811.20 Defense (M) Ecuador/169: Telegram

The Ambassador in Ecuador (Scotten) to the Secretary of State

528. Reference Department’s 416, May 29, 9 p.m.17 After July 1 the Ecuadoran Development Corporation will commence acting as sole purchaser of cinchona bark. Authority is requested for Fomento18 to purchase for its own account any bark of less than 2% rejected by Defense Supplies,19 such bark to be sold to Argentina or other foreign buyer. This would make complete control effective. The agreement provides for free sale of bark not purchased in behalf of Defense Supplies.

Scotten
  1. Not printed.
  2. Corporación Ecuatoriana de Fomento.
  3. United States representatives were authorized to purchase, at 10 cents a pound, cinchona having alkaloids of 2% or above.