501.BD Asia/10–448
The Acting Political Adviser in Japan (Sebald) to the Secretary of State
No. 653
[Received October 15.]
Sir: I have the honor to enclose1 copies of a memorandum of September 29, 1948 for General Marquat, Chief of the Economic and [Page 1032] Scientific Section of this Headquarters on the subject of “Report on ECAFE Mission to Japan, 22–29 Sept 1948” prepared by Mr. Emerson Ross, Deputy Executive Secretary of ECAFE and former Advisor to General Marquat.
In addition to Mr. Ross, the Mission consisted of Dr. Shih, of China’s National Resources Commission and Chairman of ECAFE’s Industrial Development Working Party, Mr. Sen, of India’s Ministry of Agriculture and Chairman of ECAFE’s Agricultural Requisites Committee, and Mr. Lin, Vice Minister of China’s Ministry of Agriculture and fertilizer expert.
The Mission was primarily concerned with the problem of developing and expanding complementary trade relations between Japan and the various Far Eastern nations. A request was submitted to this Headquarters for an estimate of Japan’s import requirements for the next five years together with a request for an indication of Japan’s capacity to produce certain capital goods items and an indication of what quantity might be available for export in each instance. In this connection, reference is made to the problem of financing Japan’s production of capital goods since, Mr. Ross states, the requirements of Far Eastern nations for such goods will exceed in value the industrial raw materials which these countries can ship to Japan for the production of these goods. Mr. Ross suggests that this problem could be met in part by shipments of food to Japan provided the political influence of the member governments of ECAFE is strong enough to overcome the unwillingness of the IEFC to approve foodstuff allocations to Japan. The suggestion is also made that the financing problem could be met in part by International Bank, Export-Import, or private bank loans to Far Eastern nations.
In this relation, the importance is stressed of permitting Japanese technicians to go abroad as well as permitting nationals of other countries to come to Japan in order to receive training in Japanese factories. Pending a final decision by the Far Eastern Commission on this matter, there is nothing to prevent such activities at present, Mr. Ross states, and he expresses the hope that this Headquarters will develop procedures for carrying out such a technical training program. By way of illustration, reference is made in the enclosed memorandum to the proposed establishment and operation of a paper factory in Canton by some twenty Japanese technicians.
With respect to paragraph 6 of the enclosed memorandum, plans and procedures for handling ECAFE representatives, as well as members of other United Nations organizations while in Japan, are being prepared by this Headquarters.
Respectfully yours,
- Enclosure not printed.↩