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French firms eye opportunities in post-war Iraq

PARIS, March 25 (Reuters) - The French government has teamed up with industry to examine ways that French companies could take part in the rebuilding of Iraq after the war which Paris staunchly opposed, an employers group said on Tuesday.

Despite opposing war in Iraq, France wants French businesses to be involved in the reconstruction of the oil-rich country -- an effort President Jacques Chirac said last week must involve a central role for the United Nations.

Some commentators in France fear the United States will dominate Iraq's reconstruction, freezing out France since Chirac staunchly opposed the war and incurred the wrath of Washington.

But a spokeswoman at employers federation Medef said an informal working group had been set up to look at opportunities for French businesses.

"It's a cooperation between the (government) administration and companies," the spokeswoman said. "We have not had any meetings. It is informal."

France's hopes of winning business in Iraq come despite U.S. companies already landing contracts there. The U.S. government's aid agency and military have awarded contracts to U.S. firms to manage the Iraqi port of Umm Qasr, and to extinguish oil well fires and repair damaged oil facilities in Iraq.

"France intends to play its part in the reconstruction of Iraq, under the auspices of the U.N.," a Finance Ministry source said, adding that the ministry was working with Medef and other organisations.

"The ministry is working on this, to be ready to participate in the reconstruction, by looking at what financial sources can be raised and which companies can take part."

Finance Minister Francis Mer said on Sunday French companies including oil giant TotalFinaElf could have a role in assisting in the post-war reconstruction of Iraq's oil industry.

Other French companies that could benefit from helping rebuild Iraq include building materials maker Lafarge , which has an extensive presence in the Middle East.

Analysts reckon French car-making duo Renault and PSA Peugeot Citroen eventually will aim to get their cars on Iraqi roads or at least to sell trucks, tractors and ambulances for the reconstruction effort.