Foreign Relations of the United States: Diplomatic Papers, 1943, The American Republics, Volume VI

816.6363/83

The Chargé in El Salvador ( Gade ) to the Secretary of State

[Extract]

No. 692

San Salvador , August 25, 1943.
[Received September 1.]

Sir: I have the honor to refer to the Department’s airgram No. 326 of July 26, 1943³⁷ and to detail the results of a re-examination of the requirements of El Salvador for petroleum products for all agencies, firms and individuals now being supplied on an essential basis.

As announced by the Department’s circular airgram of July 20, 1943,³⁷ Mr. L. H. Nuland arrived in El Salvador on August 18th. The files of this Embassy were made available to him and he was given all possible information and assistance. His first two days were taken up by a general study of the petroleum situation and in interviews with various officials and other individuals interested in the petroleum problem. At the suggestion of this Embassy and with Mr. Nuland’s concurrence, Mr. W. W. Renwick, president of the Committee of Economic Coordination then called a meeting of the members of the local pool Committee, the local rationing board and the Committee of Economic Coordination. An officer of the Embassy was present as an observer.

Mr. Nuland first outlined the petroleum situation and the necessity for a re-examination and re-scheduling of the essential petroleum requirements. The meeting was then opened to discussion and each essential category was taken up. The following recalculation by categories of operations and uses was arrived at:

El Salvador Estimated Requirements

Petroleum Essentials

	Aviation Gasoline	Motor Gasoline	Refined Oil	Gas Oil	Fuel Oil	Totals
Military	1,400	1,600	—		—	3,000
Commercial Airlines	*3,500	300	—	—	—	3,800
Bunkers	—	—	—	200	†	200
Pan American Highway	—	6,000	—	—	—	6,000
Coffee Industry	‡	997	—	759	—	1,756
I.R.C.A.	—	300	—	500	120,876	121,676
Sisal	—	100	—	800	—	900
Civilian Aviation	—	42	—		—	42
Rubber Production	—	36	—	—	—	36
Roselle Production	—	246	—	—	—	246
Cotton Production	—	—	—	§1,000	—	1,000
Global Allotment	–	1,386	║300	2,882	—	4,568
Serial Number Mines	—	—	—	¶2,476	—	2,476

The above new proposed schedule may be compared with the schedule given in the Department’s airgram No. 326 of July 26, 1943. The following explanatory comments cover only those points wherein the above schedule differs from the original schedule.

. . . . . . . . . . . . . .

Conclusion

Mr. Nuland thought that an ample investigation had been made and that this new schedule, subject to the determination at a later date of the estimate of requirements for the coffee industry for the coming season, represented as just and equitable a scheduling of El Salvador’s requirements for petroleum products in the essential categories as could be arrived at in the light of past performance and anticipation of future needs. This Embassy concurs and it is recommended that the new schedule be set up in as close conformity with this proposal as possible.

Mr. Nuland’s efficient and effective work during his short stay in El Salvador is particularly to be commended and this Embassy has greatly appreciated his assistance and cooperation.

Respectfully yours,

Gerhard Gade

37. Not printed.
37. Not printed.
38. Excludes U.S. Navy. [Footnotes in the original.]
39. Any emergency requirements can be met temporarily from Railway Company Supplies.
40. For months April–October when 1943/1944 coffee crop estimate will be submitted on basis of 1942/1943 consumption figures.
41. July 1 to December 31, 1943.
42. Last six months of year.
43. May 1st 1943–December 31st 1943.