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UPDATE 1-Canada confirms won't send ground troops to Iraq

(Adds criticism that Canada has little to offer, paragraphs 8-9)

By Randall Palmer

OTTAWA, Feb 27 (Reuters) - After weeks of ducking the issue, the Canadian government stated clearly on Thursday it would be unable to make any substantial deployment of ground troops to Iraq because of its commitment to peacekeeping in Afghanistan.

The government has been reluctant to commit to any ground operation in Iraq ahead of a U.N. decision. And when it committed on Feb. 12 to send troops to Afghanistan, a spokesman said it had "nothing to do with a possible war on Iraq."

But it is now clear that the Afghan deployment ruled out sending army troops to Iraq regardless of U.N. deliberations.

"Having made this substantial commitment to Afghanistan, we will not be in a position to send substantial ground troops for a year or more to any other country," Defence Minister John McCallum told reporters after making a military policy speech.

"This does not rule out a possible participation in Iraq should there be a war and should the government wish to do so -- but not through ground troops."

He said it was possible to deploy ships and airplanes already in the region. But these would be only in an auxiliary role, since there are no strike aircraft there and the ships are not equipped with missiles that could strike Iraq.

And a Canadian destroyer that set out this week to head an international task force in the region turned back to port on Thursday after its sole helicopter, an aging Sea King, crashed on the deck and rolled over on its side.

"This particular incident in terms of the international community I think can be nothing but embarrassing to us," said opposition leader Stephen Harper of the Canadian Alliance.

"It just points out how decayed the state of our military really is and how unable we are to contribute."

In his speech to the Conference of Defence Associations lobby group, McCallum defended the Afghan mission as fitting Canada because it requires empathy and not just the ability to fight.

"The Afghanistan mission is not a traditional peace-support operation. It is dangerous. It is risky. It will be extremely challenging. And it will require more than just combat capabilities," he said.

"It will also require negotiating skills, sound judgment in difficult situations, and empathy and respect for the local population. In short, this mission will require all the skills for which our soldiers are recognized around the world."

Canada has committed to send up to 2,000 troops to the International Security Assistance Force in Kabul for a year starting in mid-2003.

The Canadian military is stretched both in terms of budgets and numbers of personnel. In the 1990s, the governing Liberals cut the Canadian Forces to 60,000 strong from close to 90,000 a decade earlier.

McCallum managed to win an 8 percent boost in the defense budget for the fiscal year starting in April to about C$12.75 billion ($8.6 billion), but even with that the military may well have to give up cherished programs such as replacing its tanks.

The minister announced on Thursday a decision not to buy large transport planes and said Canada would rely instead on sharing strategic-lift capability with other NATO allies including the United States.

He also said he would explore replacing Canada's tanks with a light-armored vehicle on wheels, with a gun turret on top, which the United States is in the process of acquiring from General Motors Canada .

"Do we need tanks? Many, including some in uniform, have their doubts. I share these," he said.

Retired Canadian Maj. Gen. Lewis Mackenzie, who commanded U.N. forces in Bosnia, told reporters that the Afghan deployment was a "convenient obstacle" to sending troops to Iraq but this would hurt Canada's standing in the world.

"I'm a firm believer that the credit you get geopolitically, internationally, is directly proportional to the risk you accept, and that means troops on the ground, with potential to bleed," he said.

($1=$1.49 Canadian)