837.5018/71: Airgram

The Secretary of State to the Ambassador in Cuba (Braden)

A–78. Reference is made to your despatch no. 5536 of December 28, 194366 transmitting a copy of a communication dated December 23, 1943 from the Minister of State and its enclosure67 relative to the 1944 price stabilization proposal on basic foodstuffs.68

Since the price stabilization plan, which was so successful in 1943, formed a part of the basic framework of the 1944 sugar negotiations and contract between agencies of the two Governments,69 this Government considers it highly desirable that a mutually satisfactory agreement be reached for a continuation of the plan.

The United States Government is aware of the problem facing Cuban importers with respect to rice, and it wishes to inform the Cuban Government that it is making every possible effort to assure Cuban buyers an opportunity to contract for the amount of rice allocated by the Combined Food Board.70 Plans toward that end are being considered at the present time, and the Cuban Government will be kept informed of developments. Meanwhile, the competent agencies in Washington are of the opinion that no ceiling price increase in rice should be put into effect.

Recent increases in ceiling prices of milk and black beans have been noted. Since these products were included in the list mentioned in your note no. 1155 of October 25, 194371 to the Minister of State and were likewise included in the group of products subject to effective price control by the Cuban Government during 1943, it is the hope of this Government that any further increases in ceiling prices of these articles and others on the list will be discussed by the Cuban Government with you and the interested agencies here before definitive action is taken.

[Page 920]

You are requested to inform at once the appropriate Cuban officials of the foregoing and to seek a definitive, favorable reply to your note no. 1155 of October 25.

Hull
  1. Ibid., p. 221.
  2. Note 3728 from Minister of State Emeterio S. Santovenia and its enclosure not printed.
  3. For terms of the proposal presented in August 1943, see despatch 1155, October 23, 1943, from Habana, Foreign Relations, 1943, vol. vi, p. 217.
  4. For summary of 1944 crop contract, see bracketed note, ibid., p. 175.
  5. A council composed of one member each from the United States, Great Britain, and Canada, under the Chairmanship of Secretary of Agriculture Claude R. Wickard.
  6. Foreign Relations, 1943, vol. vi, p. 217.