837.61351/4444: Telegram

The Secretary of State to the Ambassador in Cuba (Braden)

998. Reference is made to your despatch no. 5215 of November 22, 1943, transmitting the memorandum of November 2231 with regard to molasses negotiations, etc.

After careful consideration of the memorandum of the Cuban Government, this Government is prepared to renew discussions immediately on the basis of the following points, which are thought to be of major importance to the United States and Cuban Governments in their joint prosecution of the war:

(1)
In view of the close relationship between the production of invert molasses and the size of the 1944 Cuban sugar crop, this Government contemplates the inclusion of discussion relative to size of the crop in the renewed negotiations, which determination will be reached by Institute and Commodity Credit Corporation representatives under the terms of the 1944 Sugar Purchase Contract (Mr. Earl Wilson will represent Commodity).
(2)
Other products derived from sugar should likewise be considered, such as:
a.
It is the intention of this Government to request the production of not less than 1,000,000 nor more than 1,500,000 short tons of sugar in the form of invert.
b.
Determination of the quantity and price of blackstrap available for export.
c.
The purchase and price of all surplus industrial alcohol fulfilling specifications available for export.
(3)
While this Government is at all times ready to discuss matters affecting the long term economic relations of the two countries such as alcohol, the Cuban proposal for a permanent alcohol quota in the United States does not appear to lend itself to the present negotiations, since it does not concern the war agencies interested in sugar, molasses and alcohol procurement for 1944.
The Cuban proposal is one involving permanent trade relations of the two countries and any action which this Government might be able to take would be subject to the policy of the reciprocal trade agreement program.
(4)
On the successful conclusion of the negotiations for molasses and alcohol it may prove unnecessary for either Government to establish further control of Cuban beverage alcohol production, exportation, or importation. The complexity of the present situation precludes any commitment on this point.
(5)
While the wish of the Cuban Government to renew discussions in Habana has been most carefully considered, the interested agencies of this Government are hopeful that it may be possible for the Cuban Delegation to return to Washington for this purpose. In this connection, the scope of the various problems under discussion and the number of United States Governmental agencies involved appear to make it more practicable for negotiations to be carried on here. The assistance and cooperation of the Government of Cuba in this regard are earnestly sought. The Department is confident that you will make every effort to secure a favorable decision in this connection.

You are authorized to present the foregoing views to the appropriate Cuban authorities, urging their prompt consideration, in view of the importance of this problem to the prosecution of the war.

Hull
  1. Neither printed.