131. Telegram 222510 From the Department of State to Certain Diplomatic Posts, November 10, 1973, 0307Z.1 2

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TELEGRAM
Department of State
222510

P 100307Z NOV 73

FM SECSTATE WASHDC
TO RUDTC/AMEMBASSY LONDON PRIORITY RUFNPS/AMEMBASSY PARIS PRIORITY RUFHOL/AMEMBASSY BONN PRIORITY RUESPNQ/AMEMBASSY COPENHAGEN PRIORITY RUESGPQ/AMEMBASSY THE HAGUE PRIORITY ROFHBS/AMEMBASSY BRUSSELS PRIORITY RUDILN/AMEMBASSY DUBLIN PRIORITY RUFHRO/AMEMBASSY ROME PRIORITY RUFHBG/AMEMBASSY LUXEMBOURG PRIORITY RUFHBS/USMISSION EC BRUSSELS PRIORITY RUFNPS/USMISSION OECD PARIS PRIORITY RUFHGV/USMISSION GENEVA PRIORITY RUEHOT/AMEMBASSY OTTAWA PRIORITY RUEHBAC/AMEMBASSY CANBERRA PRIORITY RUESWO/AMEMBASSY TOKYO PRIORITY RUEHDT/USMISSION USUN NEW YORK PRIORITY BT

STATE 222510

ROME FOR FODAG
E.O. 11652: N/A
TAGS: EAGR

SUBJ: WORLD FOOD CONFERENCE

1. WE HAVE DEVELOPED PRELIMINARY USG POSITION ON SECRETARY KISSINGER’S PROPOSAL FOR A WORLD FOOD CONFERENCE FOR USDEL AT FAO CONFERENCE BEGINNING NOVEMBER 10. WE INTEND TO USE THIS IN FAO CONFERENCE DISCUSSIONS OF THE PROPOSAL NOW SCHEDULED TO BEGIN NOVEMBER 19. ADDRESSEE POSTS SHOULD CONVEY HIGHLIGHTS OF THIS POSITION TO HOST GOVERNMENTS EMPHASIZING ALSO OUR DESIRE TO COOPERATE CLOSELY WITH MAJOR IMPORTING AND EXPORTING COUNTRIES IN PLANNING FOR THE WFC.

2. FOLLOWING IS TEXT OF USG POSITION PAPER ON WFC FOR FAO CONFERENCE: BEGIN TEXT

PROBLEM

SECRETARY KISSINGER CALLED FOR A WORLD FOOD CONFERENCE UNDER U.N. AUSPICES AS ONE OF HIS FIRST ACTS AS SECRETARY OF STATE. THE U.S. OBJECTIVE IS TO MAKE THIS CONFERENCE A SUCCESS IN EXPANDING INTERNATIONAL COOPERATION ON FOOD ISSUES. U.S. LEADERSHIP IS REQUIRED TO STEER THE CONFERENCE AGENDA TOWARD ISSUES WHERE PROGRESS IS POSSIBLE AND AWAY FROM ITEMS WHICH WILL RESULT IN A WASTE OF TIME OR, WORSE, IN CONFRONTATION AMONG COUNTRIES WITH DIFFERING INTERESTS.

THE PROPOSAL FOR HOLDING A WORLD FOOD CONFERENCE UNDER U.N. AUSPICES IN 1974 WILL BE PUT ON THE FAO CONFERENCE AGENDA FOR DISCUSSION. FAO WILL REPORT TO THE RESUMED SESSION OF THE 55TH ECOSOC ON NOVEMBER 23. THE COMMENTS AND RECOMMENDATIONS OF THE CONFERENCE WILL HAVE AN IMPORTANT INFLUENCE ON FURTHER ACTION TAKEN AT ECOSOC AND ULTIMATELY THE 28TH GENERAL ASSEMBLY WHICH HAS PUT THE ITEM ON THE GENERAL ASSEMBLY AGENDA FOR DEBATE.

THE U.S. INTERVENTION ON THIS ITEM IS ESPECIALLY IMPORTANT. EVEN THOUGH THE IDEA OF A WORLD FOOD CONFERENCE HAS NOW BEEN ENDORSED BY DECISION OF ECOSOC, AND THE WORLD FOOD CONFERENCE WILL ULTIMATELY BECOME A U.N. SPONSORED CONFERENCE, OTHER NATIONS ARE LOOKING TO THE UNITED STATES TO TAKE THE INITIATIVE IN PROPOSING MORE SPECIFIC TERMS OF REFERENCE FOR THE WORLD FOOD CONFERENCE. AGRICULTURE SECRETARY BUTZ WILL INITIATE DISCUSSION OF THIS ITEM IN HIS OPENING SPEECH.

THROUGHOUT DISCUSSION OF THIS ITEM, THE U.S. DELEGATION SHOULD KEEP IN MIND THAT THE WORLD FOOD CONFERENCE CAN SERVE TO PREPARE A BROAD POLICY FRAMEWORK FOR DEALING WITH FOOD PROBLEMS. IN PARTICULAR THE WORLD-WIDE CONFERENCE CAN INVOLVE THE U.S.S.R., PRC AND MANY DEVELOPING COUNTRIES WHICH MAY NOT BE INVOLVED IN OTHER FORA. HOWEVER, THE MTN WILL CONTINUE TO BE THE MOST PROMISING FORUM TO WORK OUT SPECIFIC COMMITMENTS ON AGRICULTURE. IT IS ONLY IN THE MTN THAT WE CAN HOPE TO SECURE IMPROVED MARKET ACCESS FOR OUR EXPORTS, AND IT IS ONLY IN MTN THAT WE CAN BRING THE WEIGHT OF NONAGRICULTURAL NEGOTIATIONS TO BEAR ON AGRICULTURAL TRADE PROBLEMS.

UNITED STATES POSITION

PURPOSE AND SUBJECT MATTER OF THE WORLD FOOD CONFERENCE

THE DELEGATION SHOULD NOTE THAT IN THE U.S. PROPOSAL TO THE SECRETARY GENERAL OF THE U.N., WE EXPLAINED THAT THE PURPOSE OF THE WORLD FOOD CONFERENCE WOULD BE TO DISCUSS WAYS TO MAINTAIN ADEQUATE FOOD SUPPLIES IN THE FACE OR RISING DEMAND AND COMBAT HUNGER AND MALNUTRITION RESULTING FROM NATURAL DISASTERS. THE UNITED STATES BELIEVES THAT THE PRECISE AGENDA SHOULD BE WORKED OUT IN PREPARATORY MEETINGS BY INTERESTED GOVERNMENTS AND INTERNATIONAL ORGANIZATIONS AND THAT EVERY ATTEMPT SHOULD BE MADE TO FOCUS THE WORLD FOOD CONFERENCE’S ATTENTION ON FEW KEY TOPICS WHERE EARLY PROGRESS IN INTERNATIONAL COOPERATION IS POSSIBLE. TENTATIVE U.S. THINKING ON THE COMPOSITION OF AN AGENDA IS SET OUT BELOW.

(1) THE FIRST TASK OF THE CONFERENCE WILL BE TO ASSESS THE LONG-TERM DEMAND AND SUPPLY OUTLOOK FOR DIFFERENT CATEGORIES OF FOOD. IT WILL BE DESIRABLE TO TAKE A MORE SOPHISTICATED LOOK AT THE MAGNITUDES OF POTENTIAL SURPLUSES OR DEFICITS UNDER “HIGH” AND “LOW” ASSUMPTIONS FOR DEMAND AND SUPPLY THAN HAS BEEN DONE IN THE PAST. BY DEVELOPING THIS TYPE OF INFORMATION, THE INTERNATIONAL COMMUNITY CAN PLAN INTELLIGENTLY FOR SHORT TERM CONTINGENCIES AND ADJUST PRODUCTION POLICIES FOR LONG RUN BALANCE. IT IS THE U.S. BELIEF, BASED ON OUR OWN ASSESSMENT OF THE SITUATION, THAT THE WORLD MUST ANTICIPATE BOTH PERIODS OF SHORTAGES AND PERIODS OF ADEQUATE OR MORE THAN ADEQUATE SUPPLIES. IT IS THE FORMER SITUATION THAT THE WORLD FOOD CONFERENCE SHOULD FOCUS ON.

(2) AN ASSESSMENT OF THE PACE OF TECHNOLOGICAL CHANGE AFFECTING BOTH SUPPLY AND DEMAND FACTORS WILL ALSO BE CRUCIAL TO INTELLIGENT INTERNATIONAL ACTION. AS HAS BEEN ABUNDANTLY ILLUSTRATED BY THE GREEN REVOLUTION, IMPLEMENTATION OF NEW TECHNOLOGY CAN LAG SUBSTANTIALLY AS UNFORESEEN CONSTRAINTS ARE ENCOUNTERED. IT WOULD, THEREFORE, BE USEFUL TO REACH A GREATER INTERNATIONAL UNDERSTANDING OF WHAT WILL BE REQUIRED TO BREAK PRODUCTION BOTTLENECKS AND IMPROVE TECHNIQUES FOR FOOD STORAGE. ON THE DEMAND SIDE, CONSUMER ACCEPTANCE OF NEW VARIETIES OF HIGHER YIELDING CROPS AND SYNTHETIC FOODS MAY BE A GREATER CONSTRAINT THAN TECHNICAL AND ECONOMIC FEASIBILITY OF PRODUCTION. ON THE SUPPLY SIDE, WE MUST SEEK WAYS FOR DEVELOPING COUNTRIES TO IMPROVE THEIR OWN FOOD PRODUCTION AND EXPORT OPPORTUNITIES ON AN ECONOMIC BASIS FOR THOSE WHO HAVE A COMPARATIVE ADVANTAGE SO THAT DEPENDENCE ON FOOD AID IN THE FUTURE CAN BE LESSENED AND THEY ARE LESS SUBJECT TO THE VAGARIES OF CHANGES IN THE WORLD’S FOOD SUPPLY.

(3) IT IS IMPORTANT NOT TO PREJUDGE THE ISSUE OF THE SUPPLY/DEMAND BALANCE, SINCE MANY EXISTING LONG-TERM PROJECTIONS INDICATE A TENDENCY TOWARD SURPLUS IN COMMERCIAL MARKETS, RATHER THAN SHORTAGES, FOR MOST CATEGORIES OF FOOD FOR THE FORESEEABLE FUTURE. IF THE WORLD FOOD CONFERENCE AGREES ON THE NEED IN ANY CASE TO PROVIDE FOR THE CONTINGENCY OF POSSIBLE SHORTAGES, IT COULD CONSIDER WHAT PRINCIPLES MIGHT ASSURE ADEQUATE SUPPLIES OF PARTICULAR CATEGORIES OF FOOD, BOTH IN THE SHORT-TERM AND LONG-RUN.

THUS, AFTER ASSESSING THE SITUATION, THE WORLD FOOD CONFERENCE MIGHT ADDRESS:

(A) FOOD SECURITY. IF ASSURANCES ON FOOD RESERVES TO SAFEGUARD AGAINST TEMPORARY SUPPLY SHORTFALLS IS JUDGED TO BE A CRUCIAL ISSUE, THE WORLD FOOD CONFERENCE MIGHT CONSIDER VARIATIONS OF THE CURRENT FAO PROPOSAL FOR THE MAINTENANCE OF FOOD STOCKS. IT SHOULD DEAL WITH THE MUTUAL RESPONSIBILITIES OF ALL COUNTRIES, IMPORTING AND EXPORTING, DEVELOPED AND DEVELOPING, MARKET ECONOMIES AND CENTRALLY PLANNED, IN CONTRIBUTING TO MAINTENANCE OF ADEQUATE STOCKS. ASSISTANCE SHOULD BE PROVIDED LDCS IN SUCH AREAS AS CONSERVATION AND STORAGE. THE ROLE OF INDEPENDENTLY-HELD COMMERCIAL (PRIVATE) STOCKS AS AN IMPORTANT PART OF FOOD RESERVES SHOULD BE STRESSED. THE OBJECTIVE MIGHT BE THE DEVELOPMENT OF A SET OF PRINCIPLES ON GRAIN STOCKS. THE U.S. DELEGATION SHOULD MAKE CLEAR THAT THE U.S. DOES NOT INTEND TO CARRY RESERVES FOR THE WHOLE WORLD AGAIN.

IN DISCUSSIONS OF FOOD AID THE MUTUAL RESPONSIBILITIES OF ALL COUNTRIES SHOULD BE STRESSED. ALL AID-GIVING COUNTRIES SHOULD CONTRIBUTE TO FOOD AID AND INTERNATIONAL COORDINATION OF FOOD AID SHOULD BE STRENGTHENED. GUIDELINES FOR THE RECIPIENTS AS WELL AS THE PROVIDERS OF FOOD AID SHOULD BE DEVELOPED. IT IS PARTICULARLY IMPORTANT THAT THE AVAILABILITY OF FOOD AID DOES NOT DISCOURAGE EFFICIENT PRODUCTION IN DEVELOPING COUNTRIES. DEVELOPING COUNTRIES SHOULD BE DISCOURAGED FROM PRACTICES, INCLUDING SUCH INDIRECT MEASURES AS OVERVALUED EXCHANGE RATES, OF KEEPING PRICES LOW TO THEIR FARMERS.

(B) IMPROVED DISASTER RELIEF COORDINATION. BETTER INTERNATIONAL COORDINATION OF DISASTER RELIEF IS NEEDED. SUCH COORDINATION SHOULD COVER NOT ONLY THE IMMEDIATE DISASTER PERIOD BUT ALSO RECOVERY FROM THE DISASTER AND, WHERE APPROPRIATE, ACTION TO THE PREVENT AVOIDABLE DISASTERS.

(C) ASSISTANCE TO DEVELOPING COUNTRIES. DISCUSSION AND ACTIONS ON THE WHOLE RANGE OF ASSISTANCE FOR AGRICULTURAL DEVELOPMENT WILL OBVIOUSLY BE AN IMPORTANT PART OF THE WORLD FOOD CONFERENCE, ALTHOUGH WE SHOULD TRY TO AVOID THEIR BECOMING ONE OF THE MAJOR CENTERPIECES BECAUSE OF THE DIVERSITY AND COMPLEXITY OF ISSUES IN THE FIELD. (IT IS POSSIBLE THAT THE CONFERENCE MIGHT ADDRESS POPULATION AS A SEPARATE ISSUE ALTHOUGH WE WOULD PREFER THAT PRINCIPAL DISCUSSION ON THIS ISSUE BE FOCUSED IN THE WORLD POPULATION CONFERENCE IN AUGUST, 1974.)

(4) THE U.S. DELEGATION SHOULD ALSO EMPHASIZE THAT THE U.S. PROPOSAL FOR A WORLD FOOD CONFERENCE IS FULLY CONSISTENT WITH THE MULTILATERAL TRADE NEGOTIATIONS NOW JUST BEGINNING. WE BELIEVE THAT THEY ARE COMPLEMENTARY; THE QUESTIONS OF TRADE AND FOOD BALANCES ARE HIGHLY INTERLINKED. THE WORLD FOOD CONFERENCE IS INTENDED TO FOCUS ON PRINCIPLES FOR GOVERNMENTAL ACTIONS ON WORLD FOOD SECURITY, INCLUDING STOCKS AND FOOD AID, WHICH APPLY TO ALL COUNTRIES AND TO DEFINE THE MUTUAL RESPONSIBILITIES OF COUNTRIES AT DIFFERENT STAGES OF DEVELOPMENT. DISCUSSIONS IN A U.N. FORUM WILL BE LIMITED TO GENERAL PRINCIPLES, NOT DETAILED NEGOTIATIONS OF SPECIFIC COMMITMENTS. THE INTENT OF THE MULTILATERAL TRADE NEGOTIATIONS IN GATT IS TO REACH AGREEMENT ON SPECIFIC COMMITMENTS BY COUNTRIES ON ADJUSTMENTS IN THE FUTURE WORLD TRADING ORDER; THESE MAY OF COURSE INCLUDE MECHANISMS FOR TURNING THE GENERAL PRINCIPLES INTO SPECIFIC COMMITMENTS ON SUCH ISSUES AS STOCKPILING AND FOOD AID.

MATTERS OF PROCEDURE AND PARTICIPATION

(5) THE UNITED STATES BELIEVES THAT THE KEY TO THE SUCCESS OF THE WORLD FOOD CONFERENCE WILL BE THE WORK OF AN INTERGOVERNMENTAL PREPARATORY COMMITTEE IN DECIDING WHICH OF THE ABOVE (OR OTHER) BASIC ISSUES ARE MOST IMPORTANT, AND IN DEVELOPING OR SELECTING PROPOSALS FOR PRINCIPLES TO BE CONSIDERED BY THE WORLD FOOD CONFERENCE. THE COMMITTEE SHOULD HAVE A SECRETARY GENERAL AND STAFF APPOINTED BY THE SECRETARY GENERAL OF THE UNITED NATIONS.

(6) THE U.S. FAVORS THE WIDEST POSSIBLE GOVERNMENTAL PARTICIPATION INCLUDING THE SOVIET UNION AND OTHER NON-FAO MEMBERS SINCE FOOD PROBLEMS ARE WORLD-WIDE AND THE ACTION OF ANY ONE LARGE EXPORTING OR IMPORTING COUNTRY CAN AFFECT THE WORLD. THE MOST PRESSING HUMAN PROBLEM IS THAT OF PERIODS OF FOOD DEFICIENCY IN MANY COUNTRIES SO THAT THE ACTIVE PARTICIPATION OF THESE COUNTRIES IS ALSO CRUCIAL TO THE SUCCESS OF ANY FOOD SECURITY SCHEME. THE U.S. BELIEVES THAT THE TIME HAS COME WHERE RESPONSIBILITY FOR ASSURANCE THAT ALL THE PEOPLES OF THE WORLD ARE FED, LIES WITH ALL THE MEMBERS OF THE WORLD COMMUNITY NOT ONLY A FEW NATIONS. IT BELIEVES THAT OVER RELIANCE ON A FEW PRINCIPAL SUPPLIERS MAY HAVE INHIBITED THE WORLD-WIDE DEVELOPMENT OF PRODUCTIVE CAPACITY IN NEEDY COUNTRIES AND THE DEVELOPMENT AND FINANCING OF FOOD AID DELIVERY SYSTEMS BY OTHER COUNTRIES OR GROUPS OF COUNTRIES.

(7) THE DELEGATION SHOULD STATE THAT WHILE THE UNITED STATES HAS PROPOSED THAT THIS CONFERENCE BE HELD, THE DECISION OF THE 55TH ECOSOC AND THE PROBABLE ADOPTION OF A RESOLUTION BY THE 28TH GA PLACES THE DECISION ON ALL MAJOR ASPECTS OF THE CONFERENCE ON THE U.N. MEMBERSHIP. THE U.S. IS INTERESTED, THEREFORE, IN THE VIEWS OF OTHER COUNTRIES AND URGES THEM TO CONSIDER WHAT WAYS THE PROPOSED CONFERENCE CAN BEST SERVE THE BASIC OBJECTIVES DESCRIBED ABOVE.

(8) THE DELEGATION SHOULD STATE THAT THE VIEWS OF THE FAO 17TH CONFERENCE WILL BE PARTICULARLY IMPORTANT TO THE SUCCESS OF THE WORLD FOOD CONFERENCE AND THAT THE WORLD FOOD CONFERENCE WILL, THEREFORE, HAVE TO PLACE ESPECIALLY HEAVY RELIANCE ON THE FAO ALTHOUGH IT WILL BE DRAWING ON THE PARTICIPATION AND EXPERTISE OF OTHER AGENCIES OF THE U.N. SYSTEM AND U.N. MEMBERS. IT WILL BE IN KEEPING WITH THE INTEREST THEN, BOTH OF THE CONFERENCE MEMBERSHIP AND OF THE PARTICIPANTS OF THE WORLD FOOD CONFERENCE, THAT THE CONFERENCE GIVE APPROPRIATE RECOGNITION TO THE FAO’S ROLE WITH REGARD TO SUBSTANCE AND TO ADMINISTRATIVE AND FINANCIAL CONSIDERATIONS.

(9) WITH REGARD TO COSTS, THE UNITED STATES EXPECTS THAT PREPARATORY COSTS WOULD BE MET BY AGENCIES INVOLVED, PARTICULARLY THE FAO. COSTS OF HOLDING THE WORLD FOOD CONFERENCE ITSELF WOULD BE PAID BY THE U.N.

(10) SUGGESTED TERMS OF REFERENCE WHICH THE DELEGATION MAY STATE ARE CITED IN THE DISCUSSION SECTION.

PROPOSED TERMS OF REFERENCE FOR A WORLD FOOD CONFERENCE UNDER U.N. AUSPICES

IT IS PROPOSED:

THAT THE UNITED NATIONS SPONSOR THE HOLDING OF A WORLD FOOD CONFERENCE IN NOVEMBER 1974;

THAT THIS CONFERENCE BE AN INTERGOVERNMENTAL CONFERENCE TO BE HELD AT THE MINISTERIAL LEVEL;

THAT THE CONFERENCE BE HELD FOR A PERIOD OF TWO WEEKS, PREFERABLY AT ROME, WHICH WE CONSIDER THE MOST APPROPRIATE SITE FOR A U.N. CONFERENCE ON THE SUBJECT OF FOOD AND AGRICULTURE;

THAT THE CONFERENCE BE HELD FOR THE FOLLOWING PURPOSES:

1. TO IMPROVE WORLDWIDE COOPERATION IN MAINTAINING ADEQUATE FOOD SUPPLIES; THAT TOWARD THIS END MEMBER NATIONS CONSIDER:

A. DETERMINATION OF LONG-TERM WORLD FOOD AND NUTRITION REQUIREMENTS; DETERMINATION OF LONG-TERM PRODUCTION REQUIREMENTS; DETERMINATION OF LIKELY YEARLY FLUCTUATION IN PRODUCTION AND THE LEVEL OF STOCKS DESIRABLE TO AVOID CRITICAL FOOD SHORTAGES IN A PREDICTABLE SERIES OF BAD PRODUCTION YEARS;

B. THE DEVELOPMENT OF AN IMPROVED INFORMATIONAL SYSTEM TO PROVIDE EARLY WARNING OF POTENTIAL FOOD SHORTAGES;

C. THE NATURE OF MUTUAL RESPONSIBILITIES FOR STOCKHOLDING INCLUDING THE RESPONSIBILITIES OF EXPORTERS, IMPORTERS, DEVELOPED COUNTRIES, DEVELOPING COUNTRIES, CENTRALLY PLANNED AND FREE MARKET ECONOMIES;

D. THE ROLE OF STOCKS; REQUIREMENTS FOR TECHNICAL AND CAPITAL ASSISTANCE ON STOCKS IN DEVELOPING COUNTRIES;

E. THE POSSIBILITY OF AGREEMENT ON SEVERAL PRINCIPLES COVERING THE RESPONSIBILITIES OF EACH GROUP OF COUNTRIES;

2. TO EXPLORE THE MUTUAL RESPONSIBILITIES INVOLVED IN FOOD AID:

A. ASSURANCE THAT FOOD AID DOES NOT DISCOURAGE LDC EFFORTS TO MAXIMIZE THEIR EFFICIENT PRODUCTION;

B. MUTUAL RESPONSIBILITY OF ALL AID-GIVING NATIONS FOR FOOD AID;

C. IMPROVED INTERNATIONAL COORDINATION OF FOOD AID; PRINCIPLES FOR FOOD AID DONORS AND RECIPIENTS.

3. TO IMPROVE COORDINATION OF DISASTER RELIEF EFFORTS:

A. COORDINATION FOR MEETING IMMEDIATE DISASTER EFFECTS;

B. COORDINATION FOR LONGER TERM RECOVERY;

C. INTERNATIONAL COORDINATION ON MEANS TO AVOID DISASTERS;

D. SOURCES OF FOOD AND OTHER COMMODITIES REQUIRED FOR DISASTER RELIEF; PREPOSITIONING; PRE-FUNDING.

THAT A PREPARATORY COMMITTEE BE ESTABLISHED AT THE EARLIEST POSSIBLE MOMENT TO WORK OUT A PRECISE AGENDA. END TEXT. RUSH

  1. Source: National Archives, RG 59, USUN Files: Lot 84–83–0001, AGR 15–3, Food Conference, 1973. Limited Official Use; Priority. Drafted by Boerner; cleared in USDA, STR, IO, CIEP, Department of Treasury, EUR/RPE, EB/OT/TA, and NSC; and approved by Katz. Sent to London, Paris, Bonn, Copenhagen, the Hague, Brussels, Dublin, Rome for FODAG, Luxembourg, the Mission to the EC in Brussels, the Mission to the OECD in Paris, the Mission to the U.N. in Geneva, Ottawa, Canberra, Tokyo, and USUN.
  2. The telegram outlined the current state of U.S. thinking about matters pertaining to the proposed World Food Conference.