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WELCOMING REMARKS BY AMBASSADOR MEL SEMBLER
CONFINDUSTRIA CONFERENCE
ON IRAQ SUBCONTRACTING

Rome, April 28, 2004

(As prepared for delivery)

I am very pleased to be here at Confindustria for this important event on sub-contracting opportunities in Iraq.

As many of you know, I have been a businessman for more than forty years. I understand the importance of getting down to business, but I would like to take a few minutes to speak briefly about the task ahead in Iraq and the important role of contractors and sub-contractors.

The successful reconstruction of a free and democratic Iraq is a global interest … and it will be a global effort. That is what this conference is all about … maximizing the opportunities for private-sector partners to participate in this great undertaking.

And let us be frank: the reconstruction of Iraq is not going to be easy.

Italy understands all too well the sacrifices involved.

Almost 3,000 Italian troops and civilian personnel are working shoulder-to-shoulder with us, stabilizing southern Iraq while enduring long separations from their loved ones. Though this is less frequently mentioned in the press, Italy also has the third-largest contingent of civilian experts working in the Coalition Provisional Authority.

That terrible day in November, when 19 Italians were murdered in Nasiriya, is still fresh in our minds.

More recently, our prayers have gone out to the families of the Italians taken hostage in Baghdad, one of whom was brutally executed earlier this month.

Italy's contribution to rebuilding Iraq has been great … and it is deeply appreciated.

The work of the coalition military forces in Iraq is just one part of the equation. The new Iraq needs stability, rule-of-law, and democratic institutions.

But it also needs roads, electricity, safe drinking water, telephone service, internet access, and all the "nuts and bolts" that a prosperous and peaceful nation requires.

In other words, Iraq needs people like you … business people and companies with the expertise to rebuild a country that has been run into the ground by one of the most cruel and brutal dictatorships in history.

And besides the tangible output from these kinds of projects, they also provide another very important thing – jobs for Iraqis. Stability and prosperity also require that the Iraqi population be employed.

The United States Congress has allocated over 18 billion dollars for the reconstruction of Iraq's infrastructure. Italy has made its own generous pledge of 200 million euros in support of Iraq's reconstruction at last year's Donor's Conference in Madrid.

Events of the last several weeks have reminded us of the difficulties and dangers of working in Iraq. But, as President Bush has said, the coalition's commitment to Iraq is unbreakable and our reconstruction efforts will continue. Notwithstanding daily media headlines, the fact is that we have made tremendous progress in our shared goal of establishing an independent, free and secure Iraq.

The vast majority of Iraqis reject the violent actions of those attempting to undermine our efforts, and reject strongly the dictatorial form of government such people would establish if we were to allow them to prevail.

Rest assured they shall not prevail. On June 30, sovereignty will be passed back to the Iraqi people, and Iraqi transitional law will take effect, including a bill of rights unprecedented in the Arab world. The coalition will continue to work with Iraqi authorities as they establish authority.

We are also consulting closely with UN envoy Brahimi. And I am proud to say that on July 1, the US flag will once again fly over the United States Embassy in Baghdad.

Soon … and this process is already underway … the opportunities related to contracting will be eclipsed by the much greater potential of trade with, and investment in, Iraq's growing private sector.

All Iraqis, not just a privileged elite, will have a chance to thrive in an economy based on transparency, the rule-of-law, respect for private property, and democracy. The work contractors are doing in rebuilding Iraq's infrastructure is crucial to realizing this future.

I would like to conclude by thanking Director General Parisi (par-easy) and his entire team here at Confindustria who have worked extremely hard to organize this conference.

It is also a pleasure to be here with Vice Minister Urso, who has done so much to get Italian companies involved in the reconstruction effort.

Today, we will hear what Italian organizations are doing to help companies interested in being part of the reconstruction process. In addition, we have a chance to learn about Iraq reconstruction from key officials of the Coalition Provisional Authority.

Later this morning, Admiral David Nash, the Director of the Program Management Office at the CPA, will speak about the role of his office in overseeing infrastructure contracting. I would like to thank Admiral Nash and his delegation for traveling here from Baghdad to attend this meeting.

We are also fortunate to have J.V. Schwan, the Vice Chairman of the Iraq Investment and Reconstruction Task Force at the U.S. Department of Commerce.

I want to welcome to Rome the representatives from the prime contractors, with whom you will have a chance to meet in the afternoon.

We have a great turnout, not only in the number of prime contractors, but also the number of Italian companies. I am also pleased that representatives from several Eastern European countries have been able to join us today.

I want to wish all of you a productive meeting today. I am confident this event will result in some new partnerships that will not only benefit the companies involved, but also, and most importantly, the Iraqi people.

Thank you.