868.48/3409: Telegram

The Chargé in the United Kingdom (Matthews) to the Secretary of State

319. Reference Embassy’s telegram 7291, December 23, 4 p.m.81 food ships for the Aegean Islands. The Foreign Office informs the Embassy that according to information from the British Minister at Stockholm the Swedish Shipping Committee has offered and the Swedish Red Cross is prepared to charter one of the following ships subject to the conditions stated below:

Steamship Bothnia, 805 tons dead weight at 57 shillings 6 pence per dead weight ton per month; motor ship Wiril 1125 tons dead weight at 40 shillings per dead weight ton per month; motor ship [Page 169] Werna, 1170 tons dead weight at 40 shillings per dead weight ton per month.

The conditions are as follows:

(1) The ship is to be delivered to the charterer at Gothenburg and returned to owners at the same place; (2) The charterers are to provide and pay for bunkers and lubricants; (3) the charterers are to be guaranteed repayment, as for the eight ships already chartered.

The British Minister states that the high charter price is accounted for by the tonnage which is much smaller than in the case of the ships already chartered. He recommends that the vessel to be chartered should be selected and guarantee of repayment given as soon as possible in order that the Swedish Government may arrange for safe conduct. He states that from the point of view of the Commission one of the two ships last mentioned would be preferable.

The Foreign Office is prepared to agree to either the Wiril or Werna and has no objections to conditions (1) and (3) as stipulated. With respect to condition (2) it states that it is normal for the bunkerer to pay the cost of bunkers and lubricants; the Swedes will of course have to supply the initial bunkers and lubricants but could be allowed an equivalent increase in their quota imports. A point that will have to be taken up with the Swedes is the question of where such supplies are to come from when the ship arrives in Greek waters.

Following the precedent in the case of the eight ships already chartered the procedure is that the Greek representative in Stockholm will invite the Swedish Red Cross to charter the vessel in return for a written agreement by the Greek Government to repay the cost. The Foreign Office has already written the Greek Embassy proposing that this course be followed, subject to the views of the United States Government; it has also advised the Greek Government that the ship owner might be asked to accept the current rate of the Anglo-Swedish shipping terms which work out at a price of 30 shillings and 9 pence.

The Foreign Office desires to know whether the United States Government has any observations to make and whether it agrees to action in concert with the Greek Government as proposed.

Matthews