Athens News Agency: Daily News Bulletin in English, 05-09-17

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

CONTENTS

[01] PM addresses UN General Assembly, says impoverishment and starvation a disgrace for our century

[02] PM Karamanlis, FM Molyviatis receive Justice for Cyprus Award

[03] FM Molyviatis calls British counterpart Straw on EU counter-declaration

[04] Gov't to table Parliament amendment aimed at sheltering OA assets

[05] Coalition party leader calls for creation of special Parliamentary committee to examine Olympic Airlines issue

[06] LA.OS party leader, Euro-MP tables question over EU Commissioner Barrot

[07] EU still has no answer for Turkey

[08] Papandreou itinerary for weekend TIF visit announced

[09] FM and UN Special Envoy to resume talks on FYROM name

[10] Ecumenical Patriarch Vartholomeos visits Florina

[11] Tirana refers to Greek-Albanian com't for resolving pending issues, boosting ties

[12] 'Parmenion 2005' exercise to take place throughout the country between September 19-24

[13] Deputy DM visits naval station at Salamina

[14] New law successful in decongesting courts

[15] Govt announces 48 mln-euro project to upgrade Revithousa LNG terminal

[16] Gov't seeks to minimise loss of EU funds

[17] FT: Greece likely to reduce deficit

[18] Gov't announces cash bonus to families acquiring third child as of Jan. 1

[19] Political leader calls for renaming of TIF into 'Macedonian International Fair'

[20] EU-US wine trade accord will protect 'retsina' name on US market

[21] Gov't calls for foreign investment in Greece

[22] Greece to declare cotton output to EU

[23] Greek farm prices up in July

[24] Greek inflation fourth highest in EU-25 in August

[25] Greek, Turkish and Cypriots labour unions to meet in Istanbul

[26] Greek current accounts deficit up 25.31 pct in Jan-July

[27] Hellenic Petroleum forms SPV in London

[28] Greece, Poland post trade rise over last three years

[29] Greek electrical appliance market stagnated in 2004

[30] Greek govt seeks to promote use of bio-fuels

[31] Greenpeace organisation satisfied with development ministry's initiative on energy needs of Lesvos

[32] Thessaloniki retail workers in protest mobilizations

[33] Greek firms among Serbia's 15 top investors

[34] Conference on int'l political economy begins in Athens

[35] Greek stocks move slightly higher

[36] 'Euro-fighters' on display at air show this weekend

[37] Latest ATM scam lands 2 suspects in jail

[38] Rains cause damage in northern Evia

[39] Ioannina's authorities step up bird flu prevention

[40] Spokesman: Turkey continuously violates international law

[41] Cyprus on agenda of Annan-Papadopoulos meeting

[42] Cypriot FM discusses Cyprus and EU with counterparts in US

[43] Cyprus and Athens bourses sign deal for common platform

[44] Women's Socialist International to hold regional conference in Cyprus

[45] Maritime Cyprus 2005 Conference begins September 26

[01] PM addresses UN General Assembly, says impoverishment and starvation a disgrace for our century

NEW YORK, 17/9/2005 (ANA - P. Panagiotou)

Focusing on the Millennium Proclamation, the prime minister pointed out that "in the framework of this global effort, Greece has considerably increased the development aid it is providing."

Karamanlis paid particular attention during his address to the Proclamation expected to be adopted later in the day by the heads of state and government participating in the summit.

"It constitutes, in our opinion, a good starting point on the long path of necessary reforms," he said, and added that it is also "an opportunity for us to reiterate our commitment to such basic principles as the obligation to avoid the threat or use of force in any way incompatible with the UN Charter, the peaceful resolving of disputes, in accordance with the UN Charter and international law, the authority of the Security Council must take action to preserve and restore international peace and security and Security Council resolutions must be implemented in full."

Karamanlis further said that "five years ago, in adopting the Millennium Proclamation, the leaders of the world set ambitious but feasible targets, incorporating the hopes of the international community for the new century, for a world which shall be united and have common principles and which shall struggle with determination to achieve peace and to secure dignified living conditions for every man, woman and child."

Referring to the issue of terrorism, the prime minister went on to say that "following the adoption of the Millennium Proclamation, important events have changed our conception of peace and security dramatically. The terrorist attacks in New York and elsewhere have brought to the surface new global threats and challenges."

Karamanlis indicated that only through the commitments mentioned above "can we hope for an effective handling of terrorism, global epidemics, impoverishment, natural disasters, the proliferation of weapons of mass destruction, international organised crime, mass violations of human rights and of every other scourge in our world."

He also said "this year we are honouring the 60th anniversary of our Organisation's creation which, constructed for a different era, must adjust itself in order to be effective in the new international environment. The United Nations, the only true global institution at the service of mankind, which possesses unique legalisation, must meet the new realities and chal-lenges."

Karamanlis concluded his address to the General Assembly by noting that the Proclamation "is a strong political appeal which incorporates most of the ideas proposed for development, the building of peace, human rights, the preservation of peace and the institutions of the United Nations."

[02] PM Karamanlis, FM Molyviatis receive Justice for Cyprus Award

NEW YORK, 17/9/2005 (ANA)

Speaking during the ceremony, Cyprus president Tassos Papadopoulos described his relations with Karamanlis as "wonderful", and "based on trust and absolute frankness", adding that there has never been any disagreement vis-a-vis support of Cyprus' cause and vindication of the just rights of the Republic of Cyprus, and particularly those of the Greek Cypriots.

Referring to Molyviatis, the Cyprus president called him the "wise Nestor" of Greece, and warmly thanked him for his long-standing cooperation and invaluable advice.

Papadopoulos further congraulated the Cypriot community in the US on their decision to honour Karamanlis and Molyviatis, noting that with their initiative they also honoured themselves, as well as Cyprus itself.

Molyviatis thanked the organisers for the honour bestowed on him and said that all his efforts throughout the years had b een "nothing mopre than my duty".

"I have tried to do my duty, but there is still much more that must be done," he said.

"We shall succeed," he said, because "we are all here, together, and with a purpose...Greeks, Cypriots, overseas Greeks and Cypriots, we are one...We will carry on with this battle to the final victory".

Karamanlis thanked the Cyprus president for his heartfelt words, and reaffirmed that the Greek government was unwaveringly committed to a just, functional and viable solution to the Cyprus problem based on the relevant UN Security Council resolutions and completely in line with the European principles.

"We will spare no effort to achieve the reunification of the island, in a way that will benefit all the Cypriots," the Greek premier pledged.

Regarding future initiatives for resolving the Cyprus problem, Karamanlis stressed that any prospective initiative needed to guarantee the best possible prospects for success, and expressed hope that the appropriate conditions would be created so as to enable a resumption of negotiations.

"We are approaching the issue with responsibility and determination to move forward, and hope that the other side will display a similar attitude. We are approaching this issue in close cooperation with the Cypriot government," Karamanlis said, and also congratulated the Federation leadership and members for their "exemplary devotion to the goals of peace, justice and freedom in Cyprus" and their "commitment to the loftiest interests of wider Hellenism" and "better understanding and closer relations between the Greeks and the Americans".

US Senator Paul Sarbanes lauded the organisers on their lifelong dedication to the struggle for the reunification of Cyprus and, drawing a parallel between the refugees in Cyprus and the refugees from Hurricane Katrina, stressed "how unbearable it is for one to be a refugee in their own homeland".

Sarbanes said that the Republic of Cyprus and the Cypriot people should not be punished because the Greek Cypriot community decided, in a free and open referendum, that the Annan Plan had not been the right solution, and expressed hope that "oour principles and persistence will prevail over the petty political plans in Washington".

The ceremony was attended by New York mayor Michael Bloomberg, Cyprus foreign minister George Iacovou, Archbishop Demetrios of America, and many leading members of the Greek and Cypriot community and organisations in the US.

The Cyprus Federation of America is the umbrella organization that represents the Cypriot-American community throughout the United States.

Past recipients of "The Justice for Cyprus Award" include Senators Olympia Snowe, Alfonse D'Amato, Paul Tsongas, Joseph Biden, Congressmen Lincoln Diaz-Balart, Robert Menendez and several other Members of the House of Representatives.

[03] FM Molyviatis calls British counterpart Straw on EU counter-declaration

NEW YORK, 17/9/2005 (ANA/A. Panagopoulos)

According to sources, it is considered very difficult to bridge the differences among the EU member countries on the text of the European Counter-Declaration.

The COREPER emergency meeting was called for Friday (at 3:00 p.m. local time) by Britain's COREPER member, to resume discussions on the formulation of the EU's counter-declaration.

On July 29, Ankara signed the Association Agreement Protocol -- by virtue of which Turkey extended its Customs Union agreement with the EU to the 10 new member states, including Cyprus. In tandem, Ankara also submitted a separate, unilateral declaration stating that it refused to recognise the Cyprus Republic and that its ports and airports would remain closed to Cypriot ships and planes.

[04] Gov't to table Parliament amendment aimed at sheltering OA assets

ATHENS, 17/9/2005 (ANA)

Spokesman Theodoros Roussopoulos made the statement at the end of a week that witnessed a European Commission decision calling for the return of upwards of 500 million euros from debt-laden OA back to the state's coffers.

Only hours after he made the statement, the government was set to table an amendment in Parliament postponing the execution of certain legal actions - individual or collectively, both within and outside Greece -- against OA's assets until Feb. 28, 2006, such as orders of confiscation, restraining orders etc.

The amendment excludes the state from the amendment's provisions.

An addendum notes that the amendment's provisions aim at ensuring the operation and control of OA's assets until a decision is made on whether an ongoing effort to privatise the company can continue.

[05] Coalition party leader calls for creation of special Parliamentary committee to examine Olympic Airlines issue

ATHENS, 17/9/2005 (ANA)

Alavanos added that Olympic Airlines can be viable and state-run and effective and profit-making.

The Coalition party leader further said that he has had no reply from the government on his request to meet Prime Minister Costas Karamanlis on the issue of the airline company, adding that next week he will be meeting main opposition PASOK party leader George Papandreou, while the response from the Communist Party of Greece (KKE) was negative.

[06] LA.OS party leader, Euro-MP tables question over EU Commissioner Barrot

BRUSSELS, 17/9/2005 (ANA - V. Demiris)

In a relevant announcement, Karatzaferis, a former New Democracy deputy expelled from that party before founding LA.OS, cites press reports and Internet articles referring to Barrot's first instance conviction and alleged involvement in a financial scandal in France five years ago.

According to reports, the Greek Euro-deputy also asks whether Barrot was in Greece days before the Commission ruling, and whether such a visit was on official Commission business. He also requested a briefing on what, if any, contacts Barrot had in Greece.

[07] EU still has no answer for Turkey

BRUSSELS, 17/9/2005 (ANA/M.Spinthourakis)

Most likely, the Committee will meet again early next week to resume discussions.

According to well-informed sources, the British EU Presidency, during Friday's meeting, presented a text that included some of the changes proposed by Cyprus, but also contained clauses the latter did not agree with.

Taking into consideration Cyprus' objections, as well as some compromises proposed by Greece, the British presidency promised to re-examine the issue and present new proposals as soon as possible, the same sources said.

Only Italy's representative expressed complete opposition to the Greek ambassador Vassilis Kaskarelis' proposal.

Based on Friday's meeting, Cyprus' demands, which Greece incorporated into its proposal, are that Turkey recognise the Republic of Cyprus before it joins the EU and that it be clearly stated that normalisation of Cypriot-Turkish relations is independent of a UN-sponsored solution to the Cyprus problem.

Greek diplomatic sources said that the British presidency's references that the EU will monitor the way in which Turkey implements its extended customs union agreement with Cyprus are deemed satisfactory.

On July 29, Turkey signed the Association Agreement Protocol -- by virtue of which Turkey extended its customs union agreement with the EU to the 10 new member states, including Cyprus. It submitted a separate declaration stating that it refused to recognise the Cyprus Republic and that its ports and airports would remain closed to Cypriot ships and planes.

[08] Papandreou itinerary for weekend TIF visit announced

THESSALLONIKI, 17/9/2005 (ANA)

Papandreou, the former foreign minister, is expected to arrive in the northern port city on Saturday afternoon.

Later in the evening he will give the keynote address at a reception held at TIF's main conference centre in the presence of representatives of business groups, professional sectors, political cadres and other dignitaries. Immediately afterwards, he will attend an event sponsored by PASOK's affiliated youth group in the Thessaloniki-area municipality of Neapolis.

A tour of TIF's fairgrounds and pavilions is scheduled for late Sunday morning, following the PASOK leader's earlier meetings with the leaderships of the two public entity companies managing the annual event and the TIF facilities, as well as with TIF employee groups.

A customary across-the-board press conference is set for 1 p.m., followed by Papandreou's working lunch with PASOK cadres at a downtown Thessaloniki hotel.

Papandreou will lead a high-level PASOK delegation during the weekend TIF visit, with 12 former ministers and current PASOK MPs accompanying him.

[09] FM and UN Special Envoy to resume talks on FYROM name

NEW YORK, 17/9/2005 (ANA/ A.Panagopoulos)

According to Greek diplomatic sources, there have not been any developments regarding the name issue.

Greece objects to the use of the name 'Macedonia' by its northern neighbour on the grounds that it might encourage expansionist policies against Greece.

[10] Ecumenical Patriarch Vartholomeos visits Florina

FLORINA, 17/9/2005 (ANA)

Vartholomeos and the members of his entourage were welcomed at the borders of the prefectures of Pella and Florina by Archbishop of Athens and All Greece Christodoulos, the Metropolitan of Florina, Prespes and Eordea Theoklitos, Minister of Macedonia and Thrace Nikos Tsiartsionis and other officials.

The official welcoming ceremony took place in the town's central square, where the Patriarch was addressed by the Mayor of Florina Stefanos Papanastasiou. Vartholomeos and Archbishop Christodoulos then officiated at a church service held at the Saint Panteleimon Church.

[11] Tirana refers to Greek-Albanian com't for resolving pending issues, boosting ties

TIRANA, 17/9/2005 (ANA - I. Patso)

The announcement comes a day after Greek Prime Minister Costas Karamanlis met his Albanian counterpart on the sidelines of the United Nations' General Assembly in New York City.

According to a statement by Berisha's office, the proposal was made by Karamanlis, with diplomatic, education, security and defence experts from both countries making up the committee.

The same statement also refers to both leaders' commitment to work closely together in the energy sector.

[12] 'Parmenion 2005' exercise to take place throughout the country between September 19-24

ATHENS, 17/9/2005 (ANA)

The exercise will take place with the assistance of the general staffs and will include relevant ministry and political agency services. Units of all three branches of the armed forces will be participating, while the air force will also be carrying out a mobilisation exercise.

[13] Deputy DM visits naval station at Salamina

ATHENS, 17/9/2005 (ANA)

Addressing the naval station's military and civil staff, the deputy minister informed them of the defence ministry's decision to take all the necessary measures to achieve the excellent functioning of the country's naval stations.

He added that to this end all the necessary funds will be provided to improve mechanical, electrical and building facilities, while necessary staff hirings will also take place in accordance with existing legislation. He also noted that every effort is being made to improve the personnel's remuneration.

[14] New law successful in decongesting courts

ATHENS, 17/9/2005 (ANA)

According to Papaligouras, the number of pending cases has dropped dramatically by 45%.

"And this means 45% less inconvenience for citizens when dealing with the courts," he added.

The minister said the new court term is getting off to a good start compared with previous years, during his visit to the Athens Court of First Instance and the Prosecutor's Office.

[15] Govt announces 48 mln-euro project to upgrade Revithousa LNG terminal

ATHENS, 17/9/2005 (ANA)

The project will enable Revithousa terminal to more than triple its production capacity, ensuring a steady supply of natural gas to the National Transport System of up to 6.0 billion cubic metres annually.

Revithousa LNG station is one of 10 similar stations operating around Mediterranean and Europe. The station offers energy supply in the country, operational flexibility in transportation and distribution of natural gas and increased capability of covering consumer demand.

The project is expected to effectively contribute in further strengthening the country's electricity production grid by increasing supplies to new electricity production units using natural gas. The project is included in a "Competitivess" Business Programme of a Third Community Support Framework and is funded with 21,500,000 euros, or 45 percent of total budget.

Development Minister Dimitris Sioufas said the project will transform Revithousa terminal into one of the biggest in Southeastern Europe, significantly raising DEPA's asset base.

[16] Gov't seeks to minimise loss of EU funds

ATHENS, 17/9/2005 (ANA)

"There is a visible danger of losing the funds," Folias told reporters on the sidelines of the Thessaloniki international trade fair.

"Nevertheless, the government aims at least to curb losses, if not remove the danger altogether, through action and initiatives, as well as renegotiation (with the EU)," he said.

Folias added that the government was considering shifting certain spending to other programmes that show a higher absorption rate so that full use was made of funds.

"Last year, the government succeeded in containing loss of EU funding to 300,000 euros," he noted.

[17] FT: Greece likely to reduce deficit

ATHENS, 17/9/2005 (ANA)

Finance Minister George Alogoskoufis predicted the deficit would fall this year from about 6.1 to 3.6 per cent of gross domestic product, in line with the government's commitment to the European Commission.

"The main worry was that growth would stall immediately the Olympics were over, but that didn't happen. We've seen solid growth sustained in each quarter," the FT quoted Alogoskoufis as saying. "We are confident that the deficit target will be met, as a result of containing spending successfully and making some cuts in the public investment budget."

Greece has two years to reduce the deficit below the 3 per cent of GDP ceiling imposed on eurozone members, after the cost of the Athens Olympics and a spike in military payments pushed spending in 2004 to unprecedented levels.

The minister said his task was made easier by the resilience of the Greek economy, which is set to expand this year by 3.6 per cent, compared with 4.2 per cent in 2004. He said growth was being driven by domestic consumption, higher exports to Turkey and the Balkan countries and by a 13 per cent increase in foreign visitors, almost double the projection made at the start of the holiday season.

Greece raised valued-added tax by one percentage point in April, following a sharp first-quarter fall in revenues. The finance ministry has also launched a fresh crackdown on tax evasion, implementing suggestions made by the International Monetary Fund. Alogoskoufis said revenues picked up over the summer, after a re-organisation of regional tax offices, the FT reported

[18] Gov't announces cash bonus to families acquiring third child as of Jan. 1

ATHENS, 17/9/2005 (ANA)

The measure was announced following a meeting here between Economy Minister George Alogoskoufis and Health Minister Nikitas Kaklamanis.

Currently, a family in Greece must have four or more children to qualify for a variety of state bonuses and supports, ranging from low-interest loans, to preference for civil servant spots to reduced mass transit fares, among others.

Additionally, families that acquire a third child will also be exempt from paying a vehicle license fee.

According to Kaklamanis, some 8,000 to 10,000 families stand to benefit from the measure in the coming two years.

On his part, Alogoskoufis said that additional state support of large families continues to be a primary goal of the Karamanlis government despite the fiscal difficulties inherited from the previous government, as he said. Additionally, he said the funds for the measure will come from cost-cutting in the public sector.

Greece continues to be plagued by a low population growth rate, according to the latest UN and EU statistics.

Opposition criticises gov't over measures regarding families with three children

Main opposition PASOK and the Coalition of the Left, Movements and Ecology (SYN) party criticised the government over its announced measures to provide cash bonuses to families acquiring a third child as of January 1, 2006.

In a joint statement, PASOK's Vasso Papandreou, responsible for the economic division of the party's political council and Evangelos Venizelos, responsible for healthcare, labour and social affairs, accused Prime Minister Costas Karamanlis of not delivering on his pre-election promises since families that already have three children will not qualify for the bonus.

SYN's Dimitris Stratoulis, member of the party's Political Bureau and responsible for labour policy, called the government measures "fragmented".

He said that they do not, in any way, meet the needs of families with three children of lower socio-economic class.

SYN expressed its support for families with three children to be eligible for the same bonuses and support as families with four or more children.

The government measures include a one-time bonus of � 2,000 as of January 1, 2006. In 2007, the sum will be increased to � 2,500.

Government response

In response to PASOK's criticism, Finance Minister George Alogoskoufis said that the main opposition party had obviously "not kept abreast of political developments," since the measures the ministry announced today had already been made public on September 6.

Alogoskoufis added that "PASOK cadres .... are criticising the government for the support it is providing families with three children without explaining why they [PASOK] hadn't done so themselves."

He also called on PASOK to provide the Greek people with explanations regarding the economic state in which it left the country.

Health and Social Solidarity Minister Nikitas Kaklamanis also responded to PASOK's criticism attributing Papandreou's and Venizelos' statements to their "awkwardness" and "state of political panic."

[19] Political leader calls for renaming of TIF into 'Macedonian International Fair'

THESSALLONIKI, 17/9/2005 (ANA)

Karatzaferis made the statement while touring the 70th TIF, Greece's largest and most important trade exhibition.

Greece vigorously objects to the use of the name "Macedonia" by its northern land-locked neighbor FYROM, citing historical and political reasons.

In other statements, Karatzaferis also called for the transfer of Thessaloniki's Macedonia Airport to the city's western outskirts from its current site, east of the metropolis.

Finally, the LA.OS leader on Friday toured the Athens News Agency - Macedonian Press Agency pavilion at TIF.

[20] EU-US wine trade accord will protect 'retsina' name on US market

BRUSSELS, 17/9/2005 (ANA)

According to the Commission announcement, the EU and the US have reached a "first phase agreement" on trade in wine which will "protect EU wine names and secure the EU's biggest and most valuable wine market".

Under the accord, the US administration will "make a proposal to Congress to change the status of EU wine names" such as Burgundy, Champagne, Chablis, Chianti, Madeira, Malaga, Port, Retsina, Sherry and Tokay "currently considered semi-generic terms in the US, and limit their use in the US".

"The US will also exempt the EU from its new certification requirements, accept the main principles of EU labelling rules and pledge to seek to resolve any bilateral issues concerning trade in wine through informal bilateral consultations rather than through dispute settlement mechanisms. The two sides have also undertaken to build on the agreement by starting to negotiate a more ambitious second-phase accord 90 days after the entry into force of this agreement," the announcement said.

Mariann Fischer Boel, Commissioner for Agriculture and Rural Development, welcomed the agreement: "I am delighted we have managed to finalise this very important agreement, after 20 years of on-off negotiations. The US is our biggest market, importing EU wine worth about � 2 billion in 2004. This deal will remove the legal uncertainty which has hung over this trade for several years and benefit producers on both sides of the Atlantic. The conclusion of this first-phase agreement will pave the way for future close cooperation with the US in the wine sector."

The main elements of the agreement are: - The US and EU explicitly recognise each others' wine names as "names of origin". - The US administration will propose to Congress to change the status and to limit of use of 17 European wine names which are currently considered as semi-generics in the US: Burgundy, Chablis, Champagne, Chianti, Claret, Haut-Sauterne, Hock, Madeira, Malaga, Marsala, Moselle, Port, Retsina, Rhine, Sauterne, Sherry and Tokay. - The US accepts the main principles of EU labelling rules and agrees to seek to resolve any bilateral issues concerning trade in wine through informal bilateral consultations rather than through dispute settlement mechanisms. - The US is allowed to use under certain conditions and for a limited period of time, 14 EU traditional expressions: Ch�teau, classic, clos, cream, crusted,/crusting, fine, late bottled vintage, noble, ruby, superior, sur lie, tawny, vintage and vintage character. - The EU recognises the US wine-making practices which are currently approved in the US. However, those practices which are not covered by existing EU derogations will only be accepted for wines exported to the EU once the US changes the status of the 17 EU wine names which are considered as semi generics in the US. - EU wine exports, including exports of wines below 7% of alcohol, are exempted from the US certification requirements adopted in late 2004. Once the US has changed the status of the 17 EU wine names currently considered as semi-generics in the US, it will benefit from very simplified certification requirements in the EU. - A second phase negotiation will start 90 days after the date of entry into force of the agreement and will, among other things, include a dialogue on geographical indications, a dialogue on the matter of names of origin including the future of the semi-generic terms, a dialogue on the use of traditional expressions, low alcohol wines, certification, wine-making practices and the creation of a joint committee on wine issues. - Both Parties also agree to exchange views on wine matters affecting international trade and on how international cooperation covering wine matters might be best structured.

[21] Gov't calls for foreign investment in Greece

ATHENS, 17/9/2005 (ANA)

"We are seeking open minds, and we, on our part, will guarantee an environment of cooperation that will constantly improve," Folias told a business forum on the sidelines of the Thessaloniki international trade fair.

"Greece could become a leading player in the Balkans, opening new channels of bilateral and multi-faceted cooperation. The outlook is favourable," he added.

[22] Greece to declare cotton output to EU

ATHENS, 17/9/2005 (ANA)

Speaking after a meeting with producers, Basiakos said that the output total would bring 727 million euros in subsidies.

[23] Greek farm prices up in July

ATHENS, 17/9/2005 (ANA)

NSS, in its monthly report, said the index was down 7.5 percent in July from June.

The composite inflow price index, however, rose by 4.9 percent in July (from July 2004), and was up 0.1 percent from June.

[24] Greek inflation fourth highest in EU-25 in August

ATHENS, 17/9/2005 (ANA)

The EU executive's statistics agency said Eurozone inflation was unchanged at 2.2 percent in August, although slightly down from 2.3 percent in August 2004. Inflation in the EU-25 rose to 2.2 percent in August from 2.1 percent in July, but down from 2.3 pct in August 2004.

Sweden and Finland (1.0 pct), the Czech Republic (1.3 pct) and Cyprus (1.5 pct) recorded the lowest inflation rates in August, with Latvia (6.3 pct), Luxembourg (4.3 pct), Estonia (4.2 pct) and Greece (3.6 pct) the highest rates.

The inflation rate fell in 15 member states in August, from July, it fell in five and was unchanged in another five EU countries.

[25] Greek, Turkish and Cypriots labour unions to meet in Istanbul

ISTANBUL, 17/9/2005 (ANA)

Greece will be represented by the largest trade umbrella union in the country, GSEE, and the civil servants' union, ADEDY. Three Turkish labour unions will participate, KESK, DISK and HAK-IS, as well as the PEO, DEV-IS, SEK, TURK-SEN, PASYDY and KTAMS groups from Cyprus, with the latter country sending both predominately Greek Cypriot and predominately Turkish Cypriot unions.

Up for discussion is the condition of working people in Greece, Turkey and Cyprus, as well as the role of unions in achieving peace and stability in the region.

[26] Greek current accounts deficit up 25.31 pct in Jan-July

ATHENS, 17/9/2005 (ANA)

The central bank, in its report, attributed the negative development to a rising trade deficit and a biggert shortfall in the incomes balance.

The country's trade deficit worsened due to rising fuel prices. The trade shortfall rose to 15.434 billion euros in the January-July period from 14.391 billion euros last year, with the fuel balance's deficit rising by 35.6 percent over the same period.

The services balance's surplus rose by 11.1 percent or 565 million euros in the first seven months, reflecting a 400 million euros increase in transport service's net revenues (mainly shipping). Gross revenues from travel services rose by 476 million euros, or 9.9 percent, while gross payments rose by 16.3 percent of 197 million euros.

The capital transfer balance's surplus fell to 1.025 billion euros in the January-July period from 1.338 billion euros in the same period last year.

Direct investments, in the financial transactions balance, recorded a net outflow of 160 million euros (from a net inflow of 435 mln euros last year), while portfolio investments reported a net inflow of 8.149 billion euros reflecting increased buying in Greek state securities.

The other investments category recorded a net outflow of 891 million euros in the January-July period.

[27] Hellenic Petroleum forms SPV in London

LONDON, 17/9/2005 (ANA)

The new company, with a five-member board, will be called Hellenic Petroleum Finance Plc and will be based in London.

[28] Greece, Poland post trade rise over last three years

THESSALLONIKI, 17/9/2005 (ANA)

"Transactions have not yet fulfilled all the potential," Bogdan Zagrobelny, director of Poland's finance and employment ministry, told a business forum on the sidelines of the Thessaloniki international trade fair.

Bilateral trade totalled 336.8 million euros in 2004 after showing a 51.5% rise in 2001 and 2002.

Greece's farm products remain the country's main export to Poland, with other products emerging over the last few years including electrical equipment, aluminium products, textiles and semi-finished plastic goods, Zagrobelny noted.

Greek indirect investments in Poland totalled more than 564 million US dollars out of total foreign investment of 84 billion, he added.

Another official noted that the most active Greek firm in Poland was Coca-Cola HBC (513 million US dollars), followed by Maillis (37 million euros), Germanos (6.5 million euros) and Chipita (5.1 million euros).

[29] Greek electrical appliance market stagnated in 2004

THESSALLONIKI, 17/9/2005 (ANA)

The report said the domestic market was rapidly changing with the entry of foreign companies, either directly (Media Markt) or indirectly (Dixons), a price war and an offer policy to attract consumers, along with shrinking incomes and increased household debt combined with an increased cost of living in the country.

Retail sales rose 0.7 percent in volume in the first six months of the year.

The report urged a radical restructuring of the retail network, the sale of non-operational assets, re-evaluating the supply chain, while company boards should realistically evaluate survival prospects or seek closer cooperation with other players in the market.

A recent acquisition of Kotsovolos by Dixons, the UK retail group, is accompanied by a programme to renovate retail shops and expand product portfolio. The company reported a loss of 11.52 mln euros over the last 15 months due to accounting changes.

An autonomous appearance of Media Markt in the Greek market, initially in Thessaloniki and later in Attica, also brings new dynamic in the market.

Radio Korasidis & Elephant are facing severe liquidity problems and are currently in talks with creditors and suppliers to continue operations.

Ikona-Ixos, meanwhile, agreed to a takeover by Expert and is currently operating under the latter's brand name.

[30] Greek govt seeks to promote use of bio-fuels

ATHENS, 17/9/2005 (ANA)

Addressing the seminar, the Greek minister stressed that a more efficient use of the country's rich domestic wind, solar and geothermal capacity was the government's goal in the framework of a new energy policy and underlined efforts made to integrate community directives on the production, trade and distribution of bio-fuels into Greek legislation.

"It is a significant initiative as we will include energy cultivations to our farm balance, offering one more prospect to Greek farmers," Sioufas said. The Greek minister urged for a more rational use of transportation means and biggest use of bio-fuels in the sector.

Development Deputy Minister George Salagoudis, addressing the seminar, urged Greek farmers to see bio-fuels as a business opportunity and to expand beyond the country's borders. The use of bio-fuels has multiple benefits to the Greek society as it reduced the imports of fuel, lowered the country's energy dependence from oil and helps protecting the environment, the minister said.

[31] Greenpeace organisation satisfied with development ministry's initiative on energy needs of Lesvos

ATHENS, 17/9/2005 (ANA)

He was responding to the Organisation's recent proposal on putting an end to the island's dependence on oil and its turning to clean forms of energy.

Greenpeace expressed satisfaction over the development ministry's initiative which, as mentioned in the letter by Stefanou, will provide extra incentives in this direction.

According to the Organisation's head of the campaign concerning climatic changes and energy, the ministry's letter to Greenpeace is a first step towards ridding Lesvos from dependence on fossil fuel.

[32] Thessaloniki retail workers in protest mobilizations

THESSALLONIKI, 17/9/2005 (ANA)

The retail workers demand that the government promote legislation to ensure that retail shops will remain closed on Sunday, a new extended shopping hours will not surpass 48 hours weekly work, retail shops to remain closed in three afternoon days, to abolish all flexible forms of labour and a basic salary of 1,300 euros.

[33] Greek firms among Serbia's 15 top investors

THESSALLONIKI, 17/9/2005 (ANA)

Irena Posin, supervisor of Serbia's Investment and Exports Promotion Service named the firms and their investments as follows: