
By Safa Haeri, IPS Editor in the Spanish Capital
MADRID 27 Oct (IPS) President Mohammad Khatami of Iran is to arrive Monday afternoon in Madrid for an official three days visit, his first to Spain, a staunchly Catholic nation that was once a cradle of Islam as well.
Informed sources both in Tehran and Madrid said the talks between Mr.
Khatami, who is a junior cleric with little power in Iran with Mr. Jose Maria
Aznar, the Spanish Prime Minister would concentrate on boosting bilateral in
particular, boosting relations between Tehran and the European Union and also
"join forces" to help diffuse important international crisis,
including the Iraqi crisis, but particularly the conflict between Israelis and
Palestinians.

On his first night in the Spanish Capital, Hojjatoleslam Khatami would be the host of a private diner offered by King Juan Carlos of Spain.
But it is not known if Queen Sophia would be present, even though sources have said the Iranian side did not insisted that all women wear head scarf at function where Mr. Khatami is present.
To ease the Iranian hosts, who, as Muslims, cannot drink alcohol, the Spanish protocol decided to change the King’s traditional state banquet into a private diner, where serving "cava", the Spanish champagne and wine is not "mandatory".
Serious talks are scheduled for Tuesday morning between Mr. Khatami and Mr. Aznar, who, according to informed Spanish sources who do not want to be named, would "press" the Iranian President on issues such as human rights, respect of freedom of the press and democracy. The two would then held a press conference.
"He would particularly insist on Iran taking distance with Arab and Palestinian violent organisations opposed to any peace between Israel and Palestine in the one hand and recognise both Palestinian and Israeli states, as demanded earlier by a EU delegation that visited Tehran", the source added.
Mr. Aznar, who is one of few European leader to have good relations with Washington said Mr. Khatami's visit will mark a "turning point" in ties between the two countries, which are witnessing an "accelerating" boost in their relations.
"President Khatami's visit is a turning point at a time of rapid acceleration of ties between the Islamic Republic of Iran and Spain ... which will unleash new means to expand them", he told the official Iranian news agency IRNA in an exclusive interview.
"We will have a good chance in Madrid to review our relations in political, economic and cultural fields and specify necessary measures to boost them. I believe these ties are currently excellent and very smooth", Aznar added.
"The European Union is committed to maintain political dialogue with Iran in parallel with the two sides' economic and trade cooperation", the Spanish Premier said, in a veiled reference to Iran’s difficult relations with the United States, which has labelled the Islamic Republic an "evil State".
It was under Spain's tutelage as EU president the first half of this year that the bloc signed a political accord with Tehran to set the stage to negotiate trade and cooperation agreements.
With the EU trying to shore up Khatami and other embattled reformists in the Islamic republic, the diplomatic source said the goal of such talks was not only to further exchanges but to contribute to the "pursuit of both the economic and political reform process."
Iranian sources told Iran Pres Service that Khatami would ask Aznar to use his good relations with President George W. Bush to remove Iran’s name from his list of "evil states". North Korea and Iraq are Mr. Bush’s other two evils. "This is very important for Khatami, because he is abandoned by almost everyone", the source explained.
As for bilateral matters, Madrid hopes Khatami's visit will help move along efforts by several big Spanish companies to set up energy projects in Iran, notably the oil group Repsol-YPF's bid to move into Iran's natural gas sector.
Bilateral economic trade is small at just over 1.2 billion euros (dollars) annually with the balance in Iran's favor.
Spanish press have said that a trade deal to a tune of three billion dollars, mainly between the Iranian oil, gas and petrochemicals sector and Spanish firms, could be in the pipeline, IRNA said.
During his stay, President Khatami is scheduled to meet Spanish business community and also attend Spanish Senate as well as deliver a speech at Complutense University of Madrid.
The Iranian President is accompanied by a high-ranking politico-economic delegation including the Minister of Foreign Affairs Kamal Kharrazi and Finance Minister Tahmasb Mazaheri.
The visit is taking place at the invitation of King Juan Carlos and in response to Prime Minister Jose Maria Aznar's visit to Tehran in October 2000.
The two sides are expected to sign several economic documents, including one on transfer of Iranian gas to Spain, joint investment, removal of double taxation and customs cooperation. They will also follow up negotiations on transfer of Iranian liquefied natural gas (LNG) to Europe.
On Wednesday, Khatami will attend the inauguration of a new forum for business chiefs from both countries, then meet with various public officials before winding up his visit early Thursday.
It is not known if Mr. Khatami would visit the Al Hamra Palace, a landmark of "Islamic Spain" in Granada. ENDS KHATAMI MADRID VISIT 271002