War trade Board Files: Switzerland,
Shipping and Tonnage, Austrian Ships in Spanish, Waters, Vol.
II
[Enclosure]
Paraphrase of Telegram from the Foreign
Office regarding Tonnage for Switzerland
The Swiss Government have been unable to obtain enemy tonnage in
Spain. They have been offered enemy ships in the Dutch East
Indies, but we can not agree to this, since it is important that
the vessels should remain there as to some extent a pledge of
Germany’s good behaviour towards Holland. For the reasons
already explained, we are reluctant to charter enemy ships in
Chile, which, moreover, it is doubtful whether the Chilean
Government would sanction.
The German Government are reported to be willing to charter to
Switzerland five or seven ships in Spain on condition that a
similar number be furnished by the Allies. Although War Trade
Board representatives are in favour of this proposal, we are
strongly opposed to it on the following grounds:
- (a)
- In view of the present relations between Spain and
Germany, it is most unlikely that the Spanish Government
would be willing to allow German vessels to leave
Spanish ports, since if Germany succeeded in placing
under neutral charter the large number of ships now in
Spain, the Spanish threat to seize German vessels in
retaliation for torpedoed Spanish ships would become
practically ineffectual.
- (b)
- Bargaining with Germany would produce a bad moral
effect, while the refusal of German tonnage would
produce a good effect both in Germany and in the neutral
countries.
- (c)
- It is altogether improbable that Germany would carry
out the bargain. She has hitherto hindered all
negotiations for these ships.
- (d)
- Alternatively, if she did cede the vessels, she would
make an enormous profit—about 2,000,000 pounds a
year.
- (e)
- According to M. Sulzer,
the Swiss Government delegate, six months would be
required to put the ships in service. Although
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he has since
stated that possibly some vessels might be ready in two
months, all our information and experience as well as
the nature of the facilities available in Spam point to
six months as the probable minimum period.
- (f)
- It would be necessary to exercise strict supervision
on navigation crews, etc., of any German ships allowed
to sail. This would entail delays which would be
represented by Germany as obstacles raised by the
Allies, thus tending to minimize any gratitude that
Switzerland might feel for our concessions.
The total enemy tonnage so far offered amounts to 30,000 to
40,000 dead weight tons approximately. This is only about 25 per
cent of the tonnage required for Switzerland, which we estimate
at about 120,000 dead weight tons. On a basis of five voyages a
year, this would allow import of 50,000 tons of goods a month
which we consider sufficient, although Switzerland has estimated
her minimum requirements at 80,000 tons.
In view, however, of the extent to which Allied Governments now
control neutral shipping, we recognize the necessity to
substitute for the permission hitherto accorded to Switzerland
to charter tonnage up to a specified amount a positive
responsibility to place tonnage at her disposal. Such an
undertaking would not only have an important political effect on
conciliating Switzerland, but would also have the advantage of
excluding her from chartering market.
We accordingly suggest that an obligation to provide 50,000 tons
a month should be assumed by the United States, Great Britain
and France, in the proportion of 2/5 and 1/5. This suggestion
has been informally discussed at the Allied Maritime Transport
Council, and was adjourned for the delegates to obtain the
consent of their respective Governments.1 We trust that United States Government
will accept it.
The question has been raised whether in return Switzerland should
be asked for a quid pro quo. It seems to
us inadvisable to press her too hard. Under their agreement with
the United States the Swiss Government consider themselves
entitled to claim that the Allies provide the necessary tonnage
for a minimum of 50,000 tons of grain a month. If we obtain the
consent of the Swiss Government to a total monthly ration of
50,000 tons we shall have done very well.
We recommend, however, that the Swiss Government be asked for an
extension in a modified form of the financial agreement which we
concluded with them on March the 20th last year, under which
they advanced to us certain sums in proportion to the amount of
shipping placed at the disposal of Swiss importers.
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We understand that the United States Government desire to make
some stipulation in regard to the purchase of stores from
Switzerland, e. g., timber for American Army in France, and we
should be glad to receive the views of the United States
Government on this point.