814.00–TA/10–1150

The Secretary of State to the Embassy in Guatemala

restricted

No. 39

The Secretary of State refers to the Department’s circular telegram of September 8, 19501 and to its telegram No. 73 of September 8, 19502 regarding the Technical Assistance Program.

As the Embassy is aware, because of special conditions affecting Guatemalan-US relations at this time, it is the Department’s policy in general to continue existing cooperative technical assistance programs in Guatemala at their present level but not to authorize expansion of their activities nor enter into new programs. Because of this special circumstance, the Embassy is not being authorized at this time, as are the other missions in Latin America, to initiate conversations with Guatemalan authorities on the subject of the develment of an integrated technical assistance program. However, in order that the Embassy may be kept fully informed of developments in the Point IV Program and for possible future reference should present circumstances alter substantially to permit an expanded technical assistance program in Guatemala, there is enclosed a draft3 of an instruction, with enclosures, similar to those sent to other missions in Latin America. The draft has been tailored to correspond to the actual situation with respect to Guatemala.

It will be noted from the enclosed draft instruction that there has been set aside the sum of $55,000 for the remainder of fiscal 1951 for possible use in Guatemala. Although the Embassy is not being authorized to discuss the use of this sum with officials of the Guatemalan Government, the allocation has been made to give a certain amount of flexibility to the Department’s policy. The sum will be available as a reserve contingency for fiscal 1951 should the situation with respect to Guatemala change so as to permit a Point IV program and may also be drawn upon for emergency technical assistance projects which may arise from time to time and which the Embassy may consider to be particularly meritorious, i.e., the recent assignment of an expert, in connection with work being done by the Agricultural [Page 918] Mission in Guatemala, to advise on emergency methods of drying corn.

With reference to the $300,000 allocated for lower priority projects,4 obviously no plans can be made for expenditure of this sum, should it become available, until such time as the overall situation with respect to US relations with Guatemala changes and the Embassy is able to discuss the matter of an integrated technical assistance program with the Guatemalan Government. Should such a change take place and a favorable atmosphere for development of a Point IV Program be created, appropriate instructions will be issued at that time by the Department.

There are enclosed for the Embassy’s information various memoranda and other documents concerned with the Point IV Program in Guatemala.

  1. In a circular telegram sent 6 a. m. that day, the Department notified American diplomatic officers in the American Republics in part that approval of Point IV appropriations for fiscal 1951 enabled it to proceed with bilateral technical aid programs and that the matter could be discussed with interested governments. (820.00–TA/9–850)

    For further information regarding technical assistance to the American Republics, see pp. 672 ff.

  2. In this telegram the Department referred to the telegram mentioned in the preceding footnote and instructed the Embassy not to initiate any discussion at that time with the Guatemalan Government (814.00–TA/9–850)
  3. Not printed.
  4. The draft instruction mentioned in the text stated in part that the Department had proposed lower priority projects totalling $7 million per year for the American Republics and that the Embassy in Guatemala was requested to submit projects aggregating $300,000 annually under this program, for which there was no assurance of funding in fiscal 1951.