"The new reality will survive, because the overwhelming majority of our peoples want peace and progress," Mr. Pangalos warned.

Mr. Pangalos spoke of the "Spirit of Crete" which was formulating a new climate of discussion "on all those things that unite us, and not those that divide us".

"This message will be taken into consideration by all the business and political circles in Europe and will comprise the best possible promotion for our region," Mr. Pangalos said.

Turkish warplanes again buzz Tsohatzopoulos' transport

Athens accused Ankara yesterday of being hostage to a "Cold War mentality" after Turkish warplanes buzzed a military transport plane bringing National Defence Minister Akis Tsohatzopoulos back to Greece from Cyprus.

It was the second time this week that a plane carrying Mr. Tsohatzopoulos had been the focus of Turkish fighters' interest,and both times within the Athens Flight Information Region (FIR).

A Hellenic Air Force formation of F-16s accompanying Mr. Tsohatzopoulos' C- 130 "Hercules" military transport plane, which was headed for Souda airbase on Crete, immediately intercepted the Turkish fighters, also F-16s, which approached the C-130 at a distance of one mile, the national defence ministry announced.

Arriving in Souda, Mr. Tsohatzopoulos condemned Turkey as "an international troublemaker which uses Cold War methods".

He called on Ankara to "wake up" to the fact that such methods were not compatible with its efforts to come closer to Europe.

Meanwhile, government spokesman Dimitris Reppas later also attributed yesterday's incident to "Cold War complexes and an attitude on the part of Turkey reminiscent of the past."

Mr. Reppas stressed that the pair of Turkish fighters yesterday "approached" rather than "harassed" the C-130 carrying Mr. Tsohatzopoulos, although he said no danger was involved.

"This action, which nevertheless entailed risks, reveals that Turkey has chosen to play the role of troublemaker in the region," Mr. Reppas added.

The spokesman underlined that such actions inevitably led to a worsening of bilateral relations, noting that Turkey's attempt was doomed to failure since the Turkish armed forces were merely compromising themselves.

Replying to questions, Mr. Reppas said Greece would take all the necessary steps.

Asked when Greece would consider that it would be acting within the bounds of international legality and shoot down a Turkish plane, Mr. Reppas stressed that "this is not in the intentions of the government".

Kaklamanis holds talks with Albanian counterpart

Parliament President Apostolos Kaklamanis held talks with his Albanian counterpart Shender Gjinushi last night. The Albanian parliament president participated in the conference of parliament presidents of southeastern Europe. The meeting, the second recent meeting between the two parliamentarians, focused on issues concerning the two countries.

Mr. Kaklamanis once again expressed Greece's undivided interest in the recovery of Albania and reiterated Athens' interest in educational issues concerning the ethnic Greek minority in Albania.

Kranidiotis presents Greek case to Europarliament

Foreign Undersecretary Yiannos Kranidiotis yesterday presented Greece's views on its relations with Turkey to the European Parliament's "Turkey Watch", a group that follows political developments in Turkey, particularly with regard to human rights.

Mr. Kranidiotis stressed Greece's efforts to resolve peacefully a series of issues poisoning its relations with its neighbour, in particular the "step- by-step" approach favoured by Athens to normalising relations and the joint communique signed in Madrid this summer.

He also outlined Turkey's stance towards Greece, drawing attention to its territorial claims, its calling into doubt Greece's sovereign rights and the repeated violations of national air space.

With regard to the Cyprus issue, Mr. Kranidiotis emphasised that this was not an exclusively Greek-Turkish difference or one between the Greek and Turkish Cypriots, but above all an international issue of invasion and occupation. Cyprus' eventual access ion to the European Union, he added, could act as a catalyst for the resolution of the political problems.

"Cyprus' accession to the EU, coupled with a comprehensive plan for the demilitarisation of the island, will go a long way towards the resolution of the Cyprus problem, guaranteeing peace and prosperity to all the citizens of the republic," he said.

Greece, Slovakia discuss broadening bilateral cooperation

Foreign Minister Theodoros Pangalos had talks here yesterday with his Slovakian counterpart Zdenka Kramplova on the prospects of broadening bilateral co-operation and issues related to European Union enlargement.

After the meeting, Mr. Pangalos said that Greece was supporting Slovakia's efforts to join NATO and was in favour of the simultaneous commencement of negotiations for the accession to the EU of all candidate countries. Mr. Pangalos described as "interesting" his talks with Ms Kramplova which, he said, focused on broadening bilateral co-operation.

He also announced that National Economy Undersecretary Christos Pachtas had yesterday signed an economic and commercial cooperation agreement with his Slovakian counterpart.

Harsh GSEE criticism of latest Spraos report

General Confederation of Workers of Greece (GSEE) President Christos Polyzogopoulos yesterday called on the government to immediately state its position on the recent Spraos report on reforming the social insurance system, adding that it had to face a "climate of panic" in social security funds and a wave towards retirement.

He also set out trade union arguments against the report's recommendations.

First, GSEE considers that the report treats the social insurance sector on a revenue-expenditure basis, its aims having an exclusively economic dimension.

Secondly, the proposal for an increase in the retirement age is condemned as arbitrary and unrealistic, underestimating factors such as the average life expectancy, working conditions according to sector etc.

Thirdly, GSEE said the proposal for abolition of early retirement for unhygenic jobs and the restriction in the number of pensions for handicapped people runs counter to current legal trends in Europe, and cannot be considered even for discussion in Gre ece, which has the most unfavourable working conditions in Europe and 100 deadly accidents at work annually.

In addition, the prediction of a collapse of the social insurance system by 2010 is condemned as danger-mongering, and conceals the fact that it can only come about with a general collapse of the budget and the economy.

Finally, the resources that would be saved by the Spraos proposals "are limited and of short duration," GSEE noted, while causing a violent overthrow of the all the "conquests of working people."

Papaioannou: 'No question of pensions being decreased'

Labour and Social Insurances Minister Miltiades Papaioannou said yesteday that there is no question of pensions being decreased, following a government meeting chaired by Prime Minister Costas Simitis on reshaping the Community Support Framework.

"I repeat once again so that there will be no misunderstandings that over the years to come there is no question of an increase in age limits for pensioning, there is not question of an increase in contributions and there is no question of a decrease in pensions."

Mr. Papaioannou said the report by prof. Spraos and his associates merely impresses the existing situation and approaches the issue of social insurance without giving specific solutions to the problem.

"Seeking solutions and, of course, final decisions are a matter for the government, which will take its decisions after social dialogue is completed. The social dialogue is a dialogue of substance without decisions being taken in advance. There is a tim etable and issues for every unity of social dialogue," he said.

Fourth Greek-Turkish business forum in Athens

The fourth Greek-Turkish business forum will be held in Athens on Oct. 22- 23 with the participation of about 30 Turkish businesspeople.

The issues to be examined by Greek and Turkish business leaders include creation of joint ventures between construction companies, aimed at landing projects in the wider Balkan region and the development of cooperation in the tourism sector.

Other issues to be discussed are the avoidance of double taxation and the possibilities of utilising European Union programmes concerning the Balkans and necessitating cooperation between Greece and third countries which are not EU member-states.

The Athens business forum is expected to be attended by several noteworthy Turkish businessmen, including industrialist Rahmi Koc, who is active in the car manufacturing and supermarket sector in Turkey.

Greek stocks end down in jitters after new highs

Greek equities ended lower in edgy trade yesterday, changing direction for the fourth time this week.

Traders said the market remained nervous after setting a spate of record highs with no new incentives to support buying.

The general index closed 0.62 percent lower at 1,780.85 points with all sector indices suffering losses. Banks fell 0.27 percent, Insurance dropped 0.92 percent, Investment was 0.80 percent off, Industrials fell 0.93 percent, Miscellaneous eased 0.63 p ercent, Holding fell 0.49 percent, Construction dropped 2.11 percent and Leasing plunged 4.99 percent.

The parallel market index for small cap companies ended 0.70 percent down.

Trading remained heavy and turnover was 25.2 billion drachmas.

Broadly, decliners led advancers by 140 to 91 with another 24 issues unchanged.

Daring, Etma, Papoutsanis and Macedonian Plastics scored the biggest percentage gains, while Nimatemboriki, Dane, Hellenic Sugar and Cambas suffered the heaviest losses.

National Bank of Greece ended at 31,650 drachmas, Ergobank at 19,100, Alpha Credit Bank at 21,285, Delta Dairy at 4,045, Titan Cement at 16,230, Intracom at 16,990 and Hellenic Telecommunications Organisation at 17, 950.

Greece to take part in Russian food, drinks trade fair

Greece is to take part in an international foodstuffs and beverages trade fair to be held on February 9-14, 1998 in Moscow, the Hellenic Foreign Trade Board (HEPO) said yesterday.

HEPO said in a statement that Greece would have its own pavilion at Foodexpo 98, a major trade fair that targets 300 million consumers.

Greek exporters to participate in Egyptian trade fair

The Hellenic Foreign Trade Board (HEPO) will take part in an international trade fair in Cairo on March 11-20, 1998, it said in a statement yesterday.

Exporters will display goods including machinery, building materials, plastics, packaging and foodstuffs at the trade fair, which is one of the largest in the Middle East and spans a wide range of products.

Lignite must become more environment-friendly, Papoutsis says

The European Commission recognises the need to apply new technologies that would make conventional solid fuels like lignite and coal more environment- friendly and allow their continued use in the EU's energy-producing sector, European Commissioner Christos Papoutsis said yesterday.

Speaking at the first European conference on lignite, held in Athens, Mr. Papoutsis said that deregulating the energy market in the EU would press solid fuel prices, especially compared to those of natural gas, whose production was expected to increase by 58 per cent by 2001, while lignite and carbon production levels would remain the same.

In Greece, the production of lignite, which accounts for 75 per cent of the country's electrical power needs, is expected to increase slightly to more than 60 million tonnes annually, he said.

The conference is organised by the European Commission, the Public Power Corp. (DEH) and the Union of Lignite Producers of Germany.

Lambrou resigns as OTE managing director

The Hellenic Telecommunications Organisation's (OTE) board convened yesterday and accepted the resignation of Petros Lambrou as a member of the board and managing director of the organisation.

Dimitris Papoulias was selected by the board as the new managing director, while Mr. Lambrou's place as a board member was filled by alternate Alexandros Paraskevopoulos.

It was also announced that the special assembly of OTE minority shareholders will convene on Nov. 19 at a downtown Athens hotel.

Pharmacists announce indefinite strike

Pharmacies around the country will begin an indefinite strike on October 31, to protest recent government moves on medicines.

Pharmacists believe they will bear the brunt of the government's recent decision to place price ceilings on pharmaceutical products to cut back on health sector spending and have said they will not accept any reduction in their profit margins.

Local unions are expected to lend their full support to the decision by the national union of pharmacists, PFS.

Health and Welfare Minister Costas Geitonas told a news conference later that the government would not back-track on its positions on the pharmaceutical issue.

"It must be understood that our medicine policy aims only at combatting excessive use of medication and protecting individual's health. The aim is for cheap and appropriate medicine and no person will lack the medicine which he has need of," he said.

Mr. Geitonas said that if pharmacists wanted to close down their stores indefinitely "they should consider whether they should also hand in their licences".

He said the National Pharmaceutical Organisation (EOF) was closely monitoring developments in the issue, following the decision by Boehringer Ingelheim Hellas to withdraw eight of its products as a protest measure at reduced profit margins caused by the government's pricing policy.

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