832.24/9–1544
The Ambassador in Brazil (Caffery) to the Secretary of State
[Received September 23.]
Sir: I have the honor to report that President Vargas told me last evening that he is very much worried about the transportation and communications situation in Brazil. He said Brazil badly needs more gasoline and more coal. The railway equipment situation is more than critical, he said. If the railroads do not receive equipment soon from the United States, most of them will break down completely. He said that Brazil urgently needs some merchant ships and that he ardently hopes that our shipyards will be able to undertake the construction of some ships for Brazil at an early date. He asked me particularly to bring this to the attention of the higher authorities at Washington.
President Vargas added that Mr. Walder Sarmanho, Economic Counselor of the Brazilian Embassy at Washington, will at an early date leave for the United States with full details in all this connection.
President Vargas handed me a memorandum on the shipping situation, a copy and translation of which I transmit herewith.9
Respectfully yours,
- Not printed.↩