EU-Turkey: Ankara unveils Cyprus plan

Turkey will lift all restrictions on trade with Cyprus as part of a package designed to ease Ankara’s EU entry and revive prospects for a political settlement.

Ankara also said it would encourage all sides to return to UN-backed talks over the future of the divided Mediterranean island.

Cyprus is set to be a critical issue in Turkey's entry talks with the EU this year and Ankara knows it has to resolve the issue as part of its bid to join.

Turkey's Foreign Minister, Abdullah Gul said Ankara would open its ports to Cypriot vessels and aircraft in return for easing the restrictions on economically isolated Turkish Cypriots.

"The current status quo works against the interests of all. The time has come to move forward all together, leaving behind restrictions and confrontation," Gul announced.

But in Cyprus the Greek-Cypriot government was quick to reject the new proposals as "reheated food".

Cyprus is made up of an internationally recognised Greek Cypriot south and the smaller and poorer Turkish Cypriot north - backed only by Ankara.

The Greek Cypriot government joined the EU in 2004 and says it may block Turkey's EU talks if Ankara does not recognise it as the sole authority on the island.

Turkey hopes its apparently more accommodating position on Cyprus will help convince Brussels of its commitment to the EU.

Turkish officials said the proposals amounted to a removal of the obstacles blocking a return to the negotiating table rather than a new or comprehensive settlement.

But some EU diplomats are not so optimistic about a breakthrough.

"At the moment, Turkey seems on a collision course with the EU over Cyprus. It is very hard for Turkey to make concessions, such as opening its ports, given the strength of Turkish public support for the Turkish Cypriots," one diplomat told reporters on Tuesday.

Officials also fear the UN may be reluctant to get involved in Cypriot peacemaking after the Greek Cypriots overwhelmingly rejected a peace plan in a 2004 referendum to reunite the island.

The European commission welcomed Turkey's efforts to achieve progress in the current deadlock on Tuesday, but said Gul's statement would need "careful examination."

"I understand it is intended as a basis for further discussion with the concerned parties, under the auspices of the UN. The commission is ready to contribute to such a discussion," enlargement commissioner Olli Rehn said in a statement.

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