835.50/139: Telegram
The Acting Secretary of State to the Ambassador in Argentina (Armour)
413. The Department and other interested agencies are reexamining our economic policy toward Argentina in the light of recent developments. [Page 413] It now appears possible that there is sufficient beef in the United States to supply British demands for a period of approximately 6 months and it may, therefore, be possible for the United States and the United Kingdom to cut off all imports including beef from Argentina. You may wish to review the programs outlined in your 105, January 13, 3 p.m.98 in the light of this information. Please send your comments or suggestions regarding economic policy to be followed.
With respect to the possibility of cutting off food exports from Argentina to the United States and the United Kingdom, does the Embassy envisage any important disadvantages arising out of the divergence of these exports to other Latin American countries or the Union of South Africa? What, if any, British and United States purchases would have to continue because of existing contracts?
With reference to eliminating certificate of necessity system, FEA is prepared to institute plan proposed in your telegram 590 of February 29, 10 p.m. with single exception that it may be necessary to send you extracts of applications rather than applications themselves. Please advise if and when you think advisable to institute plan.
This telegram should not be construed to imply that the Department has reached a decision with regard to the import and export policy. The Embassy’s suggestions are requested in order to assist exploratory studies now in process.