822.24/92
The Minister in Ecuador (Long) to the Secretary of State
[Received March 4.]
Sir: I have the honor to report that late this evening I had a visit with President Arroyo del Rio. I explained that I had gathered the impression, as a result of preliminary conversations between Colonel Urrutia77 and Commander Barbaro,78 that a $30,000,000 credit, to be used by Ecuador for acquiring all sorts of armament equipment for the Navy and Army, was a sine qua non as a condition precedent to reaching conclusions.
The President said that I was mistaken. However, he added, the fact that the Ecuadoran Congress had authorized him to arrange a credit up to $30,000,000 was a factor which must be taken into consideration, as the Congress was an important branch of the Government.
The President explained that it was not possible for one unacquainted with the cost of airplanes, ships, anti-aircraft guns, and all the other equipment which might fall under the general classification of defense materials, to think in terms of dollars as readily as he might in terms of the indispensable requirements: for all he knew, the total might run considerably beyond $30,000,000.
The President then said he would like to change the subject for a moment to the political condition existing in the country. He thought the majority of the thinking people were in favor of the democracies, but the Axis powers were so skillful in presentation of arguments extolling the merits of the planned economy which was to run the world if Hitler won, and also in their propaganda, which constantly kept before the public the wonderful military organization of the Axis powers, that it was not surprising that there was also another school of thought. He favored the democracies but as President it was necessary for him to show a certain amount of consideration for the views of Ecuadoran citizens. As an illustration of his attitude, he referred to the application of the Ecuapetrol, German oil syndicate, successor to Otto Wolff, for a renewal of its concession. The President informed me that, notwithstanding the fact [Page 292] that when the application reached his desk it had every required legal endorsement, he had declined to renew the Ecuapetrol concession. This act, he said, would unquestionably bring tremendous pressure to bear upon him to reverse his position.
President Arroyo then stated that his greatest need was a demonstration which the public could see—for example, a few Ecuadoran pilots flying planes which belonged to Ecuador, and at least one and possibly two small ships which could fly the Ecuadoran flag. Both planes and ships would be interpreted by his public as a demonstration that something was being accomplished by his administration and thus tend to counteract the contentions of pro-Axis thinkers that the democracies talked much and did little.
These planes and one or more ships would, the President continued, serve as laboratories for the training of members of the Aviation Corps and also of the Navy. If Ecuador was ever to make a beginning, it would have to start with these; hence he had no hesitancy in being perfectly plain about the immediate needs of his country. He referred to the aviation training schools to be built at Salinas (for primary training) and Quito (for advanced training) as also indispensable, stating that they, too, would be helpful at this time. He felt that these were minimum requirements of the moment and that this was the psychological time for something to be done. He expressed the hope that our Government would be able to give early consideration to Ecuador’s needs and would lose no time in cooperating with him in this moment of emergency.
The President stated that he was glad I was going to Washington and hoped that I would work with his Ambassador to the end that an early solution might be reached as to the problems mentioned herein.
Respectfully yours,