811.5017/12–2144: Circular telegram
The Secretary of State to Certain Diplomatic Representatives in the American Republics 46
A committee of the Inter-American Coffee Board met on December 19 with Director of Economic Stabilization Vinson, Price Administrator Bowles, Assistant Secretary of State Acheson, and several assistants of Vinson and Bowles to talk over and clarify the coffee price situation. Vinson reiterated the position of this Government, already established in the Byrnes’ meeting of November 14, to the effect that there is to be no increase in coffee price ceilings (reDepts circular telegram November 18). He pointed out that it was his job to guard against inflation and that any failure on his part in this [Page 167] connection would hare disastrous results not only here but throughout the Western Hemisphere. He also made it clear that an import subsidy for coffee is impossible.
Acheson pointed out that Vinson determines the policy on price matters and that the Department abides by his decision. It is hoped that this statement will help forestall diplomatic representations through the Department regarding coffee prices. It is also hoped that the meeting will result in a resumption of a satisfactory volume of sales.
Vinson is determined not to increase coffee price ceilings at the present time regardless of the effect on supplies.
You are authorized to bring the foregoing to the attention of government officials and members of the coffee trade.
- Sent to Brazil, Colombia, Costa Rica, Ecuador, El Salvador, Honduras, Nicaragua, Peru, and Venezuela.↩