891.00/1944: Telegram
The Secretary of State to the Minister in Iran (Dreyfus)
327. Your 375, November 14. We are asking Foreign Office London and Indian Government New Delhi to give urgent consideration to immediate shipment wheat from India or Middle East rather than more distant loading areas. Could you not arrange through Frederick Winant for temporary loan of wheat from so-called “MESC wheat pool”?
Department considers it unwise, from standpoint of general policy, to attempt shipment without British concurrence. Furthermore, such action would seem impracticable, since all possible sources in Middle East and India are under direct or indirect British control and British authorities, as we understand it, control priorities in handling of cargo in Iranian ports and within Iran.
Reference Department’s 320, November 13,73 Foreign Office has expressed its agreement with Department’s views on currency commission and approves inclusion of Millspaugh and Banque Mellie adviser. It feels, however, that exact composition of commission should be worked out with Iranian authorities by you and British Minister. Foreign Office further considers that manner of vesting full control of currency in commission is matter for Iranians to decide in accordance with established Iranian procedure.
Please advise present status of negotiations with respect to currency issue and wheat declaration. What is exact nature of assurance British Minister is seeking with respect to rials? Is he still asking concessions with respect to other matters as well?
In conversation with British Embassy here November 17, Department strongly expressed view that force should be used to secure currency supplies only as last resort. Rather than use force, we [Page 202] would prefer to issue wheat declaration without any conditions whatever, if by so doing there were a reasonable prospect of obtaining even a temporary supply of rials and improving general internal situation.