505. Telegram From the Secretary of State to the Embassy in Paraguay 1
55. Proclamation restricting tung oil imports pursuant Section 22 Agricultural Adjustment Act expected be issued Monday September 9. Proclamation establishes global annual quota 26 million pounds divided Argentina 22,100,000 pounds, Paraguay 2,964,000 pounds and others 936,000 pounds. This division based upon exporters’ participation last four crop years ending October 31, 1956.
Restrictions cover next three crop years ending October 31, 1960, but first quota period extends from date of proclamation to October 31, 1958. During first quota period imports during approximately five months ending January 31, 1958, limited to monthly rate of 1.154 million pounds, divided 980,900 for Argentina 131,556 Paraguay and 41,544 others. In each of subsequent two crop years imports during first quarter limited to one fourth annual quota divided 5,525,000 pounds Argentina, 741,000 pounds Paraguay and 234,000 others.
Proclamation declares that imposition quotas shown by Tariff Commission investigation as necessary order that entry tung oil will not render or tend render ineffective price support program or reduce substantially amount of products processed in the US from tung nuts or tung oil.
Interested host Governments should not be advised before Monday morning September 9. Text of proclamation and press release will be air pouched.2