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Full text of "Department of State bulletin"

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MOSCOW MEETING OF THE COUNCIL OF FOREIGN 

MINISTERS • Statementahy the Secretary oj State: 

Procedure for Preparation of German Peace Treaty . 
Reparations Received by the United States 



CONGRESSIONAL HEARINGS ON TRADE AGREE- 
MENTS ACT • Statement by Under Secretary Clayton . 

INTERNATIONAL BROADCASTING FOUNDATION 

OF THE U.S. • Proposal by the Department of State . . 

TWO ILO INDUSTRIAL COMMITTEES MEET IN 

BELGIUM • Article by Murray Ross ........ 



607 
609 

627 

618 

613 



for complete contents see back cover 



Vol. XVI, No. 405 
April 6, 1947 







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o/^iate bulletin 



Vol. XVI, No. 405 • Publication 2791 
April 6,1947 



For sale by the Superintendent of Documents 

U. S. Government Printing OflSce 

Washington 25, D. C. 

Sobsceiption: 
C2 issues, $5.00; single copy, 15 cents 

Published with the approval of the 
Director of the Bureau of the Budget 

Notp: Contents of this publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of the Department 
OF State Bulletin as the source will be 
appreciated 



The Department of State BULLETIN, 
a weekly publication compiled and 
edited in the Division of Publications, 
Office of Public Affairs, provides the 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the work of the De- 
partment of State and the Foreign 
Service. The BULLETIN includes 
press releases on foreign policy issued 
by the White House and the Depart- 
ment, and statements and addresses 
made by the President and by the 
Secretary of State and other officers 
of the Department, as well as special 
articles on various phases of inter- 
natioruil affairs and the functions of 
the Department. Information con- 
cerning treaties and international 
agreements to which the United States 
is or may become a party and treaties 
of general international interest is 
included. 

Publications of the Department, cu- 
mulative lists of which are published 
at the end of each quarter, as tcell as 
legislative material in thefield of inter- 
national relations, are listed currently. 



COUNCIL OF FOREIGN MINISTERS 



Moscow Meeting of the Council of Foreign Ministers: 
Procedure for Preparation of German Peace Treaty 



STATEMENTS BY THE SECRETARY OF STATE 



U. S. Position on Peace Conference > 

The American Deputy refrained from taking a 
position on the peace conference. He did so not 
Ijecause the United States is not wholeheartedly 
in favor of a peace conference, but because we 
thought this matter required the attention of the 
Ministers. 

It is the view of the United States that this 
Coimcil with China as a member should invite all 
states at war with Germany to a peace conference 
to consider the draft of the peace settlement as 
soon as its preparation is sufficiently advanced. 
It is our view that all these states should be ac- 
corded full and equal rights as members of the 
conference. At the close of the conference the 
four members of the Council of Foreign Ministers 
which prepared the preliminary text of the peace 
settlement should, we think, draft the final text 
of the settlement on the basis of the recommenda- 
tions of the peace conference which are supported 
by a two-thirds vote of those present and voting 
at the conference, taking into consideration the 
other recommendations which are supported by 
a majority of those present and voting at the con- 
ference. The final text of the peace settlement 
when completed should be submitted for signature 
by all the states at war with Germany. Respon- 
sible representatives of Germany should be given 
the opportunity to present their views to the con- 
ference. Since, however, the Allies required the 
imconditional surrender of Germany, particular 
officials should not, in our opinion, be obliged to 
take upon themselves the burden of signing the 
settlement or voting for its ratification. 

We have suggested that the Allies should re- 
quire the German Constitution to contain a clause 
which clearly provides that all powers thereunder 
shall be exercised subject to and in accordance 

April 6, 1947 



with the peace settlement that may be agreed upon 
by and between the Allies. If our view prevails, 
when the Germans accept the Constitution, they 
will be obliged thereby to accept the peace settle- 
ment. Then the German people, and not particular 
officials or parties, become responsible for the ac- 
ceptance of the Constitution and the peace settle- 
ment or statute. 



Association of Allies With Council of 
Foreign Ministers' 

Wliile for practical reasons it may be imprac- 
ticable to grant to all the Allies the same degree 
of participation at every stage, the United States 
hopes that all states at war, large and small, wiU be 
granted some degree of participation at all stages. 

The United States supports the view that the 
cooperation of the Allies in the making of the 
peace should not be less extensive than their co- 
operation in the war. No state that contributed to 
victory should be denied a voice in the peace. For 
that reason we welcomed the French proposal for 
the setting up of an information and consultation 
conference to provide the Allied states with the cur- 
rent documentation of the work of the Council, the 
Deputies, and the committees, and to afford them 
the opportunity to comment and offer suggestions 
on the work of the settlement as it progresses. 



' Made on Mar. 25, 1947, and released to the press In 
Moscow on the same date, and in Washington on Mar. 28. 

' Made on Mar. 25, 1947, during discussion of how best 
to associate with the Council of Foreign Ministers, in work- 
ing out a just and lasting German settlement, the Allies 
who joined In the common struggle against Germany; 
released to the press in Moscow on Mar. 25, and In 
Washington on Mar. 20. 

607 



i 



COUNCIL OF rORBIGN MINISTERS 

There would be no voting in this body : it would 
provide a channel to keep the Allied states informed 
of the work of the Council and the Council in- 
formed of the views of the Allied states. In view 
of the character of the proposed information and 
consultation conference, we see no reason why it 
should not include all the states at war with Ger- 
many, and we so urge. A number of states which 
declared war against Germany did not contribute 
armed forces because they were told that they 
could contribute more effectively in other ways. 
We do not believe that they should be penalized for 
taking our advice. 

Support of Committees and Conference for 
Allied States 3 

I should like to refer at this time to what I said 
yesterday — that the "Allied states" should specifi- 
cally include all states at war with Germany. The 
United States has consistently supported the par- 
ticipation in the making of peace with Germany by 
those states which helped win the war. We want 
that participation to be as broad and dignified as 
circumstances permit. 

In accordance with our belief we agree to the 
organization of four permanent committees with 
subcommittees as well as to an information and 
consultation conference. We insist that these 
Allied states who have participated in the winning 
of the war, whether they be large or small, should 
share at least in some degree the honor as well as 
the responsibility for this work. I stress the word 
responsibility because I find it of importance that 
states associated with the United States in the 
winning of the war should shoulder responsibility 
for the maintenance of the peace. 

I am naturally concerned that our allies in the 
Western Hemisphere should be recognized. They 
cooperated loyally and often adapted themselves to 
our views as to the manner of their participation in 
the waging of the war. Just as most men prefer 
active combat posts in wartime, Mexico, for ex- 
ample, urgently desired to send an expeditionary 
force. We recommended against it for logistical 
reasons — shortage of shipping, supplies, and so 
forth. But Mexico, as did others, made a substan- 
tial contribution in other ways, particularly in the 
economic field and in manpower. Mexico, there- 

'Made on Mar. 26, 1947, and released to the press in 
Moscow on the same date and in Washington on Mar. 27. 

' Made on Mar. 25, 1947, and released to the press in 
Moscow on that date and in Washington on Mar. 26. 



fore, should have a dignified place in the making 
of the peace. Other American republics should, we 
feel be represented on the proposed information 
and consultation conference. The countries whose 
armed forces fought with us certainly acquired, by 
expenditure of men and resources, the right to par- 
ticipate in the organizing of the peace at all stages. 
Tlie example of Canada, however, would emphasize 
what I mean. Canada had over one million in her 
armed forces of which 400,000 were under arms as 
early as 1941. Canada suffered over 100,000 casual- 
ties, provided naval power for the North Atlantic, 
was fourth among the nations in air power and ex- 
pended about 19 billion dollars for war purposes 
to say nothing of the value of vital metals and 
other supplies. Facts of this kind cannot be ig- 
nored in the selection of our associates who will 
work with us in preparing the peace. 

I recommend that my colleagues instruct their 
deputies to agree to our proposals for the member- 
ship of all states at war in the information and con- 
sultation conference, and for the participation of 
a convenient number of other Allied states in the 
permanent committees, and the principal subcom- 
mittees. In that way we shall recognize the war- 
time contribution of our allies and obtain the bene- 
fit of their cooperation in the peace. 

Statement on Albania * 

The Soviet Delegation has proposed that Al- 
bania not only be treated as an Allied state but 
be grouped with those states which actively par- 
ticipated with their armed forces in the war or 
were invaded. The United States Delegation 
does not agree that Albania should be so treated 
or grouped. Albania as a state was not at war 
with Germany and did not declare war on Ger- 
many. Albanian troops took an active part allied 
to Germany in the treacherous attack on their 
valiant neighbor, Greece. The regime now ruling 
Albania has declined to recognize that country's 
international obligations. Albania was not in- 
vited to the Paris Conference as an Allied or as- 
sociated power. The United Nations have not yet 
agreed that Albania has qualified for membership 
with them. 

Albania in our opinion has no claim to a privi- 
leged position over other states and people who 
have fought against the Germans. Other states 
have contributed more to the defeat of the Ger- 
mans. 



608 



Department of State Bulletin 



The United States Delej^ation therefore sees no 
acceptable basis for inviting Albania to partici- 
pate in the preparation of the peace settlement. 

Position on Yugoslav Representatives ' 

The United States Delegation does not believe 
it is necessary to invite the Yugoslav Government 
to send representatives to present their views con- 
cerning the report of the Commission on the 
financial situation in the free territory of Trieste. 
If Yugoslavia should be given a hearing, obviously 
the Italian Government should also be invited to 
present its view. I am informed that in accord- 
ance with its terms of reference which provided 
for consultation with the Yugoslav and Italian 
authorities in Trieste, the Commission during its 
work there in January and February was in con- 
stant consultation with these authorities. It is 



COUNCIL OF FORE/GN MINISTERS 

therefore to be assumed that both the Italian and 
Yugoslav Governments are fully informed con- 
cerning the work of this Commission. 

The report is of a technical nature and deals 
with the financial assistance which the free terri- 
tory of Trieste, when established, will require. It 
is for these reasons the United States Delegation 
does not see the necessity for inviting representa- 
tives of Yugoslavia to come to Moscow to present 
their views on this question to the Council of 
Foreign Ministers. The purpose of the Trieste 
Commission was by the terms of reference largely 
to save the Council of Foreign Ministers the 
necessity and time-consuming procedure for ascer- 
taining the facts, and the views of the interested 
governments. If the representatives of these gov- 
ernments are invited here we, in effect, will be re- 
doing the work of the Commission. 



Reparations Received by the United States 



SUMMARY STATEMENT BY THE U.S. DELEGATION" 



Tlie United States has thus far received as repa- 
rations from Germany: 

Industrial capital equipment: (A) Through lARA, 
66,666; (B) directly, less than 10,000,000; ships: 5,000,000; 
German external assets : 150-250,000,000 ; current produc- 
tion : none ; gold : none ; total : less than 275,000,000. 

[The tabulation is in dollars.] 

A. Industrial capital equipment. As of the end 
of February 1947, the Inter-Allied Separation 
Agency has been allocated slightly more than 
Eeichsmarks 300 million in industrial capital 
equipment consisting of 71 plants on advance 
reparation account, the general-purpose equipment 
from 51 war plants and the equipment included in 
French and British emergency removal programs. 
Of this amount lARA has completed the alloca- 
tion of Reichsmarks 62 million. Of the Reichs- 
marks 62 million allocated, the United States has 
received approximately Reichsmarks 200,000. 

Note : For the purpose of this tabulation the Reichsmark 
has been valued at 3 to the dollar. 

The United States has made certain removals of 
industrial capital equipment from Germany which 
have not taken place through the Inter-Allied 
Reparation Agency. These removals were ordered 
to further our war effort prior to the Japanese 
surrender. Evaluation of the removals conducted 
by the United States is now being compiled. The 



value of all these removals is not large and is not 
expected to exceed $10,000,000. When the evalua- 
tion has been completed it will be reported to the 
Council of Foreign Ministers and the Inter- Allied 
Reparation Agency. 

B. Ships. The Inter- Allied Reparation Agency 
has allocated practically all ships assigned to it by 
the tripartite Merchant Marine Commission. The 
value of these ships has been placed at Reichs- 
marks 220 million. The United States has received 
ships valued at Reichsmarks 15.5 million. 

C. German external assets. External assets to 
be received from Germany as reparation by all 
members of the Inter-Allied Reparation Agency 
is expected to amount to less than $600 million. 
No final figures can be given because of liquidation 
still in progress. The United States will receive 
between $150 and $250 million. The amount to 
be realized by the United States cannot be stated 
with greater accuracy at this time, because of doubt 
as to whether one substantial asset is in fact 
German or of other nationality. This doubt is be- 
ing resolved in the courts. 



'Made on Mar. 27, 1947, and released to the press in 
Moscow on the same date and in Washington on Mar. 28. 

' Paper circulated within the Council of Foreign Min- 
isters in Moscow on Mar. 25, 1947, and released to the 
press in Moscow on the same date and in Washington on 
Mar. 26. 



AprW 6, 1947 



609 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 

Calendar of Meetings ^ 



In Session as of March 30, 1947 



Far Eastern Commission 



United Nations: 

Security Council 

Military Staff Committee 

Commission on Atomic Energy 

Telecommunications Advisory Committee 



Economic and Social Council: Fourth Session 
Commission on Conventional Armaments . . 
Trusteeship Council 



German External Property Negotiations (Safehaven) : 

With Portugal 

With Spain 

Inter-Allied Trade Board for Japan 



PICAO: 

Interim Council 

Air Transport Committee: Sixth Session 

Airworthiness Division 

Airline Operating Practices Division . . 



Inter-Allied Reparation Agency (lARA) : Meeting on Con- 
flicting Custodial Claims. 



International Court of Justice . 
Council of Foreign Ministers . . 
International Wheat Conference 



Scheduled March-May 1947 

World Health Organization (WHO) : Third Session of In- 
terim Commission. 

International Wool Study Group 

Interparliamentary Union: 36th Plenary Session . . . . 

UNESCO Executive Board 



International Conference on Trade and Employment: 
Second Meeting of Preparatory Committee. 

International Red Cross Committee 



United Nations: 

Meeting of Experts on Passport and Frontier Formali- 
ties. 

Permanent Central Opium Board 

Committee on Progressive Development and Codifica- 
tion of International Law. 

ECOSOC: 
Subcommission on Statistical Sampling 



Washington . 



Lake Success 
Lake Success 
Lake Success 
Lake Success 

Lake Success 
Lake Success 
Lake Success 



Lisbon . 
Madrid 



Washington . 



Montreal 
Montreal 
Montreal 
Montreal 

Brussels 



The Hague 
Moscow . . 
London . . 



Geneva 



London 
Cairo . 
Paris . 
Geneva 

Geneva 

Geneva 



Geneva . . . 
Lake Success . 



' Prepared in the Division of International Conferences, 
' Tentative. 



Lake Success . . . . 
Department of State. 



1946 



Feb. 26 



Mar 


25 




Mar 


25 




June 14 




Nov 


10 


1947 


Feb. 


28- 


Mar. 29 


Mar 


24 




Mar 


26 


1946 


Sept 


3 




Nov 


12 




Oct. 


24 


1947 


Jan. 


7-Apr. 2 


Jan. 


13-Feb. 13 


Feb. 


20-Mar. 16 


Feb. 


25- 


Mar. 30 


Jan. 


29- 


Recessed Mar. 


22 


; will reconvene in 


May. 





Feb. 10 

Mar. 10 

Mar. 18-. Temporarily 
adjourned; will recon- 
vene Apr. 14. 

Mar. 31 

Mar. 31-Apr. 3 
Apr. 7 
Apr. 9 
Apr. 10 

Apr. 14-26 

Apr. 14 

Apr. 14 
May 1 2 



Apr. 14' 



610 



Deparfment of Sfafe Bulletin 



Calendar oj Meetings — Continued 

ECOSOC— Continued 
Subcommission on Protection of Minorities and Pre- 
vention of Discrimination. 

Fiscal Commission 

Subcommission on Freedom of Information 

Social Commission 

ICAO (International Civil Aviation Organization): 

European-Mediterranean Special Air Traffic Control 
Conference. 

Interim Council 

First Meeting of General Assembly 

International Tin Study Group: First Meeting 

European Central Inland Transport Organization 
(ECITO) : Seventh Session of the Council. 

Fifth International Hydrographio Conference 

ILO: 

Industrial Committee on Coal Mining 

Industrial Committee on Inland Transport 

American International Institute for the Protection of 
Childhood: Meeting of International Council. 

International Meeting of Marine Radio Aids to Naviga- 
tion. 

FAO: 

International Timber Conference 

Rice Study Group 

International Refugee Organization (IRO) : Second Part 
of First Session of Preparatory Commission. 

Congress of the Universal Postal Union 

International Radio Conference 

International Technical Committee of Aerial Legal Ex- 
perts (CITEJA). 

International Emergency Food Council (lEFC) : Fourth 
Meeting. 



Lake Success 

Lake Success 

Lake Success 

Lake Success 

Paris 

Montreal 

Montreal 

Brussels 

Paris 

Monaco 

Geneva 

Geneva 

Montevideo . 

New York and New London 



Marianske-Lazne, Czechoslo- 
vakia. 
Southeast Asia 

Geneva 

Paris 

Atlantic City 

Montreal 

Washington 



Apr. 21 ' 

Apr. 28 > 
May 5' 
May 26 » 

Apr. 15 

Apr. 29 
May 6 

Apr. 15-18 

Apr. 17 » 

Apr. 22 

Apr. 22 
May 6 

Apr. 25 

Apr. 28-May 10 

Apr. 28-May 10 

May 
May 1 

May 6 
May 15 
May 

May 



Activities and Developments » 



ALLIED TRADE REPRESENTATIVESIIN JAPAN* 

1. The Far Eastern Commission establishes as 
a policy decision the following status for the Allied 
trade representatives in Japan. 

2. The trade representatives shall represent 
their governments and for the time being exercise 
the following functions : 

(a) To know what items are desired by their 



' Poliey decision approved by the Par Eastern Commis- 
sion on Mar. 13, 1947, and released to the press Mar. 24. 
A directive based upon this decision has been forwarded 
to the Supreme Commander for the Allied Powers for 
implementation. 



April 6, 1947 



611 



ACTIVITIBS AND DEVELOPMENTS 

governments for import from Japan and for ex- 
port to Japan. 

(h) To keep the Supreme Commander for the 
Allied Powers currently informed as to progress 
of import and export programs, and items re- 
quested or suggested by their governments. 

(c) To accept for their governments terms of 
sale, with Japanese selling agencies, agreed to by 
the Sujireme Commander for the Allied Powers. 

(d) To accept delivery of Japanese exports 
f .o.b. Japanese port, and to handle details of ocean 
shipping and insurance. 

(e) To deliver to the Supreme Commander for 
the Allied Powers all documents from their gov- 
ernments covering imports and to facilitate such 
importation and delivery. 

(/) To supply the Supreme Commander for the 
Allied Powers with all financial data such as costs, 
sale prices, and claims, and any necessary docu- 
ments affecting imports from and exports to their 
governments. 

(ff) To maintain an operating relationship with 
military or diplomatic liaison missions which their 
governments have established in Japan, in order to 
coordinate action and take care of routine matters 
such as communication. 

(h) The trade representatives may use secret 
code for communication with their governments 
through the Missions of their governments in 
Japan. 

3. The functions of the Allied trade representa- 
tives defined in this interim document may sub- 
sequently be reviewed by the Far Eastern Com- 
mission in the light of experience. 

REVIEW OF NEW JAPANESE CONSTITUTION > 

1. The new constitution, which will in due sea- 
son after promulgation become the legal successor 
of the present constitution with such changes as 
have been made or may be made as a result of con- 
sideration and policy decision of the Far Eastern 

' Policy decision approved by the Far Eastern Commis- 
sion on Oct. 17, 1946, and released to the press Mar. 27, 
1947. A directive based upon this decision has been for- 
warded to the Supreme Commander for the Allied Powers 
for Implementation. 

' For article on "American Wool Import Policy" by James 
Gilbert Evans, see Bulletin of Nov. 3, 1946, p. 783. For 
"Statement by Heads of Delegations to International ^Yool 
Talks", see Bulletin of Nov. 24, 1946, p. 942. For "Report 
on International Wool Talks" by Clarence W. Nichols, see 
Bulletin of Dec. 29, 1946, p. 1166. 



Commission, shall be subject to further review by 
the Diet and the Far Eastern Commission in terms 
of the following paragraph. 

2. In order that the Japanese people may have 
an opportunity, after the new constitution goes 
into effect, to reconsider it in the light of the ex- 
perience of its working, and in order that the Far 
Eastern Commission may satisfy itself that the 
constitution fulfills the terms of the Potsdam Dec- 
laration and other controlling documents, the Com- 
mission decides as a matter of policy that, 
not sooner than one year and not later than two 
years after it goes into effect, the situation with 
respect to the new constitution should be reviewed 
by the Diet. Without prejudice to the continuing 
jurisdiction of the Far Eastern Commission at 
any time, the Commission shall also review the 
constitution within this same period. The Far 
Eastern Commission, in determining whether the 
Japanese constitution is an expression of the free 
will of the Japanese people, may require a refer- 
endum or some other appropriate procedure for 
ascertaining Japanese opinion with resjject to the 
constitution. 

U. S. DELEGATION, TO INTERNATIONAL 
WOOL STUDY GROUP 

[Released to the press March 26] 

The Acting Secretary of State announced that 
the President has approved the composition of 
the American Delegation to the First Meeting of 
the International Wool Study Group, which is 
scheduled to be held at London beginning March 
31, 1947.^ The nominations were submitted upon 
the recommendation of the Secretary of Agricul- 
ture, Clinton P. Anderson, and the Acting Secre- 
tary of State, Dean Acheson. The composition of 
the Delegation is as follows : 

Delegate 

Leslie A. Wheeler, Director, Office of Foreign Agricul- 
tural Relations, Department of Agriculture 

Alternate Delegate 

Donald D. Kennedy, Chief, International Resources Divi- 
sion, Department of State 

Advisers 

Robert B. Schveenger, Head, International Economic 
Studies Division, Office of Foreign Agricultural Rela- 
tions, Department of Agriculture 

Paul O. Nyhus, Agricultural Attach^, .\merican Embassy, 
London 

Adviser and Secretary of the Delegation 

J. Russell Ives, Agricultural Economist, Livestock Branch, 
Production and Marketing Administration, Depart- 
ment of Agriculture 



612 



Department of State Bulletin 



Two ILO Industrial Committees Meet in Belgium 



ARTICLE BY MURRAY ROSS 



The program of the newly established industrial 
committees of the International Labor Organiza- 
tion registered further progress with the holding 
of the initial meetings of the Textiles Committee 
and the Building, Civil Engineering and Public 
Works Committee in Brussels, Belgium, from No- 
vember 14 to 22 and November 25 to December 3, 
1946, respectively. The sessions of the Textiles 
Committee were attended by representatives of 
governments and of employers' and workers' 
organizations from 18 leading textile-producing 
countries of the world, including Australia, Bel- 
gium, Canada, China, Denmark, Egypt, France, 
India, Italy, Mexico, the Netherlands, Norway, 
Peru, Poland, Sweden, Switzerland, the United 
Kingdom, and the United States. At the building- 
trades conference, tripartite delegations were pres- 
ent from 19 countries, including Australia, Bel- 
gium, Brazil, Canada, Chile, China, Denmark, Fin- 
land, France, India, Italy, the Netherlands, Nor- 
way, Poland, Sweden, Switzerland, the Union of 
South Africa, the United Kingdom, and the 
United States. During their extended delibera- 
tions, delegates to each of the mdustrial commit- 
tees reviewed the various social and economic as- 
pects of their respective fields and adopted a series 
of resolutions seeking the improvement of labor 
standards in the world textile and building-trade 
industries. The resolutions stressed achievement 
of full employment based on sound production 
organization and methods, formulation of stable 
industrial-relations principles and practices, and 
adherence to an international minimum level of 
labor standards and social security. 

Textiles Committee 

The meeting of the Textiles Committee was held 
under the chairmanship of Radi Bey of Egypt. 
The employers' and workers' groups of the Gov- 
erning Body of the ILO were represented by Louis 
E. Cornil, an official of the Belgian Ministry of 
Labor and chairman of the Belgian Federation of 
Employers, and Paul C. Finet, president of the 
Belgian Federation of Workers, respectively. The 
United States Government was represented by 



Robert J. Myers, Assistant Commissioner of Labor 
Statistics, Department of Labor, and Rene Lutz, 
Leather and Textile Division, Department of Com- 
merce. Verl E. Roberts of the Wage and Hour 
and Public Contracts Divisions, Department of 
Labor, and Murray Ross, Division of International 
Labor, Social and Health Affairs, Department of 
State, served as advisers to the Government dele- 
gates. Herbert H. Schell, president of Sidney 
Blumenthal and Company, Inc., and Edwin Wil- 
kinson, assistant to the president of the National 
Association of Wool Manufacturers, represented 
United States employers. Lloyd S. Klenert and 
John Vertente, Jr., of the United Textile Workere 
of America, A. F. of L., represented United States 
workers. 

In accordance with the procedure previously 
established by the Governing Body of the ILO 
and followed at the meetings of the inland trans- 
port, coal mining, iron and steel, and metal trades 
industrial committee meetings, the conference pro- 
ceeded to use the detailed report of the Interna- 
tional Labor Office as a point of departure for its 
opening discussions. Representatives from the 
various countries reviewed the significant social and 
economic problems facing their respective textile 
industries and emphasized what they regarded as 
the essential measures for the pursuit of healthy 
social and economic policies. Following this pre- 
liminary exchange of views, the conference estab- 
lished two subcommittees to explore in detail prob- 
lems of production and social welfare. The work 
of both subcommittees was strongly influenced by 
the magnitude of the current shortage of textiles 
of all kinds. 

The Subcommittee on Production and Related 
Questions turned its attention to questions of full 
emi^loyment, reduced working hours, training of 
personnel, and a guaranteed adequate minimum 
weekly wage. The discussion on these points 
stressed principally the necessity of raising the 
economic status of the workers in the textile in- 
dustry. The workers' representatives expressed 
the desire that wages and other conditions of work 
in the industry should be brought up to a level 



April 6, 7947 



613 



ACTIVITIES AND DEVELOPMENTS 

equal to that of other industries, both on grounds 
of social justice and for economic reasons. Gen- 
eral agreement prevailed on the point that only 
by materially improving the status of the textile 
workers would it be possible to recruit trained 
workers in sufficient numbers to meet the current 
increased need for textile products in all countries 
of the world. Having thus established its general 
frame of reference, the subcommittee proceeded to 
the formulation of specific resolutions. 

After agreeing upon a number of inquiries and 
studies dealing with industry and labor practices 
which the International Labor Office would be 
asked to undertake for the Textiles Committee, 
the subcommittee turned to the subject of full em- 
ployment. To begin with, the principles of the 
Declaration of Philadelphia were endorsed. The 
resolution then expressed the belief that govern- 
ments, no less than industry, have an important 
function to fulfil in maintaining full employment 
and urged the cooperation between governments, 
employers, and workers in the textile industry in 
each country as well as the fullest utilization of all 
resources in raw materials and equipment based 
on international cooperation. Supplementing the 
above resolution introduced by the workers' group 
was one on the need for increased production sub- 
mitted by the employers' group. This resolution 
declared that an emergency exists in the form of 
a serious shortage of all types of textiles immedi- 
ately required by the peoples of the world, and 
invited governments, employers, and workers to 
contribute their utmost to increase world produc- 
tion immediately. 

The consideration of reduction in hours of work 
led to an extensive debate. At the outset of the 
discussions, emphasis was placed almost exclu- 
sively on a recommendation to ILO member states 
to ratify at once the convention relating to the 
4:0-hour week in the textile industry. A series of 
measures was outlined which would be instru- 
mental in achieving for the industry conditions 
favoring a reduction in the hours of work, and 
attention was called especially to the importance 
of re-equipping the industry with modern ma- 
chinery in order to achieve the most efficient pro- 
duction possible. In support of this position, the 
workers urged in particular that the solution of 
the obstacles to production should not be sought 
by lengthening hours of work but rather by the 



modernization of equipment and production 
methods in the industry. 

In recognition of the difficulties with which the 
industry was currently faced, the workers indi- 
cated that it was not their intention to ask for the 
immediate application of the 40-hour week. The 
employers, without questioning the principle of 
the 40-hour week, emphasized that the present 
shortage of textiles in the world and the recon- 
struction needs of war-devastated countries made 
the immediate application of the 40-hour week in- 
opportune. Several government representatives 
pointed out that the 40-hour week might serve as 
an attraction for bringing back to the textile in- 
dustries th§ workers which they require. The view 
was also expressed that the principle of the 40- 
hour week should be accepted on the international 
plane because it would facilitate the equalization 
of competitive conditions between different coun- 
tries. The resolutions finally adopted on this point 
reconciled the divergent views expressed by the 
various groups and declared that "the adoption of 
a working week of not more than 40 hours in the 
textile industry is ultimately inevitable". 

The question of wages and income was dealt 
with in two separate resolutions. The first urged 
states members of the ILO to recommend to em- 
ployers' and workers' organizations in the textile 
industry to enter into negotiations with a view to 
determining a guaranteed adequate minimum 
weekly wage for every textile worker, and to de- 
clare their support of international policies aimed 
at guaranteeing an adequate weekly minimum in 
the textile industries of their resj^ective countries. 
The second i-esolution expressed the view that 
wages paid to workers in the textile industry 
should not suffer by comparison with those paid 
to workers in industry in general for woi'k re- 
quiring similar skill and effort. Furthermore, it 
urged the governments of states members to define 
their attitude toward the principle of equal re- 
muneration for woik of equal value suggested in 
the ILO constitution. The last resolution dealt 
with the recruitment and training of personnel 
and endorsed the principle of improved labor 
standards for attracting the necessary labor force. 

The Subcommittee on Social Security and Wel- 
fare confined its terms of reference to improved 
working conditions and welfare facilities, social 
security, and holidays with pay. Its first resolu- 
tion declared that working conditions have a 



614 



Department of Sfofe Bulletin 



marked influence on the efficiency and pi'oduc- 
tivity of workers; that efforts are continually be- 
ing made to improve these conditions ; and recom- 
mended further specific improvements. The 
second resolution urged joint mixed factory com- 
mittees to promote health and welfare and the 
prevention of accidents. The third resolution 
approved the extension of social services provid- 
ing for insurance against the principal risks to 
which the workers are exposed and requested the 
ILO to undertake studies of the conditions of 
textile workers in relation to social security in the 
various countries. The last resolution endorsed a 
minimum two weeks' annual vacation with pay 
after a suitable length of service and urged that 
this be established in addition to compensated 
public holidays. 

In addition to the above resolutions proposed by 
the subcommittees and approved in plenary ses- 
sion, the Committee adopted a general statement 
on its work, pointing out that the modernization 
of the industry is essential if the production of 
textiles is to be increased and the workers in the 
industry are to enjoy improved conditions and 
greater security which are so desirable. In this 
connection the Committee stressed that the output 
of machinery and equipment is insufficient and 
therefore it requested the Governing Body of the 
ILO to draw the attention of governments and of 
the competent specialized agencies of the United 
Nations to this problem. 

The final action of the Committee, and one of 
considerable significance from the standpoint of 
international implications, related to the develop- 
ment of the textile industries in Germany and 
Japan. From almost the very inception of the 
meeting, some members of the employers' group 
expressed considerable apprehension concerning 
the reconstruction of the German and Japanese 
textile industries. Their fears centered around an 
undue emphasis which might be placed on these 
industries in the Allied reconstruction plans of 
demilitarized economies in these countries. In a 
strongly worded resolution they sought official 
international support in their struggle to defend 
their home and foreign markets, in the event they 
were confronted with unfair competition from the 
reconstructed textile industries of Germany and 
Japan. After some basic revisions introduced by 
the United States Government representative and 



ACTIVITIES AND DEVELOPMENTS 

by the workers' group, the resolution was adopted 
in the following form : 

"The Textiles Committee of the I. L. O. meeting 
in Brussels, 14-22 November, 1946, has taken note 
of reports that the future industrial development of 
Germany and Japan will emphasise the manufac- 
tui-e of textiles, together with other products re- 
garded by the Occupying Powers as non-military. 
While recognising the present world shortage of 
textiles and the disorganised state of the textile 
industries in these countries, the Committee notes 
that the substantial expansion of such industries 
may, at a later date, seriously affect standards in 
the textile industries of other countries. 

"The Committee fears the danger of unfair com- 
petition from Germany and Japan, whether be- 
cause of inadequate labour standards or dumping 
or for any other reason. The Committee : 

^'■proposes that this problem be brought to the 
attention of the Governing Body of the I. L. O. and 
that the Governing Body be asked to bring it im- 
mediately to the notice of the Economic and Social 
Council and other international organisations con- 
cerned; and 

"caKs for study of this problem and other ap- 
propriate action by these authorities to help the 
threatened countries in maintaining the stability 
of their industry. 

"It insists that the Japanese and German tex- 
tile economies shall be based upon a policy of en- 
suring to textile workers in both countries wages, 
earnings, hours and other conditions of work cal- 
culated to ensure a minimum living wage to all 
employed, in conformity with the Declaration of 
Philadelphia of 10 May 1944, and that the princi- 
ple of collective bargaining be fostergd and en- 
couraged". 

Building, Civil Engineering and Public 
Works Committee 

The meeting of the Building, Civil Engineering 
and Public Works Committee was held under the 
chairmanshiiJ of Dr. A. H. W. Hacke, Director 
General of Labor for the Netherlands Govei-n- 
ment. The employers' and workers' groups of the 
Governing Body were represented by Louis E. 
Cornil, chairman of the Belgian Federation of 
Employers, and Kobert J. Watt, international 
representative of the A. F. of L., respectively. 
The United States Government was represented 



April 6, 1947 



615 



ACTIVITIES AND DEVELOPMBNTS 

by Robert J. Myers, Assistant Commissioner of 
Labor Statistics, Department of Labor, and 
Winchester E. Reynolds, Commissioner of Public 
Buildings, Federal Works Agency. Herman B. 
Byer, Assistant Chief of the Employment and 
Occupational Outlook Branch, Bureau of Labor 
Statistics, Department of Labor, and Murray 
Ross, Division of International Labor, Social and 
Health Affairs, Department of State, acted 
as advisers to the Government members. Vincent 
P. Ahearn, executive secretai-y of the National 
Sand and Gravel Association, and Edward P. 
Palmer, president of Senior and Palmer, Inc., 
represented the United States employers. Corne- 
lius J. Haggerty, secretary of the California Fed- 
eration of Labor, and Charles Jolinson, Jr., execu- 
tive board member of the United Brotherhood of 
Carpenters and Joiners of America, A. F. of L., 
served as representatives of United States workers. 

Although the problems of the building trades are 
quite different in many respects from those facing 
the textile industries, the Committee followed the 
same general organizational pattern. After some 
preliminary discussions on the basis of a report 
prepared by the International Labor Office, three 
subcommittees were established to consider in de- 
tail the problem of production and reconstruction, 
conditions of work, and industrial relations. The 
deliberations of all the subcommittees were domi- 
nated by the enormous current requirements for 
construction work of all kinds. 

The Subcommittee on General Problems Relating 
to Production and Reconstruction adopted a state- 
ment in which it declared that reconstruction must 
not be considered merely in terms of the tasks con- 
fronting the different countries individually but 
should be regarded as a collective task for all the 
nations, and endorsed all economic, financial, or 
political measures which will facilitate access to 
raw materials for such countries as stand most in 
need of them and are without them. The general 
statement also declared that there are five main 
problems relating to production and reconstruc- 
tion: (1) program; (2) production; (3) recon- 
struction ; (4) recruitment and vocational training 
of manpower; (5) stabilization of employment. 

The resolution covering the first point recog- 
nized the acute shortage of housing accommoda- 
tions and urged remedy of this situation with the 
least possible delay. To achieve this end it 
appealed to all those connected with the building 



trades to maximize their productivity, and to gov- 
ernments to stimulate and maintain such efforts 
of the industry by establishing programs of work 
to cover a fairly long period of time. On the sub- 
ject of production, the resolution recommended 
that no means be neglected of increasing produc- 
tivity in the industry by the adoption of new tech- 
niques including the use of alternative materials 
and of modern mechanical equipment. It simi- 
larly stressed the considerable advantages of 
standardization of components in construction in- 
dustries and urged the preparation of codes of 
practice in order to facilitate further standardiza- 
tion and thus expedite execution of large construc- 
tion programs now in progress in most countries. 

The resolution dealing with problems of recon- 
struction left to governments the task of deter- 
mining the order of reconstruction for their re- 
spective countries. In order to avoid unnecessary 
delays the resolution recommends that the respec- 
tive authorities make all the essential preliminary 
preparations, including plans, drawings, etc., and 
properly synchronize the several phases of the 
reconstruction process. The resolution notes that 
there are shortages of building materials and 
mechanical equipment in many countries, while in 
many others some of these materials and equip- 
ment may soon become available for export, and it 
recommends to governments that all planned pro- 
grams for the production of materials and equip- 
ment should be regarded as an essential factor in 
reconstruction and that every effort be made to 
insure that the materials- and equipment-produc- 
tion industries are adequately manned. Further- 
more, in view of the urgency of building and civil- 
engineering construction, it proposes that, in any 
plans devised, special attention should be paid to 
eliminating, by all the means compatible with the 
circumstances, any difficulties currently resti'icting 
international trade in these particular commodi- 
ties, without, however, prejudicing national 
markets. 

On the subject of recruitment and vocational 
training of manpower in the construction indus- 
tries, the resolution noted the shortage of skilled 
labor in the majority of countries and recom- 
mended that in the international field the volun- 
tary movement of available manpower take place 
from countries with a surplus to those experienc- 
ing shortiiges. In the national field it urged the 
increase in numbers of craftsmen practicing the 



616 



Deparfmenf of State Bulletin 



various trades which are within the scope of the 
construction industry. The final resolution 
emei'ging from this subcommittee deals with 
stabilization of employment. It emphasizes the 
universal necessity of achieving maximum pro- 
duction and full employment in the construction 
industries, thereby making possible a high level 
of consumption, the payment of proper wages, 
and the provision of satisfactory terms and con- 
ditions of employment. To this end the resolution 
suggests that governments should continuously 
review their existing policies relating to expendi- 
tures, taxation, and domestic and foreign trade. 
Having in mind the regularization of activities in 
the industry for the stabilization of employment, 
and conscious of the necessity of prompt action 
upon the approach of any possible threat of a 
business depression, the resolution draws the at- 
tention of governments to the need of organizing 
the collection of statistical information which will 
facilitate the forecasting of an impending crisis. 

The Subcommittee on General Conditions of 
Work addressed itself to problems of a more lasting 
character and not only to those characteristic of 
the immediate reconstruction era. In one omnibus 
resolution the subcommittee declared its stand on 
matters of safety and health, social security, 
methods of remuneration, hours of work, holidays 
with pay, and stabilization of employment and 
earnings. In order to insure the full protection of 
workers in the construction industries against 
accidents occurring in the course of their employ- 
ment, the resolution called ujjon states members to 
consider the desirability of early ratification of 
the ILO Safety Provisions (Building) Convention 
of 1937. It also expressed supj^ort for the pro- 
posal to establish a mixed committee with the 
World Health Organization, to deal with ques- 
tions concerning industrial hygiene, with special 
attention to the health problems of the construc- 
tion industries. 

With reference to social security the resolution 
recommended the development in all countries of 
systems of social insurance which would guaran- 
tee protection against all the major hazards of 
modern industrial life. Considerable discussion 
took place on the subject of the 40-hour week. 
Owing to the excessive work load and lack of 
manpower and materials facing the industry in 
almost every country, it was felt inappropriate to 
urge the universal adoption of the 40-hour week 



ACTIVITIES AND DEVELOPMENTS 

until substantial progress had been made in the 
rehabilitation and reconstruction of devastated 
areas. However, convinced that the reduction in 
the hours of work is an objective to be attained as 
soon as conditions permit, the resolution requested 
the Governing Body of the ILO to place the 
question of the 40-hour week on the agenda of 
the next meeting of the Committee. 

Another part, of the resolution endorsed the 
workers' right to paid vacations and requested the 
ILO to undertake studies of the most suitable 
schemes to overcome the practical difficulties in 
this matter arising from the fluctuations in em- 
ployment. Lastly, the resolution recommended to 
employers' and workers' organizations that they 
consider the principle of assuring to the worker 
payment for a minimum number of hours each 
week irrespective of time lost due to inclement 
weather. In this connection the ILO was re- 
quested to undei'take an investigation into the law 
and practice of guaranteed weekly wages in the 
various countries. 

The second resolution of the subcommittee 
drew attention to the inadequacy of rural housing 
and requested the ILO to undertake inquiries on 
the subject and make its findings generally 
available. 

The Subcommittee on Industrial Relations pro- 
posed a total of five resolutions. The first, which 
appeared in the form of a preamble, noted the 
progressive improvement in relations between 
employers and workers in the constmiction indus- 
tries of the world. It also stressed the compati- 
bility of safeguarding occupational interests with 
a full regard for the interests of the public as a 
whole. The second resolution endorsed industrial 
peace, underlined the sanctity of the labor contract, 
and urged resolution of all differences on the basis 
of mutual confidence and good faith. The third 
resolution endorsed the existence of free trade- 
union organizations as a basis for proper man- 
agement-labor relations in the construction indus- 
tries. The fourth resolution urged, upon govern- 
ments as well as upon workers' and employers' 
organizations, that they examine the possibility 
of establishing in each counti'y national joint com- 
mittees for the construction industries. These 
committees would have the double function of ex- 
ploring the social and economic problems of the 
various branches of these industries and of pro- 
(Continued on page 636) 



April 6, 1947 



617 



THE RECORD OF THE WEEK 



International Broadcasting Foundation of tlie United States 



PROPOSAL BY THE DEPARTMENT OF STATE 



March 1, WJfV 
To : The Secretary 
From : William, Benton 

Subject: The Organisation of International 
Broadcasting ty the United States 

Secretary Byrnes asked me to study and to re- 
port to him on the permanent organization of in- 
ternational voice broadcasting emanating from the 
United States. This assignment was especially 
challenging to me because of my long experience 
with domestic broadcasting, and because of the op- 
portunity I have had since my appointment to the 
State Department to observe the points of similar- 
ity and difference between international broad- 
casting and domestic. 

On January 1, 1946, I recommended that the 
temporary arrangement then and now existing, in 
which responsibility for international broadcast- 
ing is centered in the Department of State, be 
continued on an interim basis into fiscal 1947. The 
Congress provided funds for this purpose with the 
understanding that long-range recommendations 
would be forthcoming during the fiscal year now 
current. 

This memorandum, and the accompanying draft 
charter, presents such recommendations. I am 
submitting this plan with the suggestion that, if 
you approve it, you may wish to forward it to the 
Congress for discussion and action. The issues and 
potentialities involved in our intei'national broad- 
casting are so vital to the national interest, and so 
far-reaching, as to call for Congressional consider- 
ation, wholly aside from the necessity for the legal 
and financial authorization involved in the particu- 
lar plan outlined here. 

My suggested plan removes from the Depart- 
ment of State the responsibility for conducting 
international broadcasting. It calls for the crea- 
tion of a public corporation, supported with public 

618 



funds, to conduct and to stimulate international 
broadcasting, under the guidance and direction of 
a board of trustees of distinguished private 
citizens. 

Broadcasting — An Instrument of Peace 

Radio broadcasting is a unique — and a magnifi- 
cent — instrument for advancing understanding 
among the peoples of the world. Its potentialities 
are unequalled for the task of projecting to foreign 
peoples that full and fair picture of American life, 
and of the aims and policies of the United States 
Government, which the President and the Congress 
have affirmed as an integral part of the objectives 
of the United States in its foreign relations. 

Radio can reach people throughout the world 
who have no ready access to other kinds of com- 
munication facilities, and can reach them directly 
and instantaneously. It is not hamisered by such 
familiar barriers to the flow of printed or pictorial 
material as remoteness, restrictions on foreign ex- 
change, shortages of i^aper or film-stock, cai'tel or 
tariff hurdles ; or even by the barrier of illiteracy. 
These barriers and others, in combination, have 
in the past meant that a substantial proportion of 
the earth's population has been insulated from in- 
formation about developments in the United 
States. 

No less important is the fact that radio is not 
subject to censorship at national boundaries. 
Something like 75 percent of the earth's popula- 
tion — regrettably — lives today under some degree 
of censoi'ship blackout or dimout, particularly with 
respect to news. Radio thus offers the surest 
means of reaching the individual with information 
direct from an American source and without inter- 
vening selection, processing, slanting, or suppres- 
sion. 

International radio is already a tremendous ac- 

Department of Stafe Bulletin 



tuality. Thirty-four nations are today beaming a 
total of over 3,200 program-hours per week by 
short wave across their borders for foreign con- 
sumption. But the promise of international 
broadcasting far exceeds this present performance. 
It is reasonable to expect technical improvements 
that will greatly improve the quality of trans- 
mission. 

The use of short-wave signals, which carry for 
gi-eat distances, is the principal method of inter- 
national broadcasting. It is estimated that there 
are today 20,000,000 sets outside the United States 
capable of receiving short-wave signals. It is a 
certainty that the number of receiving sets dis- 
tributed throughout the world will be multiplied 
many times. The Soviet Union, for example, has 
announced that it expects to be producing receivers 
at the rate of 925,000 sets a year by the end of the 
current Soviet Five- Year Plan, including several 
types capable of receiving short wave. 

The habit of short-wave listening tends to be 
more highly developed abroad than liere, and the 
number of listeners per set is greater. However, 
short wave, even when it is "boosted" by relay 
stations abroad, or converted into standard wave 
or long wave, is not the sole method of inter- 
national broadcasting. Exchange of programs 
among the domestic stations or networks of various 
countries, either "live" or by transcription, is a 
practice that has great potentialities. Today 19 
nations are picking up our short-wave "Voice of 
America" and carrying our programs on their own 
domestic medium- or long-wave stations. More 
than 10,000 letters a month now come to the "Voice 
of America" from listeners abroad. 

Thus radio is not only today the great instru- 
ment of "peoples speaking to peoples" but it prom- 
ises to become far greater. It is incumbent on the 
people of the United States constructively to use 
this powerful new force in international relations 
between peoples to promote the cause of world 
understanding and world peace. 

International Broadcasting by the U.S. 
Before the War 

Despite the spectacular development of domestic 
radio in the United States— there are 60,000,000 
receiving sets in the United States today — we have 
been, as a nation, negligent and backward in recog- 
nizing how great a national asset international 
broadcasting can be. In 1940 the gross income of 
our domestic stations and networks exceeded $150,- 

April 6, 1947 



THE RECORD OF THE WEBK 

000,000. This figure represents only a portion of 
the total national outlay for domestic broadcasting, 
since it does not include major "talent" costs. In 
the same year approximately $1,000,000 was spent 
for international broadcasting. There were nearly 
900 stations for domestic broadcasting and only 
11 transmitters for international short-wave voice 
broadcasting. 

A big reason for this discrepancy is that domestic 
broadcasting is profitable to the broadcasters, and 
international broadcasting is not. There have 
been financial rewards for enterprise in domestic 
broadcasting. There have been no financial re- 
turns for the enterprise and expense involved in 
international broadcasting — and little prospect of 
any. 

The fact that there were six American corpora- 
tions engaged in short-wave international broad- 
casting in 1940 — on a minor or experimental 
basis — is a tribute to their pioneering spirit, even 
though their total output was clearly inadequate, 
from a national or a world viewiDoint, as measured 
against the need and the opportunity. These six 
private companies, and a seventh which came into 
the field during the war, are unanimously agreed 
upon the vital importance of international broad- 
casting. They also appear to be agreed that, at 
least for the discernible future, the hope of profits 
or of non -commercial private supjDort is too dim to 
attract private broadcasters into operation on the 
scale required by the national interest. 

Brig. Gen. David Sarnoff, president of the Eadio 
Corporation of America, a pioneer in international 
broadcasting, reports that, before the war, the total 
income of United States corporations from all in- 
ternational broadcasting was only $200,000. In 
1943 General Sarnoff estimated that, after the war, 
our national interest would require "at the start 
not less than $15,000,000 or $20,000,000 a year for 
international radio activities, as well as unification 
of purpose and policy". He stated that private 
industry could not be expected to supply the neces- 
sary service. 

Considerations of potential profit have not been 
the motivation in the development of international 
broadcasting by other nations. International 
broadcasting has been conducted from the be- 
ginning throughout most of the world only by 
governments, without interest in commercial spon- 
sors or in profits. Many nations had entered the 
field before the war — notably Great Britain, Ger- 

619 



THE RECORD Of THE WEBK 

many, and Italy. All of the 34 nations engaged 
in international broadcasting today are operating 
on a governmental basis. 

The war produced a tremendous increase in the 
volume of international broadcasting both here 
and abroad. Of the total volume of international 
short-wave jirogramming now on the air, as 
measured in program-hours, only 13 percent ema- 
nates from the United States; whereas 49.6 per- 
cent emanates from Europe and another 10.5 per- 
cent emanates fi-om African transmitters, most of 
which are inider control of European nations. The 
end of hostilities brought some recession in total 
volume, with Germany and Japan going off the 
air, and the major powers cutting down somewhat 
(notably the United States). However, this re- 
cession promises to be only temporary. The pres- 
ent volume far exceeds the pre-war level, and is 
again rising, with new and improved transmitters 
coming on the air. 

Impact of the War on U.S. International 
Broadcasting 

The onset of war made clear, dramatically and 
at once, the vital importance of projecting to allied 
and neutral peoples, and to the peoples of enemy- 
occupied areas, an account of American news, of 
American and Allied aims and policies, and of the 
advances and setbacks on the road to victory. 
Kadio was obviously an essential and invaluable 
instrument to that end. It was also a weapon for 
psychological warfare against the enemy. 

The U.S. Government, through the Office of 
War Information and the Office of Inter- American 
Affairs, took over by contract the financing and 
control of the international broadcasting of the 
seven private operators; tripled the number of 
transmitters; established relay points overseas; 
and increased the output to 1,123 program-hours 
a week, in 34 languages. 

The "Voice of America" thus created made a 
notable contribution to the victory, as American 
military leaders have gladly attested. It also con- 
tributed to a better understanding of America 
among foreign peoples, and toward building the 
substantial audience which now tunes in on our 
peacetime programs. 

The Present Situation 

Almost coincident with V-J Day, the President, 
in his Executive order of August 31, 1945, trans- 
ferred the international information activities of 

620 



the OWI and OIAA to the State Department, 
pending completion of a study by the Department 
of our peacetime needs in the dissemination 
abroad of information about the United States. 
Congress approved the use of portions of the un- 
expended appropi-iations for OWI and OIAA for 
the interim period until June 30, 1946. On Janu- 
ary 1, 1946, the Department established its Office 
of International Information and Cultural Af- 
fairs, which represented the merger of such OWI 
and OIAA activities as were adapted to peace- 
time needs, and of two previously existing 
divisions of the State Department. 

For more than a year now, the "Voice of Amer- 
ica" broadcasts have been continued under the 
direction of the Department; but present ex- 
penditures are 56 percent below the wartime 
peak of approximately $18,000,000; the number of 
languages has been reduced to 25; all psycho- 
logical warfare has been eliminated; and the en- 
tire programming operation has been adjusted to 
peacetime standards. Government contracts with 
the private operators have been continued. 

Of the $19,284,778 appropriated by Congress 
for the over-all activities of the Office of Inter- 
national Information and Cultural Affairs for 
fiscal 1947, $8,600,000, or almost half, is for in- 
ternational radio. The latter figure was ap- 
proved after the Department had made repre- 
sentations to congressional appropriation commit- 
tees about the necessity for preventing the disin- 
tegration of the present structure to its pre-war 
state and level, and after the Department had as- 
sured Congress that recommendations for the 
permanent organization of international broad- 
casting would be presented during fiscal 1947. 

The Proposed Public Corporation 

The permanent organization which I propose 
would take full responsibility for international 
voice broadcasting emanating from the United 
States and would serve to stimulate such broad- 
casting by private agencies. I propose the cre- 
ation of a public corporation, for which the name, 
"The International Broadcasting Foundation of 
the United States", is suggested. The Founda- 
tion would be managed by a board of 15 trustees. 
The cliairman of the board of trustees would 
serve as the full-time operating director of the 
Foundation. One member of the board would be 
the Secretary of State, or an Assistant Secretary 

Deparfmenf of Sfafe Bulletin 



designated by him. The other members of the 
board would be outstanding private citizens. The 
board would be appointed by the President with 
the approval of the Senate. With the exception of 
the chairman, its members would serve without 
salary. 

The activities of the Foundation would be 
financed chiefly through annual appropriations by 
Congress, although the possibility of some financ- 
ing through the sale of time, or through contribu- 
tions, or through the Foundation's acceptance of 
progi-ams prepared and presented by private agen- 
cies, remains open and should be explored. 

As compared with the pre-war situation, the 
proposed Foundation offers many advantages. 
The most important advantage is the fact that, 
with annual appropriations by Congress, the 
Foundation should be able to guarantee that an 
adequate volume and quality of international 
broadcasting is carried on in the national interest. 
A second major advantage is that the Foundation, 
through coordinating available facilities and fre- 
quencies, should be able to get maximum useful- 
ness out of the limited number of frequencies 
available to the United States. A third advan- 
tage is that the Foundation should be able to pro- 
vide coverage to areas of the world important to 
our national policy but not necessarily of interest 
to independent operators, and to encourage an 
adequate, informed, and coherent treatment 
abioad of the "full and fair picture of American 
life, and of the aims and policies of the United 
States Government". 

As compared with the present operation under 
the direction of the State Department, the Foun- 
dation seems to me to have advantages. Today 
America's international short-wave broadcasting 
is controlled almost entirely by the Department of 
State; and even though private operators were to 
enter the field independently (subject to approval 
of the Federal Communications Commission) it 
is apparent that the overwhelming proportion of 
international broadcasting must continue to be 
controlled by the Government, and thus by this 
Department, unless another method is adopted. 
State Department control has the advantage of 
providing coordination in the use of facilities and 
frequencies, and unity of policy; but it suffers 
some handicaps as well. The Foundation form 
promises the following advantages, among others : 

1. The board of trustees of the proposed Foun- 
April 6, 1947 

737555 — 47 3 



THE RECORD OF THE WEEK 

dation should bring to the enterprise a range of 
experience and judgment not ordinarily available 
to a single agency of Government. The board will 
presumably include outstanding figures in the 
broadcasting, newspaper, and other communica- 
tions industries, as well as educators and leaders 
in public life, drawn from both political parties. 

2. The proposed board should help to win the 
confidence and support of the Congress and the 
American people by eliminating any question as to 
the objective and non-partisan character of the 
broadcasts. 

3. With responsibility for programs vested in 
the board, and removed from the Department of 
State, there should be less possibility that casual 
foreign listeners will interpret the broadcasts, 
which in fact do and should represent many and 
various viewpoints held by Americans, as "the 
official policy of the United States". 

4. The corporate structure should provide 
greater flexibility of operation than is possible 
under the administration of a regular Government 
department ; it should command wider use of tal- 
ents and materials, and thus develop more courage 
and imagination in progi-amming. Such a struc- 
ture should permit its management more effec- 
tively to meet the many new problems that will 
arise in this rapidly developing field, and provide 
a better structure for cooperation with private 
agencies. 

The Authority of the Foundation 

In the many discussions which have preceded 
this proposal it became clear that the absence of 
financial incentive to private operators is only one 
of the arguments against a reversion to the status 
quo ante iellumi. Another strong argiunent is 
that the shortage of available frequencies is becom- 
ing so acute that a single entity must coordinate 
our international broadcasting if the available fre- 
quencies are to be used with anything resembling 
effective world-wide coverage. Since the use of 
public funds entails public responsibility, the 
question of the kind of public control to be exer- 
cised over the international broadcasting entity be- 
came a key question. The Foundation form 
seemed to offer adequate public control, through 
the annual review by Congress of needed appro- 
priations and through Government representation 
on the Foundation, without entailing the necessity 
of Government operation. The presence of the 

621 



THE RECORD OF THE W£BK 

Secretary of State or his nominee on its board 
assures opj^ortunity for liaison with the depart- 
ment of Government responsible for over-all policy 
in the field of foreign affairs. 

The Foundation should be empowered to deter- 
mine financial needs, to appoint staff, to acquire 
and operate all necessary facilities, and to do its 
own progi'amming and to contract for program- 
ming by private agencies. It should also exercise 
control over the pool of frequencies available to 
the United States for international voice broad- 
casting. 

I suggest that, to provide liaison between the 
board of the Foundation and those groups which 
have special interests in this field, two consultative 
committees might be created to advise with the 
board. One of these would consist of representa- 
tives of the various interested Federal agencies, 
and would have as its chairman the Secretary of 
State or his nominee who serves on the board of 
the Foundation. The other would consist of rep- 
resentatives of the radio industry. The chairman 
of the industi-y committee might well be named 
a member of the Foundation board. 

In order to minimize the expenses of the Foun- 
dation, to widen the range of its sources, to 
heighten the quality of its output, and to maximize 
the opportunity for international broadcasting by 
independent groups and non -govern mental agen- 
cies, the Foundation should be urged under its 
charter to encourage and assist such private groups 
and agencies to propose, develop, and produce pro- 
grams of international interest and value ; and to 
develop broad standards for the guidance of such 
broadcasters, with due regard for our foreign 
policies. 

The Foundation itself, however, cannot avoid 
responsibility for determining whether the total 
output and the programming beamed to given 
areas of the world projects a fair and balanced 
picture of American life ; and whether the alloca- 
tion of time and attention to given areas is pat- 
terned to the national interest. Because of this 
responsibility the Foundation must be in a posi- 
tion to make the final determination as to the 
suitability of proposed programs, both its own 
and those of independent agencies. 

Centralized authority over programming is 
made imperative if only by the shortage of avail- 
able clear frequencies. The Department of State 
is today employing 56 frequencies in its short-wave 



broadcasting. This is regarded by competent 
engineers, both from Government and private in- 
dustry, as the minimum number on which an 
adequate job of world-wide coverage can be ac- 
complished. (Typically, several frequencies are 
required to get a satisfactory signal to each area 
covered because of daily and seasonal climatic 
variations, atmospheric disturbances, and inter- 
ference resulting from the overcrowded condition 
of the international frequency bands.) Even with 
this number it is necessary to treat them as a pool, 
and to shift frequencies systematically, by means 
of a central assignment control, between trans- 
mitters, areas, and waking-sleeping hours around 
the world. 

Under the agreement of the Madrid convention 
of the International Telecommunication Union, to 
which the United States is a party, it was agreed 
that a total of 225 frequencies would be assigned 
for short-wave broadcasting by all nations (all 
other available frequencies were allocated for ship, 
aviation, safety, commercial messages, and other 
important purposes). However, 40 percent or 
more of these frequencies are unsuitable and thus 
unusable. No revisions of these agreements have 
been made since 1938. In the pre-war registra- 
tion of these voice frequencies the United States 
registered first priority on only 19. In the chaotic 
situation which developed during the war, the 
United States, like other nations, appropriated 
new frequencies, some of wliich were outside the 
internationally agreed broadcasting bands, and 
some of which were borrowed from other nations. 
Tliis accounts for the fact that it is now using 56. 

The State Department today maintains three 
different program services to Europe, two to South 
America, and one to the Far East. In addition, it 
provides facilities and frequencies for United 
Nations broadcasts and for extensive Armed 
Forces Radio Services transmissions. Many of 
these programs are concurrent. This illustrates 
the type of demands made upon the relatively 
small number of effective and clear frequencies in- 
cluded in the pool of 56 wave lengths. The Depart- 
ment's overseas relay or rebroadcasting operations, 
which will soon be increased, must also share these 
already overworked frequencies. 

I am told that, at the next international con- 
ference to be held in the spring or summer of 1947, 
it is possible that the total number of frequencies 
assigned to international voice broadcasting may 



622 



Department of State Bulletin 



not exceed the present number, in the face of in- 
creased demands for other important purposes. I 
earnestly hope this will not be the case, but in any 
event it seems certain that the number now used 
by the United States will be contested through 
demands by other countries and other services for 
return of their frequencies. Those allocated to 
the United States will ahnost surely be inadequate 
for our needs. 

This prospect further demonstrates that unified 
and centralized planning of programming is es- 
sential if an adequate job in the national inter- 
est is to be done. Several independent corpora- 
tions, which wished to beam j^articular kinds of 
broadcasts to particular areas at particular times, 
in their own judgment and without reference to a 
centrally determined plan, could preclude and pre- 
vent broadcasts far more important to the na- 
tional interest. 

A further reason for close coordination is the 
fact that, in many parts of the world, signals 
emanating from the United States cannot be heard 
without the use of relay stations located abroad, 
which boost the power of the signal. The pos- 
sible acquisition of such relays on foreign soil 
requires negotiation by the Government. The ef- 
fective use and economical maintenance of these 
stations indicates a central pattern of program 
planning and control. 

Central planning and coordination can also help 
to obviate the danger of broadcasts which would 
have the effect of engendering international mis- 
understanding. The competitive situation that 
makes for good balance and high standards in 
other media does not ajjply equally to international 
broadcasting, due to the shortage of frequencies 
and the lack of commercial incentives. For these 
reasons I am convinced that international broad- 
casting cannot be effectively organized on the same 
basis as domestic broadcasting. 

The caliber and the representative character of 
the proposed board of trustees, and the Founda- 
tion's policy of encouraging private agencies to 
initiate programming within the limits of broadly 
conceived Foundation objectives, can and will as- 
sure, it seems to me, that the "Voice of America" 
will be a voice that is truly American. 

Summary 

The main points that liave been made in the 
foregoing proposal are : 

April 6, 1947 



THE RECORD OF THE WEEK 

1. the vital national interest in adequate world- 

wide broadcasting from the United States; 

2. the necessity for Government appropriations to 

achieve world coverage, because of the ab- 
sence of commercial incentive; 

3. the necessity of a centralized pattern of 

programming, if only because of the short- 
age of frequencies ; 

4. the proposal of a public corporation to serve as 

a channel for both financing and central 
planning, and to insure the representative 
character of the broadcasts; 

5. policy supervision of international broadcast- 

ing by a board of oustanding American pri- 
vate citizens, with Government participa- 
tion. 

Radio Relay Stations at Algiers To Close 

[Released to the press March 2-1] 

The Department of State announced on March 
24 that the U.S. radio relay stations at Algiers will 
be shut down on June 1, 1947. This radio relay 
operation was started during the war in 1943, to 
relay programs of the Voice of America by short 
wave and medium wave to Europe, Africa, and the 
Near East. The medium-wave relay station was 
closed in October 1946. Since then, two short- 
wave transmitters have carried programs from the 
United States for four and three quarters hours 
daily in the following languages : English, Bul- 
garian, Czechoslovak, French, German, Italian, 
Polish, Rumanian, and Yugoslav. 

Since the middle of 194G this Government has 
been in constant negotiation with the French Gov- 
ernment for the ultimate disposition of the facili- 
ties, which are under the direction of an American 
technical staff responsible to the U.S. Consul Gen- 
eral in Algiers. 

Programs now relayed through Algiers will be 
relayed to various European counti-ies through the 
newly established short-wave relay at Munich and 
through the facilities of the BBC. The Interna- 
tional Broadcasting Division of the Department of 
State is now planning long-range relay installations 
for more complete coverage of Europe and the 
Near East, subject to approval by Congress, and 
has an engineering survey under way to determine 
the best sites. 

The ultimate disposition of the physical facili- 
ties at Algiers is not yet decided. 

623 



Reception in U.S.S.R. of "Voice of America'' 

STATEMENT BY ASSISTANT SECRETARY BENTON 



[Released to the press March 29] 

The Associated Press in a Moscow dispatch of 
March 26 reported that the "Voice of America" is 
"finally making itself heard in Kussia". The 
dispatch continued, "The 'Voice of America', on 
a new waveband, pounded into Moscow tonight 
as loud as the Moscow radio, clear, and with no 
interference. The program received numerous 
comments from local listeners, who said they were 
impressed." 

One reason for difficulties in getting our signal 
through to Moscow on our daily Eussian broadcasts 
was reported on March 27 from Munich by E. J. 
Kerrigan, recently resigned vice president of Press 
Wireless, who is now serving as a Special Con- 
sultant to the Department of State. Mr. Kerrigan 
cabled that his investigations of our Munich trans- 
mitters had disclosed that the switching gear on 
one of our antennae had been sabotaged. He said 
that the doors on the switch-house had been broken 
and the switch of the antenna had purposely been 
"reversed" so that it was directed to South America 
rather than to Moscow. 

Of the six antennae available at our Munich re- 
lay station, three are regularly beamed to Balkan 



countries and two to the Soviet Union. One of the 
latter two had been used for experiments with new 
frequencies, and it is this antenna which had been 
tampered with. During the week of March 17 to 
25, experiments on a new frequency, beamed to the 
Soviet Union via this antenna, failed, apparently 
because of the sabotage. The condition was cor- 
rected on March 25. 

In his cable Mr. Kerrigan reported that an in- 
vestigation was under way and assured the Depart- 
ment that he was taking all possible precautions 
against this and other such acts. 

The AP dispatch is further confirmed by Drew 
Middleton's report in the New York Times of 
March 28, in which he states: 

"After five weeks of broadcasting, the 'Voice of 
America' program beamed to the Soviet Union 
from the United States is winning an increasing 
number of listeners, not only in Moscow but also 
in the Ukraine, Wliite Russia, and sevei'al pro- 
vincial cities of the Russian federation. 

"Generally the programs are attracting more 
and more listeners, they are getting publicity by 
word of mouth, and they are contributing to an 
understanding of the United States here." 



Proposed International Interchange and Information Act 



LETTER OF TRANSMITTAL > 



I am transmitting a draft of a proposed bill "to 
enable the Government of the United States more 
effectively to carry on its foreign relations by 
means of (a) promotion of the interchange of 
persons, knowledge and skills between the people 
of the United States and other countries, and (b) 
public dissemination abroad of information about 
the United States, its people and its policies." 



^ Letter from Acting Secretary Acheson to the President 
pro tempore of the Senate, and to the Speaker of the House, 
accompanying proposed cultural-exchange act (bill not 
printed). For text of draft bill see Department of State 
press release 225 of Mar. 21, 1947. 

624 



This draft was prepared jointly with the De- 
partments of Agriculture, Commerce, Interior and 
Labor, the Federal Security Agency, the Library 
of Congress and the Smithsonian Institution. 

The proposed legislation would authorize four 
types of activities, each of which has been spon- 
sored by this Government over a period of years. 
The legislation is submitted to Congress only after 
a world-wide inquiry in which the United States 
embassies and consulates have advised on the im- 
portance of these activities to their work. 

The principal activities authorized by tliis leg- 

Departmenf of State Bulletin 



islation are summarized below, in tlie order that 
they appear in the legislation. 

(1) Educational exchanges. Since 1039 the De- 
partment of State has been encouraging the ex- 
change of students and professors, books and other 
educational materials with the American Repub- 
lics. Through the cooperation of other federal 
agencies, young technicians and specialists in the 
other American Republics have been brought to 
the United States for practical training. Small 
grants have been made to American-sponsored 
schools abroad, to several American libraries 
abroad, and to the United States community cen- 
ters abroad which serve as discussion centers for 
citizens of the United States and other countries. 
The Congress has made a small appropriation each 
year for these activities, which are strongly sup- 
ported by our embassies. The purpose of this pro- 
gram is not "to educate the world" but rather to 
call attention openly to the merits of American 
educational methods, and thus to give to promising 
young leaders abroad an understanding of Amer- 
ican aims and ideals. 

The proposed legislation will authorize these 
activities outside the Western Hemisphere. 

(2) AssignTiicnt of Government specialists 
abroad. Since 1938 the Department of State has 
been arranging for individual specialists employed 
by the United States Government to be assigned 
for periods of service with other governments. 
Approximately 100 pex-sons have been sent abroad 
in this nine-year period to advise on jiroblems in 
such fields as agriculture, public health, census 
taking, child welfare and civil aviation safety. 
The present law restricts this service to the other 
American Republics, the Philippines and Liberia. 
Governments receiving this service now reimburse 
the United States for a substantial portion of the 
expense. American Ambassadors have expressed 
the opinion that the small expense incurred by the 
United States for these assignments is eminently 
justified by the closer working relationships with 
the other governments. 

The 251'oposed legislation would authorize the 
assignment of specialists to governments outside 
the American Republics, the Philippines and 
Liberia. 

(3) Joitit scientific services. Since 1939 the 
Department of State has entered into numerous 
agreements with other governments in the Western 

AprW 6, 1947 



THE RECORD OF THE WEEK 

Hemisphere for the joint performance of scientific 
and other services that are of mutual benefit. For 
example, Mexico and the United States have set 
up a joint weather station in Mexico, for which the 
United States contributes technical advice and 
some scientific equijament. The weather data de- 
rived from this station is used by both governments 
and is reported to be especially valuable in prepar- 
ing storm warnings for the Gulf States and for 
United States aircraft. Similar joint operations 
have been established for foreign tidal surveys 
needed by United States ships, for research in cer- 
tain tropical agricultural products sought by the 
United States, and for public health measures to 
check the international communication of diseases. 
The Department of State has utilized the services 
of other federal agencies to perform these services. 
Other governments have contributed approxi- 
mately 60 percent of the cost. 

The proposed legislation would authorize the 
extension of this type of cooperation to govern- 
ments outside the Western Hemisphere. 

(4) International information activities. The 
President, in an Executive Order on August 31, 
1945, transferred to the Department of State the 
international information functions of the Office 
of War Information and the Office of Inter-Ameri- 
can Affaii-s. In the past 18 months the Depart- 
ment has eliminated mucli of this information 
work, has greatly reduced the number of em- 
ployees, and is now conducting only those activities 
which it considers essential for peace-time pur- 
poses. International radio broadcasts are trans- 
mitted in about 2'5 languages. Small reference 
libraries are attached to about 60 of the embassies 
and consulates. Documentary films on the United 
States are available in most embassies for public 
showings. A daily wireless bulletin on develop- 
ments in the United States is sent to most em- 
bassies. 

The Department of State believes that misun- 
derstandings or false reports about the United 
States can readily affect international negotiations 
in which the United States is interested. It is in- 
dispensable, therefore, for this Goverment to assert 
the facts about its policies and let the truthfulness 
of the information over a period of time demon- 
strate its reliability. 

The Congress has previously authorized, subject 
to geograjDliical limitations, certain of the activi- 

625 



THE RECORD OF THE IVEEK 

ties described in this letter. The Act of May 25, 
1938, as amended, made possible the temporary 
detail of United States employees, possessing spe- 
cial qualifications, to governments of American 
Republics, the Philipp'nes and Liberia. An Act 
of August 9, 1939, en.,itled "An Act to render 
closer and more effective the relationships be- 
tween the American Republics" has enabled the 
Department of State to conduct the educational 
exchanges and joint scientific services mentioned 
above, but only in the Western Hemisphere. 

There is doubt whether the Department of State 
requires new legislation to authorize its informa- 
tion activities. Most of these activities have been 
conducted on a less extensive basis in the Depart- 
ment of State for many years. I am enclosing a 



statement on legislative authority for the infor- 
mation program which was prepared for the Sub- 
committee of the House Appropriations Commit- 
tee in 1946. The Department recognizes that this 
is a question which the Congress should decide. 

You will recall that legislation substantially 
similar to that which I am enclosing was consid- 
ered by the last Congress, receiving the approval 
of the House of Representatives (H.R. 4982, 79th 
Congress) and a favorable report by the Senate 
Foreign Relations Committee (S. 2432, 79th Con- 
gress) but did not come to a vote in the Senate. 

The Department has been informed by the Bu- 
reau of the Budget that there is no objection to the 
presentation of this proposal to the Congress for 
its consideration. 



Program for International Exchange of Persons 



Roster of Foreign Engineering Students 

The Department of State on March 28 an- 
nounced publication of a roster of 3,133 foreign 
students who are studying engineering in more 
than 300 universities and colleges in every State 
of the United States and in the District of Co- 
lumbia. Almost all of the foreign engineering 
students came to the United States to study at 
their own expense, or through scholarships pro- 
vided by their respective governments. They 
represent nearly one fifth of the 17,000 foreign 
students now studying a wide variety of subjects 
in United States educational institutions. 

A total of 937 of the foreign engineering stu- 
dents are from nine countries of the Middle and 
Far East which are planning modern industrial 
developments. The 596 students from the Middle 
East include 29 from Greece, 178 from Turkey, 
287 from India, 47 from Egypt, 37 from Iran, and 
18 from Iraq. Engineering students from Turkey 
and India represent half of the number of stu- 
dents from those countries studying in the United 
States. The 341 engineering students from the 
Far East include 300 from China, 38 from the 
Republic of the Pliilippines, and 3 from 
Afghanistan. 

The roster was compiled by the Division of In- 
ternational Exchange of Persons of the Depart- 
ment's Office of International Information and 
Cultural Affairs at the request of the Engineers' 
Joint Council of New York. 

626 



Aviation Training Program 

The Department of State announced on March 
27 that 68 citizens of Central and South America 
would come to the United States this spring for 
specialized study in aviation as part of the Sixth 
Inter-American Aviation Training Program now 
getting under way. 

The young men who will participate in tliis 
training are from Argentina, Bolivia, Brazil, 
Chile, Colombia, Costa Rica, Cuba, Guatemala, 
Mexico, Panama, Paraguay, Peru, Uruguay, and 
Venezuela. The course is sponsored by the U.S. 
Government's Inter-Departmental Committee on 
Scientific and Cultural Cooperation and is super- 
vised by the CAA. 

The purpose of this technical assistance is two- 
fold: (1) to promote international aviation har- 
mony by advancing uniformity of aeronautical 
installations, whether reporting, air-navigation 
aids, radio communications, control procedures, 
airworthiness standards, and so forth; and (2) to 
facilitate the operation of international air 
commerce. 

Arrival of Burmese Students 

Five graduate students from Burma arrived in 
Boston on the S.S. Allegheny Victory on March 
31 for advanced studies at United States colleges 
and universities in Michigan, Minnesota, Colo- 
rado, and Utah. 

Department of State Bulletin 



The five students bring to a total of 22 the 
number of Burmese students taking advanced 
courses in United States educational institutions 
in Massachusetts, New York State, California, 
Iowa, Texas, and Washington, D.C. All the stu- 
dents are graduates of the University of Rangoon 
in Burma. They are being sent to the United 
States at the expense of the Government of Burma 
to be trained for Government positions in Burma. 

Guatemalan Agriculturist Visits U.S. 

Hector M. Sierra, Chief of the Agricultural In- 
formation Division of the Ministry of Agricul- 
ture in Guatemala, is visiting the United States 
at the invitation of the Department of State. He 
has been extended a grant-in-aid by the Depart- 
ment to enable him to confer with colleagues in 
the field of agriculture and to visit agi-icultural 



, THE RECORD OF THE WEEK 

research centers. Mr. Sierra will consult with 
appropriate officials regarding a general exchange 
of agricultural information between the Guatema- 
lan Ministry of Agriculture and agi-icultural or- 
ganizations in the United States, and regarding 
crops suitable to the soils and climate of Guate- 
mala which are in demand in United States mar- 
kets. He plans to visit manufacturers and 
experiment stations in the field of agi-icultural 
equipment suitable for use in tropical areas. 

Historian To Visit Ecuador and Chile 

Philip Wayne Powell, professor of American 
and Latin American liistory at Northwestern Uni- 
versity, Evanston, Illinois, has received a grant- 
in-aid from the Department of State to enable 
him to serve as visiting lecturer on American his- 
tory at the cultural centers in Quito, Ecuador, and 
Santiago, Chile. 



Congressional Hearings on Trade Agreements Act 

STATEMENT BY UNDER SECRETARY CLAYTON ' 



It is my understanding that the Committee on 
Ways and Means is instituting these hearings and 
has requested my api^earance here in order to ob- 
tain information with regard to the reciprocal 
trade-agreements program which has now been 
carried on for 13 years under the Trade Agree- 
ments Act of 1934. 

The Committee is, I believe, concerned with 
how the program aifects the economic welfare of 
the United States. The Committee can hardly be 
interested in a rehash and review of the past. On 
each of the four occasions on which the Trade 
Agreements Act has been renewed by the Congress, 
this Committee and the Senate Finance Committee 
have thoroughly reviewed and examined the pur- 
pose, operation, and results of the program. In 
the course of these examinations hundreds of 
American citizens have appeared before the Com- 
mittees and given their views. These citizens have 
included businessmen, representatives of labor and 
agriculture, consumers, and others. 

Every conceivable question, relevant or irrele- 
vant to the program, has been asked and answered 
in the course of those hearings. Every shade of 
opinion has been fully aired. In the course of the 
last three hearings some 10,000 pages of testimony 

April 6, 1947 



before this Committee have been received and 
printed. In 1945 alone the printed record of this 
Committee's hearings extended to over 3,000 pages. 

The Committee hearings have been followed by 
extensive consideration and debate on the floor of 
each House of Congress. On each occasion the 
Congress had renewed the authority of the Presi- 
dent to enter into reciprocal trade agreements for 
the purpose, as stated in the act, of expanding 
foreign markets for United States products. That 
authority is exercised under certain precisely de- 
fined guides and limitations laid down in the act 
itself. There has been no intimation that the 
authority has been used beyond those limitations 
and guides. 

I assume, therefore, that the Committee's interest 
lies in the present and the future, rather than the 
past, except as the past foreshadows the future. 
On that point I may say that during the operation 
of the reciprocal trade-agreements program the 
national income materially increased; the in- 

' Made before the House Committee on Ways and Means 
on Mar. 26, 1947, and released to the press on the same 
date. Mr. Clayton is Under Secretary of State for Eco- 
nomic Affairs. 

627 



THE RECORD Of THE WBEK 

crease was reflected both in cash farm income and 
in wages and salaries paid in industry. Employ- 
ment increased, especially in those enterprises 
which, by reason of their efficiency and other ad- 
vantages, create the most jobs and pay the highest 
wages. These industries have found their foreign 
markets expanded through the reciprocal trade 
agreements. 

The trade agreements have not, of couree, been 
the sole factor in this economic advance. But 
ordinary common sense recognizes that important 
and profitable American industries have been able 
to sell more of their products in foreign markets 
because foreign countries, through reciprocal 
trade agi-eements, have reduced their trade bar- 
riers. American workers and farmers who bene- 
fited by those expanded foreign markets have, in 
turn, been better customers in the domestic market 
for American jDroducts. Ameiican industrial ac- 
tivity and living standards have been raised by 
increased imports, at more reasonable prices, of 
things from abroad which American industry and 
consumers need. 

The United States is today facing a world 
economic situation different from any which we 
have ever faced before, and far more difficult. 
Since the end of the war the trend in many coun- 
tries is toward more extensive controls of trade 
by government agencies and more actual participa- 
tion in trading operations by governments. This 
is not the sort of climate in which our type of 
foreign trade, carried on by private businessmen, 
can expand and prosper. In this kind of climate 
the volume and direction of trade is determined by 
what government allows, not by demands of a free 
market. Let me make it clear right at the start, 
therefore, that one of the primary objectives in our 
post-war trade program is to create the conditions 
under which private American traders will have 
maximum opportunities to expand their trade 
abroad with a minimum of governmental inter- 
ference. And that we need a vigoi-ous, expanding, 
two-way foreign trade as an extension of a dy- 
namic domestic economy has been demonstrated 
beyond dispute. 

In this situation circumstances have brought the 
United States into a position of world economic 
leadership and the responsibility that goes with 
it. We did not seek this position, but we cannot 
abandon it without serious results for ourselves 
and for the rest of the world. We have emerged 



fi'om the war as the giant of the economic world. 
What we do or don't do with our power will de- 
termine the course of events not only in this coun- 
try but throughout the world. By working with 
other countries we can reestablish the pattern of 
world economic relationships which we want and 
which will enable our own national economy and 
our own American system to continue and develop. 

If we are to exercise our economic strength and 
our leadership in shaping events as we want them, 
we must act immediately. Things are moving 
too rapidly to permit us the luxury of sitting back 
and hoping that matters will turn out all right 
while we follow a policy of doing nothing. De- 
lay and inaction now will be fatal to our objectives 
just as surely as wrong and misguided action will 
be fatal. The rest of the world is not going to 
wait for us. Unless we move rapidly and vigor- 
ously to establish in world commerce the principles 
upon which we can best advance our own economic 
interests, we are going to leave a vacuum into 
which, inevitably, will move an economic system 
based on principles alien to our ideas, injurious to 
our interests, and highly restrictive on the volume 
of world trade. 

In the United States we have traditionally de- 
pended chiefly on the tariff as a means of regu- 
lating our foreign trade. The tariff method is 
consistent with our ideas on free enterprise and 
competitive efficiency. Govei-nmental quotas, 
import licenses, and other rigid controls are not. 
Neither is state trading. Other countries — not the 
United States — ^began to use such devices even be- 
fore the war started. 

The only effective way in which we can get rid 
of these devices in foreign countries is by nego- 
tiating and bargaining. Our import market is 
tremendously important to almost all the countries 
of the world, and our tariffs control their access 
to this market. Therefore, our tariff is our bar- 
gaining stock. A tariff slash straight across the 
board would not be effective use of that bargaining 
power nor would it be wise. For the past 13 years 
we have successfully been making selective tariff 
cuts without injury to our own economy. In 
return, we have obtained maximum value in the 
form of reductions in foreign barriers against our 
exports and foreign guaranties of non-discrimina- 
tion against us. 

If we hesitate to continue negotiating on this 
basis it can only be because we have lost confidence 



628 



Department of State Bulletin 



in the strength of our own economy and the ef- 
fectiveness of our own economic system. In the 
absence of all-around negotiated reductions in 
trade barriers, we face the dangerous alternative 
of trade regulation by governmental quotas and 
licenses — a system which seeks as its first objective 
a sort of static and negative security and makes 
impossible the expansion of trade by private com- 
petition and new opportunities, which is the heart 
of our own system. 

Much of the rest of the world is in economic ruin. 
Our own strength is not only unimpaired but has 
greatly developed during the war. Under such 
conditions can we possibly be afraid to sit down 
and negotiate with other countries? Is it because 
we are afraid of imports? We are now absorbing 
imports at the annual rate of some 5 billion dol- 
lars. These imports, far from injuring our do- 
mestic economy, are strengthening our industries 
with essential raw materials and raising our stand- 
ards of living. At its present tempo our economy 
30uld profitably absorb a much greater volume of 
imports. If that tempo is speeded up and our 
industries continue to expand, we can profitably 
accept — in fact we must have — even more im- 
ports than we are now receiving. We definitely 
must have larger foreign markets for the enor- 
mous surpluses we are now producing in this 
country, principally of farm products. There must 
be, in shoi't, a world-wide, multilateral expansion 
of world trade imder private enterprise on a non- 
discriminatory basis. It is within our power, and 
clearly in our self-interest, to help bring this about. 

It is against today's present and growing trade 
restrictions and discriminations that the United 
States Government is now proposing to exert its 
power and its leadei'ship through an international 
trade program based on the same lines as the re- 
ciprocal trade-agreements program of the past. 

If we act quickly, and with courage and vision, 
we can do much to prevent existing governmental 
restrictions and controls on trade throughout the 
rest of the world from becoming more burden- 
some. We can help to turn the tide in the other 
direction, so that United States traders will not 
find their foreign markets and their foreign 
sources of supi^lies fenced off by new and more 
burdensome tariifs, quotas, and import- and 
axport-license systems. We can take the leader- 
ship in preventing conditions under which foreign 
TOvernments take more and more control of com- 



THE RECORD Of THE WEEK 

merce, actually participate more and more in 
trade, and make new bilateral and discriminatory 
deals among themselves which will have the effect 
of shutting out American traders or putting them 
at competitive disadvantage. 

If we do not act decisively and effectively now, 
it will be increasingly difficult for private Ameri- 
can businessmen to carry on foreign trade under 
such conditions. They will be compelled to seek 
the assistance of their own Government in deal- 
ing with foreign governments. The United 
States Government will find itself bargaining and 
bartering, country by country and month by 
month, to get foreign markets for American goods 
and foreign supplies for American industry and 
consumers. Governmental regulation of and par- 
ticipation in foreign trade is a long step in the di- 
rection of governmental interference with domestic 
business — with production, prices, and consump- 
tion. The trade- agreements program will mini- 
mize government intervention in private trade, 
both foreign and domestic, and should be vigor- 
ously supported by believers in free enterprise. 

Unless the United States quickly throws its eco- 
nomic power into the balance in favor of more 
liberal and expanded world trade in private hands, 
we shall lose the initiative and fall back into a 
defensive action against trade developments 
throughout the world that will be highly disad- 
vantageous to the whole United States economy. 

For 13 years the trade-agreements program has 
been used by the United States as a means of 
checking and preventing, so far as possible, the 
srowth of foreign barriers and discriminations 
against United States trade. Until the last war, 
the effort was reasonably successful. We obtained 
not only reductions in foreign trade barriers but 
also commitments for non-discrimination against 
United States trade from 29 of the countries with 
which we trade. In addition, through the au- 
thority in the Trade Agi-eements Act to withhold 
trade-agreement benefits from countries which 
might discriminate against us, we were able in 
most cases to protect American foreign trade from 
being placed at serious competitive disadvantage 
in the markets of those countries. 

Ground was lost during and after the war, how- 
ever. It can be regained only through pi'ompt 
and vigorous action along the same lines as those 
followed in the trade-agreements program in the 
past. 



April 6, 1947 



629 



THE RECORD Of THB WEEK 

This leadership is not something new for this 
country. The reciprocal trade-agreements pro- 
gi'am of 1934 was, in itself, an exemplification of 
leadership. During and since the war we have 
moved farther and farther to the front. In the 
Atlantic Charter and in our lend-lease agreements 
it was the United States which insisted on the 
inclusion of principles looking toward more liberal, 
non-discriminatory, and expanding world trade 
after the war. Wliile the war was still in progress 
it was the United States initiative which led to 
the Bretton Woods agreements and the subsequent 
establishment of the International Bank for Re- 
construction and of the International Monetary 
Fund. 

In November 1945 the United States published 
its Proposals for Expansion of World Trade and 
Employment^ which suggested the establishment 
of an International Trade Organization and the 
adoption of a charter or code of principles under 
which international commerce can expand, multi- 
laterally and on a non-discriminatory basis, with 
the fewest possible restrictions, and with resulting 
increases in employment and production and 
higher living standards throughout the world. 
The Proposals were followed by a Suggested Char- 
ter for the proposed International Trade Organi- 
zation, and the United States Delegation in the 
United Nations Economic and Social Council in- 
troduced in the Council the resolution to call an 
International Conference on Trade and Employ- 
ment which will consider the establishment of an 
International Trade Organization and the adop- 
tion of a cliarter for it. United States experts 
drafted the Suggested Charter, which was the basic 
document used by the Preparatory Committee set 
up by the Economic and Social Council which first 
met at London in October and November 1946. 

It was the United States Government which in 
December 1945 invited 15 foreign countries, and 
later 3 additional countries, to meet with us and 
negotiate, under the Trade Agreements Act, for 
reciprocal reduction of tariff and other trade bar- 
riers and for the elimination of discriminations 
in world trade. 

Through all these measures we have established 
and begun to exercise our economic leadership, in 
our own interest and in the interest of the rest of 
the world. If we step down now, the consequences 
will be disastrous to us and also to the rest of 
the world. Therefore, let me tell you briefly how 



we propose to exercise our leadership in the im- 
mediate future. 

As I have said, the Preparatory Committee set 
up by the Economic and Social Council of the 
United Nations has set next month for its second 
meeting in Geneva. At that meeting the Com- 
mittee will do two things: first, it will conclude 
its preparations for an International Conference 
on World Trade and Employment and its drafting 
of a charter for an International Trade Organiza- 
tion, along the lines proposed by the United States 
Government in November 1945 ; second, the nations 
represented on the Committee will undertake to 
negotiate among themselves trade agreements pro- 
viding for the reduction of tariffs and other trade 
barriers and for the substantial elimination of 
trade discriminations. This, too, is along the lines 
planned by the United States when in 1945 and 
1946 it invited these same nations to negotiate such 
a trade agi'eement. 

The United States Government has already car- 
ried through the preliminary steps under the 
Trade Agreements Act in preparation for the ne- 
gotiations at Geneva. Public notice of intention to 
negotiate was given last November, and a list of 
the products on which we would consider offering 
tariff concessions in the negotiations was made 
public at the same time. Public hearings on the 
proposed agreement were opened by the Commit- 
tee for Reciprocity Information on January 13 
and continued through February 6. More than 
1,000 interest groups and individuals filed written 
statements, and more than 500 appearances were 
registered at the public hearings. Every inter- 
ested person was given full opportunity to give 
information and views as to the provisions of the 
proposed agi'eements, including concessions 
which should be sought from foreign countries in 
the interest of American exports, whether any 
reductions should be made in United States 
tariffs, and what reductions might be made. These 
views and information, together with the material 
assembled by the reiDresentatives of seven Govern- 
ment agencies which make up the interdepart- 
mental trade-agreements organization, are being 
analyzed and thoroughly studied by that organi- 
zation in preparing its recommendations to the 
President, through the Secretary of State, on the 
terms which the United States, in its own economic 
interest, sliould seek to have incorporated in the 
agreements. 



630 



Deparfmenf of Sfafe Bulletin 



The trade-agreement negotiations at Geneva are 
an essential and integral part of the rest of the job 
to be undertaken there — to conclude the pre- 
paratory work for the establishment of an Inter- 
national Trade Organization and the writing of a 
charter or code of principles and rules for the 
conduct of international trade. Unless arbitrary, 
excessive, and uneconomic barriers to trade are 
reduced and unless discrimination and inequality 
of trade treatment are abolished, there will not be 
much use trying to go ahead with the rest of the 
plan. 

The charter covers other matters as well. It 
proposes commitments that member countries will 
try to increase and maintain domestic employment 
and buying power by means which will not ad- 
versely affect other countries. It provides for 
limitation of the use of trade quotas and exchange 
restrictions. It establishes principles for the 
operation of intergovernmental arrangements 
dealing with emergency situations in regard to 
primary products. It provides for both joint and 
individual action by governments in curbing re- 
strictive cartel practices in international trade. 

Agreement on all of these things must be reached 
if American traders are to gain the maximum ad- 
vantages for their individual enterprises and com- 
petitive efficiency. If agreement is reached we can 
not only maintain but raise the levels of employ- 
ment, production, and buying power in this coun- 
try. These things will be done — can be done — only 
if this country continues to exercise its leadership 
in international economic affairs. 

I might add here that, contrary to some mis- 
understandings, the International Trade Organ- 
ization will not be an international super-govern- 
ment in the economic field, with power to fix tariffs 
of member countries or control either their foreign 
or domestic trade. Tariff adjustments under the 
charter — the matter of most interest to the United 
States — will be made by negotiation and only in 
return for comparable advantages, just as the 
United States has been doing for 13 years under 
the trade-agreements program. Member nations 
will voluntarily agree to refrain from imposing 
quotas and certain other trade restrictions and 
discriminations. The International Trade Organ- 
ization will impose no new international controls 
or regulations on trade. Under its charter only 



THE RECORD Of THE W££K 

one "penalty" can be incurred by any country 
which violates its commitments. Member coun- 
tries may, with the concurrence of the organiza- 
tion, withhold from such a country the trade bene- 
fits which they have agreed to extend to each other. 

The whole aim and purpose of the International 
Trade Organization and of the Suggested Charter 
is to reduce and minimize, not to increase, govern- 
mental interference with foreign trade carried on 
by private traders, and to guide that trade on eco- 
nomic, not political, principles. 

That is what we are going to Geneva for — to 
bargain for a chance for American private enter- 
prise to continue and to benefit the American 
economy through expanded foreign trade. 

Actually, we are to bargain for more than busi- 
ness profits and economic advancement. The re- 
lationship between political and economic ques- 
tions in the international field is so close that it 
should hardly need emphasis. It has been force- 
fully illustrated by the situation in Turkey and 
Greece, which was the subject of the President's 
recent message to the Congress. We have never 
said that successful international economic cooper- 
ation would in itself assure political peace, but it 
is clear that, in the absence of satisfactory eco- 
nomic conditions, political problems become in- 
tensified and political peace caimot be stable or 
long-enduring. Our kind of system cannot fully 
succeed while widespread poverty and want exist. 
On the contrary, it is the continuation of such con- 
ditions that gives rise to the serious political prob- 
lems in many parts of the world today. The more 
we can do, therefore, to bring about healthy eco- 
nomic conditions, the fewer political problems we 
will have. At Geneva we aim to advance further 
toward international agreement on the economic 
conditions which will strengthen the political basis 
for peace. 

These, then, are some of the reasons why we 
should — and we must — push ahead vigorously and 
with the courage of real leadership in the course 
we have laid down. This is the hour of opportu- 
nity. I am convinced that we can now obtain in- 
ternational agreement which will result in a great 
expansion in world trade, in which the United 
States would certainly be the chief beneficiary. 
If we lose this opportunity, who knows when or 
whether we may ever have another? 



AprW 6, 1947 



631 



THE RECORD OF THB WEBK 

U.S.-French Agreement on Copyright 
Extension 

An agreement between the United States and 
France for an extension of time for fulfilment of 
the conditions and formalities for securing copy- 
right during the present emergency was effected on 
March 27, 1947, by an exchange of notes between 
the French Ambassador and the Acting Secretary 
of State.^ 

The note from the French Ambassador to the 
Acting Secretary of State describes the French 
legislation regarding copyright kept in force dur- 
ing the war which accorded citizens of the United 
States favorable treatment and prevented Ameri- 
can authors from suffering any prejudice to their 
rights in France because of the war. The note 
from the Acting Secretary of State to the French 
Ambassador is accompanied by a copy of a proc- 
lamation issued on March 27, 1947, by the Presi- 
dent of the United States pursuant to Public Law 
258, 77th Congress (55 Stat. 732), extending to 
Fi"ench authors and copyright proprietors the time 
for comi^liance with and fulfilment of the condi- 
tions and formalities established by the laws of 
the United States of America relating to copy- 
right.- 

Restitution of American-Owned 
Property in France 

[Released to the press March 26] 

Americans who were deprived of property in 
France during the war are advised that June 1, 
1947, has been fixed as the time limit for proceed- 
ings under two French ordinances providing for 
the restitution of certain types of projDerty. 

Procedures for the recovery of property which 
was confiscated and subsequently sold by the Vichy 
government or by the enemy occupation authorities 
were established by ordinance no. 45-770 of April 
21, 1945 (Journal 'Officiel of April 22, 1945) . Ee- 
ports of all such property were required to be made 
by the present holders to the Restitution Service 
of the French Ministry of Finance. The dispos- 
sessed owners may declare all transfers of such 
projierty invalid and may bring special proceedings 
for the recovery of their property before the pre- 
siding judges of the civil or commercial courts. 



' Not printed. 

- The text of the above-mentioned proclamation is printed 
in 12 Federal Register 2047. 



The restitution of movable property which was 
pillaged during the occupation and subsequently 
recovered by the French Government is governed 
by ordinance no. 45-624 of April 11, 1945 [Jov/rnal 
Offi.ciel of April 12, 1945) and subsequent orders 
implementing the ordinance. Such property may 
be reclaimed by filing an application with the Serv- 
ice de Restitution des Biens des Victimes des Lois 
et Mesures de Spoliation, Ministere des Finances, 
71 Boulevard Pereire, Paris. The application 
should describe the property as precisely as possi- 
ble, and indicate the date on which, and the place 
where, the property was pillaged. 

No time limit has been fixed for the recovery of 
property confiscated by the Vichy government or 
by the occupation authorities and taken over by the 
French Government at the time of the liberation. 
Among the ordinances providing for the return of 
such property are those of October IC, 1944 {Jour- 
nal Ofjiclel of October 17, 1944) , and of November 
14, 1944 {Journal Officiel of November 15, 1944). 
Such property may be recovered by direct request 
to the administrator or manager of the property. 

All of the above measures were adopted by the 
French Government in fulfilment of the London 
declaration of January 5, 1943. The governments 
signatory to that declaration announced their in- 
tention to do everything possible to defeat the 
methods of expropriation employed by the enemy 
in occupied territory, and reserved the right to 
declare invalid any jjroperty transaction in enemy- 
controlled territory. 

Procedure for Filing Property Claims 
In the Netherlands 

[Released to the press March 27] 

Although the time for filing claims for property 
confiscated in the Netherlands by the Germans 
during the war expired on May 1, 1946, efforts 
will be made to have consideration given to such 
claims filed by American nationals at the present 
time if good reasons can be shown for the delay 
in filing. As it appears likely that the custodians 
appointed by the Netherlands Government to ad- 
minister such property will be in a position to 
make a substantial first payment in liquidation of 
claims in 1947, claims should be filed without 
further delay. 

Property of American nationals which was con- 
fiscated by the Germans was administered during 
the German occupation of the Netherlands by the 



632 



Depar/menf of Sfofe Bulletin 



"Deutsche Revisions — iind Treuhand A.G." The 
"Treuhand" assets were among those taken over by 
the Netherlands Government when the Netherlands 
was liberated. The assets are under the jurisdiction 
of the "Nederlandsche Beheersinstituut", an organ- 
ization similar to our Alien Property Custodian, 
which appointed custodians for the properties of 
all German agencies and individuals. Under the 
laws of the Netherlands, debtors who were forced 
by the Germans to pay "Treuhand" money owed 
to the enemies of Germany are considered to have 
paid off their debts, and creditors for such debts 
are to regard the German agency to which the 
debt was paid, in this case "Treuhand", as the 
debtor, rather than the firms or individuals who 
contracted the debt. 
Americans desiring to file claims for bank ac- 



THE RECORD OF THE WEEK 

counts or other sums of money owing to them 
which were turned over to "Treuhand" are ad- 
vised to write promptly to the custodians of 
"Treuhand" appointed by the "Nederlandsche 
Beheersinstituut", Notaries J. van Hasselt and 
A. M. Vroom, Singel 250, Amsterdam, Nether- 
lands, stating in their letter all the details 
of which they are aware regarding the trans- 
action between their debtor and "Treuhand", 
such as amount, date, place of payment, and so 
forth. It is suggested that a copy of the letter 
registering the claim be sent to the former debtor 
in the Netherlands with the request that he com- 
municate with "Treuhand" and provide any addi- 
tional pertinent details regarding the transfer of 
the funds to "Treuhand" which may have been 
omitted in the claim. 



U.S. Position on Swedisli Import Restrictions 



[Released to the press March 25] 

Text of a note delivered by the American Legation 
at Stockholm to the Swedish Foreign Minister on 
March 2Jf, 19Jff. The note deals with the import 
restrictio7is imposed hy the Swedish Government 
on March 15, 1947 

Excellency : 

I am instructed by my Government to inform 
you as follows: 

The Government of the United States has taken 
note of the action of the Government of Sweden, 
announced in its communique of March 15, 1947, 
in imposing a general import prohibition, effective 
from 7 : 00 p.m., March 15, 1947 for the purpose 
of preventing a further decline in its foreign ex- 
change reserves. The United States Govermnent 
has also taken note of the fact that certain com- 
modities not included in the import prohibition, 
are placed on a so-called free list, and that included 
in this free list are chiefly raw materials, machinery 
and other commodities essential to the Swedish 
economy, as well as commodities which will be 
imported in fulfillment of Sweden's bilateral trade 
agreement commitments. 

The Government of the United States calls the 
attention of the Swedish Government to Article 



VII of the Reciprocal Trade Agreement entered 
mto between the two countries on May 25, 1935 
which provides that in the event that either party 
to the agreement proposes to change any of the 
provisions of Article VII it shall give notice in 
writing to the other Government and shall afford 
the other Government thirty days after receipt of 
such notice to consult with it in respect to such 
action. Insofar as the import restrictions placed 
in force by the Swedish Government on March 15, 
1947 affect the importation into Sweden of com- 
modities listed in Schedule I of the Reciprocal 
Trade Agreement, the failure of the Swedish Gov- 
ernment to give the United States Government 
thirty days' notice in writing constitutes a clear 
violation of Article VII of the Trade Agi-eement. 
Since the Government of Sweden has itself an- 
nounced that so long ago as December 19, 1946, 
it was informed by the Riksbank of the necessity 
of imposing some form of import control in view 
of the rapidly decreasing gold and foreign- 
exchange holdings of the Riksbank, my Govern- 
ment feels that the Swedish Government had 
adequate opportunity of affording the United 
States Government the thirty-day advance notice 
required in the United States-Swedish Trade 
Agreement. 
The Government of the United States cannot 



AprU 6, J 947 



633 



THE RECORD OF THE WEEK 

but strongly protest the implications of the an- 
nounced progi-am of the Swedish Government to 
permit the import of certain commodities into 
Sweden in fulfillment of its bilateral trade-agree- 
ment commitments, while prohibiting or severely 
restricting the importation of the same or similar 
commodities from the United States. By this 
course of action the Swedish Government would 
appear to be adopting the position that it considers 
that its bilateral trade agreements must be hon- 
ored and fulfilled at the expense of or in preference 
to its contractual obligations with countries with 
which it has no such bilateral agreements. This 
policy, if pursued, would lead to a complete break- 
down of multilateral non-discriminatory trade 
among nations, the maintenance of which, in addi- 
tion to being a principal tenet of the United States 
Government's foreign policy, is also an established 
principle of the Swedish Government, according 
to repeated pronouncements by its representatives. 
The United States Government must emphasize 
that it considers its Keciprocal Trade Agreement 
entered into with the Government of Sweden to be 
fully as binding upon the Swedish Government as 
any of that country's bilateral agreements. In 
fact the Keciprocal Trade Agreement, by reason 
of the date of its entering into force, is a prior 
commitment of the Swedish Government. 

The United States Government feels constrained 
to call attention of the Swedish Government to the 
commitments and obligations entered into by Swe- 
den in its Reciprocal Trade Agreement with 
the United States, particularly as those com- 
mitments are set forth in Article II of the 
Agreement. That Article provides that in the 
event of the establishment of quotas or other im- 
port restrictions by either Government, it is agreed 
that in the allocation of the quantity of restricted 
goods which may be authorized for importation, 
the other country will be granted a share equivalent 
to the proportion of the trade which it would nor- 
mally enjoy. Article II further provides that in 
the event either country establishes import re- 
strictions, imports originating in the other coun- 
try will be granted at least as favorable treatment 
as that granted to the same or similar goods orig- 
inating in a third country. The United States 



' For exchange of correspondence between the Mission 
and the interested agencies of this Government, see De- 
partment of State press release 245 of Mar. 26, 1947. 

634 



Government must assume that the announced im- 
port licensing system of the Swedish Government 
will be administered in accordance with the pro- 
visions of Article II of the Reciprocal Trade 
Agreement, as well as in accordance with the gen- 
eral spirit and intent of that Agreement. 

The United States Government reserves all 
rights, under Article XI of the Reciprocal Trade 
Agreement between the two countries, to make such 
further representations to the Swedish Govern- 
ment as the f uttire operation of that Government's 
import licensing system may seem to require. 

Haitian Good-Will Mission Concludes 
Negotiations With U.S. 

The Special Mission of the Government of Haiti 
which has been in the United States recently con- 
cluded its negotiations with this Government, and 
members of the mission have now returned to 
Port-au-Prince. The mission consisted of Jean 
Price-Mars, Minister of Foreign Relations; Jo- 
seph D. Charles, Ambassador in 'Washington; 
Gaston Margron, Minister of Finance; and 
Georges Rigaud, former Minister of Agriculture 
and Commerce. 

During its stay in the United States the mission 
or individual members thereof were received by 
Secretary Marshall, Under Secretary Clayton, As- 
sistant Secretary Braden, the President and mem- 
bers of the Board of Directors of the Export- Im- 
port Bank, and other officers of the State Depart- 
ment and the Bank, who discussed with them mat- 
ters of mutual interest to the Governments of 
Haiti and the United States.^ 

Coinciding with the mission's visit were several 
developments demonstrating the mutual coopera- 
tion and close relations which exist between Haiti 
and the United States. These included the exten- 
sion until June 30, 1948 of the joint agricultural 
program of the Government of Haiti and the In- 
stitute of Inter- American Affairs; an increase in 
the price paid by the Reconstruction Finance Cor- 
poration for Haitian sisal, most of which is pur- 
chased by that agency; continuation of an ac- 
celerated program of cultural exchange between 
the two countries; and the preliminary steps in 
the negotiation of a cultural convention which, if 
concluded, would be the first such formal accord 
entered into by this Government. 

Department of Slate Bulletin 



\ 



Proposed Amendment to the Constitution Relating 
to President's Terms of Office 



[Released to the press March 28] 

The original joint resolution proposing an 
amendment to the Constitution of the United 
States relating to the terms of office of the Presi- 
dent was received at the Department of State on 
the afternoon of March 24. 

The document bears the signatures of Joseph 
W. Martin, Jr., Speaker of the House of Repre- 
sentatives, and William F. Knowland, Acting 
President of the Senate pro tempore, and has also 
the customary endorsement, "I certify that this 
Joint Resolution originated in the House of Rep- 
resentatives", which is signed by John Andrews, 
Clerk of the House of Representatives. Resolu- 
tions proposing amendments to the Constitution 
are not submitted to the President of the United 
States, and accordingly this resolution does not 
bear the signature of President Truman. 

When a proposed constitutional amendment is 
received from Congress by the Secretary of State, 
it becomes his duty to communicate the resolution 
to the Governors of the 48 States. A letter signed 
by the Secretary of State, or the Acting Secretary 
of State, is sent to the Governor of each State en- 
closing a copy of the resolution of Congress duly 
authenticated under the seal of the Depai'tment of 
State. In the present instance these 48 letters 
were dispatched on March 27, which allowed time 
for the making of copies of the resolution, for the 
preparation of certificates of authentication, and 
for the affixing thereto of the seal of the Depart- 
ment. 

The letter of the Acting Secretary of State to 
the Governors read as follows : 

"I enclose a certified copy of a resolution of 
Congress entitled 'Joint Resolution Proposing an 
Amendment to the Constitution of the United 
States relating to the terms of office of the Presi- 
dent', passed during the first session of the 
Eightieth Congress of the United States, 'Begun 
and held at the City of Washington on Friday, the 
third day of January, one thousand nine hundred 
and forty-seven'. It is requested that you cause 
this joint resolution to be submitted to the Legis- 

Aptil 6, 1947 



lature of your State, for such action as it may 
take, and that a certified copy of such action be 
communicated to the Secretary of State, as re- 
quired by section 160, title 5, United States Code, 
copy of which is enclosed. 

"An acknowledgment of the receipt of this com- 
munication is requested." 

An enclosure to the letter is a copy of section 
160, title 5, of the United States Code, as follows : 

"Wlienever official notice is received at the De- 
partment of State that any amendment proposed 
to the Constitution of the United States has been 
adopted, according to the provisions of the Con- 
stitution, the Secretary of State shall forthvsdth 
cause the amendment to be jjublished, with his 
certificate, specifying the States by which the same 
may have been adopted, and that the same has 
become valid, to all intents and purposes, as a part 
of the Constitution of the United States." 

Article V of the Constitution of the United 
States provides that — 

"The Congress, whenever two thirds of both 
Houses shall deem it necessary, shall propose 
Amendments to this Constitution, or, on the Ap- 
plication of the Legislatures of two thirds of the 
several States, shall call a Convention for propos- 
ing Amendments, which, in either Case, shall be 
valid to all Intents and Purposes, as Part of this 
Constitution, when ratified by the Legislatures of 
three fourths of the several States, or by Conven- 
tions in three fourths thereof, as the one or the 
other Mode of Ratification may be proposed by tlie 
Congress. . . ." 

The present joint resolution includes the provi- 
sion that the proposed amendment "shall be valid 
to all intents and purposes as part of the Consti- 
tution when ratified by the legislatures of three- 
fourths of the several States". In the case of 20 
of the 21 amendments to the Constitution that 
have gone into force, the procedure of submission 
to the legislatures of the States was employed ; in 
the one case of tlie Twenty-first Amendment the 
alternative procedure of submission to conventions 
in the States was employed. 

635 



THE RECORD OF THE WEEK 

When and as the respective State legislatures 
take action on the proposed amendment to the 
Constitution, certified copies of such action are 
transmitted to the Secretaiy of State ; and if and 
when the necessary three fourths of the States, or 
in other words 36 States, have ratified the proposed 
amendment, the Secretary of State, pursuant to 
section 160, title 5, United States Code, will certify 
under the seal of the Department that it appears 
from oiEcial notices received at the Department 
that the amendment has been ratified by the legis- 
latures of those States, naming them, and that 
the amendment "has become valid, to all intents 
and purposes, as a part of the Constitution of the 
United States". 

A copy of the joint resolution in question 
follows : 

JOINT RESOLUTION > 

PROPOSING AN AMENDMENT TO THE CONSTITUTION OF 
THE UNITED STATES RELATING TO THE TEEMS OF 
OFFICE OF THE PRESIDENT 

Resolved iy the Senate and House of Repre- 
sentatives of the United States of America in 
Congress assetniled (two-thirds of each House 
coneun'ing therein) , That the following article is 
hereby proposed as an amendment to the Consti- 
tution of the United States, which shall be valid 
to all intents and purposes as part of the Consti- 
tution when ratified by the legislatures of three- 
fourths of the several States : 

^^ Article — 

'■'■Section 1. No person shall be elected to the 
office of the President more than twice, and no 
person who has held the office of President, or 
acted as President, for more than two years of a 
term to which some other person was elected Presi- 
dent shall be elected to the office of the President 
more than once. But this Article shall not apply 
to any person holding the office of President when 
this Article was proposed by the Congress, and 
shall not prevent any person who may be holding 
the office of President, or acting as President, 
during the term within which this Article be- 
comes operative from holding the office of Presi- 
dent or acting as President during the remainder 
of such term. 

'■^Section 2. This article shall be inoperative un- 
less it shall have been ratified as an amendment to 
the Constitution by the legislatures of three- 

' H. J. R<'S. 27, 80th Cong. 
636 



fourths of the several States within seven years 
from the date of its submission to the States by 
the Congress." 

Joseph W. Martin, Jr. 
Speaker of the House of Representatives 

William F. Knowland 
Acting President of the Senate pro tempore. 
I certify that this Joint Kesolution originated in 
the House of Representatives. 

John Andrews, Clerk. 

ILO Meeting — Continued from page 611 
viding means for consideration of questions aris- 
ing from the proceedings of the Building, Civil 
Engineermg and Public Works Committee. The 
fifth and last resolution requested the ILO to un- 
dertake a study of the methods employed in the 
various countries of conducting industrial rela- 
tions in the construction industries. 

The first sessions of the Textiles Committee and 
the Building, Civil Engineering and Public 
Works Committee of the ILO furnished an op- 
portunity to the delegates of the several func- 
tional groups to meet together and to exchange 
their views on the conditions in their respective 
countries. In this manner they provided a basis 
for becoming acquainted with problems of mu- 
tual interest and of laying a foundation stone for 
future international cooperation in the field of 
social policy in the textile and construction in- 
dustries. The consensus of opinion regarded both 
meetings as quite successful. 

THE FOREIGN SERVICE 
Ambassador to Yugoslavia, Resigns 

The President has received a letter dated March 
26, 1947, from Eichard C. Patterson, Jr., tender- 
ing his resignation as United States Ambassador 
to Yugoslavia. For the text of Mr. Patterson's 
letter and the President's reply, see White House 
press release of March 27, 1947. 

Ambassador to Poland, Resigns 

The President has received a letter dated March 
21, 1947, from Arthur Bliss Lane tendering his 
resignation as United States Ambassador to Po- 
land. For the text of Mr. Lane's letter and the 
President's reply, see White House press release 
of March 25, 1947. 

Department of State Bulletin 



World-Wide Oral Examinations for 
Foreign Service 

[Released to the press March 28] 

An examining panel left Washington on March 
28 on a trip around the world to conduct oral 
examinations for admission to the Foreign Service. 

The panel consists of : 

Joseph C. Green, of Cincinnati, Ohio, and Chevy Chase, 
Maryland, Executive Director of the Board of Ex- 
aminers for the Foreign Service, Chairman with the 
rank of Minister ; 

Frederick W. Brown, of Kensington, Maryland, formerly 
of the staff of the Civil Service Commission ; 

Wayne C. Taylor, of Chicago, Illinois, and Washington, 
D.C., former Under Secretary of Commerce ; 

A. Rex Johnson, of Provo, Utah, and Arlington, Virginia, 
Assistant Director, Office of Foreign Agricultural Re- 
lations, Department of Agriculture. 

The examinations will be held in Honolulu, 
Manila, Tokyo, Shanghai, Bombay, Cairo, Rome, 
Munich, Frankfurt, Berlin, Brussels, and Paris. 

Most of those who will take the examinations are 
candidates for admission to the middle and upper 



THE RECORD Of THE WEEK 

classes of the Foreign Service under the Manpower 
Act who have been exempted from the written 
examinations, or candidates for admission to class 
6 who were successful in the special written ex- 
amination given in October 1946 for veterans and 
members of the armed forces. 



THE DEPARTMENT 

Garrison Norton Confirmed as 
Assistant Secretary of State 

On March 21, 1947, the Senate confirmed the 
nomination of Garrison Norton to be Assistant Sec- 
retary of State for transport and communications. 
Mr. Norton was formerly Director of the Office of 
Transport and Communications. 

Appointment of Officers 

The Department of State announced on March 
26 the appointment of Walter A. Eadius as Di- 
rector, Office of Transport and Communications. 



Addresses, Statements, and Broadcasts of the Week 



The Secretary of State. 
Acting Secretary Acheson. 
Under Secretary Clayton. 



Warren R. Austin, U.S. Repre- 
sentative of the U.N. 

Paul Porter, Chief of American 
Economic Mission to Greece. 
Under Secretary Clayton. 

Assistant Secretary Benton. 



Joseph Johnson, Chief of Divi- 
sion of International Secur- 
ity Affairs. 

Assistant Secretary Thorp. 



Under Secretary Clayton. 



Relating to questions before the Council of 

Foreign Ministers. In this issue. 
Aid to Greece and Turkey. 

Aid to Greece and Turkey. 



Aid to Greece and Turkey. 



Aid to Greece and Turkey. 
U.S. Participation in ITO. 

"UNESCO: Proposal to History". Not 
printed. For text, see Department of 
State press release 230 of Mar. 24. 

Reception of the Voice of America in Rus- 
sia. In this issue. 

"The Regulation of Armaments and Lasting 
Peace". Not printed. For text, see De- 
partment of State press release 262 of 
Mar. 29. 

"Economic Progress and World Peace". Not 
printed. For text, see Department of 
State press release 253 of Mar. 27. 

"Why Does the United States Need Inter- 
national Trade?" Announcement made 
in this issue. 



Made in Moscow at meetings of the Council 
of Foreign Ministers. 

Statement made before the Senate Commit- 
tee on Foreign Relations on Mar. 24. 

Statement made before the Senate Commit- 
tee on Foreign Relations on Mar. 25. 

Statement made before the House Commit- 
tee on Foreign Affairs on Mar. 24. 

Statement made before the Security Council 
of the U.N. on Mar. 28. 

Statement made before the House Commit- 
tee on Foreign Affairs on Mar. 28. 

Statement made before the House Commit- 
tee on Ways and Means on Mar. 25. 

Address made before the National Confer- 
ence of UNESCO at Philadelphia, 
Pa., on Mar. 24. 

Statement made in Washington on Mar. 29. 

Address made before the Women's Action 
Committee in Washington on Mar. 29. 



Address made before the Women's Action 
Committee in Washington on Mar. 27. 

Broadcast over NBC University of the Air 
program on Mar. 29. 



April 6, 1947 



637 



THE RECORD OF THE WEEK 



Departmental Regulations 

420.1 Use of Original Records of the Department of 
State: (Effective 9-16-46) 

I Use of Records by Officials of the United States 
Government. The use of the records of the Department 
by Government officials will be subject to such conditions 
as the Chiefs of the appropriate policy Divisions in the 
Department of State may deem it advisable to prescribe. 

II Use of Records by Persons Who Abe Not Officials 
of the United States Government. 

A The confidential or unpublished files and records 
of the Department prior to December 31, 1932 (with the 
exception of the Department's records concerning the 
Paris Peace Conference of 1919 and related subjects), or 
such subsequent date as may be fixed by the Department, 
may be made available for consultation to persons who are 
not officials of the United States Government, subject 
to the following conditions : 

1 Files which are in current use in the Department 
or which cannot be made public without the disclosure 
of confidences reposed in the Department, or without 
adversely affecting the public interest, will not be made 
available to inquirers. 

2 Papers received by the Department from a 
foreign government which have not been released for 
publication by that government will not be made avail- 
able to inquirers without the consent of the govern- 
ment concerned. If there is reason to believe that a 
foreign government may be willing to permit the use of 
the papers in question under certain conditions, the per- 
mission may, at the discretion of the appropriate officials 
of the Department, be requested. 

a If such permission is requested, the expenses 
of communicating with the foreign government (cost 
of telegrams, postage, and so forth) will be met by 
the person desiring to consult the papers. 

3 Permission to consult the records of the De- 
partment through the date fixed by the Department 
may be granted, subject to the limitations set forth 
in this regulation to such persons as lawyers, publicists, 
historians, instructors, and professors iu accredited 
colleges and universities ; and holders of the doctor's 
degree (or its equivalent) in foreign relations or allied 
subjects from such colleges and universities provided 
that : 

a The applicants are authorities of recognized 
standing in the field to which the records relate, and 
that they have an important and definite use for the in- 
formation desired. 

& Requests for permission to consult material 
are definitely limited in scope and are confined to 
specific subjects or particular papers. Owing to a 
lack of personnel, the Department is not in a position 
to assemble large quantities of papers or extensive 
files for consultation by persons not officials of the 
Government. 



638 



4 An application from an alien to consult the 
records of the Department under this regulation will 
be considered only if such an application is accompanied 
by a letter from the head of the emba.ssy or legation 
at Washington of the country of which the alien is a 
citizen, subject, or national. Such a letter will show 
that the applicant is favorably known to the appropriate 
embassy or legation and that the mission is familiar with 
the purpose of the applicant's worli. 

5 All applications to consult the original records 
of the Department of dates prior to the one fixed by the 
Department will be referred to the Chief of the Division 
of Historical Policy Research (RE). If the Chief of 
RE Is of the opinion that the applicant possesses the 
requisite qualifications as set forth in this regulation, 
the applications will be handled as follows : 

o Documents or papers previously released or 
published, and unpublished papers clearly involving 
no question of policy, intelligence, or security may be 
made available to qualified applicants by the Chief 
of RE without reference to other officials. 

6 Material or information bearing a security 
classification originating with another Government 
agency will not be made available for inspection 
unless specific approval is obtained from the agency 
of origin. 

c For requests for all other material. Informa- 
tion, or documents, the Chief of RE will have assem- 
bled all of the relevant papers and files which the 
applicant desires to consult, and will have them sub- 
mitted to the Chief of the policy Division charged 
with the consideration of questions in the field which 
is the object of the research or inquiry. 

d If the Chief of the policy Division concerned 
determines that the applicant will be permitted to 
use all or part of the papers desired, he will inform 
the Chief of RE of the conditions under which the 
papers may be examined — that is, whether copies may 
be made of the relevant documents or whether only 
notes may be taken and whether the copies or notes 
may be published in whole or in part, or used only for 
background information ; or any other conditions 
which the Chief of the policy Division may deem it 
advisable to prescribe. This decision will be final 
except in cases of unusual importance where the ques- 
tion may be referred to an Assistant Secretary of 
State or higher officer. 

e Upon receiving the decision of the Chief of the 
policy Division setting forth the conditions deemed 
advisable and necessary to prescribe, the Chief of RE 
will arrange for the applicant to consult the files 
subject to the conditions mentioned. 

f After the applicant has consulted the papers, 
he will submit to the Chief of RE all notes, copies of 
documents, and the like, which he has made. The 
Chief of RE will refer these notes, copies, and the like, 
except those based on the documents or papers re- 
ferred to in paragraph II A 5 a above, to the Chief 
of tile policy Division for examination if the Chief of 
the policy Division so desires. 

p The Chief of the policy Division may, after 

Department of State Bulletin 



such examination, return the papers to the Chief of 
RE for transmittal to the applicant, or he may, at his 
discretion, retain the notes and refuse the applicant 
permission to use them. 

B In order that the records of the Department may 
be made available as liberally as circumstances permit, 
the Department, each year, will give consideration to the 
situation then existing with a view to advancing the date 
fixed whenever such action is deemed possible. 

Ill Liberal Intekpketation of Regulation. The provi- 
sions of this regulation are to be interpreted as liberally 
as possible. In this regard it is to be borne in mind that 
the further it is possible to go in the way of promoting 
legitimate historical research and the study of the foreign 
policy of the United States without violating the con- 
fidences necessary for the transaction of diplomatic affairs, 
the more likely the Department will be to receive the sup- 
port and trust of the intelligent public. 

123.5 Division of Foreign Activity Correlation (FC): 

(Effective 2-12-47) 

I Major Functions. FC is responsible for the formu- 
lation and coordination of Department policy for the col- 
lection, evaluation, analysis, research, and dissemination 
of foreign security information ; taking the action neces- 
sary to implement this policy ; and directing all Depart- 
mental programs in this field. 

A Functions. The Division of Foreign Activity Cor- 
relation : 

1 Formulates Department iwlicy and acts as the 
Department's sole liaison agent with respect to all 
matters in the field of foreign security information; 

2 Represents the Department on all interdepart- 
mental boards and committees in this field ; 

3 Participates in the formulation of the Depart- 
ment's travel policy ; 

4 Directs all Department travel-security pro- 
grams; and 

5 Directs and supervises the collection, evaluation, 
research, and distribution of all foreign documen- 
tary security information, including captured enemy 
documents. 

II Organization. FC consists of: 

A Security and Control Branch 

B Military and Naval Liaison Branch 

C External Security Branch 

D Administrative Branch 

III Branch Functions and Responsibiuty. 
A Security and Control Branch: 

1 Formulates policy, devises procedures and tech- 
niques, and organizes special fact-finding facilities 
abroad in the field of security information. 



THE RECORD OF THE WEBK 

2 Compiles information and participates in the 
formulation of the Department's travel policy and 
foreign security programs. 

B Military and Naval Liaison Branch: 

1 Maintains liaison with the War and Navy De- 
partments. 

2 Prepares agreements on establishing military 
missions abroad. 

C External Security Branch: 

1 Directs the collection of and analyzes foreign 
documentary security information, including captured 
enemy documents. 

2 Prepares special reports based on documentary 
information. 

D Administrative Branch: Performs the normal 
administrative functions for the Division. 

IV Reiationshu>s. FC has relationships: 

A With all Federal security and investigation 
sources for the interchange of information. 

B With the National Archives, by Presidential Direc- 
tive, as the channel for the acquisition of wartime-censor- 
ship material. 

Corrigendum 

The U.S. delegation to the International Wheat Council, 
which was announced in the Bulletin of March 23, 1947, 
page 532, also includes Leroy K. Smith, Production and 
Marketing Administration, Department of Agriculture. 

PUBLICATIONS 
Publication on Greece and Turkey 

In view of President Truman's proposal for aid to 
Greece and Turkey the Department of State plans to 
publish a pamphlet containing information on the subject 
hitherto made public by the Department of State, the 
White House, and the Congress, including such material 
as the following : the President's recommendations to 
Congress; statement by Warren R. Austin, U.S. Repre- 
sentative to the United Nations ; testimony in Congres- 
sional committees by Acting Secretary Acheson, by Under 
Secretary Clayton, and by Chief of the American Eco- 
nomic Mission to Greece, Paul Porter ; an address made 
in Chicago by Loy Henderson, Director of the Office of 
Near Eastern and African Affairs ; questions and answers 
made public by the Senate B^oreign Relations Committee; 
and a summary of a report by the Porter Mission. This 
Department of State publication 2802 will be sold by the 
Superintendent of Documents. 



April 6, 1947 



639 



^^yyUe/yvL 



.^^.f^£:^,3Wy ;a.?- :-^. - ' ' 



Council of Foreign Ministers page 

Moscow Meeting of the Council of Foreign 
Ministers: Procedure for Preparation of 
German Peace Treaty. Statements by the 
Secretary of State: 
U.S. Position on Peace Conference .... 607 
Association of Allies With Council of Foreign 

Ministers 607 

Support of Committees and Conference for 

Allied States 608 

Statement on Albania 608 

Position on Yugoslav Representatives . . . 609 
Reparations Received by the United States. 

Summary Statement by the U.S.Delegation. 609 

Economic Affairs 

U.S. Delegation to International Wool Study 

Group 612 

Two ILO Industrial Committees Meet in Bel- 
gium. Article by Murray Ross 613 

Restitution of American-Owned Property in 

France 632 

Procedure for Filing Property Claims in the 

Netherlands 632 

Haitian Good- Will Mission Concludes Negotia- 
tions With U.S 634 

International Information 

International Broadcasting Foundation of the 
United States. Proposal by the Depart- 
ment of State 618 

Radio Relay Stations at Algiers To Close . . . 623 
Reception ^in U.S.S.R. of "Voice of America". 

Statement by Assistant Secretary Benton . 624 

Occupation Matters 

Allied Trade Representatives in Japan . ... 611 
Review of New Japanese Constitution .... 612 



Treaty Information s&st 

Congressional Hearings on Trade Agreements 
Act. Statement by Under Secretary Clay- 
ton 627 

U.S.-French Agreement on Copyright Exten- 
sion 632 

U.S. Position on Swedish Import Restrictions . 633 

Educational, Scientific, and Cultural 
Cooperation 

Proposed International Interchange and Infor- 
mation Act. Letter of Transmittal . . . 624 

Program for International Exchange of Persons: 
Roster of Foreign Engineering Students . . 626 

Aviation Training Program 626 

Arrival of Burmese Students 626 

Guatemalan Agriculturist Visits U.S. . . . 627 
Historian To Visit Ecuador and Chile . . . 627 

Calendar of International Meetings . . . 610 

The Foreign Service 

Ambassador to Yugoslavia Resigns 636 

Ambassador to Poland Resigns 636 

World-Wide Oral Examinations for Foreign 

Service 637 

The Congress 

Proposed Amendment to the Constitution Re- 
lating to President's Terms of Office . . . 635 

The Department 

Garrison Norton Confirmed as Assistant 

Secretary of State 637 

Appointment of Officers 637 

Departmental Regulations 638 

Addresses, Statements, and Broadcasts of 
the Week 637 

Publications 

Publications on Greece and Turkey 629 



mm/tymwto/yA 



Murray Ross, author of the article entitled "Two ILO Industrial 
Committees Meet in Belgium," is Special Assistant to the Chief of the 
Division of International Labor, Social and Health Affairs, Office of 
International Trade Policy, Department of State. 



U. S. GOVERNMENT PRINTING OFFICE; 1947 



fJAe/ )u!eha^tryienl/ ^ t/tate/ 






MOSCOW MEETING OF THE COUNCIL OF FOR- 
EIGN MINISTERS • Statements by the Secretary of 
State: 
Economic Principles Regarding Germany .... 649 

Level of Industry and Reparations From Current Pro- 
duction 652 

German Assets in Austria 653 

THE GENERAL CONFERENCE OF UNESCO, PARIS : 

THE PROGRAM IN ACTION • Article by Herbert J. 
Abraham 645 

THE GREAT LAKES FISHERIES CONVENTION • 

Article by Durand Smith 643 



For complete contents see back cover 



Vol. XVI, No. 406 
April 13, 1947 





,J/ie zl)efta/i((^€^t z)^ c/late VJ W X 1 \J L 1 1 1 



Vol. XVI, No. 406 • Publication 2798 
April 13, 1947 



For sale by the Superintendent of Documents 

U. S. Government Printing Office 

Washington 25, D. C. 

SUBSCRIPTTON: 

52 issues, $5; single copy, 15 cents 

Published with the approval of the 
Director of the Bureau of the Budget 

Note: Contents of this publication are not 
cnpyriphted and items contained herein may 
be reprinted. Citation of the Department 
or State Bulletin as the source will be 
appreciated. 



The Department of State BULLETIN, 
a tceekly publication compiled and 
edited in the Division of Publications, 
Office of Public Affairs, provides the 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the work of the De- 
partment of State and the Foreign 
Serrice. The BULLETIN includes 
press releases on foreign policy issued 
6y the White House and the Depart- 
ment, and statements and addresses 
made by the President and by the 
Secretary of State and other officers 
of the Department, as well as special 
articles on various phases of inter- 
national affairs and the functions of 
the Department, Information con- 
cerning treaties and interruitional 
agreements to which the United States 
is or may become a party and treaties 
of general interruitional interest is 
included. 

Publications of the Department, cu- 
mulative lists of which are published 
at the end of each quarter, as well as 
legislative material in the field of inter- 
national relations, are listed currently , 



THE GREAT LAKES FISHERIES CONVENTION 



hy Durand Smith 



This article presents a historical account of the develop- 
ment of a Great Lakes fisheries convention which is hefore 
the Senate Foreign Relations Committee for its consideration. 



Fishing in the Great Lakes is not only a sport ; 
it is an important industry. As a sport it pro- 
vides recreation and entertainment for countless 
thousands. As an industry it provides nutritious 
protein food for the people of Canada and of the 
United States. 

In 1944, the most recent year for which figures 
are available, the commercial fisheries of the Great 
Lakes produced for both countries 102,814,000 
pounds. The United States share of this catch 
was 75,687,800 pounds valued at $10,948,195. A 
report on operations during 1939 showed that the 
Great Lakes fisheries employed an estimated 
10,296 fishermen from the Pi-ovince of Ontario and 
from eight States — New York, Pennsylvania, 
Ohio, Michigan, Indiana, Illinois, Wisconsin, and 
Minnesota. They used 567 vessels, 2,640 motor- 
boats, 2,347 non-motorboats and a great variety 
and amount of fishing gear. 

Like other natural resources upon which indus- 
tries depend, the Great Lakes fisheries need con- 
servation and development. Many species of 
commercially desirable fish in every one of the 
Great Lakes are not being caught today in such 
quantities as in the earlier years of the industry. 
Sturgeon have almost vanished ; the cisco of Lake 
Erie are approaching extinction ; the chubs of the 
United States waters of Lakes Huron and Michi- 
gan are dwindling; the whitefish of Lakes Huron, 
Michigan, and Superior are badly depleted. The 
commercial fishermen have had to devote more 
attention to coarser and less valuable fish. Al- 
though the total take has remained fairly constant 
during the past 30 years, reports indicate that the 
actual abundance of fish in the Great Lakes has 

AptW 13, 1947 



declined. This fact is particularly significant in 
as much as fishing pressure has increased; more 
effort is expended and more efficient gear is 
employed. 

The need for cooperative action on the Great 
Lakes was recognized more than 70 years ago. The 
first report issued by the Superintendent of the 
State Fisheries of Michigan, in 1875, discussed the 
need for the establishment of uniform fishing laws. 
The first Great Lakes interstate conference, which 
was held in Detroit in October 1883, emphasized 
tlie lack of regulations. Other interstate confer- 
ences in 1884 in Milwaukee and in 1891 in New 
York took up the question but accomplished little. 
Other conferences and meetings during the next 
forty-odd years kept alive the question of uniform 
laws but failed to contribute much toward estab- 
lishing them. 

Gradually opinion developed toward the neces- 
sity for international cooperative action. It was 
recognized that Canadian participation was essen- 
tial to success in as much as the Province of On- 
tario shares with the eight States the jurisdiction 
of the fish in the boundary waters. President 
Cleveland in 1897 and President Taft in 1910 and 
1911 sent messages and recommendations to the 
Congress regarding joint control but they did not 
achieve the desired results. 

In February 1938 the Council of State Govern- 
ments called a meeting attended by 60 public offi- 
cials from all of the Lake States, from the U.S. 
Bureau of Fisheries (one of the two predecessor 
organizations of the present Fish and Wildlife 
Service of the Department of the Interior) , from 
the Department of State, and from the Pi'ovince of 

643 



Ontario. There was unanimity of view among 
the State legislators, the directors of State con- 
servation departments, the superintendents of 
fisheries, and other officials that decisive action was 
imperative, that the time had come for some form 
of unified control. The delegates unanimously 
adopted a resolution urging a treaty between the 
United States and Canada for the establishment of 
an International Board of Inquiry whose func- 
tion would be "to consider and recommend 
measures for the conservation of the Great Lakes 
fisheries." Assemblyman W. Allan Newell of the 
New York Joint Legislative Committee on Inter- 
state Cooperation was appointed chairman of a 
subcommittee to notify the President. Two para- 
graphs from his letter dated February 28, 1938, 
are pertinent : 

"This letter is to inform you of the action of the 
conference in unanimously recommending a treaty 
and to urge that you bring this matter to the im- 
mediate attention of the Secretary of State in order 
that there may be no delay in beginning treaty dis- 
cussions with the proper Canadian authorities. . . . 

"I know that the delegates will appreciate your 
good offices in urging that the Department of State 
take immediate action in carrying out the wishes 
of the conference." 

The Governments of the United States and 
Canada under an agreement signed February 29, 
1940, established the International Board of In- 
quiry for the Great Lakes fisheries to study the 
taking of fish from the Great Lakes, to make a 
report of its investigations to the two Govern- 
ments, and to make recommendations as to methods 
for preserving and developing the fisheries of the 
Great Lakes. Twenty-nine public hearings were 
held throughout the Great Lakes region in which 
some 1,500 public officials, commercial fishermen, 
and sportsmen participated. On August 6, 1942, 
the Board of Inquiry submitted its report to the 
Secretary of State calling attention "to the need 
for an effective program for the conservation and 
development of the Great Lakes fisheries and rec- 
ommending joint action for that purpose by the 
Governments concerned". 

The report was submitted by Hubert R. Gal- 
lagher of the Council of State Governments, who 
acted as chairman; A. G. Huntsman of the Fish- 
eries Research Board of Canada ; D. J. Taylor of 
the Game and Fisheries Department of Canada; 

644 



and John Van Oosten of the Fish and Wildlife 
Sei-vice. 

A supplemental and considerably longer report 
was submitted by the United States members of 
the Board. Attention was given to data submitted 
by 670 licensed commercial fishermen of the 
United States who had an average of 21.4 years of 
experience on the Great Lakes. It was significant 
that the commercial fishermen themselves felt di- 
rectly the deterioration of the resources. 

The reports were then carefully studied by the 
Department of State and by the Fish and Wildlife 
Service. Agreement was reached that only 
through coordinated action of all the govern- 
ments — State, Federal, Provincial, and Dominion 
— could the recommended measures be made 
effective. ■ 

Work commenced on the drafting of a conven- 
tion. Representatives of the Governors of the 
eight States, members of the respective conserva- 
tion departments, invited by the Department of 
State, advised and took part in the development 
of the convention. A number of their suggestions 
were incorporated in the treaty proposals. 
Throughout the hearings, the negotiations with 
Canada and the drafting of the convention, the 
Department of State adhered to the principle that 
the States should maintain the fullest independ- 
ence of action compatible with effective conserva- 
tion and development of the fishery resources. 

On April 2, 1946, the convention was signed in 
Washington — on behalf of the United States by 
Dean Acheson, Acting Secretary of State; on 
behalf of Canada by Lester B. Pearson, the 
Ambassador, and by H. Francis G. Bridges, the 
Minister of Fisheries. President Truman, on 
April 22, 1946, submitted it to the Senate for the 
advice and consent of that body to ratification. 
The convention was referred to the Committee on 
Foreign Relations, where it awaits consideration. 

The convention provides for an International 
Commission which would formulate and recom- 
mend specific fishery-research programs of 
observation and studies; it requires that the Com- 
mission plan for the effective management of the 
fishery resources of the Great Lakes. It provides 
also that the Commission may make regulations, 
if technical reports point to their desirability, fix- 
ing (a) open and closed seasons; (6) open and 
closed waters; (c) the size limits for each species 
(Continued on page 675) 

Department of State Bulletin 



THE GENERAL CONFERENCE OF UNESCO, PARIS 
The Program in Action 



hy Herbert J. Abraham 



The article below discusses 'policies which are guiding the 
course of UNESCO in its development, giving particular 
attention to the role of the national commissions in that 
organization. This is the second in a series of three articles. 
The first, which appeared in the Bulletin of March 2, 19^7, 
reviewed the program of UNESCO adopted at the first ses- 
sion of the General Conference held at Paris, November 19- 
December 10, 19^6. 



The activities of UNESCO (United Nations 
Educational, Scientific and Cultural Organiza- 
tion), during the first three months of its exist- 
ence, have largely been limited to recruiting a 
staff and defining practicable objectives within 
the limits of a $6,000,000 budget. It is therefore 
too early to state in detail the steps which UN- 
ESCO will take in giving effect to the numerous 
projects which were approved by the General Con- 
ference. However, certain policies which will 
guide the operations of UNESCO have been de- 
termined, both in the Constitution of UNESCO 
and by action of the General Conference. 

Three Functions of UNESCO 

The functions of UNESCO are commonly de- 
scribed in a threefold classification ; the two main 
functions would be to provide services and to 
stimulate action by related groups, while a third 
function of conducting "operations" would be un- 
dertaken to a limited degi'ee. 

For example, in such a project as the improve- 
ment of textbooks, UNESCO may employ a small 
staff, including temporary consultants, to draft a 
model procedure for the analysis of books, to pre- 
pare illustrative materials on the treatment of 
international organizations, and to analyze the 
findings of the study. To this extent UNESCO 
might be said to be conducting an operation. But 

April 13, 1947 



the main function, in this case, would be the stimu- 
lation of cooperating national groups to under- 
take their own studies, to draft their own illus- 
trative materials, and to report on their findings 
and recommendations. The illustration can be 
generalized with reference to many other phases 
of the program. 

The American Delegation at the Conference 
suggested a somewhat different description of 
functions, which was adopted by the Program 
Commission. In this analysis the term projects 
was substituted for the term operations. Accord- 
ing to this classification, a threefold distinction of 
UNESCO functions can be made along the follow- 
ing lines: UNESCO provides certain continuing 
services, as for example the assembling and pub- 
lication of useful statistics; secondly, UNESCO 
stimulates and supports the activities of other or- 
ganizations ; and, thirdly, UNESCO initiates and 
exercises general direction over a number of sig- 
nificant projects, in the conduct of which UNESCO 
mobilizes all available resources on an interna- 
tional scale. Under this latter classification, for 
example, the whole program for the improvement 
of textbooks would be a single project, incorporat- 
ing the stimulation of other groups to cooperative 
activity. 

In both of the foregoing classifications one fact 
stands out : Only a small part of UNESCO's pro- 

64S 



gram will be put into effect by UNESCO's own 
permanent secretariat; active participation by- 
many persons in many countries will be needed. 
How this cooperation is to be organized is a major 
problem which, it is hoped, will be solved this 
year. 

Organization of the Secretariat 

The General Conference recognized that an ex- 
perimental period would be necessary before the 
administrative system could be suitably adapted 
to the novel functions of the Organization. The 
Conference accordingly refrained from prescrib- 
ing a scheme for the organization of the Secre- 
tariat. Instead, a resolution was adopted, the 
essence of which is contained in a single sentence : 

"The General Conference resolves that: 

"Subject to the approval of the Executive 

Board, the Director-General shall be responsible 

for developing an efficient Organisation and for 

adapting it to changing programmes and needs." 

The resolution, however, calls attention to "facts, 
directives, and principles which shall guide the 
Director-General and the Executive Board in car- 
rying out this task." 

Tliat the Conference was particularly con- 
cerned lest the Secretariat be frozen into a num- 
ber of specialized bureaus and that it recognized 
clearly the necessity for organizing world-wide 
cooperation are demonstrated by the following ex- 
tracts from its resolution : 

"The administrative system should be so de- 
signed as to prevent the development of seg- 
mentalised activities and programmes, and to en- 
courage the integi'ation of all efforts towards the 
Organisation's supreme objective of contributing 
to peace and security and the common welfare of 
mankind through the development of understand- 
ing among the peoples of the world. To effect 
this purpose, the Director-General should have 
continual regard to the need for the coordination 
and planning of programmes in the light of 
budgetary requirements. 

"In addition to programme, administrative, 
legal, and other traditional-type divisions, the 
Organisation should provide means for the task 
of enlisting the support of the peoples of the world 
through their own voluntary organisations and 
associations. 

"Wliile each director of a major programme 

646 



division should be assigned in his field the func- 
tions of research, stimulation of services, liaison, 
and operation, it should be emphasised that many 
of Unesco's activities will require joint action by 
several or all divisions on a task-force or continu- 
ing basis. There should be as few programme 
divisions as practicable." 

If the organization of the Secretariat proceeds 
along the lines of the American Delegation's con- 
ception of "projects", UNESCO will have a nu- 
clear staff of administrative officers and adminis- 
trators of continuing services, together with a 
considerable number of experts recruited for 
short-term service as "task forces". Without some 
such plan, it is dubious whether UNESCO could 
attract the ablest scholars, scientists, and educa- 
tors to its service, and so avoid bureaucratic de- 
bilitation. Perhaps remarkable administrative 
skill will be needed if this policy is to be carried 
out without impairing the organization's efficiency, 
in the customary sense of that term. 

The Role of National Commissions 

UNESCO, viewed as the center of a network of 
international collaboration, has three kinds of 
direct relations : first, with the United Nations it- 
self and with the other intergovernmental agen- 
cies; secondly, with non-governmental interna- 
tional associations such as those of educators, 
scientists, and scholars; and, thirdly, with its 
member states. 

The Constitution of UNESCO provides that 
member states should take steps to associate non- 
governmental groups with the work of the organi- 
zation. Article VII of the Constitution requires 
that each state "shall make such arrangements as 
suit its particular conditions", but the formation of 
a national commission is recommended. Na- 
tional commissions, where they exist, "shall act in 
an advisory capacity to their respective delega- 
tions to the General Conference and to their Gov- 
ernments in matters relating to the Organisation 
and shall function as agencies of liaison in all 
matters of interest to it." It was anticipated, ap- 
parently, that national commissions would engage 
in some positive activities, going beyond their ad- 
visory functions, for the Constitution provides 
that "the Organisation may, on the request of a 
Member State, delegate, either temporarily or per- 
manently, a member of its Secretariat to serve on 

Department of Sfofe Bulletin 



the National Commission of that State, in order 
to assist in the development of its work." 

The question arose at the Paris Conference 
whether UNESCO should initiate positive steps 
to bring about the establishment of more national 
commissions in states where none or few such 
bodies exist. There was even a suggestion that 
UNESCO might give some financial assistance to 
this end. Since essentially domestic matters were 
involved, however, the Conference restricted itself 
to requesting member states to implement article 
VII, and authorized the Director-General to grant 
to member states "all the assistance — other than 
financial assistance — which they may require, in 
order to establish National Commissions or na- 
tional cooperating bodies." 

Governments, of course, will be requested to take 
appropriate action, such as giving approval to 
recommendations of UNESCO and accepting 
draft conventions. Governments which have 
highly centralized educational systems will play a 
larger part in such matters as the revision of cur- 
riculum and teaching materials than will our own. 
Foreign Offices, ministries of education, and other 
appropriate agencies, e.g., the U.S. Office of Edu- 
cation will be concerned with UNESCO's program 
so far as it affects national policy. Governments, 
too, must vote the money which permits 
UNESCO's Secretariat to perform its functions. 

It is expected that in most countries, however, 
the chief instruments of collaboration with 
UNESCO will be a national commission or recog- 
nized cooperating bodies. 

The question of the channels of communication 
between UNESCO and domestic groups and in- 
dividuals was discussed which raised the sub- 
sidiary technical question of whether a national 
commission, through its own officers in its com- 
munication with UNESCO, represents its govern- 
ment, or whether such communications must pass 
through an established "Ministi-y". This question 
is left to be determined by each member state 
in accordance with its particular practices. 

The larger problem presents an obvious diffi- 
culty. If national commissions are to enlist sup- 
port for UNESCO and to mobilize intellectual 
and cultural resources in UNESCO's service, they 
must be effectively recognized by UNESCO's 
Secretariat as the competent bodies for these pur- 
poses. It would be unfortunate if the Secretariat 
were to develop extensive programs of cooperation 



with domestic associations and institutions with- 
out using the national commission as its agency of 
liaison. On the other hand, an ineffective or in- 
adequately staffed national commission might be- 
come a bottleneck instead of a channel. 

The General Conference foresaw this problem, 
and resolved that UNESCO "will keep each Na- 
tional Commission informed of its connections in 
the country of that Commission and will come to 
an agreement with the Commission on all general 
questions." The Executive Board was requested 
to examine fully the question of national commis- 
sions and to communicate its study to the member 
states. 

The Program Commission recognized in its re- 
jDorts that national commissions would be respon- 
sible for putting into effect many of its recommen- 
dations : "The Secretariat should arrange for the 
study of these materials with the assistance of Na- 
tional Commissions and other national bodies" in 
conducting the program for the improvement of 
textbooks and other teaching materials. In the 
study of social tensions, "UNESCO should have 
regular recourse to the National Commissions 
wherever appropriate." National commissions 
are to be requested to submit observations on 
copyright. It is requested that states accepting 
the convention for facilitating the international 
circulation of visual and auditory materials of an 
educational, scientific, and cultural character shall 
use the national commission in carrying out the 
obligations of the convention. National commis- 
sions are to be consulted in selecting works to be 
recommended for translation. 

Such typical examples demonstrate explicit ref- 
erences in the reports of the General Conference to 
the role of national commissions. Further col- 
laborative effort by national bodies is evidently 
needed in other fields. Twenty-seven special com- 
mittees or panels of experts, for example, are called 
for in the report, few of which could proceed far 
in their studies without large-scale help from com- 
petent national bodies. Such help is equally nec- 
essary if UNESCO is to serve ultimately and ef- 
fectively as a clearing house of information or 
stimulate the international exchange of personnel. 

The U.S. National Commission for UNESCO 

The United States has always stressed the im- 
portance of the national commissions in the work 
of UNESCO. The law which authorized Ameri- 



April 13, 1947 



647 



can acceptance of membership in UNESCO in- 
cluded a provision for the creation of sucli a body. 
Of the 100 members of the U.S. National Com- 
mission, 60 are nominated by national organiza- 
tions, 40 by the Secretary of State. The method 
of selection illustrates the duality of UNESCO 
itself — an intergovernmental organization which 
is to promote collaboration of non-governmental 
associations and private persons. The range of 
the organizations represented, extending to labor 
organizations, farm associations, women's civic 
organizations, youth-serving bodies, religious 
groups, and agencies of mass communication, re- 
flects the intention to make of UNESCO an or- 
ganization which will foster international under- 
standing among people of all walks of life. 

The Secretariat of the U.S. Commission is sup- 
plied by the Department of State and is integrated 
with the small staff which administers the rela- 
tions between the Government and UNESCO. 
The authorizing legislation did not prescribe the 
functions of the Commission beyond reference to 
article VII of UNESCO's constitution. The Com- 
mission has interpreted its functions in its by-laws, 
as follows : 

"(a) to advise the Government of the United 
States in matters relating to UNESCO and in all 
matters referred to the Commission by the Secre- 
tary of State ; 

"(&) to act in a consultative capacity with re- 
gard to the appointment of the United States dele- 
gates to the General Conferences of UNESCO ; 

"(c) to advise with the Delegations of the 
United States to the General Conferences of 
UNESCO with regard to the activities of the 
latter ; 

" (e?) to serve as an agency of liaison with organi- 
zations, institutions and individuals in the United 
States which are interested in matters relating to 
the activities of UNESCO; 

"(e) to promote an understanding of the gen- 
eral objectives of UNESCO on the part of the 
people of the United States." 

At its first meeting, held September 23-26, 1946, 
the Commission advised the Government on mat- 
ters relating to the first meeting of the General 



' United States National Commission for UNESCO: Re- 
port on the First Meeting. (Department of State publica- 
tion 2726. ) 

*A report on the National Conference will appear in 
an early issue of the Butxetin. 

648 



Conference.^ Patterns of consultation have thus 
been established. Questions held for further con- 
sideration at the second meeting were how the 
Commission could effectively serve as an agency 
of liaison and also how it could promote an un- 
derstanding of the objectives of UNESCO. 

Two means for attaining those objectives were 
provided for by the Congress in Public Law 565. 
The Commission was instructed to call "general 
conferences for the discussion of matters relating 
to the activities of the Organization, to which con- 
ferences organized bodies actively interested in 
such matters shall be invited to send representa- 
tives". Further, the Commission was authorized 
to call a special conference of experts. 

The National Conference 

The first National Conference was held in Phila- 
delphia, March 24-26, 1947. Approximately 600 
organizations accepted invitations to send dele- 
gates at their own expense. Meeting in plenary 
sessions and in 14 section meetings, the Conference 
received reports on the program of UNESCO and 
considered ways in which American participation 
could be advanced through the actions of organiza- 
tions and by community activities.^ 

The members of the National Commission took 
part in the Conference, and were thus enabled to 
take full account of its proceedings and recom- 
mendations at their own meeting, wliich was held 
immediately afterwards. 

Educational Rehabilitation and Reconstruction 

UNESCO has an emergency function to per- 
form — the mobilizing of assistance for the war- 
devastated countries. Essentially, the methods by 
which this task is performed are identical with 
those required by the general program. The Sec- 
retariat does not engage in direct relief activi- 
ties. It provides services, collects and publicizes 
information about needs, brings donors into touch 
with recipients, gives advice, and stimulates action 
by national groups. It works through interna- 
tional welfare agencies and through governments 
and national commissions. Through these chan- 
nels, UNESCO hopes to procure goods and serv- 
ices and money to the value of 100 million dollars. 

In this country the moral obligation of Ameri- 
can organizations to give assistance was soon rec- 
ognized, and a nation-wide non-governmental 
(Continued on page 65i) 

Department of State Bulletin 



THE COUNCIL OF FOREIGN MINISTERS 



Moscow Meeting of the Council of Foreign Ministers: 



Economic Principles Regarding Germany 



STATEMENTS BY THE SECRETARY OF STATE 



Necessity for Economic Unity' 

There is much that the four of us have agreed 
is desirable in principle: we agree that German 
resources should be pooled and equitably shared; 
that there should be an export-import plan ; on the 
necessity for financial reform ; on the need to sub- 
ject resources in Germany to German law; that 
German coal, power, and steel should be consumed 
economically; and that the level-of -industry plan 
should be reviewed. 

But we need to reach agreement on the imple- 
menting of political and economic unity. We 
must agree on the creation of German central 
agencies and the establishment and scope of a pro- 
visional government, on freedom of movement for 
ideas, persons, and goods, the breaking down of 
zonal barriers, on reparations, and on sharing the 
temporary deficit. 

We must make certain, however, that when we 
reach agreement, the agreement means the same 
thing to all of us. We had a paper agreement at 
Potsdam, but it has only partially been imple- 
mented or made effective. Unless we can have a 
real meeting of minds and a real desire to carry out 
both the spirit and the letter of our agreements, 
it were better none were reached. We must not 
repeat the experience we have had in implementing 
the terms of the Potsdam agreement. We can 
never reach real agreement on the basis of ultima- 
tums or immovable positions. 

We regret that the Soviet Delegation found it 
necessary to state "the acceptance of reparations 
from current production is an absolute condition 
of the Soviet Delegation's acceptance of the prin- 
ciple of economic unity." The Potsdam agi'ee- 

April 13, 7947 

738530—47 2 



ment for economic unity was not conditioned oh the 
acceptance of reparation from current production. 
The United States categorically rejects the imposi- 
tion of such a condition. It looks very much to 
us as though the Soviet Union is trying to sell the 
same horse twice. 

The French Delegation also states that "it cannot 
agree to any settlement of these three questions 
without prior settlement of the question of export 
of coal in conformity with the demands of the 
French Government." Wliile we realize that 
France was not a party to the Potsdam agree- 
ment, we cannot accept her request as a condition 
to our negotiations. 

The United States Delegation recognizes the 
need of France for coal and of the Soviet Union 
for consumers' goods. It understands, too, the 
unwillingness of the British Government to in- 
crease the burden upon it of its support of the 
German people, an unwillingness which the United 
States shares. 

It is not clear that the conflicts inherent in 
these views can be reconciled, whatever position 
the United States might take. The Soviet Dele- 
gation has suggested that it will be possible for the 
French to have their coal, and still leave enough 
coal in Germany to manufacture the reparations 
the Soviet Government demands. We do not agree. 
The French Delegation believes that after it has 
obtained the coal it needs from Germany and has 
limited steel capacity in Germany to 7^/2 million 
tons, it is still worth while to study the question of 



1 Made on Mar. .31, 1947, and released to the press in 
Moscow on that date and in Washington on Apr. 1. 

649 



THE COUNCIL OF FOREIGN MINISTERS 

reparations out of current production. We do not 
agree. 

All Europe needs coal and is dependent on in- 
creasing quantities for real recovery. We must all 
recognize that German coal must be equitably ap- 
portioned among the needs of France and other 
countries of Europe and the needs of Germany 
itself. 

It is suggested that the deficit in German balance 
of trade, which the United States and Great Bri- 
tain are making good, could be avoided. This 
could only be accomplished immediately, which is 
the Soviet proposal, by reducing imports. Since 
the bulk of German imports are foodstuffs, this 
action would inevitably reduce German per capita 
consumption to about 1,100 calories a day, which 
is inadequate over any considerable period of time 
to sustain life. Does the Soviet Government make 
this proposal seriously ? Even at the present time 
the ration standard in Germany includes only 1,550 
calories per day, or 1,000 calories below the rate 
set in the level-of -industry agreement of March 26, 
1946. 

The people of Europe lack the elementary neces- 
sities of life. This lack can be filled only by the 
production of goods of all kinds. A reasonable 
increase in the level of industry in Germany will 
help in time to produce more goods. With the 
four- power treaty which we have proposed guaran- 
teeing the continued demilitarization of Germany, 
a reasonable increase in the level of industry should 
not endanger Eurojiean security, but should con- 
tribute materially to European recovery. 

The United States is opposed to policies which 
will continue Germany as a congested slum or an 
economic poorhouse in the center of Europe. At 
the same time, we recognize that Germany must 
pay reparations to the countries who suffered from 
its aggi'ession. Within these limits, we want Ger- 
many to use its resources of skilled manpower, 
energy, and industrial capacity to rebuild the net- 
work of trade on which European prosperity de- 
pends; ultimately, it desires to see a peaceful 
Germany, with strong democratic roots, take its 
place in the European and world community of 
nations. 

These are the reasons for the position taken by 
the United States on the questions covered in this 
section of the Coordinating Committee's report. 
At a later stage of the agenda, the United States 
will put forward again its proposal for four-power 

650 



guaranty of security. And in connection with its 
view on increasing the productivity of Europe, it 
will later indicate how it believes the agricultural 
resources of the part of Germany placed under 
Polish administration at Potsdam can be more 
effectively developed and used to meet the needs of 
Europe for food. At this time, however, and on 
this subject the United States Delegation stands 
for economic unity, a common plan to balance ex- 
ports and imports at a livable standard in Ger- 
many, and increase in the level-of-industry plan 
to bring German productive plants more into line 
with the requirements of Europe, and with this, 
the quick completion of reparations so as not to 
enmesh the powers who deserve reparations in con- 
tinuous controversies among themselves and with 
Germany. 

Of all these points in the United States pro- 
posals, primary emphasis is attached to the treat- 
ment of Germany as an economic unit which was 
agreed at Potsdam. Our representatives in Berlin 
have been trying for 20 months to get that agree- 
ment implemented. The United States is still try- 
ing. It desires the treatment of Germany as an 
economic unit because it does not wish to see Ger- 
many partitioned. If Germany is divided, each 
half will require strengthening to exist independ- 
ent of the other. Two strong halves of Gei-many 
may then emerge, later to be fused into a revital- 
ized and militant Germany. The permanent parti- 
tion of Germany is dangerous to the peace of 
Europe and of the world. 

Moreover, a partitioned Germany means a parti- 
tioned Europe. While Germany contains but 65 
million of the 350 million people of Europe, they 
live at its center. The United States wants one 
Germany because it wants a Europe which is not 
divided against itself. 

We must not permit our differences to stand in 
the way of European recovery. Because the 
United States Delegation accepts some of the pro- 
posals here made does not mean that we are not 
I'eady to review sympathetically any reasonable 
proposals which may be made to implement the 
program on which we have embarked together. 
We all are here to resolve and not to accentuate our 
differences. But we should not seek agreement 
merely for the sake of agreement. The United 
States recognizes that its responsibilities in Europe 
will continue and it is more concerned in build- 
ing solidly than in building fast. 

Department of State Bulletin 



Proposal Regarding Provisional Government 
for Germany^ 

Secretary Marshall made the following ■proposal 
with regard to the question of provisional govern- 
ment for Germany at the Council of Foreign 
Ministers meeting on April 2: 

In view of the extent of our apparent agreement 
and the necessity of moving ahead in this direc- 
tion, I intend to propose and do now propose that 
the Council of Foreign Ministers instruct the 
Allied Control Council as follows : 

1. To proceed to establish a plan for a provi- 
sional German government representative of the 
Lander with authority to : 

a. Direct and coordinate central departments 
in the fields set forth in the Potsdam agreement 
and such other fields as have been or may be 
agreed to by the Allied Control Council. 

h. Initiate the processes of the framing of the 
permanent democratic constitution. 

c. Kecommend a pattern of permanent terri- 
torial organization for the Lander in the future 
German state. 

2. To insure that the basic human rights and 
freedoms contained in federal and Lander consti- 
tutions will be realized and that the autonomous 
powers of both state and central governments are 
guaranteed. 

3. To define the relationships between the Al- 
lied Control Council and the provisional govern- 
ment and between the zone commanders and the 
provisional government. 

During the course of the meeting April ^ Secre- 
tary Marshall said at one point: 

I would like to make a general comment before 
you go into detailed paragraphs. In general, the 
United States Delegation is not opposed to the 
points expressed by the British Delegation as to 
the stages. However, we would prefer that the 
provisional constitution should be in fact a charter 
from the Allied Control Council so Germany can 
devote its real attention to the permanent con- 
stitution. We are apprehensive that the prepara- 
tion of a provisional government and holdings of 
election for its officials will prove a lengthy pro- 
cedure. That is why I proposed initially the 
Council of Minister Presidents of the several 
Lander. It would provide a quick way of secur- 

April 73, 7947 



THB COUNCIL OF FOREIGN MINISTERS 

ing provisional government of a democratic char- 
acter to serve while a permanent constitution is 
being prepared for ratification by the German peo- 
ple, and prepare the way for the election of con- 
stitutional officials of the government. 

The United States Delegation accepts the Brit- 
ish proposal as to stages with the reservation, at 
least for the time being, that we are not as yet con- 
vinced of the necessity of a provisional constitu- 
tion and would like further consideration of the 
necessity for delay in the framing of the perma- 
nent constitution. 

At another point, he said: 

I would like first to say with reference to Mr. 
Bevin's observation regarding the American Dele- 
gation's reluctance regarding a provisional con- 
stitution, that our principal doubt or objection re- 
lates to the time factor involved. We would prefer 
to see a provisional goverimient gotten under way 
without unreasonable delays that are involved in 
the drafting and accepting of the constitution. 
For that reason, we prefer the idea of a charter. 
For example, we want a provisional government, 
composed at the top of representatives of the 
Lander, set up as soon as economic unity is estab- 
lished. In the American zone the representatives 
of the Lander have been elected. In some other 
zones I believe not. We would prefer, in this case, 
to accept the present representatives rather than 
the delay for the purpose of an election. It is our 
conception that this provisional government 
promptly established would be charged with the 
preparation of a constitution for the permanent 
system of government which, of course, would be 
subject to amendment, as Mr. Bevin has suggested. 
If this were agreed to, we would have no objection 
to instructing the provisional council to consult 
the political parties, trade unions, and other demo- 
cratic bodies in preparing the draft of the con- 
stitution, but we are opposed. As I understand, 
the Bi'itish Delegation is opposed to having this 
body, which is drafting the constitution, include 
other than representatives of government rather 
than other agencies not purely governmental. 

Now, with reference to certain of Mr. Molotov's 
comments, our proposal regarding majority vote 
is intended to deal with a very practical situation. 
We plan to set up a German government. As the 



' Made in Moscow on Apr. 2, 1947, and released to the 
press in Washington on Apr. 3. 

651 



THE COUNCIL OF FOREIGN MINISTERS 

German government cannot be controlled unless 
■we are unanimously agreed, the German govern- 
ment would have authority in effect to use its own 
judgment whenever there was disagreement in the 
Allied Control Council. That would in effect 
make the German government the arbiter of our 
differences. For example, suppose the Allied Con- 
trol Council could not agree in regard to the allo- 
cation of coal. Would we then leave the proposal 
to the German govenmient to decide or would ship- 
ments of coal cease until problematical unanimous 
vote was secured ? 

With regard to paragraph 1 of Mr. Molotov's 
two written proposals, I am not sure from his 
statement if it is his proposal and desire that the 
Allies should draw up a constitution for Germany 
or if he subscribes to the principles that the Ger- 
man people should draw up their constitution 
with Allied assistance or supervision. There was 
mention made of the Weimar constitution, but we 
in the American Delegation do not wish to get into 
an argument as to what part of the constitution 
we approve and what part we do not. Rather we 
want to know the view of the German people 
today. The second paragraph of Mr. Molotov's 
proposal is acceptable to the United States Dele- 
gation. 

It seems to me that the discussion has been help- 
ful, whatever the difficulties of reaching agree- 
ments here. We cannot agree on certain general 



principles without running the risk that our var- 
ious interpretations of them may cause harm rather 
than to help the Allied Control Council in work- 
ing out the details. We have to be certain that we 
thoroughly understand each other before we reach 
an agreement with any possibility of a real agree- 
ment resulting. Therefore, I suggest as a possible 
course of action that we refer all of our proposals 
to the Allied Control Commission so that they can 
work out both the principles and the details to- 
gether. I would, therefore, modify the proposal 
I stated today for a directive to the Allied Con- 
trol Council, and in its place suggest that the Coun- 
cil be instructed to study and formulate a plan for 
a central administrative agency and for a provi- 
sional government in the light of our several pro- 
posals and the discussion we have had here. This 
plan could become effective if approved by each 
of our governments separately, or after considera- 
tion and approval at our next meeting. 

At a third point, he said: 

Before commenting on the last statement of Mr. 
Molotov's, I would like to say he has given too 
broad an interpretation to my proposal for a ma- 
jority vote; it was not intended to apply to the 
general deliberations of the Allied Control Coun- 
cil but only to those actions in approving or dis- 
approving the acts or proposed acts of the German 
government which may come before it. 



Level of Industry and Reparations From Current Production 



STATEMENT BY THE SECRETARY OF STATE < 



The Potsdam agreement and the agreed level 
of industry fixed under its terms did not provide 
for any reparations from current production. 
Present demands to increase the reparations 
agreed at Potsdam cannot be considered by the 
United States. 

The implementation of this agreement, how- 
ever, will, in any case, require a review of the 
level-of-industry plan of March 26, 1946, to take 
into account the following considerations: 

1. The maintenance of a tolerable standard of 



' Statement circulated at the Apr. 3 meeting of the 
Council of Foreign Ministers, and released to the press 
in Washington on Apr. 4. 



living for the German people, as provided in the 
Potsdam agreement, without external assistance, 
making adequate provision for : 

(a) The population of Germany foreseen in 

1949; 
(i) The possible loss to Germany of existing 

resources (e. g., the Saar) ; 

2. Internal inconsistencies in the plan, such as, 
for example, the shortage of power to meet 
planned requirements, the inadequacy of planned 
provisions for certain basic chemicals, some fer- 
tilizers, and possibly steel. 

The Soviet and British Delegations have indi- 



652 



Department of State Bulletin 



cated that they favor a substantial increase in the 
level of industry. 

The United States Delegation believes that a 
further increase is desirable to serve the peacetime 
needs of Germany and of Europe. Although we 
do not believe it is possible, without further study, 
to indicate quantitatively what this would mean 
for specific German industries, a directive to the 
Allied Control Council for review of the level- 
of-industry plan should, in addition to the two 
points mentioned above, also require consideration 
of: 

3. The peacetime requirements of European 
countries for German products and trade revival. 

It must be recognized that further increase in 
the level of industry will reduce the number of 
plants available for removal on reparation ac- 
count. If proposals for reparations from current 
output are to be considered, these proposals must, 



THE COUNCIL OF FORE/GN MINISTBRS 

in our view, be limited to compensation for the 
plants which were destined for removal but which 
are no longer available by reason of an increase 
in the level of industry to aid the European 
economy. 

If reparation from current output is conceived 
in this way, the United States Delegation is will- 
ing, without commitment, to have its experts study 
this question. 

Any plan for providing such compensation 
must not increase the cost of occupation, retard 
the repayment of Allied advances to Germany, 
retard the establishment of a self-supporting Ger- 
many, nor could it be permitted to prevent the 
equitable distribution of coal and other raw mate- 
rial in short supply among the countries depend- 
ent upon these resources. It could not become 
operative until economic and political unity as 
well as the other related objectives have been 
attained. 



German Assets in Austria 



STATEMENT BY THE SECRETARY OF STATE' 



1. Yesterday I indicated that the United States 
Delegation did not agree with the position Mr. 
Molotov has taken in his paper on German assets 
in Austria. We do not admit that title to German 
assets has already passed; however, as I have 
already pointed out in the paper which the United 
States Delegation circulated on March 21 on this 
subject, we feel that it is not essential that this 
question of title be decided now, 

2. Without prejudice to the ultimate decision by 
the Council of this question of title and in the in- 
terest of clearing the way for the deputies to make 
some progress with consideration of this all- 
important subject, let us assume for the sake of 
discussion that the question of title has been 
decided one way or the other; in either event 
further clarification of the three points raised in 
my memorandum appears to be essential. 

A. Definition 

B. Arbitration 

C. Application of Austrian law 

3. Now let me discuss briefly what I mean by a 
definition. I don't mean the definition under 
article X of law 5, but instead I am ti-ying to make 
certain that we understand just what assets the 



Soviet Union think they should have title to as a 
result of the Potsdam decision on German assets. 
From our 20 months' experience in Austria, we 
believe there is a misunderstanding on this score 
and that in some instances there have been er- 
roneously included in the definition of German 
assets property which is really Austrian and which 
was taken away from the Austrians by the Ger- 
mans after the Anschluss by force or duress, and 
other property belonging to United Nations and 
their nationals. In our views, none of the Allies 
intended at Potsdam to transfer title to German 
assets which were taken from the victims of Nazi 
aggression and which justice and equity demand 
be returned to them. I am sure you will admit 
that discussion of this subject by our deputies will 
be extremely useful. 

4. As to my second point, "arbitration", let us 
again take a hypothetical case in which not only 
the question of title but also the question of defini- 
tion have been agreed to. Certainly, as we have 
provided for other settlement of disputes in the 
satellite treaties, may we not likewise direct our 



" Made on Mar. 27, 1947, and released to the press in 
Moscow on that date, and In Washington on Mar. 31. 



April 13, 1947 



653 



THE COUNCIL OF FOREIGN MINISTEKS 

dei^uties to provide for such a settlement on this 
question of German assets in the Austrian treaty? 
5. My last point has to do with the status in 
Austria of German assets transferred as German 
reparations. Again we may assume that we have 
satisfactorily agreed to the other questions enum- 
erated above, that German assets to which the 
Soviet Union is entitled have been transferred. 
Certain Austrian law applies to these properties. 
It never was intended at Potsdam that properties 
obtained as German reparations even in Germany 
would enjoy extraterritorial rights. Mr. Molotov 
in his discussion of economic principles in Ger- 
many on March 19 states as follows, and I quote : 

"In accordance with the Berlin decisions, the 
Soviet Government took measures so that repara- 
tions would be obtained from the eastern zone of 
Germany, a proportion of which has been assigned 
to Poland. Reparations took the form of remov- 



als of capital equipment, deliveries from current 
position (though these have hardly been sufficient) 
and the taking of economic entei'prises into Soviet 
possession. No extraterritorial rights are in- 
volved with respect to these Soviet-owned enter- 
prises in Germany, since they all function under 
German law". 

It would appear inconsistent not to admit that 
this same principle would apply in Austria. If 
it is held that it does not, the United States Dele- 
gation would feel very definitely that to remove 
a large segment of Austrian industry from the 
Austrian economy would nullify the pledge we 
have taken in the very first article of the treaty, 
namely, our unanimous agreement to reestablish 
a sovereign and independent state. I ask my col- 
leagues to agree to instruct our deputies to discuss 
and clarify this as well as the other vital questions 
enumerated. 



General Conference of UNESCO, Paris: The Program in Action — Continued from page 648 



effort to coordinate and stimulate this work was 
under way before the U.S. National Commission 
was created. The Commission for International 
Educational Reconstruction (CIER), representa- 
tive of many cooperating bodies, was established 
and was furnished with a small secretariat.^ In 
order to relate the CIER to the U.S. National 
Commission, the Chairman of the National Com- 
mission has recognized CIER as the competent 
body to handle matters relating to American par- 
ticipation in the work of educational rehabilitation 
and reconstruction. The CIER, however, is not an 
operating body; essentially it performs on a na- 
tional scale the functions for educational rehabili- 
tation which UNESCO performs internationally. 
The operation of collecting and transmitting 
needed educational equipment and supplies, pro- 
viding fellowships, and obtaining some gifts of 
money rests with the cooperating national organi- 
zations and their local branches. 



' The office of the CIER is at 744 Jackson Place, Wash- 
ington, D.C. The Executive Secretary is Dr. Harold E. 
Snyder. 



Conclusion 

The effectiveness of the program of UNESCO 
will be measured by the increase in international 
collaboration of private groups and individuals 
and by the increase within member countries of 
educational activities contributing to the purposes 
of UNESCO. UNESCO must therefore give a 
higli priority to the problem of the methodical or- 
ganization of related cooperation and participa- 
tion. The Secretariat may well be viewed not 
merely as the administrative arm of a relatively 
small organization, but as the nerve center of a 
vast international interlocking of collaboration in 
education, science, and culture. The establishment 
of methods of systematic collaboration will take 
some time, and these necessary preliminaries will 
not be spectacular. UNESCO probably will seem 
to be rather slow in getting much of its program 
under way. But much will have been achieved this 
year if, by the time the General Conference recon- 
venes at Mexico City in November, this ground- 
work has been laid and preliminary studies and 
activities have been initiated on an international 
scale. 



654 



Department of State Bulletin 



THE UNITED NATIONS 



Accomplishments of Fourth Session of the Economic and Social Council 



STATEMENT BY ACTING U.S. REPRESENTATIVE IN EC OSOC > 



During its Fourth Session, the Economic and 
Social Council has come to grips with certain basic 
pi'oblems underlying world economic recovery and 
social advancement. Because they are basic, these 
problems cannot be solved completely in three 
weeks, or three years. At this session, however, the 
Council has created specific machinery which, if 
used effectively and with mutual determination 
and good-will, can greatly facilitate international 
cooperation for the solution of some of the funda- 
mental problems. Positive steps taken at this ses- 
sion include the following : 

The Economic and Social Council has created 
two regional economic commissions, the Economic 
Commission for Europe and the Economic Com- 
mission for Asia and the Far East. In establishing 
these commissions, the United Nations is adopting 
a new approach to the problem of putting the war- 
devastated areas of the world back on their feet. 
These commissions represent a practical method of 
achieving multilateral cooperation, through the 
United Nations, on concrete problems of recon- 
struction. To this joint effort, the United States 
attaches major importance. 

The commissions will be composed of the coun- 
tries members of the United Nations in the areas 
concerned. The United States is also a member of 
both commissions. Other countries will also be 
invited to consult with the commissions on matters 
of particular concern to them. Working relation- 
ships will also be established with the specialized 
agencies such as the Food and Agriculture Organi- 
zation, and with the International Bank for Re- 
construction and Development and the Intei'na- 
tional Monetary Fund. 

It will be the task of the Economic Commission 
for Europe to work on practical matters, such as 



measures to insure the most effective utilization of 
the inadequate European coal supplies and the 
better coordination of the means of inland trans- 
port. The commission's terms of reference are 
broad. They call for facilitating "concerted action 
for the economic reconstruction of Europe" and 
for "raising the level of European economic ac- 
tivity." This commission will absorb, and thus 
bring within the framework of the United Nations, 
many of the emergency post-war functions which 
have been performed up to now by the Emergency 
Economic Committee for Europe, the European 
Coal Organization, and the European Central In- 
land Transport Organization. 

No similar organizations have existed in the Far 
East. The commission in that area will therefore 
have to perform a considerable amount of prepara- 
tory investigation concerning the most urgent re- 
construction problems. 

The experiment with regional commissions is 
a new departure. The Economic and Social Coun- 
cil, however, will maintain general supervision 
over their work in order that the activities of the 
regional bodies may be effectively integrated with 
the broader policies and programs of the United 
Nations. The terms of reference of both commis- 
sions provide for supervision by the Council and 
fxdl reports to the Council on the commissions' 
activities. 

The commissions are designed primarily to fa- 
cilitate reconstruction. For this reason provision 
is made for special review within five years to de- 



' Issued to the press by Leroy D. Stinebower, Acting U.S. 
Representative, on Mar. 27, 1947. The statement was 
released to the press by the U.S. Delegation to the United 
Nations. 



April 13, 1947 



655 



THE UNITED NATIONS 

termine whether they should be discontinued or 
maintained on a revised basis. 

The measure of agreement obtained in this 
Council session on the creation of these important 
bodies is a heartening step forward. No such 
agreement existed at the previous session of the 
Council. The intervening months have demon- 
strated that through patient, often undramatic, 
work, agreement can be reached on fundamental 
issues. 

With regard to long-range problems of world 
economy, this Council session has brought a 
healthy airing of views. Specific action in this 
connection includes approval of the significant 
report of the Economic and Employment Commis- 
sion, containing the instructions this commission 
has given to two other bodies which can mean 
much in the long view — the subcommissions on 
Economic Development, and on Employment and 
Economic Stability. The Council is suggesting a 
practical basis of work for these two bodies. It 
is requesting the Economic and Employment Com- 
mission, working through these subcommissions, 
and with the assistance of the Secretariat, to probe 
the underlying causes of economic instability; to 
take up such matters as the reasonable utilization 
of manpower, materials, and capital on a world 
scale, and with particular reference to under- 
developed areas; and appropriate forms of joint 
action to maintain full employment. 

Tlie United States attaches equal importance to 
these twin questions of economic development and 
stable employment. It welcomes this joint ap- 
proach to matters which will be the continuing 
business of the United Nations. For advancing 
the economic well-being of peoples throughout the 
world is a matter which is limited by no horizon. 

In the field of human rights, the Council is 
taking constructive steps. One of these is the 
expediting of the plans of the Commission on 
Human Rights for getting to work on the prelimi- 
nary draft of an international bill of rights. An- 
other significant step is the bringing into existence 
of two highly important subcommissions-— on 
Freedom of Information and of the Press, and on 
Prevention of Discrimiiiation and Protection of 
Minorities. 

One of the first tasks of the Subcommission on 
Freedom of Information and of the Press will be 
the preparation of a draft agenda for the world 
conference on freedom of information. To this 

656 



conference the United States attaches the highest 
importance. With proper preparation, this con- 
ference can become a milestone in advancing a 
basic human right which is of especial importance 
to the world at the present time — the right of the 
people to know. There is no more solid a basis 
for mutual understanding than an informed world 
public opinion. 

The fourth session of the Economic and Social 
Council is significant for another reason. For the 
first time the Council had before it reports from 
all its commissions (except for the Fiscal Commis- 
sion), which held their first meetings just prior 
to the Council session. This gave the Council the 
opportunity to review its responsibilities in a more 
comprehensive manner than has been possible to 
the present time. Recommendations of these 
commissions, being approved by the Council, in- 
clude the making of special studies by the Secre- 
tariat in both economic and social fields, special 
advisory services to be set up under the United 
Nations, and conferences to be held on specific 
subjects under United Nations auspices. In the 
field of social welfare provision has been made to 
carry on some of the advisory functions of the 
United Nations Relief and Rehabilitation Ad- 
ministration. The International Children's 
Emergency Fund is to be administered under the 
general review of the Council, and the inter- 
national regulation of the traffic in narcotic drugs 
has been taken over as a responsibility of the 
United Nations. 

On the initiative of the United States the Coun- 
cil will convene an international conference on re- 
sources and conservation, and a World Statistical 
Congress. The conservation conference will 
probably be held in 1948. The World Statistical 
Congress will be held in Washington in September, 
1947, in connection with sessions of a number of 
international professional groups scheduled for 
that time and place. This congress will focus the 
attention of the world's leading statisticians 
present upon the statistical activities and needs 
of the United Nations and specialized agencies. 

The Economic and Social Council is getting on 
with its tasks of promoting the conditions of 
economic and social progress and development, 
and respect for the dignity and worth of the in- 
dividual which must underlie any stable and 
enduring peace. 

Department of State Bulletin 



Summary Statement by the Secretary-General 



MATTERS OF WHICH THE SECURITY COUNCIL IS SEIZED AND THE STAGE 
REACHED IN THEIR CONSIDERATION > 



Pursuant to Rule 11 of the Provisional Rules 
of Procedure of the Security Council, I wish to 
report that as of 28 March 19J:7, the Security 
Council is seized of the following matters: 

9. Incidents in the Corfu Channel 

10. Draft Trusteeship Agreement for the 
Former Japanese Mandated Islands. 

The stage reached in the consideration of Items 
1 through 6 is set forth in document S/279. The 
stage reached in the consideration of Items 7 to 
10 is as follows : 

7. The Greek Question {See also Document S/279) 

At the request of the Representative of the 
United States the Greek Question was placed on 
the Agenda of the one hundred and twenty-third 
meeting on 28 March 1947. A statement was made 
by the Representative of the United States and the 
Council decided to continue the discussion at a 
meeting to be held on 7 April. 

8. The General Regulation and Reduction of 

Armaments and Information on Armed 
Forces {See also Document S/279) 

The Commission for Conventional Armaments 
was convened on 24 March 1947 and commenced 
its task under its terms of reference. 

9. Incidents in the Corfu Channel 

The discussion was resumed at the one hundred 
and seventh meeting on 18 February and continued 
at the one hundred and ninth, eleventh and four- 
teenth meetings on 19, 24 and 27 February, the 
Representative of Albania participating. The 
Council adopted a resolution submitted by the 
Representative of Australia to appoint a Sub- 
Committee of three members to examine all the 
available evidence and to make a report on the 
facts of the case as disclosed by sucli evidence. 

The Report of the Sub-Committee (document 
S/300) was discussed at the one hundred and 

April 73, r947 

738530 — 47^—3 



twentieth, twenty-first and twenty-second meetings 
on 20, 21 and 'lb March. Draft resolutions were 
submitted by the Representatives of the United 
Kingdom and Poland at the one hundred and 
twentieth and twenty-second meetings, respec- 
tively. The Representative of the United King- 
dom accepted amendments submitted by the Rep- 
resentatives of the United States and France at 
the one hundred and twenty-first and twenty- 
second meetings. 

At the one hundred and twenty-second meeting 
the amended United Kingdom draft resolution was 
put to a vote and received seven votes in favour, 
two against with one abstention. Since it did not 
receive the affirmative vote of one of the permanent 
members of the Council it was not adopted. The 
Representative of Poland withdrew his draft reso- 
lution. 

10. Draft Trusteeship Agreenvent for the Former 
Japanese Mandated Islands 

By cablegram dated 13 March 1947 (document 
S/297), the New Zealand Government requested 
that those members of the Far Eastern Commis- 
sion not represented on the Security Council 
(namely, Canada, India, the Netherlands, New 
Zealand and the Philippines) be invited under 
Article 31 of the Charter to participate, if they 
so desired, in the discussion in the Council. By 
letter dated 12 March (document S/299) the In- 
dian Government requested to be invited. At the 
one hundred and eighteenth meeting the Council 
decided to grant these requests. 

The discussion was continued at the one hundred 
and nineteenth and one hundred and twenty-third 
meetings on 17 and 28 March with Representatives 
of Canada, India, the Netherlands, New Zealand 
and the Philippines participating. 

The Council adjourned until 2 April. 

' Security Council Document S/314, Mar. 28, 1947. This 
summary supplements the one printed In the Bulletin of 
Mar. 23, 1947, p. 527. The omitted parts correspond sub- 
stantially to the material formerly printed. 

657 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Calendar of Meetings " 



In Session as of April 6, 1947 

Far Eastern Commission 

United Nations: 

Security Council 

Military StafiF Committee 

Commission on Atomic Energy 

Telecommunications Advisory Committee . . . . 

Commission on Conventional Armaments . . . . 
Trusteeship Council 

German External Property Negotiations (Safehaven) 

With Portugal 

With Spain 

Inter- Allied Trade Board for Japan 

Council of Foreign Ministers . 

International Wheat Conference 



WHO (World Health Organization): Third Session of Interim 
Commission. 



Scheduled for April-June 1947 

Interparliamentary Union: 36th Plenary Session 
UNESCO Executive Board 



International Conference on Trade and Employment: Second 
Meeting of Preparatory Committee. 



International Red Cross Committee. 



ECITO (European Central Inland Transport Organization) : 
Seventh Session of the Council. 

United Nations: 

Meeting of Experts on Passport and Frontier Formalities . 

Permanent Central Opium Board 

Committee on Progressive Development and Codification 

of International Law. 
Preparatory Conference of Experts on Telecommunications. 
ECOSOC (Economic and Social Council) : 

Subcommission on Statistical Sampling 

Subcommission on Protection of Minorities and Preven- 
tion of Discrimination. 

Fiscal Commission 

Subcommission on Freedom of Information and of the 
Press. 

Social Commission 

Economic and Employment Commission 



Washington . 

Lake Success . 
Lake Success . 
Lake Success . 
Lake Success . 

Lake Success . 
Lake Success . 



Lisbon 
Madrid 



Washington 
Moscow . . 
London . . 



Geneva 



Cairo . 
Paris . 
Geneva 

Geneva 
Paris . 



Geneva . . . 
Geneva . . . 
Lake Success . 

Lake Success . 



Lake Success . 
Lake Success . 

Lake Success . 
Lake Success . 

Lake Success . 
Lake Success . 



' Prepared in the Division of International Conferences, Department of State. 
2 Tentative. 





1946 


Feb. 


26 


Mar. 


25 


Mar. 


25 


June 14 


Nov. 


10 




1947 


Mar. 


24 


Mar. 


26 




1946 


Sept 


3 


Nov. 


12 


Oct. 


24 




1947 


Mar. 


10 



Mar. 18-. Tem- 
porarily ad- 
journed; will re- 
convene Apr. 14 

Mar. 31 



Apr. 


7-12 


Apr. 


9 


Apr. 


10 


Apr. 


14-26 


Apr. 


14 


Apr. 
Apr. 
May 


14 
14 
1 


June 9 « 


Apr. 
Apr. 


14 2 
21 » 


Apr. 28 » 
May 5» 


May 26 > 
June 9 ' 



i 



658 



Department of State Bulletin 



Calendar oj Meetings — Continued 



United Nations: ECOSOC— Continued 
Human Rights Commission . . . 



ICAO (International Civil Aviation Organization) : 

European-Mediterranean Special Air Traffic Control Con- 
ference. 

Interim Council 

Air Transport Committee , 

First Meeting of General Assembly 

South American Regional Air Navigation Meeting 

International Tin Study Group: First Meeting 

Fifth International Hydrographic Conference 

ILO (International Labor Organization) : 

Industrial Committee on Coal Mining 

Industrial Committee on Inland Transport 

101st Session of Governing Body 

30th Session of International Labor Conference 



American International Institute for the Protection of Child- 
hood: Meeting of the International Council. 

International Meeting of Marine Radio Aids to Navigation . . 

FAO (Food and Agriculture Organization) : 

International Timber Conference . . , 

Rice Study Group 



IRO (International Refugee Organization): Second Part of 
First Session of Preparatory Commission. 



Congress of the Universal Postal Union 
International Radio Conference . . . 



lEFC (International Emergency Food Council): Fourth 
Meeting. 

IAR.\ (Inter-Allied Reparation Agency) : Meeting on Con- 
flicting Custodial Claims. 

Eleventh International Congress of Military Medicine and 
Pharmacy. 



Caribbean Commission 



Lake Success . 



Paris 



Montreal 
Montreal 
Montreal 
Lima . . 



Brussels 
Monaco 

Geneva 
Geneva 
Geneva 
Geneva 



Montevideo 



New York and New London 



Marianske-Lazne, Czechoslovakia . 
Trivandrum, Travancore, India . . 



Lausanne 



Paris . . . . 
Atlantic City 
Washington . 



Brussels 
Basel . 
Jamaica 



June 16 2 



Apr. 15 



Apr. 29 


April 


May 6 


June 17 


Apr. 15-18 


Apr. 22 


Apr. 22 


May 6 


June 13 


June 19 



Apr. 25 



Apr. 28-May 10 

Apr. 28-May 10 
May 15 

May 1 

May 6 
May 15 
Mav 26-27 



May 

June 2-7 
June 23-30 



' Tentative. 



Activities and Developments» 



WOOL STUDY GROUP ADOPTS TERMS OF REFER- 
ENCE AND PRESENTS CONCLUSIONS i 

During the past week, representatives of 
Australia, Argentina, Belgium, Canada, Cuba, 
Czechoslovakia, Finland, France, Iceland, Ire- 
land, Mexico, Italy, the Netherlands, New Zea- 
land, Paraguay, Peru, Poland, the Union of South 
Africa, Switzerland, Turkey, the United King- 
dom, Uruguay, the United States of America, and 



'Released at conclusion of Wool Study Group meeting 
in London on Apr. 3, 1947, and In Washington on Apr. 4. 



April 73, 7947 



659 



ACTIVmeS AND DEVELOPMENTS 

Yugoslavia, together with observers from the 
United Nations, the Food and Agriculture Organ- 
ization, and U. K./Dominion "Wool Disposal, Ltd., 
have participated in the first meeting of the Wool 
Study Group. 
The principal objects of the meeting have been : 

(i) To consider the organization of the study 
group; 

(ii) To review the world wool situation in the 
light of the changes since the International Wool 
Conference held in London in November 1946; 
and 

(iii) To exchange information about domestic 
wool problems and policies. 

The study group has adopted terms of reference, 
of which the principal features are that member- 
ship should be open to all countries substantially 
interested in the production, consumption, or trade 
in wool; that the group shall have the responsi- 
bilities for considering possible solutions to any 
problems or diflBculties which are unlikely to be 
resolved by the ordinary development of world 
trade in wool; and that the group shall arrange 
for any necessary collation or collection of statis- 
tics, using for this purpose existing sources so far 
as practicable. 

It is apparent that total stocks of wool remain 
very large, in spite of the acliievement of a very 
high level of consumption during 1946-47. The 
International Wool Conference last November 
concluded that the absorption of stocks into final 
consumption, alongside the new clips of 1946-47 
and later seasons, must still present a formidable 
problem. No material change in this respect can 
be recorded. 

Bearing in mind the desirability of the coordi- 
nation of national wool policies the study group 
has invited the participating governments to con- 
sider further the question of special studies re- 
garding such coordination. 

The present review indicates that the 5,000 mil- 
lion pounds in stock at the 13 June 1946 [sic] were 
about equally divided between governmental or- 
ganizations and commercial holdings, whilst a year 
later the total estimated stocks of about 4,500 
million pounds are expected, on the basis of pres- 
ent conditions, to be held as to about 55 percent 
commercially. These stock figures compare with 
total estimated production in 1946-47 of 2,905 
million pounds and total estimated consumption 
of 3,395 million pounds. 

660 



U.S. DELEGATION TO PREPARATORY COMMIT- 
TEE FOR INTERNATIONAL CONFERENCE ON 
TRADE AND EMPLOYMENT 

The Department of State announced on April 
4 the list of United States Delegates to participate 
in the second meeting of the Preparatory Com- 
mittee for the International Conference on Trade 
and Employment, which was to open in Geneva m 
on April 10. 

The Geneva Conference will work toward the 
completion of a draft charter for an International 
Trade Organization under which an international 
code of conduct in world trade would be estab- 
lished. At the same time it will also conduct tariff 
negotiations for the removal of barriers to world 
trade and the elimination of discriminatory trade 
practices between nations. 

Non-governmental views on the proposed char- 
ter for the international organization were 
gathered at several recent informal hearings held 
throughout the country under the auspices of the 
Executive Committee on Economic Foreign Policy. 
These views will assist the American Delegation 
in its work at Geneva. 

Chairman of the U.S. Delegation is William 
L. Clayton, Under Secretary of State for Eco- 
nomic Affairs. Vice Chairman is Clair Wilcox, 
Director of the OflSce of International Trade 
Policy of the Department of State. 

The U.S. Delegation is composed of : 
Department of State 

Robert S. Abbott 

Julean Arnold, Jr. 

Charles L. Aulette 

Wilson T. M. Beale 

Winthrop G. Brown 

Robert M. Carr 

Margaret R. T. Carter Department of Commerce 

Du Wayne Clark pj^jup j^ ^^pp 

Robert P. Donogh 
Winifred R. Maroney 



Mary C. Williford 
Robert B. Wright 

Department of Agriculture 
George B. L. Arner 
John A. Hopkins 
Monteli E. Ogdon 



William A. Fowler 
Homer S. Fox 
Merrill C. Gay 
Amelia H. Hood 
John M. Leddy 
Kathleen Molesworth 
Edwin G. Molina 
Daniel J. Reagan 
Joe Adams Robinson 
Robert J. Schaetzel 
John F. Shaw 
Constant Southworth 
Robert P. Terrlll 
Roger W. Tubby 
Clair Wilcox 



Navy Department 
Capt. W. B. Thorp 

Tariff Commission 
George S. Ayres 
Louis S. Ballif 
Howard Barker 
Prentice N. Dean 
John B. Howard 
Anthony B. Kenkel 
David Lynch 
Loyle A. Morrison 



Department of State Bulletin 



U.S. DELEGATION TO INTERNATIONAL TIMBER 
CONFERENCE OF FAO 

[Released to the press April 3] 

Acting Secretary Acheson announced on April 3 
that the President has approved the composition 
of the United States Delegation to the Interna- 
tional Timber Conference, called by the Food and 
Agriculture Organization, which is scheduled to 
begin on April 28, 1947, at Marianske-Lazne (near 
Praha) , Czechoslovakia. These nominations were 
submitted upon the recommendations of the Sec- 
retary of Agriculture, Clinton P. Anderson; the 
Secretaiy of Commerce, W. Averell Harriman; 
and the Acting Secretary of State, Dean Acheson. 
The following comprise the United States Delega- 
tion: 

Chairman of the Delegation 

Donald D. Kennedy, Chief, International Resources Divi- 
sion, Department of State 

Delegates 

Theodore Geiger, Administrative OfiBcer, Mission for Eco- 
nomic Affairs, American Embassy, London 

Edward I. Kotok, Assistant Chief, Forest Service, Depart- 
ment of Agriculture 

Joseph L. Muller, Acting Chief of the Forest Products 
Division, OflSce of International Trade, Department 
of Commerce 

The FAO, as the only United Nations agency 
in the field of forestry, proposed the convening of 
this meeting as the first step in developing a pro- 
gram for forestry and forestry products. Con- 



ACTIVITIBS AND DEVEIOPMCNTS 

cerned solely with the lumber pi-oblem in Europe, 
the Conference is the first of three regional meet- 
ings scheduled to be held this year, the other two 
to take place in South America and Asia. All 
three conferences are to lay the groundwork for 
a world timber conference which will be held 
later. The United States and the American re- 
publics have been invited to the European meeting, 
since those countries are in a position to relieve 
deficiencies and since the United States is a sui^- 
plier of lumber machinery. 

Thirty-four governments and five international 
agencies have been invited to send representatives. 
The Conference is expected to last about eight or 
ten days. 

The following Governments are invited: Aus- 
tria, Belgium, Brazil, Bulgaria, Byelorussian 
Soviet Socialist Republic, Canada, Chile, Czecho- 
slovakia, Denmark, Egypt, Finland, France, 
Greece, Hungary, Iraq, Ireland, Italy, Liberia, 
Luxembourg, Mexico, Netherlands, Norway, Pal- 
estine, Poland, Portugal, Rumania, Sweden, Swit- 
zerland, Ukrainian Soviet Socialist Republic, 
Union of Soviet Socialist Republics, United King- 
dom, United States, Venezuela, and Yugoslavia. 

The international agencies invited are : the Eco- 
nomic and Social Council of the United Nations, 
the International Bank and Fund, the Interna- 
tional Labor Office, the Emergency Ek;onomic 
Committee for Europe, and the Pan American 
Union. 



April 73, 1947 



661 



THE RECORD OF THE WEEK 



UNESCO: A Proposal to History 



BY ASSISTANT SECRETARY BENTON > 



Mr. Chairman and Delegates to the National 
Conference on UNESCO: 

It is altogether fitting that this great National 
Conference should meet at this time — and in this 
city. 

We are met to consider how the United States 
of America can effectively assist in carrying out 
the program of the United Nations Educational, 
Scientific and Cultural Organization (UNESCO). 
And what is UNESCO? UNESCO, as its name 
states, is an organization — and an instrument for 
constructive action. But UNESCO is more than 
an organization and an instrument. It is a sym- 
bol. It is a declaration of faith. UNESCO is a 
proposal to history. 

Let us educate ourselves for peace : let us share 
with each other the knowledge and understanding 
which will fit us to live together in a free and just 
and peaceful society. That is UNESCO's pro- 
posal. It is UNESCO's proposal to all men 
everywhere. It is UNESCO's proposal to the men 
of today and the men of tomorrow. It is a pro- 
posal to history. 

And it is most fitting that we declare our faith 
at this time, and in this place. 

Philadelphia is a city in which men have de- 
clared great purposes and noble doctrines. The 
founders of the American Republic here made a 
proposal to history. They declared that all men 
have inalienable rights to life, liberty, and the 
pursuit of happiness. Their words animate the 
cause of liberty today. It was here that the 
founders of this Republic established "a more per- 
fect union", a free government which has outlived 
all the ancient tyrannies which then prevailed. 

'Made before the National Conference on UNESCO in 
Philadelphia on Mar. 24, 1947, and released to the press 
on the same date. 

662 



Here then in Philadelphia, by looking back at 
history, we may take courage to look forward into 
history and propose boldly to all men in all coun- 
tries that they learn together how they can live 
together, in freedom and in peace. 

You represent the constructive forces of our 
country. The 500 organizations which sent you 
here are devoted to the peaceful arts. Your or- 
ganizations are engaged in work that creates, pre- 
serves, and strengthens the fabric of social life. 
Here you are proclaiming your purpose to unite 
with your fellows in other lands, and, in coopera- 
tion with them, to create, to preserve, and to 
strengthen the fabric of an enduring international 
community. 

On behalf of the Government of the United 
States, I affirm to your fellows in other lands that 
our Government is resolved to work unceasingly 
toward this end. 

Up to the present time 30 states have demon- 
strated their hope for the principles for which 
UNESCO stands by accepting membership in 
UNESCO. Membership is open to every member 
of the United Nations. I regret that some mem- 
bers of the United Nations have not yet joined. 
I hope that they will soon take their place within 
UNESCO. 

Our Congress has recognized that UNESCO 
can succeed only as non-governmental groups and 
private individuals carry out at home, within their 
own borders and in their own communities, the 
programs which UNESCO undertakes. That is 
why you are here. This National Conference is 
held with the official authorization and support of 
the Government of the United States and at the 
express order of Congress. 

The United States has thus taken the lead in 
giving effect to article VII of the Constitution of 
UNESCO : "Each Member State shall make such 
arrangements as suit its particular conditions for 

Department of State Bulletin 



the purfKise of associating its principal bodies in- 
terested in educational, scientific and cultural mat- 
ters with the work of the Organisation, preferably 
by the formation of a National Commission 
broadly representative of the Government and 
such bodies." Congress instructed the Secretary 
of State to establish such a National Commission. 
Its membership consists of representatives of 50 
national organizations (the number shortly to be 
increased to 60), and 40 outstanding individuals 
designated by the Secretary of State. But Con- 
gress wished to enlarge still further the base of 
popular participation in the work of UNESCO. 
Accordingly the National Commission was in- 
structed to call from time to time a large national 
conference at which all organizations interested 
in UNESCO can be represented. The Depart- 
ment of State is sometimes said to be a somewhat 
slow-moving outfit. I may thus perhaps be for- 
given for pointing with some pride to the fact that 
the National Commission had been selected and 
had held its first meeting within two months of 
the passage of the act of Congress ; and this large 
National Conference is being held before the Na- 
tional Commission has held its second meeting. 

Our Government is also attempting to carry 
out the broad aims of UNESCO through the pro- 
gram of the Office of International Information 
and Cultural Affairs in the Department of State. 
It is the purpose of this office to give to foreign 
peoples a truthful picture of the United States, 
its people, and their aspirations. Through this 
office, radio programs are broadcast to many parts 
of the world, in 25 languages. Documentary films 
about American life are distributed abroad 
through our Embassies and Legations. These are 
currently being seen by more than 8,000,000 people 
a month. Daily bulletins are sent to our repre- 
sentatives abroad, containing texts of important 
statements and official documents, and background 
information. The office works closely with private 
American organizations to facilitate the exchange 
of students, professors, and specialists between the 
United States and other nations. It maintains 
small American information centers and libraries 
abroad, which were visited by 3,000,000 people in 
the past year. Public-affairs officers have been 
stationed in our Embassies and Legations who 
serve as interpreters of American life and thought. 

The United States conducts only a modest pro- 
gram in these fields, compared with some other 



THE RECORD OF THE WCBK 

countries. Even this modest program is now in 
mortal danger and may be legislated out of ex- 
istence by the present Congress. Many believe 
this is a probability, even though in fact the pro- 
gram should be greatly enlarged. There are large 
areas of the world whose people have no other 
source of accurate information about the United 
States. Because of ignorance or misrepresenta- 
tion, we are the object of suspicion and distrust. 

The work of the Office of International Infor- 
mation and Cultural Affairs is consistent with — 
and is a major expression of — our support of the 
principles of UNESCO. If you believe with me 
that spending money for the building of peace 
through understanding is true economy, I urge 
you to make your belief known. How, except 
through the development of world understanding, 
can we hope to remove from the bent backs of the 
peoples of the world the crushing burden of the 
cost of armaments? The proposed budget for 
the Office of International Information and Cul- 
tural Affairs is only one fourth of one percent of 
the budget for our Army and Navy ; and the cur- 
rent budget for UNESCO is, I would estimate, 
no more than one one-hundredth of one percent 
of the world's military expenditures. 

Yet these activities — in scientific, educational, 
and cultural fields — to promote so intangible a 
thing as understanding — ai'e vital to the security, 
indeed to the continued existence, of the human 
race. I solemnly declare that this National Con- 
ference can give a new hope that men can liberate 
themselves from war. In such a declaration I 
do not think that I can be accused of being wholly 
and entirely an impractical dreamer. If there is 
not such hope in this conference, there is indeed 
no hope at all. That idea, I believe, must be ac- 
cepted even by the species known as "hard-headed 
businessmen". UNESCO is a hard-headed and 
practical proposal to history. But as yet it is only 
a proposal. As a baby in arms, it is not yet hard- 
headed. 

Let me now examine first what UNESCO is 
going to do; second, how UNESCO fits in with 
the political realities of the present time; and, 
third, what this National Conference can do about 
and for UNESCO. 

First, wliat will UNESCO do? I do not pro- 
pose to review UNESCO's current program in any 
detail. That program was worked out at the first 
meeting of UNESCO's General Conference at 



j April 73, 1947 



663 



THB RECORD OF THE WEEK 

Paris last November and December. It is de- 
scribed in the report by the American Delegation 
to the conference. In broad outline, there are four 
main lines, or fronts, on which UNESCO pro- 
poses to advance. 

First, and for the short range, UNESCO will 
give all the help within its limited power to the 
countries that have been devastated during the 
war ; countries whose teachers have been massacred 
and schools destroyed; countries that lack pencils 
and paper for their primary schools, and libraries 
and equipment for their universities. UNESCO 
is not itself a relief organization but it will help 
to organize assistance from those fortunate peo- 
ple — such as ourselves — with resources still avail- 
able. 

A second front for UNESCO is the very long- 
range job of helping the underdeveloped or back- 
ward countries raise their level of education. How 
can the world hope for unity when half or more of 
its people are cut off from the reservoirs of knowl- 
edge? UNESCO hopes to bring to these people 
expert help and technical advice in their efforts to 
raise their educational standards. It proposes to 
help establish institutes for the scientific study of 
the resources of tropical lands. It will send out 
teams of scientists and establish centers for the 
dissemination of scientific information and skills. 

A third line of action is a frontal attack upon 
the unwarranted suspicion and misunderstanding 
that poison the relationships of nations which, in 
spite of their literacy and their scientific knowl- 
edge, now live under the shadow of conflict. 
UNESCO proposes to bring together those persons 
who directly influence ideas — the teachers, the 
leaders in press and radio and films, the leaders of 
popular organizations such as those you represent — 
and it will seek agi-eement among them on 
ways to promote a genuine international under- 
standing. As a part and parcel of this great en- 
terprise, UNESCO must develop and advocate 
agi-eements to break down the barriers which now 
obstruct the free flow of international communica- 
tion. Further, UNESCO must stimulate an in- 
ci-ease in the interchange of persons between coun- 
tries, and persons from every walk of life. 

The fourth big job proposed for UNESCO is to 
promote cooperation among leaders in the arts 
and sciences for the increase of men's knowledge 
about themselves and their world, and for the en- 
richment of their cultural heritage. 

664 



I now turn to my second question: How does 
UNESCO fit into the political realities of the 
present day ? It is quite obvious that UNESCO 
is an easy mark for cynical criticism. I can ima- 
gine, for example, three lines of attack which 
would occur even to a moderately bright youngster. 
I will put them this way: First, UNESCO is a 
pigmy which is trying to make war against giants ; 
second, this pigmy has lots of fanciful notions but 
no well-thought-out strategy; third, our little 
pigmy is only shadow-boxing, anyway, because the 
real giants which must be fought are in a very dif- 
ferent part of the forest. 

Now there is basis for this criticism, as there 
must always be basis for propaganda if it is to take 
hold. UNESCO is a pigmy : its budget, for this 
year, of $6,000,000 is about as much as a couple of 
large libraries spend in a year; $6,000,000 
wouldn't buy a light cruiser. 

Further, there is a danger that UNESCO may 
go off in all directions or waste much of its money 
on unrelated trivialities. Finally, it is true that 
UNESCO really has little to contribute to the 
settlement of the most urgent, most immediate, 
the most vexing problems of the immediate mo- 
ment ; they are in a very different part of the forest. 

But that is only part of the story. Let me look 
at these points again. 

UNESCO is a very small organization. It is a 
fledgling organization. It was the considered 
judgment of the Paris General Conference that 
UNESCO could not in its first year efficiently and 
economically expend more than $6,000,000. It 
must get more, very much more, if it does work 
that is worth doing, and if the people know that 
it is doing work worth doing. Remember, too, that 
UNESCO is being weaned at a time when many 
countries are impoverished beyond endurance. 
They are now giving to UNESCO all that is within 
their power. And remember, too, that UNESCO 
will multiply its resources to the extent that gov- 
ernments and private organizations themselves 
carry out UNESCO's programs. 

But will UNESCO avoid a program of confu- 
sion and triviality? The conference at Paris 
sought an underlying strategy, a strategy which 
would pull together UNESCO's many proposed 
projects. This problem is not yet resolved, nor is 
the strategy yet clear for all to see. There is a 
very real danger that UNESCO may spread itself 
thin and become a catch-all for pet schemes. It 

Departmenf of Sfafe Bulletin 



)iiay fragmentalize itself among the special and 
deeply vested interests of scientists, philosophera, 
historians, film producers, teachers, and so forth. 
We here assembled must recognize this danger, and 
guard against it. We should, all of us, cultivate 
a large view of UNESCO's program, and display 
both patience and tolerance about our own pet 
ideas. In pressing one set of proposals on 
UNESCO, it is easy to underestimate the import- 
ance of others. Many scientists have a very under- 
standable feeling that the importance of their work 
on an international scale is not understood by out- 
siders. I share their view that over a period 
science must play a major role in UNESCO ; but 
some philosophers may quarrel with me on that. 
I myself have frequently stated, and shall continue 
to state, that UNESCO must make full use of 
radio, for it seems obvious to me that ordinary peo- 
ple can best be reached through the media which 
ordinary people use. Does such advocacy mean 
that I do not understand the importance of the 
public schools? And so it goes. We must develop 
more understanding among ourselves if we wish to 
accelerate international understanding. 

The third criticism is the most serious current 
charge against UNESCO: Is it tilting against 
windmills while the giants are elsewhere ? Should 
the peoples of the world now be concentrating their 
attention on those political and economic disputes 
and difficulties which are the most immediate 
causes of war? Let us clearly recognize that 
UNESCO offers no panacea for these diseases. 
UNESCO is not a substitute for a foreign policy, 
or for the Security Council of the United Na- 
tions. We cannot resolve today's crisis by today's 
lesson in the schoolroom. 

That is true. 

And yet it is a fatal error to mistake the imme- 
diate necessity of foreign policy for its basic long- 
range aims. We were compelled by Axis aggres- 
sion to wage a war for freedom. To wage a war 
was necessary, but it was not our basic aim. Our 
basic aim was then, and is now, to establish a last- 
ing peace based on justice and mutual understand- 
ing among free peoples. We must never lose sight 
of this aim. We must be prepared to spend real 
money on it. We must double and redouble our 
efforts to achieve it, no matter how discouraging 
any circumstances may be. For this is the funda- 
' mental purpose toward which foreign policy of 
all governments should be directed today. 



THE RECORD OF THB WEEK 

People don't want to live forever in a state of 
mutual hostility and sporadic destruction. Wher- 
ever men get together to talk over the state of the 
world, the upshot is bound to be something like 
this: We are going to kill each other off unless 
the human race learns to live together in some 
kind of orderly world society. 

To which UNESCO replies : Start learning now. 
Do not continue to play ostrich. 

UNESCO, I have said, is a declaration of faith. 
That faith is, quite simply, that men can in fact 
learn : learn not only new facts but also new atti- 
tudes, new ways of looking upon their fellow men 
in other lands, new habits of working together, 
new rules for ordering their common affairs, and 
new methods of settling their disputes. And 
UNESCO is a proposal : Start learning now. 
Keep at it. Go from kindergarten right through 
to the Ph.D. degree, as a preparation for the life 
of learning that is to follow. But start learning 
now. 

As I address UNESCO's proposal to you, the 
delegates to this National Conference on 
UNESCO, I would add two more words which 
apjjly to you personally and to your organizations : 
Start learning and teaching now. 

I suppose that is the essence of the answer to 
some of the questions which have probably been 
on your minds, as they certainly have been on 
mine. Wliat is going to come out of this confer- 
ence? What difference will it make? What are 
you going to do about and for UNESCO? It is 
a long, long time before UNESCO can do any- 
thing for you. 

I should like to offer a few suggestions by way 
of expansion of my injunction that you go forth 
and teach. 

First, I urge you to take this injunction literally. 
Learn about UNESCO while you are here. Con- 
sider its fundamental aim, inform yourselves about 
its program. If you have come with a special 
interest in one phase of UNESCO's program, read 
the few documents we have given you and get a 
total picture of the organization and its total ob- 
jectives. UNESCO is desperately short of people 
who can tell the American people authoritatively 
what it is all about. UNESCO needs interpreters. 

Then get out information to the members of your 
organizations. Remember the injunction of Hosea. 
"Take with you words and turn unto Him". Get 

(.Continued on page 670) 



April 73, 7947 



665 



state, War, and Navy Program for the Interchange of Persons 



Germany 

[Released to the press March 31] 

The Department of State, War Department, and 
Navy Department announced on March 31 a 
policy permitting the interchange of certain cate- 
gories of persons between the United States and 
Germany. The policy is intended to further the 
democratic reorientation of the German people 
and the resumption of inter-cultural contact set 
forth in the "Long-Range Policy Statement for 
German Re-education", published in the United 
States on August 21, 1946.^ The arrangement of 
projects and the selection of individuals in ac- 
cordance with this policy will be made in consider- 
ation of specific needs in the fields of education and 
religion, and in fields important to the forming of 
public opinion, such needs to be determined by the 
State and War Departments and the Office of 
Military Government in Germany. 

The program to be developed under this policy 
is conceived as a cooperative undertaking of the 
United States Government and of private institu- 
tions and organizations interested in furthering 
democratic reeducation and reconstruction in Ger- 
many. In the planning and executing of projects 
best designed to serve the general purposes of the 
policy, the assistance of private institutions and 
organizations active in the fields of education, 
religion, and information will be enlisted. The 
extent to which the United States Government will 
participate financially will depend upon the avail- 
ability of funds. 

Under the provisions of this policy. United 
States experts and specialists may visit Germany 
to advise and work with leading German person- 
alities in the following fields: fonnal and extra- 
curricular education ; religion ; public information, 
including press, radio, and film; civic, welfare, 
youth, and other social organizations; occupa- 
tional and professional organizations; art, letters, 
music, and the stage. For the time being, because 
of the shortage of facilities and teachers, and be- 
cause of overcrowded conditions at German educa- 
tional institutions, it will not be possible for 
United States students to visit Germany for the 
purpose of studying at German educational insti- 

^ See BiiLiJTiN of Sept. 1, 1946, p. 428. 



tutions. It is contemplated that there will be 
brought to the United States a carefully selected 
group of German specialists in the afore-men- 
tioned fields to observe practices in this country ; 
trainees for specialized training, including persons 
of outstanding promise about to enter upon, or in 
the early years of, their active careers in the afore- 
mentioned fields ; and students to study at Amer- 
ican institutions. 

Only such persons will be selected for this pro- 
gram as can be expected to further, through their 
trips, the work of the U.S. military government 
and to play a constructive part in the revival of 
German cultural life and in the reorientation of 
the German people toward peace and democracy. 
German nationals will be expected to meet estab- 
lished security requirements; they must have a 
satisfactory record with regard to past and present 
political activities and affiliations. Preference 
will be given to persons who have demonstrated 
their opposition to Nazism and their belief in 
democratic principles. Such persons will be 
brought to the United States in order to complete 
a carefully planned program generally lasting be- 
tween six and twelve months, and they must return 
to Germany when the program has been completed. 

The trip of each individual must be recom- 
mended or sponsored by a recognized American 
non-Governmental agency or institution, or by an 
agency or institution of the United States Govern- 
ment. The participation of democratic German 
elements in the recommendation or invitation of 
candidates under this program is contemplated. 
The eligibility of each person and that of his spon- 
sor under the provisions of this policy, the length 
of his stay, and the program for his visit must be 
approved by the State Department, the War De- 
partment, and the U.S. military government in 
Germany. 

United States private institutions and organiza- 
tions desiring to participate in the program may do 
so either by paying the expenses of United States 
experts proceeding to Germany under the terms 
and for the purposes of this policy, or by paying 
the expenses, providing placements for training, 
and furnishing accommodations in the United 
States for experts, trainees, and students from 



666 



Department of State Bulletin 



Germany. Offers for training and accommodation 
of Germans in tlie United States will be of maxi- 
mum value to the program when they are made in 
terms of training which can be provided for per- 
sons of a specified type, rather than by designating 
specific individuals whom it is desired to accom- 
modate. Where individuals are specified, each 
case will be considered on its merits within the 
framework of the policy as a whole and in consid- 
eration of the general program of cultural ex- 
changes developed by the Department of State. 

Tlie number of persons admitted under the 
auspices of this policy and under the one concern- 
ing Austria will be determined by the nature and 
scope of programs developed, by the facilities and 
placements offered by the participating agencies, 
and by the extent of funds available for the execu- 
tion of such programs. 

Inquiries concerning the program and offers of 
applications for participation by private organiza- 
tions and individuals should be addressed to the 
Civil Affairs Division of the War Department. 

Austria 

[Released to the press March 31 ] 

The Department of State, War Department, and 
Navy Department announced on March 31 a policy 
permitting the interchange of certain categories of 
persons between ihe United States and Austria. 
The policy is intended to further the reestablish- 
ment of normal cultural relations with Austria, to 
assist Austria in the restoration and maintenance 
of a democratic state and society, and to strengthen 
the ties of mutual understanding between the two 
countries. Arrangements of projects and selec- 
tion of individuals in accordance with this policy 
shall be in consideration of specific needs in the 
fields of education and religion, and fields impor- 
! tant to the forming of public opinion, such needs to 
be determined by the State and War Departments, 
and the United States military authorities in Aus- 
tria in consultation with the Austrian Government 
or with recognized Austrian organizations and in- 
stitutions. 

The program to be developed under this policy 
is conceived as a cooperative undertaking of the 
United States Government and private institu- 
tions and organizations interested in furthering 
democratic reconstruction in Austria. In the 
planning and execution of projects best designed to 
serve the general purposes of the policy, the as- 

April 13, 1947 



THE RECORD Of THE V<fCEK 

sistance of institutions and organizations active 
in the fields of education, religion, and information 
will be enlisted. Within the general framework 
of the program established by the Government, 
projects financed wholly from private sources may 
be undertaken at once. There are no Government 
funds available during the current fiscal year 
which may be used for the purposes of this pro- 
gram. Such funds are being requested from Con- 
gress as a part of the War Department appropri- 
ation for the fiscal year beginning July 1, 1947. 
They will be used, if available, to supplement pri- 
vate funds in the financing of particular projects. 
Government projects will be planned so that to- 
gether with those wholly or partially financed 
by private fmids they will constitute a balanced 
program. 

Under the provisions of this policy, United 
States experts and specialists may visit Austria to 
work with leading Austrian personalities in the 
following fields: education; religion; informa- 
tional and related fields of activity, such as press, 
radio, and films; civic, welfare, youth, and other 
social organizations; occupational and profes- 
sional organizations; art, letters, music, and the 
stage. United States professors and teachers may 
visit Austria to accept temporary teaching assign- 
ments at Austrian educational institutions. For 
the time being, because of the shortage of facilities 
and teachers, and because of overcrowded condi- 
tions at Austrian educational institutions, it will 
not be possible for United States students to visit 
Austria for the purpose of studying at Austrian 
educational institutions. 

It is contemplated that there will be brought to 
the United States a carefully selected group of 
Austrian specialists in the afore-mentioned fields 
to observe practices in this country; trainees for 
specialized training, including persons of out- 
standing promise who are about to enter upon or 
who are in the early years of their careers in such 
fields; and students to study at United States 
educational institutions. Only such persons will 
be selected for this program as can be expected to 
play a part in the revival of Austrian cultural life 
and in Austrian democratic reconstruction. Aus- 
trian nationals coming to the United States must 
have a satisfactory record as regards past and 
present political activity and affiliation, and pre- 
ference will be given to persons who have demon- 
strated their opposition to Nazism and their belief 

667 



THE RECORD OF THE WECK 

in democratic principles. Such persons will be 
brought to the United States in order to complete 
a cai'efully planned program generally lasting 
between six and twelve months, and they must 
return to Austria when the program has been 
completed. 

The trip of each individual must be recom- 
mended or sponsored by a recognized American 
non-Govermnental organization or institution, or 
by an agency or institution of the United States 
Government. The participation of suitable Aus- 
trian representatives in the recommendation and 
invitation of Austrian nationals to visit the United 
States under the program is also contemplated. 
The eligibility of each person and that of his 
sponsor under the provisions of this policy, the 
length of his stay, and the program of his visit 
must be approved by the United States military 
authorities in Austria, the War Department, and 
the Department of State. 

United States private organizations and insti- 
tutions desiring to participate in the program 
may do so either by paying the expenses of United 
States experts proceeding to Austria under the 
conditions and for the purposes of this policy, 
or by paying the expenses, providing placements 
for training, and furnishing accommodations in 
the United States to experts, students, and trainees 
from Austria. Offers for training and accommo- 
dation of Austrians in the United States will be 
of maximum value to the program when they are 
made in terms of training which can be provided 
for persons of specified type rather than by desig- 
nating specific individuals whom it is desired to 
accommodate. Where individuals are specified, 
each case will be considered on its merits within 
the framework of the policy as a whole and in 
consideration of the general program of cultural 
exchanges developed by the Department of State. 

Inquiries concerning the program and applica- 
tions for participation by private organizations 
and individuals should be addressed to the Civil 
Affairs Division, War Department, Washington, 
D.C. 

The foregoing program, which will provide for 
exchanges of an important category of persons be- 
tween the United States and Austria, does not, 
however, indicate a relaxation of the present gen- 
eral restrictions on travel to Austria which have 



' BtTLLETiN Of Sept. 29, 1946, p. 563. 
668 



been imposed by the Allied occupation authorities 
because of the current exigencies of food, housing, 
and transportation. The United States desires the 
removal of all obstacles to the normal private in- 
terchange of all categories of persons between the 
United States and Austria at the earliest possible 
date, and restrictions will be removed as rapidly as 
is consistent with the welfare of Austria. It is 
hoped that steps in this direction may be taken 
upon the conclusion of the Austrian treaty and 
the end of the Allied occupation. 

Alexander B. Daspit Acting Deputy 
on Tripartite Commission 

Alexander B. Daspit, Deputy U.S. Delegate to 
IAEA, has been authorized to act also as Deputy 
U.S. Member of the Tripartite Commission for the 
Restitution of Monetary Gold during any possible 
absence of Minister Russell H. Dorr from Brussels. 
Minister Dorr is the United States Delegate to 
the Inter-Allied Reparation Agency and is Com- 
missioner for the United States on the Tripartite 
Commission for the Restitution of Monetary 
Gold.^ 

Registration of Shares of Rumanian 
National Bank 

[Released to the press April 4] 

The attention of any American citizen who may 
hold shares of the Rumanian National Bank is 
again called to the provisions of the law published 
on December 28, 1946, nationalizing that institu- 
tion, which required that shareholders register 
their shares in order to have compensation fixed 
for their holdings. The law as published stated 
that holders who failed to register their shares 
within a period of 10 days would be reimbursed 
in accordance with decisions in cases in which fil- _ 
ing was done within this period. I 

The United States Mission at Bucharest was re- 
cently informed by the Rumanian Foreign Office 
that United States shareholders would be given 
such compensation as may be applicable to share- 
holders of other nationalities, provided such 
United States shareholders submit their shares 
either to agencies of the National Bank of Ru- 
mania at Bucharest or to the Rumanian Legation 
at Washington, not later than July 1, 1947. Under 
article 17 of the law published on December 28, 
1946, no claim for compensation may be made after 
July 1, 1947. 



Department of Stale Bulletin 



i 



Austrian Restitution Laws 



[Released to the press April 4] 

During the period from September 14, 1946, to 
Mai-ch 28, 1947, the Government of Austria has 
put into effect three laws dealing with the restitu- 
tion of property which, in connection with the Na- 
tional Socialist assumption of power, was taken 
away from its owners after March 13, 1938, for 
so-called racial, national, or other reasons, either 
arbitrarily or on the basis of laws or other regu- 
lations. 

Tlie First Kestitution Law covers property pres- 
ently subject to administration by the Federal or 
state government of Austria (as trustee for the 
former German authorities) . The Second Eesti- 
tution Law covers property where title has passed 
to the Federal government of Austria. The Third 
Restitution Law covers all other cases where prop- 
erty has been taken away, except : 

1. Claims of employees; 

2. Claims of lessees of apartments and business 
premises and small-produce gardens; 

3. Claims based on the confiscation or the pre- 
vention of the exercise of patent rights, or other 
commercial protection rights, or other intangible 
property rights.; 

4. Claims based on public law which fall within 
the competence of the administration authorities. 

It is expected that special legislation will regu- 
late these claims. 

Under all three laws claims may be filed for 
restitution by the origmal owners of the property. 
If the original owner shall have died, the spouse, 
parents, children, brothers and sisters, and neph- 
ews and nieces may file claim if the estate has been 
probated. Failing these heirs, other heirs-at-law 
may make claim if they had been a part of the 
decedent's houseliold. Where the estate is in pro- 
bate the executor or administrator may file claim. 

Claims under the First and Second Restitution 
Laws should be filed with the Finanzlnndesdirek- 
tion for pro)>erty located within the particular 
Finanzlandesdirektion District. Where property 
is located within more than one such District, or 
if the claimant is unable to determine in which 
Finanzlandesdirektion his property is located, the 
Austrian Federal Ministry for Safeguarding 

AprW 13, J 947 



Property and Economic Planning (Fundesmin- 
isterium fiir VermogeTissichenmg und Wirtschafts- 
planimg) has agreed to receive claims for for- 
warding to the competent Finanzlandesdirektion. 
However, it is desirable that as far as possible 
claims be filed directly with the competent Finanz- 
landesdirektion in order to avoid extra handling 
and delay. 

Claims under the Third Restitution Law should 
be filed with the appropriate Restitution Com- 
mission {Ruckstellimgsko7nission) . A Restitution 
Commission will be established at each Landesge- 
richt (provincial court) having jurisdiction in 
civil-law matters. Its competence will extend 
throughout the Federal Land in which the Lan- 
desgericht is located. For Vienna, Lower Aus- 
tria, and the Burgenland the Restitution Commis- 
sion will be established at the Court for Civil Mat- 
ters, Vienna. The jurisdiction of the Commission 
at the Landesgericht Linz-Nord will cover the dis- 
trict of that court. 

Claims may be filed by an attorney in fact. The 
power of attorney must be executed subsequent to 
April 27, 1945. It should be notarized and sent 
with county clerk's certificate to the Legation of 
Austria, Washington, D.C., for authentication. 
Unauthenticated powers of attorney will not be 
recognized as valid by the authorities in Austria. 

Because of the technical nature of these laws, 
and because it is the responsibility of the individ- 
ual claimant to determine under which law his 
claim should be filed, it would appear desirable 
that a competent Austrian attorney be empowered 
to act as attorney in fact. There is on file with the 
Department of State a complete list of attorneys 
who have been approved by the Bar Associations 
of Vienna, Graz, Linz, Salzburg, Klagenfurt, 
Innsbruck, and Feldkirch. 

Neither the Department of State nor, it is un- 
derstood, the Legation of Austria in Washington 
is equipped to Be of any assistance in the interpre- 
tation of these laws or in the filing of the claims. 
The American Legation at Vienna, likewise, is in 
no position to file claims or to interpret the resti- 
tution laws. However, the American Legation in 
Vienna will render every possible facility and as- 
sistance to the designated agents in Austria of 

6«9 



THE RECORD OF THE WEEK 

American citizens. These representatives may 
call upon the Legation to obtain documents which 
have heretofore been filed by prospective claim- 
ants. In addition, the Legation will send to appli- 
cants copies of memoranda prepared by the Aus- 
trian Ministry for Safeguarding Property and 
Economic Planning concerning the method of fil- 
ing restitution claims under these laws. 

It should be clearly understood by persons hav- 
ing claims that any previous filing of papers with 
the Department of State or the American Legation 
in Vienna does not constitute a proper filing for the 
purposes of obtaining restitution under the Aus- 
trian laws. Nor does the filing of forms TFR 500 
\Fith the U.S. Treasury Department constitute fil- 



ing of claim. Furthermore, persons who have 
merely reported to the Austrian Government, un- 
der the Austrian law of May 10, 194:5, as amended, 
the fact that property has been taken away from 
them, should not regard these statements as proper 
claims. Claims can be filed only in the form pro- 
vided for by each particular restitution law. 

It should also be noted that the claims together 
with all their supporting documents must be in 
the German language. 

Claims under the First Restitution Law should 
be filed before September 14, 1947. Claims filed 
under the other two laws should be filed within 
one year after the date of their enactment, or 
March 28, 1947. 



UNESCO: A Proposal to History — Continued from page 

into the newspapers and the magazines and radio 
with your words. The Department of State can 
only carry a small part of the burden of writing 
and speaking and publishing. We don't have 
either money or staff to publicize UNESCO as it 
should be publicized. 

I believe that if a private organization were 
really convinced that UNESCO matters, if it 
really took to heart the purpose of building peace 
through understanding, it would consider appoint- 
ing an international-relations secretary and give 
him or her money to do a full-time job. Perhaps 
several organizations can and will do something 
like that jointly. There would be plenty for such 
an official to do. He could get out information 
bulletins to the membership. He could make pro- 
gram suggestions to local bi'anches. He could 
develop schemes of international exchanges. He 
could find people to take part in the projects which 
UNESCO initiates. 

Then the National Commission for UNESCO 
might call national gatherings of these interna- 
tional-relations secretaries, and thus build up a 
real network of active and informed leaders. 

I know that a few of the organizations repre- 
sented here have already set up such arrangements. 
Let us multiply them. I offer this suggestion to 
the section meeting on community participation, 
for its consideration. I hope it will bring a rec- 
ommendation along these lines to this conference. 

«70 



865 



Every one of the 15 section meetings to be held 
tomorrow has on its agenda the question : How can 
American organizations help carry out the pro- 
gram of UNESCO ? You will turn up many good 
ideas. Do not let them die. Carry them back 
to your organizations, discuss them, get them 
adopted, and put them into effect. 

May I remind you, in closing, that this Na- 
tional Conference is the first such conference ever 
held anywhere in the world. "V\Tiat is done here, 
and — even more — what is done as a result of this 
meeting, will be studied by people in many coun- 
tries. Other states will be proceeding soon to set 
up National Commissions. No other state has yet 
thought to associate with the work of its National 
Commission the whole array of its popular organ- 
izations. If this conference does well, I am sure 
others will follow our example. Wliat we do here 
will be remembered long after what we say here 
is forgotten. 

Will men— will history— accept UNESCO's 
proposal ? To the hopeful among you I say, hold 
fast to the hope, even though our chance of success 
may not be as great as the chance the Founding 
Fathers took in this city more than 150 years ago. 
To the less hopeful among you I say, there is a clear 
duty upon us to try. What alternative do you 
propose? And remember the words of William 
the Silent : "It is not necessary to hope in order to 
undertake, or to succeed in order to persevere". 

Department of State Bulletin 



Civilian Communication Between U.S. 
and British and American Zones in 
Germany 

[Released to the press April 4] 

Telephone and telegraph service has been 
opened, as of April 1, 1947, between the United 
States and the civilian population of the British 
and American zones of occupation in Germany. 
This service does not include the city of Berlin. 

Messages may be of a personal or a commercial 
nature, except that messages which actually carry 
out business transactions are prohibited for the 
time being, as are all messages relating to German 
external assets. All telegrams and telephone con- 
versations will be subject to censorship by the mili- 
tar}' authorities. 

An unlimited number of prepaid messages may 
be sent from the United States to those portions 
of Germany open for civilian traffic. Traffic from 
German civilians to the United States which is 
paid for in German currency will be restricted to 
those messages specifically approved by the mili- 
tary authorities as essential to the purposes of the 
occupation, including certain commercial mes- 
sages. It may be possible, however, for a person 
sending a message from the United States to ar- 
range with the telegraph company to pay for the 
reply thereto. Such a reply would not require 
special authorization by the military authorities, 
but would be subject to the rules governing the 
content thereof as mentioned above. 

In other words, telegraph traffic which is paid 
for in American dollars is acceptable without 



THE RECORD OF IHi WBBK 

limit, subject only to the censorship regulations 
mentioned above ; traffic paid for in German cur- 
rency, however, is acceptable only as specifically 
authorized by the military authorities. This re- 
striction is made necessary by reason of Germany's 
critical foreign-exchange position. 

Similar conditions apply to telephone service. 

The above regulations do not affect the present 
service with American military and civilian per- 
sonnel in Germany. 

Similar service has been authorized between the 
civilian population of the British and American 
zones and all other countries willing to accept such 
service, with the exception of Spain, Japan, and 
their dependencies. 

It is hoped that these services may be extended 
in the near future to other portions of Germany. 

Removal of Currency Controls 

[Released to the press by the Treasury Department on April 4] 

Secretary Snyder announced on April 4 the re- 
moval of Treasury Department controls on the 
importation of all currency. 

As a result of this action, it will no longer be 
necessary for persons receiving or importing cur- 
rency of any denomination from foreign countries 
to submit it to a Federal Reserve Bank for exami- 
nation under the import controls. 

This change was in the form of an amendment 
to General License No. 87.' 



" 12 Federal Register 2249. 



Addresses and Statements of the Week 



The Secretary of State 



Under Secretary Acheson 



Loy Henderson, Director, 
Office of Near Eastern 
and African Affairs 

General Frank R. McCoy, 
U.S. Member of the Far 
Eastern Commission 



Relating to Questions before the Council 
of Foreign Ministers. In this issue. 

Questions and answers on aid to Greece 
and Turlsey. Department of State 
press release 279 of April 3. Not 
printed. 

Aid to Greece and Turkey. Department of 
State press release 285 of April 4. Not 
printed. 

Transfer of Japanese industrial facilities 
to devastated countries. In this issue. 



Made in Moscow at meetings of the Council 
of Foreign Ministers. 

Made before the Senate Committee on 
Foreign Relations. 



Address made before the Council on For- 
eign Relations in Chicago, 111., on 
April 4. 

Statement made at meeting of Far Eastern 
Commission on April 3. 



April 73, 1947 



671 



Treaty of Friendship, Commerce, and Navigation Witii Ciiina ' 



THE PRESIDENT'S LETTER OF TRANSMITTAL 



The White House, March SO, 191,7. 
To the Senate of the United States. 

With a view to receiving the advice and consent 
of the Senate to ratification, I transmit herewith 
a treaty of friendsliip, commerce, and navigation 
between the United States of America and the 
Republic of China, together with a protocol there- 
to, signed at Nanking on November 4, 1946. The 
enclosed treaty is a comprehensive instrument 
which takes into account the developments in in- 



ternational relationships during the past century 
and is intended to meet effectively the needs of the 
present day. 

I transmit also, for the information of the 
Senate, a report on the treaty made to me by the 
Acting Secretary of State. 

Harry S. Truman 

(Enclosures: (1) Report of the Acting Secretary of 
State; (2) treaty of friendship, commerce, and navigation 
with China, with protocol, signed at Nanking, November 
4, 1946).' 



I 



REPORT OF THE ACTING SECRETARY OF STATE 



Department of State, 
Washington, March 18, 191,7. 
The President, 

The White House: 

The undersigned, the Acting Secretary of State, 
has the honor to lay before the President, with a 
view to its transmission to the Senate to receive the 
advice and consent of that body to ratification, if 
his judgment approve thereof, a treaty of friend- 
ship, commerce, and navigation between the 
United States of America and the Republic of 
China, together with a protocol thereto, signed at 
Nanking on November 4, 1946. 

Negotiation of the treaty was carried out pur- 
suant to that part of article VII of the treaty be- 
tween the United States of America and the Re- 
public of China for the relinquishment of extra- 
territorial rights in China and the regulation of 
related matters, signed at Washington on January 
11, 1943 (57 Stat., pt. 2, 771) , which provides that 
the two Governments — 

"will enter into negotiations for the conclusion of 
a comprehensive modern treaty of friendsliip, com- 
merce, navigation and consular rights, upon the 
request of either Government or in any case within 
six months after the cessation of the hostilities in 
the war against the common enemies." 

In accordance with the provision quoted above, the 
enclosed treaty includes provisions with respect to 

' S. Exec. J, 80th Cong., 1st sess. 
* Treaty not printed. 

672 



the rights of individuals and corporations and 
with respect to commerce and navigation. It is 
intended that consular provisions be set forth in 
a separate instrument. ■ 

The present instrument includes provisions 
which were drafted in the light of suggestions 
from representative private organizations which 
have been active in the promotion of cultural and 
commercial relations with China. Departments 
and agencies of the Federal Government which 
deal directly with the subjects covered by the 
treaty were consulted and gave their assistance in 
the preparations for the negotiations. 

The enclosed treaty, which is basically similar 
to treaties of friendship, commerce, and navigation 
now in force between the United States and various 
other countries, is intended to provide a compre- 
hensive legal framework for relations between the 
United States and China, It is believed that the 
treaty offers an adequate basis for the development 
of cultural, business, and trade relationships to 
the mutual advantage of the two countries. Dur- 
ing the negotiations the Department's endeavor 
was to draw up an instrument which would be 
responsive to the needs growing out of the prob- 
lems and practices of present-day international 
relationships, particularly to the changes in eco- 
nomic and commercial practices resulting from in- 
creasing use of the corporate form of business 
enterprise. Thus this treaty, as compared with 
earlier commercial treaties, contains somewhat 

Department of State Bulletin 



broadened and modernized provisions, so as to 
make more specific and detailed the rights and 
privileges of corporations. The wording of the 
commercial provisions reflects recent experience in 
the drafting of provisions to protect American 
exports from the many new and complex forms 
of trade restriction and exchange control which 
have come into use since the early 1930's. 

The articles of the treaty may be classified, ac- 
cording to subject matter, into the following 
categories : 

(1) rights of individuals and corporations; 

(2) exchange of goods ; 

(3) navigation; and 

(4) general matters. 

These categories may be summarized as follows : 

(1) Rights of individuals and corporations. — 
As is customary in treaties of friendship, com- 
merce, and navigation, provisions are included 
with respect to entry, travel, residence, the conduct 
of designated activities (including those of a com- 
mercial, manufacturing, scientific, educational, re- 
ligious, and philanthropic nature), freedom of 
worship, protection of property against uncom- 
pensated expropriation, access to courts, freedom 
from unreasonable searches and seizures, compul- 
sory military service, and landholding. Provisions 
with respect to commercial arbitration are for the 
first time included in this treaty. More extensive 
safeguards are afforded against discriminatory ex- 
change control, and greater protection is provided 
with respect to literary, artistic, and industrial 
property. 

(2) Exchange of goods. — In addition to the pro- 
visions relating to most- favored-nation treatment 
as to import and export duties and national treat- 
ment as to internal taxation of imported articles, 
usually included in treaties of this type, the pro- 
visions with respect to the exchange of goods in- 
clude rules applicable to customs administration, 
quotas and their allocation, exchange control, pub- 
lic monopolies as they may affect trade between 
the United States and China, and the awarding of 
public contracts and concessions. With respect to 
the provisions relating to the exchange of goods, 
most-favored-nation treatment is generally pro- 
vided. In accordance with customary practice 
in the case of treaties of friendship, commerce, and 
navigation, the present instrument does not con- 
tain schedules of duty concessions. 

April J 3, ?947 



THE RECORD OF THB WEEK 

(3) Navigation. — Standard articles on naviga- 
tion, relating to such matters as entry of vessels into 
ports, freedom from discriminatory port charges, 
and most-favored-nation treatment with respect to 
the coasting trade, are contained in the present 
treaty, in a somewliat revised form. The rules set 
forth are designed to be applied to public vessels 
which may be engaged in commerce, as well as to 
private vessels. 

(4) General matters. — The ti'eaty provides for 
certain exceptions to its application, including the 
usual provisions regarding sanitary regulations 
and moral and humanitarian measures. Excep- 
tions also are included to give the two parties the 
requisite freedom of action in times of national 
emergency and to keep the instrument in general 
conformity with the articles of agreement of the 
International Monetary Fund. Other provisions 
relate to such matters as the territories to which 
the treaty is to apply, the submission to the In- 
ternational Court of Justice of disputes concerning 
questions of interpretation or application, and the 
superseding of provisions of certain treaties now in 
force between the United States and China. 

Provision is made in the treaty for its entry into 
force on the day of the exchange of ratifications 
and for its continuance in force for a period of 5 
years from that day and thereafter, subject to ter- 
mination at any time following the 5 year period 
on 1 year's notice by either Government to the other 
Government. 

It should be noted that the present instrument 
will not limit or restrict the rights, privileges, and 
advantages accorded by the treaty between the 
United States of America and the Kepublic of 
China for the relinquishment of extraterritorial 
riglits in China and the regulation of related mat- 
ters and accompanying exchange of notes, signed 
at Washington on January 11, 1943. 

The protocol, which is to have the same validity 
as if its provisions were inserted in the text of the 
treaty, is intended for the purpose of clarifying 
and construing certain provisions of the treaty. 

Approval of the treaty was given by the Legis- 
lative Yuan of China on November 9, 1946. 

Respectfully submitted. 

Dean Acheson 

(Enclosure: Treaty of friendship, commerce, and navi- 
gation with China, with protocol, signed at Nanliing, No- 
vember 4, 1»16.) 

673 



Transfer of Japanese Industrial Facilities to Devastated Countries 



STATEMENT BY FRANK R. McCOY i 



The United States Government lias decided to 
issue an interim directive to the Supreme Com- 
mander for the Allied Powers in Japan authori- 
zing him to make immediately available, as ad- 
vance reparations transfers, Japanese industrial 
facilities to certain war-devastated countries. 

This directive will provide that the four spec- 
ified countries immediately receive out of the 
Japanese industrial facilities which the Far East- 
ern Commission has already decided to be available 
for removals, certain items capable of immediate 
employment for relief purposes. Those four coun- 
tries have been assigned percentages which clearly 
do not prejudice their own or any other country's 
interest in final national percentage shares of 
Japanese reparations. China will receive 15 per- 
cent of such facilities ; the Philippines, 5 percent ; 
the Netherlands, for the Indies, 5 percent; and the 
United Kingdom, for Burma, Malaya, and its 
colonial possessions in the Far East, 5 percent. 
The United States will receive nothing for itself 
under the advance transfers program. 

The issuance of an interim directive by the 
United States Government as a matter of urgency 
is provided for in the Terms of Reference of the 
Far Eastern Commission: "The United States 
Government may issue interim directives to the 
Supreme Commander pending action by the Com- 
mission whenever urgent matters arise not covered 
by policies already formulated by the Commis- 
sion . . ."^ (with the exception of reserved sub- 
jects which do not include reparations). 

All directives, including interim directives, 
according to the Terms of Reference, are to be 
filed with the Far Eastern Commission, which is 
empowered to review them. 

The United States Government has concluded 
that an interim directive on the advance transfers 



' Made on Apr. 3, 1947 and released to the press on that 
date. General McCoy is U.S. member of the Far Eastern 
Commission. 

2 Bttlletin of Dec. 30, 1945, p. 1028. 

' To be released to the press as soon as the Supreme 
Commander for the Allied Powers has given notice of its 
receipt in Japan. 



of reparations fulfils the requirement as to urgency 
contained in the Terms of Reference. The four 
states concerned are in extreme need of industrial 
equipment for the immediate relief of their econo- 
mies. Protracted delay in removing this equip- 
ment is resulting in deterioration of assets usable 
for relief purposes. Also, delay in initiating any 
program of actual removals of industrial equip- 
ment from Japan has impeded the Supreme Com- 
mander's occupation program. 

From the establishment of the Far Eastern 
Commission on February 26, 1946, it has passed 
a number of important policy decisions on repara- 
tions matters. These include a series of decisions 
determining the availability of capacity within 
categories of Japanese industry for removal as 
reparations, a decision providing that Japan is to 
be assured of retaining designated production ca- 
pacity within certain industrial levels, and a de- 
cision on delivery of reparations goods to claim- 
ant countries. 

Notwithstanding the importance of these policy 
decisions the Far Eastern Commission has not 
reached an agreement as to the assignment of na- 
tional percentage shares to claimant countries. 
Hence, no actual removals have taken place. 

On February 13, the United States Government 
submitted to the Far Eastern Commission the pro- 
posal embodied in the interim directive which the 
United States Government has now decided to 
issue. The United States Government advised the 
Far Eastern Commission of its view that this was 
an urgent first move in getting reparations re- 
movals started. 

The start of actual reparations removals from 
Japan has now been delayed for over a year. All 
members of the Far Eastern Commission agi-ee as 
to the urgency of commencing such removals. 
Consistent with the Far Eastern Commission's 
Terms of Reference, the United States Govern- 
ment, therefore, has decided to send to the Supreme 
Commander as an interim directive the paper on 
Advance Transfers of Japanese Reparations,^ 
with an accompanying paper, Reparatiorm Allo- 
cations Procedures for Industrial Facilities in 



I 



674 



Department of State Bulletin 



Japan, which is largely a set of administrative 
regulations. This interim directive, which will 
deal only with these two papers, will be placed 
before the Commission for review in accordance 
with the Terms of Reference of the Far Eastern 
Commission, and the Commission will continue to 
consider this as well as all other aspects of the 
reparations problem. 

Recovery of Property Removed From 
the Philippines by the Enemy 

[Released to the press AprU 7] 

American owners of property in the Philippines 
which was looted by the Japanese may obtain the 
assistance of the Phili^jpine Government in locat- 
ing the property, if it is clearly identifiable. In- 
formation concerning all property, regardless of 
the nationality of the owner, which is believed to 
fiave been removed from the Philippines by the 
enemy will be reported by the Philippine Gov- 
ernment to the Supreme Commander of Allied 
Powers in Japan so that a search can be made in 
Japan. 

American owners should mail declarations re- 
garding such property directly to the American 
Embassy at Manila for transmission to the Philip- 
pine Government. Declarations should describe 
the property as fully as possible to facilitate its 
identification, should state the circumstances un- 
der which it disappeared, and should be accom- 
panied by proof of ownership. 



Fisheries Convention — Continued from page 644 
of fish; (d) the time, methods, and intensity of 
Sshing; (e) the type and specifications of the nets, 
?ear, and apparatus and appliances which may be 
used; (/) the methods of measurement; (g) the 
axtent and nature of stocking operations; and (A) 
catch returns and other statistical records. 

Inevitably, appropriate measures for develop- 
ment, protection, and conservation imply some 
regulation and restriction to secure eventual bene- 
fits. Experience shows that international cooper- 
ation in these matters brings worth-while results. 
Notably successful in the field of international 
cooperation are two similar conventions between 
the United States and Canada: the convention 
regarding the halibut fishery of the North Pacific 
Ocean and the Bering Sea, and the convention 

April 13, 1947 



THE RECORD OF THB WBBK 

regarding the sockeye salmon fisheries of the 
Eraser River system. These conventions estab- 
lished international commissions with authority to 
investigate conditions, to conduct fish-culture 
operations, to improve spawning gi'ounds, to regu- 
late the sizes of mesh in certain nets, and to limit 
or prohibit the taking of halibut and salmon in 
convention waters. Both scientists and commer- 
cial fishermen have publicly recognized the opera- 
tions under these two conventions as constituting 
outstanding examples of the benefits to be derived 
from international cooperation and sound conser- 
vation measures. 

In spite of the success of these earlier conven- 
tions some opposition has arisen to the Great Lakes 
fisheries convention because Canada, whose share 
of the total catch is much smaller than the United 
States share, would have equal voting power on 
the Commission. Further opposition has been 
based on the contention that Canadian fishermen 
will secure through the convention additional fish- 
ing rights in United States waters. Tlie terms of 
the convention, however, do not in any way sub- 
stantiate such a claim. 

Two fears have been expressed: (1) that the 
Commission might impose restrictions and regu- 
lations which would be handicapping rather than 
beneficial, and (2) that the convention would in- 
terfere with the States' rights to control this 
natural resource. Such fears, however, are not 
well founded. Restrictions and regulations will 
be imposed only on the basis of scientific findings. 
Furthermore the convention says that "in United 
States waters the regulations for each lake may be 
enforced in the first instance by the enforcement 
agencies of the states bordering thereon within 
their respective jurisdictions and in Canadian 
waters by the appropriate enforcement agencies in 
the Province of Ontario." The convention also 
specifically provides that nothing therein shall be 
construed as preventing any State from making or 
enforcing laws or regulations within its jurisdic- 
tion which would give further protection to the 
fisheries. 

The great natural resources represented by the 
fisheries of the Great Lakes need development, pro- 
tection, and conservation. An effective program 
lequires coordinated action by all the governments 
having jurisdiction. The Great Lakes fisheries 
convention, so long delayed, is a vitally important 
step toward the desired goal. 

675 



Necessity for Extension of Export Control Act 



MESSAGE FROM THE PRESIDENT TO THE CONGRESS 



I 



[Released to the press by the White House March 19] 

To the Congress of the United States: 

In my message to the Congress on January 31, 
1947, concerning the extension of specified parts 
of the Second War Powers Act, I stated that it 
was desirable to delay any commmiication on the 
subject of the control of this country's exports un- 
til it became clear whether or not an extension of 
such controls would be necessary, beyond June 30, 

1947. 

Further review of domestic and world supplies 
has now convinced me that this Government must 
continue its control over the export of products in 
critically short supply here and abroad, in order 
to protect the economy of the United States as well 
as to discharge our international responsibilities. 
The situation, although essentially temporary in 
character, will certainly remain acute for some 
time to come. 

As a result of the war, many nations have been 
stripped of essential supplies and their productive 
capacity has been curtailed. Foreign demands for 
these supplies are therefore extremely large. 
Prices of many commodities in other countries are 
far above present levels in the United States. Un- 
controlled exports of food products would result 
in a marked increase in the already substantial 
burden of living costs borne by the American peo- 
ple. Unlimited export of feeds, seeds and ferti- 
lizers would make extremely difficult the 
achievement of the food production goals which 
we have asked American farmers to meet and 
would increase the cost of production of farm 
products. 

This country is the great undamaged center of 
industrial production to which the whole world 
looks for materials of every kind. Our steel, lum- 
ber, building materials, industrial chemicals and 
many other basic industrial commodities are 
sought throughout the world. Shortages of many 
of these commodities restrict our own domestic 
production of other essential products. Unre- 
strained export would inevitably limit the level 
of our own industrial production and employment. 

«76 



Furthermore, there are instances in which we wish 
to direct exports to those countries which produce 
commodities essential to our own economy. Thus, 
limited amounts of equipment have been directed 
to certain comitries to increase the production of 
tin, hard fibres, sugar, and fats and oils. 

Serious as would be the effect of unlimited and 
completely undirected exports upon a nation still 
troubled by many shortages, our domestic prob- 
lems are not the only ones which lead me to urge 
upon the Congress a further extension of export 
controls. The United States has become a nation 
with world-wide responsibilities. During a period 
of world shortages, the distribution of this coun- 
try's exports has serious international significance. 
If we retain the ability to channel commercial ex- 
ports of critically scarce materials, we can permit 
export of these products to countries whose need 
is greatest while still protecting the United States 
from excessive export drains. Our international 
responsibilities cannot be fulfilled without this 
machinery. In its absence, foreign purchasing 
would tend to be concentrated on those commodi- 
ties in greatest world shortage. Not only would 
our domestic supply and price structure be seri- 
ously affected, but the commodities would go to 
destinations where the need is comparatively less 
pressing. 

Furthermore, we have granted loans and other 
monetary aid to nations whose existence must Be 
preserved. These loans will accomplish their pur- 
pose only if the recipient nations are able to obtain 
critically needed supplies from this country. Ex- 
port control is an important instrument in carrying 
out the purpose of these loan programs. 

The record clearly shows that this authority over 
exports has been exercised in the past only with 
respect to those commodities in critically short 
supply and that, as rapidly as the supply situation 
has improved, commodities have been removed 
from control. The list of items subject to export 
control has been reduced from a wartime peak of 
over 3,000 to approximately 725 on October 1, 1946, 
and approximately 500 at the present time. We 
Deparfmenf of Sfofe Bulletin 



will continue to remove export controls as rapidly 
as the supply situation permits. I look forward to 
the day when the United States and other coun- 
tries can remove these interferences to the free flow 
of commodities in world trade. But the danger of 
immediate and complete decontrol in the face of 
continuing domestic and world scarcities is too 
great for this nation to undertake at this time. 

I therefore, recommend that the authority de- 
rived from the Export Control Act be extended 
for a period of one year beyond its present expira- 
tion-date, June 30, 1947. It is essential that this 
extension be made well in advance of this date. 
Delay would prove unsettling to business and 
would handicap the planning and execution of our 
food and other export programs. Effective ad- 
ministration of the export control orders requires 



THE RECORD OF THE WEEK 

the assurance of continuity in operations. I urge 
upon the Congress prompt action in extending this 
authority. 

Harry S. Truman 
The White House 
March 19, 191,7 

Foreign Commerce Weekly 

The following article of interest to readers of the 
Bulletin appeared in the March 29, 1947, issue of 
Foreign Commerce Weekly, a publication of the De- 
partment of Commerce, copies of which may be ob- 
tained from the Superintendent of Documents, Gov- 
ernment Printing Office, for 15 cents each : 

"Philippine Abacd Situation : Knotty Problems Curb 
Progress", by Clarence A. Boonstra, Agricultural At- 
tach^, formerly with the United States Embassy, 
Manila, and now at Santiago. 



Discussions of Legislation for Communications Merger 



[Released to the press April 2] 

The Telecommunications Coordinating Commit- 
tee (TCC), which coordinates Government policy 
in the communications field, and is made up of rep- 
resentatives of Government departments and 
agencies with interests in telecommunications, 
namely, the Department of State, the Federal 
Communications Commission, the War Depart- 
ment, the Navy Department, the Treasury Depart- 
ment, and the Department of Commerce, has for 
some time been studying the question of the ad- 
visability of recommending legislation dealing 
with the subject of merger of the United States 
carriers engaged in international communication 
service. 

In connection with its study of this question, the 
TCC on March 31, 1947, met with representa- 
tives of the labor organizations representing em- 
ployees of the international telegraph companies, 
in room 474 of the Department of State. The 
meeting was held in order to obtain the views of 
these organizations as to the desirability of legis- 
lation which would permit the international tele- 
graph companies to merge. A similar meeting 
with representatives of the companies had been 
held on March 11, 1947. 

The labor organizations which were invited to 
attend the meeting of March 31, 1947, included the 
American Communications Association (C.I.O.), 
which represents the employees of all United 
States international telegraph companies except 

April 73, 1947 



those of the All America Cables and Radio, Inc., 
and the National Federation of Telephone Work- 
ers (independent), representing employees of the 
American Telephone and Telegraph Company 
which operates telephone circuits for overseas serv- 
ice. The latter organization, however, was unable 
to attend the meeting. The views presented at 
the meeting were as follows : 

The American Communications Association op- 
posed any merger of carriers in the international 
telegraph field on the ground that a merger in this 
field would be opposed to the interests of the public. 
This organization also took the position that labor- 
protection provisions, although essential in any 
merger legislation, do not in fact offer sufficient 
guaranties for the protection of the interests of 
employees. In support of its position, the Ameri- 
can Communications Association stated that the 
domestic telegraph merger had resulted neither in 
a reduction of rates nor improvement of service 
and that the interests of employees in the domestic 
telegraph industry have been adversely affected by 
the merger which has taken place. 

The All America Cables Employees Association 
expressed its opposition to any legislation pro- 
viding for international merger on the ground 
that any such merger would benefit only the com- 
panies involved and would result in detriment to 
their employees. This organization therefore 
took the position that a merger would not be in 
the public interest. 

677 



THB RECORD OF THE WEEK 

Quota Ended on Fox Furs From Canada 

The President has signed a proclamation termi- 
nating the absolute quota on imports of silver or 
black fox furs and certain silver or black foxes 
into the United States and restoring the duty on 
such furs from 35 percent to the rate of 37i/2 per- 
cent ad valorem fixed by the trade agreement with 
Canada signed on November 17, 1938. These 
changes will go into effect on May 1, 1947. This 
proclamation followed an exchange of notes be- 
tween the United States and Canada agreeing to 
terminate the supplementary trade agreement with 
Canada on such furs. 

The first supplementary trade agreement be- 
tween the United States and Canada on fox furs 
went into effect January 1, 1940. It established 
an annual absolute global quota of 100,000 units on 
the importation of silver or black fox furs and 
skins into the United States and reduced the duty 
from 37% percent ad valoreTn, the rate fixed in 
the 1938 trade agreement with Canada, to 35 per- 
cent. Of the global quota Canada was allocated 
58,300 units, with 41,700 units for all other coun- 
tries combined. A second fox-fur agreement, 
which went into effect December 20, 1940, replaced 
the first fox-fur agreement. 

In this later agreement Canada was, during the 
fur-marketing season, allotted 70,000 out of the 
global quota of 100,000 units, and all other coun- 
tries combined were allotted 30,000. The second 
agreement continued the 35-percent rate of duty. 
It is this agreement which is now terminated. 

The termination of this agreement, in con- 
formity with a provision in it for its termination 
at any time by agi'cement between the United 
States and Canadian Governments, gives recogni- 
tion to the fact that the emergency conditions in 
the early part of the war in Eui'ope which led 
to the negotiation of the present fox-fur agree- 
ment and which closed foreign markets and sud- 
denly increased quantities of furs available for 
United States markets no longer exist. Since 
then there has been a sharp diminution in world 
silver or black fox-fur production. Recovery in 
European production will require some years. 
Fox-fur prices have recently been generally higher 
in Europe than in the United States. For some 
months the rate of impoi'ts into the United States 
has been low and there is no prospect of a great 
increase in the immediate future. European mar- 
kets for fox furs have recovered considerably 



since the end of the war. These facts have been 
clearly established by a public hearing held by the 
Committee for Reciprocity Information on March 
7, 1946 and by other information which has been 
available from domestic and foreign sources. 

Termination of the agreement also recognizes 
the changed situation resulting from the end of 
the war, compared with December 1940, in the 
ability of various European countries, particularly 
Norway, to send furs to this market. It also re- 
moves the possibility of discrimination against 
such countries as a result of the allocation pro- 
visions in the agreement. 

The interdepartmental trade-agreements organi- 
zation will, in conformity with its customary 
procedure, follow closely the situation affecting 
imports of silver fox furs into the United States. 

"Nazi Conspiracy and Aggression", 
Volume II 

The American prosecution staff released on 
March 22 complete and authoritative analyses of 
the Nazi Gestapo and SS in publishing the seventh 
in its series of eight volumes of the documentary 
evidence presented at the Niirnberg war-crimes 
trial. 

The eight-volume set, which contains English 
translations of evidence collected by both the 
American and British prosecutions, and which has 
been approved for release by Justice Robert H. 
Jackson, is published by the Government Printing 
Office under the title of Nazi Conspiracy and 
Aggression. Most of the documents published 
were captured from the secret files of the German 
Government, the Nazi Party, the Wehrmacht, and 
the personal files of the Nazi leaders. 

Six volumes of these documents (volumes I, III, 
IV, V, VI, and VII) have already been completed. 
Because publication of certain volumes has been 
delayed in order to permit the inclusion of last- 
minute material, the volumes are being issued out 
of their proper order in the series, and delivery 
of each volume is being made as it comes off the 
press. 

The latest volume, volume II in the series, is 
designed to seive with volume I as a guide to the 
mass of documents included in the remaining six 
volumes. It consists of studies, in non-technical 
language, summarizing and analyzing the docu- 
ments according to the particular subjects on 
which they bear. 



678 



Department of Slate Bulletin 



QUARTERLY CUMULATIVE TABLE OF CONTENTS 
January 5-March 30, 1947 



Addresses, Statements, and Broadcasts of the Week 

Lists, 31, 116, 506, 599. 

International Organizations and Conferences 

Calendar of Meetings, 25, 57, 117, 156, 197, 245, 279, 329, 

388, 431, 478, 531, 573. 
Meetings of Organizations. See Economic Affairs; 

Educational, Scientific, etc. ; United Nations. 

The Congress 

Documents, Reports, etc., listed, 139, 219, 366, 455, 506, 600. 

The Department 

Appointments and Confirmations, 219, 258, 259, 366, 367, 

455, 579. 
Byrnes, James F., Resignation as Secretary of State, 86. 
Departmental Regulations, 78, 258, 398, 507, 556, 600. 
Lane, Chester T., Resignation as Lend-l-«ase Administra- 
tor, 579. 
Marshall, George C. : 
Biographic Sketch, 305. 
Confirmation as Secretary of State, 83. 
Oath of OflBce, 177. 

Statements at I'ress Conference of Feb. 7. 286. 
Peurifoy, John E., Appointment as Deputy Assistant 

Secretary of State for Administration, 215. 
Reorganization of Research and Intelligence Units, 366. 

Economic Affairs 

Abolishment of Board of War Communications : Executive 
Order 9831, 448. 

Aid to Great Britain in Fuel Emergency, 340, 397. 

Aid to Mexico in Fighting Foot-and-Mouth Disease: 
Statement by the President, 454. 

Argentine Decree Eliminates Enemy Control of Firms, 214. 

Caribbean Commission, 158. 

Arrangements for World Telecommunications Confer- 
ences, 2S2. 

Discussion on Merger of U. S. Carriers Engaged in In- 
ternational Communication Service, 550. 

Economic Report of the President, 125, 126. 

Fifth Assembly of Inter-American Commission of Women, 
59. 

Food: 
Grain Shipments for Relief to Italy, 212. 
International Cooperation in Sugar, 43. 
International Emergency Food Council : 
Approves Hungarian Grain Requirements, 585. 
Recent Actions of the Council, 334. 
International Wheat Conference: 
Preparation of Draft Memorandum of Agreement, 471. 
U. S. Delegation, 532. 

April 73, 7947 



Food — Continued 

International Wheat Council, Gl, 250. 

Supplies From American Red Cross to Rumania, 396, 

448. 
World Distribution of Grain Exports, 263. 
Geography and History Assembly in Caracas, 62. 
Government and Business Groups Discuss U.S. Foreign 

Trade, 439. 
International Oil Picture, 554. 
International Trade Organization : 
American Trade Program : What Do We Have at Stake? 

288. 
Congressional Hearings on Draft Charter, 587. 
Hearings on Proposed ITO Charter, 68, 257, 280, 389. 
Radio Broadcast on ITO, 74. 
Summary of Provisions of Proposed Charter, 69. 
Support Urged for ITO, 586. 
Joint American-Philippine Financial Commission, Mem- 
bers of, 130, 218. 
Lend-Lease : 
Defense of "Pipeline" Contracts for Sale of Lend-Lease 

Supplies, 343, 344. 
Increased Surplus-Property Credit Granted to Hungary, 

341. 
President's Letter Transmitting Twenty-Third Report 

of Lend-Lease Operations, 32. 
Report to Congress on Foreign Surplus Disposal, 255. 
Resignation of Chester T. Lane as Lend-Lease Adminis- 
trator, 579. 
Sales and Transfer of Non-Demilitarized Combat Mate- 
rial, 322. 
Statements by Under Secretary Clayton on Certain 
Aspects of Lend-Lease Arrangements with U.K. and 
U.S.S.R., 347. 
License Restrictions Lifted on Trading With Germany 

and Japan, 496. 
Meeting of Medical and Statistical Commissions of Inter- 
American Committee on Social Security, 337. 
Meeting of Permanent Conmiittee of International Office 

of Public Health, 332. 
Meeting on Marine Radio Aids to Navigation, 330. 
Minerals as a Factor in U.S. Foreign Economic Policy, 

300. 
Peace, Freedom and World Trade: Address by the Presi- 
dent, 481. 
Postal Regulations for Printed Matter to U.S. and British 

Zones in Germany, 448. 
Property : 
Deposit of Shares in Yugoslav Stock Companies for 

Conversion and/or Registration, 75, 133. 
Direct Negotiations for Owners of Property in Germany 
and Japan, 200. 

679 



CUMULATIVB TABLB OF CONTENTS 



Economic Affairs — Continued 

Property — Continued 
Eligibility and Compensation Proceedings on Enterprises 

Nationalized in Czechoslovakia, 397. 
Establishment of Philippine Alien Property Adminis- 
tration, 130. 
Filing of Protests Against Nationalization of Polish 

Firms, 252. 
Philippine Corporations and Shareholders Required to 

Present Records, 451. 
Recovery of Property Removed from France by the 

Enemy, 253. 
Registration of Shares of Rumanian National Bank, 

133. 
Regulations Governing Restitution of Property in Po- 
land. 494. 
War Damage Compensation for American Nationals in 
France, 166. 
Railvpay-Mounted Power Train Leased to Mexico, 218. 
Relaxation of Restrictions Against Business and Commer- 
cial Communication With Germany and Japan, 74. 
Report of Air Coordinating Committee : Letter of Trans- 
mittal From the President to Congress, 452. 
Saudi Arabia Approves Railroad Project by U. S. Firm, 

506. 
Sixth Plenary Session of Intergovernmental Committee 

on Refugees, 200. 
Sixth Session of the Council of ECITO, 60. 
State Trading and Totalitarian Economies, 371. 
UNRRA : 

Article on Sixth Session of Council, 159. 

President's Letter to Congress Transmitting Ninth 

Quarterly Report, 215. 
President's Letter to Congress Recommending Appropri- 
ation, 395. 
Purpose and Method of Post-UNRRA Relief, 440. 
U.S. and Economic Collaboration Among the Countries of 

Europe, 3. 
U.S.-Canadian Discussions on Water Resources, 216. 
U.S. Delegation to Fifth International Hydrographic 

Conference, 575. 
U.S. Delegation to Pan American Sanitary Conferences: 
Twelfth Pan American Sanitary Conference, 119. 
Second Pan American Sanitary Education Conference, 
119. 
U.S. Delegation to South Pacific Regional Air Navigation 

Meeting of PICAO, 157. 
U.S. Observer to Conference of International Union for 
Protection of Industrial Property, 250. 

General Policy 

American Position on Relief to Yugoslavia, 585. 
Cessation of Hostilities of World War II : 
Proclamation : 

Effect on Aliens Seeking Entrance to U.S., 217. 
Text of Proclamation, 77. 
Statement by the President, 77. 
Clarification of U.S. Position on Antarctic Claims, 30. 
Control of Documents Removed from German Diplomatic 
Establishments in U.S., 211. 



Cooperation of the Department and the FBI in Gerhart 

Eisler Case, 365. 
Cooperation with Congress on Bipartisan Foreign Policy, 

283. 
Department of State Submits 27 Items for Senate Con- 
sideration, 284. 
Discussions Between U.S. and Mexico on Illegal Entry of 

Mexican Workers Into U.S., 303. 
Enumeration of Arms, Ammunition, and Implements of 

War : Presidential Proclamation, 327. 
Greece and Turkey : 
American Economic Mission to Greece, 136. 
Congressional Hearings on Aid to Greece and Turkey, 

580. 
Greek Government Seeks U.S. Financial Aid, 493. 494. 
Messages From Greek Prime Minister and Leader of 
Parliamentary Opposition : 
Statement by President Truman, 537. 
Statement by U.S. Representative to United Nations, 

538. 
Text of Messages, 537. 
Radio Broadcast on American Aid to Greece, 543. 
Recommendations on Greece and Turkey : Message of 

the President to Congress, 534. 
Views on Recent Broadening of Greek Government: 
Statement by the Secretary of State, 341. 
Gnod Neighbor Policy — An Application of Democracy to 
International Affairs : Address by the President, 498. 
Letters of Credence : Chile, 258 ; Colombia, 452 ; Denmark, 
499 ; Dominican Republic, 452 ; India, 450 ; Poland, 298. 
Poland: 

Presentation of Letters of Credence by Polish Am- 
bassador, 298. 
United States Position on Polish Elections, 134, 164, 
251, 298. 
Polish Refugee Camp in Mexico Closes, 138. 
President's Special Representative at Inauguration of 

President of Uruguay, 403. 
Remains of Late Pedro Leao Velloso To Be Transported 

to Brazil, 214. 
Restrictions Lifted on Pleasure Travel to Europe, 342. 
Extension of Second War Powers Act, 362. 
Request for Extradition of Former Soviet Trade Repre- 
sentative Denied, 212. 
Situation In China, 83. 
Smallpox Vaccination Certificate Required of Persons on 

U.S. Vessels Entering Philippine Ports, 177. 
Some Recent Developments in the Problem of the Turkish 

Straits, 1945-1946, 143. 
Special U.S. Diplomatic Mission to Nepal, 598. 
State of the Union: Message of the President to the 

Congress, 123. 
Statements by Secretary of State Marshall at Press Con- 
ference of Feb. 7, 286. 
Transport Vessels Made Available to Italian Government, 

136. 
U. S. S. R. Protests Acheson Statement Before Senate 

Atomic Energy Commission, 392. 
U.S.-Canadian Permanent Joint Board on Defense To 
Continue Collaboration for Security Purposes, 361. 



680 



Deparfment of State Bulletin 



CUMULATIVE TABLE OF CONTENTS 



General Policy — Continued 

U.S. Interests in Self-Government for India, 450. 
D.S. Reiterates Non-Political Concern in Palestine Situa- 
tion, 449. 
U.S. Relations With Liberia, 548. 
U.S. Welcomes Self-Governmeut for Burma, 258. 
Visitors to U.S. : 

Crown Prince of Saudi Arabia, 167. 

Ecuadoran Foreign Minister, 76. 

Governor General of Canada, 257. 

Greek Prime Minister, 29. 

Hungarian Minister, 5S5. 

Italian Prime Minister, 76, 165. 

President-Elect of Uruguay, 303. 
"We Must Demonstrate Our Capacity in Peace": Address 

by Secretary of State Byrnes, 87. 
World Order and Security — Youth's Responsibilities : 
Address by Secretary of State Marshall, 390. 

Educational, Scientific, and Cultural Cooperation 

A. Adrian Albert Appointed Visiting Professor at Univer- 
sity of Brazil, 132. 
Afghanistan Seeks American Teachers, 505. 
American Students To Study in Svyeden, 253. 
Arrangements Being Prepared for Exchange of Students 

With Other Nations, 364. 
Conferences : 
Pan American Congress on Tuberculosis, U.S. Delega- 

gation to, 575. 
Second Inter-American Congress of Radiology, 199. 
Second Pan-American Conference on Leprosy, 331. 
Twelfth Pan-American Sanitary Conference and Sec- 
ond Pan-American Conference on Health and Edu- 
cation, 26. 
U.S. Extends Invitations for IMC Meetings, 479. 
Cultural Exchanges Between the United States and the 

Soviet Union, 393. 
Panamanian Director of Immigration Visits U.S., 257. 
Policy on Exchange of Cultural Materials Between U.S. 

and Austria, 540. 
Professor of Hispanic-American History To Visit Colom- 
bia, 302. 
Responsibility for Administration of Libraries in Mexico, 

Nicaragua, and Uruguay, 76. 
Stanley Tylman To Lecture in Bolivia on Dentistry, 215. 
Tour of New Zealand Botany and Zoology Students, 217. 

^, Council of Foreign Ministers 

Third Session, New York City, Nov. 4-Dec. 12, 1946: 
Peace Treaties With Italy, Rumania, Bulgaria, Hun- 
gary, and Finland : 
Completion of Texts, 183. 
Release of Advance Copies, 167. 
Preliminary Plans for Peace Settlements With Germany 
and Austria, 186. 
F(jurth Session, Moscow, Mar. 10-: 
Press and Radio Coverage : 
Advance Plans, 199. 
Correspondents Oppose Visa Limitation, 350. 



Fourth Session, Moscow, Mar. 10 — Continued 
Statements by the Secretary of State: 
Departure for Moscow, 497. 
German Denazification, 522. 

Liquidation of War Plants in American 25one, 523. 
Germans in U.S. Custody, 524. 

Reconstruction of Germany on Democratic Basis, 524. 
Territorial Reorganization In.side Germany, 525. 
Displaced Persons in Germany, 526. 
News From Council Meeting To Be Broadcast, 526. 
Problems Relating to Reparations From Germany: 
Status of War Plants in U.S. Zone, 563. 
U.S. Position on Potsdam Agreement Regarding 
Germany, 564. 
Progress Toward Economic Unification of Germany: 
Fundamental Considerations by U.S., 564. 
Directive to Allied Control Authority, 567. 
Scope and Form of Provisional Political Organiza- 
tion, 569. 
Proposal by U.S. Delegation, 569. 
Questions Relating to Austria : 
German Assets in Austria, 571. 
Invitation to Austria, 571. 
U.S. Delegation to Moscow Meeting, 432. 

TIte Foreign Service 

Appointments and Confirmations, 219, 455, 499, 579. 
Christian M. Ravndal Appointed Deputy Director General 

of Foreign Service, 455. 
Consular Ofl3ees, 219. 
Foreign Service Institute, 549, 579. 
Resumption of Foreign Service Examinations, 403. 
U.S. and Denmark Raise Missions to Embassies, 299. 
U.S. and Siam Raise Missions to Embassies, 599. 

International Information 

Addresses by Assistant Secretary Benton : 

American Position on International News and Inter- 
national Libel, 591. 
Freedom of Information : The Role of the State De- 
partment, 352. 
International Understanding: An Undeveloped Human 

Resource, 500. 
National Defense and National Reputation, 202. 
Daily Russian-Language Broadcasts to U.S.S.R., 252, 395. 
Radio Broadcast on "Keeping the Record Straight on 
America Overseas," 216. 

Occupation Matters 

Art Objects, Return to Countries of Origin, 358. 
Assistant Secretary Hilldring: 

Election as Chairman of Bi-Zonal Supplies Committee, 

29. 
Request for Public Support for Success of Occupation 
Policies, 130. 
Europe : 

Accord on Treatment of German-Owned Patents, 434. 
Allied Commision for Italy, Abolition of, 287. 
Appointment of Members and Alternate Member of a 
Military Tribunal Establi.shed for the Trial and 
Punishment of Major War Criminals in Germany, 
133, 447. 



April 13, 1947 



681 



CUMULATIVB TABLB OF CONTENTS 
Occupation Matters— Continued 

Europe — Continued 

Beginnings of Self -Government in American Zone of 
Germany, 223. 

Correction of Information on Prisoners of War to the 
Netherlands, 539. 

Decartelization Law for U.S. Zone in Germany, 443. 

U.S.-Prench Accord on Release of German Prisoners of 
War, 539. 

U.S. in the Allied Administration of Austria, 407. 

U.S. Opposes Intervention in Hungary by Soviet High 
Command, 495. 

U.S. Policy on German Youth Activities, 294. 

U.S. Reiterates Position on Soviet Activities in Hun- 
gary, 583. 
Far East : 

Activities in Korea and Japan Under Military Govern- 
ment, 507. 

Activities of Dissident Korean Groups, 210. 

American Attitudes on Allied Occupation of Japan, 596. 

Controls for Japan to Relieve World Shortages, 574. 

Edwin W. Pauley Resigns as President's Personal Rep- 
resentative on Reparations Matters and as U.S. 
Reijresentative on Allied Commission on Repara- 
tions, 505. 

Japanese Reparations Goods, 433. 

Japanese Re.seai'ch and Activity in the Field of Atomic 
Energy, 434. 

Korea — House Divided : By Assistant Secretary Hill- 
dring, 544. 

Military Government Activities in Korea, 209. 

Non-Mllltary Activities in Japan, 129. 

Proposals for Reopening U.S.-Soviet Joint Commission, 
168, 173. 

Radio Broadcast on Japan, 403. 

U.S. Policy Toward a Unified -Government in Southern 
Korea, 128. 

U.S. Position on Control of Dairen, 127. 

U.S. Withdraws From Committee of Three, 258. 

Publications 

Department of State, Lists, 79, 601. 

Foreign Agriculture, 78. 

Foreign Commerce Weekly, 138, 219, 255, 360, 595. 

International Control of Atomic Energy : Growth of a 
Policy, 216. 

Minutes of the Council of Four of the Paris Peace Confer- 
ence of 1919, 33. 

Minutes of the Council of Heads of Delegations, 178. 

Participation of U.S. in International Agencies and in 
International Conferences, 307. 

Project on Publication of German War Documents, 211. 

Publication of Official Text of Ntlrnberg Verdict, 447. 

Seal of the United States, 139. 

Treaty of Versailles and After : Annotations of the Text 
of the Treaty, 504. 

Treaty Information 

Adherence of Austria to Postal Convention, 304. 
Agreement Between U.S. and Philippines on Military 
Bases, 554. 

682 



Agreements Between UN, FAO, and UNESCO, 250. 
Aviation : 
Air-Transport Agreements: Canada, 256; China, 30; 
Ecuador, 214 ; Paraguay, 504 ; Peru, 31 ; Slam, 450. 
Chicago Aviation Agreements, 506. 
Convention on International Civil Aviation, 530. 
U.S. Granted Fifth Freedom Air Rights at Ceylon, 449. 
Convention With France on Double Taxation, 174. 
Extension of Food-Supply Agreement With Haiti, 75. 
Inter-American Coffee Agreement, 213, 378. 
Niirnberg Judgment : A Summary, 9. 
Peace Treaties With Italy, Bulgaria, Rumania, and Him- 

gary, 199, 486, 541. 
Peru Ratifies Convention on Nature Protection and Wild- 
life Preservation in the Western Hemisphere, 302. 
Proposed Treaty of Commerce With India, 208. 
Protocol on Inter-American Registration of Trade Marks, 

257. 

Protocol Prolonging International Agreement Regarding 

Regulation of Production and Marketing of Sugar, 

552. 

Report to Congress on Canol-1 Project Disposition, 256. 

Signing of Articles of Agreement of Fund and Bank by 

Turkey, 553. 
Signing of Articles of Agreement of International Bank, 

24, 198. 
Tax-Treaty Negotiations with Denmark, 138, 360. 
Three Rubber Purchasing Agreements Expire, 75. 
Trade : 

Administration of the Reciprocal Trade-Agreements 
Program : 
Executive Order 9832, 436. 
Statement by the President, 438. 
Statement by Under Secretary Clayton, 438. 
Public Hearings on Trade-Agreement Negotiations: 
Possible Tariff Concessions for Additional Products, 

399. 
Supplementary Statistical List, 399. 
Supplementary Statutory List, 401. 
Committee for Reciprocity Information, 402. 
Trade Agreement With Canada : Withdrawal of Fire- 

Hose Concession, 137, 4.53. 
Trade Agreement With Paraguay, 543. 
Trade Agreement With the Philippines, 129. 
Trade Agreements Negotiations : Exchange of Letters 
Between Sen. Butler and Under Secretary Clayton, 
161. 
Treaty of Conciliation With the Philippines, 254. 
U.S.-French Discussions on Bilateral Patent Agreement, 

441). 
U.S.-Polish Agreement on Compensation Claims, 28. 

The United Nations 

Accomplishments of the Commission on Narcotic Drugs, 

91. 
Appointment of Byron Price as Assistant Secretary- 
General of UN, 384. 
Appointments and Confirmations of U.S. Representatives, 

155, 475. 
Atomic Energy : 

First Report of Atomic Energy Commission to the Se- 
curity Council, 105, 107. 

Department of State Bulletin 



The United Nations — Continued 

Atomic Energy — Continued 

Resignation of Bernard M. Baruch as U.S. Representa- 
tive on Atomic Energy Commission, 47, 50. 
Resolution for Drafting Atomic Energy Agreements, 572. 
Bodies Established by General Assembly During Second 

Part of First Session, 116. 
Couunission on Human Rights : 
First Session of Commission, 154. 

U.S. Proposal for Subcommission on Protection of Mi- 
norities and Prevention of Discrimination, 278. 
U.S. Proposals Regarding an International Bill of 
Rights, 277. 
FAO Preparatory Commission : Report on World Food 

Proposals, 247. 
First Meeting of Commission of Investigation Scheduled, 

113. 
Freedom of Information and the Press : 

U.S. Draft Resolution Regarding Conference on, 244. 
U.S. Proposal Regarding Sub-Commission on, 243. 
General Assembly Resolution on Information on Armed 
Forces of the United Nations : Letter From the Sec- 
retary-General to the President of the Security Coun- 
cil, 50. 
Goal of Collective Security : Address by Warren Austin, 

474. 
Health : 

One Year of Progress in World Health Cooperation, 384. 
Protocol Concerning International Office of Public 

Health, 381. 
Third Session of Interim Commission of WHO, 572. 
International Children's Emergency Fund, 466. 
International Fund and Bank : 
Colombia Signs Articles of Agreement of International 

Bank, 24, 198. 
Confirmation of U.S. Executive Director of International 

Bank, 533. 
John J. McCloy Elected President of International Bank, 

450. 
Report on U.S. Participation in World Bank : Presi- 
dent's Letter of Transmittal, and Excerpts From 
Report, 152. 
U.S. Completes Payment to International Monetary 

Fund, 420. 
Venezuela and Turkey Sign Articles of Agreement of 
Bank and Fund, 24, 533. 
International Labor Organization : 
Agreement Between United Nations and ILO Signed, 24. 
Meeting of Governing Body, 27. 
Meeting of Petroleum Committee, 27. 
Permanent Migration Committee of International Labor 

Office, 120. 
Report on Petroleum Industry Committee Meeting, 576. 
U.S. Delegation to Committee on Petroleum Production 

and Refining, 282. 
U.S. Delegation to 101st Session of Governing Body, 
387. 



CUMULAllVB TABLE OF CONTENTS 

International Refugee Organization : 

Congressional Hearings on IRO Constitution, 424, 425. 
U.S. Participation : President's Recommendatiou to Con- 
gress, 423. 
Meeting of Special Technical Committee on Relief Needs, 

23. 
Preliminary Proposals for an International Trade Organi- 
zation : 
Commercial Policy, 234. 
Employment and Economic Activity, 187. 
Industrial Development, 190. 

Intergovernmental Commodity Arrangements, 266. 
Organizational Questions at London Meeting, 271. 
Restrictive Business Practices, 239. 
Proposal by the U.S. Government for a United Nations 
Scientific Conference on Resource Conservation and 
Utilization, 476, 477. 
Itegulation and Reduction of Ai-maments : Action of the 

General As.semlily, 311. 
Replies From 29 Nations on Action Taken in Accordance 

With Resolution on Spain, 115. 
Resignation of John G. Winant as U.S. Representative on 

ECOSOC, 52. 
Security Council : 
Resolutions : 

General Regulation and Reduction of Armaments, and 
Armed Forces : 
U.S. Draft Resolution, 275. 
Adoption of Resolution by Council, 321. 
Investigation of Greek Border Incident, 23. 
Voting Procedure in Security Council, 115. 
Summary Statements by the Secretary-General of Mat- 
ters of Which the Security Council Is Seized, 114, 
196, 385, 527. 
Trusteeship: 

Confirmation of Francis Sayre as U.S. Representative to 

Trusteeship Council, 430. 
Inauguration of the Trusteeship System of the U.N., 

511. 
Participation in Conference To Consider Establishment 
of Regional Advisory Commission for Non-Self- 
Governing Territories in South Pacific, 51. 
Report on the South Seas Conference, 459. 
Submission of U.S. Draft Trusteeship Agreement for 

Japanese Mandated Islands, 416. 
U.S. Submits Draft Trusteeship Agreement to Security 
Council, 383. 
UNESCO : 
Appointment of Walter Laves as Deputy Director-Gen- 
eral, 155. 
National Conference on UNESCO, 429. 
Reports on First General Conference, Paris, 20, 53, 374. 
U.S. Delegation to U.N. Preparatory Committee on Trade 

and Employment, 528. 
U.S. Participation in the United Nations: President's 

Letter Transmitting Report to Congress, 193. 
U.S. Representatives on Commission of Investigation of 
Greek Border Incident, 113. 



April 73, 1947 



683 



The Council of Foreign Ministers Fag« 

Moscow Meeting of the Council of Foreign 
Ministers. Statements by the Secretary of 
State: 
Economic Principles Regarding Germany: 

Necessity for Economic Unity 649 

Proposal Regarding Provisional Government 

for Germany 651 

Level of Industry and Reparations From 

Current Production 652 

German Assets in Austria 653 

Economic AKairs 

Wool Study Group Adopts Terms of Reference 

and Presents Conclusions 659 

U.S. Delegation to Preparatory Committee for 
International Conference on Trade and 
Employment 660 

U.S. Delegation to International Timber Con- 
ference of FAO 661 

Alexander B. Daspit Acting Deputy on Tri- 
partite Commission 668 

Registration of Shares of Rumanian National 

Bank 668 

Austrian Restitution Laws 669 

Removal of Currency Controls 671 

Recovery of Property Removed From the 

Philippines by the Enemy 675 

Discussions of Legislation for Communications 

Merger 677 

Necessity for Extension of Export Control Act. 
Message From the President to the 
Congress 676 

The United Nations 

The General Conference of UNESCO, Paris: 
The Program in Action. Article by 
Herbert J. Abraham 645 

Accomplishments of Fourth Session of the Eco- 
nomic and Social Council. Statement by 
Acting U.S. Representative in ECOSOC . 655 



The United' Nations — Continued psge 
Summary Statement by the Secretary-Gen- 
eral. Security Council Matters 657 

UNESCO: A Proposal to History. By Assist- 
ant Secretary Benton 662 

Occupation Matters 

State, War, and Navy Program for the Inter- 
change of Persons: 

Germany 666 

Austria 667 

Civilian Communication Between U.S. and 

British and American Zones in Germany . 671 
Transfer of Japanese Industrial Facilities to 
Devastated Countries. Statement by Frank 
R. McCoy 674 

Treaty Information 

The Great Lakes Fisheries Convention. Article 

by Durand Smith 643 

Treaty of Friendship, Commerce, and Naviga- 
tion With China: 
The President's Letter of Transmittal ... 672 
Report of the Acting Secretary of State ' . . 672 
Quota Ended on Fox Furs From Canada . . . 678 

Educational, Scientific, and Cultural 
Cooperation 

State, War, and Navy Program for the Inter- 
change of Persons: 

Germany 666 

Austria 667 

Calendar of International Meetings . . . 658 

Addresses and Statements of the Week . . 671 

Publications 

Foreign Commerce Weekly 677 

"Nazi Conspiracy and Aggression", Volume II . 678 

Quarterly Cumulative Table of Contents: 

January 5-March 30, 1947 679 



wyyd^mwtm^ 



Durand Smith, author of the article on the Great Lakes fisheries 
convention, is a Commodity Specialist in the International Resources 
Division, Office of International Trade Policy, Department of State. 

Herbert J. Abraham, author of the article on the program of 
UNESCO in action, is Research and Analysis Officer, UNESCO Rela- 
tions Staff, Office of International Information and Cultural Affairs, 
Department of State. 

a. 9. COVEnmiEHT PRIHTIKC office: 1947 



^Jrie/ ^eha7^t^^en{/ ,(w t/tate/ 





MOSCOW MEETING OF THE COUNCIL OF FOREIGN 

MINISTERS • Statements by the Secretary of State: 

Questions Relating to Germany ......... 693 

The Problem of Boundaries 696 

THE JOINT CAMPAIGN AGAINST FOOT-AND-MOUTH 

DISEASE IN MEXICO • Article by John A. Hopkins. . 710 

PICAO SOUTH PACIFIC REGIONAL AIR NAVIGATION 

MEETING • Article by Carl Swyter 713 

RESOLUTIONS ADOPTED BY ECOSOC RELATING TO 

NARCOTIC DRUGS • Article by George A. Morlock i . 687 



For complete contents see back cover 



Vol. XVI, No. 407 
April 20, 1947 



^V.t*T o*. 




MAY 12 1947 




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April 20, 1947 



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RESOLUTIONS ADOPTED BY THE ECONOMIC AND SOCIAL COUNCIL 
RELATING TO NARCOTIC DRUGS 



hy George A. Morlock 



The Economic and Social Council at its fourth session took 
note of the First Report of the Commission on Narcotic 
Drugs and approved recommendations to insure the efftcient 
discharge of the functions and duties of the United Nations 
in the field of narcotic drugs. 



The Economic and Social Council had on its 
agenda for the Fourth Session the topic "Report of 
the Narcotics Commission and the Assembly Reso- 
lution on Narcotics". 

On invitation of the Chairman, Col. C. H. L. 
Sharman, Chairman of the Commission on Nar- 
cotic Drugs, made some observations ' on the report 
of the Commission to the Economic and Social 
Council on the work of its First Session held at 
Lake Success, N. Y., from November 27 to Decem- 
ber 13, 1946.= 

Remarks by Colonel Sharman 

I have a few remarks to make to the members of 
the Council. 

As members of the Council will recall, the Com- 
mission on Narcotic Drugs owes its existence to the 
resolution of the Council of February 16, 1946. 

The first session of the Commission on Narcotic 
Drugs was held at Lake Success from November 
27 to December 13, 1946. 

Tlie report of the Commission to the Economic 
and Social Council has been circulated to members. 

In addition to discussing questions relating to 
organization and procedure, the Commission has 
reviewed the general situation throughout the 
world in the field of narcotics and considered the 
measures required in order to maintain and 
strengthen the system of international control, 

April 20, 1947 



particularly in countries where interruptions have 
been caused by the war. Special attention was 
given to the urgent question of the limitation of the 
production of raw materials. Various other prob- 
lems were also examined, including opium smoking 
in the Far East, the illicit traffic, drug addiction, 
and the situation in Germany, Japan, and Korea. 

The Commission adopted a number of resolu- 
tions and recommendations to the Council, which 
are contained in the report. It will be observed 
that the action required to implement fully these 
resolutions and recommendations will add sub- 
stantially to the work of the Secretariat and will 
involve certain additional expenditure. The 
Council will be trusted to take the necessary steps 
to insure that adequate provision is made for these 
purposes. 

During the session of the Commission, repre- 
sentatives of 38 nations, and shortly afterwards 
an additional 11 members, signed the protocol 
amending previous international agreements on 
narcotic drugs and transferring to the United 
Nations the powers and functions formerly exer- 
cised by the League of Nations in relation to the 
control of narcotics. 

Members of the Council will recall that many 



' U. N. doc. E/P.V./52, Feb. 28, 1947. 
' U. N. doe. E/251, Jan. 27, 1947. 



687 



nations who are not yet members of the United 
Nations were signatories of the previous interna- 
tional agreements relating to narcotic drugs. The 
effectiveness of the international control of nar- 
cotic drugs depends, to a great extent, on its uni- 
versality, and it is urgent that nations outside the 
United Nations who were parties to the previous 
agreements, should sign the new protocol; other- 
wise there will be serious gaps in the international 
administration. For this reason the Commission 
has requested the Economic and Social Council to 
consider the measures necessary to insure the par- 
ticipation at an early date in the protocol of all 
parties to the previous international agreements, 
conventions, and protocols on narcotic drugs who 
are not members of the United Nations. 

The reestablishment at its pre-war level of the 
international control of narcotic drugs was one 
of the most important problems discussed by the 
Commission during its first session. The Com- 
mission recommended that, in order to hasten the 
reestablishment of international control in the 
countries directly affected by the war, and to im- 
prove it wherever necessary, all possible technical 
assistance should be given. The Commission con- 
sidered that it was necessary to begin the prepa- 
ration of a digest of laws giving a survey of the 
legislation in countries which were parties to the 
conventions, in order to ascertain whether their 
legislation on narcotic drugs is in accordance with 
the conventions. 

It also emphasized the importance of the re- 
vision of the list of narcotic drugs which are sub- 
ject to control. The development of new drugs, 
synthetic and otherwise, since 1940 makes it essen- 
tial to revise the list in order that these di'ugs 
may be brought under control. The Commission 
was of the opinion that the preliminary work of 
revision could best be midertaken by a consultant 
pharmacologist. 

The Commission devoted particular attention to 
the problem of the limitation of the production 
of raw materials. This work was begun in 1932 
by the Opium Advisory Committee of the League 
of Nations, but was interrupted by the war. In 
1944 the United States Government assumed the 
initiative in carrying on the work of preparation 
of a conference on this subject. The Commission 
on Narcotic Drugs decided to issue, subject to the 
approval of the Council, a questionnaire on raw 
opium calling for further information and to in- 

688 



struct the Secretariat to draw up a questionnaire 
on the coca leaf for consideration by the Commis- 
sion at its next session. 

The Commission also reviewed the new situation 
created by the abolition of most of the previously 
existing opium monopolies in the Far East. As 
soon as the Far Eastern territories of France, 
the United Kingdom, Netherlands, and Portugal 
were liberated from the Japanese occupation, the 
Governments of these countries made opium smok- 
ing illegal in them. 

The Commission has asked the Economic and 
Social Council to invite all countries which still 
legalize the use of opium for smoking to take im- 
mediate steps to prohibit the manufacture, in- 
ternal traffic in, and the use of such opium. 

During the session the Commission examined the 
different aspects of the question of drug addic- 
tion. It dealt with the question of addiction due 
to drugs derived from opium and coca leaf and 
addiction due to Indian hemp, new synthetic 
drugs, and the barbiturates. It decided to issue 
a questionnaire on drug addiction. As regards 
new drugs, the Commission recommended that 
the Council should remind governments which 
were parties to the convention of 19 February 
1925 that they have undertaken to send to the 
Permanent Central Opium Board statistics of 
drugs whether synthetic or not which are brought 
under this convention in virtue of article 10. 
This article, as amended by the protocol, provides 
that governments which accejit the recommenda- 
tions of the World Health Organization concern- 
ing dangerous new drugs which should be brought 
within the scope of the convention shall apply the 
remaining provisions of the act in their respect. 
The Commission also recommended that the Coun- 
cil should request governments to send estimates in 
respect of these drugs to the Permanent Central 
Opium Board and the Supervisory Body. 

Particular attention was paid to the problem of 
Germany and the Commission took note of the 
following passage from the report of the Perma- 
nent Central Opiima Board in 1945 : 

". . . The Board can only emphasize that 
some system under which the control of narcotics 
in Germany is centralized, or, at least, the control 
over them in the different zones is co-ordinated, 
should be established at the earliest possible mo- 
ment with a threefold object: First, it is necessary 
that the statistical information on imports and ex- 

Department of State Bulletin 



ports, manufacture, stocks and seizures should be 
collected by some Central Authority, and trans- 
mitted to the Board and to the Allied Govern- 
ments, who are responsible for the enforcement of 
drug control in Germany. Secondly, it is desir- 
able that such a Central Authority should re- 
establish proper regulations through import and 
expoi't licenses over imports to and exports from 
the whole German territory occupied by the mili- 
tary authorities. Thirdly, there are a number of 
internal measures of control which should be uni- 
form in all four zones." 

The Commission has requested the Council to 
urge the occupying powers to take the necessary 
measures at the earliest possible moment for the 
establishment of an effective control of narcotics 
for all Germany. 

The Council will be interested to learn that a 
special study of the problem of narcotics in Jajjan 
and Korea was made by the Commission. The 
Chinese Delegate submitted a proposal for the total 
prohibition of the manufacture of narcotic drugs 
in Japan and for the instalment of a United Na- 
tions stockpile of narcotic di-ugs in the Far East 
which would be the sole source of supply for the 
medical and scientific needs of Japan. 

A subcommittee was appointed to study the 
problem and presented two alternative proposals 
for the consideration of the Commission. The 
Commission decided to submit both alternatives to 
the Council. Alternative A of the two proposals 
contains a recommendation that an international 
stock23ile should be established from which the 
medical and scientific needs of Japan would be 
supplied. Alternative B provides that all imports 
of narcotic drugs into Japan should require the 
prior sanction of an inspectorate appointed by the 
United Nations. 

With regard to Korea, the Commission decided 
to recommend that similar measures of control to 
those adopted in respect of Japan should apply 
to Korea. 

In order to insure that the terms of such con- 
trol are incorporated in the peace treaties which 
are presently to be concluded with Japan, the 
Commission recommended that the Economic and 
Social Council should : 

(a) send its recommendations in regard to Ja- 
pan to the Far Eastern Commission, with copies 
to all governments represented on the Commission 

April 20, J 947 



and to the Allied Military Authorities now in con- 
trol of Japan ; and 

(b) send its reconamendations in respect of 
Korea to all governments and authorities con- 
cerned. 

I should like to refer, if I may be allowed to do 
so, to the harmonious manner in which the Com- 
mission carried out its task at the first session, 
a task which although essentially technical and 
non-political nonetheless required a cooperative 
spirit among its members in order to achieve con- 
structive results. The Commission's work was 
greatly facilitated by the decisions taken by the 
Council and the Assembly to preserve the conti- 
nuity of the international control of narcotics. 

I am sure that members of the Council will also 
permit me to express my thanks on behalf of the 
Commission to the Secretary-General for the 
measures which he put into force to insure the 
efficient functioning of the international control 
during the difficult period of transition while 
United Nations were assuming the duties formerly 
carried out by the League in this field. 

Action on Report 

A number of members of the Council com- 
mended the report of the Commission on Narcotic 
Drugs, the first report to come before the Council 
from one of its commissions, for its high quality. 
The Chairman described it as exhaustive and clear 
and stated that it contains just what is expected 
of the Economic and Social Council. 

At the suggestion of the Soviet Kepresentative 
and several other representatives, the Chairman 
proposed that the report be referred for study to 
a committee designated as the Committee of the 
Council on Social Affairs to be composed of the 
United States, the United Kingdom, France, 
China, the Union of Soviet Socialist Republics, 
India, Peru, New Zealand, Byelorussia, Venezuela, 
and Lebanon. The proposal was approved. 

This Committee held three meetings at Lake 
Success, N. Y., on Tuesday, March 4, and Wednes- 
day, March 12, 1947. It considered the resolutions 
recommended to the Council in the report of the 
first session of the Commission on Narcotic Drugs 
in the light of the debate held in plenary session 
of the Council on February 28, 1947. 

The Committee on Social Affairs recommended 
for adoption, and the Economic and Social Coim- 

689 



cil adopted on March 28, 1947, with minor changes, 
the following resolutions :' 

[A.] Transfer of the Functions of the League 
of Nations 

The Economic and Social Council 
Takes note of the first report of the Commis- 
sion on Narcotic Drugs and decides as follows: 

Having noted that forty-nine Members of the 
United Nations have now signed the Protocol 
transferring to the United Nations the functions 
previously exercised by the League of Nations 
under international conventions, agreements and 
other instruments relating to narcotic drugs, and 

Having noted that a certain number of parties 
to such conventions, agreements and other instru- 
ments are not Members of the United Nations 

RequesU the Secretary-General to invite all 
those parties to the conventions, agreements and 
other instruments above-mentioned which are not 
Members of the United Nations, with the exception 
of Spain so long as the Franco Government re- 
mains in power in that country, to become parties 
to the said Protocol at an early date. 

[B.] Re-establishment and Improvement of the 
International Control of Drugs 

(^■) Re-establishment of control 

The Economic and Social Council 

Having noted the urgency of re-establishing 

the control of narcotics in the countries directly 

affected by the war and of improving it wherever 

necessary 

Approves the decisions of the Commission on 

Narcotic Drugs 

1. To ask these countries to resume at the earli- 
est date possible full collaboration with the inter- 
national organs of control. 

2. To offer them on request such technical assist- 
ance as they may require with a view to the re- 
establishing of national controls at pre-war levels 

{ii) Improvement of control 

The Economic and Social Counch. 

Having recognized the importance of facilitat- 
ing the task of the Council and the Commission 
in supervising the application of the conventions 
and agreement on Narcotic Drugs, 

Approves the decision of the Commission to initi- 
ite the preparation of a digest of laws giving an 

' U.N. doc. B/3J)9, Apr. 3, 1947. 

690 



analytical survey of national legislation in all 
countries parties to these conventions with a view 
to ascertaining whether their legislation on nar- 
cotic drugs is in accordance with the Conventions, 
and 

Having noted the opinion of the Commission 
that the revision of the list of narcotic drugs fall- 
mg within the scope of the various Conventions 
should not be delayed, 

1. Requests the Secretary-General to undertake 
these tasks as expeditiously as possible. 

2. Invites Governments to give the Secretary- 
General all possible assistance in the execution of 
tliis work. 

[C] Limitation of Production of Raw Materials 

The Economic and Social Council 
Having noted the importance of bringing a 
speedy solution to the urgent problem of the limi- 
tation of production of raw materials from which 
narcotic drugs are manufactured, and 

Having noted the preparatory work initiated by 
the Commission with a view to holding an inter- 
national conference to deal with this problem 

1. Approves the issue of the questionnaire on 
raw opium prepared by the Commission on Nar- 
cotic Drugs (document E/251/Add.2), and re- 
quests the Secretary-General to transmit this ques- 
tionnaire to the governments concerned asking 
them to communicate, on or before 15 August 1947 
the information called for therein and any obser- 
vations bearing on the subject which they may wish 
to submit, and 

2. Approves the decision of the Commission to 
draw up a questionnaire on the coca leaf to be 
considered by the Commission at its next session 
and subsequently to be transmitted to Govern- 
ments. 

[D.] Abolition of Opium Smoking 

The Economic and Social Council 

HA^^NG considered the stipulation embodied in 
Article 6 of the International Drug Convention of 
23 January 1912 concerning the suppression of the 
manufacture of, internal traffic in and use of pre- 
pared opium, and 

Having noted the Governments of some coun- 
tries have adopted a policy of complete prohibition 
of opium smoking and have taken measures to give 
effect to this policy 

Requests the Secretary-General to invite, on 

Deparfmenf of Sfafe Bullefin 



ii 



behalf of the Council, all countries where the use 
of opium for smoking is still legal, to take imme- 
diate steps to prohibit the manufacture of, internal 
traffic in and the use of opium for this purpose. 

[E.] Drug Addiction 

The Economic and Social Council 
Having noted that under the Convention of 
19 February 1925 Governments have undertaken 
to send to the Permanent Central Opium Board 
statistics of drugs, whether synthetic or not, which 
are brought under control in virtue of Article 10 
of this Convention, 

Requests the Secretary-General to remind the 
Governments concerned of the obligation above- 
mentioned, and to ask them to send, for the in- 
formation of the Permanent Central Opium 
Board and the Supervisory Body, estimates of 
requirements of these drugs, together with the 
estimates to be furnished under Articles 2 to 5 
inclusive of the Convention of 1931. 

[F.] Control of Narcotic Drugs in Germany 

The Economic and Social Council 
Requests the Secretary-General, on behalf of 
the Council, to inform the Governments of France, 
the Union of Soviet Socialist Republics, United 
Kingdom, and the United States of the special 
importance which the Council attaches to the 
establishment of an effective control of narcotic 
drugs in Germany, and to invite them, on behalf 
of the Council, to recommend to the Allied Con- 
trol Authority to take the necessary measures at 
the earliest possible moment for the establishment 
of an effective control of narcotic drugs through- 
out Germany. 

[G.] Control of Narcotics in Japan 

The Economic and Social Council 
Having considered the problem of the control 
of narcotic drugs in Japan, and the recommenda- 
tions of the Commission on Narcotic Drugs on 
this subject, 

Approves the decision of the Commission to ap- 
proach the competent authorities at Pacific Head- 
quarters through the proper channels, with the 
request to supply to the Secretary-General, and 
through him to the Parties to the Narcotics Con- 
ventions, reports and other information to be fur- 
nished in accordance with the conventions of 1912, 
1925, 1931 and 1936, and 



Having noted that the most stringent measures 
for the control of narcotic drugs should be incor- 
porated in the peace treaties to be concluded with 
Japan, 

Recommends to the Governments responsible for 
negotiating these treaties that provision should be 
made in them for the most stringent control in the 
period after the conclusion of the treaties of all 
transactions concerning narcotic drugs in Japan, 
and that to ensure effective operation this control 
should be under the supervision of such control 
authorities as may be established by the peace 
treaties and of the United Nations, whose expert 
bodies will be available to give such information 
and advice as may be requested. 

[H.] Appointments to the Permanent 
Central Opium Board 

The Economic and Social Council 

1. Resolves to follow with regard to appoint- 
ments to the Permanent Central Opium Board for 
the present the procedure contained in the memo- 
randum Annex III to the Report of the Commis- 
sion * and 

2. Instructs the Secretary-General to invite the 
Governments mentioned therein to make nomina- 
tions in accordance with the provisions of this 
memorandum, these nominations to reach the 
Secretary-General on or before 1 August 1947 

3. Invites the Secretary-General to initiate 
studies with a view to amending or deleting the 
provision in Article 19 of the Convention of 1925 
that requires that members of the Permanent Cen- 
tral Opium Board shall not hold any office which 
puts them in a position of direct dependence on 
their governments 

4. Having noted the inmiediate vacancy to be 
filled on the Permanent Central Opiiun Board and 
the nomination submitted in accordance with the 
decision of the Commission * 

Resolves to appoint/ Professor J. Bougault 
(France) 

[I.] Budgetary Provision 

The Economic and Social Council 
Having considered the numerous functions and 
duties which have to be performed, arising out of 



* U.N. doc. E/251, Jan. 27, 1947. 

• U.N. doc. E/251, p. 11. 



April 20, 1947 



691 



the international agreements, conventions and 
protocols on narcotic drugs, and out of the deci- 
sions of the General Assembly, and of the Eco- 
nomic and Social Council 

Having noted further that the international 
control of narcotic drugs has been partially inter- 
ruiDted by the war, and that its full re-establish- 
ment is a matter of urgency, and 

Having noted that the preparatory" work for the 
limitation of the production of the raw materials 
used in the preparation of narcotic drugs must be 
resumed as soon as possible, 

Recommends to the General Assembly that it 
should ensure that provision is made to supply 
the Commission on Narcotic Drugs and the Sec- 
retary-General with all the means required to en- 
sure the efficient discharge of the functions and 
duties of the United Nations in the field of nar- 
cotic drugs. 

Comment 

A comparison of the resolutions adopted by the 
Economic and Social Council with the recommen- 
dations and suggestions* presented by the Com- 
mission on Narcotic Drugs discloses general ap- 
proval by the Council of the work of the Commis- 
sion. The financial implications of the various 
recommendations were considered and taken into 
account in resolutions designated above as B, C, 
and I, relating to expenditures in connection with 
the reestablishment and improvement of the in- 
ternational control of narcotic drugs. The adop- 
tion of these resolutions insures to the Secretary- 
General (assuming that the approval of the Gen- 
eral Assembly will be obtained) the means required 
to enable the United Nations to carry out their 
obligations under the international drug con- 
ventions. 

The action called for in resolution A will un- 
doubtedly result in universal acceptance by the 
parties to the international drug conventions, 
agreements, and other instruments, with the ex- 
ception of Spain so long as the Franco govern- 
ment remains in power in that country, of the 
transfer to the United Nations of the functions 



'Bulletin of Jan. 19, 1947, p. 91; see also U.N. doc. 
B/251. 

' U.N. doc. E/P. V./52, Feb. 28, 1947. 
' U.N. doc. E/AC.7/3, Mar. 8, 1947. 

692 



exercised by the League of Nations relating to 
narcotic drugs. 

The words on request in point 2, paragraph (%) , 
of resolution B were inserted on the suggestion of 
Mr. Borisov (U.S.S.R.). 

Resolution D on the abolition of opium smok- 
ing, E on drug addiction, and F on control of 
narcotic drugs in Germany carry out fully the 
recommendations of the Commission on Narcotic 
Drugs. 

Resolution G on the control of narcotics in 
Japan provoked considerable discussion. It will 
be recalled that the Commission on Narcotic Drugs 
presented two alternative proposals for the con- 
sideration of the Council : alternative A, embody- 
ing a recommendation that an international stock- 
pile should be established, from which Japan 
might draw its narcotics for medical and scientific 
purposes, and alternative B, stipulating that all 
imports of narcotic drugs into Japan should re- 
ceive the visa of an inspectorate appointed by the 
United Nations. In the discussion of these pro- 
posals at the second meeting of the Fourth Session 
of the Economic and Social Council on February 
28, 1947,' the representatives of the United King- 
dom, France, Canada, the Netherlands, and the 
United States expressed themselves as favoring 
alternative B as being more practical, economical, 
and ethcient than alternative A. 

Dr. Szeming Sze (China) proposed in the first 
meeting of the Committee on Social Affairs of the 
Economic and Social Council,* March 4, 1947, that 
the paragi'aph in his original proposal relating to 
Korea be omitted because the narcotics situation in 
Korea is not on the same footing as in Japan. In 
order not to delay a decision, he said he was pre- 
pared to adopt alternative B, reserving the right to 
raise the question of an international stockpile at 
a moi-e suitable time. Mr. Borisov said that both 
alternative A and alternative B implied that the 
Economic and Social Council would have to under- 
take executive functions and that this was outside 
of the scope of the United Nations. He thought 
that the action taken by member governments 
under existing conventions was sufficient for the 
application of the necessary control and that it was ' 
preferable to await conclusion of ti'eaties with 
Japan before making the recommendations con- 
tained in alternatives A and B. Mr. Kaminsky 
(Byelorussian Soviet Socialist Republic) sug- 
(Continued on page 706) 



Department of State Bulletin 



i 



THE COUNCIL OF FOREIGN MINISTERS 



Moscow Meeting of the Council of Foreign Ministers: 
Questions Relating to Germany 

STATEMENTS BY THE SECRETARY OF STATE 



Polish-German Frontier * 

The time has now come for the Council of 
Foreign Ministers to examine the problem of the 
final determination of the Polish-German bound- 
ary. The Potsdam protocol provided that "the 
final delimitation of the western frontier of 
Poland should await the peace settlement." 
Pending that final settlement about 40,000 square 
miles of eastern German territory were, at Pots- 
dam, placed under the administration of the 
Polish state. 

"We are agreed that Poland should receive sub- 
stantial accessions of territory in the north and 
west in compensation for territory acquired by 
the Soviet Union east of the Curzon Line. 

In the peace settlement, therefore, a substantial 
revision of the pre-war German frontier in 
Poland's favor is required. Our problem is how 
and where to draw the final line so as to avoid 
unnecessary and unjustified economic upset and to 
minimize inescapable irredentist pressure in 
Germany. 

The area in question is very important to the 
livelihood not merely of those who live there 
but of many others who live in neighboring areas. 
We are dealing with a problem which touches 
closely on the political stability and the economic 
health of much of Europe. Recognition of this 
should dominate our thinking. We should see to 
it that the new frontiers wherever they are drawn 
do not create a continuing political problem and 
are not barriers to the accustomed and healthful 
flow of trade and commerce and human inter- 
coui'se. 

It is not inevitable that new frontiers should 
block trade and intercourse. Some frontiers be- 
come almost impenetrable barriers. But we can, 
if we so agree, establish here a territorial settle- 
ment on terms which would protect Europe 
against such evil eflFects. The peace settlement 
might, for example, provide that certain economic 
resources of the ceded territory on which other 
countries are dependent should be administered 
with due regard to their needs. 

I suggest that before we decide on where the 

April 20, 1947 

739228 — 47 2 



new frontier shall be we consider first what kind 
of a frontier it is to be. The Polish Government 
should, of course, be consulted jiromptly, for it is 
deeply concerned. The final action should be in 
the interest of Europe as a whole. Let us start to 
apply the conception that European matters which 
are of general concern should be dealt with in the 
general interest. We at this council table have 
the duty to try to rebuild a Europe better than 
that it replaces. Only as we inspire hope of that 
can we expect men to endure what must be en- 
dured and make the great efforts which must be 
made if wars are to be avoided and civilization 
is to survive in Europe. 

The new frontiers of Poland must be adequate to 
give Poland resources at least as great as she had 
before the war and capable of maintaining her 
people at a good standard of life. To give Poland 
satisfactory new frontiers means that some terri- 
tory which has long been German and intimately 
interrelated with the German economy must be 
affected. We must not deprive Poland of the com- 
pensation we promised her. But in deciding what 
compensation she is entitled to we must consider 
what territory Poland needs and can effectively 
settle. We must avoid making a settlement which 
would only create difficulties for Poland and for 
Europe in futui-e years. 

There are specific economic factors affecting Ger- 
many which require consideration. German pre- 
war imports of foodstuffs provided about one fifth 
of the total food consumed in Germany. Before 
the war the German area now under provisional 
Polish control also contributed over a fifth of Ger- 
many's total food supply. If Germany nmst, in 
the future, import two fifths or more of her food 
supply from abroad, the German economy will 
have to be industrialized to an even greater extent 
than before the war or Germany will become a 
congested slum in the center of Europe. The five 
to six million Germans who have been evacuated 
from areas in the east will, for the most part, 
have to depend on industrial employment for their 



' Made on Apr. 9, 1947, and released to the press in 
Moscow on the same date, and in Washington on Apr. 10. 

*93 



THE COUNCIL OF fOSEJGN A1/N(Sr£RS 

livelihood. I agree with Mr. Bidault that there 
is danger in requiring an eventual German popu- 
lation of over 66,000,000 to live within the confines 
of a smaller Germany. 

There are also political factors to be considered. 
The cession to Poland of areas long German will 
of necessity create some irredentist feeling. Our 
problem is to provide Poland with compensation 
which is her due. At the same time we must avoid a 
territorial settlement which might discredit the 
democratic forces of Germany and give militant 
nationalist groups the chance to gain a hold on 
another generation of German youth. We should 
not provide an enduring and popular issue for the 
enemies of democracy and freedom in Germany. 
We should not destroy the hope that in future years 
Polish-German relations may become genuinely 
peaceful and cooperative. 

We must find a settlement which will not, in the 
future, confront the United Nations with inter- 
national friction likely to impair the general wel- 
fare or friendly relations among nations or to 
endanger the maintenance of peace and security. 

A solution of the problems involved in the char- 
acter and location of the Polish-German frontier 
must be sought. Wliile it wiU require precise and 
informed investigation, the main limits to this in- 
vestigation can be stated now. It will be accepted, 
I think, that southern East Prussia should become 
Polish territory, German Upper Silesia and its 
industrial complex should also become Polish ; but 
there should be provisions to assure that its coal 
and other resources will be available to help sus- 
tain the economy of Europe. The division of the 
remaining territory, which is largely agricul- 
tural land, requires consideration of the needs of 
the Polish and German peoples and of Europe as 
a whole. Accordingly, I propose that the follow- 
ing be agreed here at Moscow : 

"The Council of Foreign Ministers establishes 
a special boundary commission to function under 
the direction of the deputies. It will be composed 
of representatives of the U.S.S.R., U.K., U.S.A., 
France, Poland, and a convenient number of other 
Allied states to be designated by the Council of 
Foreign Ministers. The Council of Foreign Min- 
isters will invite Poland and each of the designated 
countries to appoint a member. 

' Made on Apr. 10, 1947, and released to the press in 
Moscow on the same date, and in Washington on Apr. 11. 

694 



"The function of the commission shall be to con- 
sider and recommend to the Council of Foreign 
Ministers : 

"(a) A revision of pre-war Polish-German 
boundaries which will fairly compensate Poland 
for the cession of the territory east of the Curzon 
Line to the Soviet Union ; 

"(b) The economic arrangements appropriate to 
assure that such raw materials and heavy indus- 
trial resources of the area in question as are vital 
to European economy shall fairly serve that need, 
including particularly the need of Poland. 

"In making its recommendation the commission 
shall inquire into and report upon Polish resettle- 
ment and German settlement in the areas in ques- 
tion and the best means to assure the effective utili- 
zation of such areas for the economic well-being 
of the Polish and German peoples and of Europe 
as a whole." 

The Ruhr > 

The United States Delegation believes the con- 
centration of basic economic resources in the Ruhr 
area raises two distinct problems. One is the 
question of security against the militant use of 
Ruhr resources by a revived Germany. The other 
is the question of how to assure that the concen- 
tration of coal, steel, and other resources in the 
Ruhr area will be equitably employed in the in- 
terests of the countries of Europe including Ger- 
many. 

We are convinced that no attempt should be 
made finally to solve either of these two problems 
until the Council has examined the other aspects 
of security, including the United States proposal 
for a four-power disarmament treaty. We are 
ready, however, to consider the economic aspects 
of the problem on the understanding that no over- 
all commitment can be reached until the Council 
has discussed the security question. 

While the Ruhr area contains a greater con- 
centration of basic industrial resources than is 
to be found elsewhere in Europe, it is not the only 
concentration. An area of less — but still substan- 
tial — importance is Upper Silesia. Since no part 
of this area is now under German control, it is 
unnecessary to consider it from the point of view 
of security. The economic questions raised by the 
Ruhr concentration, however, are equally relevant 
to the Silesian concentration and, indeed, to 
others. 

Department of State Bulletin 



These questions may be put as follows : (1) How, 
during periods of acute shortages, are basic com- 
modities, sucli as coal and steel, to be equitably 
shared? (2) How are countries within whose 
boundaries concentrations of basic resources are 
to be found to be prevented from imposing re- 
strictions which limit the access of other countries 
to these resources ? Both of these questions apply 
not only to the Ruhr but to other areas. However, 
in discussing them now I shall limit myself to the 
problem of the use of Ruhr resources. 

The United States Delegation has already stated 
its position that, during the period of military 
occupation, no special regime for the Ruhr is 
necessary. When Allied military government in 
Germany is terminated and a German government 
is functioning under a constitution, however, some 
special provision for the overseeing of Ruhr re- 
sources may be advisable. The United States Del- 
egation is of the opinion that whatever provision 
is made should not interfere with German respon- 
sibility for the management and operation of Ger- 
many's resources. In the first instance Germany 
must have responsibility not only for the produc- 
tion but the marketing of the products of her own 
industries. It is only if the Germans take action 
contrary to the just interests of other countries that 
the attention of an international agency may have 
to be called to the question. 

The United States Delegation believes that the 
ultimate solution to such conflicts as may arise on 
questions of this sort must be resolved on a Euro- 
pean-wide basis and that for this purpose the Eco- 
nomic Commission for Europe will prove useful. 
We do not consider it necessary here and now to 
discuss questions of procedure. It is much more 
important to agree among ourselves on two prin- 
ciples which the United States Delegation thinks 
should govern the allocation of essential commodi- 
ties, not only from the Ruhr but from other areas. 
These principles are (1) equitable distribution of 
essential commodities in short supply; and (2) 
access to essential commodities on a non-discrimi- 
natory basis. 

With respect to the Ruhr the United States 
Delegation considers that the principle of equi- 
table distribution means that, in the allocation be- 
tween domestic consumption and export of coal 
and other essential commodities in short supply, 
the legitimate interests of European countries' 
must be met while leaving to Germany the pos- 

April 20, 1947 



THE COUNCIL OF FORBIGN MINISTERS 

sibility of achieving, without outside assistance, a 
tolerable standard of living. 

The United States Delegation means by the 
principle of equal access that there shall be no dis- 
crimination either by Grermany or against Ger- 
many in the use of basic resources of the Ruhr. 
Narrowly this requires that Germany shall not 
impose export taxes, quotas, or embargoes which 
result in discrimination. More broadly, it in- 
volves insurance against the possibility that Ger- 
many, through her possession of coal and steel, 
will again attempt to dominate European indus- 
try and limit the development of heavy industry 
outside of Germany through the absolute control 
of metallurgical coal. 

The basic economic problem is created by the 
fact that the coal mines and the steel industry 
of the Ruhr are located in Germany and needed 
by much of Europe. That Europe requires coal 
and steel, however, should not blind us to the fact 
that they are in Germany, and that they are also 
needed by the German economy. No solution will 
work which denies equal access to these resources 
to the Germans. It would be impossible to expect a 
country to develop along peaceful democratic 
lines with a group of deeply interested foreign 
countries in indefinite control of its prime resources 
and of local consumption. 

What is required, in the view of the United 
States Delegatif^n, is a mechanism which permits 
the various interests to be resolved when they come 
in conflict, rather than to have one dominated by 
the other. What is required, in other words, is a 
European solution in a Europe which includes 
Germany. 

The Saar Territory > 

The economic resources of the Saar and Lor- 
raine are complementary. The coal mines and 
iron and steel facilities of the Saar are adjacent 
to the great iron-ore deposit and the steel facilities 
of Lorraine. When pre-war production levels are 
regained, the coal production of the Saar will be 
relatively unimportant to the internal German 
economy but will be of the greatest importance 
to France. 

At Stuttgart, last September, Secretary Byrnes 
stated that the United States does not feel that 
it can deny to France, which has been invaded 

'Made on Apr. 10, 1947, and released to the press In 
Moscow on the same date, and in Washington on Apr. 11. 

695 



THE COUNCIL OF FOREIGN MINIiTERS 

three times by Germany in 70 yeai'S, its claim 
to the Saar territory, whose economy has long been 
closely linked with France. 

For these reasons the United States supports 
the claims of France to have the Saar territory 
detached politically from Germany and to have 
it integrated with the economic and financial sys- 
tem of France by a customs and financial union, 
and possibly by means of other economic arrange- 
ments. 

We understand that France does not ask the 
political incorporation of the Saar into France. 
While France should be entrusted with the right 
to defend Saar territory from attack, the political 
autonomy of the Saar and the right of its people 
to manage their local affairs should be carefully 
safeguarded. 

In referring to the Saar territory, the United 
States Delegation has in mind the area covered 
by the Saar plebiscite. While minor rectifications 
of the Saar boundaries may be considei'ed, clear 
justification for such rectification should be re- 
quired. 

The incorporation of the Saar resources into the 
economy of France will make necessary some 
modification of the level of industry allowed to 
Germany and some readjustment of reparation 
removals and the retention in the Saar territory of 

The Problem of Boundaries 

STATEMENT BY THE 

Returning to the problem of boundaries, I may 
seem to my colleagues to be unduly emphatic re- 
garding this question. My emphasis comes from 
a deep sense of responsibility to my country re- 
garding the settlement of this particular issue. 

Twice in recent years the United States has 
been compelled to send its military forces across 
the Atlantic to participate in a war which started 
in Europe. In men by the million and dollars by 
the billion we did our best to contribute to the 
victories for the preservation of a free Europe. 

Our task is to make a peace settlement which as 
a whole the people of Europe will want to main- 
tain and not to break. We want a peace settlement 
which in future years will become, as it were, self- 
enforcing. We want a peace settlement which 
will encourage the people of Europe to work to- 

' Made on Apr. 10, 1947, and released to the press in 
Moscow on the same date, and in Washington on Apr. 11. 
' Not printed. 

696 



some plants which were to be removed for repara- 
tions. French claims for reparations will have to 
be subject to adjustment in light of the changed 
situation. 

The French Government is anxious to incor- 
porate the Saar in its economic and financial 
system as soon as possible. The United States 
Delegation sees no reason for delay and certain 
advantages to be gained by making this decision 
now in so far as it is within our competence. 

We suggest therefore that we agree now to the 
detachment of the Saar with its pre-war bounda- 
ries from the jurisdiction of the Allied Control 
Council and its administration solely by France, 
subject to the approjiriate adjustment of the 
French reparation claims. I suggest that we ap- 
point a committee of experts to prepare a proposal 
on such reparation adjustments as may be required. 

The definitive detachment of the Saar from Ger- 
many and the definitive determination of its boun- 
daries will have to be decided by the German peace 
settlement, which will also have to decide many 
details relating to the ownership of property, debt, 
and other matters. I suggest that we direct our 
deputies, upon conclusion of the present session of 
the Council of Foreign Ministers, to study all these 
matters and to make appropriate recommendations 
for inclusion in the peace settlement. 



SECRETARY OF STATE ' 

gether peacefully. We want a settlement that 
will live and that history will apfirove. We want 
above all to avoid a solution which will create a 
highly explosive situation through congestion and 
lack of food and other resources essential to mod- 
ern civilization. We have to look beyond today 
and tomorrow, to look 25 and 50 years ahead of 
us, beyond the lifetime of most of us. 

The Allied nations have now the power to im- 
pose new boundaries but, I sincerely hope, not 
boundaries whose only claim to jjermanency is 
force. Such cannot be a good foundation for 
peace. 

Regarding the boundary proposal made to our 
Government and to our deputies during their meet- 
ings in London by the Belgian, Holland, Czecho- 
slovak, and Luxembourg Governments, I am in 
general accord with what has been stated by Mr. 
Bevin,^ and I don't think it necessary at this time 
to add anything further to that statement. 



Department of State Bulletin 



ij 



THE UNITED NATIONS 



The Regulation of Armaments and Lasting Peace 



BY JOSEPH E. JOHNSON > 



The problem of understanding the relationship 
between arms control and world stability is one of 
the most challenging tasks before the American 
people and the Government. The problem is be- 
fore us today in an acute form. The United Na- 
tions Commission for Conventional Armaments 
this week began its session at Lake Success, and the 
Atomic Energy Commission is resuming its labors. 

If we undeistand the true relationship between 
armaments and peace and security, if national 
policy conforms to that understanding, we may be 
able to lay the gi'oundwork for a stable and peace- 
ful world. If we fail to insist upon adequate meas- 
ures for effective international control, if we fail 
to make certain that a proper balance is maintained 
between the annaments of the major powers and 
between international authority and national 
forces, we may endanger our own security and the 
peace of the world. If we succumb again to the 
delusion that armaments in themselves are a cause 
of wars, we shall invite disaster. 

Twenty-seven years ago this country, a victor in 
World War I, began a search for peace through 
disarmament. I think we must recognize today, 
after the second World War in our lifetime, that 
something very fundamental was wrong with our 
method and our policy. Our error lay, we now see, 
in thinking that by controlling inanimate weap- 
ons we could prevent evil men from committing 
aggression and making war. It lay also in trying 
to achieve disarmament apart from adequate meas- 
ures of armaments inspection and control and apart 
from basic political agreement and control. 

It is important, therefore, that we take a look 
first at our mistakes of the past in order to get at 
least a general idea of the direction in which we 
ought to try to go today. 

The Covenant of the League of Nations placed 
the question of disarmament in the forefront of 
procedures necessary for peace. 

"The Members of the League recognize", said 
the Covenant, "that the maintenance of peace re- 

April 20, 7947 



quires the reduction of national armaments to 
the lowest point consistent with national safety 
and the enforcement by common action of inter- 
national obligations." 

The Covenant also established a permanent dis- 
armament commission to aid in executing this 
disarmament policy and to advise on military, 
naval, and air questions in general. 

This emphasis upon disarmament in the Cove- 
nant became the watchword of internationalists in 
the United States during the interwar years. Dis- 
armament was considered an essential prerequisite 
to peace. It was widely believed that armaments 
are a danger in themselves, that they create politi- 
cal instability and are one of the principal causes 
of wars. This belief underlay the Washington 
Conference in 1921-1922, the Geneva Conference of 
1927, and the London Naval Conference of 1930. 
It led directly to the Preparatory Commission for 
General Disarmament at Geneva between 1927 
and 1930 and pervaded the debates of the General 
Disarmament Conference from 1932 to 1934. 

There were many, especially in Europe, who 
during those years dissented from the thesis that 
armaments were in themselves a principal cause 
of war. The French in particular maintained 
from 1919 onward that security must precede dis- 
armament and that states desiring peace cannot 
disarm in the absence of an adequate security sys- 
tem. This point of view was reflected in the es- 
tablishment in 1921 of a temporary mixed com- 
mission to advise the League Council on matters 
of political import as they related to disarma- 
ment. Moreover, the draft treaty of mutual as- 
sistance of 1923, the Geneva protocol for the 
pacific settlement of disputes of 1924, and the 
Locarno pacts in the next year were all attempts 

' An fiddress delivered before the annual convention of 
the Women's Action Committee for Lasting Peace in Wash- 
ington on Mar. 29, 1947, and released to the press on the 
same date. Mr. .Johnson is Chief, Division of Interna- 
tional Security Affairs, Office of Special Political Affairs, 
Department of State. 

697 



THE UNITED NATIONS 

to achieve some kind of security which might per- 
mit real disarmament. 

That this approach to the problem was the wiser 
is suggested by a careful examination of the results 
of the three naval conferences. At Washington 
in 1921-1922, and at London in 1930, agreements 
were reached on specific ratios among the Big Five 
and the Big Three of those days, while the Geneva 
Disarmament Conference of 1927 broke up in dis- 
agreement. Why? I suggest that one reason is 
that the treaties of 1922 and 1930 were linked with 
what were thought to be security measures, while 
the Geneva Conference was not. The Washington 
naval-limitation treaty was negotiated simultane- 
ously with two important political instruments — 
the Nine- and Four-Power pacts — which sought 
to stabilize a part of the world political structure, 
and the London Conference followed the signing 
of the Kellogg-Briand pact, which was regarded as 
a security pact. We know only too well how false 
a belief that was, and that the failure of both con- 
ferences to provide effective safeguards proved 
nearly fatal. 

A most interesting aspect of the disarmament 
efforts of the twenties and thirties was the atti- 
tude of the Soviet Union. From 1921 to 1932 the 
Soviet Government manifested by official state- 
ments and by participation in international con- 
ferences a keen interest in disarmament. 

Although not invited to the Washington Dis- 
armament Conference of 1921, the Soviet Govern- 
ment informed the conference that "it would be 
happy to welcome any disarmament or reduction 
in military forces which burdened the workers of 
all countries." 

The Soviet Government participated actively in 
the Preparatory Commission for General Disarma- 
ment from 1927 to its conclusion in 1930, and in 
the General Disarmament Conference from its 
inception in 1932 to its death at Hitler's hand in 
the middle thirties. 

The world still recalls the resounding words of 
Mr. Litvinoff when he submitted the Soviet draft 
convention for "immediate, complete and general 
disarmament" in 1927 and again in 1932. Litvin- 
off's declaration that the road to peace is through 
disarmament and that disarmament means total 
disarmament shook the world conferences. It is 
extremely interesting to note that the Kussian plan 
of those days contained provisions for interna- 
tional controls and international inspection, and 

698 



for punitive action against violators based on a 
majority vote in the international control organ. 

The Soviet proposals for total disarmament were 
rejected, as were their proposals for partial limi- 
tation and reduction of armaments. Both were 
far-reaching and contained basic elements absent 
from the proposals of other powers. 

Three points should be noted about those prO' 
posals. In the first place the emphasis was on 
disarmament as a road to peace, and not on the 
establishment of conditions of security as the road 
to disarmament. Litvinoff expressed the Soviet 
view concisely when he said in 1932 that "the task 
of the hour is not the repetition of any attempts 
to achieve some reduction of armament on war 
budgets . . . but the actual prevention of war 
with the creation of effective security against war. 
This task can only be carried out hy means of total 
and general disarmaments 

The second significant aspect of the Soviet pro- 
posals of 1927 and 1932 is that not only would total 
disarmament have been to the positive advantage 
of the only Conununist state in a world of capital- 
ist powers, but proposals for such disannament 
were, as Allen Dulles has recently suggested in an 
article in Foreign Affairs, "calculated to expose the 
hypocrisy of the capitalist states, even though [the 
Soviet Government] considered as a foregone con- 
clusion that they would not be accepted." 

The sixth congress of the Comintern in 1928 
described this position with, as Mr. Dulles says, 
"complete frankness". 

"The aim of the Soviet proposals", it said, "was 
not to spread pacifist illusions, but to destroy them ; 
not to support Capitalism by ignoring or toning 
down its shady sides, but to propagate the funda- 
mental Marxian postulate, that disarmament and 
the abolition of war are possible only with the fall 
of Capitalism ... it goes without saying, 
that not a single Communist thought for a moment 
that the imperialist world would accept the Soviet 
disarmament proposals . . . after the Soviet 
proposals for complete disarmament were re- 
jected, the Soviet Delegation in March 1928 sub- 
mitted a second scheme which provided for partial 
disarmament and for a gradual reduction of land 
and naval forces. This was not a concession to 
pacifism ; on tlie contrary, it served to expose more 
completely the attitude of the Great Powers toward 
the small and oppressed nations. The Soviet Gov- 
ernment's position on the question of disarmament 

Department of State Bulletin 



k 



is a continuation of Lenin's policy and a consistent 
application' of his precepts." 

A third comment on the Soviet proposals is that 
then, as now, a nation whose principal strength 
lies in manpower would have much to gain from 
complete disarmament. Men may be speedily re- 
called to the colors. Ships and planes take time — 
a long time — to build, and while they are build- 
ing the nation which must rely on them remains 
impotent. 

Wliat lessons can we draw today from the un- 
happy history of the intei'war period of false 
peace ? 

First, no responsible peace-loving state can af- 
ford to reduce its armaments except in so far as 
its security is adequately provided for. As Mr. 
Parodi, the French Delegate, phrased it in the 
recent General Assembly, "disarmament is impos- 
sible without security organized along parallel 
lines." 

Secondly, the effective regulation and reduction 
of armaments requires adequate safeguards to pro- 
tect complying states against the hazards of viola- 
tions and evasions. These safeguards must be both 
political and technical in character. Political 
safeguards would include conditions of political 
equilibrium and provisions against violations of 
any agreement. By technical safeguards I mean 
provisions, such as inspection under international 
authority, which would insure timely and adequate 
knowledge of any violation of any arms-control 
agreement. 

Thirdly, the unilateral disarmament of the 
United States would be a menace not only to its 
own security but to the peace and security of the 
world. This fact is, I believe, recognized not only 
in this country but by thoughtful persons abroad, 
who are fully aware that the weakness of the 
United States in 1939 was an invitation to aggres- 
sion against the peace-loving nations of Europe, 
as its wealiness was from 1931 an invitation to 
aggression in the Far East and eventually in the 
Pacific, at Pearl Harbor. 

The Government of the United States is deter- 
mined to remember those lessons and act upon 
them. It will seek its security through the United 
Nations and through means consistent with the 
Charter. It fervently upholds the concept em- 
bodied in the Charter phrase international peace 
and security, in which the two ideas of peace and 
security are coupled together. It insists and will 



TH£ UNITBD NATIONS 

continue to insist that in this atomic age nothing 
short of true security can be acceptable. It is 
therefore determined that the regulation of arma- 
ments shall be accompanied by adequate safe- 
guards. It will not again disarm unilaterally, 
and it will resist all efforts, from whatever source, 
to induce it and the American people to accept 
measures which might lead to the unilateral dis- 
armament of this country. 

The lessons of the past are written into the Char- 
ter of the United Nations. The Charter repeat- 
edly employs the phrase international peace and 
secvxrity. It rejects the concept of the League 
Covenant that disarmament is basic to peace. In- 
stead, it proclaims the thesis that peace depends 
upon power used in conformity with its purposes 
and principles. 

The Charter rests on the belief that the power 
relationship among the great states provides an 
important answer to the search for international 
security. 

The Charter acknowledges that the great pow- 
ers, beciiuse they are great powers', have special 
responsibilities toward the rest of the world. 

The Chai'ter recognizes that armed forces are 
necessary to the maintenance of international se- 
curity. It provides that the Security Council 
shall have armed forces at its disposal, to be made 
available to it by the member states. 

The Charter thus recognizes the tise of force un- 
der law in international society. It acknowledges 
that certain great states are endowed with excep- 
tional capacity to wage modern war, and that 
world peace depends upon the ability of these 
great powers to settle their problems peacefully. 

The regulation and reduction of armaments is 
not in the Charter as a first principle of security, 
but is made a subsidiary and contributing factor 
to the major objectives of international peace and 
security. 

You will have observed that in my title and else- 
where I have used the term regulation of arma- 
ments. I have done so deliberately. I believe 
we should avoid the word duarmainent. It is mis- 
leading. "Regulation of armaments," which is 
Charter language, describes more accurately the 
goal we seek. 

Regidation means that the control of armaments 
as envisaged in the Charter must be multilateral, 
systematic, and related to the responsibilities for 
maintaining peace and security. Those states pri- 



l<pt\\ 20, 1947 



699 



THE UNITED NATIONS 

marily charged with the responsibility of main- 
taining peace and security must have the power 
to implement that responsibility. It is on this 
basis that reduction must be carried out. 

So far I have spoken of the regulation of arma- 
ments in general. In doing so I have stressed the 
difficulties of the problem and painted a rather 
gloomy picture, which, nevertheless, in my opinion 
is in accordance with the facts. 

I wish to turn now very briefly to the interna- 
tional control of atomic energy. In a sense this 
is a problem of arms regulation. But it is much 
more than that. It is more because atomic weap- 
ons are so infinitely more destructive than all other 
weapons, and because of the enormous potential 
benefits which atomic energy holds for mankind, 
benefits which cannot be fully realized unless 
atomic weapons can be controlled. 

The control of atomic energy calls for special 
treatment. That is why the United States, long 
before any serious thought was given to the gen- 
eral regulation and reduction of armaments, took 
steps looking toward the effective control of this 
new force. That is why we still desire to have it 
dealt with separately. That is why we still be- 
lieve agreement for its control should come fii-st. 

The guns of World War II had hardly been 
silenced when this Government, together with the 
Governments of the United Kingdom and Canada, 
took the first momentous steps toward the goal 
of international control of atomic energy. On 
November 15, 1945, three weeks after the United 
Nations Charter came into force, and nearly two 
months before the United Nations began function- 
ing, a joint statement, the Three Nation Agreed 
Declaration, was issued. The three nations' — 
those responsible for developing this great new 
force in the affairs of men — proposed to strive for 
its control internationally. They declared their 
intention of seeking suitable methods of interna- 
tional control of atomic energy which, when put 
into effect in collaboration with other nations, 
would insure its use for peaceful purposes only, and 
eliminate from national armaments atomic weap- 
ons and other weapons adaptable to mass destruc- 
tion. They pi-oposed to seek this goal through the 
United Nations. 

In December 1945 this Government, jointly with 
Great Britain, asked for and received from the 
Soviet Government a promise of collaboration to 
this end. This agreement was embodied in the 



Moscow communique and was adhered to by 
France and China as well. 

As a result, the General Assembly of the United 
Nations on January 24, 1946, adopted a resolution 
establishing the United Nations Atomic Energy 
Conmiission. 

The position of leadership assumed by the 
United States with respect to the international 
control of atomic energy has been maintained ever 
since. Between the Moscow Conference and the 
first meeting of the Atomic Energy Commission on 
June 14, 1946, the United States carefully worked 
out proposals for control and development. First 
came the dynamic, imaginative, practical docu- 
ment known as the "Acheson-Lilienthal report", 
prepared under a directive from Secretary of State 
Byrnes. Tlien Mr. Bernard M. Baruch, United 
States representative to the Atomic Energy Com- 
mission, building upon the Acheson-Lilienthal 
recommendations, developed proposals which he 
presented forcefully to the Commission at its open- 
ing session. 

Mr. Baruch and his colleagues continued for the 
next six months to exert strong leadership in the 
Commission. Mr. Austin and his deputy, Mr. 
Osborn, who have now taken over the task, are 
carrying on with vigor. 

Surely our record is without parallel. The 
United States, possessing the world's most terrify- 
ing and destructive weapon, has offered and con- 
tinues to offer to renounce the use of the weapon 
and to give up its special knowledge. All that we 
ask in return is that we may be absolutely assured 
the weapon will not be used against us. 

The work of the Atomic Energy Commission is 
well known. From the beginning the United 
States has held that there must be an international 
authority, with control over dangerous source and 
fissionable materials, with full powers of inspec- 
tion, with great responsibilities in the field of 
development and i-esearch. We further insist that, 
while atomic weapons must be outlawed, this must 
be done only as part of an over-all plan for effective 
international control. We also insist upon meas- 
ures which will reduce to a minimum the possibili- 
ties of violation of any agi'eement and insure swift 
and certain punishment if any violation should 
occur. 

Nine other membei's of the Atomic Energy Com- 
mission, by voting for the report which it sub- 
mitted to the Security Council on December 31, 



700 



Department of State Bulletin 



1946, subscribed to these views; so, too, apparently 
have the new members of the Commission and of 
the Security Council. 

Until this month the attitude of the Soviet Union 
had not been entirely clear. Since last June the 
U.S.S.R. has publicly pressed for immediate out- 
lawry of the bomb and the cessation of production 
of bombs by this country, while at the same time 
advocating that a convention for control be worked 
out later. The Soviet representatives have held to 
these views so tenaciously as to give rise to a 
suspicion that the principal Soviet aim in the 
United Nations discussions has been to disarm the 
United States unilaterally and immediately by 
multilateral agreement, while preventing or delay- 
ing the establishment of a system which would 
assure us that no other country is producing or in 
possession of atomic bombs. 

It was also known, of course, that Mr. Gromyko 
in July considered the United States proposals as 
"unacceptable in whole or in part". Statements 
by Gromyko himself, Molotov, and Stalin during 
the autumn led, however, to a hope that the Soviet 
position might have been somewhat modified. The 
fact that the U.S.S.R. abstained, instead of voting 
in the negative, on the Atomic Energy Conunis- 
sion's report in December reinforced the hope. 

Mr. Gromyko demolished that hope by his state- 
ment in the Security Council on March 5. It is 
now all too evident that virtually all, if not all, 
of the provisions which the United States regards 
as essential for the international control of atomic 
energy are at present unacceptable to the U.S.S.R. 

The outlook now, as the Atomic Energy Com- 
mission resumes its labors, is dark. Of that there 
can be no question. Yet I, for one, do not despair. 

I am sustained by the conviction that the in- 
escai^able logic of the facts must lead to the even- 
tual recognition that a solution must be found 
which will carry out the Commission's mandate. 
That mandate requires, among other things, that 
it submit specific proposals : "for control of atomic 
energy to the extent necessary to ensure its use 
only for peaceful purposes . . . for the elimi- 
nation from national armaments of atomic wea- 
pons . . . for effective safeguards by way of 
inspection and otlier means to protect complying 
States against the hazards of violations and 
evasions." 

The Commission for Conventional Armaments, 
established by the Security Council resolution of 

April 20, 1947 

739228 — 47 3 



THE UNITED NATIONS 

Februaiy 13, has just begun its work. It would be 
fruitless and unwise to attempt to predict its 
future. 

Bearing in mind, however, the history of earlier 
endeavors in the field of disarmament, one can 
safely prophesy that its task will be immensely 
complicated and slow of fulfilment. The report 
which it is to submit at the end of three months 
can, I believe, be at most an outline of its problem 
and a suggestion of the way in which it plans to 
tackle the job. 

Past history suggests too, that real progress will 
have to be sought through establishment of basic 
conditions of security and through study of the 
I^roblem of safeguards. 

What course the Soviet Union will follow can- 
not be foretold. Mr. Gromyko has not yet made a 
jjolicy statement in the Commission. There is no 
reason, however, to believe that Soviet interests or 
objectives have undergone any basic alteration 
since 1932. Indeed the position which Soviet 
representatives have taken in the United Nations 
discussions to date suggests they have not. It 
would therefore be logical to expect Mr. Gromyko 
to press for outright disarmament, or at least sub- 
stantial reduction of arms, and to appear to call 
for real regulation of armaments, while in fact 
taking little account of and making no adequate 
2)rovision for the safeguards which are essential 
to the establishment and maintenance of true 
world security. 

The attitude with which the United States Gov- 
ernment looks forward to the work of the Com- 
mission is, I believe, evident from what I have 
already said. It was clearly set forth by Mr. 
Herschel Johnson in the Commission earlier this 
week. 

In sum it is that both tlie fulfilment of our com- 
mitment under the Charter to the principles of 
international collective security and our national 
self-interest require us to insist that practical 
security arrangements be a primary consideration 
in any program for the general regulation and 
reduction of armaments. 

As conditions of international security are 
achieved, as general settlements among the great 
powers are made, the regulation and reduction 
of armaments will naturally follow. If the United 
States were to agree to reduction of armaments 
without safeguards, reduction of armaments with- 
(Covtinued on page 115) 

701 



United States Membership and Participation 
in tlie World Healtli Organization 



THE PRESIDENT'S LETTER OF TRANSMITTAL! 



To the Congress of the United States: 

I am transmitting herewith for your consider- 
ation a suggested joint resolution, providing for 
United States membership and particijiation in 
the World Health Organization. I also am en- 
closing a memorandum from the Secretary of 
State, with reference to United States member- 
ship in the World Health Organization. 

I have been impressed by the spirit of interna- 
tional good will and community of purpose which 
have characterized the development of the con- 
stitution of this Organization. I am sure that it 
will make a substantial contribution to the im- 



provement of the world-health conditions through 
the years. 

I have been impressed by the spirit of interna- 
national health problems, I consider it important 
that the United States join the World Health Or- 
ganization as soon as possible. Therefore, I hope 
that the suggested joint resolution may have the 
early consideration of Congress. 

Harry S. Truman 

The White House, March M, 19p 

(Enclosures: (1) Joint resolution; (2) memorandum 
from Secretary of State.) 



I 



JOINT RESOLUTION 



Providing for membership and participation by the United States in the 
World Health Organization and authorizing an appropriation therefor 



I 



Resolved by the Senate and House of Represent- 
atives of the United States of America in Congress 
assembled, That the President is hereby authorized 
to accept membership for the United States in the 
World Health Organization (hereinafter referred 
to as the Organization), the constitution of which 
was adopted in New York on July 22, 1946, by the 
International Health Conference for the Establish- 
ment of an International Health Organization, and 
deposited in the archives of the United Nations. 

Sec. 2. The President shall designate from time 
to time to attend a specified session or specified 
sessions of the World Health Assembly of the 
Organization not to exceed three delegates of the 
United States and such number of alternates as he 
may determine consistent with the rules of pro- 
cedure of the World Health Assembly. One of the 
delegates shall be designated as the chief delegate. 
Whenever the United States becomes entitled to 
designate a pei-son to serve on the Executive Board 

' H. Doc. 177, 80th Cong., 1st sesa. 
702 



of the Organization, under article 24 of the con- 
stitution of the Organization, the President shall 
designate such person who shall be entitled to 
receive compensation at a rate not to exceed $12,000 
per annum for such period or periods as the Presi- 
dent may specify, except that no Member of the 
Senate or House of Representatives or officer of the 
United States who is thus designated shall be 
entitled to receive such compensation. The Presi- 
dent may also designate such alternates as may be 
deemed necessary. 

Sec. 3. There is hereby authorized to be appro- 
priated annually to the Department of State, out 
of any money in the Treasury not otherwise appro- 
priated, such sums as may be necessary for the 
payment by the United States of its share of the 
expenses of the Organization, including those in- 
cui-red by the Interim Commission, as apportioned I 
by the Health Assembly in accordance with article 
56 of the constitution of the Organization, and 
such additional sums as may be necessary to pay 

Department of State Bulletin 



the expenses incident to participation by the 
United States in the activities of the Organization, 
including (a) sahvries of tlie officials provided for 
in section 2 hereof, and appropriate staff, including 
personal services in the District of Columbia and 
elsewhere without regard to the civil-service and 
classification laws; (b) travel expenses without 
regard to the Standardized Government Travel 
Regulations, as amended, the Subsistence Expense 
Act of 1926, as amended, and section 10 of the Act 
of March 3, 1933, as amended, and, under such rules 
and regulations as the Secretary of State may 
prescribe, travel expenses of families and transpor- 
tation of effects of the United States officials pro- 
vided for in section 2 hereof and other personnel 



THE UNirCD NATIONS 

in going to and returning from tlieir post of duty ; 

(c) allowances for living quarters, including heat, 
fuel, and light, as authorized by the Act approved 
June 26, 1930 (5 U.S.C. 118a), and similar allow- 
ances for persons temporarily stationed abroad; 

(d) cost of living allowances under such rules and 
regulations as the Secretary of State may prescribe, 
including allowances to persons temporarily sta- 
tioned abroad ; (e) services as authorized by section 
15 of Public Law 600, Seventy -ninth Congress; 
(f) official entertainment; (g) local transporta- 
tion; and (h) printing and binding without regard 
to section 11 of the Act of March 1, 1919 (44 U.S.C. 
Ill), and section 3709 of the Revised Statutes, as 
amended. 



MEMORANDUM FROM THE SECRETARY OF STATE 



Subject : United States Membership in the World 
Health Organization. 

The attached joint resolution authorizes the 
President to accept the constitution of the World 
Health Organization so that the Organization 
may be established and begin its work at an early 
date. 

The United States Senate expressed itself in 
favor of the early formation of such an Organiza- 
tion in adopting Senate Joint Resolution 89, 
Seventy-ninth Congress, First session, on Decem- 
ber 20, 1945 : 

. . . That there should be the speedy convening 
of an International Health Conference and the 
early formation of an International Health Or- 
ganization as one of the objectives of the United 
Nations Organization, and that the President is 
hereby requested, on behalf of the Government of 
the United States, to urge upon the United Nations 
Organization the prompt convening of such Con- 
ference and the formation of such an Organization. 

The Senate committee report on this resolution 
stated : 

There is today no international health agency 
organized or equipped to cope with many of the 
health problems of the rapidly changing woi-ld. 
This committee believes that the creation of such 
an agency is an urgent necessity for the well-being 
of every American citizen as well as for world 
health. . . . 

Disease does not respect national bsundaries. 
Particularly in our shrinking world, the spread of 



disease via airplane or other swift transport across 
national boundaries gives rise to ever-present 
danger. 

Since the adoption of this resolution by the 
Senate, an International Health Conference has 
been held, a constitution of a World Health Or- 
ganization signed by 61 states, and an Interim 
Commission established. 

Because of the urgent need for an International 
Health Organization, the General Assembly of 
the United Nations adopted on December 14, 1946, 
a resolution recommending to all members of the 
United Nations the acceptance by them of the 
constitution of the World Health Organization at 
the earliest possible date. Further, the Twelfth 
Pan-American Sanitary Conference, meeting in 
Caracas, Venezuela, January 12-24, 1947, adopted 
a resolution recommending to the Governments of 
the American Republics approval of the constitu- 
tion of the World Health Organization signed in 
New York City on July 22, 1946, in accordance 
with their respective constitutional processes. 

In the opinion of the Department of State, a 
broad-gaged international organization in the 
field of health, such as the World Health Organi- 
zation, is absolutely essential to attack diseases at 
their source, to prevent their spread until brought 
under control, and to raise the health level of 
peoples, in this and every other country. 

No one nation has a monopoly of medical skiUs 
and talents. Our own present high standards of 
medical technique stem from contributions made 
by scientists in all pails of the world. Microscopic 



April 20, 1947 



703 



TH£ UNITED NATIONS 

life was discovered by a Netherlander, antiseptic 
technique by an Englishman, the germ theory of 
disease and immunization by a Fienclmian. 
We owe to other countries some of the most power- 
ful weapons against disease whicli we used to good 
effect during the recent war — penicillin, the sulfa 
drugs, DDT, and atabrine. Cooperation of medi- 
cal scientists and public-healtli experts of all 
countries will advance the study of disease and the 
development of means of control. 

All countries, the more advanced in medical 
science and public health as well as tliose in which 
progi-ess has been slower, stand to gain from inter- 
national cooperation in tlie field of health. 
Through the machinery of the World Health 
Organization, the United States, which is one of 
the countries far advanced in medical science and 
public health, can play an important role in im- 
proving the health conditions of more backward 
states. The World Health Organization, how- 
ever, is a joint enterprise and, like other states, 
the United States stands to gain significantly from 
participation in it. Some of the very real ways 
in which we stand to gain, in addition to protec- 
tion against invasion of disease, may be briefly 
stated as follows : 

Opportunities will be provided for our scientists 
to make intensive studies of diseases which, al- 
though not present in the United States, constitute 
a threat to us, and of diseases which, although 
present liere, are not sufficiently common to offer 
adequate research opportunities. 

Results of research performed on an interna- 
tional basis, a field of activity which deserves 
intensification, will be immediately available to us. 

We shall receive a constant flow of information 
concerning health and medical advances through- 
out tlie world. 

Demands will be created for American skills, 
scientific and technical equipment and diagnostic 
and therapeutic products through world-wide 
familiarity with them. 

The development of international standards for 
drugs and biologicals by the World Health Or- 
ganization will have important advantages for our 
pharmaceutical industry which is prepared to 
supply other countries with products of high 
quality. 

In the field of disease control, we have been ac- 
customed to rely on international quarantine for 
our i^rotection. Such control becomes ineffective 



when international travel can be accomplished, as 
it is today, within the incubation, or undetectable, 
period of disease, and within the infectible period 
of healthy carriers of such diseases as cholera. 
Even where there are grounds for suspecting the 
presence of disease, a traveler coming from Africa 
in 20 hours will scarcely want to submit to 6 days' 
isolation. It is the consensus among public-health 
experts and medical authorities generally, as re- 
peatedly expressed at the International Health 
Conference, that the control of the international 
spread of disease can rest now only upon the devel- 
opment of strong national health services ca- 
pable of controlling epidemic disease at its source. 
Such development, it is believed, can best be stim- 
ulated and brought to fruition by an international 
health organization, broad in its scope, dedicated 
to the strengthening of national health services 
and of such standing as to merit the confidence of 
governments and invite consultation by them. 

There is no such organization at the present 
time. The Pan American Sanitary Bureau is geo- 
graphically limited by its regional character, the 
Health Organization of the League of Nations has 
been dissolved and its functions transferred to the 
Interim Commission established by the Interna- 
tional Health Conference ; the International Office 
of Public Health, which has operated in the tech- 
nical field of international exchange of epidemio- 
logical information, is awaiting formal dissolution 
while its functions are being assumed by the 
Interim Commission ; and the Health Division of 
UNRRA, an important but temporary agency, is 
disbanding. 

Recognition of the need for a new international 
health organization prompted the calling of the 
International Health Conference which met in 
New York, June 19-July 22, 1946. This, the first 
international conference convened by the United 
Nations, was the largest and most representative 
international conference ever held in the field of 
health, being attended by representatives of 64 
states. The official delegations to the Conference 
were for the most part composed of technically 
qualified persons, such as ministers of health, 
chiefs of national health services, distinguished 
practicing physicians and medical educators. 

The constitution of the World Health Organi- 1 
zation, which was fonnulated by the International 
Health Conference and signed by representatives 
of 61 states, provides for a single International 



704 



Department of State Bulletin 



Health Orp;anization with which existing interna- 
tional health organizations will be integrated. 

The constitution presents the objectives of the 
new Organization as "the attainment by all 
peojjle of the highest possible level of health" 
(art.l). 

It sets out the means by which the Organization 
shall seek to realize its objective. Probably the 
most important function given to the Organiza- 
tion is that of assisting states, at their request, in 
strengthening their national-health services. The 
immense value of this type of international action 
in the healtli field has been dramatically demon- 
strated by the Health Organization of the League 
of Nations and the Pan American Sanitary Bu- 
reau. This does not mean that the Organization 
will have, in any way, authority to intervene in 
the administration of health or medical care in 
any state. 

The functions of the Organization include, fur- 
ther, the collection and improvement of world- 
wide disease statistics; the centralization, consoli- 
dation, and distribution of health and medical 
knowledge; the promotion and conduct of research 
in the field of health ; the continuation and further 
development of the highly important work done 
by the League of Nations in the standardization 
of drugs and biological preparations; and the pro- 
motion, in cooperation with other international 
organizations, of the improvement of nutrition, 
housing, sanitation, recreation, economic or work- 
ing conditions, and other aspects of environmental 
hygiene (art. 2). 

Thus the Organization will engage in activities 
such as the above-mentioned Senate committee re- 
port envisaged : 

Health conditions do not improve automatically, 
but only as the result of organized, concerted ac- 
tivity. It is not enough to control the spread of 
disease. In the long run it will be necessary to 
eradicate their causes, and this can be done only 
through united international effort. . . . The 
maintenance of good health is not only a matter 
of quarantine and vaccinations. It is also essen- 
tial that the social and economic bases for health- 
ful living be established ; income adequate to main- 
tain at least a decent standard of living; good 
nutrition, housing, clothing, and working condi- 
tions; and education and cultural opportunity 
must be included as goals in any effective health 
program. For this reason a close relationship be- 



THE UNITED NATIONS 

tween the Economic and Social Council of the 
United Nations Organization and the proposed 
Health Organization is necessary. 

One of the most significant advances in the con- 
stitution of the World Health Organization is the 
authority given to the Organization to adopt regu- 
lations in certain prescribed technical fields. 
Under these provisions of the constitution the 
right cf any government to reject regulations 
whicli it finds unacceptable is fully protected. The 
regidatory provision was inserted in an effort to 
create a mechanism which would permit rapid 
general application of new scientific techniques 
to the control of the international spread of dis- 
ease. This is in accord with a suggestion made in 
the Senate Foreign Relations Committee, when 
considering the sanitary conventions of 1944, that 
some way be foimd to accomplish this purpose 
without the necessity of referring to the Senate 
new treaties drawn solely to incorporate new tech- 
nical procedures into existing agreements (arts. 
21-22). 

As to the structure of the World Health Or- 
ganization, the constitution provides for (1) a 
Health Assembly, on which all member states shall 
be represented by from one to three delegates; 
(2) an Executive Board, composed of 18 persons 
designated by as many states; and (3) a Director- 
General and a Secretariat (chs. V, VI, and VII, 
respectively). 

The Organization will be supported by contri- 
butions from member states. The Health Assem- 
bly will approve the budget and apportion the 
expenses among the members in accordance with 
the scale which it determines (arts. 55-57). 

The constitution anticipates the establishment 
of close working relations between the Organiza- 
tion and other international organizations with 
related interests. It provides that the Organiza- 
tion shall be brought into relationship with the 
United Nations as a specialized agency, by special 
agreement (arts. 69-70). 

The development of the constitution has taken 
place in a continuous atmosphere of international 
good will, mutual respect, and singleness of pur- 
pose. The history of effective international action 
in the field of health during the past half century 
and the harmonious development of the present 
constitution are convincing evidence that health 
offers a field in which international cooperation 
can contribute substantially to the welfare of man- 



April 20, 1947 



70S 



THE UNITBD NATIONS 

kind and to harmony among nations. It is clear 
that the World Health Organization will have a 
larger initial membership than has been the case 
with other specialized organizations. The con- 
stitution was signed on behalf of all members of 
the United Nations and nine states, nonmembers 
of the United Nations. Repi-esentatives of 61 
states signed the arrangement which established 
the Interim Commission. 

The constitution will come into force and the 
Organization will be established when 26 members 
of the United Nations have notified the Secretary- 
General of the United Nations of their acceptance 
of the constitution. Six members of the United 
Nations have thus far taken the necessary action 
(China, Canada, Iran, New Zealand, Syria, United 
Kingdom). 

The constitution was signed by representatives 
of the United States, subject to subsequent ap- 
proval by this Government. United States ap- 
proval given subsequent to the adoption by both 
Houses of Congress of the attached joint resolu- 
tion, which authorizes the Pi-esident to accept the 
constitution on behalf of the United States and 
authorizes appropriations for United States par- 
ticipation, will speed the establishment of thei 
Organization and the convening of the first World 
Health Assembly. Particular importance is at- 
tached to United States approval since there is 
reason to believe that several other states will 
approve the constitution witliin a short time after 
the United States has given its approval. 

The participation of the United States in this 
Organization will be another manifestation of 
the determination of this Government, which has 
been emphasized by the President and Congress, 
to give continuing full support to the United 
Nations. 

G. C. Marshall 

(Enclosure: A certified copy of the final acts of the 
International Health Conference.') 



' Not printed. 

' U.N. doc. B/AC.7/2, Mar. 5, 1947. 



Narcotic Drugs — Continued from page 692 

gested the adoption of a resolution ^ concerning the 
control of narcotic drugs in Japan similar to that 
agreed upon for Germany. Mr. Nash (New Zea- 
land) then proposed a compromise recommenda- 
tion which, as amended by the representatives of 
the United States and the United Kingdom, was 
finally adopted by the Committee on Social Affairs 
and approved by the Economic and Social Council 
(resolution G as given above). 

The third paragraph of resolution H on appoint- 
ments to the Permanent Central Opium Board is 
important. It may result in the drafting of a 
protocol amending or deleting the following para- 
graph in article 19 of the international drug con- 
vention signed at Geneva on February 19, 1925 : 
"The members of the Central Board shall not hold 
any oilice which puts them in a position of direct 
dependence on their governments." 

Mr. Borisov in the second meeting of the Com- 
mittee on Social Affairs, March 4, 1947, raised the 
question how this provision could be applied to all 
members of the United Nations, as in many coun- 
tries industry and numerous other activities were 
under state control. Dr. Sze (China) suggested 
that inunediate steps should be taken to revise the 
1925 convention so as to avoid the difficulty men- 
tioned by the representative of the Union of Soviet 
Socialist Republics and in order to insure adequate 
and competent representation on the Board. Mr. 
Borisov said that he considered it imperative that 
the Committee should recommend to the Economic 
and Social Council the earliest possible revision of 
article 19. At the conclusion of the debate, the 
Committee decided upon the action embodied in 
the third paragraph of resolution H. 

The Economic and Social Council, in adopting 
the above-mentioned resolutions, has taken firm 
action to reestablish and improve narcotic con- 
trols, to further the abolition of the use of smoking 
opium throughout the world, and to advance the 
preparatory work for the limitation of the pro- 
duction of narcotic raw materials. 



I 



706 



Department of Stale Bulletin 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Calendar of Meetings ^ 



In Session as of April 13, 






Permanent Central Opium 


Geneva . . . 


Apr. 14r-19 


1947 




1946 


Board. 












Committee on Progressive 


Lake Success . 


May 1 


Far Eastern Commission . . 


Washington . 


Feb. 26 


Development and Cod- 






United Nations: 






ification of Interna- 






Security Council 


Lake Success . 


Mar. 25 


tional Law. 






Military Staff Committee . 


Lake Success . 


Mar. 25 


Economic Commission for 


Geneva . . . 


May 12 ' 


Commission on Atomic En- 


Lake Success . 


June 14 


Europe: First Plenary 






ergy. 






Session. 






Telecommunications Advis- 


Lake Success . 


Nov. 10 


Preparatory Conference of 


Lake Success . 


June 9 ' 


ory Committee. 




1947 


Experts on Telecom- 
munications. 






Commission on Conven- 


Lake Success . 


Mar. 24 


Economic Commission for 


Shanghai . . 


June 5 ' 


-: tional Armaments. 






Asia and the Far East: 






Trusteeship Council . . . 


Lake Success . 


Mar. 26 


First Plenary Session. 
ECOSOC (Economic and 






German External Property 






Social Council) : 






Negotiations (Safeha- 




1946 


Subcommissiou on Pro- 


Lake Success . 


Apr. 21 » 


ven): 




tection of Minorities 






With Portugal 


Lisbon. . . . 


Sept. 3 


and Prevention of 






With Spain 


Madrid . . . 


Nov. 12 


Discrimination. 












Fiscal Commission . . . 


Lake Success . 


May 19 » 


Inter-Allied Trade Board for 
Japan. 


Washington . 


Oct. 24 


Subcommissiou on Free- 


Lake Success . 


May 5 ^ 






dom of Information 










1947 


and of the Press. 






Council of Foreign Ministers . 


Moscow . . . 


Mar. 10 


Social Commission . . . 


Lake Success . 


May 26 ' 








Subcommissiou on Sta- 


Lake Success . 


June 2 2 


International Wheat Confer- 


London . . . 


Mar. 18- 


tistical Sampling. 






ence. 




Temporar- 
ily ad- 


Economic and Employ- 
ment Commission. 


Lake Success . 


June 9 ' 






journed; 


Human Rights Commis- 


Lake Success . 


June 16 » 






will re- 


sion. 










convene 












Apr. 14. 


ICAO (International Civil 
Aviation Organization) : 






WHO (World Health Organi- 


Geneva . . . 


Mar. 31- 


European-Mediterranean 


Paris .... 


Apr. 15 


zation) : Third Session of 




Apr. 11. 


Special Air Traffic 






Interim Commission. 






Control Conference. 






UNESCO Executive Board . 


Paris .... 


Apr. 10-16 


Interim Council 


Montreal . . 


Apr. 29 








Air Transport Committee . 


Montreal . . 


April 


International Conference on 


Geneva . . . 


Apr. 10 


First Meeting of General 


Montreal . . 


May 6 


Trade and Employment: 






Assembly. 






Second Meeting of Pre- 






South American Regional 


Lima .... 


June 17 


paratory Committee. 






Air Navigation Meet- 






Scheduled April-June 1947 






ing. 












International Tin Study 


Brussels . . . 


Apr. 15-18 


International Red Cross Com- 
mittee. 


Geneva . . . 


Apr. 14-26 


Group: First Meeting. 






ECITO (European Central 


Paris .... 


Apr. 14 


FAO (Food and Agriculture 






Inland Transport Organ- 






Organization) : 






ization) : Seventh Session 






Ad hoc Salt Fish Working 


Washington . 


Apr. 21-25 


of the Council. 






Party. 






United Nations: 










Meeting of Experts on 


Geneva . . . 


Apr. 14 


1 Prepared in the Division of International C 


onferences, 


Passport and Frontier 






Department of State. 




Formalities. 






» Tentative. 







April 20, J 947 



707 



Calendar of Meetings — Continued 



International Timber Con- 


Marianske- 


Apr. 28- 


IRO (International Refugee 


Lausanne . . 


May 1 


ference. 


L a z n e , 
Czechoslo- 
vakia. 


May 10 


Organization) : Second 
Part of First Session of 
Preparatory Commission. 






Rice Study Group .... 


Trivandrum, 


May 15 










Travancore, 




Congress of the Universal 


Paris .... 


May 6 




India. 




Postal Union. 






Executive Committee . . . 


Washington . 


June 2 














International Radio Con- 


Atlantic City . 


May 15 


Fifth International Hydro- 


Monaco . . . 


Apr. 22 


ference. 






graphic Conference. 


















PMCC (Provisional Mari- 


Paris .... 


May 16 


ILO (International Labor 






time Consultative Coun- 






Organization) : 






cil). 






Industrial Committee on 


Geneva . . . 


Apr. 22 








Coal Mining. 






lEFC (International Emer- 


Washington . 


May 2&- 


Industrial Committee on 


Geneva . . . 


May 6 


gency Food Council) : 




27 


Inland Transport. 






Fourth Meeting. 






101st Session of Governing 


Geneva . . . 


June 13 








Body. 






lARA (Inter-Allied Repara- 


Brussels . . . 


May 


30th Session of Interna- 


Geneva . . . 


June 19 


tion Agency) : Meeting 






tional Labor Confer- 






on Conflicting Custodial 






ence. 






Claims. 






American International Insti- 


Montevideo . 


Apr. 25 


Eleventh International Con- 


Basel .... 


June 2-7 


tute for the Protection 






gress of Military Medi- 






of Childhood: Meeting 






cine and Pharmacy. 






of the International 












Council. 






International Cotton Advi- 
sory Committee. 


Washington . 


June 9 


International Meeting on 


New York and 


Apr. 28- 








Marine Radio Aids to 


New Lon- 


May 10 


Caribbean Commission: 


Jamaica . . . 


June 23- 


Navigation. 


don. 




Fourth Meeting. 




30 



Activities and Developments 



INTERIM PRINCIPLES FOR RESTITUTION OF 
IDENTIFIABLE PROPERTY CONFISCATED IN 
JAPAN FROM ALLIED NATIONALS' 

1. The Supreme Commander for the Allied 
Powers should be authorized to I'estore to nationals 
of any of the United Nations identifiable prop- 
erty, tangible or intangible, which was located in 
Japan prior to the outbreak of hostilities between 
their government and the government of Japan 

70S 



and owned by them at that time or lawfully 
acquired thereafter, and which was seized, con- 
fiscated, or sequestered, formally or otherwise, 
during the recent hostilities by the Japanese 
Government, members of its armed forces, or by 
oflicial or private Japanese or other enemy indi- 
viduals or groups, provided that : 

a. Subject to the discretion of the Supreme Com- 
mander, restitution should be made at this time 
only to : 

( 1 ) Natural persons present in Japan ; 

(2) Juridical persons where the holders of a 
controlling interest are nationals of Members of 
the United Nations now resident in Japan ; 

(3) Charitable and religious institutions fi- 



I 



" Policy decision approved by the Far Eastern Commis- 
sion on Mar. 6, 1947, and released to the press by the Com- 
mission on Apr. 10, 1947. A directive based upon this 
policy decision has been forwarded to the Supreme Com- 
mander for the Allied Powers for implementation. 

Department of State Bulletin 



I 



nanced primarily by non-Japanese funds, where 
a duly authorized agent or properly qualified per- 
son is resident in Japan to receive title ; 

. h. Without in any way prejudging the defini- 
tive policy later to be adopted by the Far Eastern 
Commission with respect to the disposition of 
large-scale enterprises, only small-scale commer- 
cial and industrial enterprises should be restored 
at the present time; 

c. Though title to gold, other precious metals 
and foreign exchange may be restored to the United 
Nations owners, they should remain subject to the 
laws and regulations in force at any time govern- 
ing the custody, control and transfer of such 
assets ; 

d. The Supreme Commander is satisfied as to 
the identification of such property. 

2. The policy for restitution of similar property 
to nationals of Members of the United Nations who 
are not resident in Japan at present will be dealt 
with in a future paper. 

3. For the purpose of determining whether 
property was in fact confiscated it should be 
assumed that all property taken by the Japanese 
or other enemy Government, Armed Forces, or 
nationals during the recent hostilities from na- 
tionals of any of the United Nations was confis- 
cated whether or not payment was made at the 
time of acquisition unless it can be definitely shown 
that no duress or fraud was involved. 

4. The restitution of property should be made 
without expense for the owners and without preju- 
dicing the claim of the original owners against the 
Japanese or other enemy Government and/or their 
nationals for damages to property, rent, deprecia- 
tion, and other ascertainable losses. To facilitate 
the preparation and adjudication of claims, agreed 
statements as to the extent and condition of the 
property restored should be drawn up at the time 
of its return. The Japanese Govei-nment should 
be required to furnish to the owner a complete 
inventory of the property together with a report 
by the Japanese official administrator on the man- 
agement of it and, in the case of industrial and 
commercial concerns, a closing balance sheet. 

6. If payment to restoree was made at the time of 
confiscation the Supreme Commander for the 
Allied Powers should require persons repossessing 
the property to agree to remit such amounts to the 
Japanese Government as a prerequisite to restitu- 
tion. However, actual payment of such amounts 



ACTIVITIBS AND DEVELOPMENTS 

should be made only after settlement of claims as 
specified in paragraph 3 above. 

6. If funds received in payment for confiscated 
property wei'e blocked by the Japanese Govern- 
ment, such funds should be unblocked and the 
owner permitted to draw upon them on the same 
basis as depositors in general draw upon their 
bank funds, except that in the event that the 
confiscated property is returned such funds should 
l:ie unblocked only in an amount sufficient to make 
the payment required in paragraph 5 above. 

7. The right to restitution provided in the fore- 
going paragraphs and even the completion of resti- 
tution should not be considered as permission to 
operate properties where the Supreme Commander 
for the Allied Powers considers the operations of 
such property injurious to the occupying forces or 
to the purposes of the occupation. Similaily, the 
operation of properties considered by the Supreme 
Commander for the Allied Powers upon consulta- 
tion with the Allied Council for Japan in accord- 
ance with the Terms of Reference of the Allied 
Council for Japan to be beneficial to the occupying 
forces and/or the accomplishment of the purposes 
of the occupation should not await restitution of 
title or the transfer of possession of such proper- 
ties ; but in such cases compensation for the use of 
the property should be paid for the account of the 
owner. 

8. Japanese nationals injured by the provisions 
of the foregoing paragraphs should look to the 
Japanese Government for relief. 

U. S. DELEGATION TO ICAO AIR TRAFFIC 
COiyiMITTEE FOR EUROPEAN-MEDITERRANEAN 
REGION 

[Released to the press AprU 11] 

The Acting Secretary of State announced on 
April 11 the designation of the following dele- 
gation to represent the United States at the second 
special meeting of the Air Traffic Control Com- 
mittee for the European-Mediterranean Air Navi- 
gation Region of the International Civil Aviation 
Organization, wliich will convene at Paris, France, 
on April 15, 1947 : 

Chairman of the delegation: 

Glen A. Gilbert, Chief of Special Missions, Civil Aero- 
nautics Administration, Department of Commerce 

Alternates: 

Horace F. Amrine, Aviation Division, Department of State 
Walter Swanson, Civil Aeronautics Administration, De- 
partment of Commerce 



April 20, 1947 



709 



ACTIVITIES AND DEVELOPMENTS 

Advisers: 

Jesse Penno, Civil Aeronautics Board 
Peter Caporale, Civil Aeronautics Administration, De- 
partment of Commerce 
Col. Joseph Duckworth, Army Air Forces 

Upon arrival at Paris the delegation will be 
augmented by about 15 representatives of the Civil 
Aeronautics Administration and the Army Air 
Forces in Europe. 

This meeting will mark the first regional gath- 
ering since the permanent International Civil 
Aviation Organization came into being on April 
4, 1947. The permanent organization replaces the 
provisional organization which has been operating 
with headquarters at Montreal, Canada, since its 
establishment following the International Civil 
Aviation Conference at Chicago in 1944. The 
necessary twenty-sixth state ratified the aviation 
convention on March 4, 1947, and under the terms 
of that convention the permanent organization 
came into being one month later. 



Under the terms of the provisional organization 
the Interim Council at Montreal approved the 
convening from time to time of those regional 
committees which had need of meeting in order 
to create or maintain those standards of operation 
on international air trunk routes which have been 
subscribed to by the member states. The inaugu- 
ral regional meeting, at which the Air Traffic Con- 
trol Committee for the European-Mediterranean 
Region, along with five other regional committees, 
was formed, was held last May. The first special 
session of the Air Traffic Control Committee for 
the European-Mediterranean Region was held in 
November, and the forthcoming Paris meeting will 
be the second session. 

The Committee will restudy and possibly rec- 
ommend the amending of existing air-traffic-con- 
trol i-ules, procedures, and facilities for the region. 
The recommendations of the Committee will be 
submitted to the ICAO Council at Montreal, which 
will make the final decisions. 



The Joint Campaign Against Foot-and-Moutli Disease in Mexico 

ARTICLE BY JOHN A. HOPKINS > 



A new and highly important instrument for 
cooperation between the United States and Mex- 
ico was set up in late March 1947 with the estab- 
lisliment of a joint office for the eradication of 
foot-and-mouth disease in Mexico. Headquarters 
of the agency are to be located in Mexico City. 
Oscar Flores, Mexican Under Secretary of Animal 
Industry, has been appointed director. Dr. M. S. 
Shahan, research scientist and veterinarian of the 
Bureau of Animal Industry, Agi-icultural Re- 
searcli Administration, United States Department 
of Agriculture, is co-director. An administrative 
board, which will determine operating policy and 
exercise general supervision over the campaign, 
consists of the following persons: 

Mexico 

Jos^ Figueroa, member of the Mexican National Com- 
mission for the Eradication of Foot-and-Mouth 
Disease 

Francisco Rubio Lozano, Ministry of Agriculture and 
Animal Industry 



' Mr. Hopkins is Acting Head of the Latin American 
Division, Office of Foreign Agricultural Relations, De- 
partment of Agriculture. 

710 



Ignacio de la Torre, Ministry of Agriculture and Animal 
Industry 

United States 

Norris E. Dodd, Under Secretary of Agriculture 

Bennett T. Simms, Chief, Bureau of Animal Industry, 

Agricultural Research Administration, Department 

of Agriculture 
Don Stoops, Assistant Agricultural Attach^, American 

Embassy, Mexico City 

The director and the co-director will also serve, 
ex officio, as members of the administrative board. 

Importance to the United States 

The purpose of the new office is to eradicate foot- 
and-mouth disease from Mexico, and thereby also 
to i^rotect the great livestock industry of the 
United States. In January 1946 there were within 
United States boundaries approximately 82 million 
head of cattle, 61 million hogs, and 42 million 
sheep, with an aggregate valuation of 8 billion dol- 
lars. By the beginning of 1947, total value of these 
livestock had risen to over 10 billion dollars. 

The entire organization of agriculture in the 
United States is closely integrated with the live- 



Department of Sfafe Bulletin 



I 



stock enterprises, and the over-all efficiency of im- 
portant sectors of our agriculture depends on the 
ability of our farmers to ship feeder cattle, sheep, 
or hogs freely from one region to another for fat- 
tening or marketing, without fear of transmitting 
serious livestock diseases in the pi'ocess. 

Cattle, hogs, and sheep are all susceptible to foot- 
and-mouth disease. The disease is very difficult 
to combat and expensive to eradicate, once it gains 
a foothold. The outbreaks that have occurred in 
the United States in previous years have been of 
virulent types and have resulted in heavy losses. 
In countries where the disease is enzootic, losses 
to farmers result not only from the death of ani- 
mals but even more from reduced production of 
dairy products and lower rates of gains on surviv- 
ing cattle, hogs, or sheep. 

Total value of production of beef, milk, pork, 
mutton, and wool in the United States in 1945 
amounted to about 9 billion dollars. With higher 
prices in 1946, of course, the value of such produc- 
tion was materially higher. At the 1945 rates, 
even a 1 percent loss would thus amount to 90 mil- 
lion dollars a year. 

Outbreak of the Disease in Mexico 

In Mexico the disease is reported to have broken 
out first on a ranch near Veracruz early in Novem- 
ber 1946. For a while it was believed to be vesicu- 
lar stomatitis, which occurs rather frequently in 
that area. However, it spread rapidly and suspi- 
cion was soon aroused. The United States De- 
partment of Agriculture was informed on Decem- 
ber 18, 1946, and immediately sent two experienced 
veterinarians to Mexico in order to cooperate with 
Mexican authorities in diagnosing the infection. 
Within a few days the condition was known with- 
out question to be foot-and-mouth disease. 

The Mexican Government immediately started 
a control campaign. By this time, however, the 
infection had spread into eight Mexican States, 
and cases were reported in an area extending about 
150 miles north and south and 300 miles east and 
west from the city of Veracruz into the Valley of 
Mexico. Several regiments of the Mexican Army 
were pressed into service in order to maintain 
quarantine lines, and various other control meas- 
ures were adopted to try to keep the epidemic 
within the region already affected. In spite of 
these measures, some further spread continued, 
until in late March the infected zone extended 
from the State of Chiapas, which borders Guate- 

April 20, 1947 



ACTIVITIES AND DEVELOPMENTS 

mala, to the States of Zacatecas and Aguascalien- 
tes, which are 300 miles northwest of Mexico City. 
One Mexican authority estimated that 500,000 cat- 
tle had already contracted the infection by this 
time. 

Development of the Joint Cooperative Program 

In late December 1946, Oscar Flores, Mexican 
Under Secretary of Animal Industry, conferred 
with officials of the United States Department of 
Agriculture and the Department of State and re- 
quested aid in procuring supplies and equipment 
which the Mexican Government needed for the 
campaign. At the same time Mr. Flores took the 
first steps toward developing a cooperative eradi- 
cation program between the two Governments. 

The Mexican Government had divided the 
country into three zones with regard to the epi- 
demic. The first or infected zone included all the 
area in which cases of the disease were known to 
exist. The second zone comprised a buffer region 
between this and the third, or uninfected, area. 
Infected or exposed animals were to be destroyed 
in the second as well as the first zone. In addi- 
tion, all movement of animals between zones was 
to be halted. The disease, however, continued to 
spread, and during the following two months the 
number of infected animals increased very rapidly, 
especially in zone one, while a number of small 
infected areas developed in what was intended to 
be the buffer zone. Exposed and recovered ani- 
mals continued to move through the markets of 
Central Mexico into slaughterhouses in Mexico 
City, Puebla, and Veracruz, and in addition, a 
large proportion, perhaps a majority, of the dairy 
animals in the Valley of Mexico became infected. 
With this rapid spread, the Mexican Government 
soon found itself unable either to slaughter all 
infected or exposed animals or to indemnify their 
owners. 

At the request of the Mexican Government, a 
subcommission of the Mexican-United States 
Agricultural Commission went to Mexico to study 
the situation and help the authorities there plan 
a course of action. Following the report of this 
subcommission, a meeting of the full Commission 
was held in Washington on March 6, 1947. It was 
decided that joint action between the two Govern- 
ments would be necessary if the disease were 
actually to be controlled or eradicated. In fact, 
in anticipation of the need for such action, Con- 

711 



ACTIVITIES AND DBVEIOPMENTS 

gi-ess had already passed a law authorizing such 
joint action. This law was approved by President 
I'ruman on February 28. 

At the meeting of the Mexican-United States 
Agricultural Commission on March 6, it was re- 
solved that a joint office for eradication of the 
diseiise should be established in Mexico City. It 
was provided that the office should have a Mexican 
director and an American co-director. Provision 
was also made for an administrative board, which 
is to formulate general policies and procedures. 
It is to consist of three Mexican members and three 
members appointed by the United States Secretary 
of Agriculture. Since the livestock industry both 
in the United States and m Mexico is deeply inter- 
ested in the eradication of the disease, the Commis- 
sion also proposed that there should be advisory 
committees, consisting of representatives of inter- 
ested groups in each country. 

The problem of finances still remained to be 
solved. Consequently, at a meeting held in Wash- 
ington on March 15, it was resolved that the two 
Governments should make approximately equal 
contributions for the fight against foot-and-mouth 
disease until the end of June 1947. 

Representatives of the Mexican Government 
estimated that its' contribution during the initial 
months of the campaign would amount to approxi- 
mately $9,350,000. This sum includes the expense 
of maintaining Mexican Army units on quarantine 
lines, salaries of veterinarians and other Mexican 
Government officials, labor and clerical work, and 
materials and supplies, including disinfectants'. 

The Governments of the two countries approved 
the contents of these two sets of resolutions by ex- 
changes of notes on March 17 and March 18 ; these 
notes became the basis of cooperation from that 
time on. Meantime, the Congress of the United 
States, recognizing the gravity of the situation, 
gave full support to the campaign and in late 
March appropriated the sum of $9,000,000 as the 
United States contribution for the period ending 
June 30, 1947. 

It is not possible to anticipate exactly what ex- 
penses will be involved during the 1947-48 fiscal 
year or in subsequent periods. The two Govern- 
ments, however, intend to stamp out the disease as 
quickly as possible. It is believed that the Mexi- 
can Government will not be able to increase the 
rate of its contribution materially over that of the 
spring months of 1947. The United States Gov- 

712 



ernment may, however, increase its' portion of the 
expenditures in order to push the campaign to 
the earliest possible conclusion. 

Some Problems of the Campaign 

Eradication of foot-and-mouth disease in Mexico 
is likely to prove difficult for several reasons. In 
the first place, the area already covered by the 
infection is large, as was mentioned above. One 
large portion of the infected zone consists of the 
densely inhabited Valley of Mexico. Part of the 
region consists of jungle along the coast of Vera- 
cruz. Other areas are rough or mountainous. 

Some of the animals infected or exposed to the 
disease are owned by large ranchers. Others con- 
sist of a few cows, goats, or pigs owned by small 
farmers. In addition, the deer and wild pigs in 
the Veracruz region are susceptible to the disease, 
and are capable of spreading the infection. These 
will be very difficult to exterminate. 

Another difficulty is the fact that oxen consti- 
tute the principal source of farm power in the 
infected zone. It will be necessary to eliminate 
these as weU as the other cattle. This means that 
farmers must be assisted in obtaining tractors, 
horses, or mules to do their farm work. Equines 
are not susceptible to foot-and-mouth disease. 

Furthermore, all dairy cattle in the infected 
zone will have to be destroyed, and new sources of 
milk must be found for Mexico City, Puebla, and 
Veracruz, as well as for smaller towns and villages. 
Such measures as these completely upset a large 
sector of the agi'icultural economy of the affected 
regions. Hence, there are many problems of pub- 
lic relations. It is extremely important both to 
obtain the willing cooiieration of livestock owners 
and to assist them in reestablishing their farms 
on a temporary basis until it is safe to reintroduce 
cattle, sheep, and hogs. 

It is expected that the campaign will cost the 
United States Government much more than the 
$9,000,000 which it has already made available. 
However, the value of the U.S. livestock industry 
is so great and the danger of infection is so serious 
that it would be profitable in the long run to spend 
many times this amount in order to avert a con- 
stant danger of infection in this country. Fur- 
thermore, prompt and vigorous action will prove 
economical in the long run, before the disease has 
an opportunity to spread to the extensive cattle- 
producing regions of northern Mexico. 

Department of State Bulletin 



PICAO South Pacific Regional Air Navigation Meeting 



ARTICLE BY COL. CARL SWYTER 



The fifth in a series of ten regional air naviga- 
tion meetings being held by the Provisional Inter- 
national Civil Aviation Organization ( PICAO )^ 
took place in Melbourne, Australia, February 4 to 
22, 1947. Represented at this meeting, with voting 
riglits by reason of having territory located in the 
region, or providing or operating facilities or serv- 
ices within the region, or operating civil air lines 
in the region, were Australia, Canada, Chile, 
China, El Salvador, France, the Nethei-lands, New 
Zealand, the Philippine Republic, Portugal, the 
United Kingdom, and the United States. In at- 
tendance as observers were Belgium, Czechoslo- 
vakia, Greece, and Switzerland. International or- 
ganizations represented at the meeting were 
PICAO, International Air Transport Association, 
and the Federation Aeronautique Internationale. 

The United States Delegation was made up of 
14 official members and 25 advisers and observers 
and included representatives from the Depa^rt- 
ments of State, Commerce, War, and the Navy, 
the Coast Guard, the Civil Aeronautics Board, and 
Pan American Airways. Glen A. Gilbert of the 
Civil Aeronautics Administration was the Dele- 
gation chairman; Capt. A. S. Hayward, United 
States Navy, was alternate chairman, and Col. 
Carl Swyter, Army Air Forces, was technical sec- 
retary. Principal committee spokesmen for the 
United States were James Angier, Civil Aeronau- 
tics Administration, for airdromes, air routes, and 
ground aids; Clifford P. Burton, Civil Aei-onau- 
tics Athninistration, for air-traffic control ; L. Ross 
Hayes, Civil Aeronautics Administration, for com- 
munications; Delbert M. Little, United States 
Weather Bureau, for meteorology; Lt. Comdr. 
J. D. McCubbin, Coast Guard, for search and 
rescue; and Ray F. Nicholson, Civil Aeronautics 
Administration, for Subcommittee No. 1 dealing 
with general operational matters. 

In accordance with the report of Subcommittee 
No. 1, the meeting recommended that instrument 
landing systems be installed at all regular and 
alternate airdromes as soon as possible, but not 
later than January 1, 1951, except where favorable 



weather conditions make a landing aid unneces- 
sary. It was agreed that VHF (very high fre- 
quency) omni-directional ranges should be in- 
stalled for short-range navigation as soon as prac- 
ticable, but not later than January 1, 1951, and 
that distance-measuring equipment should simi- 
larly be installed where required for air-traffic 
control or terrain reasons. Meanwhile, LF/MF 
radio ranges and non-directional radio beacons 
should be maintained and extended where neces- 
sary. For long-range navigation, the meeting 
reconamended that existing standard Loran chains 
be maintained and extended where required, until 
a long-range navigation aid which fully meets the 
PICAO requirements is available, and that 
HF/DF networks and LF/MF non-directional 
beacons also be maintained and extended where 
required. It was agreed that the necessary exten- 
sion of existing facilities indicated above be com- 
pleted for LF/MF radio ranges not later than 
July 1, 1948, for non-directional radio beacons not 
later than January 1, 1948, and standard Loran 
for the China Coast area not later than July 1, 
1949. Agreement was reached on standard instru- 
ment approach and landing procedures to be 
adopted as a guide for use with radio ranges, non- 
directional beacons, and the PICAO standard 
instrument landing system. It was agreed that 
altimeter settings for navigation within the South 
Pacific region should be 29.92 in. hg. or 1013.2 mbs. 
over water and beyond 100 miles from regular 
and alternate international airdromes. When over 
land and 100 miles beyond the above airdromes 
the altimeter setting shall conform to the national 
usage of the country whose territory is being flown 
over, and within 100 miles of the above airdromes 
the altimeter settings shall be at sea-level pressure. 
Agreement was reached on a composite system 
of units of measurement which employs both the 
English and metric systems, as well as the nautical 
mile and knot. It was recommended that the 



'As of Apr. 4, 1947, the Provisional International Civil 
Aviation Organization (PICAO) became the International 
Civil Aviation Organization (ICAO). 



April 20, 1947 



713 



ACTIVITIES AND DEVBLOPMENTS 

South Pacific Regional Manual should consist of 
a single volume, and that distress and emergency 
procedures be made a separate part of the manual 
because it was considered that these procedures 
comprise the most essential information that the 
commander of the aircraft should possess for 
ready reference. For an interim period, the 
PICAO Regional Manual should not include a 
detailed discussion of the radio navigation facili- 
ties which are listed in the several national pub- 
lications now in use but, in lieu, a reference should 
be made in the manual to these publications and 
how they may be obtained. The national publica- 
tions referred to are — 

ANFAC: published by the Department of Civil 
Aviation. Melbourne, Australia. 

JACSPAC: published by 71st AACS Group (APO 953, 
c/o Postmaster, San Francisco, Califor- 
nia), Hickam Field, T.H., U.S.A. 

RACONA : published by the Netherlands East Indies 
Army Air Forces, Batavia. 

Regular land airdromes for long-, medium-, and 
short-range operation were designated by the 
meeting, as well as alternate airdromes for long- 
and medium-range operation. These designa- 
tions were based on existing and proposed land- 
plane routes of member countries assembled. The 
standard to which each airdrome designated for 
international civil aviation should be brought was 
indicated and it was agreed that each country 
should immediately start to bring airdromes up 
to these standards. It was noted, however, that 
it might be some time before certain airdromes 
could or should be brought up to the full standard 
in view of the very light traffic frequency. 

For air-traffic control, agreement was reached 
on boundaries for flight-information regions, and 
control areas were designated around principal 
airdromes and along some of the routes where the 
traffic density is comparatively heavy. It was 
agreed that these route-control areas should be 
50 miles wide except within 100 miles of airdromes, 
where they should be 10 miles wide. Locations for 
air-traffic control centers and airdromes requiring 
approach control were also designated. 

In the field of aeronautical communications, the 
meeting recommended that manual point-to-point 
radio circuits should be converted wherever prac- 
ticable to high-speed radio teletypewriter, and that 

714 



this equipment should be standardized as soon as 
possible. Domestic radio circuits should be re- 
placed by line circuits. It was agreed that VHF 
for aeronautical mobile communications should be 
established as soon as possible at all regular and 
alternate international airdromes. For VHF op- 
eration, frequencies were recommended for air- 
drome control, approach control, airport utility, 
air carriers en route, and emergency. The HF and 
MF emergency channels agreed on were 8280 k.c. 
and 500 k.c. The Australia-New Guinca-Hahna- 
heras area was considered by the meeting as the 
most suitable for the conduct of the tests on low- 
frequency Loran recommended by PICAO. 

To meet the meteorology requirements of inter- 
national civil aviation, the meeting considered it 
essential that existing facilities be expanded by the 
addition of six main meteorology offices located at 
Shanghai, China; Noumea, New Caledonia; Ma- 
nila, Philippines; Baucau, Portuguese Timor; 
Guam; and Wake; three dependent meteorology 
offices at Tontouta (New Caledonia) ; Espiritu 
Santo (Condominium of New Hebrides) , and Mid- 
way (U.S.A.) ; additional surface observation sta- 
tions at Jarvis Island (U.S.A.) and Swains Island 
(U.S.A.) ; additional upper air observation sta- 
tions at Canton (China) or Hongkong (U.K.), 
Tarakan, Koepang, and Merauke (Netherlands), 
and Tutuila (U.S.A.) ; radio wind-observation 
stations at Kemajoran, Soerabaja, Hollandia, 
Macassar, and Ambon ( Netherlands) . The instal- 
lation of automatic weather stations was consid- 
ered important in view of the sparsity of weather- 
reporting networks possible in certain areas of the 
South Pacific region due to the wide expanse of 
ocean area and to the fact that many of the islands 
are uninhabited. Because of the high cost in- 
volved in periodic visits to such automatic stations 
for servicing, it was considered necessary to specify 
the operational requirements for which automatic 
weather-station equipment should be designed. It 
was agreed that the equipment should operate a 
minimum of six months unattended and should 
observe, as a minimum, the wind direction, wind 
speed, atmospheric pressure, and amount of rain- 
fall between reports. It was also agreed that two 
ocean weather stations are required between San 
Francisco and Honolulu giving weather and other ■ 
services approximately 700 miles apart, and one 1 
station between Guam and Manila. Although 
agreeing to the need for these stations from a 

Department of State BuUetin 



meteorological point of view, the Delegations from 
France, the United Kingdom, and the Netherlands 
indicated that their countries could not share in 
their cost of operation. 

For search and rescue, the meeting agreed on 
the location of 19 rescue-coordination centers 
which were considered necessary to evaluate infor- 
mation concerning aircraft in distress and to 
utilize all available search and rescue facilities to 
the greatest possible extent. The location for 
search-and-rescue coordination subcenters and 
rescue-alerting centers was also agreed on. Other 
recommendations for search and rescue include 
locations for very-long-range, long-range, me- 
dium-range, and short-range search-and-rescue 
aircraft, as well as surface-rescue craft. Search- 
and-rescue procedures, including emergency pro- 
cedures to be used by aircraft in distress, were also 
agreed on. 

The recommendations of the meeting concern- 
ing procedures, facilities, and services have been 
forwarded to the PICAO headquarters in Mont- 
real for review and approval by the Interim 
Council. After approval, each country concerned 
will be formally requested by PICAO to imple- 
ment the recommendations in accordance with the 
action specified by the Interim Council. 

Due to the expanse of the PICAO South Pacific 
region, consisting largely of ocean with numerous 
small islands, air routes in the region will have 
relatively light traffic density. This situation pre- 
sented some opposition to the position the United 
States has maintained at all regional meetings, 
that recommendations must be based on technical 
considerations for safe, regular, and efficient oper- 
ation and not on the financial capabilities of indi- 
vidual countries to provide the services and facili- 
ties required. It can be said, however, that the 
agreements reached at this meeting, when imple- 
mented, will fully meet the requirements of 
international civil aviation. 

Preparation for the South Pacific Regional Air 
Navigation Meeting on behalf of the United States 
was accomplished within the framework of the Air 



ACTIVITIES AND DEVELOPMBNTS 

Coordinating Committee's Technical Division. 
The official delegation for the meeting was largely 
made up from technical division and subcommittee 
membership. The success of the United States in 
gaining acceptance of a very high percentage of 
its projDOsals can be attributed to the experience 
and teamwork of the United States representa- 
tives on the delegation and the completeness of the 
preparation in Washington and Honolulu prior to 
the meeting. 



Armament Regulation— Coniinued from page 701 

out collective security, we would not only be clos- 
ing our eyes to a dangerous and troubled world; 
we would be neglecting our responsibilities as a 
member of the United Nations, and as a great 
power, to assist in maintaining international peace 
and security. 

It is fitting to quote in this connection a passage 
from President Truman's address to Congress on 
March 12, 1947: 

"To insure the peaceful development of nations, 
free from coercion, the United States has taken 
a leading part in establishing the United Nations. 
The United Nations is designed to make possible 
lasting freedom and independence for all its mem- 
bers. We shall not realize our objectives, however, 
unless we are willing to help free peoples to main- 
tain their free institutions and their national in- 
tegrity against aggressive movements that seek 
to impose upon them totalitarian regimes. This 
is no more than a frank recognition that totali- 
tarian regimes imposed upon free peoples, by di- 
rect or indirect aggression, undermine the founda- 
tions of international peace and hence the security 
of the United States." 

The United States wants a lasting peace, a peace 
with security for all. Its foreign policy is dedi- 
cated to achieving this end through the United 
Nations and, in achieving it, to achieving also, 
and in the only way possible, effective regulation 
and reduction of armaments. 



April 20, 1947 



715 



THE RECORD OF THE WEEK 



U.S. Urges Reconvening of Joint U.S.— U.S.S.R. Commission 



NOTE FROM THE SECRETARY OF STATE TO THE 
SOVIET MINISTER FOR FOREIGN AFFAIRS 



Text of note sent hy Secretary Marshall to Soviet 
Minister Molotov on April 9, 19Jfl, and released 
to the press in Moscow on Api'il 11 

I wish to call your attention to the situation in 
Korea. The representatives of the Soviet Union 
and the United States on the Joint U.S.-U.S.S.R. 
Commission in Korea have been unable to make 
progress toward the establishment of a Korean 
Provisional Government. It has been nineteen 
months since the Japanese surrender, yet Korea 
has profited little. The country is divided into 
two zones. The Soviet Commander in Northern 
Korea has refused to permit freedom of movement 
and free economic exchange between these zones. 
This has precluded freely chosen political amal- 
gamation of the Korean people and has resulted 
in grave economic distress. 

The policy of the United States toward Korea 
has the following basic objectives : 

(1) To assist in the establishment as soon as 
practicable of a self-governing sovereign Korea, 
independent of foreign control and eligible for 
membership in the United Nations. 

(2) To insure that the national government so 
established shall be representative of the freely 
expressed will of the Korean people. 

(3) To aid the Koreans in building a sound 
economy as an essential basis for their independent 
and democratic state. 

The United States, in the Cairo Declaration of 
December 1, 1943, declared its determination that 
in due course Korea should become free and inde- 
pendent. The United Kingdom and the Republic 
of China were parties to the same declaration. 
The Cairo Declaration was specifically reaffirmed 
by the Three Powers in the Potsdam Declaration, 
which defined terms for the Japanese surrender. 
The U.S.S.R. in its declaration of war on Japan 
on August 8, 1945, declared its adherence to these 
declarations. 

Upon the surrender of Japan, United States and 

716 



Soviet forces accepted the surrender of Japanese 
forces in Korea in the areas respectively south and 
north of a line arbitrarily assigned for this pur- 
pose, the thirty-eighth degree parallel. This line 
of demarcation became in effect a boundary be- 
tween zones of occupation. At the conference of 
the Foreign Ministers of the U.S., the U.K. and 
the U.S.S.R. in Moscow in December, 1945, the 
serious consequences of the bizonal division of 
Korea were discussed and an agreement regarding 
Korea was reached and published in part three 
of the communique of the conference. The Repub- 
lic of China subsequently subscribed to this agi'ee- 
ment. 

On March 20, 1946, the Joint U.S.-U.S.S.R. 
Commission a^Dpointed under the terms of the Mos- 
cow Agreement met and began its task, as outlined 
in the agreement, of assisting in the formation of a 
provisional Korean democratic government as a 
first step in assuring the establisliment of an inde- 
pendent and sovereign Korean nation. 

It was the hope of the Government of the United 
States that speedy action would be taken by the 
Joint Commission, a provisional Korean govern- 
ment would rapidly be established, the unfortunate 
results of the line of demarcation between the 
United States and the Soviet forces would be over- 
come and Korea could be started on the way to 
attaining an independent and democratic govern- 
ment. 

Unfortunately the work of the Joint Commis- 
sion became stalemated after a short time through 
the failure to agree on the definition of the word 
"democratic" as it pertained to the representatives 
of the parties and social organizations mentioned 
in the Moscow Agreement to be consulted by the 
Joint Commission in its task of assisting in the 
formation of a provisional government. As it be- 
came evident that no agreement could be reached 
at the time, the Joint Commission adjourned sine 
die on May 8, 1946. 

The United States Commander in Korea has 

Department of State Bulletin 



several times suggested to the Soviet Commander 
that the Commission reconvene and get on with its 
work. 

However, the Soviet Commander has insisted on 
a formula wliich would resirlt in eliminating the 
majority of representative Korean leaders from 
consultation as representatives of Korean demo- 
cratic parties and social organizations, and has 
reiterated this position in a letter to the American 
Commander as recently as February 28, 1947. It 
lias therefore been impossible to agree upon a basis 
for reconvening the Commission. 

Now in April 1947, almost sixteen months since 
the agreement pertaining to Korea was reached in 
Moscow, there has still been no real progress made 
toward the implementation of that agi'eement. 

In fulfillment of the intent of the Agreement and 
Declaration made at Moscow in December 1945, the 
Government of the United States desires to fur- 



THB RECORD OF THE WEEK 

ther the work of establishing a free and independ- 
ent Korea without additional delay. 

To this end I ask that our Governments agree 
to instruct our respective Commanders in Korea 
to reconvene the Joint Commission as soon as pos- 
sible and charge it with expediting its work under 
the terms of the Moscow Agreement on a basis 
of respect for the democratic right of freedom of 
opinion. I further suggest that a mutually accept- 
able date during the summer of 1947 be fixed for a 
review by the two Governments of the progress 
made to that date by the Joint Commission. In 
the meantime, the United States, mindful of its 
obligations under the Moscow Agreement, sees no 
alternative to taking without further delay such 
steps in its zone as will advance the purposes 
of that agreement. 

I am furnishing copies of this letter to the Brit- 
ish and Chinese Governments. 



Japanese Vessels Available for Delivery to 
U.S., U.K., U.S.S.R., and China 



STATEMENT BY ACTING SECRETARY ACKESON 



[Released to the press April 11] 

The Govei'nments of the United States, United 
Kingdom, U.S.S.R., and China, in accordance with 
their declaration at Moscow on October 30, 1943, 
'That those of them at war with a common enemy 
will act together in all matters relating to the 
surrender and disarmament of that enemy", agreed, 
following the surrender of Japan, that all sub- 
marines and large surface vessels, above destroyer 
size, of the Japanese Navy would be destroyed and 
that destroyers and surface combatant vessels of 
lesser tonnage would be divided equally among the 
four powers. 

The Supreme Commander for the Allied Powers 
was therefore directed by the United States Gov- 
ernment to destroy all combatant vessels of the 
Japanese fleet with the exception of destroyers and 
surface vessels of lesser tonnage. The scrapping 
of these vessels is proceeding according to plan. 

The Supreme Commander has found it necessary 
in carrying out his responsibilities as executive 
authority for the Allied powers in Japan to utilize 
temporarily for repatriation, mine-sweeping, and 
other occupation duties certain of the combatant 
vessels to be divided among the four powers. It 



has been understood that these ships would be made 
available for delivery as soon as they were no 
longer needed for occupation duties. 

Additional Japanese naval vessels falling within 
the category to be divided among the four powers 
have been wrecked or cannot be rendered operable 
within a period of 60 days. These vessels will be 
scrapped. 

SCAP has indicated that certain of these com- 
batant vessels are now available for division, and 
the United States Government has communicated 
to the Governments of the United Kingdom, 
U.S.S.R., and China full details with regard to 
these ships. As of February 24, 1947, 239 Japanese 
combatant vessels of destroyer tonnage or less were 
opei-able or could be made operable within a period 
of 60 days. General MacArthur has stated that, 
of these, 140 are now ready for delivery. 

It is intended that an equal division of the ships 
available for delivery will be accomplished by the 
drawing of equivalent lots in Tokyo by the desig- 
nated representatives of the Governments con- 
cerned. Inspection of the vessels by the represen- 
tatives of the claimant nations prior to their deliv- 
ery will be facilitated by SCAP. All ships have 



April 20, 1947 



71 r 



THE RECORD Of THE WEEK 

been demilitarized and all items of military equip- 
ment destroyed. 

Each claimant nation will designate a port in the 
Far East to which the vessels will be delivered. 
Japanese crews will be provided for the vessels. 

The United States Government will notify the 
other Governments concerned as soon as additional 
vessels become available for delivery. 

Arrangements Made for Commercial 
Banking in Japan 

[Released to the press April 9] 

The Department of State announced on April 9 
that the Supreme Commander for the Allied 
Powers in Japan will establish commercial ac- 
counts with American and foreign banking institu- 
tions when and as needed in connection with the 
administration of the dollar proceeds of Japanese 
exports to countries other than the United States. 

It was explained that heretofore the sole deposi- 
tory of dollar jDroceeds of Japanese exports con- 
sisted of a trust-fund receipt account established 
within the framework of the Army accounting 
system. This account was designed primarily to 
handle financial transactions involving trade be- 
tween Japan and the United States and is not 
readily adaptable to financial transactions arising 
out of trade with other countries. The need for 
commercial banking facilities of this nature arises 
out of the expansion of Japanese foreign trade 
with all areas capable of supplying Japan with 
food and raw materials and in which profitable 
markets for Japanese exports may be found. 

State Department officials indicated that since 
the National City Bank of New York is the only 
American bank operating a branch office in Japan 
at present, it is likely that the first commercial ac- 
count of this nature to be opened by SCAP Head- 
quarters will be with that institution. It is ex- 
pected, however, that, as the volume of Japanese 
foreign trade grows, commercial accounts will be 
opened with other American banks and with for- 
eign banks in keeping with this Government's 
policy of utilizing on a non-discriminatory basis 
the services of any qualified institution interested 
in acting as a depository of dollar funds arising 
out of Japanese foreign trade. 

718 



Philippine Foreign Affairs 
Training Program 

A fifth group of Filipinos, participating in the 
Philippine Foreign Affairs Training Program of 
the Department of State, began its course of in- 
struction on April 7. 

The program was inaugurated in December 
1945 to aid the Commonwealth of the Philippines 
to train its future diplomats. It was continued 
after Philippine independence at the request of 
the Government of the Republic of the Philip- 
pines. The expense of the program is borne en- 
tirely by the Philippine Government, and the 
program is imder the central supervision of the 
Division of Philippine Affairs of the Department 
of State. 

The new group of trainees numbers fifteen and 
is composed of men with outstanding educational 
and professional backgrounds who were selected 
by the Philippine Government after stiff competi- 
tive examinations. The trainees will attend the 
regular officer-training courses of the Foreign 
Service Institute and then undergo a period of 
special training in which the home-office side of 
foreign relations will be emphasized. 

The course extends three and one-half months. 
At its termination, selected members of the group 
will be assigned to American Foreign Service es- 
tablishments abroad for observation and prac- 
tical training in the field. 

Two recent graduates of the course were detailed 
to the American Embassies in London and Paris 
on completion of their training, and several others 
who now hold positions in the Philippine Foreign 
Service and Department of Foreign Affairs were 
assigned to the American Embassies in Mexico 
City, Ottawa, and Habana and to the Consulate 
General of Sydney. 

A majority of the members of the Philippine 
Foreign Service at the present time have received 
training under the program. The United States 
Government hopes to contribute in this manner 
to the creation of a foreign-affairs establishment 
for the Philippine Republic which will play a 
significant role in world affairs and cement further 
the close ties now existing between the two 
countries. 

Department of State Bulletin 



Agriculture Situation in the 
Philippines 

[Released to the press April 9] 

C. A. Boonstra, former Agricultural Attache, 
American Embassy, Manila, has reported to the 
Department of State on the current agriculture 
situation in the Philippines, with particular em- 
phasis on the major agricultural crops of copra, 
abaca, sugar, and tobacco. His report was based 
on extensive travel and research in the field. Mr. 
Boonstra is in Washington pending x-eassignment 
as Agricultural Attache, American Embassy, San- 
tiago, Chile. His report is summarized below : 

Copra. The outstanding feature with regard to 
copra is the remarkable recovery of that industry 
since the end of the war. This recovery is not so 
amazing if one considers the fact that the supply 
of coconuts available for copra production was 
actually greater after the termination of the war 
than it was before the war. The major problems 
which confronted the recovery of the copra indus- 
try were getting the workers back on the job and 
overcoming the critical transportation situation. 
With a production of 650,000 long tons of copra 
last year and an estimated production of 750,000 
long tons this year, the outlook of the copra indus- 
try is particularly encouraging. Of the 1947 
yield, it is estimated that about 100,000 tons will 
be crushed in the Philippines. At the present 
time only one large crusher is in operation. 
However, the Philippine Refining Company 
(Lever Brothers), one of the largest crushing 
companies, expects shortly to open new plants. 
The following facts could conceivably affect the 
available quantity of exportable copra for the 
forthcoming year: (1) the price of hemp might 
rise sufficiently to divert labor in dual-crop areas 
into that field; and (2) foodstuffs may again 
become scarce, requiring a diversion of labor into 
that field. 

Aiacd. The production of abaca last year was 
almost 110,000,000 pounds (all grades), which is 
roughly one third of the 350,000,000 pounds yearly 
pre-war production rate. There is, however, 
enough Manila hemp in the Philippines so that if 
it were fully utilized and efficiently stripped, the 
productive yield could be raised to approximately 
250,000,000 pounds for 1947. One of the reasons 
for the low output last year was the failure to strip 
abaca extensively until the price rises in August 

April 20, 1947 



THE RECORD OF THE WEEK 

and November. The Davao region, the principal 
abaca-producing section before the war, produced 
about 60,000,000 pounds last year. This relatively 
low output is explained by the fact that the former 
Japanese plantations in the Davao region were 
abandoned during the war. For the long-range 
outlook, it might be more economical to plant 
virgin lands than to attempt to clear and replant 
the old Japanese plantations. 

Sugar. Of the 41 pre-war sugar mills, 15 will 
be in operation this year. The pre-war sugar ex- 
ports were almost 1,000,000 short tons. The 1947 
production will be under 100,000 tons, which is 
not sufficient for domestic requirements. It is esti- 
mated that the production in 1948 may provide 
150,000 to 200,000 short tons for export. It is the 
intention of 32 mills to rebuild and claim full 
quotas of cane. The general feeling in the sugar 
industry is that it will be profitable to rebuild 
under the terms of the Bell act, because the 
Philippines is the only sugar-producing country 
having a guaranteed market. The question as to 
whether the quotas belong in the mills or to the 
planters has not been resolved and has precipi- 
tated a division of crops on a 65 to 35 ratio for 
the planters, in lieu of the former 50-50 division. 

Tohacco. The tobacco industry is probably in 
the most critical condition of any in the Philip- 
pines. It is believed, however, that tobacco pro- 
duction may be back to the pre-war level within 
the next year. The big jDroblem confronting this 
industry is the lack of a tobacco market. The 
formerly profitable cigar industry is handicapped 
by a high cost of hand production and is unable 
to compete for the United States market. The 
lack of factories, which were destroyed by the war, 
has contributed to the chaotic condition of the in- 
dustry. The National Tobacco Corporation has 
maintained a policy of subsidizing tobacco prices 
at a high level in order to protect the destitute 
Cagayan Valley farmers, with the resulting dan- 
ger of losing the entire foreign tobacco market 
and even the local Philippine market. 

Letters of Credence 

1 raq 

The newly appointed first Ambassador of Iraq, 
Ali Jawdat, presented his credentials to the Presi- 
dent on April 11, 1947. For the text of the Am- 
bassador's remarks and the President's reply, see 
Department of State press release 311 of April 11. 

719 



THE RECORD Of THE WBBK 

S.S. "Martin Behrman" Incident 

[Released to the press March 21] 

The Department of State, recognizing the 
amount of public interest aroused by the case of 
the American vessel, S.S. Martin Behrman, which 
is under detention by Netherlands Indies author- 
ities at Batavia, makes the following announce- 
ment with respect thereto. 

The Department considers, on the basis of pres- 
ent evidence, that the Netherlands Indies Govern- 
ment has acted within its legal rights with respect 
to the action taken towards the Martin Behrtnan, 
and its cargo. 

Nevertheless, following conversations between 
the two Governments in the spirit of the tradi- 
tionally cordial relations between our two peoples, 
the Netherlands Government has agreed to a set- 
tlement of the issue which will permit the Mar'tin 
Behrman to sail for the United States with a cargo 
of the commodities which she originally intended 
to pick up, with fair compensation to the Isbrandt- 
sen Company as carrier, and with reimbursement 
to that company for extra charges resulting from 
the delay. The settlement does not compromise 
Netherlands Indies law, but minimizes any losses 
to the Isbrandtsen Company arising from the fact 
that new trade regulations were promulgated while 
the vessel was en route to Cheribon. 



Note. On February 5, 1947, the S.S. Martin Behrman, 
a Liberty ship owned by the Maritime Commissiou and 
under charter to the Isbrandtsen Company of New York, 
arrived off the Indonesian-held port of Cheribon, Java, 
to pick up a cargo of rubber, sugar, and other commodi- 
ties under an agreement with the Perseroan Bank, an 
Indonesian organization. The vessel's arrival marked 
the first attempt to establish direct trade between Indo- 
nesian-held territories and the United States. Since the 
war a large trade had developed between these territories 
and Malaya. Much of this trade was regarded by the 
Dutch as smuggling on the grounds that cargoes consisted 
of "estate produce" (products of plantations owned by 
absent Netherlanders or other Europeans). 

Before the Martin Behrman had left Manila for Cheri- 
bon, the Isbrandtsen Company had asked the advice of the 
Department of State concerning the proposed transaction. 
The Department advLsed the company that, because of 
the uncertainty of the ownership of cargoes available 
at Indonesian-held ports, the Netherlands Government was 
opposed to direct trade between these ports and the outside 
world, except with the approval of the Netherlands East 
Indies Government. The Department also emphasized 
its recognition of Netherlands sovereignty over the entire 
archipelago. Later, however, the company obtained the 
approval of the Netherlands Indies Trade Commissioner 
and of the Netherlands Embassy to the transaction on the 
condition that export duties would be paid and reasonable 

720 



Conversations With Iranian 
Purchasing Mission 

[Released to the press April 10] 

An Iranian purchasing mission, consisting of 
Major General A. Hedayat, Brigadier General M. 
Mazhari, and Captain Saleh, has just arrived to 
resume conversations begun in Washington last 
October concerning the possibility of the pur- 
chase by Iran of surplus United States military 
equipment. Colonel A. Moarefi, who has remained 
in Washington since assisting Brigadier General 
Mazhari here last fall, will also be a member of 
the mission. 

It was agreed in principle last December that 
this Government would sell to the Iranian Army 
and gendarmerie, through routine arrange- 
ments with the Office of the Foreign Liquidation 
Commissioner, reasonable quantities of military 
suiDplies for the purpose of maintaining internal 
security within Iran. On the basis of that agree- 
ment, the Iranian Government has reviewed care- 
fully the essential needs of its security forces and 
is now expected to present to the Foreign Liquida- 
tion Commissioner a list of minimum requirements 
for its military establishment. 

evidence of title should be obtained. On this basis the 
Department interposed no further objection, advising the 
company that the transaction was undertaken at the com- 
pany's own risk and responsibility. 

On January 28, however, one week before the Martin 
Behnnan reached Cheribon, new trade regulations were 
published by the Netherlands Indies Government, making 
illegal the export from Indonesian-held ports of rubber, 
sugar, and other commodities which on prima facie evi- 
dence could be considered estate produce, except on per- 
mits of the Netherlands Indies Government. The De- 
partment was informed of the issuance of these regula- 
tions on February 4 and immediately advised the Isbrandt- 
sen Company to adhere to all Netherlands East Indies 
regulations. The Netherlands Embassy in Washington 
similarly advised the company, and the United States 
Consul General in Batavia telegraphed the ship's master. 
The company gave assurance that it would abide by the 
regulations. 

Nevertheless, upon instructions from the Isbrandtsen 
Company, the master of the ship proceeded to load his 
cargo of rubber and sugar. After completing the loading 
on March 1, the Martin Behrman was ordered by the 
Dutch autliorities to sail to Batavia. On March 7 a 
Dutch party came aboard with an order to seize the cargo 
and asked the master's cooperation in discharging it. He 
demurred, whereupon Dutch soldiers and marines were 
placed aboard the vessel and the unloading was begun, 
under court order. The Isbrandtsen Company threatened 
to file a claim for $10,000,000 against the Netherlands 
Indies Government. 

Department of State Bulletin 



American Interest in Proposed International Trade Organization 



STATEMENT BY ACTING SECRETARY ACHESON < 



[Released to the press April 8] 

On the occasion of Mr. Clayton's departure for 
Geneva, I would like to point out once more why 
the Department of State has gone "all out" in 
support of the International Trade Organization. 

As you gentlemen know, the Department about 
a year ago put forward a proposal for world trade 
and prosperity, as a post-war amplification of Mr. 
Hull's highly successful reciprocal-trade program 
which began back in 1933. Following up its trade 
proposals the Department, in cooperation with 
other interested agencies of the Government, 
drafted a proposed charter for freer world trade. 

Mr. Clayton is chairman of the American Dele- 
gation to the Geneva conference of 18 nations 



which will seek to complete a draft of a charter 
for the proposed ITO. His mission is significant, 
for the ITO, if successful, will be one of the firmest 
stones in the foundation of the U.N. 

It has been often said that one of the main causes 
of the failure of the League of Nations was lack of 
any provision for international economic coopera- 
tion. 

That mistake must not be repeated in the U.N. 

In the light of past history and future need, the 
task of Mr. Clayton and his colleagues from 18 
representative trading nations is a challenging 
one. I am confident that the Geneva conference 
will mark a turning point in world trade and eco- 
nomic prosperity and will bi'ing us closer to the 
enduring peace we all want so much. 



Summary of Informal Hearings on Proposed Charter for ITO 



MEMORANDUM TO ACTING SECRETARY ACKESCN FROM ASSISTANT SECRETARY THORP 2 



Enclosed is the final report on the hearings held 
under the auspices of the Executive Committee on 
Economic Foreign Policy during the period Feb- 
ruary 24-March 14 on the proposed Charter for 
an International Trade Organization. In trans- 
mitting the report, I should like to invite your 
attention particularly to the following considera- 
tions : 

The hearings marked the first time that the pro- 
posed Charter had been taken to the counti-y in an 
effort to obtain a cross section of national opinion 
with respect to the objectives and principles of an 
International Trade Organization, and to receive 
suggestions for its improvement. 

Two hundred and forty-five persons presented 
their viewpoints at the Charter hearings which 
were held in seven strategically located cities. 
Only twenty-one of those appearing were non- 
committal : that is, expressed neither appi'oval nor 
disapproval of the Charter. Two hundred and 
eight endorsed its principles and objectives. Six- 
teen expressed general opposition. Thus the ratio 
of those expressing an opinion stood at thirteen to 



one in approval of the objectives set forth in the 
proposed Charter. 

A number .of constructive suggestions were 
offered to the Interdepartmental Committee, which 
conducted the hearings. These suggestions reflect 
careful consideration by many individuals and 
organizations representing a broad area of Ameri- 
can social life and economic activity. 

The Executive Committee on Economic Foreign 
Policy is now completing a series of meetings in 
which the Charter is being analyzed, provision 
by provision, in the light of the suggestions re- 
ceived. The results of these deliberations will be 
transmitted to the United States Delegation for 
its guidance at the Second Meeting of the Pre- 
paratory Committee for an International Con- 
ference on Trade and Employment to be held in 
Geneva, Switzerland, beginning April 10, 1947. 



* Made to press and radio correspondents at his press 
conference on Apr. 8, 1947. 

' Released to the press Apr. 13, 1947. Willard L. Thorp 
is Assistant Secretary of State for economic affairs. 



April 20, 1947 



721 



REPORT ON INFORMAL HEARINGS ON PROPOSED CHARTER FOR AN INTERNATIONAL TRADE 

ORGANIZATION, FEBRUARY 25-IV!ARCH 12, 1947 > 



Background of Hearings 

In order to afford all interested persons and 
groups an opportunity to present their views and 
to make suggestions for improvement, the Execu- 
tive Committee on Economic Foreign Policy de- 
cided on December 27, 1946, to sponsor a series 
of informal hearings throughout the nation on the 
Preliminary Draft Charter for an International 
Trade Organization. The hearings were sched- 
uled for two-day sessions in each of seven cities : 
Boston, Chicago, Denver, New Orleans, New York, 
San Francisco and Washington. 

United States Department of Commerce field 
officers were given general responsibility for mak- 
ing arrangements for the hearings in each city. 
In addition to physical facility az'rangements, 
they gave full local publicity to the hearings 
through the press, radio and contacts with busi- 
ness, farm, labor, civic and other organizations. 
Early in February, a Department of State repre- 
sentative visited each of the cities for two or three 
days to assist in assuring that all interested persons 
were afforded an opportunity to present their, 
views. 

Members of the Panels who were sent out to 
conduct the hearings in each city were drawn from 
all Government agencies represented on the Ex- 
ecutive Committee on Economic Foreign Policy. 

Interested persons and organizations were in- 
vited to present their views orally or in writing. 
Each person wishing to appear at the hearings 
was requested to notify the Executive Committee 
on Economic Foreign Policy sufficiently in ad- 
vance of the heai'ings to enable the Executive 
Secretary of the Committee to schedule appear- 
ances. Persons who failed to notify the Execu- 
tive Secretary in time to be scheduled were asked 
to arrange for their appearance with the Secre- 



' See Department of State press release 314 of Apr. 14 for 

the following .ittaehnients to the report: Panel members 
assigned to each of the hearings cities ; Distribution of 
organizations and persons presenting oral views at ITO 
hearings ; Attitudes expressed toward proposed ITO char- 
ter at hearings (by organization) ; Organizations which 
presented their views on the proposed ITO charter ; Organ- 
izations saying little or nothing about proposed charter, but 
expressing concern with respect to their own interests; 
and Organizations generally opposing the ITO. 



tary of the Hearings Panel at the time of the 
hearings. In most cases it was possible to work 
these persons into the prearranged two-day sched- 
ule. In San Francisco, however, it was necessary 
to schedule an additional half-day session. 

Hearings Procedure 

The time allotted each person for presentation 
of views varied from city to city, being determined 
by the Panel Secretary after the total number of 
persons to be heard was known. Moreover, there 
was considerable variation in the length of time re- 
quired by witnesses; some required no more than 
five or ten minutes; most needed between fifteen 
and twenty minutes; a few required the greater 
part of an hour for presentation of their views. In 
all cases, the Panel sought to hear everything any 
person had to say. 

Presentation of oral views varied in character 
also. Some persons read from prepared state- 
ments ; other spoke from notes. Many used a part 
of their scheduled time to raise questions relating 
to the Charter with Panel members. Informality 
and freedom of expression were encouraged. In 
only one respect was testimony limited. Because 
of their limited jurisdiction, the Panels did not 
entertain discussion relating to specific tariffs on 
specific commodities. 

At the end of each person's statement, Panel 
members frequently asked questions to clarify is- 
sues raised or made statements to correct misunder- 
standing. 

Summary of Appearances 

Two hundred and twenty-three persons, repre- 
senting almost every type of economic, civic, labor 
ajid religious organization, orally presented their 
views on the proposed Charter during the course 
of the hearings. San Francisco led the list with 
forty-nine personal appearances. New York was 
next with forty-five; Boston with thirty-five; 
Washington, twenty-eight; New Orleans, twenty- 
four; Chicago, twenty-two; and Denver, twenty. 

Business and professional associations (includ- 
ing cooperative and farm organizations) were most 
numerously represented at the hearings, with 109 
persons appearing in their behalf. Civic organi- 
zations were represented by 41 persons. Individ- 



722 



Department of State Bulletin 



ual business establishments were next with 24 rep- 
resentations. Representatives of labor, consumer, 
religious and veterans' organizations were repre- 
sented by seventeen, six, eleven, and two persons 
respectively. Other presentations were made by a 
mayor, educators, students, and Port Authority 
representatives. 

Witnesses appeared on behalf of fifty national 
organizations. Of these, twenty-seven were busi- 
ness and farm organizations; twenty-three were 
civic, labor, consumer, religious and veterans' or- 
ganizations. 

Geographically, witnesses were drawn from 
twenty States - and the District of Columbia. 

Attitudes Expressed Toward Proposed Charter 

Aside from the indication of widespread sup- 
port from every type of organization for the pro- 
posed Charter for an International Trade Or- 
ganization, the most impressive revelation at the 
hearings was the amount of careful study that 
witnesses had given to the proposed Charter. 
Critical evaluation was evident and thoughtful 
suggestions were contained in the testimony of 
the vast majority of persons and organizations 
who presented their views. There were, to be sure, 
many suggestions and criticisms but for the most 
part these were made in the spirit of improving 
the proposed Charter. 

Two hundred and forty-five oi'ganizations and 
persons expressed their views on the proposed 
Charter orally or in writing. Of these two hun- 
dred and eight endorsed the principles and ob- 
jectives of the proposed Charter. Over one hun- 
dred and fifty endorsed the Charter almost with- 
out qualification. Only sixteen witnesses took a 
position in general opposition to the Charter. 

General approval of the proposed Charter, with 
little or no qualification, came from representatives 
of almost every type of economic and civic organi- 
zation. In this group, individual business estab- 
lishments and business and farm organizations 
were most numerous — 74 of 165 — but equally 
strong support was given by civic, religious, labor, 
consumer and veterans' organizations. The testi- 
mony of most of this group indicated that their 
statements were prepai-ed only after careful study 
of the document under consideration. 

Typical of many organizations of its kind, the 
San Francisco Chamber of Commerce expressed 
"its keen desire for the success of the negotiations 



THB RECORD OF THE WEBK 

which will shortly be undertaken to complete the 
drafting of the Charter and to establish the Inter- 
national Trade Organization as an organ of the 
United Nations." 

Anna Lord Strauss, President of the League of 
Women Voters of the United States, indicated her 
organization's "wholehearted support for United 
States leadership in a broad program of expanding 
world trade and employment". After referring to 
their previous support of the International Bank 
and Monetary Fund, and the Food and Agricul- 
ture Organization, she said "By Convention ac- 
tion, the League is supporting an International 
Trade Organization as a necessary part of this 
total economic program." 

Speaking in behalf of the Congress of Industrial 
Organizations, Michael Ross said his organization 
"supports without reservation the effort to set up 
an International Trade Organization ... as 
an essential part of the machinery required to 
accomplish the purposes of the United Nations 
Charter". 

Mr. Charles P. Taft, President and speaking in 
behalf of the Federal Council of Churches of 
Christ in America, observed that opponents of the 
Program offer no alternative — 

". . . except the adoption of the methods of 
State Foreign Trading and bilateral 'Yankee' 
deals which were developed if not invented by the 
Nazis, for the purpose of waging economic war- 
fare during the period between the Great Wars. 

"That alternative is in effect the adoption of 
state socialism in foreign trade, and will drive us 
to a considerable measure of state socialism at 
home. 

"The middle ground is the only real possibility, 
a goal of many-directional commerce around the 
world as free as jDracticable, of private and gov- 
ernmental restrictions, but conceding whatever is 
shown to be absolutely necessary to meet the actual 
situation of these war devastated economies of our 
allies and our friends. 

"The proposed International Trade Organiza- 
tion is just that, and is therefore in effect, the only 
possible way in which we can go." 

Forty-three persons expressed general approval 



^Alabama, California, Colorado, Connecticut, Illinois, 
Indiana, Kentucliy, Louisiana, Massachusetts, New Jersey, 
New York, Ohio, Oregon, Pennsylvania, Rhode Island, 
Tennessee, Texas, Utah, Washington and Wisconsin. 



April 20, 1947 



723 



THE RECORD OF THE WEBK 

of the proposed Charter on behalf of their or- 
ganizations, but made several specific suggestions 
or expressed reservations with respect to certain 
aspects of the Charter. Twenty-nine of these rep- 
resented business and farm associations. In' al- 
most all of these cases, the suggestions were de- 
signed to implement the principles and objectives 
of the Charter ; not to weaken them. 

The American Farm Bureau Federation, for 
example, pointed to its long record in favor of 
international economic cooperation and cited in 
support a resolution passed by their annual meet- 
ing held in San Francisco in December 1946. "I 
am convinced", President O'Neal said, "that the 
establishment of this proposed International Trade 
Organization offers an opportunity to conduct in- 
ternational trade more nearly on a basis in line 
with our ideals of free enterprise than could be 
possible otherwise". 

President O'Neal went on, however, to make a 
number of thoughtful suggestions with respect to 
the Charter. He indicated, for example, his or- 
ganization's belief that "the Charter should be 
drawn in such a manner that export subsidies on 
certain basic agricultural products could be used in 
the event that it is necessary to prevent widespread 
chaos in some of our basic agricultural industries." 
He expressed pleasure at the inclusion of Chapter 
VII which deals with inter-governmental com- 
modity arrangements, but raised a question about 
the desirability, in Article 51, of giving importing 
countries an equal voice with exporting countries. 
Mr. O'Neal expressed concern about the httle em- 
phasis in the proposed Charter upon using non- 
governmental groups in an advisory capacity. On 
the whole, the American Farm Bureau Federation, 
like others in this group, supiDorted the program, 
while at the same time making suggestions for its 
improvement. 

A third group of persons, twenty-one in all, had 
little or nothing to say by way of approval or dis- 
approval of the proposed Charter, but most of 
them expressed some concern about the possible 
impact of the proposed International Trade Or- 
ganization on their own' industries. A few of this 
group suggested the inclusion or more explicit 
coverage of their own interests. 

The California Walnut Growers Association, for 
example, in its testimony said : "The basic assump- 
tion [of the ITO] is that protective tariffs are 
evils. This has serious implications for the Amer- 

724 



ican nut industries, and many others. Like the 
reciprocal trade treaties, which always contem- 
plate tariff cuts and never any increases, ITO is 
to be a tariff reducing agency .... The 
American walnut industry fears ITO because of 
the very obvious threat to its tariff protection." 

The National Bankruptcy Conference suggested 
"that the International Trade Organization has a 
unique opportunity at this time to write into its 
charter a provision at one stroke . . . estab- 
lishing equal treatment for all creditors in the 
courts of nations participating in the organization 
or subscribing to its principles". 

Sixteen persons expressed general opposition to 
the jjroposed Charter. Thirteen of these were 
business associations; three were representatives 
of individual establisliments. Eight of the sixteen 
represented textile interests ; three, food products ; 
one, shoe and leather; one, petroleum; one, ex- 
porter and importer; one, shipping; and one, a 
more general organization: the American Tariff 
League. 

Mr. Henry D. Molnar, representing Trans- Atlas 
et Cie, Ltd., criticized the Charter as impractical 
in all aspects and suggested that a new Charter 
be formulated by representatives of Business and 
Banking. The American Lace Manufacturers 
Association referred to Chapter VII on inter- 
governmental commodity agi-eements as a plan 
for world collectivism. ■ 

The American Tariff League described the Char- 
ter as "voluminous, wordy, difficult to study and 
comprehend, and frequently ambiguous and lack- 
ing in clarity." Further, the League observed, 
"the Cliarter is confusing. It sets forth many 
basic principles, and then proceeds to riddle them 
with exceptions, so that it ends by blessing not 
only the desirable world trade practices, but vir- 
tually all the undesirable ones as well." 

Written Views 

Only five detailed wi'itten briefs relating to the 
proposed Charter were submitted to the Executive 
Committee on Foreign Economic Policy on behalf 
of organizations which did not appear at the hear- 
ings to present their views orally. There were, in 
addition, however, seventeen letters, resolutions 
and telegrams in response to the invitation in the 
original press release announcing the hearings. 
In sum, there were only twenty-two persons and 

Deparfmenf of Sfafe Bulletin 



1 



organizations who chose to present their views in 
writing rather than in person. 

All of the written communications endorsed the 
objectives and general structure of the proposed 
International Trade Organization. Four of the 
five written briefs, however, made specific sugges- 
tions for modification of the proposed Charter. 
Tlie remaining brief and the other written com- 
munications endorsed the proposed ITO without 
qualification. Most of the letters from individuals 
did not indicate the degree to which the endorse- 
ment resulted from careful study of the proposed 
Charter. 

Evaluation of the Hearings 

The Executive Committee on Economic Foreign 
Policy has been gratified by the results of the hear- 
ings. Two or three things stand out. In the first 
place, interest in constructive measures to assure 
international economic cooperation was revealed 
as considerably greater than had been supposed. 
From this flowed the second revelation of impor- 
tance: most of the persons who appeared at the 
hearings had studied the proposed Charter with 
care. Third, in every city visited by the hearings 
Panels, deep satisfaction was expressed that the 
Charter was taken to the public for examination 
and criticism at this relatively early stage of its 
development. Finally, and most important, many 
thoughtful criticisms and suggestions for improve- 
ment of the Charter were received. It was, of 
course, exactly this that inspired the hearings in 
the first place. 

The Executive Committee on Economic Foreign 
Policy is now completing a series of meetings in 
which the many suggestions received at the hear- 
ings have been carefully studied and evaluated. 
The results of these deliberations will be trans- 
mitted to the United States Delegation for its 
guidance in the Second Meeting of the Prepara- 
toi-y Committee for an International Conference 
on Trade and Employment to be held in Geneva, 
Switzerland, beginning April 10, 1947. 

Industrial Property Agreement With 
France Signed 

[Released to the press April 8] 

An agreement between the United States and 
France concerning the restoration of certain in- 
dustrial-property rights affected by World War 
II was signed on April 4, 1947, by Acting Secre- 

AprU 20, 1947 



THE RECORD OF THB WBBK 

tary of State Dean Acheson and Henri Bonnet, 
Ambassador of the French Republic. 

The agreement is designed to permit delayed 
filing of patent api^lications, accomplishment of 
formalities, payment of fees, and delayed renewal 
of trade-mark registrations, which actions were 
not possible during the war. Existing United 
States statutes grant these extensions, based on 
reciprocity. The agreement enables France to 
grant such extensions reciprocally to citizens of 
the United States. 

It is provided in the agreement that a notice of 
acceptance of the agreement shall be delivered 
by each government to the other. The agreement, 
in accordance with its provisions, will enter into 
force on the date of the delivery of whichever 
notice is the later in arriving. 

The agreement was negotiated for the United 
States by Acting Commissioner of Patents Leslie 
Frazer and other officials of the Patent Office, in 
collaboration with officers of the Department of 
State. For France, the negotiation was carried 
on by M. E. Mathon, Director of the French In- 
dustrial Property Service, Ministry of Industrial 
Production, and by officials of the French 
Embassy. 

Maine Ratifies Constitutional 
Amendment 

[Released to the press April 9] 

The Department of State received on April 9 
an authenticated copy of the ratification by the 
Legislature of the State of Maine of the recently 
proposed constitutional amendment relating to the 
terms of office of the President. 

The action of the Legislature of Maine was under 
date of March 31, 1947. 

This is the first formal notification received by 
the Department, as required by law. 

Finland Grants Commercial Air Rights 

[Released to the press April 8] 

The Government of Finland has authorized the 
United States certificated air carrier, American 
Overseas Airlines, Inc., to operate a commercial 
air service between Finland and the United States 
on a temporary basis pending conclusion of a 
bilateral agreement between the two countries, 
the Department of State announced on April 8. 

It is expected that service will be inaugurated 
by the American company in the early part of 
May 1947. 

725 



Withdrawal of Obsolete Treaties From the Senate 



MESSAGE OF THE PRESIDENT TO THE SENATE 



[Released to the press by the White House April 8] 

To the Senate of the United States : 

Because of changed conditions affecting their 
provisions since they were submitted to the Sen- 
ate, a number of the treaties now pending in the 
Senate have become obsolete. The situation with 
respect to several other pending treaties would be 
clarified if they were withdrawn for further study 
and consideration in the light of developments 
since they were formulated and, if found advis- 
able, resubmitted with a fresh appraisal of their 
provisions. 

I therefore desire to withdraw from the Senate 
the following treaties with a view to placing the 
treaty calendar on a current basis : 

Agreement between the United States of America 
and Costa Rica regarding an interoceanic canal 
across Costa Rican territory, signed at Wash- 
ington February 1, 1923 (Executive B, 67th 
Congress, 4th session). 

International convention for the suppression of 
the circulation of and the traffic in obscene pub- 
lications, signed at Geneva September 12, 1923 
(Executive M, 68th Congress, 2d session). 

Protocol for the prohibition of the use in war of 
asphyxiating, poisonous, or other gases, and of 
bacteriological methods of warfare, signed at 
Geneva June 17, 1925 (Executive G, 69th Con- 
gress, 1st session). 

Convention and protocol between the United 
States of America and Canada for the preserva- 
tion and improvement of the Niagara Falls, 
signed at Ottawa January 2, 1929 (Executive 
U, 70th Congress, 2d session). 

Protocol of revision of the Statute of the Perma- 
nent Court of International Justice (World 
Court), signed at Geneva September 14, 1929; 
protocol of signature of the Statute of the Per- 
manent Court of International Justice, signed 
at Geneva December 16, 1920 ; and protocol of 
accession of the United States of America to the 
Statute of the Permanent Court of Interna- 
tional Justice, signed at Geneva September 14, 
1929 (Executive A, 7lst Congress, 3d session). 

726 



Treaty between the United States of America and 
Canada for the completion of the Great Lakes- 
St. Lawrence Deep Waterway, signed at Wash- 
ington July 18, 1932 (Executive C, 72d Con- 
gress, 2d session). 

Berne Convention of September 9, 1886 for the 
protection of literary and artistic works, revised 
at Berlin, November 13, 1908, and at Rome, 
June 2, 1928 (Executive E, 73d Congress, 2d 
session). 

International Convention for the suppression of 
the traffic in women of full age, opened for sig- 
nature at Geneva October 11, 1933 (Executive 
H, 74th Congress, 1st session). 

Convention between the United States of America 
and the Republic of Argentina with reference 
to sanitary regulations concerning plant and 
animal products, signed at Washington May 24, 
1935 (Executive O, 74th Congress, 1st session). 

International convention relating to economic 
statistics and a protocol thereto, signed at 
Geneva December 14, 1928 (Executive S, 74th 
Congress, 1st session). 

Convention between the United States of America 
and the Republic of Panama for the regulation 
of radio communications in the Republic of 
Panama and the Canal Zone, signed at Wash- 
ington March 2, 1936 (Executive C, 74th Con- 
gress, 2d session). 

International convention for the unification of 
certain rules to govern the liability of vessels 
when collisions occur between them, and a pro- 
tocol thereto, signed at Brussels September 23, 
1910 (Executive K, 75th Congi'ess, 1st session). 

Draft convention (no. 56) concerning sickness 
insurance for seamen, adopted by the Inter- 
national Labor Conference at its twenty-first 
session, held at Geneva October 6-24, 1936 (Ex- 
ecutive Y, 75th Congress, 1st session). 

Draft convention (no. 61) concerning the reduc- 
tion of hours of work in the textile industry, 
adopted by the International Labor Conference 
at its twenty-third session, held at Geneva June 
3-23, 1937 (Executive J, 75th Congress, 3d 
session). 

Department of State Bulletin 



Draft convention (no. 63) concerning statistics 
of wages and hours of work in the principal 
mining and manufacturing industries, includ- 
ing building and construction, and in agricul- 
ture, adopted by the International Labor Con- 
ference at its twenty-fouilh session, held at 
Geneva June 2-22, 1938 (Executive L, 76th Con- 
gress, 1st session). 

[nternational sanitary convention, signed at Paris 
October 31, 1938 (Executive J, 76th Congress, 
3d session). 

Convention for the establishment of an inter- 
American bank, signed on behalf of the United 
States of America May 10, 1940 (Executive K, 
76th Congress, 3d session). 

Convention between the United States of America 
and the United Kingdom of Great Britain and 
Northern Ireland providing for the exemption 
of taxation on property or transactions con- 
nected with defense, signed at Washington Oc- 
tober 17, 1941 (Executive H, 77th Congress, 1st 
session). 

Siupplementary protocol concerning whaling 
signed at London October 5, 1945 (Executive J, 
79th Congress, 1st session). 

Harky S. Tkusian 
The White House 
ApHl 8, 1947 

Estate Tax Convention With South 
\frica Signed 

[Released to the press April 10] 

A convention between the United States and the 
Union of South Africa for the avoidance of double 
;axation and the prevention of fiscal evasion with 
■espect to taxes on the estates of deceased persons 
vas signed at Capetown on April 10, 1947, by Gen- 
iral Thomas Holcomb, American Minister to the 
Union of South Africa, and Field Marshal Jan 
Uhristiaan Smuts, Prime Minister of South 
Africa. 

The convention provides that it shall come into 
:orce on the date of exchange of instruments of 
•atification and shall be effective only as to 

(a) the estates of persons dying on or after 
such date and 

(b) the estate of any person dying before such 
date and after the thirtieth day of June 1944, 
whose personal representative elects, in such 
manner as may be prescribed, that the provisions 
of the convention shall be applied to such estate. 

ftpr.7 20, J 947 



THE RECORD OF THE WEEK 

The convention is similar in general to estate- 
tax conventions of the United States with Canada 
and the United Kingdom. 

Protocol for Extension of 
Coffee Agreement 

[Released to the press April 4] 

The President on April 1, 1947, proclaimed the 
protocol for the extension of the Inter- American 
Coffee Agreement for one year from October 1, 
1946.^ The protocol was opened for signature at 
the Pan American Union from September 3, 1946, 
until November 1, 1946, and during that period 
was signed for the Government of the United 
States of America (subject to ratification) and for 
the Governments of 14 other American republics. 
The protocol was approved by the Senate on Feb- 
ruary 21, 1947, and was ratified by the President 
on March 7, 1947. The United States instrument 
of ratification was deposited with the Pan Ameri- 
can Union on March 19, 1947. 

Bolivian Lawyer Visits U.S. 

Miss Josefa Saavedra, a prominent lawyer of 
Bolivia, is visiting the United States at the invita- 
tion of the Department of State. She has been 
awarded a travel grant under a program adminis- 
tered by the Division of International Exchange of 
Persons of the Department, to enable her to visit 
juvenile courts, women's prisons, and homes for 
delinquent children, and to confer with officials of 
Government, public and private agencies, and 
institutions in her field of interest. Wliile in the 
United States Miss Saavedra also plans to visit 
universities and educational centers. 

Documents Salesroom 

The Superintendent of Documents will open a 
salesroom in Room 120, 1778 Pennsylvania Ave- 
nue, NW., where Department of State publica- 
tions may be purcliased and where a few publica- 
tions of other agencies of the Government will 
also be sold. Persons outside of Washington de- 
siring to purchase Department of State publica- 
tions should continue to order direct from the 
Superintendent of Documents, Government Print- 
ing Office, Washington 25, D.C. 

' For an article on the subject by John K. Havemeyer, 
see Bulletin of Mar. 2, 1947, p. a7S. 

727 



The Council of Foreign Ministers ^age 

Moscow Meeting of the Council of Foreign 
Ministers. Statements by the Secretary 
of State: 
Questions Relating to Germany: 

Polish-German Frontier 693 

The Ruhr 694 

The Saar Territory 695 

The Problem of Boundaries 696 

The United Nations 

Resolutions Adopted by ECOSOC Relating 
to Narcotic Drugs. Article by George 

A. Morlock 687 

The Regulation of Armaments and Lasting 

Peace. By Joseph E. Johnson 697 

U.S. Membership and Participation in WHO: 

The President's Letter of Transmittal 702 

Memorandum From the Secretary of State. 703 

U.S. Delegation to ICAO Air Traffic Commit- 
tee for European-Mediterranean Region. 709 

Economic Affairs 

The Joint Campaign Against Foot-and-Mouth 
Disease in Mexico. Article by John A. 
Hopkins 710 

PICAO South Pacific Regional Air Naviga- 
tion Meeting. Article by Col. Carl 
Swyter 713 

Arrangements Made for Commercial Banking 

in Japan 718 

Agriculture Situation in the Philippines 719 

Conversations With Iranian Purchasing Mis- 
sion 720 

American Interest in ITO. Statement by 

Acting Secretary Acheson 721 



Economic Affairs — Continued Pas* 

Summary of Informal Hearings on Proposed 
Charter for ITO: 

Letter to Acting Secretary Acheson 721 

Report on Informal Hearings 722 

Occupation Matters 

Interim Principles for Restitution of Identi- 
fiable Property Confiscated in Japan 
From Allied Nationals 708 

U.S. Urges Reconvening of Joint U.S.- 

U.S.S.R. Commission 716 

Japanese Vessels Available for Delivery to 

U.S., U.K., U.S.S.R., and China 717 

General Policy 

Letters of Credence : Iraq 719 

S.S. "Martin Behrman" Incident. 720 

Treaty Information 

Industrial Property Agreement With France 

Signed 725 

Finland Grants Commercial Air Rights 725 

Estate Tax Convention With South Africa.. 727 
Withdraviral of Obsolete Treaties From the 

Senate: President's Message to Senate.. 726 
Protocol for Extension of Coffee Agreement. 727 

Calendar of international Meetings 707 

Educational, Scientific, and Cultural Co- 
operation 

Bolivian Lawyer Visits U.S 727 

The Congress 

Maine Ratifies Constitutional Amendment.. 725 

The Foreign Service 

Philippine Foreign Affairs Training Program. 718 

Publications 

Documents Salesroom 727 



'^ 



Oeorge A. Morlock, author of the article on ECOSOC resolutions re- 
lating to narcotic drugs, is Chief of the Narcotics Section, Division of 
International Labor, Social and Health Affairs, Office of International 
Trade Policy, Department of State. 

John A. Hopkins, author of the article on foot-and-mouth disease in 
Mexico, is Acting Head, Latin American Division, Office of Foreign 
Agricultural Relations, Department of Agriculture. Mr. Hopkins is 
Secretary of the U.S. Section of the Joint U.S.-Mexican Agricultural 
Commission. 

Colonel Carl Sivyter, United States Army Air Forces, author of the 
article on the South Pacific regional air navigation meeting of PICAO, 
served as Technical Secretary of the U.S. Delegation to that meeting. 

U. S. GOVERNMENT PRINTING OFFICE: 1947 



^rie/ ^eha/^{mzeni/ ,<w t/tate^ 





MOSCOW MEETING OF THE COUNCIL OF FOR- 
EIGN MINISTERS : Questions Relating to Germany 
• Statements by the Secretary of State .... 741 



OUR DOMESTIC ECONOMY AND FOREIGN 
AFFAIRS • by Assistant Secretary Thorp .... 



758 



CONTROL OF ARMS, AMMUNITION, AND 
IMPLEMENTS OF WAR • The President's Message 
to the Congress 750 

THE ESTABLISHMENT OF THE COMMISSION FOR 
CONVENTIONAL ARMAMENTS . Article by 
James M. Ludlow 731 



For complete contents see hack cover 



Vol. XVI, No. 
April 27, m? 



^enx oj» 




u, s. suPEPvifriEfican of bucj 
MAY 12 1347 




*^^^y... bulletin 



Vol. XVI, No. 408 • PnBOCATioN 2813 
April 27, 1947 



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Note: Content? of this publication are not 
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The Department of State BULLETIN, 
a weekly publication compiled and 
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THE ESTABLISHMENT OF THE COMMISSION 
FOR CONVENTIONAL ARMAMENTS 



&y James M. Ludlow 



In order to promote the establishment and maintenance 

of international peace and security with the least diver- 
sion for armaments of the world's human and economic 
resources^ the Security Council shall he responsible for for- 
mulating . . . plans to be submitted to the Members 
of the United Nations for the establishnient of a system for 
the regulation of armaments. 

— CHAKTER OF THE UNITED NATIONS 

Article 26 



On January 9, 1947, the United Nations Secur- 
ity Council had on its agenda five items concerned 
with the reguhition and reduction of armaments 
and armed forces and the priority with which the 
proposed regulation and reduction should be 
effected. Separately the items dealt with particu- 
lar aspects of the over-all problem. But as the 
items were discussed disagreements developed over 
the necessary conditions and methods of achieving 
the solution of the problem. The critical issue 
was whether the regulation and reduction of ar- 
maments rests on conditions of international secu- 
rity or whether disarmament in itself establishes 
and contributes to international security. 

The first item was a resolution unanimously 
passed by the General Assembly December 14, 
1946, entitled "Principles Governing the General 
Regulation and Reduction of Armaments".' The 
second was a General Assembly resolution,^ also 
passed on December 14, 1946, calling upon the 
Council to determine, as soon as possible, the in- 
formation on armed forces which the member 
states should be required to furnish to implement 
the first-mentioned resolution. The third, a pro- 
posed resolution ' introduced by the Soviet Repre- 
sentative, Andrei Gromyko, urged the establish- 
ment of a special conmiission which would be given 



three months to make recommendations on the im- 
plementation of the General Assembly's resolu- 
tion. The fourth was a draft resolution ' presented 
by the United States Representative, Herschel V. 
Johnson, urging, pursuant to the General Assem- 
bly's resolution, that the Security Council con- 
sider and act upon the atomic-energy report as 
soon as received, and recommending that only 
thereafter should the Council discuss what further 
practical measures it should take and in what pri- 
ority the implementation of the General Assembly's 
resolution should be carried out. The fifth was the 
first report of the Atomic Energy Commission to 
the Security Council.' 

The Opposing Views of the U.S. and U.S.S.R. 

These five documents provided the basis for the 
discussions which led to the establishment of the 
Connnission for Conventional Armaments. Al- 



' See article on "Regulation and Reduction of Arma- 
ments : Action of the General Assembly", Buixetin of 
Feb. 23, 1947, p. 311. The resolution was transmitted to 
the Security Council as S/231. 

= S/230. 

' S/229. 

' S/233. 

° AEC/18/Rev. 1. Tliis was transmitted to the Security 
Council by S/239. 



April 17, 1947 



731 



thougli the debates on these resolutions resulted 
in eventual agreement on establishing a commis- 
sion with specific terms of reference, the delibera- 
tions disclosed that the United States and the 
Soviet Union held opposing views on how the 
regulation and reduction of armaments should 
be achieved. 

In these discussions the consistent position of 
the United States was that conditions of interna- 
tional security must be established before the regu- 
lation and reduction of armaments and armed 
forces can be effected. The position of the Soviet 
Union was that the reduction and regulation of 
armaments and armed forces are fundamental in 
achieving international security and therefore 
should come first. 

The United States vigorously advocated that the 
international control of atomic energy should be 
considered as an essential first step in achieving 
international security and repeated what Secre- 
tary Byrnes had so clearly stated before the Gen- 
eral Assembly on December 13, 1946 : 

"In meeting the problems of disarmament first 
things should come first. The first task which 
must be undertaken is the control of atomic energy 
to insure that it will be used only for human wel- 
fare and not for deadly warfare. 



"Let us concentrate upon these major weapons 
and not dissipate our energies on the less impor- 
tant problems of controlling pistols and hand 
grenades. 

"If we are really interested in effective disar- 
mament, and not merely in talking about it, we 
should instruct our representatives on the Atomic 
Energy Commission to press forward now with its 
constructive proposals." * 

In conjunction with this view the United States 
also held that the conclusion of the agreements 
establishing the United Nations armed forces as 
projected by article 43 of the Charter was another 
important element in international security. 
Such steps, it was stated, precondition the eventual 
success of general regulation and reduction of 
armaments and armed forces. 

The position of the Soviet Union was in sharp 
contrast with that of the United States. The 
urgency of the problem was stressed but with no 



' BuLiJSTiN of Dec. 22, 1946, p. 1138. 
732 



reference to the necessity of achieving interna- 
tional security first. On the contrary, the Soviet 
Union emphasized the importance of establishing 
a commission to make findings and recommenda- 
tions on the immediate regulation and reduction 
of armaments and armed forces. It advocated 
simultaneous discussions on atomic and conven- 
tional weapons and sought to lessen the emphasis 
on the urgency of establishing the United Na- 
tions armed forces. An analysis of the position 
of the Soviet Union suggests that one purpose may 
have been to allow a new commission to invade 
the jurisdiction of the Atomic Energy Commis- 
sion, thereby possibly confusing the activities of 
both commissions. 

Neither position completely prevailed. The 
United States was unable to convince the Council 
of the desirability of granting priority in the Se- 
curity Council to the first report of the Atomic 
Energy Commission before the consideration of 
the further implementation of the General As- 
sembly resolution on the general regulation and 
reduction of armaments, but it did prevail in its 
position that the terms of reference of the new 
commission must clearly proscribe interference 
with any aspects of the work of the Atomic Energy 
Commission. 

The deliberations of the Security Council, which 
extended over a period of six weeks, were marked 
by three distinct phases. The first phase of the 
discussions extended from January 9 to January 
20, when further considerations were postponed 
for two weeks. These discussions were concerned 
mainly with whether or not the first report of 
the Atomic Energy Commission would be given 
priority over the implementation of the General 
Assembly resolution of December 14, 1946. The 
debates in the second phase, lasting from February 
4 to February 11, centered on the jurisdiction and 
terms of reference of the proposed new commis- 
sion, especially in relation to the Atomic Energy 
Commission. The final phase of the considera- 
tions, from Febru.a'Y 11 to February 13, led to 
compromise and eventual agreement and the adop- 
tion of the resolution establishing the Commis- 
sion for Conventional Armaments. 

The First Phase: Priority in the Regulation and 
Reduction of Armaments 

Discussion of the American and Soviet pro- 
posals started on January 9, 1947. Contending 
that the General Assembly's resolution did not 

Deparfment of State Bulletin 



give priority either to atomic-energy control or 
to the regulation and reduction of conventional 
armaments, the Soviet Union started the debate 
by asserting that the proposals presented by the 
United States would merely delay the Security 
Council's implementation of the General Assem- 
bly's resolution. Attacking the United States as 
obstructing considerations of the problem by an 
"either — or" position, Mr. Gromyko observed : 

"The attempt to make the working out of the 
concrete measures on the realization of the Gen- 
eral Assembly decision on one question, dependent 
on the progress and results of the consideration of 
another one, to the detriment of the realization 
in general of the General Assembly decision on 
'Principles Governing the General Kegulation and 
Reduction of Armaments' cannot be justified by 
any reference to the necessity of giving priority to 
any one distinct question. Actually, the task of the 
Security Council is to proceed without delay with 
working out the practical measures on all the 
questions on which the General Assembly has taken 
the decision." ' 

In reply Mr. Johnson took issue with Mr. Gro- 
myko and stressed that the General Assembly reso- 
lution of December 14, 1946, clearly and repeatedly 
emphasized the importance of expediting the work 
of the Atomic Energy Commission in the Security 
Council as well as in the Commission itself. Re- 
iterating the position already stated by Mr. Byrnes 
on the importance of safeguards to any system 
of regulation, Mr. Johnson said : 

"The creation of a system of effective regula- 
tion is fundamentally a problem of devising ef- 
fective international controls and safeguards 
which will protect complying States against the 
hazards of violations and evasions. We cannot 
expect any nation to accept any system for the 
regulation of armaments and armed forces un- 
less it is satisfied that the international controls 
and safeguards provided will be truly effective. 
No system of this nature, which leaves law-abid- 
ing States weak and helpless in the face of ag- 
gression, can ever contribute to world peace and 
security." ^ 

Neither the views of the United States nor those 
of the Soviet Union were completely acceptable 
to the other members of the Council. Resolutions 
seeking to compose the differences were intro- 



duced on January 9 by France and on January 
15 by Australia and Colombia.^ The aims of the 
three proposals were in general similar: 

(1) All required immediate action in setting up 
a commission to consider the regulation and reduc- 
tion of armaments and armed forces and in con- 
sidering the Atomic Energy Commission's report. 

(2) Wlien established, it was proposed that the 
new commission should make a report on its work 
to the Council within three months. ( The Austral- 
ian resolution stipulated April 30.) The French 
resolution required the new commission to make 
such recommendations on the problem of regula- 
tion and reduction of armaments as it could within 
the time limits and suggested that studies be made 
on the problem by the Military Staff Committee or 
by other organs of the United Nations. The Aus- 
tralian and Colombian resolutions required the 
proposed commission to concern itself with recom- 
mendations on practical and effective safeguards 
as well as on the regulation and reduction of arma- 
ments and armed forces. The Colombian resolu- 
tion specifically barred the new commission from 
considering anything relating to atomic weapons 
but assigned to it all other weapons adaptable to 
mass destruction. 

(3) With reference to the report of the Atomic 
Energy Commission, the Australian and Colom- 
bian resolutions advocated the drafting of a con- 
vention or conventions setting up an international 
system for control of atomic energy with a time 
limit of three months for a report on this work. 
The French resolution merely called for considera- 
tion of the Commission's report as soon as possible. 

(4) All called upon the Military Staff Commit- 
tee to expedite proposals on the establishment of 
the United Nations armed foi'ces under the provi- 
sions of article 43 of the Charter and on the with- 
drawal of troops from ex-enemy territory and 
friendly nations in accoidance with section 7 of the 
General Assembly resolution. All placed a defi- 
nite time limit of three months on the reports from 
the Military Staff Committee. The French and 
Australian resolutions also called upon the Mili- 
tary Staff Committee to make proposals on the 
information that member states should furnish on 
their armed forces. 



33. 



' S/P. V./90, p. 

■ Ibid., p. 47. 

• S/243, S/249, S/251. 



April 27, 1947 



733 



Assessing these resolutions, these pomts appear 
clear : 

(1) Concurrent examination of the problems 
of the regulation of atomic and conventional 
weapons was tliought desirable. 

(2) There was evidence that France, Australia, 
and Colombia supported expeditious consideration 
of the Atomic Energy Commission's report only 
after machinery for examining the problems of 
regulation and reduction of conventional arma- 
ments had been established. 

(3) There were varying ideas as to the terms of 
reference of the proposed new commission and as 
to what it could accomplish in the three months' 
time allotted to it for making a report. 

(4) There was general recognition of the rela- 
tionship of the article 43 agi'eements to the regula- 
tion and reduction of armaments and armed 
forces. 

U.S. Bequests Postponemeni 

The debates which had started on January 9 
continued on January 15. On that day Senator 
Warren E. Austin assumed his duties as the Repre- 
sentative of the United States on the Security 
Council. Speaking therefore for the first time, he 
requested that further consideration of the prob- 
lems before the Council relating to the implemen- 
tation of the General Assembly's resolution be 
posti^oned for three weeks until February 4. In 
sujjport of this suggestion he pointed out that since 
he had just entered upon his duties he believed he 
needed more time for the consideration of the 
problems before the Council. Furthermore, since 
there was to be a new Secretary of State, he should 
also have time to study these problems. In con- 
cluding, Senator Austin expressed his belief that 
haste in the discussions would not be conducive to 
the desired unanimity of the Council.'" 

Mr. Gromyko, who followed Mr. Austin, ob- 
jected to any postponement of the problem and 
felt that the Council's considerations should con- 
tinue along the lines of the Soviet proposal.'' 
Oscar Lange of Poland also opposed postpone- 



" S/P. V./93, pp. 32-40. 

"Ibid., pp. ril-.'-i2. 

" Ibid., pp. 60-80. 

" S/P. V./92, pp. 12-2.5, 41. 

" S/P. V./93, pp. 81-97, 97-110. 

" Ibid., pp. 121-122. 

" S/P. V./95, p. 52. 



ment and stressed his conviction of the urgency of 
putting the General Assembly's resolution into 
effect as quickly as possible. He stated that he 
believed disarmament was possible and was de- 
sired by the peoples of the world immediately 
rather than in any specific number of years in the 
futuie. He especially objected to the United 
States proposal because he envisaged substantial 
delays from the Council's first considering the 
Atomic Energy Commission's report.'^ 

Dr. Quo Tai-chi of China" and Dr. Henrique 
de Souza Gomes of Brazil " in general supported 
the American position. Baron Silvercruys of Bel- 
gium," Dr. Alfonso Lopez of Colombia," and Sir 
Alexander Cadogan of the United Kingdom 
expressed their willingness to agree to Senator 
Austin's request for postponement, although Bar- 
on Silvercruys and Dr. Lopez saw no objection 
to concurrent discussion on conventional arma- 
ments and on atomic weapons and other major 
weapons adaptable to mass destruction. Of par- 
ticular force was Sir Alexander Cadogan's con- 
clusion to his observations on the length of time 
needed to prepare for the general disarmament 
conference : 

"I am quite aware of the necessity for speed, but 
not break-neck speed, although I know that if one 
advises against break-neck speed, one exposes one- 
self to the easy taunt that one is obstructing dis- 
armament or playing power politics, or some other 
sinister motive"." 

At its meeting on January 20, by a vote of 9 to 2 
with the Soviet Union and Poland opposing, the 
Security Council adopted Mr. Austin's resolution 
for postponement." 

The Situation at Postponement 

At postponement it ai:)peared clear that if the 
American resolution requesting that the work of 
the Atomic Energy Commission be given first 
priority had been put to a vote it pi-obably would 
not have been passed. This would have been due 
to the prevailing view in the Council that consid- 
eration of the work of the Atomic Energy Commis- 
sion and the establishment of the new commission 
could be carried on simultaneously. 

The views of the Soviet Union, already apparent, 
were made abundantly clear in the subsequent de- 
bates. It maintained that agreement should be 
reached for the outlawing of atomic weapons as 
soon as possible, prior to the successful negotia- 



734 



Department of State Bulletin 



tions for the establishment of an international 
system of controls and safeguards. The Soviet 
position had not changed since its proposals had 
been submitted to the Atomic Energy Commis- 
sion on June 19, 1946. In specifically not corre- 
lating the outlawing of the atomic bomb with the 
establishment of any international system of con- 
trols and safeguards the Soviets were emphasizing 
only the prohibition of the use, manufacture, and 
possession of atomic weapons.'' Mr. Molotov had 
reaffirmed this position during the General Assem- 
bly." Mr. Gromyko's insistence on speed in set- 
ting up a new commission, with authority and 
terms of reference not clearly defined, was not only 
counter to the United States objective of priority 
for the work of the Atomic Energy Commission 
as a first ste^D in the regidation and reduction 
of armaments and armed forces, but also seemed to 
look toward a possible new forum for the Soviet 
atomic-weapons proposals. In such a forum the 
Soviet Government might have sought to circum- 
vent or overrule the decisions and recommenda- 
tions of tlie Atomic Energy Commission.'^ 

The Second Phase: The Commission's Terms of 
Reference 

TJ. S. Objective and Resolution 

The United States objective, when discussions 
were resumed in the Security Council on Febru- 
ary 4, was to make certain that the new commis- 
sion was given precise terms of reference. With 
inadequately defined terms of reference it might 
duplicate the functions of the Atomic Energy 
Commission. It was felt that a commission on 
such a vital matter with no concrete aims and no 
clear-cut authority would be most unsatisfactory, 
and failure in its considerations would be dis- 
astrous to the world's hopes for future peace. 
To assure a careful study of the composition and 
terms of reference of the commission, the United 
States view was that the Council should estab- 
lish a special committee which would have the 
task of recommending to it the terms of reference 
of the proposed commission and the relationship 
of the commission to the Military Staff Committee 
and the Atomic Energy Commission. 

Two other objectives which the United States 
felt necessary were (1) a commitment on the part 
of the Security Council that it would allow no 
delay in the consideration of the Atomic Energy 
Commission's first report, "which had been on the 
Council's agenda for nearly a month, and (2) 



the elimination of any concept that the proposed 
new commission might be able to make a compre- 
hensive report within the relatively short and 
specified time limit especially if satisfactory action 
by the Council had not been taken on the Atomic 
Energy Commission report. Provisions to achieve 
these objectives were set forth in the resolution 
presented by Mr. Austin to the Council at its 
meeting on February 4. The resolution read as 
follows : 

"The Security Council, in consideration of the 
General Assembly Eesolution of December 14, 
1946, on the "Principles Governing the Regula- 
tion and Reduction of Armaments", 

^'Besolves: 

"1. To establish a commission composed of the 
Members of the Security Council, the function of 
which shall be to make recommendations to the 
Security Council regarding the practical meas- 
ures, including the provision of effective safe- 
guards for the general regulation and reduction 
of armaments and armed forces, except as regards 
those matters which fall within the competence of 
the Atomic Energy Commission as determined by 
the General Assembly Resolutions of January 24, 
1946, and December 14, 1946. 

"2. To create a committee of the Security Coun- 
cil consisting of a representative of each member 
of the Council which shall make recommendations 
to the Security Council regarding the terms of 
reference of the proposed Commission, including 
its relations with the Security Council, the Mili- 
tary Staff Committee, and the Atomic Energy 
Commission. 

"3. To begin at its next meeting consideration 
of the First Report of the Atomic Energy Com- 
mission dated December 31, 1946, with particular 
reference to the Recommendations contained in 
Part III thereof." ^^ 



" Atomic Energy Commission doe. no. 7, June 24, 1946 ; 
International Control of Atomic Energy: Growth of a 
Policy (Department of State publication 2702), pp. 209- 
216. 

'^Journal of the United Nations, no. 18, supp. A-A/P. 
V./42, pp. 167-168, 175-180, 181. 

"At the tenth meeting of the Atomic Energy Commis- 
sion, Dec. 30, 1946, tlie Commission adopted its first report 
for submission to the Security Council with 10 members 
voting In the affirmative and with the U.S.S.R. and Poland 
abstaining (First Report of the United Nations Atomic 
Energy Commission to the Security Council, Dec. 31, 1946, 
Department of State publication 2737). 

=" S/264. 



April 27, 1947 



735 



In the statement which he made at the time, 
Mr. Austin again underscored this country's posi- 
tion that security is prerequisite to tlie general 
regulation and reduction of armaments and 
armed forces. 

"The United States is committed to the prin- 
ciples of international collective security set forth 
in the United Nations Charter. In fulfillment 
of its obligation under this Charter, the United 
States must insist that in any plan or pro- 
gram for the general regulation and reduction 
of armaments practical security arrangements 
must be a primary consideration. The Members 
of the United Nations must have definite, con- 
crete assurances that effective and enforceable 
safeguards with regard to such security ar- 
rangements have been established before com- 
mitting themselves to final plans for the reduc- 
tion of armaments and armed forces." ^' 

Mr. Austin contended that the questions relat- 
ing to establishing international collective security 
constituted the "how" and the "when" of the 
problem of the regulation and reduction of arma- 
ments. The "how" involved the necessary safe- 
guards which should be included in any treaties 
or conventions to protect complying states against 
the hazards of violations and evasions, and the 
"when" involved such matters as the conclusion 
of the peace treaties and the provision of armed 
forces for the Security Coimcil under article 43 
of the Charter. 

Refly of the U. S. S. R. 

Mr. Gromyko immediately subjected the United 
States proposal to severe criticism. He held that 
the first paragraph of the new American proposal 
was merely a repetition of the Soviet proposal and 
that the General Assembly resolution of Decem- 
ber 14 satisfactorily outlined the terms of refer- 
ence for the Atomic Energy Commission and the 
proposed new commission. Tlierefore, he objected 
strongly to creating a committee to consider the 
relation of the proposed commission to the other 
organs of the United Nations by characterizing it 
as unnecessary. Moreover, a committee would 
mean a delay in the consideration and prepara- 
tion of practical measures to implement the As- 
sembly resolution of December 14. The immediate 

" S/P. V./98, p. 17. 
"/bid., pp. 41-74. 



creation of a commission would make it possible 
for work to be begun immediately upon the prepa- 
ration of practical measures to implement this 
resolution. 

In conclusion he stated the basic Soviet position 
on tlie regulation of armaments : 

"The statements made by the representatives of 
the United States very often contain as a kind of 
constant theme the idea that it is impossible for 
the United States to proceed to disarmament or, 
to use the phrase we have adopted, the regulation 
and reduction of armaments and armed forces, 
until a complete system of security and safeguards 
has been set up. An attempt is . . . made 
[by the United States proposal] to establish op- 
position between the general regulation and re- 
duction of armaments and armed forces, on the 
one hand, and on the other, the system of guaran- 
tee of security and safeguard. This opposition 
may very well lead to misunderstanding in some 
quarters. I think from the factual, methodologi- 
cal and logical point of view that this opposition 
is altogether false. The reduction of armaments 
and armed forces is an essential, an integral part 
of the security system that is so ardently desired 
by all peace-loving people." ^^ 

Views of Australia and the U.K. 

At the afternoon meeting on February 4, the 
Australian Representative came out in opposition 
to the new United States resolution. He objected 
to the requirements of paragraph 3, the practical 
effect of which would be to give priority consid- 
eration to the Atomic Energy Commission's re- 
port, which would defer Security Council action 
on the general regulation and reduction of arma- 
ments. He shared Mr. Gromyko's feeling that 
the suggested committee for establishing the terms 
of reference of the proposed commission would 
cause delay, saying that he felt that it was possible 
for the Security Council itself to establish the 
commission, determine its membership, and set 
forth its terms of reference. Finally, he criti- 
cized the new resolution for failing to mention 
such other urgent matters as the work of the Mili- 
tary Staff Committee as referred to in the Gen- 
eral Assembly resolution of December 14. In an 
effort to reconcile the differences between the 
various proposals before the Council, the 
Australian representative suggested that the au- 
thors of the various resolutions should, at the di- 



736 



Department of State Bulletin 



rection of the President of the Council, confer 
either formally or informally to try to arrive at 
a mutually acceptable draft resolution."' 

The United Kingdom representative held that 
the differences of opinion with regard to establish- 
ing a special committee charged with formulating 
the new commission's terms of reference were 
essentially illusory, since presumably the same na- 
tions, whether in the Council, in the Committee, 
or in the proposed commission, would be the same. 
However, he believed that the proposal of the 
United States was a more regular procedure than 
the alternative of having a new commission at- 
tempt to determine its own terms of reference.^* 

The Drafting Committee's Discussions and Report 

After some further discussion, it was agreed that 
Fernand van Langenhove of Belgium, the Presi- 
dent of the Council, would call together the repre- 
sentatives of Australia, Colombia, France, the 
United States, and the U.S.S.R. for informal dis- 
cussions looking to a possible compromise draft. 

Three days of informal discussions failed to 
resolve the chief point of disagi'cement between 
the United States and the Soviet Union on the 
terms of reference for the new commission. At 
the meetings held on February 5, 6, and 7, this 
Government's concern over the importance of hav- 
ing the terms of reference of the commission so 
clearly defined as to avoid encroachment on the 
functions of the Atomic Energy Commission 
pi'oved justified. The Soviet Representative con- 
tinued to oppose as unnecessary the United States 
insistence on precise terms of reference. It was 
therefore necessary for the informal group to 
present alternatives for paragraph 3 of the draft 
proposal. 

The resolution returned to the Security Council 
did, however, represent a wide area of agreement. 
Based on the French proposal, it contained a modi- 
fied form of the Soviet preamble and first para- 
graph. Paragraph 2 of the resolution reported 
the fact that agi-eement with the U.S. position 
had been reached, that the Atomic Energy Com- 
mission's report would be considered by the Coun- 
cil as expeditiously as possible. The United States 
on its part acceded to the three months' time limit 
on the commission's first report. Paragraph 4 
represented agreement on the belief that the Mili- 
tary Staff Committee should hasten the completion 
of its recommendations with regard to the im- 

April 27, 7947 

740187—47 2 



plementation of article 43 of the Charter. Only 
with regard to the terms of reference and the 
authority of the new commission did basic dis- 
agreements remain. These were set forth in para- 
graph 3, which read as follows (the italicized por- 
tion was that specified as essential by the United 
States but opposed by the Soviet Union) : 

"3. To set up a Commission consisting of repre- 
sentatives of the members of the Security Council 
with instructions to prepare and to submit to the 
Security Council within the space of not more than 
three months, the proposals : 

" (a) for the general regulation and reduction of 
armaments and armed forces and 

"(b) for practical and effective safeguards in 
connection with the general regulation and reduc- 
tion of armaments. 

"which the Commission may be in a position to 
formulate in order to ensure the implementation 
of the above-mentioned resolutions of the Gen- 
eral Assembly of 14 December 1946 insofar as 
these resolutions relate to armaments within the 
new Commissioii's jurisdiction. 

'"''The Commission shall submit a plan of work to 
the Council for approval. 

^''Those matters which fall within the competence 
of the Atomic Energy Commission as determined 
hy the General Assembly resolutions of 2^ January 
1946 and 1^ December 1946 shall be excluded 
from the jurisdiction of the Coinmission hereby 
established. 

'"''The title of the C ominission shall be the Com- 
mission for Conventional Armaments. 

"The Commission shall make such proposals as 
it may deem advisable concerning the studies which 
the Military Staff Committee and possibly other 
organs of the United Nations might be asked to 
undertake. "-=* 

The Third Phase: Compromise and Agreement 

Discussions on Paragraph 3 of Draft Resolution 

When the sessions of the Security Council re- 
commenced on February 11 the position of Mr. 
Austin had received strong endorsement from the 
new Secretary of State. At his first press confer- 
ence on February 7, the Secretary had declared 
that in the regulation and reduction of world ar- 



^ S/P. V./99, pp. 1-20. 
""Ihia., pp. 21-30. 

=" S/268. 



737 



niameiits the goal of all was a peace based on col- 
lective security. The United States would work 
with other nations toward the rapid attainment of 
this goal. He held that the international control 
of atomic energy together with effective safeguards 
was of first importance and that the problems posed 
by the peace settlements had to be resolved before 
any real disarmament could be anticipated.-" 

Mr. Austin opened the debate by reiterating the 
United States view that the jurisdiction of the two 
commissions should be precisely defined. He held 
that the General Assembly would never have 
agreed that the Security Council should set up a 
new commission whose authority would in any 
way encroach on that of the Atomic Energy Com- 
mission, and he pointed to paragi-aph 8 of the 
General Assembly resolution to emphasize that 
fact. Adverting to the Soviet Union's reluctance 
to agree to the specific delineation of functions 
between the two commissions, he said : 

"I think it is clear from the discussions we have 
had up to date that the Soviet Union is not willing 
that the new Commission should be expressly 
barred from considering matters which have been 
assigned to the Atomic Energy Commission. I 
make no attempt to assign a reason for that re- 
fusal, but it is clear that one reason might be an 
intention on the part of the Soviet Government 
to introduce proposals into this new Commission 
which appropriately fall within the terms of I'efer- 
ence of the Atomic Energy Commission." 

Mr. Austin stated that this Government's posi- 
tion had been strengthened because of this Soviet 
view not to agree to terms of reference which 
would allow any member of the United Nations 
such an opportunity. With reference to the pos- 
sibility that obscure jurisdictional lines might 
raise the problem as to what information might be 
available to the new commission, he argued that 
it might conceivably be empowered to request mem- 
bers to furnish infoi'mation regarding atomic 
weapons and other major weapons adaptable to 
mass destruction. This, he held, should remain 
within the sole jurisdiction of the Atomic Energy 
Commission. In support he pointed in this con- 
nection to a statement of Mr. Gromyko before the 



* BuujTiN of Feb. 16, 1947, p. 286. 
"" S/P. V./102, pp. 17, 18, 21, 22, 36-40. 



General Assembly with reference to information 
on military personnel : 

". . . however much this information may be 
of interest to the General Assembly or to the Se- 
curity Council before the consideration of the 
question of the general reduction of armaments, 
the value of such information would not be very 
great if we did not receive at the same time the 
submission of all information concerning arma- 
ments, having in mind all types of armaments, 
and including therein the new types of armaments 
for mass destruction." 

In view of this statement on the record, Mr. 
Austin said that for the Security Council to fail 
to adopt the version of paragraph 3 of the draft 
resolution which most clearly outlined the two 
connnissions' jurisdictions would be to risk undo- 
ing, through the medium of the new commission, 
the work already done and reported on in the 
first report of the Atomic Energy Commission. 

In concluding, he stated that the actions of the 
United States could not be interpreted as delaying 
the cause of disarmament; on the contrary, this 
country was responsible for initially proposing 
that atomic bombs, the greatest weapon of all, be 
eliminated from national armaments and that safe- 
guards be set up to assure compliance."' 

Mr. Gromyko, in reply, ai-gued once more that 
the terms of reference of both commissions were 
clear in the General Assembly resolution and as 
such should not be subject to action by the Secur- 
ity Council. He held that the United States, by 
stubbornly insisting on language which created 
an artificial opposition between the Atomic En- 
ergy Commission and the proposed new commis- 
sion, diverted the attention of the Council from 
the main issue of the rapid implementation of the 
General Assembly resolution by focusing the 
Council's attention on purel}' organizational pro- 
cedural questions. He then went on to say : 

"The resolutions adopted by the General Assem- 
bly do not speak separately of provisions govern- 
ing atomic weapons, on the one hand, and other 
conventional weapons on the other. Atomic arms 
are mentioned within the general framework of 
arms and armaments, and there is no opposition 
in these resolutions of the General Assembly, as 
there is in the United States proposals, between 
atomic arms, on the one hand, and armaments of 
other kinds, on the other. There is no attempt to 



738 



Department of Stale Bulletin 



speak, first of all, of atoiiiic weapons and then, in 
the second place, of other weapons." 

He concluded by saying that various interpre- 
tations were possible in regard to the powers of 
the Atomic Energy Connnission and the proposed 
commission and that the problem should be re- 
solved. However, he believed that the Council 
could be guided only by the General Assembly's 
resolution and not by the proposals of the United 
States. Not only were they unnecessary but they 
would be harmful in that they would delay the 
Council in its assignment of expediting the general 
regulation and reduction of armaments and armed 
forces."' 

This clarification of the Soviet position was the 
turning point in the discussion. It became fully 
evident that the adoption of the Soviet version of 
paragraph 3 would make it possible for the labors 
and recommendations of the Atomic Energy Com- 
mission to be avoided or confused in another com- 
mission. 

Speaking in general support of the United 
States position, Mr. de la Tournelle of France held 
that considerations on the control of atomic energy 
and those relating to general disarmament should 
be conducted on parallel lines and were independ- 
ent of each other since neither was properly sub- 
ordinate to the other." 

Colombia,'" Great Britain. Brazil," Australia,"' 
and China ^' supported the French and American 
position that the terms of reference of the new 
commission should be clearly set forth in the reso- 
lution. Sir Alexander Cadogan asked Mr. Gro- 
myko, with regard to paragraph 3, whether he 
believed that the phrasing was unnecessary or 
whether he objected to the substance of the pro- 
posed phrase. If the former, he urged him to drop 
his objection, but if the latter he felt that it was 
essential that the doubt be cleared up immediately 
to "avoid constant wrangling in the Commission 
itself and perhaps between the two Commissions 
and consequent delay and confusion." '^ Only Mr. 
Michulowski of Poland supported the Russian 
view that the wording advocated by the United 
States was unnecessary." 

After considerable discussion entailing much 
■ parliamentary procedure, the proposed wording 
for paragi-aph 3 advocated by Mr. Austin was ac- 
cepted by the Council by a vote of 9 to with the 
Soviet Union and Poland abstaining."' 



Debate on Article lf3 Agreements 

During the two days' discussions of I'ebruary 12 
and 13, the slow progress of the Military Stafif 
Conunittee was subjected to several severe com- 
mentaries from the members of the Council, par- 
ticularly the representatives of France, Great 
Britain, and Australia. The latter two introduced 
amendments seeking to place a definite time limit 
for a report from the Military Staff Committee."' 
The French Representative, Mr. de la Tournelle, 
pointed out that at the request of the Soviet Dele- 
gation the French Delegation had, during the 
course of the informal discussions of Febiiiary 5, 
6, and 7, consented not to demand any time limit 
for the carrying out by the Military Staff Com- 
mittee of the task assigned to it by the Security 
Council concerning the organization of the United 
Nations armed forces. He pointed out that the 
absence of a report from the Military Staff Com- 
mittee Avas particularly regrettable in that it was 
impossible to conceive of a general reduction of 
armaments without the organization of an inter- 
national system of collective security. "Without 
security", he said, "States which would disarm 
would risk their security." "' Sir Alexander Cado- 
gan in his attack on the work of the Military 
Staff Committee blamed the Soviet Union for the 
delay in its woi'k and supported the French view 
by observing — 

"I am afraid, it seems to me, that with our con- 
centration on the reduction of armaments we have 
relegated or risked relegating consideration of 
security to the background. My Government 
would ask me to resist very strongly any tendency 
of that kind as they are extremely anxious to see 
progress made with this side of the question." "' 

Replying to Sir Alexander Cadogan's observa- 
tions on security and disarmament and his criti- 
cism of the work of the Military Staff Committee, 
Mr. Gromyko stated : 



=' Ihhl., pp. 54-60, 64-^5, 71. 

■' S/P. V./103, p. 12. 

"'Ihul., pp. 16-5.5. 

" S/P. V./104, pp. 1-20, 21-35, 

"^ S/F. V./103, p. 58. 

"= S/P. V./104, pp. 3&-45. 

" Ihid.. p. 171. 

" Ibid., p. 28; S/P. V./103, p. 62 

"' Ihid., p. 12. 

=' Ibid., p. 61. 



46-55. 



April 27, J 947 



739 



"Sir Alexander is virtually only repeating a 
thesis which has been very much used in recent 
times and which has become popular not only in 
banquets, but also in the meetings of the Security 
Council ; the thesis that it is not possible to pro- 
ceed to the regulation and reduction of armaments 
and armed forces until an international system 
of security has been set up. . . . This con- 
trast which is drawn between the two questions, 
security and disarmament, only tends to compli- 
cate the position and to obscure the important 
questions with which the Security Council has to 
deal." " 

After having discussed his concern at the length 
of time which it would take the proposed com- 
mission to start upon its functions, and having 
urged all possible speed in establishing a com- 
mission, Mr. Gromyko, who had originally pro- 
posed a report within three months from the new 
"disarmament" commission and who had favored 
the phrasing of the compromise draft proposal 
calling for the new commission's report "within 
the space of not more than three months",^^ turned 
to the subject of the Military Staff Committee and 
observed : 

"We should not forget, Mr. President, that it 
is unwise to take a decision regarding the execu- 
tion of which there is some doubt, a decision which 
may not be capable of execution at all or which 
may be capable only of inadequate execution. 
Unfortunately, the Security Council does not at 
present know enough about the position to be able 
to fix, in my opinion a date when the Military Staff 
Committee should make this submission to the 
Security Council. We do not know how soon the 
Military Staff Committee will be in a position to 
make these recommendations. We have not asked 
the Military Staff Committee at what time it thinks 
it will be in a position to make these first recom- 
mendations. I think perhaps it may be found, 
after consulting the Military Staff Committee, 
that they can submit them before the 30th of April. 
On the other hand, it may be found that they can 
submit them only after that date. I wonder, Mr. 
President — and this is only a question — whether 
it would not be better, first of all, to ascertain the 



^ S/P. V./104, p. 62. 
"S/P. V./105, p. 11. 
" S/P. V./1(M, pp. 87- 
" S/P. V./105, p. 36. 



facts of the situation before adopting a resolution 
of such a definite character.*' 

tAdoption of the Resolution of Fehrtuary 13, 19^7 

Debate on the various proposals for amend- 
ments ended, the Council adopted the following 
resolution by a vote of 10 to 0." The U.S.S.K. 
abstained. 

"The Security Council, having accepted the 
resolution of the General Assembly of 14 Decem- 
ber, 1946 and recognizing that the general regula- 
tion and reduction of armaments and armed forces 
constitute a most imjDortant measure for strength- 
ening international peace and security, and that 
the implementation of the resolution of the Gen- 
eral Assembly on this subject is one of the most 
urgent and important tasks before the Security 
Council, 

^^ Resolves: 

"1. to work out the practical measures for giv- 
ing effect to the resolutions of the General As- 
sembly of 14 December 1946 concerning, on the 
one hand, the general regulation and reduction of 
armaments and armed forces, and the establish- 
ment of international control to bring about the 
reduction of armaments and armed forces and, 
on the other hand, information concerning the 
armed forces of the United Nations. 

"2. to consider as soon as possible the report 
submitted by the Atomic Energy Commission and 
to take suitable decisions in order to facilitate its 
work. 

"3. to set up a Commission consisting of repre- 
sentatives of the members of the Security Council 
with instructions to prepare and to submit to the 
Security Council within the space of not more than 
three months, the proposals : 

"(a) for the general regulation and reduction 
of armaments and armed forces, and 

"(b) for practical and effective safeguards in 
comiection with the general regulation and reduc- 
tion of armaments 

"which the Commission may be in a position to 
formulate in order to ensure the implementation 
of the above-mentioned resolutions of the General 
Assembly of 14 December 1946, insofar as these 
resolutions relate to armaments within the new 
Commission's jurisdiction. 

( Continued on page 7-iS) 



740 



Department of State Bulletin 



THE COUNCIL OF FOREIGN MINISTERS 



Moscow Meeting of the Council of Foreign Ministers: 
Questions Relating to Germany 



STATEMENTS BY THE SECRETARY OF STATE 



Relation of German Coal Production to 
Economic Unity > 

The report of the Allied Control Council on the 
production and allocation of coal clearly indicates 
the vital need for economic unity. Coal is Ger- 
many's most important natural resource. The 
amount of coal produced in Germany, and the 
way this coal is allocated, greatly affects the level 
of general industrial production in Germany and 
in many other countries. So long as Germany is 
divided, the production and distribution of coal, 
as of all other resources, remains the responsibility 
of the several zone commanders. Only by treat- 
ing Germany as an economic unit can our joint 
efforts be effectively brought to bear on the coal 
problem in Germany. 

Coal production: the report points up the need 
for an increase of manpower in the mines, for 
wage adjustments, for production of mine sup- 
plies, and for better food rations, improved hous- 
ing, and other incentives for miners. From 
180,000 tons daily in September, Ruhr production 
has increased to a recent peak day of 238,000 tons. 
In spite of continuing difficulties, it is believed that 
a solid groundwork is being laid for the gradual 
recovery of coal production in the Ruhr. 

Allocation of coal : while the Control Council 
nominally allocated coal for more than a year, 
there was never a real allocation of production 
from all four zones. It has proved impossible to 
obtain Soviet agreement to include in alloca- 
tions the coal production from Soviet zone based 
on common requirements. The Soviet zone, for 
example, excluded about 700,000 tons of coal per 
month which were converted into synthetic fuel. 
Neither this coal nor the synthetic fuel it produced 
were ever subject to allocation. Actually, four- 
power allocation was being made of production 
from the three western zones only. Coal from 
the Soviet zone was bartered for hard coal from 
the Ruhr, but was never made available for gen- 
eral allocation within Germany or for exports. 



Wlien the Soviet zone commander refused to 
correct this arrangement, and insisted on unilat- 
eral determination of Soviet zone requirements, 
the four-power allocation of coal broke down. 

The solution of the coal problem depends on 
common planning and common control of both 
production and allocation for all commodities in 
short supply, including allocation of imported as 
well as indigenous resources. Coal and steel can- 
not be allocated for all four zones if food and 
fertilizer are not allocated but ti'eated as zonal 
resources. In other words, we advocate the eco- 
nomic unity of Germany and the common use of 
all of its resources, including coal. Again we urge 
all delegations to accept this fundamental princi- 
ple of the Potsdam agreement. 

Until this is agreed, there is no action we can 
take on this coal report except to note it. 

Delimitation of Scope of Proposed Four-Power 
Treaty for Germany > 

Yesterday we discussed the United States pro- 
posal for a four-power treaty to assure the contin- 
uing disarmament and demilitarization of Ger- 
many. We had proposed that treaty as a first step 
and basic step. As a first step it would dispel fear, 
which is never a wise counselor. As a basic step, 
it was simple and limited to one concrete thing, 
namely, preventing the rearmament of Germany. 

There are many aspects to the German settle- 
ment. The four-power pact is not intended to deal 
with all of these. We have not so represented it. 
If there are any illusions about this, they are not 
of our creation. But a first and basic step should 
be directed against one thing which can be identi- 
fied and which is most feared, namely, the military 
rearmament of Germany. 

It has been suggested here that the proposed 
four-power treaty should be amended to deal with 



' Made on Apr. l."!), 1947, and released to the press in 
Moscow on that date and in Washington on Apr. 16. 



April 27, 1947 



741 



THE COUNCIL OF FOREIGN MINISTBRi 

a great mass of other subjects such as the perma- 
nent regime for the Ruhr, the denazification of 
Germany, the democratization of Germany, the 
accomplishment of hind reforms, the collection of 
reparation, the elimination of cartels, et cetera. 

All these matters must be dealt with by the 
Control Council or in the ultimate peace settle- 
ment. To deal with them in the four-power treaty 
which we proposed would be totally to alter the 
scope and purpose of that treaty. Such amend- 
ments have no place in the kind of treaty we 
propose. 

Such provisions have no more place in the pro- 
posed treaty than in the series of bilateral treaties 
against German aggression which have been nego- 
tiated by the Soviet Union, all of which are simple 
and none of which contain any such provisions as 
the Soviet Union now proposes for the four-power 
treaty. The proposals, in our opinion, would 
usurp, for the four of us, peace-treaty powers 
which belong to the Allied nations as a whole. 

Yesterday I put the inquiry as to whether the 
other three powers here are prepared in principle, 
I repeat ?w principle, to negotiate quicklj' a treaty 
of the character suggested by the United States 
whereby the four of us will undertake to keep Ger- 
many disarmed. That question, I understand, has 
been answered in the affirmative by France and 
the United Kingdom. I should like to know 
whether the Soviet Delegation is willing to refer 
this matter to plenipotentiaries for negotiation on 
the basis which the United States proposed. 

Consideration of Disarmament Measures 
for Germany ^ 

A year ago at the meeting of the Council of 
Foreign Ministers in Paris, Secretary Byrnes pre- 
sented a draft of a treaty whereby the four prin- 
cipal Allied powers would undertake to work 



together to keep Germany disarmed for 25 years 
or more. That proposal was made because the 
United States is determined to take an active part 
in keeping Germany disarmed. The proposal was 
made soon after fighting stopped and before the 
German settlement was reached on the Council's 
agenda because we wanted as quickly as possible to 
dissipate fear and make it more likely that the 
peace settlements of Europe would be planned 
wisely. A year has now elapsed. There has been 
ample time for reflection. The United States Gov- 
ernment believes that the time has now come for 
the other three Allied powers to decide whether or 
not they want a four-power treaty to keep Ger- 
many disarmed. 

As regards the text, the United States has always 
recognized that study and intervening events 
would suggest the desirability of some changes in 
the first provisional diaft. I now suggest that the 
treaty might provide for periodic review of its 
terms. In particular, after the peace treaty with 
Germany becomes final, the four-power treaty 
should be reconsidered to adapt it to the provisions 
of tlie peace treaty. I also suggest that any pro- 
hibitions contained in the four-power treaty should 
be included in the peace treaty so as to bind tlie 
German state and become the law of the land in 
Germany, obligating Germans individually to obey 
and German courts to enforce. 

I have no doubt other suggestions will be made 
which can improve the text provided it is kept 
simple and clearly just. However, I do not ask 
the Council now to involve itself in considering 
texts. The decision we want is a decision as to 
whether the other three powers here want to have 
a four-power treaty to prevent the rearmament of 
Germany. If so, then I propose that we designate 
plenipotentiaries to negotiate promptly the final 
text. 



American Position on Peace Conference 



STATEMENT BY THE SECRETARY OF STATE ^ 



I 



Saturday I stated that I would make a statement 
today to clarify the American position regarding 

' Made on Apr. 14, 1SM7, and released to the press in 
Moscow on thi'.t date and in Washington on Apr. 15. 



the peace conference and answer some questions 
raised by my colleagues. 

In general our position has been that the con- 
ference should function along substantially the 



742 



Department of State Bulletin 



same lines as the Assembly of the United Nations. 
It does not seem to us that it would be proper to 
exclude any state at war with Germany from par- 
ticipation in the peace conference. While the orig- 
inal proposal of the United States provides that 
all states at war should be accorded full and equal 
rights as membei-s of the conference, the United 
States Delegation is prepared to agree that the so- 
called "two-thirds" recommendations of the con- 
ference should require not only two thirds of all 
the .states pi-esent and voting but also two thirds of 
those states present and voting which are enum- 
erated in paragraph 2 of pai't 1 of the Deputies' 
report. That is, there would be no "two-thii'ds" 
recommendation unless it was concurred in by 
two thirds of those states present and voting which 
are neighbors of Germany or which participated 
with their armed forces in the common stiuggle 
against Germany. 

Similarly, the U.S. Delegation is prepared to 
agree that the so-called "simple majority" recom- 
mendations should require not only a majority of 
all states present and voting but a majority of those 
states present and voting which are enumerated in 
paragraph 2 of part 1 of the Deputies' report. 

The United States Delegation is also prepared to 
agree that the recommendations of the peace con- 
ference should be considered by the Council of 
Foreign Ministers in drawing up the final text of 
the German treaty in the same way as the recom- 
mendations of the Paris conference on the satellite 
treaties were considered. In other words, the 
Council must take into consideration both classes 
of recommendations. While the "two-thirds" rec- 
ommendations will naturally carry gi-eater weight 
than the "simple majority" recommendations, their 
acceptance by the Council will not be obligatory 
on the Council. 

The United States Delegation has suggested that 
the German constitution should contain a clause 
directing the German Government to accept and 
ratify the peace treaty. One of the major Nazi 
attacks against the democratic representatives who 
in l)ehalf of Germany signed and accepted the Ver- 
sailles Treaty was that Germany was thus be- 
trayed by democrats. We believe that, by the con- 
stitutional procedure we suggest, responsibility for 
the acceptance of the treaty would rest on the Ger- 
man people. Under tho-se circumstances we will 
not object to the treaty being signed and ratified 
by the German Government. 



THE COUNCIL OF FOREIGN MINISTEKS 
Armaments Commission — Continued from page IJfi 

"The Commission shall submit a plan of work 
to the Council for approval. 

"Those matters which fall within the compe- 
tence of the Atomic Energy Commission as deter- 
mined by the General Assembly resolutions of 24 
January 1946 and 14 December 1946 shall be ex- 
cluded from the jurisdiction of the Commission 
hereby established. 

"The title of the Commission shall be the Com- 
mission for Conventional Armaments. 

"The Commission shall make such proposals as 
it may deem advisable concerning the studies 
which the Military Staff Committee and possibly 
other organs of the United Nations might be asked 
to undertake. 

"4. to request the Military Staff Committee to 
submit to it, as soon as possible and as a matter of 
urgency, the recommendations for which it has 
been asked by the Security Council on 16 February 
1946 in pursuance of Article 43 of the Charter, 
and as a first step, to submit to the Security Coun- 
cil not later than 30 April, 1947, its recommenda- 
tions with regard to the basic principles which 
should govern the organization of the United Na- 
tions Armed Force." ^'^ 

The Task Ahead in the Commission on 
Conventional Armaments 

In the two months which have followed the 
adoption of the resolution, the differences as to 
the relationship and precedence of international 
security or disarmament have remained. Pur- 
suant to the urgings of the United States the 
Security Council finished its considerations of the 
Atomic Energy Commission's first report and re- 
turned the problems posed therein to the com- 
mission for further study. The Commission for 
Conventional Armaments has held its first meet- 
ings, and in three months the Commission is to 
make its first report to the Security Council. The 
difficulties confronting the Commission are many 
and do not appear to be subject to swift settle- 
ment, and therefore its first report does not war- 
rant great hopes; but at least the opportunities 
of the Commission's eventual success are definitely 
enhanced by the clarification of its authority and 
objectives. 

" S/268/Rev. l/Corr. 1. 



AptW 27, J 947 



743 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Calendar of Meetings ^ 



In Session as of April 20, 1947 

Far Eastern Commission. . . . 



United Nations: 

Security Council 

Military Staff Committee . . 
Commission on Atomic Energy 



Commission on Conventional Armaments 

Trusteeship Council 

Meeting of Experts on Passport and Frontier Formal- 
ities. 
Trusteeship Council Questionnaire Committee ... 

German External Property Negotiations (Safehaven) : 

With Portugal 

With Spain 



Inter-Allied Trade Board for Japan 



Council of Foreign Ministers . . 
International Wheat Conference 



International Conference on Trade and Employment: 
Second Meeting of Preparatory Committee. 



International Red Cross Committee . 



ECITO (European Central Inland Transport Organiza- 
tion) : Seventh Session of the Council. 

ICAO (International Civil Aviation Organization): Euro- 
pean-Mediterranean Special Air Traffic Control Con- 
ference. 

Scheduled for April-June 1947 

FAO (Food and Agriculture Organization) : 

Ad hoc Salt Fish Working Party 

International Timber Conference 

Rice Study Group 

Executive Committee 



Washington . 

Lake Success . 
Lake Success . 
Lake Success . 

Lake Success . 
Lake Success . 
Geneva . . . 



Lake Success . 



Lisbon 
Madrid 



Washington 



Moscow 
London 



Geneva 

Geneva 
Paris . 



Paris 



Washington 

Marianske-Lazne, Czechoslovakia. 
Trivandrum, Travancore, India . 
Washington 



1946 



Feb. 26 

Mar. 25 
Mar. 25 
June 14 

Mar. 24 
Mar. 26 
Apr. 14 

Apr. 15 



1947 



1946 

Sept. 3 
Nov. 12 

Oct. 24 

1947 

Mar. 10- Apr. 24 

Mar. 18- 

Temporarily adjourned. 
Reconvened Apr. 14—23. 

Apr. 10 

Apr. 14-26 
Apr. 14 

Apr. 15 



Apr. 21-25 
Apr. 28-May 10 
May 15 
June 21 



• Prepared in the Division of International Conferences, Department of State. 



I 



744 



Department of State Bulletin 



Calendar oj meetings — Continued 



Fifth International Hydrographic Conference 



ILO (International Labor Organization) : 

Industrial Committee on Coal Mining 

Industrial Committee on Inland Transport 

101st Session of Governing Body 

30th Session of International Labor Conference . . . 

American International Institute for the Protection of 
Childhood: Meeting of the International Council. 

International Meeting of Marine Radio Aids to Naviga- 
tion. 

L^nited Nations: 

General Assembly: Special Session 

Committee on Progressive Development and Codifi- 
cation of International Law. 
Economic Commission for Europe: 

First Plenary Session 

Transport Session 

Economic Commission for Asia and the Far East: 

First Plenary Session 

Committee of the Whole 

Preparatory Conference of Experts on Telecommuni- 
cations. 
ECOSOC (Economic and Social Council) : 

Fiscal Commission 

Subcommission on Freedom of Information and of 
the Press. 

Subcommission on Statistical Sampling 

Economic and Employment Commission 

Human Rights Drafting Committee 



ICAO (International Civil Aviation Organization) : 

Interim Council 

Air Transport Committee 

First Meeting of General Assembly 

South American Regional Air Navigation Meeting . . 

IRO (International Refugee Organization) : Second Part 
of First Session of Preparatory Commission. 

Congress of the Universal Postal Union 

International Radio Conference 

PMCC (Provisional Maritime Consultative Council) . . 

lEFC (International Emergency Food Council): Fourth 

Meeting. 

lARA (Inter-Alhed Reparation Agency) : Meeting on 
Conflicting Custodial Claims. 

Eleventh International Congress of Military Medicine 
and Pharmacy. 

International Cotton Advisory Committee 

Caribbean Commisgion: Fourth Meeting 

UNRR A Council: Seventh Session 



Monaco 

Geneva 
Geneva 
Geneva 
Geneva 



Montevideo 



New York and New London 



Flushing Meadows 
Lake Success . . . 



Geneva 
Geneva 



Shanghai . . 
Lake Success . 
Lake Success . 



Lake Success . 
Lake Success . 



Lake Success . 
Lake Success . 
Lake Success . 



Montreal 
Montreal 
Montreal 
Lima . . 



Lausanne 



Paris . . . . 
Atlantic City 
Paris . . . . 
Washington . 

Brussels . . . 



Basel 



Washington 
Jamaica . . 
Washington 



1947 



Apr. 22 

Apr. 22 
May 6 
June 13 
June 19 

Apr. 25 



Apr. 28-May 10 


Apr. 28 


May 1 2 


May 2 


May 15 = 


June 5 ' 


June 23 » 


June 16 ' 


May 19 2 


May 19 ^ 


June 2 = 


June 2 2 


June 9 2 


Apr. 29 


April 


May 6 


June 17 



May 1 

May 6 
May 15 
May 16 
May 26-27 

May 

June 2-7 

June 9 
June 23-30 
June 



2 Tentative. 
Apti\ 27, 1947 



745 



Policy for the Revision of the Japanese Educational System ' 



Guiding Principles and Objectives 

1. Education should be looked upon as the pui'- 
suit of truth, as a preparation for life in a demo- 
cratic nation, and as a training for the social and 
political responsibilities which freedom entails. 
Emphasis should be placed on the dignity and 
worth of the individual, on independent thought 
and initiative, and on developing a spirit of in- 
quiry. The inter-dependent character of inter- 
national life should be stressed. The spirit of 
justice, fair play, and I'espect for the rights of 
others, particularly minorities, and the necessity 
for friendship based upon mutual resi^eot for 
people of all races and religions, should be em- 
phasized. Special emphasis should also be placed 
on the teaching of the sanctity of the pledged word 
in all human relations, whether between individ- 
uals or nations. Measures should be taken as 
rapidly as possible to achieve equality of educa- 
tional opportunity for all regardless of sex or 
social position. The revision of the Japanese 
educational system should in large measure be 
undertaken by the Japanese themselves and steps 
should be taken to carry out such revision in ac- 
cordance with the principles and objectives set 
forth in this paper. 

Training, Recruitment, and Conditions of Service of 
Teachers 

2. Those teachers and other educational officials 
whose record shows them to have been pronounced 
exponents of ultra-nationalistic, militaristic, or 
totalitarian ideas, should be forbidden to teach 
or engage in other employment connected with 
education. 

3. Short refresher courses and vacation schools 
for teachers should be opened, so far as possible, 
in order to train them in democratic ideas. 

4. The development of modern techniques of 
teaching should be encouraged and opportunities 
should be provided for teachers to become ac- 



' Policy decision approved b.y the Far Eastern Commis- 
sion on Mar. 27, 1947, and released to the press on Apr. 11. 
A directive based upon this decision has been forwarded to 
the Supreme Commander for the Allied Powers for imple- 
mentation. 



quainted with these techniques. In this connec- 
tion, regard should be had to the value of afford- 
ing teachers opportunities of transferring from 
one institution to another. 

5. As a corrective to the regimented and limit- 
ing nature of normal-school training in the past, 
and to provide teachers with aims and techniques 
in harmony with the objectives of the occupation, 
special emphasis should be placed upon the reor- 
ganization of normal schools and the establish- 
ment of teacher-training institutes staffed with 
the most competent instructors available for in- 
culcating democratic principles. Endeavors 
should be made to increase the proportion of 
teachers who have had a university training. 

6. The teaching profession should be recog- 
nized as of vital importance to the future welfare 
and democratic development of the nation, and its 
economic status should be improved to a degree 
commensurate with this importance. Considera- 
tion should be given to the establishment of salary 
scales affording all teachers a reasonable standard 
of living according to their abilities, qualifications, 
and responsibilities without the necessity of sup- 
plementing their income from outside sources. A 
basic living wage should be guaranteed for all 
teachers, with increases according to their quali- 
fications. 

Textbooks, Curricula, and Teacfiing Methods 

7. Teaching of ultra-nationalism, state Shin- 
toism, veneration of the Emperor, exaltation of 
the state over the individual, and race superiority, 
should be eliminated from the educational system. 

8. Textbooks and othei' reading material that 
contain such ideas as those outlined above .should 
be withdrawn from use in schools. New textbooks 
should be issued which give an understanding of 
progressive ideas. Foreign books should be made 
available, especially in central libraries, and for 
teachers. These objectives should be given due 
weight when allocations of paper supplies and im- 
ports of foreign publications are made. 

9. Courses in social sciences, civics, constitu- 
tional law and government, current events, world 
affairs, and international cooperation should be 



746 



Deparfmenf of State Bulletin 



made an integral part of the educational system 
at appropriate levels of teaching. 

10. Teaching of military subjects should be to- 
tally forbidden in all educational institutions. 
The wearing by students of military-style uni- 
forms should be forbidden. Classical sports such 
as kendo, which encourage the martial spirit, 
should be totally abandoned. Physical training 
should no longer be associated with the seishin 
kyoiku. Greater emphasis should be placed on 
games and other recreational activities than on 
pure calisthenics and drill. If former servicemen 
are employed as drill instructors, or in connection 
with physical training or sport, they should be 
carefully screened. 

11. Imperial rescripts should not be used as a 
basis of instruction, study, or ceremonies in 
schools. 

12. Independent thinking on the part of teach- 
ers and students should be encouraged. 

13. Uniform minimum standards should be pi-e- 
scribed for the different levels of instruction in 
all the schools of Japan, whether public or private. 

Adult Education 

14. Adult education should be promoted rapidly 
by the use of all suitable facilities such as evening 
classes, university extension courses, the radio, the 
cinema, and libraries. 

Vocational Education 

15. Japanese youth should be provided with 
opportunities for varied vocational training and 
guidance and appropriate organizations for this 
purpose. 

Educational Administration and Finance 

16. The Japanese Government should seek ad- 
vice from representatives of all walks of life either 
through a non-official advisory council or other- 
wise. 

17. The Japanese Government should exercise 
such control over the education system as will en- 
sure the achievement of the objectives of the occu- 
pation, particularly the reforms called for by 
this policy decision. Subject to the foregoing, 
and to maintenance of standards prescribed by 
the Government, the responsibility for the local 
administration of educational establishments 
should in due time be decentralized. Japanese 



xcr/v(n£s and dbvelopments 

parents and citizens should be encouraged to feel 
a sense of individual responsibility for the achieve- 
ments of the objectives set out in paragraph 1. 
Where practicable they should be associated with 
the control, development, and work of the schools 
and other educational institutions. 

18. The plans enumerated in this paper should 
be closely correlated with the reforms in the social, 
economic and political life of the nation. In the 
implementation of the educational policies outlined 
above, funds should be allocated for all essential 
educational reform commensurate with the needs 
and resources of the nation. 

19. In order that educational standards in poor 
districts should not be lowered by the inability 
of some local bodies to provide sufficient finance 
from local revenue, finance for education should 
come for the most part from the national govern- 
ment, which should be responsible for the mainte- 
nance of an adequate level of education through- 
out Japan. Local and private bodies should be 
encouraged to supplement these funds provided by 
the national government. 

General 

20. Free and compulsory education should be 
provided for all Japanese children for a mini- 
mum period of six years and should be extended 
to higher age groups as rapidly as posssible. 

21. More opportunities should be provided for 
higher education. 

22. Equal opportunity for both sexes should be 
provided at all levels of education — primary, sec- 
ondary, and tertiary. 

23. Encouragement should be given to the for- 
mation and reorientation of educational associa- 
tions, parent-teacher associations; and to assist 
in making the Japanese people aware of the sig- 
nificant changes in the direction of education in a 
democratic Japan, such groups should be encour- 
aged to consider practical problems of education. 

24. Discrimination against the graduates of 
jirivate schools in civil service appointments should 
be eliminated, provided the schools in question 
conform to educational standards laid down for 
the public educational system. 

25. Educational institutions of foreign founda- 
tion in Japan have played a useful part in the past 
ill widening and deepening the scope of Japanese 
education, and should be given equal rights to 
those of Japanese institutions in future. 



April 27, 1947 



747 



ACTIVITIES AND DEVBLOPMBNTS 

U.S. DELEGATION TO TIN STUDY GROUP 

[Released to the press April 16] 

A United States Delegation met in Brussels 
April 15-18 to participate in forming an Inter- 
national Tin Study Group. 

It was agreed at the World Tin Conference 
convened at London in October 1946 that such a 
study group was needed in order to maintain con- 
tinuous intergovernmental review of the world tin 
situation. The governments o^ the following 
countries were represented at London and have 
formally agreed to participate in a Tin Study 
Group: Belgium, Bolivia, China, France, the 
Netherlands, Siam, the United Kingdom, and the 
United States. 

The members of the United States Delegation 
were as follows : 

Delegate 

Donald D. Kennedy, Chief, International Resources Divi- 
sion, Office of International Trade Policy, Department 
of State 

Advisers 

Karl L. Anderson, Assistant Chief, International Resources 
Division, Office of International Trade Policy, Depart- 
ment of State 

H. C. Bugbee, AttacW American Embassy, London 

John J. Croston, Deptty Director, Metals and Minerals 
Division, Civilian Production, Office of Temporary 
Controls 

Carl Ilgenfrltz, Vice President, Purchases, United States 
Steel Corporation, Wilmington, Delaware 

Charles W. Merrill, Chief, Metal Economics Division, 
Bureau of Mines, Department of the Interior 

U.S. DELEGATION TO PREPARATORY WORLD 
CONFERENCE ON PASSPORTS 

[Released to the press April 14] 

A United States Delegation is attending a prep- 
aratory meeting in Geneva, Switzerland, which 
opened on April 14, on a projected World Con- 
ference on Passports and Frontier Formalities, the 
Department of State announced on April 14. 

The Delegation is as follows : 

Delegate 

George Talt, Counselor of Embassy, London 

Advisers 

John H. Madonne, Consul, Bern, Switzerland 

Herbert A. Wilkinson, Office of International Trade, De- 
partment of Commerce 

Ernest E. Salisbury, Immigration and Nationalization 
Service, Department of Justice 

James H. Mann, U.S. Treasury Representative, Bern, 
Switzerland 



Donald J. McGrew, U.S. Treasury Representative, Bern, 

.Switzerland 
Robert P. Terrill, Division of International Resources, 

Department of State 

The Transport and Communications Commis- 
sion of the United Nations Economic and Social 
Council recommended in May 1946 to the Council 
that a world conference on passports and frontier 
formalities be held as soon as possible. The Second 
Session of the Economic and Social Council (May 
1946) and the International Conference of Na- 
tional Tourist Organizations (October 1946) 
passed resolutions recommending the convening of 
a conference of experts to prepare for this world 
conference. At its Third Session (September- 
October 1946), the Council requested the Secre- 
tary-General to prepare an agenda for the meeting 
of experts. 

The meeting will make recommendations regard- 
ing a world conference for the simplification of 
documents and formalities which have developed 
since World War I in connection with non-immi- 
grant travel. The experts will consider recommen- 
dations of the Provisional International Civil 
Aviation Organization, the International Confer- 
ence of National Tourist Organizations, and the 
International Chamber of Commerce. 

The agenda is expected to include such items as : 
compulsory passport requirement, simplification of 
passport systems, duration and extent of validity 
of passports, cost, formalities for obtaining pass- 
ports, visa requii'ements, control of exchange at 
frontiers, health and immigration requirements, 
and customs inspection. 

U.S. DELEGATION TO PREPARATORY 
COMMISSION OF IRO 

[Released to the press April 15] 

The Acting Secretary of State announced on 
April 1.5 that George L. Warren, designated by 
the President as United States Representative on 
the Preparatory Commission of the International 
Refugee Organization, together with William O. 
Hall and David Persinger of the Department of 
State as Advisers, will constitute the United States 
Delegation to the Second Part of the First Meet- 
ing of the Preparatory Commission of the IRO 
scheduled to meet at Lausanne, Switzerland, on 
May 1, 1947. 

In December 1946 the General Assembly of the 
United Nations approved, and the Secretary-Gen - 



748 



Department of State Bulletin 



eral opened for signature, the constitution of the 
IRO. The First Part of the First Session of the 
Preparatory Commission was held at Geneva, 
Switzerland, on February 11-12, 1947. 

The IRO is designed to assist about 850,000 refu- 
gees and displaced persons either to return to 
their countries of origin or to find new homes 
elsewhere. The United States, besides having 
signed the constitution of the IRO, is also a signa- 
torj' to the agreement establishing the Prepara- 
tory Commission and therefore a member of the 
commission. 

The agenda for the Second Part of the First 
Meeting of the Commission includes problems i"e- 
lating to the constitution of the Intei-national Ref- 
ugee Organization as well as the Organization's 
program for the first year. 

AMERICAN DELEGATION TO INTERNATIONAL 
RADIO CONFERENCE 

[Released to the press April 16] 

The Department of State announced on April 
16 that there will be convened at Atlantic City on 
May 15, 1947, an International Radio Conference, 
which will be attended by almost all the govern- 
ments of the world. Its objective will be a com- 
plete revision of the existing international Gen- 
eral Radio Regulations adopted at Cairo in April 
1938. At the same place on July 1, 1947, an In- 
ternational Plenipotentiary Telecommunications 
Conference will be convened for the purpose of 
revising the international telecommunication con- 
vention which was adopted at Madrid in 1932. 
Following the International Radio Conference, 
there will be held in Atlantic City an International 
High Frequency Broadcasting Conference to 
settle outstanding questions in the field of world 
short-wave broadcasting. These three conferences 
are being convened by the Government of the 
United States in view of the extreme urgency of 
resolving many telecommunications problems re- 
sulting from the dislocations of the war and the 
rapid wartime advancements in the telecommuni- 
cations art. 

The President appointed on April 16 the chair- 
men of the three American Delegations which will 
represent the United States at these conferences : 



ACTIVITIBS AND DSVELOPMENT5 

For the International Radio Conferetice : 

Charles R. Denny, Jr., Chairman of the Federal 
Communications Commission 

For the International Plenipotentiary Telecoin- 

inunications Conference : 

Garrison Norton, Assistant Secretary of State for 
transport and communications 

For the International High Frequency Broadcast- 
ing Conference : 

William Benton, Assistant Secretary of State for 
public aifaii-s 

The vice chairmen of these three conferences will 
be named at a later date. 

MILTON EISENHOWER NAMED U.S. MEMBER ON 
UNESCO EXECUTIVE BOARD 

Milton Eisenhower, president of Kansas State 
College, has been named United States Member 
of the Executive Board of UNESCO, the Depart- 
ment of State was informed on April 15. 

Mr. Eisenhower, brother of Gen. Dwight D. 
Eisenhower and chairman of the United States 
National Commission for UNESCO, was elected 
unanimously by the Executive Board meeting in 
Paris. He succeeds Archibald MacLeish, who 
resigned from the Board on April 14 because of the 
press of personal affairs. 

Mr. Eisenhower will succeed Mr. MacLeish on 
May 1 on the UNESCO Executive Board in Paris. 

ITALY, SYRIA, AND LEBANON SIGN ARTICLES 
OF AGREEMENT OF BANK AND FUND 

The articles of agreement of the International 
Monetary Fund and the articles of agreement of 
the International Bank for Reconstruction and 
Development (Bretton Woods agreements) were 
signed and accepted by Italy on March 27, 1947, 
and by Syria on April 10, 1947, and were accepted 
by Lebanon on April 11, 1947, and signed by that 
country on April 14. 

The number of countries which have become 
parties to the agreements has now reached forty- 
four. 



April 27, 1947 



749 



THE RECORD OF THE WEEK 



Control of Exportation and Importation of Arms, Ammunition, 
and Implements of War 



THE PRESIDENT'S MESSAGE TO THE CONGRESS 



To the Congress of the United States: 

I transmit herewith a proposal for legislation 
to authorize supervision of the exportation of 
arms, anununition, implements of war and related 
commodities, and the importation of arms, ammu- 
nition, and imiilements of war ; to provide for the 
registration, under certain conditions, of manufac- 
turers, exporters, importers, and certain dealers 
in munitions of war; and to provide for obtaining 
more adequate information concerning the inter- 
national traffic in arms.^ The principal purpose 
of this proposal is to supersede the present provi- 
sions of law in Section 12 of the Neutrality Act 
of November 4, 1939. For the reasons outlined 
below it is believed that the Congress will agree 
that this section of the present law is particularly 
ineffective in dealing with current problems and 
that the Congress will wish to take prompt action 
to enact a new law along the lines proposed herein. 
Section 12 of the Neutrality Act provides for : 
the establislunent of a National Munitions Con- 
trol Board; the administration of the provisions 
of that section by the Secretary of State ; the regis- 
tration of those engaged in the business of manu- 
facturing, importing or exporting arms, ammu- 
nition, and implements of war; the conditions 
under which export and import licenses may be 
issued; the reports which the National Munitions 
Control Board shall make to the Congress; and the 
determination by the President of what articles 
shall be considered arms, ammunition, and imple- 



' ¥nv a report to the President from the National Muni- 
tions Control Board, see H. Doc. 195, 80th Cong. 



mcnts of war. Reports of the activities carried 
on by the Department of State pursuant to Sec- 
tion 12 for the years 1941 to 1946, inclusive, have 
been submitted to assist the Congress in its con- 
sideration of the legislation now suggested. Op- 
erations prior to 1941 are contained in the first 
to sixth Annual Eeports of the National Muni- 
tions Control Board. 

The proposed legislation contemplates continu- 
ing certain of the essential aspects of Section 12 
of the Neutrality Act, particularly those pertain- 
ing to the administrative framework of the con- 
trols now exercised. However, it is different in 
its objective and it proposes a more flexible and 
efficient administration. 

The present system of supervising this coun- 
try's international traffic and trade in arms and 
munitions of war was conceived during a period 
of neutrality and with the view to remaining out 
of war. To achieve this end the successive Neu- 
trality Acts of 1935, 1937, and 1939 were founded 
on the principle of unpartiality toward all who 
would secure munitions from us regardless of their 
motives. As long as Section 12 of the Neutrality 
Act is in effect that requirement of impartiality 
is still the law and the Secretary of State must 
treat aggressor and aggrieved, peacemaker and 
troublemaker equally by granting every applica- 
tion for a license for the exportation of any arms, 
ammunition, or implements of war unless such ac- 
tion would be in violation of a treaty. Such a 
provision of law is no longer consistent with this 
courUtry^s commitments and reqmrem^nts. W>e 



750 



Department of State Bulletin 



have committed oui'selves to international coopera- 
tion through the United Nations. If this partici- 
pation is to be fully effective this Government mitst 
have control over traffic in weapons which loill per- 
mit us to act in accordance with our position in the 
United Nations and loill he adaptable to changes 
in the international situation. Therefore, there 
must be new legal provisions enabling the exercise 
of discretion in the granting or rejecting of appli- 
cations for export or import licenses for arms, am- 
munition, and implements of war and related 
items. 

Weapons and implements of war are material 
weights in the balances of peace or war and we 
should not be legally bound to be indiscriminate 
in how they are placed in the scales. If war should 
ever again become imminent, it would be intoler- 
able to find oui-selves in our present position of 
being bound bj- our own legislation to give aid 
and support to any power which might later at- 
tack us. The proposed legislation is designed to 
permit in normal times of peace conti'ol over traf- 
fic in arms or other articles used to supply, directly 
or indirectly, a foreign military establishment, and 
in times of international crisis, to permit control 
over any article the export of which would affect 
the security interests of the United States. 

The exercise of discretion necessarily requires a 
revision of the administration of the controls pres- 
ently in operation. The suggested legislation pro- 
vides for the exercise of discretion in the types of 
licens&s which may be used, and in determining 
the activities which may be subject to registration. 
The new proposal differs from Section 12 in as 
much as it permits the issuance of various types 
of licenses designed to take into account under 
what circumstances and in what quantities the ex- 
port of the articles covered by the proposed bill 
should be subject to control. The purpose of this 
procedure is to permit freedom of trade in items 
of a purely connnercial nature. 

With regard to the registration requirements it 
should be noted that under the present law any- 
one engaged in manufacturing, exporting or im- 
porting any of the articles defined as arms, am- 
munition or implements of war must register with 
the Secretary of State, whether the item handled 
by that person is a battleship or merely a .38 caliber 
pistol. Under the new proposal the President 
upon recommendation of the National Munitions 
Control Board may determine when the manu- 



THE RECORD OF THE Vlll*. 

facture, exportation or importation of any desig- 
nated arms, ammunition, and implements of war 
shall require registration. This will mean that 
consideration may be given to the relative militarj' 
significance of the item handled. 

Another important change provides for obtain- 
ing fuller information which will be made avail- 
able to the Congress in the reports of the National 
Munitions Control Board. With a luimber of agen- 
cies of this Government actively concerned with 
the disposal of arms and i-elated items, the pro- 
posed legislation will allow for the amalgamation 
of all such information into one comprehensive 
report. 

In addition to the foregoing, the proposed legis- 
lation differs from Section 12 of the Neutrality 
Act by providing export controls over two addi- 
tional categories; namely, (1) articles especially 
designed for or customarily used only in the manu- 
facture of arms, ammunition and implements of 
war and (2) articles exported for u.se, directlj' 
or indirectly, by a foreign military establishment. 

With regard to item (1) it is certainly unsound 
to endeavor to regulate traffic in arms and ammuni- 
tion and pennit a free flow of tlie special machin- 
ery and tools used in the production of those arms 
and anamunition. In the absence of such a provi- 
sion those countries from whom munitions are 
withheld would soon seek and obtain the equip- 
ment with which to supply themselves. 

In the interest of world peace articles supplying 
a foreign military establishment cannot be left 
free from Government supervision so far as ex- 
ports are concerned. Prior to the last war there 
were no provisions for controlling articles supply- 
ing foreign military establishments. This condi- 
tion must not be allowed to recur. The proposed 
legislation is consistent with the international 
trade policies I outlined a short time ago at Waco. 
Texas. It is designed to protect the security inter- 
ests and to carry out the foreign policy of the 
United States. 

There is one other aspect of the suggested legis- 
lation which warrants connnent. At present there 
is no provision for supervising the activities of 
those persons who do not manufacture, import or 
export arms, ammunition, and implements of war, 
but who, as free agents, buy or sell these items for 
export, or who obtain commissions or fees on con- 
tracts for manufacture or exportation of such 
items. These brokers assume none of the respon- 



l^ptW 27, J 947 



751 



THE RECORD OF THE WEEK 

sibilities of this important traffic, yet they pro- 
mote it, often irresponsibly, and need only con- 
cern themselves with the profits to be found in the 
trade. It is scarcely fair to those who have the 
responsibility of carrying on what experience has 
shown to be a legitimate business, that such people 
should not be subject to regulation. 

The international traffic in munitions and re- 
lated items is a matter of major concern to us and 
to the other nations of the world. By such legis- 
lation as is now proposed for consideration by 
the Congi-ess, the Government would be given 
powers essential for the safeguarding of its secu- 
rity interests in this international trade. 

Haert S. Truman 

The White House, 
April 15, 1947. 

The text of the proposed legislation submitted 
hy the President with his message to the Congress 
follows 

DBAFT OF A BILL 

To control the exportation and Importation of arms, 
ammunition, and implements of war, and related 
items, and for other purposes. 

Be it enacted hy the Senate and Honse of Repre- 
sentatives of the United States of America in Con- 
gress Assembled: 

Sec. 1. That there is hereby established a Na- 
tional Munitions Control Board (hereinafter re- 
ferred to as the "Board") . The Board shall con- 
sist of the Secretary of State, who shall be chair- 
man and executive officer of the Board, the Secre- 
tary of War, the Secretary of the Navy, and the 
Secretary of Commerce. 

Sec. 2. Except as otherwise provided in this Act, 
the Administration of this Act is vested in the 
Secretary of State. The Secretary of State shall 
make such rules and regulations with regard to 
the enforcement of this Act as he may deem neces- 
sary to carry out its provisions; but the regula- 
tions, issued on June 2, 1942, by the Secretary of 
State (7 F.R. 4216; Title 22, Chapter II, Sub- 
chapter D of the Code of Federal Regulations) 
governing registration and licensing under sec- 
tion 12 of the joint resolution of Congress ap- 
proved November 4, 19.39, shall, until amended or 
revoked by the Secretary of State, have full force 
and effect as if issued under the authority of this 
Act. 



CONTROL OF EXPORTS 

Sec. 3. The President is hereby authorized to 
designate from time to time, upon the recommen- 
dation of the Board, such of the following as he 
determines must be subject to the export licensing 
requirements of section 4 of this Act in order to 
protect the security interests or carry out the for- 
eign policy of the United States : 

(a) Arms, ammunition, and implements of war 
and articles especially designed for, or customarily 
used only in, the manufacture of arms, ammuni- 
tion, or implements of war. 

(b) Articles which he determines are being, or 
are proposed to be, exported for use directly or 
indirectly by a foreign military establishment. 

(c) In time of war or in the event of an emer- 
gency in international relations declared by Con- 
gress or declared in the manner now or hereafter 
authorized by law, any article the export of which 
would affect the security interests of the United 
States. 

Seo. 4. (a) Without first having obtained a 
license therefor it shall be unlawful for any person 
to export, or attempt to export, from the United 
States to any other country any articles designated 
by the President under the authority of section 3 
of this Act. 

(b) The Secretary of State shall issue such li- 
censes unless he determines that the proposed 
export would not be in aceord with the foreign 
policy or the security interests of the United States 
and with the standards set forth in section 3 of 
this Act. Such licenses may be either general or 
specific. The Secretary of State is authorized to 
revoke any license under the same standards as 
govern the issuance of such license. A valid li- 
cense issued under the authority of section 12 of 
the joint resolution of Congress approved No- 
vember 4, 1939, shall be considered to be a valid 
license issued under this section, and shall remain 
valid, unless specifically cancelled or revoked by 
the Secretary of State, for the same period as if 
this Act had not been enacted. 

(c) The Secretary of State shall develop such 
procedures for disseminating information as to the 
licensing policies to be followed under this section 
as he may deem necessary to enable manufacturers 
and exporters of articles designated under section 
3 of this Act to plan legitimate commercial trans- 
actions, but he shall not be required to disclose any 



752 



Department of State Bulletin 



information if in his opinion such disclosure would 
be contrary to the national security. 

(d) In fornuilating the policies governing the 
licensing authority granted in this section, the 
Secretary of State shall act after consultation with 
the Board. 

CONTROL OF IMPORTS 

Sec. 5. The President is hereby authorized to 
designate from time to time, upon recommenda- 
tion of the Board, those arms, ammunition, and 
implements of war which he determines must be 
subject to the import licensing requirements of 
section 6 of this Act in oi-der to protect the security 
interest or carry out the foreign policy of the 
United States. 

Sec. 6. (a) Without first having obtained a 
license therefor it shall be unlawful for any person 
to import, or attempt to import, into the United 
States from any other country any arms, ammuni- 
tion, or implements of war designated by the Presi- 
dent under the authority of section 5 of this Act. 

(b) The Secretary of State shall issue such li- 
censes unless he determines that the proposed im- 
port would not be in accord with the foreign policy 
or the security interests of the United States and 
with the standards set forth in section 5 of this 
Act. Such licenses may be either general or 
specific. The Secretary of State is authorized to 
revoke any license under the same standards as 
govern the issuance of such license. A valid li- 
cense issued under the authority of section 12 of 
the joint resolution of Congi-ess approved Novem- 
ber 4, 1939, shall be considered to be a valid license 
issued under this section and shall remain valid, 
unless specifically cancelled or revoked by the 
Secretary of State, for the same period as if this 
Act had not been enacted. 

(c) In formulating the policies governing the 
licensing authority granted in this section the 
Secretary of State shall act after consultation with 
the Board. 

REGISTRATION 

Sec. 7. The President is hereby authorized to 
designate from time to time, upon the recommen- 
dation of the Board, those arms, ammunition and 
implements of war the manufacture, exportation 
or importation of which he determines must be 
subject to the registration requirements of sections 

April 27, 1947 

740187—47 4 



TH£ RECORD OF THE WEEK 

8 and 9 of this Act in order to protect the security 
interests or carry out the foreign policy of the 
United States. 

Sec. 8. (a) Every person who engages in the 
business of manufacturing, exporting, or import- 
ing any arms, ammunition, or implements of war 
designated by the President under the authority of 
section 7 of this Act, shall register with the Secre- 
tary of State, his name or business name, principal 
place or places of business in the United States and 
in any foreign country, the names of his agents or 
sales representatives in any foreign country, a list 
of the arms, ammunition, and implements of war 
manufactured, exported, or imported by him and 
such other pertinent information as the Secretary 
of State may prescribe in the regulations issued 
under the authority of section 2 of this Act. 
Every person required to register under this sec- 
tion shall notify the Secretary of State of any 
change in the information required under this 
section. 

(b) Every person required to register under the 
provisions of section 8 (a) of this Act shall pay a 
registration fee of $100. Upon receipt of the in- 
formation required under tlie provisions of sec- 
tion 8 (a), and of the registration fee, the Secre- 
tary of State shall issue to such person a registra- 
tion certificate valid for five years, which shall be 
renewable for further periods of five years upon 
the payment for each renewal of a fee of $100 ; but 
certificates of registration issued under the author- 
ity of section 12 of the joint resolution of Congress 
approved November 4, 1939, shall, without pay- 
ment of any additional fee, be considered to be 
valid certificates of registration under this Act 
and shall renaain valid for the same period as if 
this Act had not been enacted. 

(c) Ajiy person, who, having registered imder 
the provisions of section 8 (a), ceases to engage in 
tlie business of manufacturing, exporting, or im- 
porting arms, ammunition, or implements of war, 
may so notify the Secretary of State, and upon 
surrender of his certificate of registration there 
shall be refunded to him the sum of $20 for each 
full year remaining in the period of validity of 
his certificate. 

(d) All persons required to register under sec- 
tion 8 (a) shall maintain, subject to the inspection 
of the Secretary of State, or any person or persons 
designated by him, such permanent records of 
transactions pertaining to the manufacture, expor- 



753 



THE RECORD Of THE WBBK 

tation or importation of arms, ammunition, or 
implements of war as the Secretary of State shall 
prescribe by regulations issued pursuant to the 
authority of section 2 of this Act. 

Sec. 9. (a) Every person not required to reg- 
ister under the provisions of section 8 (a), who is 
engaged or engages in buying or selling for export 
or import or offering to buy or sell for export or 
import any arms, ammunition, or implements of 
war, the manufacture of which requires registra- 
tion under the provisions of section 8 (a) or for 
the expoi-t or import of which a license is required 
imder the provisions of sections 4 (a) or 6 (a), 
shall register with the Secretary of State his name 
or business name and his place or places of busi- 
ness and such other information concerning his 
business as may be required by regulations issued 
by the Secretary of State under the authority of 
section 2. The provisions of this section shall not 
apply to the representatives, agents, officers or 
employees of persons required to register under 
section 8 (a) while acting as such representatives, 
agents, officers or employees. 

(b) Every person required to register under 
the provisions of section 9 (a) shall pay a regis- 
tration fee of $100. Upon receipt of the informa- 
tion required in section 9 (a) and of the fee, the 
Secretary of State shall register such person. 
Such registration shall be valid for five years, and 
shall be renewable for further periods of five years 
upon the payment for each renewal of a fee of $100. 

(c) All persons required to register under sec- 
tion 9(a) shall maintain, subject to the inspection 
of the Secretary of State, or any person or persons 
designated by him, such permanent records of the 
activities which require their registration as the 
Secretary of State shall prescribe by regulations 
issued pursuant to the authority of section 2 of 
this Act. 

GENERAL 

Sec. 10. The Board shall make a report to Con- 
gress on March 1 of each year, copies of which 
shall be distributed as are other reports trans- 
mitted to Congress. Such reports shall contain 
such information and data collected by the Board 
as may be considered of value in the determina- 
tion of questions connected with the control of 
the trade in arms, ammunition, and implements 
of war, and other articles to which this Act relates. 
The Board shall include in such reports a list of 



all persons registered under the provisions of this 
Act, full information concerning the licenses is- 
sued hereunder, and such other information as 
the President may from time to time direct any 
officer, executive department, or independent es- 
tablishment of the Government to furnish the 
Board ; but the Board may omit any information 
the revelation of which it may deem contrary to 
the interest of the national defense or security. 

Sec. 11. (a) In every case of the violation of 
any of the provisions of this Act or of any rules 
or regulations issued pursuant thereto such vio- 
lator or violators, upon conviction, shall be fined 
not more than $10,000.00 or imprisoned not more 
than two years, or both. 

(b) Any arms, ammunition, or implements of 
war, or other articles, exported or imported or the 
export or import of which is attempted in viola- 
tion of the provisions of this Act shall be subject 
to seizure and forfeiture in accordance with the 
provisions of sections 1 to 8, inclusive, of Title VI 
of the Espionage Act of June 15, 1917 as amended 
(22 U. S. C. A. Sees. 401^08). 

(c) In the case of the forfeiture of any arms, 
ammunition, or implements of war by reason of 
a violation of this Act, no such arms, ammunition, 
or implements of war shall be sold but they shall 
be delivered to the Secretary of War; and the 
Secretary of War may order the forfeited articles 
destroyed or may retain them for the use of the 
armed forces of the United States. 

Sec. 12. For the purposes of this Act, the term 
"United States" includes the several States and 
Territories, the insular possessions of the United 
States, the Canal Zone, and the District of Colum- 
bia; the term "person" includes a partnership, 
company, association, or corporation, as well as a 
natural jierson. 

Sec. 13. If any of the provisions of this Act, or 
the application thereof to any person or circum- 
stance, is held invalid, the remainder of the Act 
and the application of such provision to other 
persons or circumstances shall not be affected 
thereby. 

Sec. 14. Section 12 of the joint resolution of 
Congress approved November 4, 1939 (54 Stat. 
10 ; 22 U.S.C. 452) and Senate Joint Resolution 
124 of January 26, 1942 (Public Law 414, 77th 
Cong., 56 Stat. 19) are hereby repealed; but 
offenses committed and penalties or liabilities in- 
{Continued on page 764) 



754 



Department of State Bulletin 



Post-UNRRA Relief Program 



STATEMENT BY ACTING SECRETARY ACHESON 



On February 21, 1947, the President recom- 
mended that the Congress authorize the appro- 
priation of 350 million dollars to assist in com- 
pleting the task of bringing relief to the people 
of the liberated countries. This is a matter of 
the gi'eatest urgency. We are coming perilously 
close to the day when, if we do not procure and 
ship food to certain of these countries, the pipe 
lines will be broken, and even the present meager 
rations will not be able to be maintained. For 
example, after April 30 no food shipments are in 
sight for Austria except as the Army may be able 
to divert some from its program for Germany or 
other occupied areas, and for Greece only two 
shiploads — the last arranged for through 
UNKRA — are available. Other countries are only 
slightly better off. 

Great progress has been made by the devastated 
countries in their struggle to return to a normal 
life. We can be justly proud of the part which 
we have played in helping to keep these people 
alive and in giving them the strength to rebuild 
their shattered economies. Yet the task is not 
quite finished. A few of the liberated countries 
are not yet able to stand alone without outside as- 
sistance. If we do not help in the completion of 
the relatively small part of the task still remain- 
ing, much of the work already done will have been 
fruitless. 

The General Assembly of the United Nations 
on December 11, 1946, passed a resolution which 
recommended that post-UNRRA relief needs be 
met through direct arrangements between the in- 
dividual contributing coimtries and the recipient 
countries. The resolution urged all members to 
assist in meeting those needs, recommended in- 
formal consultation among members of the United 
Nations to coordinate their respective relief pro- 
grams, and established a Technical Committee to 
analyze relief needs for 1947 following the termi- 
nation of UNHRA shipments. This plan was 
urged by the United States as being more efficient 
and better suited to handle the remaining prob- 



lem than a contmuation of UNRRA or some other 
United Nations operating body. We have coop- 
erated fully in the work of the Technical Com- 
mittee and in consultations with other members 
which have been arranged by the United Nations 
Secretariat. 

During the past several months we have made 
careful studies as to the extent of relief needs, 
utilizing the information and experience of the 
various Departments of the Government and of 
our Missions abroad. Extensive on-the-spot sur- 
veys have been made by personnel of these Mis- 
sions and we are constantly receiving up-to-date 
information concerning economic and agricultural 
developments in these countries. We have fully 
considered the findings of the United Nations 
Technical Committee, although in some respects 
our conclusions differ from theirs. Our calcula- 
tions and those of the Technical Committee both 
cover needs for the calendar year 1947, making 
allowance for UNRRA shipments in the early 
part of the year. 

Our studies indicate that the total needs for 
basic relief in 1947, following the termination of 
UNRRA shipments, amount to approximately 
600 million dollars. Austria, Greece, Hungary, 
Italy, and Poland are the countries which appear 
to need assistance, and China will probably have 
emergency needs for food imports to prevent suf- 
fering and starvation in certain areas. These 
studies are being kept under continuous review. 

Other countries which have heretofore been re- 
ceiving assistance from UNRRA will not, accord- 
ing to our calculations, require further relief. The 
relief needs have been calculated on a minhnum 
basis and include no requirements for rehabilita- 
tion or reconstruction. In making our estimates 
we first determined the essential imports required 
to supplement the supplies produced locally, in 



^ Made before the Senate Committee on Foreign Rela- 
tions on Apr. 15, 1947, and released to the press by that 
committee on the same date. 



April 27, 1947 



755 



THE RECORD OF THE WEEK 

order to feed the people at a level of 2,000 to 2,200 
calories and to prevent economic retrogi'ession 
which would threaten the supply of the basic essen- 
tials of life. We then deducted from the cost 
of these minimum imports the total resources avail- 
able to each country which could be utilized to 
pay for them, including current earnings of for- 
eign exchange and existing and anticipated foreign 
loans and credits. The difference respresents the 
extent of the relief need. 

I should point out here that the strictly relief 
aid to Greece which is contemplated under tliis 
bill constitutes an indispensable foundation for 
the other and more extensive program of economic 
assistance which would be provided under the 
bill recently reported by this committee for aid 
to Greece and Turkey. There is no duplication 
involved in the two. The assistance to Greece in- 
cluded in the other bill involves a program of re- 
construction and rehabilitation which can be ef- 
fectively undertaken only after the basic relief 
needs have first been met. 

The 350 million dollars which is requested repre- 
sents approximately 58 percent of the estimated 
total need as compared with our contribution of 
72 percent to the resources of UNRRA. Although 
there are no definite assurances as to the total 
amount which will be made available by other 
countries we are hopeful that the additional needs 
will be met from such sources. The British have 
promised the equivalent of 40 million dollars for 
Austria; the Norwegian Parliament has voted 15 
million kroner (3 million dollars) for relief in 
Poland, Finland, Austria, and Greece; and the 
Danes have stated they plan to contribute about 
4 million dollars' worth of relief supplies. It has 
been reported that the U.S.S.R. is making an 
advance of gold in the amount of 27.5 million 
dollars to Poland which, according to the report, 
can be used at least in part to procure essential 
supplies included in the minimum Polish import 
program. We believe that a number of other 
contributions may be forthcoming when a deci- 
sion is reached in regard to our own program. 

I should like here to emphasize a point which 
we consider to be of fundamental importance. 
We believe it would be a mistake to determine 
finally at this time the total amount we would 
allocate to any country from our contribution. 
The relative needs of the various countries should 
be appraised continuously over the ensuing months 



and specific programs approved from time to time 
in the light of current data. In addition, we do 
not now have complete informaton as to the pro- 
grams of other contributors and we should be 
in a position to cooperate with them and to adjust 
our program in the light of their contributions 
to the various needy countries. If a total amount 
from our contribution were now announced for 
each recipient country even on a tentative basis, 
the people in the country would tend to assume 
that they had a vested interest or right to this 
particular amount. This problem has existed in 
the case of UNREA where we have found that any 
attempt to adjust previously announced programs 
to take account of changing needs has caused 
resentment and consequent embarrassment. 

I should like to state briefly the reasons why 
we have included Poland in the list of potential 
recipient countries. This is done solely to be in 
a position to help in preventing suffering and 
serious malnutrition to the extent that our assist- 
ance is clearly needed for this purpose. We are 
not proposing a progi-am of reconstruction or aid 
to the regime in Poland. We have subscribed to 
the resolution of the General Assembly of the 
United Nations which states the principle that at 
no time should relief supplies be used as a political 
weapon and calls upon all members of the United 
Nations to assist in the furnishing of relief when 
needed and where needed. Moreover, it seems 
to me wholly in keeping with our traditions to 
furnish relief where needed and, providing we can 
be sure it will not be misused, to alleviate the suf- 
ferings of human beings, whatever our opinion 
of the government under which they live. Our 
help would be made available only on the condition 
that the Government of Poland agrees to the 
stringent but fair conditions we would lay down 
for all countries and lives up to these conditions 
faithfully. These conditions, which I shall dis- 
cuss in a moment, are calculated to provide ade- 
quate assurance that relief aid would reach the 
people needing it and would not be used to pro- 
mote the political aims of the Government. Fur- 
thermore, the requirements for full publicity in 
the country would insure that the people would 
know the American source of the help and would 
understand its purposes. Thus we would main- 
tain the ties of friendship between our people 
and the people of Poland and demonstrate to 
them that we have not forgotten them. 



756 



Department of State Bulletin 



I believe that the resolution being considered by 
the committee establishes adequate guaranties that 
relief supplies will be administered under firm 
American control and that this control will be 
exercised to the end that the supplies are shipped 
where they are needed and are used within the 
receiving countries in a manner consistent with 
the humanitarian purposes of this resolution. It 
is provided that the relief to be furnished shall 
be restricted to food, medical supplies, processed 
and unprocessed materials for clothing, fuel, fer- 
tilizer, pesticides, and seed. All these items are 
basic essentials of life. 

No relief can be made available unless we are 
assured that the distribution, not only of our sup- 
plies but of all similar supplies produced locally 
or imported from other sources, will be made in 
each country without discrimination as to race, 
creed, or political belief. We must also be as- 
sured that the recipient country is taking all pos- 
sible measures necessary to reduce its relief needs 
and provide for its own rehabilitation. 

It must also agree to furnish full reports con- 
cerning the production, use, distribution, importa- 
tion, and exportation of any supplies which affect 
its relief needs. Representatives of the American 
press and radio as well as governmental repre- 
sentatives must be permitted to observe fully and 
report freely regarding the distribution and utili- 
zation of the supplies. All such supplies must 
be used to meet the needs of the population and 
cannot be exported or used for non-essential pur- 
poses. United States representatives must be per- 
mitted to supervise the distribution of our supplies. 

The government of the country must give us 
assurance of full publicity within their country 
as to the character, scope, and progress of our 
program. If any of these conditions are violated 
or if for any other reasons it appears inadvisable 
to continue shipments they shall be stopped 
immediately. 

It is also provided that the Congress, by con- 
current resolution, may direct the termination of 
the program to any country. 

The bill authorizes provision of relief in the 
form of free grants. We do not believe that needy 
countries should be required to assume debts for 
consumable relief commodities, such as food, 
which do not add to productive capacity and thus 
provide the means for repayment. The countries 
under consideration for relief are economically 



TH£ RECORD Of THE WEEK 

bankrupt. The special case of crisis in Greece 
has already been examined in detail by the com- 
mittee. The needs for rehabilitation and recon- 
struction of the other countries under considera- 
tion are such that all of their available resources 
and foreign exchange will be needed for some time 
for the purchase of essential imports and for the 
servicing of reconstruction and rehabilitation 
loans. Their ability to obtain such loans and the 
soundness of such loans if made would be greatly 
impaired if, in their present weakened condition, 
they had to assume an additional debt burden for 
relief items. In consulting with other possible 
contributors we have urged them to provide relief 
on a free-grant basis. If we were to require re- 
payment I feel sure that other countries would 
also do so. 

If this program is approved we plan to negotiate 
an agreement with each recipient government. 
This agreement would include all of the condi- 
tions which are specified in the bill and would also 
cover the following points : 

(1) Arrangements under which programs of 
supplies would be approved by United States 
representatives ; 

(2) An outline of the general procedures and 
controls in regard to the procurement and ship- 
ment of supplies ; 

(3) Provision for an adequate ration and price- 
control system so that all classes of the popula- 
tion irrespective of purchasing power shall re- 
ceive their fair share of essential supplies ; 

(4) Requirement that all local funds accruing 
from the sale of United States supplies be depos- 
ited in a special account to be used only upon ap- 
pi'oval of the United States for relief and rehabili- 
tation purposes. 

After conclusion of such an agreement we would 
approve from time to time target programs cov- 
ering the type and amount of commodities which 
could be px'ocured over, say, a two- or three-month 
period. The supplies would then be procured 
either through United States Government agen- 
cies or by the recipient government under strict 
suiDervision and control. In tlie latter case funds 
would be released in the form of credits subject 
to the control of the President, only in the amounts 
needed to meet contract obligations as they 
accrue. 

Under the over-all direction of a supervisor of 
(Continued on page 76G) 



April 27, 1947 



757 



Our Domestic Economy and Foreign Affairs 

BY ASSISTANT SECRETARY THORP 



It is worthy of some note that the Congress of 
the United States has spent more time and energy 
on foreign aflFairs since it assembled three months 
ago than on domestic matters. Tlie Congressional 
Record is full of speeches on this or that phase 
of foreign relations. The humanitarian angle ap- 
pears in relief and refugee legislation; the eco- 
nomic angle in sugar and rubber legislation and in 
the extension of the war powers for export and im- 
port controls ; the political angle in the four peace 
treaties now before the Senate ; the security angle 
in the discussions of the atom bomb. And there 
are triangular or multi-angular items such as the 
Greek and Turkish progi-ams, temporary adjust- 
ments in immigration quotas, and the foreign in- 
formation program. There is no sense in speaking 
today of isolation. It never did exist, and it never 
can. 

This is very clearly the case in the economic 
field. Our economic life is thoroughly entangled 
with the rest of the world. We seldom realize that 
fact, any more than New Yorkers think about 
their dependence on New England or California, 
but the world has grown smaller and smaller and 
the economic independence of any individual or 
area has grown less and less. Today the best word 
to describe this situation is not independence, nor 
dependence, but interdependence — that is, depend- 
ence both ways. 

Let us start with the most obvious relationship — 
our dependence upon other countries for certain 
products. Last year we imported 5.2 billion dol- 
lars worth of commodities from abroad and the 
estimate for 1947 is 6.7 billion dollars. The 
greater part of these tremendous totals either was 
not available here or could have been obtained or 
produced here only at much gi-eater cost. Some 
items need a different climate — coffee, rubber, ba- 
nanas, and chocolate, for example, all come to this 



' An address delivered before the Economic Club of New 
York in New York City on Apr. 16, 1947, and released to 
the press on the same date. Willard L. Thorp is Assistant 
Secretary of State for economic affairs. 



country by boat. Tlie lac bug which is responsible 
for our shellac seems to thrive only in India and 
Siam. Nor were minerals located on this globe in 
some earlier geologic age with an adequate con- 
sideration for the future requirements of the 
United States of America. Consequently, our tin, 
diamonds, and nickel, for example, must come from 
abroad. In some few instances, the technologists 
have been able to reduce our dependence on other 
areas by developing new products and processes 
such as synthetic rubber and the fixation of nitro- 
gen. But in other fields, our dependence on for- 
eign sources is increasing rapidly — a tendency ac- 
celerated by the great demands placed by the war 
upon our natural resources. Perhaps the extreme 
illustration is lead, which we regularly exported 
before the war, and which must now be imported 
in substantial quantities to meet our domestic re- 
quirements. In fact, a number of our bottlenecks 
in production at present can be traced to our de- 
pendence upon foreign resources and the failure 
of foreign supplying enterprises, for one reason 
or another, to operate at full production. 

Our foreign relations also involve the flow of 
commodities in the other direction. Over the 
years, a segment of our national plant and equip- 
ment has been created in order to sell to foreign 
markets. Our electric refrigerators, our flash- 
lights, our rubber tires, and our cotton go all over 
the world. At the moment, we have an unsatis- 
fied domestic market in many items, but cotton 
would not be selling at 35 cents per pound if we 
had not sent millions of bales to foreign countries, 
largely through UNRRA and Export-Imjiort 
Bank credits. 

It is obvious that the flow of goods in and out 
of this country is a big industry in itself, re- 
quiring transportation, insurance, financing, and 
other services. And anj' .serious failure to main- 
tain this flow would put some millions of American 
businessmen, farmers, and workers out of business. 

There is another important type of economic 
link, and that is in the field of ownership and 
finance. Americans ovn\ factories abroad. Our 



758 



Department of State Bulletin 



private and public extension of credit has made 
us a great creditor nation. Some of our recent 
Government assistance has gone out as an outright 
gift — but much of it has been in the form of credits. 
Private investments carried over from before the 
war bulk exceedingl}' large. As owners and 
creditors we have a very real and tangible stake 
in other economies. 

Furthermore our economy is tied to other econo- 
mies in the process of economic operation itself. 
Commodity prices, for example, are not insulated 
from foreign influences. It is not neccssarj' for 
there to be a major flow of a commodity from 
one country to another to affect prices — the fact 
that it can flow is enough to keep prices in a rough 
sort of relationship. And financial operations are 
even more sensitive. International finance has 
always transmitted strains and stresses fi'om one 
country to another with great rapidity, although 
various steps taken in recent years to reinforce 
credit structures have provided some degree of 
protective insulation. 

Perhaps the best demonstration of this matter 
of international economic relationship is provided 
by the record of business activity in various coun- 
tries in the past. More than a century ago there 
were clear evidences of the international charac- 
ter of cycles of business conditions. The boom 
of 1815 and the sharp collapse thereafter appear 
in the records of France, Great Britain, and the 
United States. The same end to a prosperity 
period appeared in many countries in 1837, 1847, 
1857, 1873, and in 1882. And in more recent years, 
the international synchronization of the rhythm 
has become increasingly clear cut, except when 
wars have thrown various countries out of step 
temporarily. The year 1890 was a crisis year 
everywhere, and so were 1900, 1907, 1913, 1920, 
and 1929. The record is clear that no major trad- 
ing country has been able to isolate itself for long 
from the eflects of business conditions in other 
countries. 

I could continue to develop this line of argu- 
ment, but I doubt if much persuasion is needed 
on the general point that our domestic economy is 
affected by foreign economic affairs. But this 
poses a most difficult question for American foreign 
economic policy. The difficulty is created by the 
fact that so much of the world is in terrible shape. 
For great areas of the world the present level of 
economic activity is tragically low. Not enough 

April 27, 1947 



THE RECORD OF THE WEEK 

men are working. Not enough goods are being 
produced. Whole industries and trading areas 
suffer from economic paralysis. 

We in this country have difficulty in fully ap- 
preciating the situation in other countries because 
the United States is above the pre-war level in 
economic activity. We are breaking production 
and employment records. But we are very much 
the exception. In some parts of the world, indus- 
trial and agricultural activity is not more than 
half the pre-war level. Hunger and starvation are 
the present threats to existence rather than bullets 
and bombs. 

This wide contrast has implications for us from 
many angles. At the moment, we may feel com- 
petent and confident in our prosperity. But we 
cannot escape from the lines of international con- 
tact which I outlined earlier. The depressed con- 
dition of so many other countries offers us either 
the opportunity to maintain our prosperity as they 
recover, or the threat of depression if they slide 
into chaos. I do not wish to imply that economic 
conditions in this country are entirely dominated 
by foreign influences. I am sure that we are able 
to slide into depression without outside aid. But 
I do say that the economic state of the rest of the 
world is a major influence on business conditions 
here. 

The low level of activity in so many other coun- 
tries is due to a number of causes which presum- 
ably do not need elaboration. Global war, by defi- 
nition, means not merely the effort to destroy the 
military forces of the enemy. It means, also, the 
effort to undercut the effectiveness of the enemy's 
military operation by disrupting and destroying 
the economic life which supports the enemy. Such 
methods of warfare proved to be so thoroughly 
effective that the heritage of the war in nearly all 
European countries is not merely the simple ef- 
fects of conversion to war and undermaintenance 
during the war but the disastrous total loss of sig- 
nificant elements in the economy itself. Transpor- 
tation facilities and strategic factories were favor- 
ite targets. The estimates of damage from 
destruction and looting run to more than one half 
the industrial wealth in those countries which 
suffered most. 

The problem is not merely one of physical equip- 
ment, of fixed capital. It also involves the effects 
of the war on manpower, the eradication and dis- 
placement of skilled labor and management, the 



759 



THE RECORD Of THE WEEK 

disruption of usual channels of distribution, and 
the disappearance of many facilitating services. 
The process of recovery involves the reconstruc- 
tion and reorganization of a thousand and one ele- 
ments, all of which must work together smoothly 
to enable a nation to function as a going concern. 

And even this is not the full total of the problem 
of these countries. Going beyond the direct ele- 
ments or factors of production, there is the need 
for liquid financial resources, a necessary part 
of modern economic life. Enterprises must have 
working capital as well as fixed capital. As a 
natural corollary, nations must have foreign ex- 
change. And this in turn affects their fiscal situa- 
tion. Both foreign exchange and internal cur- 
rencies must provide some assurance of stability. 
Until this stability is within sight, working capital 
will be reluctant to come out of hiding. It also 
means that part of the scarce and much-needed 
supplies of goods will be hoarded, such as food 
on the farms. They will move to market only 
if goods are available for purchase, or currency 
provides a secure medium for holding purchasing 
power for future use. 

There is a third element in the problem which 
interferes with the efforts of these countries to 
cope with physical reconstruction and a virtually 
broken-down financial machine. This additional 
deterrent to recovery is political instability, which 
weakens the nations' framework of law and order, 
thus laying open the economic processes to piracy, 
theft, corruption, and special privilege. 

Political instability assumes many forms in this 
post-war period. In those areas of the world 
where native populations have achieved a new 
and uncertain independence, the young unseasoned 
governments have not yet established any firm 
pattern of new policy. Many of these areas and 
countries are important to the world economy as 
sources of raw materials. The present uncertain- 
ties concerning their probable political behavior 
create a risk which stands in the way of immediate 
economic investment and development. Else- 
where, within mature countries, a struggle for 
power is going on with the result that, whatever 
governments may have formal authority, their 
coalition character greatly limits the extent to 
which they can take effective action without losing 
the support of some of the elements necessary to 
maintain their authority. Even a strong govern- 
ment would hesitate before taking an unpopular 

760 



measure like reducing the food ration or greatly 
increasing taxes. Wliere governments are weak, 
it is not surprising that they are prone to tempo- 
rize rather than to take drastic action. 

These many difficulties, particularly those in 
the economic field, have led countries to take what- 
ever kinds of extraordinary measures the traffic, 
measured in votes, will bear. These vary from the 
operation of internal relief programs to the tak- 
ing over of sections of industry for direct govern- 
mental control through the process of nationali- 
zation. Unusual fiscal measures are seized upon 
in the effort to prevent runaway inflation ; and in 
the field of foreign economic relationships most 
countries are now exercising controls through 
quota systems over the type of goods to be moved, 
and through foreign exchange control over the 
process of international payments. 

These various steps should not be regarded as 
some hidden conspiracy against the business com- 
munity or even against the principles of freedom 
of enterprise. To a large extent, they are the 
inevitable consequences of the present state of the 
world and, more particularly, of the countries 
where the distress is greatest. Wlien we in the 
United States had a major economic job to do 
in producing the goods needed for the war, we 
found it necessary to establish many of these same 
types of control ; and the foreign countries today 
have a much more difficult task to utilize the lim- 
ited resources available to them to the full. 

It is inevitable that many of these controls should 
be essentially restrictive. They arise because of 
the necessity for allocation to the most essential 
use of some short facility or material. But this 
leads to a basic difficulty. If a number of countries 
all adopt restrictive devices, trade among them is 
established at a minimum. In fact, it must then 
be carried on by the painful procedure of bilateral 
barter agreements under which arrangements are 
made for the exchange of specific quantities of 
specific goods. Obviously, such a way of carrying 
on trade is certain to fail to uncover most of the 
opportunities for Avorking out transactions in the 
interest of all concerned. And it makes all trade 
dependent upon arrangements made by govern- 
ments rather than by businessmen. 

Up to now, I have pointed out that the world 
is in a critical economic state and that the result 
of this necessarily has been a wide extension of 
government controls and restrictive devices. A 

Deparfmenf of State Bulletin 



third proposition which I am sure needs only to be 
suggested is that there is no single grand action 
which can resolve these difficulties, no one neat 
I'eraedy for the world's economic ills. The domes- 
tic rate of production, the volume of foreign ex- 
ports, the volume of foreign imports, the converti- 
bility of foreign exchange, the stability of domestic 
currency, the extent of reconstruction and rehabili- 
tation, the level of employment, and the standard 
of living, or perhaps I should say, of survival, are 
all completely intertwined with each other. Econ- 
omists have sometimes tried to picture the opera- 
tion of the economic system in terms of a series of 
complicated simultaneous equations. In mathe- 
matical terms, none of the elements which I have 
been describing is an independent variable. It 
follows necessarily from this basic fact that any 
program to deal with the situation must contain a 
number of elements. And failure to act in any 
area provides a brake on the possibility of progress 
in the others. 

I shall not endeavor today to outline the efforts 
made by the United States Government with rela- 
tion to each of the variables in the international 
economic picture. Obviously, we cannot bring 
about recovery in any of these countries. All we 
can do is to help create conditions which make it 
possible for the people of these countries, by their 
own efforts, to get the economic machine into op- 
eration again. We can provide gasoline and spare 
parts and perhaps a road map. We have provided 
goods and financial support to many countries 
through the very extensive relief and rehabilitation 
program carried out by UNRRA. After UNRRA 
halts its operations we intend to continue the job 
through a further relief program. 

But relief is obviously a stopgap, although a 
completely necessary one. The long-run program 
requires reconstruction, cuiTency stability, and the 
revival of trade. As to the first two, we have al- 
ready given nmch direct assistance. We have made 
surplus goods, including ships, available to foreign 
governments on credit terms. We have made ex- 
tensive loans, some calculated with reference to 
specific reconstruction progi'ams like the French 
loan, and some to ease a balance-of-payments def- 
icit and permit the relaxation of foreign exchange 
controls, like the British loan. We have been the 
chief sponsor and contributor in the creation of 
two important international institutions — the In- 
ternational Bank to deal with reconstruction and 



THE RECORD Of THB WBBK 

development credits, and the International Mone- 
tary Fund to work for stable and convertible cur- 
rencies. However, I wish to speak particularly of 
the problem in the field of trade because of its vital 
importance to our economy. 

In the period before the war, interferences with 
trade were clearly on the increase. The world de- 
pression had thrown trade out of balance, and 
restrictions on imports were used by various coun- 
tries to prevent any drain on the assets needed to 
back their various currencies. Furthermore, it 
was a period when forces of aggression were lead- 
ing countries to adopt nationalist economic pro- 
grams, and many nations were endeavoring to 
reduce their dependence upon foreign sources of 
goods and materials. Trade barriers rose rapidly. 

The present picture is far worse. Much of the 
world's trade today is carried on within a frame- 
work of specific quota restrictions. These obvi- 
ously are likely to be much more harmful than 
tariffs. Quotas are absolute and under no cir- 
cumstances can trade expand beyond their rigid 
limits. Tariffs do impose a hurdle but it is always 
possible for goods to flow over a tariff barrier if 
there is a sufficient need for them. 

Quota systems carry with them another type of 
limitation not found in tariffs and that is that 
quotas necessarily imply allocation. A quota 
means that less can be imported than would move 
in a free market. But how will the reduction be 
made ? By the government issuing specific licenses 
for specific imports. This means that the trade 
relationship of the quota-establishing country 
with each other country becomes a matter of sepa- 
rate negotiation, controversy, and pressure. Thus 
a tremendous amount of specific government inter- 
ference arises and the individual businessman is 
helpless in the face of decisions made by his and 
by foreign governments. 

It is against this background that the United 
States put forward the proposal that an interna- 
tional trade organization should be established as 
one of the essential institutions of the United 
Nations and that a fundamental purpose of the 
organization should be to find ways and means of 
reducing barriers to trade. Here in this country 
we went so far as to develop, through an interde- 
partmental committee, a proposed charter for such 
an organization. Last November this whole prob- 
lem was discussed in London by a commission, 
consisting of representatives of 18 countries, 



April 27, 1947 



761 



THE RECORD OF THE WBEK 

which had been set up by the United Nations for 
the purpose. The American draft was taken as 
the basis of discussion. At the conference a sub- 
stantial part of the charter was agreed upon by the 
conferees althougli, of course, such agreement 
had no binding effect on the govenunents con- 
cerned. 

Since the conference, the revised charter has 
been printed and distributed widely in the United 
States. The interdepartmental committee in- 
volved, the Executive Committee on Economic 
Foreign Policy, has held informal hearings in 
Boston, New York, Washington, Chicago, Denver, 
New Orleans, and San Francisco. In general, the 
hearings indicated wide-spread support for the 
general idea and a number of specific suggestions 
were presented which have been given careful 
study in Washington, and many of which have 
been incorporated in the American position. 

However, it is not enough for the United States 
to urge that an international organization be es- 
tablished. For 14 years, as expressed in the au- 
thority given by Congress to the President, we have 
had as our national policy the negotiation of re- 
ciprocal trade agreements bilaterally, by means of 
which very carefully selected reductions in the 
American tariff were made in exchange for reduc- 
tions in the trade barriers in the other country with 
whom we were negotiating. Last week in Geneva 
we commenced the negotiation of such reciprocal 
trade agreements with 17 other countries and hope 
thus to demonstrate in no uncertain terms our will- 
ingness to lower trade barriers, providing these 
and other countries will show their willingness to 
follow the same general course. 

This is a positive program, an American pro- 
gram. It is a reflection of our own economy. The 
American economic system is based upon a tremen- 
dous market within which trade flows without 
restrictive barriers and with a single medium of 
exchange. The high standard of living in New 
England is made possible in large part by the 
tremendous interchange in goods and services 
which takes place between New England and the 
rest of the United States. Although we recognize 
that there are times and circumstances when the 
government nnist step into the picture, by and 
large we leave the economic process to the work- 
ing of economic forces and the direction of individ- 
ual businessmen and consumers. 

The contrasting picture of multiple government 



controls by means of quotas is bad not merely be- 
cause of its restrictive character, but because in all 
probability it would have a serious impact upon 
our way of doing business in our own country. 
Barter arrangements and qviota systems are fixed 
not by private traders but by public officials. If 
we in the United States are to be faced by quotas 
all around the world, we shall have to bargain our 
way into foreign markets product by product, 
country by countrj', and month by month. We 
shall have to obtain our needed raw materials by 
the process of negotiation. 

Private traders are helpless in the face of such 
a situation. To deal effectively, we might need to 
put on a quota system of our own, and finally to 
establish either a Government export and import 
monopoly, or a complete system of controls by 
licenses. I therefore speak with the utmost seri- 
ousness when I say that the pattern for interna- 
tional trade adopted by the leading trading na- 
tions must be a matter of great concern to those 
who wish to preserve the American economic sys- 
tem in the United States, let alone to strengthen it. 

These are major stakes, and without strong 
leaderehip from the United States there is little 
hope that many countries can dare to take the risk 
of withdrawing their protective controls which 
are so restrictive. The program must move ahead 
simultaneously on the various fronts which I have 
indicated. Failure to carry through effectively 
on our part means that we risk our international 
leadership in the economic field, our foreign trade, 
and some aspects of our economic system itself. 

I have been focusing my attention upon the 
economic aspects of our interest in foreign affairs, 
but I do not want to end on that note. At least 
two other angles should be mentioned, both of 
which are closely related to the preservation of 
the American way. 

First is the humanitarian, the friendly, the per- 
sonal concern. I am unwilling to recognize that 
this country is only interested in the materialistic. 
I think we have shown our generosity through our 
contributions to relief and our many indirect and 
informal types of assistance. Tliat is part of the 
American way, and it does not stop at the national 
boundary. 

And second is our search for security, for na- 
tional security. We are not a warlike nation. We 
are slow to enter into war, and we are overwhelm- 
ingly eager to find ways and means of putting 



762 



Department of State Bulletin 



an end to the use of force. Not only is war itself 
such a terrible thing, but the burden of armaments, 
the providing of security in peacetime through 
preparedness, is a tremendous burden upon 
mankind. 

But this brings us back to my central theme. 
Economic health will not assure peace, but it is 
a substantial preventive of conditions which create 
international ill-will. Access to markets and raw 
materials, non-discrimination in international 



THE RECORD OF THE WBCK 

trade and development, and the creation of a forum 
wherein economic controversies can be handled 
in an orderly way will all help towards the goal 
of universal peace. 

I see no escape from the fundamental proposi- 
tion : We cannot separate our domestic and our 
foreign affairs. And the strengthening of our 
domestic economy depends in part upon the suc- 
cess of our efforts to bring economic health, sta- 
bility, and sanity to the rest of the world. 



International Trade Conference Convenes in Geneva 



STATEMENT BY DEPUTY CHAIRMAN OF THE U.S. DELEGATION 



It is a matter of regret that the Chairman of the 
Delegation of the United States, Mr. W. L. Clay- 
ton, Under Secretary of State for Economic 
Affairs, was unable to be present for the opening 
of this meeting. He is now on his way to Geneva 
and should be with us by the middle of the week. 
The statement that I shall make on his behalf is 
brief. 

In the speech which he delivered at Waco, Texas, 
on the 6th of March, the President of the United 
States made clear the great importance which he 
attaches to the success of this meeting. Speaking 
of the preparation of a charter for an interna- 
tional trade organization, he said the progress that 
has already been made on this project is one of the 
most heartening developments since the war. 

If the nations can agree to observe a code of 
good conduct in international trade they will co- 
operate more readily in other international af- 
fairs. Such agreement will prevent the bitterness 
that is engendered by an economic war. It will 
provide an atmosphere congenial to the preserva- 
tion of peace and, speaking further of the negotia- 
tions directed toward the reduction of tariffs, the 
elimination of other restrictive measures, and the 
abandonment of discrimination. The President 
went on to say tlie success of this program is es- 
sential to the establishment of the International 
Trade Organization, to the effective operation of 
the International Bank and the Monetary Fund, 
and to the strength of the whole United Nations 
structure of cooperation in economic and political 
affairs. The negotiations at Geneva must not fail. 

April 27, 1947 



These last words may be taken as the message of 
the President to this meeting: The negotiations 
at Geneva must not fail. During the months that 
have intervened since the first meeting of this 
committee, the Government of the United States 
has completed its preparation for the work that is 
about to begin. 

As a part of this preparation it carried the 
London draft of the charter to the American peo- 
ple and asked for their advice in informal con- 
ferences and in public hearings held in seven cities. 
Testimony was received from some 250 persons 
representing business, labor, agricultural, con- 
sumer, civic, and religious organizations from 20 
states. This testimony revealed a careful and 
sympathetic apfjraisal of the document and 
brought forth a number of thoughtful suggestions 
for its clarification and development. More re- 
cently a committee of the United States Senate 
subjected the charter to a detailed and painstak- 
ing analysis and in the course of this inquiry 
additional suggestions for the improvement of the 
draft were made as a result of these suggestions. 

The American Delegation is prepared at the 
appropriate time to present a number of proposals 
for aniendjnent. All of these proposals, I may 
add, are in the spirit of the charter and are con- 
sistent with the purposes upon which we are all 

' Made at a plenary session on Apr. 14, 1947 and released 
to the press in Washington on Apr. 1.5. Clair Wilcox, Di- 
rector of the Office of International Ti-ade Policy, Depart- 
ment of State, is Deputy Chairman. 



763 



THE RECORD OF THE WEEfC 

agreed. The other part of our preparation for 
this meeting has consisted of steps leading up to 
definitive negotiations on tariffs and other barriers 
to trade. It will be recalled that this committee 
had agreed at its meeting in London upon the 
procedures that were to be followed at each stage 
of this work. 

At the first stage each member of the committee 
was to transmit to each other member a prelimi- 
nary list of concessions which it proposes to re- 
quest. This we have done. 

At the second stage, each member should sub- 
mit a schedule of the proposed concessions which 
it would be prepared to grant to all other members 
in the light of the concessions it would have re- 
quested from each of them. This we are now 
prepared to do. The basis of these negotiations 
is set forth in article 24 of the charter which pro- 
vides that tariff negotiations shall be on a recipro- 
cal and mutually advantageous basis. This means 
that no country would be expected to grant con- 
cessions unilaterally without action by others or 
to grant concessions to others which are not ade- 
quately counterbalanced by concessions in return. 
It is on this basis that the United States is now pre- 
pared to, as soon as the committee is ready, in 
accordance with the procedure upon which it has 
agreed to, enter into actual negotiations whether 
they be on the text of the charter or on the details 
of trade concessions. We shall be ready to par- 
ticipate. It is our hope that these negotiations 
will be initiated at the earliest possible moment 
and carried forward with the greatest possible 
dispatch. We realize of course that the magnitude 
and the complexity of this undertaking are with- 
out precedent, but we know too that this committee 
has already earned for itself a reputation for quiet 
industry, steady progress, and the prompt comple- 
tion of an appointed task — a reputation that gives 
ground for confidence of achievement in the weeks 
that lie ahead. 



Arms, Ammunition, and Implements 

of War — Continued from page 754 

curred under section 12 of the joint resolution of 
November 4, 1939, prior to the effective date of this 
Act may be prosecuted and punished, and suits 
and proceedings for violations of section 12 of the 
joint resolution of November 4, 1939, or of any 

764 



rule or regulation issued pursuant thereto may be 
commenced and prosecuted in the same manner 
and with the same effect as if that section of the 
joint resolution had not been repealed. 

Sec. 15. The functions conferred by this Act 
shall be excluded from the operation of the Ad- 
ministrative Procedure Act (Public Law 404, 79th 
Cong.), except as to the requirements of section 3 
thereof relating to public information. 

Sec. 16. There is hereby authorized to be appro- 
priated to the Department of State, out of any 
money in the Treasury of the United States not 
otherwise appropriated, such sums as may be 
necessary for the purpose of carrying into effect 
the provisions of this Act. 

Sec. 17. This Act may be cited as the "Munitions 
Control Act of 1947". 

U.S. Requests Reinstatement of Cre- 
dentials for Correspondent in Spain 

[Released to the press April 14] 

On April 2, 1947, Francis E. McMahon, corre- 
spondent in Spain for the New York Post, was 
notified in Seville by representatives of the Sub- 
secretariat of Popular Education of the with- 
drawal of his press credentials. 

On April 3, 1947, Philip W. Bonsai, U.S. Charge 
d'Affaires in Madrid, informed the Spanish For- 
eign Oifice of what had occurred and requasted that 
an investigation be made of the circumstances sur- 
rounding the withdrawal of Dr. McMahon's press 
credentials. On April 5, 1947, the Spanish For- 
eign Office confirmed the withdrawal of Dr. Mc- 
Mahon's press credentials. On this occasion Mr. 
Bonsai made an energetic oral protest which was 
presented in written form on April 8. On April 
11, 1947, Spanish Foreign Minister Martin A. 
Artajo informed Mr. Bonsai that the Spanish Min- 
ister of Education had decided not to renew the 
press credentials of Dr. McMahon. The with- 
drawal of credentials was said not to be due to any 
one single story. The Foreign Minister said that 
the action was taken in view of the "tendencious 
and often factually inexact" nature of Dr. Mc- 
Mahon's articles. Mr. Bonsai had previously been 
informed that the reason for the withdrawal of 
the credentials was that Dr. McMahon had "failed 
to meet the test of indispensable objectivity." 

Mr. Bonsai contrasted this treatment with the 

Department of State Bulletin 



complete freedom of action enjoyed by Spanish 
correspondents in the United States. This Gov- 
ernment believes the action of the Spanish Gov- 
ernment in withdrawing Dr. McMahon's creden- 
tials represents a regrettable modification of the 
policy of freedom from censorship for foreign cor- 
respondents in Spain which was announced by the 
Spanish Government in April 1945. 

The Spanish Foreign Minister assured Mr. Bon- 
sal that he would receive in due course a written 
reply to his protest delivered on April 8. The 
text of Mr. Bonsai's note follows : 

"Excellency : I have the honor to refer to the 
case of Dr. Francis E. McMahon, correspondent of 
the New York Post, which I discussed with Seiior 
Jose Sebastian de Erice, Director General of For- 
eign Policy, on April 5. This case has given seri- 
ous concern to the Government of the United 
States and this communication reflects specific in- 
structions from the Department of State. 

"The facts in the case appear to be as follows : 

"On March 24, the Director General of Press, 
Seiior Tomas Cerro, renewed Dr. McMahon's press 
credentials for a six-month period. On March 26, 
Dr. McMahon filed in Seville his regular weekly 
telegram to his newspaper. This telegram was 
held up in Madrid apparently by the press au- 
thorities without notification to Dr. McMahon with 
the result that Dr. McMahon's employer, the New 
York Post, was seriously concerned at not hearing 
from him. On Wednesday, April 2, Dr. McMahon 
was informed by the Seville representative of the 
Subsecretariat of Popular Education that he 
should return his press card to the authorities. 
He was given no explanation of the basis for this 
action and he refused to comply with the order 
until he did receive an explanation. 

From what Seiior Erice tells me, I gather that 
the reason for which Dr. McMahon incurred the 
displeasure of the authorities was the following 
passage from his telegram of March 26, b^sed upon 
an article taken from the magazine Catedra, weekly 
publication of the official syndicate of university 
students at the University of Seville : 

" 'Police Seville been active this week. Seized 
all copies could lay hands on university student 
publication Catedra. Magazine edited by Falange 
gi'oup at institution. 

" 'Not seized because attacked tiiis issue certain 



IHB RECORD Of IHi WEEK 

professor for his widely known democratic views. 
Blasts against this professor appeared before with- 
out any sign disapproval political authorities. 

" 'It was their assault upon integi'ity two public 
officials aroused wrath politicians. Students in- 
serted alleged news item about Minister Foreign 
Affairs named Martinart and his colleague head 
Cultural Institute by name Ruskijimenich. Both 
men declared had planned make movies about re- 
nowned conquistador. To this effect created com- 
mittee they dominated. From this committee, ac- 
cording story, the two men solicited funds. "Com- 
mittee" studied matter finally informing Martinart 
and Ruskijimenich would be allotted them one 
million dollars. Although incident allegedly took 
place distant country region Carpathian Moun- 
tains authorities here believed too much similarity 
in names to Sr. Martin Artajo Francos, Minister 
Foreign Affairs, and Professor Ruiz Jiminez, head 
Hispano-American Institute in Madrid. 

" 'Now reported from Madrid Artajo protested 
personally General Franco threatening resign his 
post unless measures taken restore his reputation. 

" 'Next number Catedra probably carry another 
vicious attack against anti-Fascist professor but 
one can be sure all references derogatory character 
to powei-s that be will be omitted.' 

"I believe that you will agree that a public attack 
by a Falange organization upon other officials of 
the Spanish Government constitutes an item of le- 
gitimate news interest and that it was entirely 
within the scope of Dr. McMahon's professional 
duties to report it. 

"I wish hereby to protest most emphatically at 
the treatment accorded to Dr. McMahon who in 
addition to being a reputable newspaper corre- 
spondent is a distinguished scholar and professor. 
That treatment included both the holding up of his 
despatch of March 26 without advice to him and 
the peremptory demand made upon him without 
any explanation whatever to deliver to the authori- 
ties the press credentials which had been renewed 
only eight days before. 

"I wish to point out in this connection that Span- 
ish correspondents in the United States are given 
entire freedom of action. I also wish to recall 
that in April of 1945 Ambassador Armour was 
informed by the then Minister of Foreign Affairs 
that the Spanish Government had decided upon 
the policy of granting entire freedom from censor- 



April 27, 1947 



765 



THE RECORD Of THE WEEK 

sliip and control to duly accredited foreign cor- 
respondents in Spain. 

"I am instructed by my Government to request 
in view of the above factors that Dr. McMahon's 
press credentials and privileges be reinstated with- 
out loss of time. 

"Accept [etc.]" 

U.S. Zone in Germany Closed to Addi- 
tional Displaced Persons 

[Roleased to tlip press April 18] 

At his netvs conferenre on April 18. Aeting Secre- 
tary Acheson vmde the following statement 

There is one matter that I should like to bring up 
myself in view of some confusion which has taken 
place in the press, and that is the announcement 
which General Clay made a few days ago in Ger- 
ninny about displaced persons. 

General Clay has announced that on April 21 
new applicants will not be accepted in displaced- 
l>ersons centers in the United States zone. With 
certain exceptions explained by General Clay, this 
applies to the 166,000 persons of all nationality out 
of camps in the zone as well as to new arrivals in 
the zone. The purpose is to stabilize the present 
displaced-persons population of the centers. The 
policy was proposed by the War Department for 
administrative reasons, and was concurred in by 
the State Department prior to issuance. The 
directive in question has nothing to do with the 
Palestine question. It was not made as a result 
of any British representations, or in anticipation 
of any. It does not alter the policy of this Gov- 
ernment not to close the borders of its zones to 
]5ersecutees. 

Surplus Property Air-Rights 
Agreements 

[Released to the press by OFLC April 9] 

Air-rights agreements involving disposal of sur- 
plus property overseas have been concluded with 15 
countries, the Office of the Foreign Liquidation 
Commissioner disclosed on April 9. 

United States air lines, as a result, are able to fly 
almost all routes over which they are authorized to 
operate using navigational aids, communication 
facilities, weather-reporting facilities, and aii'fields 
which dot the globe. 

The aids — all items of surplus property — were 
turned over to the various governments for cash 



766 



and credit through bulk sales, for other considera- 
tions, and, in all cases, for the right of American 
lines to utilize the facilities. 

At some stations American air-line personnel are 
temporarily operating the equipment while train- 
ing local technicians for operational jobs. 

Agi-eements most recently completed were those 
involving facilities at Myitkyina, Burma; Fenny 
and Assam, India ; Saigon, Hue, Qui-nhon, French 
Indochina; St. Pierre Island off Newfoundland; 
Copenhagen, Denmark ; Stockholm, Sweden ; Oslo, 
Norway; Amsterdam, Holland; Biskra, Bone, 
Maison-Blanche, Oran, and Corsica under the 
French flag. 

Previously, agreements had been completed with 
the United Kingdom, Canada, Egypt, Brazil, Italy, 
China, the Philippine Republic, and Belgium. 



Post-UNRRA Relief Program— Continued from page 757 
American relief in Euroiie. we would establish 
in each country, attached to the United States 
Mission, a staff charged with the responsibility 
of supervising and inspecting the distribution of 
the supplies and checking on compliance with the 
terms of our agreement. It would obviously be 
impractical in the short time available to build 
up a force of thousands of people which could 
physically distribute supplies to each person in 
the country. A relatively small staff, by circulat- 
ing freely through the country and inspecting 
the operations, can adequately supervise the dis- 
tribution process. Such a staff composed of top- 
notch men experienced in foreign relief operations 
would readily detect any important violations of 
our agreement. Immediate action to stop relief 
shipments would be taken in case they reported 
any such violations and these were not promptly 
corrected. The regular staff of our Embassies 
would of course assist in this work. 

In concluding my statement I want to re-em- 
phasize the need for urgent consideration of the 
bill. Remaining UNRRA food shipments, to- 
gether with shipments procured with such small 
amounts of funds as the countries themselves can 
make available, will cease late in April or early 
ill May. In all European countries grain stocks 
are lowest just before the harvest. Except for 
farmers, the people in the needy countries will to 
a large extent have to exist on imported grain 
until the new harvest becomes available. We must 

Department of State Bulletin 



be able to commence shipments early in May if a 
break-down of food distribution, with a threat of 
starvation and civil unrest, is to be avoided dur- 
ing this critical period. 

With the possible exception of Austria, and the 
special case of Greece, where, as the committee 
knows, we are planning a more extended program, 
I do not believe that free relief beyond that au- 
thorized in the bill will be needed unless disastrous 
crop conditions or other unforeseen events oc- 
cui". However, if we fail promptly to provide the 
assistance which has been requested by the Presi- 
dent, I feel sure that there will be wide-spi-ead 
human suffering with grave political and eco- 
nomic consequences which would affect us and the 
whole world. 

Lend-Lease Discussions With U.S.S.R. 

[Released to the press April 14] 

The Governments of the United States and the 
Union of Soviet Socialist Republics have reached 
an agreement to begin conversations with a view 
to concluding a final settlement of outstanding 
lend-lease questions as provided for in the terms 
of the master lend-lease agreement of June 11, 
1942. 

The conversations will take place in Washing- 
ton. The Soviet Ambassador to the United States, 
Mr. Nicolai V. Novikov, has been designated Soviet 
negotiator and discussions will commence imme- 
diately after his return to "Washington. The 
United States Government will be represented by 
Assistant Secretary of State for economic affairs 
Willard Thorp and officials of his office. 



U.S.-Swedish Discussions 
Import Restrictions 



on 



[Released to the pnss .\inn 17] 

At the suggestion of the Government of Sweden, 
a Swedish trade delegation has arrived in Wash- 
ington to discuss the problems surrounding the ap- 
plication of the recently imposed Swedish import 
restrictions in their relation to the United States- 
Swedish reciprocal trade agreement of 1935. 

The Swedish Delegation is composed of Herman 
Erik.sson, Swedish Minister, Dag Hammarskjold, 
Financial Adviser to the Swedish Government, 
Sven Brusewitz, former Director of the State 
Trade Commission, and Leif de Belfrage, Com- 
mercial Counselor of the Swedish Legation. 



THE RECORD OF THE WeCK 

Pre-1934 Philippine Bonds Delivered to 
U.S. for Destruction 

Secretary Snyder announced on April 10 that 
arrangements are being completed for the de- 
livery of securities totaling $19,420,250 face 
amount to the Secretary of the Treasury by the 
Philippine Government under the provisions of 
the Philippine independence act, as amended. 
This act, also known as the Tydings-McDuffie act, 
required that all bonds of the Philippines, its prov- 
inces, cities, and municipalities, issued prior to 
May 1, 1934, under authority of acts of Congress, 
■which were held in sinking funds of such out- 
standing bond issues as of July 4, 1946, should be 
delivered to the Secretary of the Treasury for de- 
struction. It also required that all other assets 
of sinking funds maintained by the Philippine 
Government for pre-1934 bonds, together with 
proceeds of the Supplementary Sinking Fund 
which had been established for such bonds in the 
United States Treasury under the provisions of 
the same act, should be deposited in a special trust 
account in the name of the Secretary of the Treas- 
ury for the payment of future principal and in- 
tere.st on pre-1934 Philippine Government bonds. 

The delay in the physical delivery of securities 
to the Secretary of the Treasury was occasioned 
as a result of the war with Japan and the necessity 
for reconciling Philippine acounts after reoc- 
cupation of Manila. However, the Philippine se- 
curities representing sinking-fund assets have been 
held by the United States agencies having such 
securities in custody subject to the sole order of 
the Secretary of the Treasury since July 4, 1946, 
pending the determination, from available rec- 
ords, of the specific securities to be delivered to 
the Secretary. This determination has now been 
completed. 

Letters of Credence 

Siar)i 

The newly appointed Ambassador of Siam, His 
Royal Highness Prince Wan Waithayakon, pre- 
sented his credentials to the President on April 
18. For texts of the Ambassador's remarks and 
the President's reply, see Department of State 
press release 338 of April 18, 1947. 



April 27, 1947 



767 



Anniversary of Pan American Day 



STATEMENT BY ASSISTANT SECRETARY BRADEN* 



On this anniversary of Pan American Day, 
which holds particular significance and hope for 
all the Americas, I am very happy to convey my 
cordial greetings and good wishes to the people 
of the republics of the new world. 

It is both a comfort and an inspiration to us to 
realize that on this day, which marks the estab- 
lishment of the Pan American Union more than 
half a century ago, people in all the 21 American 
republics are commemorating the spirit of solidar- 
ity and cooperation which has become so important 
a factor in our continental life. Recalling as we 
do today the past achievements which the coop- 
eration of the American republics has made pos- 
sible, we derive therefrom a renewed confidence in 
our ability to meet with continued success the com- 
mon problems which face us in the future. 

Today, a year and a half since the final military 
victory over our recent enemies, we find that the 
pressing problems of peace are but little less 
urgent than the imperative demands of war. For- 
tunately our experience has proved to us that we 
have in our inter-American system a vehicle 
through which our combined efforts can be brought 
to effective action in meeting these problems. We 
know also that the principles which have guided 
the inter-American system in the past — principles 
of mutual respect, of observance of our obligation, 
and of devotion to human liberty and welfare — 
are essential to the achievement of peace and of 
democracy which are the ultimate goals of our 
inter-American endeavor. 

The principal organ of the inter- American sys- 
tem is the Pan American Union, for which this 
year, 1947, is a particularly significant one. Next 

^ Recorded in Spanish for sbort-wave broadcast to Latin 
America over tlie "Voice of tlie United States of America" 
on tlie occasion of Pan American Day, Apr. 14. 1947, and . 
released to the press on the same date. Spruille Braden 
is Assistant Secretary of State for American republic 
affairs. 

768 



month the Union will welcome its new Director 
General, Dr. Alberto Lleras Camargo of Colombia, 
who was elected in March to this most important 
post by the maanimous vote of the Governing 
Board of the Pan American Union. Dr. Lleras 
Camargo's unquestioned talents and brilliant rep- 
utation bring to the Pan American Union a con- 
fidence that its affairs during the coming years 
will be conducted with the highest ability. His 
presence will do much to compensate for the great 
sorrow which was experienced throughout the 
American republics at the tragic death of Dr. Leo 
S. Rowe, whose long and devoted labors contrib- 
uted so greatly to the development of the Union. 

Furthermore, we look forward this year with 
greatest anticipation to the Ninth International 
Conference of American States which is scheduled 
to be held in Bogota in December of this year. At 
this conference there will be brought to fruition the 
labors which have been undertaken, since the In- 
ter-American Conference on Problems of War and 
Peace at Mexico City in 1945, for the strengthen- 
ing and improvement of the inter-American sys- 
tem, and the clarification of its underlying prin- 
ciples. I am confident that the work of the Ninth 
International Conference will produce a union and 
an inter-American system that will be better fitted 
than ever to cope with the problems of peace and 
security, and of economic and cultural cooperation, 
which the future will lay before us. This will be 
an achievement not only of the highest importance 
to the American republics, but of significance to 
the entire world as it searches in this period of 
history for a solid foundation on which to build the 
peace which all peoples so deeply desire. 

Success in the great tasks before the inter- 
American system this year will demonstrate to 
the world that the American republics, banded to- 
gether in a common love of justice, freedom, and 
democracy, can point the way for others who seek 
the spiritual and material fruits of united action by 
honest men. 

Department of State Bulletin 



The Inter-American System: A Solid Foundation for the Challenge of the Future 



BY ELLIS O. BRIGGS' 



We now approach the ninth general conference 
of American states, which lias been scheduled by 
the host Government of Colombia for next Decem- 
ber. AVhat is the program, and how can we render 
the meeting effective? 

The victory has been won, but the peace still 
eludes us. Clearly in the measure in which the 
foundations of world peace shall have been laid, 
problems facing the inter- American family will 
have been simplified. Conversely a deterioration 
elsewhere in the world could not but render our 
tasks at Bogota and thereafter infinitely more diffi- 
cult. The New World is but a part of the whole 
world, and tlie inter- American association has vol- 
untarily established itself under the United Na- 
tions Charter as a regional system within a world 
system. The Bogota meeting must be viewed in 
a whole-world perspective. 

The ideals and practices of the inter- American 
system cannot be divorced from the ideals and 
practices of democracy. That system is an ex- 
tension in the international sphei'e of the concepts 
whereby free peoples seek to guide their domestic 
affairs. Tlie procedures of inter- American coop- 
eration would have little meaning without the vi- 
talizing breath of the democratic spirit. They are 
the manifestations of that spirit in action. 

Our concern for the development and strength- 
ening of the inter-American system cannot be 
separated from our concern for the maintenance 
and development of democratic ideals and prac- 
tices in all the American republics. Democracy 
and the inter- American system, as a statesman of 
Uruguay recently pointed out, are bound to stand 
or fall together. 

The American republics have rejected the doc- 
trine that man exists for the benefit of the state, 
a doctrine irreconcilably opposed to democracy, 
which rests on the belief that the state exists for 
the benefit of man. That belief was challenged by 
Germany and Japan, but their defeat did not 
solve the problem. That belief is being challenged 
today, and the echoes of the challenge will be 
heard at the Bogota conference. 

Dictatorships assert that the state is an end in 

April 27, 1947 



itself, and that man is but the expendable tool of 
the state. Dictatorships, as a liberal American 
newspaper recently declared, are by nature con- 
spirational in character, are not accountable to the 
l^eople for their actions, and sooner or later in an 
effort to distract attention from their domestic 
shortcomings or incompetence are likely to engage 
in bellicose maneuvers against neighboring states. 

It makes little difference to the individual 
whether his freedoms, hard-won through the cen- 
turies, are stolen in the name of rightist or leftist 
totalitarianism. Both are thieves of liberty, and 
to him who has been robbed it is of small impor- 
tance whether the coat of the thief was red or black. 

It is not enough however for us to be against 
totalitarianism of whatever shade or color. We 
must not only resolutely protect ourselves against 
the thieves of liberty, we must also be for our 
democratic principles of life. Above all, we must 
make those principles function successfully. 

Political peace, and the operation in practice of 
the principles of democracy, are important parts 
of the problem. Another is economic security. 

The republics of this hemisphere, in contrast 
to most of the rest of the world, emerged from 
the war relatively undamaged. We do not forget 
our own million casualties on the battlefields from 
Guadalcanal to Africa, nor that the United States 
now has a per capita debt, due largely to the war, 
of approximately $2,000 for every man, woman, 
and child in this country. It is also pertinent 
to observe that while the New World in compari- 
son with the Old World suffered no devastation, 
the countries of Latin America, although their 
economies were in varying degrees affected, fared 
well in contrast to the United States. Some, in 
fact, fared excellently. 

The economic aspect to which I refer involves 
an application of sovereignty. Now the tree of 
sovereignty produces valuable fruit. Juridical 
equality grows there, much esteemed by the inter- 

* Excerpts from an address delivered before the Pan 
American League in Miami, Fla., on Apr. 14, 1947, on the 
occasion of Pan American Day, and released to the press 
on the same date. Mr. Briggs is Director, Office of Amer- 
ican Republics Affairs, Department of State. 



769 



THE RECORD Of THE WEEK 

American family, together with pride on the part 
of each country in its own achievements. Sap 
from the roots of sovereignty produces the flower 
of patriotism. In our time, however, a thorny 
branch has appeared on the tree, its growth stim- 
ulated by the war. It is called exaggerated na- 
tionalism, and unless each country prunes that 
branch, the thorns can constitute an impenetrable 
economic tiiicket, a veritable forest of brambles 
altogether stifling to international trade and frus- 
trating to progress. 

All of the American republics have declared 
that they favor liberal trade practices and private 
enterprise. Many of them have acknowledged the 
desirability of having foreign capital— private en- 
terprise capital— participate in future economic 
development. Much remains, nevertheless, to be 
done to make these declarations effective. It is 
clear that foreign capital will not venture, and in 
fact cannot operate, in circumstances in which ex- 
cessive nationalism persists, or where the state of 
mind producing excessive nationalism results in 
measures which discriminate against foreign cap- 
ital merely on the grounds that it is not national 
capital. 

This also is a world problem, and solutions are 
being sought on a world basis. It is likewise a 
question the answer to which can profitably be dis- 
cussed, pruning equipment in hand, within the 
inter- American association. 

For the i-est, it is comforting in this disordered 
moment of history to observe the confidence with 
which the American republics are looking forward 
to the Bogota conference. Problems we have, dif- 
ficult problems, in abundance. But ours is a con- 
fidence based on trust, on friendship, and on the 
rich experience of nearly six decades of pan- 
American relationship. 

The foundations have been strongly laid : com- 
pliance with obligations, non-intervention, and re- 
spect for the juridical equality and the sovereignty 
of each member. Those are sound foundations. 
They require no modification. 

The war years have strengthened our associa- 
tion, have made us more conscious of the value and 
the vitality of the underlying ideals on which in- 
ter-American cooperation is based. 

In approaching the Ninth International Con- 
ference of American States, we are inspired by the 
knowledge of how well the forces of democracy in 
this hemisphere have met the challenge of the re- 



770 



cent past. We are aware of the fortitude, the ef- 
fort, and the vigilance that may be required to 
meet the challenge of the future. 

Visit of Cuban Cliemist 

Dr. Francisco de la Carrera y Fuentes, director 
of the Department of Chemistry and vice dean of 
the School of Sciences of the University of Ha- 
bana, Cuba, is visiting the United States at the 
invitation of the Department of State. He has 
been awarded a grant-in-aid under a program ad- 
ministered by the Division of International Ex- 
change of Persons of the Department to enable 
him to visit universities, educational centers, and 
scientific institutions in the United States, and 
to confer with colleagues in the field of chemistry. 
He is especially interested in obtaining informa- 
tion that will assist him in plans for a new chem- 
istry building, for which the University of Ha- 
bana has recently appropriated funds. 

Dr. de la Carrera arrived in Washington on 
April 9, 1947. Following his attendance at the 
annual meeting of the American Chemical So- 
ciety, held in Atlantic City, New Jersey, from 
April 1-1 to 19, Dr. de la Carrera plans to visit 
educational institutions in Pennsylvania, New 
York, Connecticut, Massachusetts, Ohio, Mich- 
igan, California, Texas, and Louisiana. 

Conversations on Broadcasting 
Arrangements Witli Cuba 

[Released to the press April 16) 

Federal Communications Commissioner Rosel 
Hyde and Neal McNaughton, a Commission en- 
gineer and Chief of the Broadcast Branch, Stand- 
ard Broadcast Division, have arrived in Habana 
at the request of the Department of State to open 
negotiations on the provisions of the North Ameri- 
can regional broadcasting agreement, Habana, 
1937, as set forth in paragraph 3, section D, part 

II. 

In consultation with the American Embassy, 
Commissioner Hyde and Mr. McNaughton will 
negotiate with Cuban officials in an endeavor to 
amplify, by means of bilateral agi'eement, the pro- 
visions of this agreement with respect to the es- 
tablishment of a new or expanded procedure by 
means of which potential radio interference on 
broadcasting channels may be calculated. 

From Cuba, Mr. Hyde and Mr. McNaughton 
may proceed to Mexico City for similar talks be- 
fore returning to Washington. 

Department of Stale Bulletin 



Protocol for the Regulation of Whaling— 1946 ^ 

THE PRESIDENT'S LETTER OF TRANSMITTAL 



The White House, April <S, 1947. 

To the Senate of the United States: 

With a view to receiving the advice and consent 
of the Senate to ratification, I transmit herewith 
a certified copy of a protocol for tlie regulation of 
whaling, opened for signature at Washington on 
December 2, 1946, and signed under that date for 
the United States of America. Argentina, Aus- 
tralia, Brazil, Canada, Chile, Denmark, P^rance, 
the Netherlands, New Zealand, Norway, Peru, the 
Union of South Africa, the Union of Soviet So- 
cialist Republics, and the United Kingdom of 



(Jreat Britain and Northern Ireland. The pro- 
tocol extends until October 31, 1948, the provisions 
of the protocol signed at London, November 26, 
1945, amending tiie agreement for the regulation 
of whaling, signed at London, June 8, 1937. 

I also transmit, for the information of the Sen- 
ate, the report made to me by the Acting Secretary 
<if State in explanation of the objectives and pro- 
visions of the protocol of December 2, 1946. 

H.ARRY S. Truman 

(Enclosures: (1) Report of the Acting Secretary of 
State. (2) certified copy of protocol, opened for signa- 
ture December 2, 1946, for the regulation of whaling^) 



REPORT OF THE ACTING SECRETARY OF STATE 



Washington, April 7, 19J,7. 
The President, 

The White House. 

The undersigned, the Acting Secretary of State, 
has the honor to lay before the President, with 
a view to its transmission to the Senate to receive 
the advice and consent of that body to ratification, 
if his judgment approve thereof, a certified copy 
of a protocol for the regulation of whaling, opened 
for signature at Washington December 2, 1946, 
and signed under that date for the United States 
of America, Argentina, Australia, Brazil, Canada, 
Chile, Denmark, France, the Netherlands, New 
Zealand, Norway, Peru, the Union of South Africa, 
the Union of Soviet Socialist Republics, and the 
United Kingdom of Great Britain and Northern 
Ireland. The protocol extends until October 31, 
1948, the provisions of the protocol signed at 
London November 26, 1945, amending the agree- 
ment for the regulation of whaling, signed at 
London June 8, 1937. 

The provisions of the protocol were formulated 
by the International Whaling Conference held at 
Washington from November 20 to December 2, 
1946. One of the objectives of that Conference 
was to decide upon adequate regulations to be ap- 
plied during the whaling season of 1947-48. In 
the absence of such regulations, failure to effect the 
entry into force, prior to the opening of the 1947-48 
season, of the long-range regulations formulated 

April 27, 1947 



at the Conference would bring about a situation 
in which that season would be governed only by 
the less extensive provisions of the convention for 
the regulation of whaling signed for the United 
States at Geneva March 31, 1932, the agreement for 
the regulation of whaling signed at London June 
8, 1937, and the protocol signed at London June 
24, 1938, to all of which the United States is a 
party as a result of the ratification thereof by this 
Government. 

Accordingly, article I of the protocol extends 
to the 1947-48 whaling season the provisions of 
the protocol of November 26, 1945, which supple- 
ments and modifies previous agreements, thus con- 
tinuing the over-all catch limitation in Antarctic 
waters as well as other desirable features of the 
protocol of 1945. 

Article II provides that the protocol shall enter 
into force when notifications of acceptance have 
been given to the Government of the United States 
of America by all the governments parties to the 
protocol of November 26, 1945, to which the United 
States is a party as a result of the ratification 
thereof by this Government. 
Respectfully submitted. 

Dean Acheson 
(Enclosures : Certified copy of protocol, opened for signa- 
ture December 2, 1946, for the regulation of whaling.) 

' S. Exec. K, 80th Cong., 1st sess. 
'Protocol not printed. 



77t 



International Convention for the Regulation of Whaling 



THE PRESIDENT'S LETTER OF TRANSMITTAL 



The "White House, April 8, 194-7. 

To the Senate of the United States : 

With a view to receiving the advice and consent 
of the Senate to ratification, I transmit herewith 
a certified copy of an international convention for 
the regulation of whaling, opened for signature 
at Washington on December 2, 1946, and signed 
under that date for the United States of America, 
Argentina, Australia, Brazil, Canada, Chile, Den- 
mark, France, the Netherlands, New Zealand, 
Norway, Peru, the Union of South Africa, the 
Union of Soviet Socialist Kepublics, and the 
United Kingdom of Great Britain and Northern 
Ireland. 

The purposes of the convention are explained in 
the report of the Acting Secretary of State, which 



is transmitted herewith for the information of the 
Senate. 

I also transmit a certified copy of the final act 
of the International Wlialing Conference held at 
Washington from November 20 to December 2, 
1946, at which the convention was formulated, 
and a copy of the report of the delegation of the 
United States of America to that Conference. The 
final act does not require ratification and is trans- 
mitted as of possible interest in connection with 
the consideration of the convention. 

Harry S. Truman 

(Enclosures: (1) Report of the Acting Secretary of 
State; (2) certified copy of convention for regulation of 
whaling, opened for signature December 2, 1946;' (3) 
certified copy of final act of International Wlialing Con- 
ference held at Washington, November 20 to December 2, 
1946 ; ' (4) copy of report of the United States delegation.') 



REPORT OF THE ACTING SECRETARY OF STATE 



Washington, April 7, 1947. 

The President, 

The White House: 

The undersigned, the Acting Secretary of Stat«, 
has the honor to lay before the President for 
transmission to the Senate to receive the advice 
and consent of that body to ratification, if his 
judgment approve thereof, a certified copy of an 
international convention for the regulation of 
whaling, opened for signature at Washington De- 
cember 2, 1946, and signed under that date for 
the United States of America, Argentina, Aus- 
tralia, Brazil, Canada, Chile, Denmark, France, 
the Netherlands, New Zealand, Norway, Peru, the 
Union of South Africa, the Union of Soviet So- 
cialist Kepublics, and the United Kingdom of 
Great Britain and Northern Ireland. 

The provisions of the convention were formu- 

• S. Exec. I-, 80th Cong., 1st sess. 
'Not printed. 

772 



lated by the International Whaling Conference 
held at Washington from November 20 to De- 
cember 2, 1946. The principal objectives of that 
Conference were to consider the codification and 
possible modification of existing regulations on 
whaling in the light of the necessity for proper 
conservation of whale resources and orderly de- 
velopment of tlie whaling industry and to devise 
effective administrative machinery for the modi- 
fication of these regulations from time to time 
without calling a new international conference 
and concluding a new agreement or protocol in 
each instance. 

The regulations for the protection of whale 
stocks, which have undergone certain modifica- 
tions but remain substantially similar to regula- 
tions embodied in previous agreements to which 
the United States is a party, are incorporated in , 
the schedule attached to and forming an integral ^ 
part of the present convention. The International 
Whaling Commission, provided for by articles 
III, IV, and V, is charged with responsibility for 

Department of State Bulletin 



carrying out the purposes of the convention and 
in particular for amending the provisions of the 
schedule by the adoption of new regulations with 
respect to the conservation of whaling resources. 

Article I provides that the schedule shall form 
an integral part of the convention and that the 
convention shall apply to factory ships, land sta- 
tions, and whale catchers, and to all waters in 
which they operate. These provisions are based 
upon article II of the agreement for the regula- 
tion of whaling, signed at London June 8, 1937, 
and ratified by the United States on September 
3, 1937 (52 Stat. 1460). 

Article II defines certain terms essential to the 
effective operation of the convention. These par- 
ticular terms are embodied in the convention it- 
self, rather than in the schedule annexed thereto 
and, like the other portions of the convention 
proper, can be changed only by a new convention 
or protocol. 

Article III provides for the creation of the In- 
ternational Whaling Commission referred to 
above, to be composed of one member designated 
by each contracting government, and lays down 
certain rules for the operation of the Commission. 
Decisions of the Commission shall be taken by a 
simple majority of the members voting, except in 
cases involving amendments to the schedule, in 
which case a three-fourths majority of the mem- 
bers voting is required. The question of the re- 
lationship of this body to the United Nations, 
within the framework of a specialized agency 
thereof, is reserved for further consideration. 

The provisions of article IV, which authorize 
the Commission to organize studies and gather 
statistical and other data with respect to whales 
and whaling, are new to international whaling 
agreements but are similar in many respects to 
provisions in recent international fisheries agree- 
ments to which the United States is a party, in- 
cluding the convention between the United States 
and Canada for the preservation of the halibut 
fishery of the Northern Pacific Ocean and Bering 
Sea, signed at Ottawa January 29, 1937, and the 
convention between the United States and Canada 
for the preservation of the sockeye-salmon fish- 
eries of the Fraser River system, signed at Wash- 
ington May 26, 1930. 

The provisions of article V are likewise similar 
in certain respects to provisions contained in the 
above-mentioned fisheries conventions. The Com- 



THE RECORD Of THE WEEK 

mission established in accordance with article III 
may amend the schedule by adopting regulations 
designating protected species, fixing closed sea- 
sons and waters, limiting total catches and the 
sizes of whales taken, defining standards for 
measurement of whales and specifications for 
whale-catching equipment, and establishing re- 
quirements for statistical and other records. In 
making such amendments, however, the Commis- 
sion is prohibited from assigning numerical or 
other quotas to factory ships and land stations and 
is to be guided in its decisions by certain other 
criteria. 

Article V places other limitations upon the Com- 
mission's amending power in addition to the re- 
quirement of a three-fourths vote as provided 
by article III. A contracting government may 
exempt itself from amendments adopted by the 
Commission by filing notice of objection with the 
Commission within 90 days after the Commission 
has informed it of the amendment. Such action 
shall suspend the operation of the amendment in 
question for an additional 90 days and shall accord 
to any other contracting government the right to 
file similar objection within that period or within 
30 days from the date of receipt by the Commis- 
sion of the last objection filed during the former 
period, whichever date shall be the later. The 
amendment in question shall become effective, with 
respect to all contracting governments which have 
not filed such objections, upon the expiration of 
the latest of the additional periods, but shall not 
become effective with respect to any government 
making objection thereto unless that objection is 
withdrawn. It is further provided that no amend- 
ments proposed by the Commission shall become 
effective before July 1, 1949. 

Articles VI and VII contain provisions relat- 
ing to the Commission's powers of recommenda- 
tion and to the transmission of whaling statistics 
and other information, which are to be deposited 
with the International Bureau for Whaling Sta- 
tistics at Sandef jord, in Norway, or with any other 
body which the Commission may designate. 

Article VIII, which is based in large measure 
upon the pi-ovisions of article X of the agreement 
of June 8, 1937, authorizes the taking of whales 
for research purposes and subject to certain 
restrictions. 

Article IX requires that each contracting gov- 
ernment apply and enforce the provisions of the 



April 27, 7947 



773 



THE RECORD OF THE WEEK 

present convention with respect to persons or ves- 
sels under its jurisdiction. In addition, the pay- 
ment to crews of bonuses or other remuneration 
calculated upon the results of their work is pro- 
hibited with respect to the taking of whales pro- 
tected by the provisions of the convention. 

Article X provides for ratification by signatories 
and adherence by nonsignatories, and provides 
that the convention shall enter into force upon 
deposit with the Government of the United States 
of America of instruments of ratification by six 
signatory governments, which shall include the 
United States of America, the Netherlands, Nor- 
way, the Union of Soviet Socialist Republics, and 
the United Kingdom of Great Britain and North- 
ern Ireland. It shall enter into force with respect 
to each government subsequently ratifying or ad- 
hering upon the date of deposit of its instrument 
of ratification of of receipt of its notification of 
adherence. 

Article XI provides that any contracting gov- 
ernment may withdraw from the convention on 
June 30 of any year by virtue of notice given on 
or before the preceding January 1st. Such action 
shall accord to anj' other contracting government 
the riglit, within one month of receipt from the 
Government of the United States of America of a 
copy of such notice, to give similar notice of with- 
drawal, wliich shall become effective the same 
June 30. 

The provisions of the schedule, which pursuant 
to the provisions of article X of the convention, 
do not become effective until July 1, 1948, are 
based, with certain modifications and additions, 
upon similar provisions of the agreement of June 
8, 1937, and the protocols of June 24, 1938, and 
November 25, 1943, to which the United States is 
a party. Among the modifications are the re- 
quirement of two inspectors aboard each factory 
ship (par. 1), the inclusion of sei whales among 
the species for which a minimum length has been 
specified (par. 9), and the establishment of a 
31/^ months' season for baleen whales in Antarctic 
regions (par. 7). 

The undersigned also lays before the President 
a certified copy of the final act of the International 
Whaling Conference held at Washington from 
November 20 to December 2, 1946, which is fur- 
nished for the information of the Senate. The 
final act does not require action by the Senate. 

" Not printed. 



As of possible further interest to the Senate, 
particularly with respect to the provisions of the 
schedule, a copy of the report of £he delegation 
of the United States of America to the Conference 
is furnished herewith. 

Respectfully submitted. 

Dean Acheson 

(Enclosures: (1) Certified copj' of convention for regu- 
lation of whaling, opened for signature December 2, 1946; 
(2) certified copy of final act of International Whaling 
Conference held at Washington November 20 to December 
2, 1W6; (3) report of the United States delegation.') 

The United States and Non-SeSf- 
Governing Territories 

The Department of State released on April 14 
a summary entitled "The United States and Non- 
Self -Governing Territories", a compendium of in- 
formation regarding the United States and non- 
self-governing territories with particular refer- 
ence to chapters XI, XII, and XIII of the Charter 
of the United Nations. The summary outlines the 
development of international responsibility and 
of United States policy regarding dependent 
areas, the expansion of United Nations machinery 
for dealing with the problems of non-self-govern- 
ing territories, and the work of the Preparatory 
Commission of the United Nations and of the Gen- 
eral Assembly sessions in London and in New 
York with respect to the trusteeship question, and 
it defines the future responsibilities of the United 
States in the role of administrator of certain trust 
territories. Appended are pertinent United Na- 
tions and other international agreements and reso- 
lutions. 

Copies of this study will be made available in 
printed form at a later date. 

Confirmations to the Atomic Energy 
Commission 

The Senate on April 9, 1947, confirmed the fol- 
lowing nominations to the Atomic Energy Com- 
mission : 

Carroll L. Wilson, to be General Manager Witliin 
the Atomic Energy Commission. 

David E. Lilienthal, Robert F. Bacher, Sumner 
T. Pike, Lewis L. Strauss, and William W. Way- 
mack, to be members of the Atomic Energy Com- 
mission for terms expiring August 1, 1948. 



774 



Department of State Bulletin 



Air Agreement With Canada Amended 



EXCHANGE OF NOTES BETWEEN U.S. AMBASSADOR AND CANADIAN 
SECRETARY OF STATE FOR EXTERNAL AFFAIRS 



[Released to the press April 17] 

The Department of State announced on April 
17 that the annex to the bilateral air-transport 
agreement between the United States of America 
and Canada of February 17, 1945, has been 
amended by an exchange of notes in Ottawa effec- 
tive April 12, 1947. The changes effected by the 
new annex are in the form of provisions which 
mutually facilitate air-transport operations be- 
tween the two neighboring countries by the re- 
moval of certain restrictions on several air- 
transport services and by the opening to both 
countries of the airfield at the border at Sault Ste. 
Marie. 

The texts of the notes follow: 

April 10, 1947. 
Excellency : 

I have the honor to refer to the recent discus- 
sions held in Ottawa by the representatives of the 
Governments of the United States of America and 
Canada relative to air transport. As a result of 
these discussions I would propose that the agree- 
ment between the United States of America and 
Canada for air transport services, effected by ex- 
change of notes signed at Washington February 
17, 1945, be amended by the substitution of the 
following Annex in lieu of the Annex contained 
therein : 

"4?mea7 

"A. The airlines designated by the Government 
of the United States of America may operate on 
the following routes, with the right to take on 
and put down passengers, mail and cargo at the 
Canadian terminals specified: 

Boston — Moncton 
Boston — Montreal 
New York or Boston — Quebec 

Montreal 

Ottawa 
(Montreal 

"I Ottawa 

"In consideration of special circumstances exist- 



New York — 
Washington- 



Buffalo— Toronto 
Fargo — Winnipeg 
Great Falls — Lethbridge 
Seattle — Vancouver 
Seattle — Wliltehorse 
Fairbanks — Wliitehorse 



ing on the routes from New York and Washington 
to Montreal and Ottawa, the Canadian Govern- 
ment agrees that the United States carrier may 
serve both Canadian points on the same flights, 
so long as no Canadian cabotage rights are exer- 
cised. 

"The service on the route between Buffalo and 
Toronto may, at the election of the United States 
Government, bo rendered by two airlines. On the 
other routes service by a single airline only will 
be authorized. 

"In addition to the routes listed above, airlines 
of United States registry will be authorized to 
stop in Windsor on any route on which they are 
now or in the future may be authorized by the 
United States Government to serve Detroit. 

"B. The airlines designated by the Government 
of Canada may operate on the following routes, 
with the right to take on and put down pas- 
sengers, mail and cargo at the United States 
terminals specified : 



Halifax 


— Boston 


Toronto 


— New York 


Toronto 


— Cleveland 


Toronto 


— Chicago 


Port Arthur 


— Duluth 


Victoria 


—Seattle 


Whitehorse 


—Fairbanks 


Winnipeg 


—Sault Ste. Marie- 




North Bay-Toronto 



"In consideration of special circumstances exist- 
ing on the internal Canadian route between Win- 
nipeg and Toronto, the United States Government 
agrees that the Canadian carrier on this route may 
make use of an airfield at Sault Ste. Marie, Michi- 
gan, and may pick up and set down traffic there. 

"A single airline will be authorized for each of 
the foregoing routes. With respect to the routes 
between Toronto and Cleveland and Toronto and 
Chicago no through services will be operated from 
either point in the United States to points lying 
beyond the territorial limits of Canada. 



April 27, 1947 



775 



THE RECORD Of THE WBBK 

"In addition to the routes listed above, airlines 
of Canadian registry will be authorized to stop in 
Detroit on any route on which they are now or in 
the future may be authorized by the Canadian 
Government to serve Windsor." 

Accept [etc.] Ray Atherton 

The Right Honorable 

The Secretary of State for External Affaii'S 
Oiiawa 

Ottawa, l£tk April, 19^7. 

ExCELLENCT, 

I have the honor to refer to your note no. 675 
of April 10, 1947, in which you propose that the 
Agreement between the United States and Canada 
for Air Transport Services, effected by an ex- 
change of notes signed at Washington February 
17, 1945, be amended by the substitution of the 
Annex contained in the above-mentioned note, in 
lieu of the Annex contained in the notes of Febru- 
ary 17, 1945. The terms contained in the new 
Annex are acceptable to the Government of Can- 
ada, which agrees that your note no. 675 of April 
10 and this reply shall be regarded as constituting 
an undei'standing between our two Governments 
concerning this matter. 

Accept [etc.] 

L. B. Pearson 

For : Secretary of State for 
External Affairs. 

His Excellency 

The Honorable Ray Atherton, 

Ambassador for the United States, 

Ottawa. 

THE CONGRESS 

International Refugee Organization : Report to accom- 
pany S.J. Res. 77, from the Committee on Foreign Rela- 
Uons. S. Rept. 51, SOtli Cong. 4 pp. 

Amending the Law Relating to Larceny in Interstate 
or Foreign Commerce: Report to accompany H.R. 1564 
from tlie Committee on the Judiciary. H. Rept. 145, 80th 
Cong. 3 pp. 

Assistance to Greece and Turkey : Report From the Com- 
mittee on Foreign Relations, to accompany S. 938 to provide 
for assistance to Greece and Turkey. S. Rept. 90, 80th 
Cong., 1st sess. 21 pp. 

Relief Assistance to the People of Countries Devastated 
by War: Report From the Committee on Foreign Affairs, 
to accompany H.J. Res. 153 providing for relief assistance 
to the people of countries devastated by war. H. Rept. 239, 
80th Cong., 1st sess. 10 pp. 

776 



Extension of Title III of Second War Powers Act : Con- 
ference report on the bill (S. 931) to extend certain powers 
of the President under Title III of the Second War Powers 
Act. S. Doc. 25, 80th Cong., 1st sess. 2 pp. 

Providing for Relief Assistance to the People of Coun- 
tries Devastated by War. H.J. Res. 153, 80th Cong., 1st 
sess. 6 pp. 

Providing for Membership and Participation by the 
United States in the International Refugee Organization 
and Authorizing an Appropriation Therefor. S.J. Res. 77, 
80th Cong., 1st sess. 5 pp. 

Enabling the People of Hawaii To Form a Constitution 
and State Government and To Be Admitted Into the Union 
on an Equal Footing With the Original States : Report to 
accompany H.R. 49. H. Rept. 194, 80th Cong., 1st sess. 
40 pp. 

Assistance to Greece and Turkey : Hearings before the 
Committee on Foreign Relations of the United States 
Senate, on S. 938, a bill to provide for assistance to Greece 
and Turkey. 80th Cong., 1st sess. 214 pp. 

Amending Section 327 (H) of the Nationality Act of 
1940 : Report from the Committee on the Judiciary, to 
accompany S. 460. S. Rept. 96, 80th Cong., 1st sess. 2 pp. 

Menace of Communism : Statement of J. Edgar Hoover, 
Director, Federal Bureau of Investigation, before the 
Committee on Un-American Activities of the House of 
Representatives, relative to the menace of Communism. 
S. Doc. 26, 80th Cong., 1st sess. 12 pp. 

To Continue the Authority of the Maritime Commission 
To Operate Vessels Until July 1, 1947 : Hearings before the 
Committee on Merchant Marine and Fisheries of the 
House of Representatives, on H. J. Res. 114, a joint reso- 
lution to continue the authority of the Maritime Commis- 
sion to operate vessels until July 1, 1947. 80th Cong., 1st 
sess. 87 pp. 

To Continue the Commodity Credit Corporation : Hear- 
ings before the Committee on Agriculture and Forestry 
of tlie United States Senate, on S. 350, a bill to continue 
the Commodity Credit Corporation as an agency of the 
United States until June 30, 1949. 80th Cong., 1st sess. 
144 pp. 

Eradication of Foot-and-Mouth Disease : Hearings be- 
fore the Committee on Agriculture of the House of Repre- 
sentatives, on H. R. 1819 (S. 5G8), to authorize the Secre- 
tary of Agriculture to cooperate with other American 
countries in the control and eradication of foot-and-mouth 
disease and rinderpest. 80th Cong., 1st sess. 93 pp. 

Control and Eradication of Foot-and-Mouth Disease and 
Rinderpest : Hearings before the Committee on Appro- 
priations of the United States Senate, on H. J. Res. 154, 
a Joint resolution making an appropriation for expenses 
incident to the control and eradication of foot-and-mouth 
disease and rinderpest. 80th Cong., 1st sess. 26 pp. 

Rubber Production and Importation Policy: Hearings 
before a Subcommittee of the Committee on Banking and 
Currency of the United States Senate, on S. J. Res. 79, 
H. J. Kes. 77, and S. J. Res. 83, joint resolutions to 
strengthen the common defense by maintaining an ade- 
quate domestic rubber-producing industry. 80th Cong., 
1st sess. 183 pp. 

Department of State Bulletin 



Relief Assistance to CJountries Devastated by War: 
Hearings before the Committee on Foreign Affairs of the 
House of Representatives, on H. J. Res. 134, a joint resolu- 
tion providing for relief assistance to countries devastated 
by war. 80th Cong., 1st sess. 129 pp. 

Succession to the Presidency : Hearings before the Com- 
mittee on Rules and Administration of the United States 
Senate on S. Con. Res. 1, a concurrent resolution to appoint 
a Joint committee to investigate matters connected with 
the succession to the Presidency and the election of Presi- 
dent and Vice President ; S. 139, a bill to provide for the 
holding of special elections to fill vacancies caused by 
removal, death, resignation, or inability of both the Presi- 
dent and the Vice President ; S. 536, a bill to provide for 
the holding of a special election by the members of the 
Electoral College to fill vacancies caused by the removal, 
death, resignation, or inability of both the President and 
the Vice President ; S. 564, a bill to provide for the per- 
formance of the duties of the office of President in case 
of the removal, resignation, or inability both of the Presi- 
dent and Vice President. 80th Cong., 1st sess. 63 pp. 

Safety in Air Navigation : Hearings before the Com- 
mittee on Interstate and Foreign Commerce of the House 
of Representatives, on safety in air navigation. Part 1. 
80th Cong., 1st sess. 646 pp. 

First Deficiency Appropriation Bill for 1947: Hearings 
before the Subcommittee of the Committee on Appropria- 
tions of the House of Representatives, on the first deficiency 
appropriation bill for 1947. 80th Cong., 1st sess. 920 pp. 

Providing Support for Wool : A report from the Com- 
mittee on Agriculture, to accompany S. 814, a bill to pro- 
vide support for wool, and for other purposes. H. Rept. 
257, 80th Cong., 1st sess. 5 pp. 

Amending the Act on Espionage and Alien Registration : 
A report from the Committee on the Judiciary, to accom- 
pany H. R. 1467, a bill to amend the act entitled "An act 
to punish acts of interference with the foreign relations, 
the neutrality, and the foreign commerce of the United 
States, to punish espionage, and better enforce the crim- 
inal laws of the United States, and for other purposes," 
of June 15, 1917, as amended, and the Alien Registi-ation 
Act, 1940, to increase the penalties for violation of such 
acts, having considered the same. H. Rept. 250, 80th 
Cong., 1st sess. 5 pp. 

Estimate of Appropriation Involving a Decrease for the 
Council of Economic Advisers : Communication from the 
President of the United States, transmitting estimate of 
appropriation involving a decrease of $33,000 for the 
Council of Economic Advisers. H. Doc. 202, 80th Cong., 
1st sess. 2 pp. 

Relieving Collectors of Customs of Liability for Failure 
To Collect Certain Special Tonnage Duties and Light 
Money : A report from the Committee on the Judiciary, to 
accompany H. R. 14C5, a bill to relieve collectors of cus- 
toms of liability for failure to collect certain special ton- 
nage duties and light money, and for other purposes. 
H. Rept. 249, 80th Cong., 1st sess. 2 pp. 

April 27, 1947 



THE RECORD OF THE WBEK 
Agriculture in tiie Americas 

The following article of interest to Bulletin read- 
ers appeared in the April-May 1947 issue of Agri- 
culture in the Americas, a publication of the Depart- 
ment of Agriculture, copies of which may be obtained 
from the Superintendent of Documents, Government 
Printing Office, for 10 cents each : 

"Cibao Valley — Food Basket of the Dominican Re- 
public", by RoUo P. Stovall, Economic Analyst, Ameri- 
can Embassy, Ciudad Trujillo, Dominican Republic. 

THE FOREIGN SERVICE 

Appointments of Public Affairs 
Officers 

The Department of State announced on April 10 the 
following appointments : 

Donald Carl Dunham, as Public Affairs Officer at Bucha- 
rest, Rumania 

George W. Edman, as Public Affairs Officer at Copenhagen, 
Denmark 

Arthur H. Hopkins, Jr., as Assistant Public Affairs Officer 
at Chungking, China 



THE DEPARTMENT 

Interim Greece-Turkey Assistance 
Committee 

I Pending the establishment of a permanent organi- 
zation, an Interim Greece-Turkey Assistance Committee 
is hereby established. 

A Functions. The Committee shall serve as the 
principal instrument of coordination for the various offices 
of the Department concerned with problems relating to 
the Greece-Turkey Assistance Program. Specifically : 

1 To identify, analyze, and coordinate policy, op- 
erational, and organizational plans and recommenda- 
tions on problems relating to the Greece-Turkey Assist- 
ance Program for the consideration of the Secretary 
and Under Secretary. 

2 To plan, initiate, and maintain policy supervi- 
sion over the preliminary operational phases of the 
program. 

B Memiership. 

1 The Interim Greece-Turkey Assistance Commit- 
tee shall be composed of a representative from each of 
the following units : U-E ; A-P ; A-H ; A-T ; A-B ; NEA ; 
EUR ; OFD ; and ITP. When appropriate, representa- 
tives of other units concerned may be invited or may 
request to participate in the work of the Committee. 

2 The officers of this Committee are : The Chair- 
man, Mr. George C. McGhee, U-B; the Executive Sec- 
retary, Mr. John D. Jernegan, NE. The secretary will 

777 



THE DEPARTMENT 
be provided by the Committee Secretariat Branch of 
the Executive Secretariat. 

Appointment of Officers 

Hamilton Robinson as Director, Office of Controls, 
effective March 10, 1947. 

Robert W. Woc.dward as Deputy Director, Office of 
American Republic Affairs, effective March 20, 1947. 

The Department of State announced on April 14 the ap- 
pointment of Otis E. Mullilcen as Adviser in the Division 
of International Organization Affairs, Office of Special 
Political Affairs, Department of State. 

Departmental Regulations 

116.1 Office of the Legal Adviser (Le): (EfFective 

2-14-47) 
I Functions. The Legal Adviser has equal rank in 
all respects with the Assistant Secretaries and has general 
respnnsibaity for aU matters of a legal character concern- 
ing the Department and Foreign Service. This involves 
the direction and coordination of all legal activities in the 
Department and includes the following functions : 

A General. 

1 Maintains liaison within the Department and 
with other departments on legal and related matters. 

2 Provides legal representation on Departmental 
and Interdepartmental committees. 

3 Participates in international conferences, and 
provides representation to the Secretary's Staff Com- 
mittee. 

B Atomic Energy and Oemianr Austrian Matters. 

1 Assists in the solution of legal problems relating 
to atomic energy matters; including the participation of 
the United States in the Atomic Energy Commission of 
the United Nations and in the establishment of an inter- 
national agency for the control and development of 
atomic energy. 

2 Handles specialized legal problems Involving 
Military Government laws and policy with respect to 
Germany and Austria. 

C Political Affairs. 

1 Provides legal services for the geographic offices 
and divisions including the drafting or approving of in- 
structions to embassies, consulates, and missions abroad 
and of communications to foreign embassies and lega- 
tions in Washington whenever such Instructions relate 
to a function of the political divisions and present a 
problem of legal character ; 

2 Handles questions relating to diplomatic pro- 
tection of American nationals and their property inter- 
ests In foreign countries ; 



778 



3 Drafts and advises on treaties and other agree- 
ments with foreign governments in the general political 
field including treaties of peace and agreements subsid- 
iary thereto. 

D International Organization Affairs. 

1 Renders legal services in connection with partici- 
pation of the United States in international organiza- 
tions, particularly the United Nations and its principal 
organs, the Security Council, General Assembly, the Eco- 
nomic and Social Council, the Trusteeship Council, and 
the International Court of Justice ; 

2 Handles legal problems relating to the functions 
of the United Nations Relief and Rehabilitation Admin- 
istration and to the specialized agencies of the United 
Nations. 

E International Claims. 

1 Provides legal services on all international 
claims, including legal questions arising as a consequence 
of (a) war losses and (6) post-war programs of nation- 
alization and agrarian reform programs of foreign 
countries ; 

2 Assists in the settlement of pre-war claims 
against a number of countries. 

F Economic Affairs. 

1 Provides legal services for the Under Secretary 
for Economic Affairs, the Assistant Secretary for Eco- 
nomic Affairs and for the offices and divisions (other 
than the Office of Foreign Liquidation ) under the direc- 
tion of the Assistant Secretary for Economic Affairs, and 
economic matters otherwise arising in the Department ; 

2 Provides legal services on problems relating to 
financial matters including loans made by the United 
States, investments of American industries abroad, car- 
tels and combines, industrial and literary property, com- 
mercial treaties and trade agreements, and transporta- 
tion problems; 

3 Provides legal services on matters relating to 
aviation, shipping, and seamen, telecommunications, 
health and welfare activities, labor problems and natural 
resources, including fisheries. 

G Administration and Foreign Service. . 

1 Provides legal assistance to the Assistant Secre- 
tary for Administration and for the offices and divisions 
under his directiton in all matters relating to the admin- 
istration of the Department and the Foreign Service, 
including personnel, budget, expenditure of funds and 
appropriation language ; 

2 Prepares, revises or reviews legislation. Foreign 
Service regulations, and Executive Orders before clear- 
ances with the Bureau of the Budget ; 

3 Supei-vises the legal aspects of the Foreign Serv- 
ice building program and passes upon tlie validity of real 
property transactions ; 

4 Handles Foreign Service legal problems relating 
to estates and notarial functions; 

5 Provides instruction on problems of law affecting 
the Foreign Service, such as diplomatic privileges and 
immunities. 

Department of State Bulletin 



H Military Affairs and Occupied Areas. 

1 Provides legal services for the Assistant Secre- 
tary for Occupied Areas including legal services relating 
to the Administration of the Selective Service Act in Its 
effect on foreign relations, to war crimes, and to Hague, 
Geneva, or similar Conventions as may be given consid- 
eration ; 

2 Handles legal problems concerning military and 
naval bases ; and jurisdiction over members of armed 
forces in foreign countries ; 

3 Works closely with other interested divisions of 
the Department with regard to the legal problems of 
occupied areas and other related problems arising di- 
rectly out of the war such as reparations, the repatria- 
tion of refugees, and the taking over of Axis assets 
abroad, including diplomatic and consular properties. 

I Piihlic Affairs. 

1 Provides legal services for the Assistant Secre- 
tary for Public Affairs and for the offices and divisions 
under his direction relating to contracts, supplementary 
agreements and modifications in connection with the 
Information and cultural relations program ; 

2 Handles legal matters connected with the Ad- 
ministration of the Act of May 23, 1938 (5 U. S. O. llSe) ; 

3 Provides legal counsel in connection with radio 
broadcasting and motion picture activities. 

J Special ProhJems. 

1 Handles legal problems in particular fields which 
call for specialization of an intensive character and 
which cut across other fields, such as immigration and 
nationality, sovereign immunity, extradition, and court 
procedure generally. 

2 Discharges the Department's responsibilities 
with regard to amendments to the Constitution, and 
ascertains the electors for President and Vice President. 

K Treaties and other International Agreements. 

1 Collects, compiles, and maintains information 
pertaining to treaties and other international agree- 
ments ; 

2 Performs research and furnishes information 
and advice with respect to the provisions of such exist- 
ing or proposed instruments ; 

3 flandles procedural matters on treaties, includ- 
ing the preparation of full powers, ratifications, procla- 
mations, and protocols ; 

■1 Handles matters related to the signing, ratifica- 
tion, proclamation, and registration of treaties and other 
international agreements ; 

5 Provides custody of the original texts of treaties 
and other international agreements ; 

6 Prepares reports and messages for submission of 
treaties to the Senate ; 

7 Provides current and long range planning on all 
treaty matters, in collaboration with other offices con- 
cerned. 

L Legislative Counsel. 

1 Maintains relations vilth the Congress and serves 

April 27, 1947 



THE DEPARTMENT 

as the principal point of coordination for all liaison 
activities between the Department and the Congress ; 

2 Provides legal guidance to offices and divisions 
of the Department concerned with legislative action (in- 
cluding the advice and consent of the Senate to the ratifi- 
cation of treaties and conventions) in connection with 
the Department's programs or projects ; 

3 Assists in the preparation of legislation and di- 
rects the coordination of its presentation to the Congress 
in conjunction with and on approval of the Assistant 
Secretaries as to policy affecting their respective fields 
of responsibility ; 

4 Clears all reports to Congress that are trans- 
mitted or approved on behalf of the Department; 

5 Receives in the first instance all requests, oral or 
written, for expressions of opinion on pending or pro- 
posed legislation excepting those instances where con- 
tact is made directly with the Office primarily con- 
cerned with such pending or proposed legislation. Where 
these exceptions occur, the Legal Adviser is to be kept 
fully advised of all developments consequent thereto; 

6 Clears all communications prepared in response 
to requests for comment on pending or proposed legis- 
lation, all communications between the Department and 
other government departments and agencies regarding 
such legislation and in general all communications per- 
taining to pending or proposed legislation, treaties or 
conventions which are addressed by the Department to 
the Congress, to chairmen of committees and to individual 
members ; 

7 Clears all replies to oral or written requests from 
the Bureau of the Budget for the views of the Depart- 
ment on enrolled enactments of the Congress, proposed 
or pending legislation, and Executive Orders. 

II Organization. The Office of the Legal Adviser con- 
sists of the following : 

A Tlie immediate office of the Legal Adviser includ- 
ing the office of his Executive Assistant (Le). 
B Special Assistants. 

1 Special Assistant to the Legal Adviser for Atomic 

Energy Matters (Le). 

2 Special Assistant to the Legal Adviser for Ger- 

man-Austrian Affairs (Le). 
C Assistant Legal Adviser for Political Affairs 

(Le/P). 
D Assistant Legal Adviser for International Organ- 
ization Affairs (Le/I). 
E Assistant Legal Adviser for International Claims 

(Le/C). 
P Assistant Legal Adviser for Economic Affairs 

(Le/E). 
G Assistant Legal Advi.ser for Administration and 

Foreign Service (Le/A). 
H Assistant Legal Adviser for Military Affairs and 

Occupied Areas (Le/M). 
I Assistant Legal Adviser for Public Affairs (Le). 
J Assi.stant Legal Adviser for Special Problems 

(Le/S). 
K Assistant for Treaty Affairs (Le/T). 
L Legislative Counsel (AA/L). 



779 



The Council of Foreign Ministers ^sKe 

Moscow Meeting of the Council of Foreign 
Ministers. Statements by the Secretary 
of State: 
Questions Relating to Germany: 

Relation of German Coal Production to 

Economic Unity 741 

Delimitation of Scope of Proposed Four- 
Power Treaty for Germany 741 

Consideration of Disarmament Measures 

for Germany 742 

American Position on Peace Conference . . 742 

Economic Affairs 

U.S. Delegation to Tin Study Group .... 748 
American Delegation to International Radio 

Conference 749 

Post-UNRRA Relief Program. Statement by 

Acting Secretary Acheson 755 

Our Domestic Economy and Foreign Affairs. 

By Assistant Secretary Thorp 758 

International Trade Conference Convenes in 

Geneva. Statement by the Deputy 

Chairman of the U.S. Delegation .... 763 
U.S.-Swedish Talks on Import Restrictions . . 767 
Pre-1934 Philippine Bonds Delivered to U.S. 

for Destruction 767 

Conversations With Cuba on Broadcasting . . 770 

General Policy 

Control of Exportation and Importation of 
Arms, Ammunition, and Implements of 
War. The President's Message to the 
Congress 750 

U.S. Requests Reinstatement of Credentials for 

Correspondent in Spain 764 

Letters of Credence: Siam 767 

Anniversary of Pan American Day. Statement 

by Assistant Secretary Braden 768 

The Inter- American System: A Solid Founda- 
tion for the Challenge of the Future. By 
Ellis O. Briggs 769 

Confirmations to Atomic Energy Commission . 774 



United Nations Page 

The Establishment of the Commission for Con- 
ventional Armaments. Article by James 

M. Ludlow 731 

U.S. Delegation to Passports Conference . . . 748 
U.S. Delegation to Preparatory Commission of 

IRQ 748 

Milton Eisenhower to UNESCO Executive 

Board 749 

Occupation Matters 

Revision of Japanese Educational System . . . 746 
U.S. Zone in Germany Closed to Additional 

Displaced Persons 766 

Treaty Information 

Italy, Syria, and Lebanon Join Bank and 

Fund 749 

Surplus Property Air-Rights Agreements . . . 766 

Lend-Lease Discussions With U.S.S.R 767 

Protocol for the Regulation of Whaling — 1946 . 771 
International Convention for the Regulation 

of Whaling 772 

Air Agreement With Canada Amended. Ex- 
change of Notes 775 

Educational, Scientific, and Cultural 
Cooperation 

Visit of Cuban Chemist 770 

Calendar of international Meetings . . . 744 

The Foreign Service 

Appointments of Public Affairs Officers. , . . 777 

The Congress 776 

The Department 

Interim Greece-Turkey Assistance Committee. 777 

Appointment of Officers 778 

Departmental Regulations 778 

Publications 

The U.S. and Non-Self-Governing Territories . 774 
Agriculture in the Americas 777 



James M. Ludlow, author of the article on the establishment of 
the Commission for Conventional Armaments, is a Divisional Assis- 
tant in the Regulation of Armaments Branch, Division of Interna- 
tional Security Affairs, Office of Special Political Affairs, Department 
of State. 



U. S. GOVERNMENT PRINTING OFFICEi 1947 



^ri€/ zl^e^a/y^iT^teni/ xw t/tate^ 





MOSCOW MEETING OF THE COUNCIL OF FOR- 
EIGN MINISTERS: Discussion of German and 
Austrian Draft Treaties • Statements by the Secretary 
of State 793 



POLICY STATEMENTS BY FAR EASTERN COM- 
MISSION ON JAPANESE CONSTITUTION . 



802 



UNITED STATES TRUSTEESHIP FOR THE TERRI- 
TORY OF THE PACIFIC ISLANDS • Article by 
Robert R. Robbina 783 



For complete contents see back cover 



Vol. XVI, No. 409 
May 4, 1947 




li. S. SUPERIKTENDENT Of DOCUMENTS 

JUN ^ 1947 




<JAe ^e^ia/i(i^e^t /^ ^ale Vj W JL JL Kj L 1 1 1 



Vol. XVI, No. 409 • Publication 2818 
May 4, 1947 



For sale by the Superintendent or Documents 

D. S. Government Printing Office 

WashiDgton 25, D. C. 

Subscription: 
62 Issues, $5; single copy, 15 cents 

Published with the approval of the 
Director of the Bureau of the Budget 

Note: Contents of this publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of the Department 
OF State Bulletin as the source will be 
appreciated. 



The Department of State BULLETIN, 
a weekly publication compiled and 
edited in the Division of Publications, 
Office of Public Affairs, provides the 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the work of the De- 
partment of State and the Foreign 
Service. The BULLETIN includes 
press releases on foreign policy issued 
by the White House and the Depart- 
ment, and statements and addresses 
made by the President and by the 
Secretary of State and other officers 
of the Department, as well as special 
articles on various plutses of inter- 
national affairs and the functions of 
the Department. Information is in- 
cluded concerning treaties and in- 
ternational agreements to which the 
United States is or may become a 
party and treaties of general inter- 
national interest. 

Publications of the Department, cu- 
mulative lists of which are publislied 
at the end of each quarter, as well as 
legislative material in thefield of inter- 
national relations, are listed currently. 



UNITED STATES TRUSTEESHIP FOR THE TERRITORY 
OF THE PACIFIC ISLANDS 



iy Robert R. Robbins 



This article traces the steps in the development of the 
trusteeship agreement for the forvrver Japanese Mandated 
Islands which was approved by the Security Council on April 
^, 191i7. Only congressional authorization to accept on be- 
half of the United States is now required to approve and 
bring into force the trusteeship agreen^nt for the Territory 
of the Poucific Islands. 



The Security Council of the United Nations has 
completed its deliberations on the United States 
draft trusteeship agreement for the former Jap- 
anese Mandated Islands. By a unanimous vote on 
April 2, 1947, it approved, with but four minor 
changes, the text of the agreement proposed by the 
United States and submitted to the Secretary- 
General by the United States Representative in the 
Security Council on February 17, 1947. The final 
acceptance of the agreement without substantial 
changes was reached only after full acceptance of 
the United States view that the matter of trustee- 
ship for the former Japanese Mandated Islands 
does not depend upon, and need not await, the 
general peace settlement witli Japan. 

According to article 16 of the agreement, the ap- 
proval by the Government of the United States 
ifter due constitutional process is also required as 
well as that of the Security Council, which has al- 
['•eady been given, before the agreement comes into 
jforce. Wlien that process is completed, the juris- 
diction which the United States now exercises un- 
|ler military government in the mandated Mari- 
|inas, Caroline, and Marshall Islands of the central 
Pacific will be transformed and established within 
I he international trusteeship system of the United 
'fations. 

Aay 4, 1947 



A review of the problem of trusteeship and non- 
self-governing territories in Allied consultations 
during tiie war, the initiative by the United States 
on this issue, and the constructive leadership it 
exercised throughout the prolonged deliberations 
which culminated in the writing of chapters XI, 
XII, and XIII into the Charter of the United 
Nations at the San Francisco conference is set 
forth in an earlier issue of the Bulletin.^ A more 
recent Bulletin article = deals with the inaugura- 
tion of the trusteeship system provided for by the 
Charter and the organization of the Trusteeship 
Council following the approval by tlie General As- 
sembly in December 1946 of trusteeship agreements 
for eight non-strategic territories, all of which 
were formerly mandates under the League of Na- 
tions. The most recent step in the development of 
the international trusteeship system is the action 
taken by the Security Council to place the former 
Japanese Mandated Islands under trusteeship. To 



' Ralph J. Bunclie, "Trusteeship and Non-Self-Governing 
Territories in the Charter of the United Nations", Bulle- 
tin of Dec. 30, 1945, p. 1037. 

^Elizabeth H. Armstrong and William I. Cargo, "The 
Inauguration of the Trusteeship System of the United 
Nations", Bulletin of Mar. 23, 1947, p. 511. 

783 



this end, the United States submitted the draft 
trusteeship agreement which may now be consid- 
ered in the light of its recent approval by the 
Security Council. 

At the outset of any discussion concerning the 
disposition of the former Japanese Mandated 
Islands, it is useful to bear in mind the nature and 
extent of these islands and the historical facts 
which led up to the assumption of United States 
jurisdiction over them. 

The Isles of Micronesia 

The islands of Micronesia are sometimes consid- 
ered as an archipelago of great extent which lies 
just north of the Equator in the central Pacific. 
The archipelago contains three groups of islands 
which stretch fully 2,600 miles from east to west, 
and about 500 miles in gi-eatest width. The 
island groups are : the Marshall Islands, including 
Kwajelein, Eniwetok, and Majuro, which lie about 
1,500 miles southwest of Hawaii; the Caroline 
Islands, including Kusaie, Ponape, Truk, Ulithi, 
Yap, and the Palaus, the latter extending to 
within several hundred miles of the Philippines ; 
and the Marianas Islands, including Saipan and 
Tinian in addition to the United States possession 
of Guam, extending northward to within 1,000 
miles of Japan proper.* With respect to the area, 
population, and economy of the islands, the United 
States Representative in the Security Council 
stated on February 26, 1947, that "The Japanese 
Mandated Islands— the Marshalls, Marianas, and 
Carolines— consist of some 98 islands and island 
clusters with a total land mass of only 846 square 
miles, a total population of only about 48,000 
native inhabitants, and negligible indigenous eco- 
nomic resources." * 

Many of the isles of Micronesia were discovered 
by Spanish navigators during the sixteenth cen- 
tury. In 1565 Spain annexed the Marianas. It 
was only in the latter part of the nineteenth cen- 
tury, however, that the islands of the central 
Pacific acquired international political signifi- 



' Also included in the Pacific area of Micronesia are tlie 
Gilbert Islands, which lie across the Equator, and the 
mandated island of Nauru, which lies just south of the 
Equator. 

* BuiXETiN of Mar. 9, 1947, p. 416. 

'Foreign Relations, The Paris Peace Conference, 1919, 
vol. XIII, pp. 97-98, lOa-104, 277-278. (Department of 
State publication 2757.) 

784 



cance. Germany took possession of the Marshalls 
in 1885. The Spanish flag was raised over the 
Carolines the following year. In 1898, at the close 
of the Spanish-American War, the United States 
acquired Guam. In 1899 Germany purchased the 
remaining Marianas and all of the Carolines from 
Spain and remained in possession of these and 
the Marshalls until World War I. In October 
1914 Japanese forces occupied all the German 
islands in Micronesia except Nauru, which was 
occupied by the Australians. 

By article 119 of the Treaty of Versailles, Ger- 
many renounced in favor of the Principal Allied 
and Associated Powers all her rights and titles 
over her overseas possessions. These colonies, de- 
scribed in paragraphs 5 and 6 of article 22 of the 
Covenant of the League of Nations, were subse- 
quently administered under "B" and "C" man- 
dates. On May 7, 1919, the territories referred to 
were allocated to mandatories for administration 
under the terms of article 22 by a decision of rep- 
resentatives of the United States, France, Great 
Britain, and Italy. The decision included the 
following stipulation regarding the German 
islands north of the Equator : "The mandate shall 
be held by Japan." The United States, on No- 
vember 9, 1920, declared to the other governments 
to which Germany renounced her colonies that "at 
the previous request of President Wilson" at the 
Paris Peace Conference and in the hope that it 
might be made available by agreement as an inter- 
national cable station, "it is the understanding of 
the Government that the Island of Yap was not 
included in the action of the Supreme Council on 
May 7, 1919." 

In as much as the Governments of Great Britain, 
France, Italy, and Japan did not share that under- 
standing, correspondence ensued which involved 
the terms of the mandate under which Japan was 
to administer the former German islands north 
of the Equator. The Governments of the United 
States and Japan reached an agreement with re- 
gard to the temporary operation of the Naba- Yap- 
Guam cables, with the consent of Great Britain, 
France, and Italy. This agreement was evidenced 
by Executive Order No. 3600, December 24, 1921, 
and an exchange of notes of January 30 and Feb- 
ruary 4, 1922.= 

Japan was assigned a class "C" mandate over the 
former German islands in the Pacific Ocean north 

Deparfmenf of State Bulletin 



of the Equator. Specific obligations were im- 
posed upon the mandatory power, notably to pro- 
mote to the utmost the material and moral well- 
being and the social progress of the natives, to 
prohibit slavery and forced labor, to control traffic 
in arms, to exclude alcoholic beverages, to permit 
freedom of worship and missionary activities, to 
refrain from building fortifications and military 
bases, and to submit an annual report to the League 
of Nations. On these terms Japan was confirmed 
as the mandatory power by the Council of the 
League of Nations on December 17, 1920. 

United States arrangements with Japan for 
communication facilities were further recorded in 
the treaty with Japan regarding rights in former 
German islands in the Pacific Ocean north of the 
Equator, and in particular the Island of Yap, 
signed at Washington February 11, 1922, and 
brought into force July 13, 1922. 

The islands under mandate attracted little inter- 
national attention until rumors gained currency 
in 1932 that Japan was fortifying some of the 
islands, notably Truk, in violation of the mandate. 
Japan categorically denied such reports and suc- 
cessfully avoided international investigation. In 
1933 the fortification issue became subordinate to 
Japan's notice of intention to withdraw from the 
League and resulting discussion of her right to 
continue as mandatory upon ceasing to be a mem- 
ber of the League. Japan remained in the man- 
dated territory after her withdrawal became final 
in 1935 and continued to submit annual reports 
to the League through the year 1938. Meanwhile, 
no League member raised officially the question of 
Japan's right to continue as mandatory power. 
After 1938 the islands were increasingly treated 
by Japan as a closed military area. 

The Islands During the War 

Upon the outbreak of World War 11, Japan's 
rapid movement south and eastward into the Pa- 
cific at the same time her forces were overrunning 
southeastern Asia revealed with grim clarity the 
extent to which military preparations had been 
undertaken and operations projected which in- 
cluded use of the mandated islands as bases for ag- 
gression to the south and east. Japanese eastward 
I aggression reached its apogee in the attack on Pearl 
'Harbor on December 7 and the hard-won landings 
I at Wake Island on December 22, 1911. Guam fell 
to the aggressor on December 12. 



Within less than three months, however, Amer- 
ican naval units were engaging in defensive oper- 
ations devised almost exclusively for protecting 
our shores and lines of communication from the 
enemy. Operations of this type in the central Pa- 
cific began by the raid on the Marshall and Gilbert 
Islands on February 1, 1942. Our victory in the 
Battle of Midway " of June 3-6 removed the threat 
to Hawaii and the American west coast. 

Over the next two years defensive operations 
gradually changed to full offensive attacks on 
enemy positions. In the autumn of 1943 carrier- 
based air strikes on Marcus, Tarawa, Apamama, 
and Wake Islands served to soften Japanese in- 
stallations and keep the enemy guessing as to 
where the next full-scale attack would be delivered. 
Makin Island was captured on November 22, and 
after a four-day assault the heavily fortified island 
of Tarawa was taken on November 24, 1943. At 
the end of January 1944, large-scale offensive oper- 
ations were undertaken in the Marshalls which 
continued throughout February. In the follow- 
ing two months extensive task-force raids were 
carried out in the western, central, and eastern 
Carolines. Heavy attacks on Truk and Ponape 
at the end of April were delivered by the fast- 
carrier task force returning from support of the 
Hollandia operation. The Marianas Islands op- 
eration took place during the summer of 1944 and 
resulted in the capture of Saipan, Guam, and 
Tinian, and the neutralization of the other islands 
of the Marianas. The western Carolines opera- 
tion opened in September. Heavy assaults and 
stiffly resisted landings on Peleliu Island on Sep- 
tember 15 were the principal steps in neutralizing 
all the Palau Islands. Thus, in part, the way was 
prepared for executing plans for the reoccupation 
of the Philippines and subsequent operations cal- 
culated to bring about the total defeat of Japan. 

The Japanese Mandated Islands thus loomed 
large in the war in the Pacific. The foregoing 
chronology of naval operations ' recalls to mind 

'The Korean Admiral Yi-San defeated the fleet of the 
Japanese Shogun Hideyoshi ofC the Korean coast in 1592. 
In this connection the statement has been made that the 
Battle of Midway was the first defeat suffered by the 
Japanese Navy in 350 years, which gives the false im- 
pression that there was a Japanese Navy in existence 
throughout that period. 

' U.S. Navy at War 1941-19/,5, Official Reports to the 
Secretary of the Navy by Commander in Chief, United 
States Fleet, and Chief of Naval Operations (Washington, 
1946), passim. 



May 4, 1947 



785 



the magnitude of the price in human lives, eifort, 
and materiel required to wrest them from the 
enemy. No member of the United Nations has 
suggested that Japan should ever be reestablished 
in them. 

Present Status of Japanese and Japanese 
Mandated Islands 

The Cairo Declaration of December 1, 1943, 
stated that: 

". . . Japan shall be stripped of all the 
islands in the Pacific which she has seized or occu- 
pied since the beginning of the first World War in 
1914, and that all the territories Japan has stolen 
from the Chinese, such as Manchuria, Formosa, 
and the Pescadores, shall be restored to the Re- 
public of China. Japan will also be expelled from 
all other territories wliich she has taken by violence 
and greed." 

This declaration was reaffirmed by the procla- 
mation issued by the heads of the Governments of 
the United States, China, and the United Kingdom 
on July 26, 1945, at Potsdam, and subsequently 
adhered to by the Union of Soviet Socialist Re- 
publics.* Article 8 of the Potsdam Declaration 
stated : 

" ( 8 ) The terms of the Cairo Declaration shall be 
carried out and Japanese sovereignty shall be 
limited to the islands of Honshu, Hokkaido, 
Kyushu, Shikoku and such minor islands as we 
determined." 

On September 2, 194.5, Japan accepted these 
terms by the Instrument of Surrender." 

The application of tlie surrender terms to the 
islands of the Pacific formerly under the jurisdic- 
tion of Japan resulted in the United States acquir- 
ing responsibility for the present administration 
of a large number of them. United States military 
government is maintained at present in all outlying 
Japanese islands except the Kuriles and Southern 
Sakhalin, now under the control of the Govern- 
ment of the Soviet Union, and in Formosa, which is 
under the jurisdiction of China. The authority of 
General of tlie Army MacArthur extends to the 



' BuujiTm of July 29, 1945, p. 137. 
' BuiXETi>f of Sept. 9, 194.5, p. 3&4. 
" Bulletin of Nov. 17, 1946, p. 889. 
" For text of the draft agreement see Bulletin of 
Nov. 17, 1946, p. 889. 

786 



Ryukyu and Izu Islands which lie south and 
southeast of the main Japanese islands. All the 
other Japanese islands to the south and the former 
Japanese Mandated Islands are administered by 
the United States Navy under directives issued by 
the Joint Chiefs of Staff. 

The position of the United States regarding the 
outlying Japanese islands and Japanese Mandated 
Islands has been clearly stated by President Tru- 
man, who announced on November 6, 1946: "The 
United States is prepared to place under trustee- 
ship, with the United States as the administering 
authority, the Japanese Mandated Islands and any 
Japanese islands for which it assumes responsibil- 
ities as a result of the second World War." '" The 
President also stated that at an early date the 
United States planned to submit formally to tlie 
Security Council of the United Nations a draft 
trusteeship agreement for the former Japanese 
Mandated Islands. 

Submission of the Trusteeship Agreement 

The draft trusteeship agreement " to which the 
President referred was developed after long and 
careful consultations by the State, War, and 
Navy Departments. It contained the provisions 
whereby the United States was prepared to place 
the former Japanese Mandated Islands under in- 
ternational trusteeship. The draft agreement was 
made public on November 6, 1946, and copies 
were transmitted for information to the other 
members of the Security Council (Australia, Bra- 
zil, China, Egypt, France, Mexico, the Nether- 
lands, Poland, the Union of Soviet Socialist Re- 
publics, and the United Kingdom) and to New 
Zealand and the Republic of the Philippines, and 
were later transmitted to the newly elected mem- 
bers of the Security Council (Belgium, Colombia, 
and Syria) . 

It was believed by some governments that the 
matter should be held over until the peace treaty 
with Japan. The United States maintained that 
it was proposing the agreement in ftiU compliance 
with the trusteeship provisions of the Charter and 
was acting on the recommendation of the General 
Assembly of February 1946 which invited states 
administering former mandated territories to sub- 
mit trusteeship proposals. Therefore, it saw no 
reason why this matter should be postponed, but 
was willing, after the formal presentation of its 

Department of Slate Bulletin 



trusteeship proposals, to consider such postpone- 
ment as the Security Council might deem 
necessary. 

On February 17, 1947, the text of the draft trus- 
teeship agreement was submitted by the United 
States Eepresentative to the United Nations, War- 
ren R. Austin, to the Secretary-General with a 
request that the matter be placed on the agenda 
of the Security Council at an early date.^^ Tlae 
matter was placed on Uie provisional agenda for 
the 113th meeting of the Security Council." The 
United States submitted the draft trusteeship 
agi-eement for approval by the Security Council, 
rather than by the General Assembly, because 
under its terms the territory is designated as stra- 
tegic. This is in accordance with article 82 of the 
Charter, which provides that "There may be desig- 
nated, in any trusteeship agi-eement, a strategic 
area or areas which may include part or all of the 
trust territory . . .", and article 83, which states 
that "All functions of the United Nations relating 
to strategic areas, including the approval of the 
terms of the trusteeship agreements . . . shall be 
exercised by the Security Council." 

Consideration by the Security Council 

Mr. Austin formally submitted the United States 
draft trusteesliip agreement to the Security Coun- 
cil on February 26, 1947." At the same time he 
submitted to the Security Council a paper contain- 
ing the text of the draft agreement with article-by- 
article explanatory comments.'^ The Security 
Coimcil began consideration of the draft trustee- 
ship agreement on March 7, 1947, and discussions 
on the question were continued at four later meet- 
ings held on March 12, 17, and 28, and April 2, 
1947. 

At the 116th meeting of the Security Council the 
Australian Representative proposed that the de- 
cision of the Security Council should be finally 
confirmed at the peace conference settling the 
Pacific war, and that states not members of the 
Security Council who were belligerents in that war 
should have an opportunity to discuss the terms of 
trusteeship. As indicated below, the first of these 
propositions was later withdrawn. In regard to 
the second proposition the Australian Representa- 
tive proposed that a committee of the Council be 
established for the purpose of considering in detail 

May 4, 1947 



the draft trusteeship agreement; and that the com- 
mittee should consist of representatives of coun- 
tries having a direct interest in the future of the 
Japanese Mandated Islands, including representa- 
tives of such countries, not members of the Se- 
curity Council, who might be invited to partici- 
pate in the discussion of the question in accordance 
with article 31 of the Charter. 

In reply to this proposition the United States 
Representative stated: "Four months ago, the 
countries who are not members of this Security 
Council were delivered copies for the purpose of 
studying them. This conduct was consistent with 
the principles and policies of the United States." 
In conclusion he asked : "Wliy is it that the Council 
is asked to take such action as this that is proposed 
here if these countries who have had notice, and if 
other countries who have not had notice but who 
have lived in circumstances where they are really 
charged with knowledge, have none of them — not 
one single one — come forward and asked to be 
heard ? Wliy are we asked to pass that ? I regret 
it very much, but I think it would not be acting 
equitably to pass this resolution." 

In responding to this statement the Australian 
Representative declared that Australia's policy has 
been to support the United States policy in obtain- 
ing control of the islands, and that it was surpris- 
ing that his resolution should be interpreted as an 
attempt to interfere with the attainment of that 
objective. 

As debates ^^ on the issue continued, communi- 
cations were received from the Governments of 
New Zealand and India requesting, under article 
31 of the Charter, that they be allowed to partici- 
pate in the discussions. The New Zealand Gov- 
ernment also requested that those members of the 
Far Eastern Commission not represented in the 
Security Council be invited to participate, if they 
so desired, in the discussions. At its 118th meet- 



"^ U.N. doe. S/281, Feb. 17, 1947. 

" U.N. doc. S/287, Feb. 21, 1947. 

" The complete .statement by Mr. Austin in the Security 
Council i.s found in the Buixetin of Max. 9, 1947, p. 416. 

'° BuiiETiN of Mar. 0, 1947, p. 420. 

"Verbatim records of the Security Council discussions 
on the U. S. draft trusteeship agreement for the former 
Japanese Mandated Islands are contained in the following 
U. N. documents (1947) : S/P. V. 113, Feb. 26; S/P. V. 116, 
Mar. 7 ; S/P. V. 118, Mar. 12 ; S/P. V. 119, Mar. 17 ; S/P. V. 
123, Mar. 28 ; S/P. V. 124, Apr. 2. 

787 



ing the Security Comicil decided to grant these 
requests. Mr. Austin stated that the United States 
freely assented to the issuance of the proposed 
invitations, and Mr. Hasluck, the Australian 
Representative, treating the statement as a pro- 
posal, promptly supported it. The Security 
Council accordingly invited Canada, India, the 
Netherlands, New Zealand, and the Republic of 
the Philippines to be represented at subsequent 
discussions on the United States draft trusteeship 
agreement. The views of all of these states, whose 
representatives took an active part in the delibera- 
tions, were heard at the Council's table. 

In a five-and-one-half-hour session on April 2, 
1947, the Security Council reconsidered tlie entire 
agreement article by article. Well along in the 
discussions, during the debate on article 15 of the 
agreement, the Representative of Syria stated that 
the Council "was not giving implementation or 
the correct execution of article 79 of the Charter", 
because it "was paying no attention or no con- 
sideration at all to the States directly concerned." 
He believed "that the matter ought to be studied 
further in order to have this part of the work 
better understood and better defined." He moved 
to adjourn the meeting and to fix another meeting 
the following week so that all the representatives 
participating in the discussions might be able to 
study the matter and prepare a full discussion on 
the point of which are the "States directly con- 
cerned". This motion was lost by a 5 to 6 vote, 
which permitted the discussions to continue until 
the final vote on the agreement was taken. 

In voting on proposed amendments the United 
States Representative followed the rule of casting 
a vote when the United States vote would be in 
the affirmative, and abstaining from voting in cases 
wherein the United States did not favor the pro- 
posal before the Council. He abstained, therefore, 
from voting on proposals to revise article 8(1) 
and article 15. Prior to the voting on each of 
these articles, the United States Representative 
declared that the United States would not veto 
the amendment. He made it clear in both cases, 
however, that if the United States had a vote it 
would, of course, vote "no". Thus, in advance 
of his first abstention, he stated that, "On ques- 
tions such as this, it is perfectly clear — to us any- 
way — that the United States, when it may be 
obliged in view of its responsibilities to withdraw 
the tender of an agreement, should certainly not 

788 



exercise a veto in the Security Council also." Prior 
to his second abstention he said, "The United 
States being a jjarty to the agreement, all I can 
do is, with the utmost modesty, state that an 
amendment in the nature of that proposed . . . 
probably could not be accepted by the United 
States as a party to the agreement." 

At the close of the 124th meeting, the Security 
Council voted on the agreement as a whole, noting 
the various changes which had been passed. The 
Council approved unanimously the United States 
draft agreement including three minor amend- 
ments which had been accepted by the United 
States Representative upon instructions from his 
Government. The three amendments in the text 
of the agreement are as follows : 

1. Articles. An amendment was proposed by 
the Representative of the Union of Soviet Social- 
ist Republics to delete the words as an integral part 
of the United States. Upon accepting this amend- 
ment at the 116th meeting of the Security Council, 
the United States Representative said, inter alia: 
"In agi-eeing to this modification, my Government 
feels that it should affirm for the record that its 
authority in the trust territory is not to be consid- 
ered in any way lessened thereby." 

2. Article 6{1). An amendment was proposed 
by the Representative of the Union of Soviet So- 
cialist Republics, and revised in the Council, to 
add after the words toward self-government the 
words or independence as may be appropriate to 
the particular circumstances of the trust territory 
and its peoples and the freely expressed wishes of 
the peoples concerned,. In accepting modifica- 
tion in article 6(1) at the 116th meeting of the 
Security Council, the United States Representa- 
tive declared that "the United States feels that it 
must record its opposition not to the principle of 
independence, to which no people could be more 
consecrated than the people of the United States, 
but to the thought that it could possibly be 
achieved within any foreseeable future in this 
case." 

3. Article 6{1). An amendment was suggested 
by the Representatives of New Zealand and India 
and introduced on behalf of the latter at the 124th 
meeting of the Security Council, to delete the word 
local from the phrase in local government; . The 
observation of the Representative of India at the 
124th meeting in behalf of this deletion was that 
in certain countries the word local connotes mu- 

Deparfmenf of State Bulletin 



nicipal government, and that surely would not be 
the intention of the Kepresentative of the United 
States. 

In the final consideration of the United States 
trusteeship proposals, the original text of articles 
1, 2, 4, 5, 9, 10, 11, 12, 14, and 19 was approved in 
each case without objection or comment. The 
United States Representative, Mr. Austin, re- 
quested that article 6(2) be perfected by putting 
a comma in the second line after the word inhabi- 
tants. He also requested that article 7 be perfected 
as follows : 

'■'■ Article 7. In discharging its obligations under 
Article 76(c), of the Charter, the administering 
authority shall guarantee to the inhabitants of the 
trust territory freedom of conscience, and, subject 
only to the requirements of public order and se- 
curity, freedom of speech, of the press, and of 
assembly; freedom of worship, and of religious 
teaching; and freedom of migration and move- 
ment." 

Mr. Austin stated : "The significance of this per- 
fection of the article is that it moves up freedom 
of conscience so that it will not be subject to the 
requirements of public order and security." 

The approval of the trusteeship agreement with 
the three minor amendments and these two slight 
changes followed the withdrawal or rejection of 
several other proposed amendments as follows: 

1. The Preamble. Discussions on the preamble 
concerned three alternative versions — suggested by 
Poland, the Netherlands, and the United States — 
of an amendment proposed originally by the Rep- 
resentative of Poland at the 116tli meeting of the 
Security Council. This proposal was to add the 
following phrase to paragraph four: "Whereas 
Japan has violated the terms of the above-men- 
tioned mandate of the League of Nations and has 
thus forfeited her mandate . . .". The United 
States Representative endorsed this proposal, but 
the amendment was reconsidered at the 124th 
meeting. The Netherlands Representative pro- 
posed that the amendment read: "Wliereas, as a 
result of the signature by Japan of an act of uncon- 
ditional surrender, the mandate held by Japan for 
these islands has come to an end". As a compro- 
mise, the United States Representative proposed 
the following wording: "Whereas the mandate 
held by Japan for these islands has come to an end". 
After failure to reach agreement on these alterna- 

May 4, 1947 

741062- 



tive proposals, the original wording of the Pre- 
amble was approved unanimously. 

2. Article 8{1). The United Kingdom Repre- 
sentative proposed an amendment to article 8(1) 
to delete the phrase except the administering au- 
thonty, holding that the inclusion of these words 
would give preferential position to the United 
States, which did not seem to be in strict accord- 
ance with articles 83(2) and 76(d) of the Charter. 
He asked whether the phrase in article 83(3) with- 
out prejudice to security considerations would not 
really give the United States sufficient safeguard. 
After replying to this question in the negative, the 
United States Representative stated for the record : 

". . . the United States Government has no in- 
tention, through this clause or any other clause, of 
taking advantage for its own benefit, and to the 
detriment of the welfare of the inhabitants, of the 
meager and almost non-existent resources and com- 
mercial opportunities that exist in the scattered and 
barren islands. The nature of this proposed clause 
is dictated by the fact that these islands are pro- 
posed as a strategic trusteeship area and by the 
obligations which the administering authority will 
assume under the Charter 'to further international 
peace and security' and to insure that the territory 
itself 'shall play its part' in the maintenance of in- 
ternational peace and security." 

3. Article 13. The United Kingdom Representa- 
tive proposed a redraft of article 13 to read: 

"The provisions of article 87 and 88 of the 
Charter shall be applicable to tlie trust territory, 
provided that the administering authority may 
at any time inform the Security Council, in ac- 
cordance with article 83(3) of the Charter, that 
security considerations do not permit the exercise 
of the functions of the Trusteeship Council in 
regard to specific areas." 

He did not insist on this amendment, however, 
because the United States Representative stated 
for the record that the United States contemplates 
that notification shall be made to the Security 
Council whenever the proviso that is contained in 
article 13 comes into use. 

4. Article 15. Extended debate took place before 
reaching agreement on article 15. Two formal 
amendments to this article were presented by the 
Representatives of Poland and the Union of Soviet 
Socialist Republics. The Soviet amendment was 

789 



to make article 15 read as follows : "The terms of 
the present agreement may be altered and amended 
or the terms of its validity discontinued by deci- 
sion of the Security Council." The Polish amend- 
ment was to modify article 15 to read : "The terms 
of the present agreement shall not be altered, 
amended or terminated except as provided by the 
Charter." At an earlier meeting the United States 
Representative indicated a willingness to accept 
the following text as a compromise: "The terms 
of the present agreement shall not be altered, 
amended, or terminated except by agi-eement of 
the administering authority and the Security 
Council." Following the rejection of the Soviet 
and Polish amendments he indicated tliat the 
United States compromise proposal was not now 
pending. Thus, there was pending only the origi- 
nal article 15 which the Council voted to accept. 

5. Proposed Article 17. An issue debated at 
length in the Security Council was embodied in 
an amendment proposed by Australia to add an 
article 17 to the agreement which would have de- 
layed its coming into force until the effective date 
of the peace treaty with Japan. The view thus 
expressed was supported by the United Kingdom 
and by New Zealand. The United States Repre- 
sentative argued most forcefully against this pro- 
posal, which would have left the agi-eement in 
suspense for an indefinite period. He emphasized 
throughout the debates the basic contention of the 
United States Government that the matter did not 
depend upon, and need not await, the general 
peace settlement with Japan. Following the Se- 
curity Council's decision to widen its discussions 



to include representatives of Canada, India, the 
Netherlands, and the Republic of the Philippines 
for the purpose of stating their views on the United 
States trusteeship proposals, the Australian Rep- 
resentative stated: "The result of this will be to 
extend the Security Council, for the time being, 
into a small replica of the Conference of Nations 
which would be entitled, as a matter of justice 
and democratic right, to participate in the final 
settlement with Japan." For this reason and in 
the interests of a unanimous decision, the Austral- 
ian-proposed amendment to add a new article 17 
was withdrawn. 

According to article 16 of the agreement, the 
Security Council having approved the terms of 
trusteeship, only the approval by the United States 
in accordance with its constitutional process is now 
required to bring the trusteeship agreement into 
force. Wlien that is accomplished, the islands of 
Micronesia formerly mandated to Japan will be 
known officially, according to article 1 of the agree- 
ment, as the Territory of the Pacific Islands. The 
coming into force of the trusteeship agreement will 
require a change in the membership of the Trustee- 
ship Council. Article 86(1) (c) of the Charter 
provides that the number of members of the Trus- 
teeship Council is to be equally divided between 
those members of the United Nations which ad- 
minister trust territories and those which do not. 
Hence, when the United States is confirmed as the 
administering authority of the Trust Territory of 
the Pacific Islands, it will be necessary for the 
General Assembly to elect two additional members 
which do not administer trust territories. 



790 



Department of State Bulletin 



Trusteeship Agreement for the Former Japanese Mandated Islands ^ 

APPROVED AT THE 124th MEETING OF THE SECURITY COUNCIL 



Preamble 

Whereas Article 75 of the Charter of the 
United Nations provides for the establishment of 
an international trusteeship system for the ad- 
ministration and supervision of such territories 
as may be placed thereunder by subsequent agree- 
ments; and 

Whereas under Article 77 of the said Charter 
the trusteeship system may be applied to terri- 
tories now held under mandate ; and 

Whereas on 17 December 1920 the Council of 
the League of Nations confirmed a mandate for 
the former German islands north of the equator 
to Japan, to be administered in accordance with 
Article 22 of the Covenant of the League of Na- 
tions; and 

Whereas Japan, as a result of the Second World 
War, has ceased to exercise any authority in these 
islands ; 

Now, therefore, the Security Council of the 
United Nations, having satisfied itself that the 
relevant articles of the Charter have been com- 
plied with, hereby resolves to approve the follow- 
ing terms of trusteeship for tl:e Pacific Islands 
formerly under mandate to Japan. 

Article 1 

The Territory of the Pacific Islands, consisting 
of the islands formerly held by Japan under man- 
date in accordance with Article 22 of the Cov- 
enant of the League of Nations, is hereby desig- 
nated as a strategic area and placed under the 
trusteeship system established in the Charter of 
the United Nations. The Territory of the Pacific 
Islands is hereinafter referred to as the trust terri- 
tory. 

Article 2 

The United States of America is designated as 
the administering authority of the trust territory. 

Article 3 

The administering authority shall have full 
powers of administration, legislation, and juris- 



diction over the territory subject to the provisions 
of this agreement,^ and may apply to the trust 
territory, subject to any modifications which the 
administering authority may consider desirable, 
such of the laws of the United States as it may 
deem appropriate to local conditions and require- 
ments. 

Article ^ 

The administering authority, in discharging 
the obligations of trusteeship in the trust territory, 
shall act in accordance with the Charter of the 
United Nations, and the provisions of this agree- 
ment, and shall, as specified in Article 83(2) of 
the Charter, apply the objectives of the interna- 
tional trusteeship system, as set forth in Article 
76 of the Charter, to the people of the trust 
territory. 

Article 5 

In discharging its obligations under Article 
76(a) and Article 84, of the Charter, the adminis- 
tering authority shall ensure that the trust terri- 
tory shall play its part, in accordance with the 
Charter of the United Nations, in the maintenance 
of international peace and security. To this end 
the administering authority shall be entitled : 

1. to establish naval, military and air bases and 
to erect fortifications in the trust territory ; 

2. to station and employ armed forces in the 
territory; and 

3. to make use of volunteer forces, facilities and 
assistance from the trust territory in carrying out 
the obligations towards the Security Council im- 
dertaken in this regard by the administering au- 
thority, as well as for the local defense and the 
maintenance of law and order within the trust 
territory. 



' See document S/281 for the original draft agreement 
submitted by the Representative of the United States. 
[Footnote in the original, document S/318, Apr. 2, 1947.] 

See Bulletin of Nov. 17, 1946, p. 889 ; Mar. 9, 1947, p. 
416 ; and Mar. 23, 1947, p. 511. 

' In the final text approved by the Security Council on 
Apr. 2, 1947, article 3 was amended by deletion of the 
phrase as an inlciiral part of the United States. 



May 4, 1947 



791 



Article 6 

In discharging its obligations under Article 
76(b) of the Charter, the administering authority 
shall : 

1. foster the development of such political insti- 
tutions as are suited to the trust territory and shall 
promote the development of the inhabitants of the 
trust territory toward self-government ' or inde- 
pendence as may be appropriate to the particular 
circumstances of the trust territory and its peoples 
and the freely expressed wishes of the peoples con- 
cerned ; and to this end shall give to the inhabitants 
of the trust territory a progressively increasing 
share in the administrative services in the terri- 
tory ; shall develop their participation in * govern- 
ment ; shall give due recognition to the customs of 
the inhabitants in providing a system of law for 
the territory; and shall take other appropriate 
measures toward these ends; 

2. promote the economic advancement and self- 
sufEciency of the inhabitants, and to this end shall 
regulate the use of natural resources; encourage 
the development of fisheries, agriculture, and in- 
dustries; protect the inhabitants against the loss 
of their lands and resources; and improve the 
means of transportation and communication; 

3. promote the social advancement of the in- 
habitants and to this end shall protect the rights 
and fundamental freedoms of all elements of the 
population without discrimination; protect the 
health of the inhabitants; control the traiSc in 
arms and ammunition, opium and other dangerous 
drugs, and alcohol and other spiritous [sqiritiwus'] 
beverages ; and institute such other regulations as 
may be necessary to protect the inhabitants against 
social abuses ; and 

4. promote the educational advancement of the 
inhabitants, and to this end shall take steps toward 
the establishment of a general system of elemen- 

'As finally approved by the Security Council on Apr. 2, 
1947, article 6(1) was amended to add after the words 
toward seli -government, the words or independence as 
may be appropriate to the particular circumstances of the 
trust territory and its peoples and the freely expressed 
wishes of the peoples concerned. 

' Article 0(1) was also amended by deletion of the word 
local In the phrase in local government. 

' As finally approved by the Security Council of Apr. 2. 
1947, the text of article 7 contains a slight revision, re- 
quested by the United States Representative, whereby 
freedom of conscience is moved forward so that it is not 
subject to the requirements of public order and security. 

792 



tary education ; facilitate the vocational and cul- 
tural advancement of the population; and shall 
encourage qualified students to pursue higher edu- 
cation, including training on the professional 
level. 

Article 7 

In discharging its obligations under Article 
76(c) of the Charter, the administering authority 
shall guarantee to the inhabitants of the trust 
territory freedom of conscience,^ and, subject only 
to the requirements of public order and security, 
freedom of speech, of the press, and of assembly ; 
freedom of worship, and of religious teaching; 
and freedom of migration and movement. 

Article 8 

1. In discharging its obligations under Article 
76(d) of the Charter, as defined by Article 83(2) 
of the Charter, the administering authority, sub- 
ject to the requirements of security, and the obli- 
gation to promote the advancement of the inhabi- 
tants, shall accord to nationals of each Member 
of the United Nations and to companies and asso- 
ciations organized in conformity with the laws of 
such Member, treatment in the trust territory no 
less favourable than that accorded therein to na- 
tionals, companies and associations of any other 
United Nation except the administering authority. 

2. The administering authority shall ensure 
equal treatment to the Members of the United Na- 
tions and their nationals in the administration of 
justice. 

3. Nothing in this Article shall be so construed 
as to accord traffic rights to aircraft flying into 
and out of the trust territory. Such rights shall 
be subject to agreement between the administering 
authority and the state whose nationality such 
aircraft possesses. 

4. The administering authority may negotiate 
and conclude commercial and other treaties and 
agreemens with Members of the United Nations 
and other states, designed to attain for the inhabi- 
tants of the trust territory treatment by the Mem- 
bers of the United Nations and other states no less 
favourable than that granted by them to the 
nationals of other states. The Security Council 
may recommend, or invite other organs of the 
United Nations to consider and recommend, what 
rights the inhabitants of the trust territory should 

(Continued on page 79.^) 

Deparfmenf of State Bulletin 



THE COUNCIL OF FOREIGN MINISTERS 



Moscow Meeting of the Council of Foreign Ministers: 
Discussion of German and Austrian Draft Treaties 



STATEMENTS BY THE SECRETARY OF STATE 



Reiteration of Position on Disarmament and 
Demilitarization of Germany > 

The United States proposal for a Four Power 
treaty for the disarmament and demilitarization 
of Germany which we discussed here is not men- 
tioned in the Deputies' report. I am not suggest- 
ing that it be included. The principle involved 
is in my opinion too fundamental to be referred 
to any subordinate body. I do not intend to re- 
peat all the various considerations which led the 
Government of the United States to propose this 
treaty, nor the reasons why it attaches the great- 
est importance to this subject. I will only state 
that the United States Government regards very 
seriously what in effect is the virtual rejection of 
this treaty by the Soviet Government. I say re- 
jection because the redraft proposed by Mr. Molo- 
tov introduces into the treaty nearly every im- 
portant difference which exists between the Four 
Powers on the subject of Germany, and thus ren- 
ders obviously impossible any hope of concluding 
such a treaty at this time. 

An agreement in principle here along the lines 
proposed by the United States would have been 
indication to the world that despite the character 
and extent of our disagreements on other aspects 
of the German problem, the Four Powers repre- 
sented at this table were at least united in their 
determination to prevent the revival of Germany's 
capacity to make war. The advantages of such a 
clear demonstration of Allied intentions, not only 
on the future solution of other problems connected 
with Germany but on the whole international sit- 
uation, appear so obvious that the United States 
finds it difficult to understand the reasons which 
account for the Soviet Government's declining to 
agree. Although we must face the fact that be- 
cause of this attitude there is no prospect of an 
agreement on this treaty at this conference, the 

May 4, 1947 



United States is not withdrawing its proposal for 
such a treaty. 

Position on Treaty for Reestablishment of 
Independent and Democratic Austria ' 

I should like to turn again to the matter of the 
Austrian treaty. I think we must decide now 
whether we can or cannot conclude the Austrian 
treaty here. As Mr. Molotov has several times 
made clear, the main outstanding issue is article 
35, dealing with German assets in Austria, The 
British, French, and American Delegations have 
put forward various proposals in an effort to meet 
as far as possible the Soviet position. I refer 
particularly to the last proposal put forward by 
the United States Delegation last week and that 
put forward by the British Delegation yesterday. 
There is no substantial difference in the views of 
the British, French, and American Delegations 
on this subject. 

The Soviet Delegation, according to my under- 
standing, has not in any substantial way with- 
drawn from the proposal it made at the session 
of the Deputies in London last February. The 
views expressed by the Soviet Delegation have 
widened rather than narrowed our differences. 
The three other delegations have made clear that 
they cannot accept the Soviet proposal because 
it would oblige the Austrian Government to hand 
over not only b07ia fide German assets but property 
which the Germans had taken from Austrians 
and others by fraud and duress. We do not be- 
lieve that the Soviet proposal on German assets 
in Austria is consistent with the pledge made 
at Potsdam that no reparations would be taken 
from Austria, and with the pledge made in article 



' Alade on Apr. 23, 1947, and released to the press in 
Moscow on the same date, and in Washington on Apr. 24. 
The Council concluded its Moscow session on Apr. 24. 

793 



THE COUNCIL OF FOREIGN MINISTERS 

1 of the Austrian treaty,^ to reestablish Austria 
as a sovereign, independent, and democratic state. 
The three other delegations have urged the Soviet 
Delegation to submit proposals which would meet 
this objection, but despite our urging no new pro- 
posal has been offered us by the Soviet Delegation. 

It is clear now that no agreement can be reached 
on the Austrian treaty if the Soviet Delegation 
is unwilling to make any greater effort than it 
has made so far to reach an understanding on 
German assets in Austria. Unless, therefore, the 
Soviet Delegation has some concrete proposal to 
make on this subject, which will make clear that 
German, assets do not include assets which in 
justice and equity should be restored to non- 
Germans, we must accept the fact that further 
progress in the Austrian treaty is iniiJossible at 
this conference. 

I have one further suggestion to make. If we 
are unable to reconcile our views before the meet- 
ing of the General Assembly of the United Nations 
in September, I hope that we may join in asking 
the General Assembly to make recommendations 
on this subject under article 14. It is our view 
that we should not permit differences among us to 
deny to Austria her independence and her right to 
be free from the burdens of occupation. 

Trusteeship Agreement — Continued from page 792 

acquire in consideration of the rights obtained by 
Members of the United Nations in the trust 
territory. 

Article 9 

The administering authority shall be entitled to 
constitute the trust territory into a customs, fiscal, 
or administrative union or federation with other 
territories under United States jurisdiction and 
to establish common services between such terri- 
tories and the trust territory where such measures 
are not inconsistent with the basic objectives of 
the International Trusteeship System and with 
the terms of this agreement. 

Article 10 

The administering authority, acting under the 
provisions of Article 3 of this agreement, may 
accept membership in any regional advisory com- 



' Referring to the treaty drafted at London January- 
February 1W7 by the Foreign Ministers' Deputies. 

794 



mission, regional authority, or technical organ- 
ization, or other voluntary association of states, 
may co-operate with specialized international 
bodies, public or private, and may engage in other 
forms of mternational co-operation. 

Article 11 

1. The administering authority shall take the 
necessary steps to provide the status of citizenship 
of the trust territory for the inhabitants of the 
trust territory. 

2. The administering authority shall afford 
diplomatic and consular protection to inhabitants 
of the trust territory when outside the territorial 
limits of the trust territory or of the territory of 
the administering authority. 

Article 12 

The administering authority shall enact such 
legislation as may be necessary to place the provi- 
sions of this agreement in effect in the trust terri- 
tory. 

Article 13 

The provisions of Articles 87 and 88 of the Char- 
ter shall be applicable to the trust territory, pro- 
vided that the administering authority may deter- 
mine the extent of their applicability to any areas 
which may from time to time be specified by it as 
closed for security reasons. 

Article H 

The administering authority undertakes to ap- 
ply in the trust territory the provisions of any 
international conventions and recommendations 
which may be appropriate to the particular circum- 
stances of the trust territory and which would be 
conducive to the achievement of the basic objectives 
of Article 6 of this agreement. 

Article 15 

The terms of the present agreement shall not be 
altered, amended or terminated without the con- 
sent of the administering authority. 

Article 16 

The present agreement shall come into force 
when approved by the Security Council of the 
United Nations and by the Government of the 
United States after due constitutional process. 

Department of Slate Bulletin 



THE UNITED NATIONS 



Special Session of General Assembly Called 



CABLE SENT BY SECRETARY-GENERAL TO MEMBER NATIONS 



Trygve Lie, Secretary-General of the United 
Nations, cabled on April 13 the 55 members of 
the United Nations, calling a special session of 
the General Assembly for Monday, April 28, at 
General Assembly Hall at Flushing, to consider the 
Palestine question. 

The cables were sent following approval of the 
special session by 29 countries, one more than the 
required majority. Affirmative replies came from 
Canada on April 12 and from the Philippine Ke- 
public and Turkey on April 13. The text of the 
cable follows: 

"Have honour inform you that a majority of 
Members have today concurred in the request of 
United Kingdom to summon a special session of 
General Assembly. In accordance with rules 3 
and 8 of provisional rules of procedure of Gen- 
eral Assembly I hereby notify you that special 
session will open on Monday 28 April 1947 at 
eleven a.m. in General Assembly Hall Flushing 
Meadows New York City. 

"Provisional agenda of special session follows : 



"1. Opening of session by Chairman of Bel- 
gian Delegation 

"2. Election and report of credentials commit- 
tee 

"3. Election of President 

"4. Organization of the session 

"5. Adoption of agenda 

"6. Constituting and instructing special com- 
mittee to prepare for consideration of the ques- 
tion of Palestine at second regular session. 

"Trygve Lie 
'''' Secretary-General''^ 

The countries which have replied up to April 
13 are Australia, Brazil, Canada, China, Cuba, 
Czechoslovakia, Denmark, Dominican Republic, 
Ecuador, France, Greece, Haiti, Honduras, India, 
Liberia, Luxembourg, Mexico, New Zealand, Nor- 
way, Panama, Paraguay, Peru, Philippine Re- 
public, Sweden, Turkey, Ukrainian Soviet So- 
cialist Republic, Union of South Africa, Union 
of Soviet Socialist Republics, United States. All 
replies so far have been in favor of the pi'oposal 
for a special General Assembly. 



ITEMS REQUESTED FOR AGENDA 



Text of letter from the United Kingdom Delega- 
tion to the United Nations ^ 

2nd April, 19^7. 
Sir: 

I have received the following message from my 
Government : 

"His Majesty's Government in the United King- 
dom request the Secretary-General of the United 



Nations to place the question of Palestine on the 
Agenda of the General Assembly at its next regu- 
lar Annual Session. They will submit to the 
Assembly an account of their administration of 
the League of Nations Mandate and will ask the 
Assembly to make recommendations, under 
Article 10 of the Charter, concerning the future 
government of Palestine. 



' General Assembly doc. A/286, Apr. 3, 1947. 



May 4, 1947 



795 



THE UNITED NATIONS 

"In making this request, His Majesty's Govern- 
ment draw the attention of the Secretary-General 
to the desirability of an early settlement in Pales- 
tine and to the risk that the General Assembly 
might not be able to decide upon its recommenda- 
tions at its next regular Annual Session unless 
some preliminary study of the question had previ- 
ously been made under the auspices of the United 
Nations. They therefore request the Secretary- 
General to summon, as soon as possible, a special 
Session of the General Assembly for the purpose 
of constituting and instructing a Special Commit- 
tee to prepare for the consideration, at the regular 
Session of the Assembly, of the question referred 
to in the preceding paragraph." 

I have the honour [etc.] 

Alexander Cadogan 

Dr. Victor Chi Tsai Hoo 

Assistant Secretary-General of the United 
Nations, Lake Success 

Text of telegram sent on April £, 1947, hy the 
Acting Secretary-General to all members of the 
United Nations except the United Kingdom * 

Have honor notify you that on 2 April United 
Kingdom Government requested Secretary-Gen- 
eral to place question of Palestine on agenda next 
regular session of General Assembly. In accord- 
ance with rule 4 provisional rules procedure 
General Assembly have honor inform you that 
United Kingdom Government further requested 
Secretary-General in view of desirability of an 
early settlement in Palestine to summon special 
session General Assembly as soon as possible for 
purpose of constituting and instructing a special 
committee to prepare for the consideration of 
above question at next regular session. Tlieref ore 
have honor inquire whether your government con- 
curs in summoning special session for this purpose 
and to request you notify me of its decision. If 
within 30 days majority of members concur, special 
session will be convoked in accordance rules 3 and 



8 and provisional agenda circulated in accordance 
rule 11. 

Victor Hoo 
Acting Secretary-General 

Text of letter from the Ambassador of Iraq in the 
United States to the Secretary-General • 

21 April 19^7. 
Excellency : 

I have the honor to inform you that I have been 
instructed by my Government to request you, in 
accordance with Kule 18 of the Provisional Rules 



Note : The rules referred to are as follows ( General 
Assembly doc. A/71/Rev. 1, Apr. 28, 1947) : 

Rule 3 : Special sessions of the General Assembly shall 
also be held within fifteen days of the receipt by the Sec- 
retary-General of a request for such a session either from 
the Security Council or from a majority of the Members 
of the United Nations. 

Rule 4 : Any Member of the United Nations may request 
the Secretary-General to summon a special session. The 
Secretary-General shall thereupon inform the other Mem- 
bers of the United Nations of the request and inquire 
whether they concur in it. If within thirty days of the 
date of the communication a majority of the Members 
concur in the request, a special session of the General 
Assembly shall be summoned in accordance with the pro- 
visions of Rule 3. 

Rule 8 : The Secretary-General shall notify the Mem- 
bers of the United Nations at least fourteen days in ad- 
vance of the opening of a special session convoked at the 
request of the Security Council, and at least ten days 
in the case of a request by a majority of the Members. 

Rule 11 ; The provisional Agenda for a regular session 
shall be communicated to the Members of the United Na- 
tions at least sixty days before the opening of the session. 
The provisional Agenda of a special session, summoned 
at the request of the Security Council, shall be communi- 
cated at least fourteen days before the opening of the 
session. The provisional Agenda of a special session, sum- 
moned at tlie request of a majority of the Members, shall 
be communicated at least ten days before the opening of 
the session. 

Rule 18: Any Member of the United Nations may, at 
least four days before the date fixed for the opening of a 
special session, request the inclusion of additional items 
in the Agenda. Such Items shall be placed on a supple- 
mentary list which shall be communicated to the Members 
of the United Nations as soon as possible. 

' General Assembly doc. A/295, Apr. 25, 1947. 

"General Assembly doc. A/288, Apr. 23, 1947. 



796 



Department of Slate Bulletin 



of Procedure for the General Assembly, to include 
the following as an additional item in the Agenda 
of the Special Session of the General Assembly 
convening on April 28, 1947 : 

The Termination of the Mandate over Pales- 
tine and the Declaration of its Independence. 

Please accept [etc.] 

Axi Jawdat 
The Ambassador 

Text of telegram from Egyptian Amhassador in 
the United States to the Secretary-General : * 

Washington D.C. 

April 21, 19Jf7 
His Excellency Trygve Lie 
Secretary-General, United Nations 

Sir : I have the honour to advise that according 
to instructions received from my Government and 
in conformity of article 18 of the provisional rules 
of procedure of the General Assembly the Royal 
Egyptian Government requests to include the fol- 
lowing additional item on the agenda of the forth- 
coming extraordinary meeting of the United Na- 
tions General Assembly which is to deal with the 
question of Palestine on the 28th of April 1947. 
The item reads as follows : The termination of the 
mandate over Palestine and the declaration of its 
independence. Accept Sir the assurances of my 
highest consideration. 

Mahmoud Hassan 
Egyptian Ambassador 

Text of telegram from the Syrian Minister in the 
United States to the Secretary-General^ 

22 April 1947. 
Tbtgve Lie : 

I have the honor to inform you that I have been 
instructed by my Government to request you, in 
accordance with Rule 18 of the Provisional Rules 
of Procedure of the General Assembly, to include 
the following as additional item in the Agenda 
of the Special Session of the General Assembly 

May 4, 1947 

741062 — 47 3 



THE UNITED NATIONS 

convening on April 28, 1947 : The termination of 
the mandate over Palestine and the declaration 
of its independence. 
Please accept [etc.] 

COSTI K. ZURAYK 

Minister of Syria 

Text of telegram from the Lebanese Minister in 
the United States to the Secretary-General " 

22 April 1947. 
Trygve Lie: 

Excellency I have the honor to state that I am 
instructed by my Government to request in ac- 
cordance with Rule 18 of the Provisional Rules 
of Procedure for the procedure of the General 
Assembly the inclusion of the following additional 
item in the Agenda of the forthcoming Special 
Session of the General Assembly scheduled to 
open on April 28, 1947 : "The termination of the 
mandate on and the granting of independence to 
Palestine". 
Accept [etc.] 

Charles Malik 
Minister of Lebanon 
in the United States 

Text of letter from, the Saudi-Ayabian Minister in 
the United States to the Secretary-General ' 

April 22, 1947. 
Excellenct : 

I have been instructed by my Government to 
request, in accordance with Rule 18 Provisional 
Rules of Procedure of the General Assembly, that 
the following item be put on the Agenda of the 
Special Session which convenes on April 28th, 
1947. 

"The termination of the mandate over Pales- 
tine and the declaration of its independence." 



Accept [etc.] 



Asad Ax-Faqlh 

Minister 



' General Assembly doc. A/287, Apr. 21, 1947. 
' General Assembly doc. A/289, Apr. 23, 1947. 
° General Assembly doc. A/290, Apr. 23, 1947. 
' General Assembly doc. A/291, Apr. 23, 1947. 



797 



UNITED STATES DELEGATION 



[Released to the press April 25] 

The following is the list of the United States 
Delegation to the special session of the General 
Assembly of the United Nations on the Palestine 
question which convenes at New York on April 
28, 1947 : 

United States Representative 
Warren R. Austin 

Alternate United States Representative 
Herschel V. Johnson 

Advisers 

William Cargo, Division of Dependent Area Affairs, De- 
partment of State 

William Dawson, retired Foreign Service oflBcer 

Wilder Foote,^ Director of Information, U.S. Delegation to 
the United Nations 

Loy Henderson, Director, Office of Near Eastern and Afri- 
can Affairs, Department of State 

Gordon Knox,' Adviser, U.S. Delegation to the United 
Nations 



Robert McClintock, Special Assistant to the Director, Office 
of Special Political Affairs, Department of State 

Charles Noyes,' Adviser, U.S. Delegation to the United 
Nations 

Hayden Raynor, Special Assistant to the Director, Office of 
European Affairs, Department of State 

John C. Ross,i Deputy to the U.S. Representative to the 
United Nations 

William Sanders, Associate Chief, Division of Interna- 
tional Organization Affairs, Department of State 

Henry Villard, Deputy Director, Office of Near Eastern 
and African Affairs, Department of State 

Fraser Wilkins, Division of Near Eastern Affairs, Depart- 
ment of State 

Public Liaison Offlcer 
Chester Williams ' 

Special Assistant to the U.S. Representative 
William Mills ' 

Secretary-Oeneral 
Richard Winslow ' 

Deputy Secretary-General 
Thomas Power ' 



Designating the United States Mission to the United Nations 
and Providing for Its Direction and Administration ^ 



By virtue of and pursuant to the authority 
vested in me by the United Nations Participation 
Act of 1945 (59 Stat. 619) and as President of the 
United States, and for the purpose of defining fur- 
ther the functions of the Representative of the 
United States at the seat of the United Nations 
in connection with the participation of the United 
States in the United Nations, it is hereby ordered 
as follows : 

1. The Representative at the seat of the United 
Nations, the Deputy Representative to the Security 
Coxmcil, Representatives in the Economic and So- 
cial Council and its Commissions, the Ti'usteeship 
Council, the Atomic Energy Commission, the Com- 
mission for Conventional Armaments and the Mil- 
itary StafE Committee, and representatives to 



' Detailed from the permanent staff of the U.S. Repre- 
sentative at the seat of the United Nations. 
= Ex. Or. t)S44 (12 Federal Register 2765). 

798 



organs and agencies of the United Nations here- 
after appointed or designated and included within 
the United States Mission to the United Nations 
herein provided for, together with their deputies, 
staffs and offices, shall be known as the United 
States Mission to the United Nations. 

2. The Representative of the United States at 
the seat of the United Nations shall be the Chief of 
Mission in charge of the United States Mission 
to the United Nations. The Chief of Mission shall 
coordinate at the seat of the United Nations the 
activities of the Mission in carrying out the in- 
structions of the President transmitted either by 
the Secretary of State or by other means of trans- 
mission as directed by the President. Instruc- 
tions to the Representatives of the Joint Chiefs of 
Staff in the Military Staff Committee of the United 
Nations shall be transmitted by the Joint Chiefs 
of Staff. On request of the Chief of Mission, such 

Department of State Bulletin 



Eepresentatives shall, in addition to their respon- 
sibilities under the Charter of the United Nations, 
serve as advisers in the United States Mission to 
the United Nations. 

3. The Chief of Mission shall also be responsi- 
ble for the administration of the Mission, includ- 
ing personnel, budget, obligation and expenditure 
of funds, and the central administrative services ; 
provided that he shall not be responsible for the 
internal administration of the personnel, budget, 
and obligation and expenditure of funds of the 



THE UNITED NATIONS 

United States Representatives in the Military 
Staff Committee. The Chief of Mission shall dis- 
charge his responsibilities under this paragraph in 
accordance with such rules and regulations as the 
Secretary of State may from time to time prescribe. 

4. This order shall be published in the Federal 
Register. 

Harry S. Truman 

The White House 
AfHl 28, 19If7 



Summary Statement by the Secretary-General 



MATTERS OF WHICH THE SECURITY COUNCIL IS SEIZED AND THE STAGE 
REACHED IN THEIR CONSIDERATION' 



9. Incidents in the Corfu Chmmel {consideration 
of this item was completed this weeh) 

At the one hundred and twenty-fifth meeting on 
3 April, the Representative of the United King- 
dom submitted a new draft resolution which was 
adopted by the Council at the one hundred and 
twenty-seventh meeting on 9 April 1947 by eight 
votes in favour with two abstentions. The Resolu- 
tion recommended that the United Kingdom and 
Albanian Governments should immediately refer 
the dispute to the International Court of Justice 
in accordance with the provisions of the Statute 
of the Court (document S/324). 

The Council is therefore no longer seized of this 
matter. 

7. The Greek Question {See also document 
S/279) " 
The Greek Question was placed on the agenda of 
the one hundred and twenty-third meeting on 2'8 
March 1947 at the request of the Representative of 
the United States to make a statement. The dis- 
cussion continued at the one hundred and twenty- 
sixth, twenty-eighth, twenty-ninth, thirtieth and 
thirty-first meetings on 7, 10, 14 and 18 April with 
Representatives of Greece, Yugoslavia, Albania 
and Bulgaria participating. Draft resolutions 
were introduced by the Representatives of the 
United States (S/P.V./126, p. 47) and the Union 
of Soviet Socialist Republics (S/P.V./131, p. 97). 
The Representative of the United States accepted 



amendments submitted by the Representative of 
France (S/P.V./126, p. 72 and S/P.V./131, p. 56). 
An amendment to the draft resolution of the 
Representative of the Union of Soviet Socialist 
Republics was submitted by the Representative of 
Poland (S/P.V./130, p. 69). 

The Council adopted the amended United 
States draft resolution, resolving that pending a 
new decision of the Security Council, the com- 
mission established by the resolution of the Coun- 
cil of 19 October 1946, shall maintain in the area 
concerned a subsidiary group, composed of a 
representative of each of the members of the com- 
mission, to continue to fulfil such functions as the 
commission may prescribe, in accordance with its 
terms of reference (document S/330). 

The Union of Soviet Socialist Republics' resolu- 
tion and Polish amendment were not carried. 

8. The General Regulation and Reduction of 
Armaments and Information on Armed 
Forces {see also docwnent S/279) 

The Commission for Conventional Armaments 
was convened on 24 March 1947 and commenced 
its task under its terms of reference. 



' Security Council doc. S/327, Apr. 11, 1947. Tliis sum- 
mary supplements the one printed in the Bulletin of Apr. 
13, 1947, p. 657. The omitted parts correspond substan- 
tially to the material formerly printed. 

' Items 7 and 8 are printed from Security Council doc. 
S/331, Apr. 18, 1947, and supplement the material 
printed in the Bulletin of Apr. 13. 



May 4, 1947 



799 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Calendar of Meetings ' 



In Session as of April 27, 1947 

Far Eastern Commission . . . 



United Nations: 

Security Council , 

Military Staff Committee . . , 
Commission on Atomic Energy 



Commission on Conventional Armaments 

Trusteeship Council 

Meeting of Experts on Passport and Frontier Formalities 
Trusteeship Council Questionnaire Committee 



German External Property Negotiations (Safehaven): 

With Portugal 

With Spain 

Inter-Allied Trade Board for Japan 



International Conference on Trade and Employment: Second 
Meeting of Preparatory Comnxittee. 

ICAO (International Civil Aviation Organization) European- 
Mediterranean Special Air Traffic Control Committee. 

Fifth International Hydrographic Conference 



ILO (International Labor Organization) Industrial Committee on 
Coal Mining. 

American International Institute for the Protection of Childhood: 
Meeting of the International Council. 

Scheduled for April-June 1947 

FAO (Food and Agriculture Organization): 

International Timber Conference 



Rice Study Group , 

Executive Committee 

International Meeting of Marine Radio Aids to Navigation 

United Nations: 

General Assembly: Special Session 

Economic Commission for Europe; 

First Session 

Transport Session 

Second Session 



Washington . 

Lake Success 
Lake Success 
Lake Success 

Lake Success 

Lake Success 
Geneva . . . 
Lake Success 

Lisbon . . . 
Madrid . . . 
Washington . 



Geneva 

Paris . 



Monaco 
Geneva 



Montevideo 



Marianske-Lazne, Czechoslo- 
vakia. 

Trivandrum, Travancore, 
India. 

Washington 



New York and New London. 



Flushing Meadows 



Geneva 
Geneva 
Geneva 



' Prepared in the Division of International Conferences, Department of State. 
" Tentative. 





1946 


Feb. 


26 


Mar. 


25 


Mar 


25 


June 


14 




1947 


Mar. 


24 


Mar. 


26-Apr. 28 


Apr. 


14 


Apr. 


15-23 




1946 


Sept 


3 


Nov. 


12 


Oct. 


24 



1947 

Apr. 10 

Apr. 15 

Apr. 22 

Apr. 22-May 3 

Apr. 25-28 



Apr. 28- May 10 

May 15 

June 2 

Apr. 28-May 10 



Apr. 28 

May 2 
May 12 « 
June 23 ' 



800 



Department of State Bulletin 



Calendar oj Meetings — Continued 



United Nations — Continued 

Committee on Progressive Development and Codification of 

International Law. 
Economic Commission for Asia and the Far East: 

First Session 

Committee of the Whole 

Preparatory Conference of Experts on Telecommunications . . 
ECOSOC (Economic and Social Council): 

Fiscal Commission 

Subcommission on Freedom of Information and of the Press . 

Subcommission on Statistical Sampling 

Economic and Employment Commission 

Human Rights Drafting Committee 

ICAO (International Civil Aviation Organization): 

Air Transport Committee 

Interim Council 

First Meeting of General Assembly 

South American Regional Air Navigation Meeting 

IRO (International Refugee Organization): Second Part of First 
Session of Preparatory Commission. 

ILO (International Labor Organization): 

Industrial Committee on Inland Transport 

102d Session of Governing Body 

30th Session of International Labor Conference 

Congress of the Universal Postal Union 

Central Rhine Commission 

International Technical Committee of Aerial Legal Experts: 16th 
Session. 

German External Property Negotiations With Turkey (Safe- 
haven) . 

International Radio Conference 

PMCC (Provisional Maritime Consultative Council) 

lEFC (International Emergency Food Council) : Fourth Meeting . 

Eleventh International Congress of Military Medicine and Phar- 
macy. 

ECITO (European Central Inland Transport Organization) : 
Seventh Session of the Council (Second Part) . 

International Cotton Advisory Committee 

Caribbean Commission: Fourth Meeting 

lARA (Inter- Allied Reparation Agency): Meeting on Conflicting 
Custodial Claims. 



Lake Success 

Shanghai . 
Lake Success 
Lake Success 

Lake Success 
Lake Success 
Lake Success 
Lake Success 
Lake Success 

Montreal . 

Montreal . 

Montreal . 

Lima . . . 

Lausanne . 

Geneva . . 
Geneva . . 
Geneva . . 

Paris . . . 

Strasbourg . 
Montreal . 

Ankara . . 

Atlantic City 
Paris . . . 
Washington 
Basel . . . 

Paris . . . 

Washington 
Jamaica . . 
Brussels . . 



1947 


May 12 2 


June 5 2 
June 23 2 
June 16 2 


May 19 2 
May 19 2 
June 2 2 
June 2 2 
June 9 2 


Apr. 28 
Apr. 29 
May 6 
June 17 



May 1 

May 6 
June 13 
June 19 

May 6 

May 7-8 
May 10 

May 12 ■' 

May 15 
May 16 
May 26-27 
June 2-7 

June 3 

June 9 
June 23-30 
June 



2 Tentative. 



May 4, 1947 



801 



Toward Formulating a New Japanese Constitution 

FEC Interest in Japanese Constitution' 

The Commission has received from the United 
States Government the text of a draft constitution 
which appears to have been drawn up in compli- 
ance with an Imperial rescript, tlie text of which 
has also been supplied by the United States Gov- 
ernment, along with the Supreme Commander's 
comments on that text. 

The opening sentences of this draft indicate to 
the Commission that it will be presented to the first 
session of the Japanese Diet which will be chosen 
at the forthcoming general elections. The Com- 
mission therefore assiunes that this and possibly 
other texts will be debated in the Diet and that 
amenchnents may be offered and perhaps other pro- 
posals introduced. 

The Commission, therefore, desires that the Su- 
preme Commander keep it informed of the progress 
and development of this and other drafts that may 
be considered by the Diet. 

For mindful of its responsibilities under its 
Terms of Reference for the formulation of policy 
in regard to the implementation of the surrender 
terms, and of the important bearing which this or 
any other proposed changes in the constitutional 
structure of Japan may have upon the decisions in 
carrying out that responsibility, the Commission 
desires that the Supreme Commander for the Al- 
lies make clear to the Japanese Government that 
the Far Eastern Commission must be given an op- 
portunity to pass upon the final draft of the con- 
stitution to determine whether it is consistent with 
the Potsdam Declaration and any other control- 
ling document before it is finally approved by the 
Diet and becomes legally valid. 

The Commission believes that in this way hasty 
action by the Japanese Diet will be prevented and 

' Policy decision approved by tlie Par Eastern Commis- 
sion on Mar. 20, 1946, and released to tlie press on Apr. 18, 
1947. A directive based upon this decision was forwarded 
to the Supreme Commander for the Allied Powers for 
implementation. 

'Policy decision approved by the Far Eastern Commis- 
sion on July 2, 1946, and released to the press on Apr. 
18, 1947. A directive based upon this decision was for- 
warded to the Supreme Commander for the Allied Powers 
for implementation. 



tune given for all elements inside and outside the 
Diet to consider this very important question and 
bring to that consideration all available thought 
produced by the freely expressed will of the Jap- 
anese people. 

In this connection the Commission notes the en- 
couragement given to the Japanese people in the 
Supreme Commander's announcement that this 
draft of a proposed constitution has his personal 
approval. It is somewhat apprehensive that this 
approval may be mismiderstood by the Japanese 
public and taken to mean that tliis particular draft 
has the approval of the Powers represented on tliis 
Commission. 

As such is not necessarily the case and as the 
Commission does not want to take any action in re- 
gard to this or any other draft constitution that 
might prejudice Japanese public opinion for or 
against any proposal of this nature, it considers 
that the Supreme Commander for the Allied Pow- 
ers should in some appropriate manner make it 
known to the Japanese people that while this draft 
of a proposed constitution is a document of obvious 
merit and is available now for consideration and 
study, the fact that it is a draft prepared by the 
Government does not preclude favorable consider- 
ation of other proposals or drafts which may be 
submitted to the Diet for study and comparison. 

The Commission requests that the United States 
Government inform the Supreme Commander of 
its views as expressed above, and since the consti- 
tutional issue is one that is likely to influence the 
votes of the electors, it do so with a minimum of 
delay. 

Basic Principles for a New Japanese Constitution^ 

1. The Japanese Constitution should recognize 

It 



802 



that sovereign power resides in the people, 
should be so framed as to provide for : 

a. A representative govermnent based upon 
universal adult suffrage consisting of : 

(1) An executive, deriving its authority from 
and responsible to either the electorate 
or a fully representative legislative body ; 

Department of State Bulletin 



(2) A legislature, fully representative of the 
electorate, which should have full legis- 
lative powers including full control over 
raising of public revenue and expenditure 
of public funds; 

b. The establishment of an independent ju- 
diciary ; 

c. The guarantee of fundamental civil rights 
to all Japanese and to all persons within Japanese 
jurisdiction. All Japanese shall enjoy equal 
rights before the law and no special privileges of 
particular social groups such as the nobility shall 
be allowed ; 

d. The popular election of heads of institutions 
of local government such as prefectures, cities, 
towns, and villages; 

e. The popular election of local assemblies such 
as pref ectural, city, town, and village ; 

/. The adoption of constitutional amendments 
in a manner which wiU give effect to the freely 
expressed will of the Jai^anese people. 

2. Though the ultimate form of government in 
Japan is to be established by the freely expressed 
will of the Japanese people, the retention of the 
Emperor Institution in its present constitutional 
form is not considered consistent with the fore- 
going general objectives. Consequently, the Jap- 
anese should be encouraged to abolish the Emperor 
Institution or to reform it along more democratic 
lines. 

3. If the Japanese people decide that the Em- 
peror Institution is not to be retained, constitu- 
tional safeguards against the institution will obvi- 
ously not be required, but the constitution will have 
to conform to the requirements of paragrapli 1 
and shall also provide: 

a. That the legislation shall have sole authority 
over financial measures and any other organ shall 
possess only a temporary veto power over other 
legislative measures ; 

b. That the prime minister and the ministers 
of state, all of whom shall be civilians and of 
whom a majority, including the prime minister, 
shall be selected from the Diet, shall form a Cabi- 
net collectively responsible to the legislature. If a 
system of government is adopted whereby the chief 
executive is elected to tliat office by the people, the 
provision that a majority of the Cabinet members 

May 4, 1947 



ACTIVniBS AND DEVELOPMENTS 

shall be chosen from the legislature should not 
necessarily apply; 

c. That the legislative organ shall have the 
power to meet at will. 

4. If the Japanese decide to retain the Institu- 
tion of the Emperor, the following safeguards in 
addition to those enumerated in 1 and 3 above will 
be necessary : 

a. When a Cabinet loses the confidence of the 
legislature it shall either resign or appeal to the 
electorate ; 

b. The Emperor shall have no powers other 
than those to be conferred on him by the new 
Constitution. He shall act in all cases in accord- 
ance with the advice of the Cabinet ; 

c. The Emperor shall be deprived of all military 
authority such as that provided in articles XI, XII, 
XIII, and XIV of chapter 1 of the Constitution 
of 1889; 

d. All property of the Imperial household shall 
be declared property of the State. The expenses 
of the Imperial household shall be appropriated 
by the legislature. 

5. The retention of the Privy Council and the 
House of Peers in their present form and with 
their present powers is not considered consistent 
with the foregoing general objectives. 

Further Policies Relating to New 
Japanese Constitution ' 

The Far Eastern Commission reaffirms its previ- 
ous decision, taken in FEC-031/19, Basic Prin- 
ciples for a New Japanese Constitution, that all 
cabinet ministers should be civilians, and further 
decides as a matter of policy that the House of 
Councillors should not have any predominance 
over the House of Kepi'esentatives. The Com- 
mission considers essential its continuing right to 
scrutinize the implementing legislation very care- 
fully to insure that such predominance is not 
established. 



' Policy decision approved by the Far Eastern Commis- 
sion on Sept. 25, 1946, and released to the press on Apr. 18, 
1947. A directive based upon this decision was forwarded 
to the Supreme Commander for the Allied Powers for 
implementation. 

803 



ACTIVITIBS AND DEVELOPMENTS 

Review of Japanese Constitution ^ 

a. The terms of the policy decision contained 
in FEC-031/4: (Provisions for the Review of a 
New Japanese Constitution, approved on October 
17, 1946, and forwarded to the Supreme Com- 
mander for the Allied Powers on October 28, 1946, 
Serial #62) should be formally communicated to 
the Government of Japan.^ 

b. The Supreme Commander for the Allied 
Powers should be informed that the time and man- 
ner of public announcement of this policy decision 
are still being considered by the Far Eastern 
Conamission. 

Apprehension, Trial, and Punishment 
of War Criminals in the Far East ^ 

1. The term "war crimes" as used herein, in- 
cludes : 

a. Planning, preparation, initiation or waging 
of a war of aggression or a war in violation of 
international treaties, agi-eements and assurances, 
or participation in a common plan or conspiracy 
for the accomplishment of any of the foregoing. 

b. Violations of the laws or customs of war. 
Such violations shall include but not be limited to 
murder, ill-treatment or deportation to slave labor 
or for any other purpose of civilian population of, 
or in, occupied territory, murder or ill-treatment 
of prisoners of war or persons on the seas, or else- 
where improper treatment of hostages, plunder 
of public or private property, wanton destruction 
of cities, towns or villages or devastation not justi- 
fied by military necessity. 

c. Murder, extermination, enslavement, depor- 
tation and other inhumane acts committed against 
any civilian population, before or during the war 
or prosecution on political, racial or religious 
grounds in execution of or in connection with any 



'Policy decision approved by the Far Eastern Com- 
mission on Dee. 12, 1946, and released to tlie press on 
Apr. 18, 1947. A directive ba.sed upon this decision was 
forwarded to the Supreme Commander for the Allied 
Powers for implementation. 

' BuxLETiN of Apr. 6, 1947, p. 612. 

" Policy decision approved by the Far Eastern Commis- 
sion on Apr. 3, 1946, and released to tlie press on Apr. 18, 
1947. A directive based upon this decision was forwarded 
to the Supreme Commander for the Allied Powers for 
implementation. 

«04 



crime defined herein whether or not in violation 
of the domestic law of the country where per- 
petrated. 

2. The offense need not have been committed 
after a particular date to render the responsible 
party or parties subject to arrest but, in general, 
should have been committed since, or in the period 
immediately preceding the Mukden incident of 
September 18, 1931. The preponderance of cases 
may be expected to relate to the years since the 
Lukouchiao incident of July 7, 1937. 

3. All practicable measures should be taken to 
identify, investigate, apprehend, and detain all 
persons suspected of having committed war 
crimes, as defined in paragraph 1 above, and all 
persons whom any one of tlie United Nations or 
Italy charges with such crimes. 

4. Suspected war criminals should be held in 
close confinement, without access to the press or 
other media of public information, and without 
distinction as to rank or position, as befits ordinary 
criminals. 

5. The Supreme Commander for the Allied 
Powers should have : 

( a ) Power to appoint special international mili- 
tary courts (which term should be held to include 
tribunals of any type) composed of military, naval, 
or air force officers or civilians representing any 
two or more of the states members of the Far East- 
ern Commission for the trial under any applicable 
law, domestic or international, including the laws 
and customs of war, of the Far Eastern war crimi- 
nals indicted by the Governments of these states, 
and 

(b) Power to prescribe, subject to consultation 
with the representatives of those governments, 
rules of procedure for such courts, the Supreme 
Commander shall appoint to each international 
court a judge nominated by each state represented 
on the Far Eastern Commission which signifies its 
desire to participate in the work of such court. In 
the appointment of the international courts and in 
all trials before them, the international character 
of the courts and of the authority by which they 
were appointed and under which they act should 
be properly emphasized and recognized, particu- 
larly in dealings with the Japanese people. The 
Supreme Commander for the Allied Powers should 
have : ( 1 ) the responsibility for carrying out the 
judgments of any international courts appointed 

Department of State BvUetin 



by him, and (2) the power to approve, reduce or 
otherwise alter any sentences imposed by any such 
courts, but not to increase the severity thereof, 
after consuUation with the Allied Council for 
Japan and the Representatives in Japan of the 
other Powers, members of the Far Eastern Com- 
mission. 

6. The Supreme Commander for the Allied 
Powers (a) should promptly establish an agency, 
acting under his command to investigate reports of 
war crimes, to collect and analyze evidence, to 
arrange for the apprehension and prompt trial of 
suspects, to prepare, supervise and conduct the 
prosecution of individuals and organizations be- 
fore international military courts or tribunals, and 
to recommend to the Supreme Commander which 
individuals and organizations should be prose- 
cuted, before what courts they should be tried and 
what persons should be secured as witnesses, and 
(b) should provide, after discussion with the local 
representatives of the nations involved, and in a 
manner consistent with efficient administration, 
for equitable inclusion in the membership of such 
agency of suitable representatives of the states 
members of the Far Eastern Commission. This 
agency should advise the Supreme Commander 
and other military commanders for the Allies on 
matters relating to war criminals. This agency 
should attach importance to the investigation of 
the evidence that offenses of the type described in 
paragraph 1 a above have been committed, should 
collect and analyze the evidence of such offenses 
and should recommend to the Supreme Com- 
mander a plan as indicated in paragraph 5 above 
for the appointment of an international court for 
the trial of such offenses and the charges to be pre- 
ferred. This agency should also maintain a cen- 
tral record and information office of Japanese war 
criminals and war crimes, the records and files of 
which should be available to any interested United 
Nation. 

7. The militai-y conunander of any nation (in- 
cluding the United States) participating in the 
occupation of areas previously dominated by Japan 
may establish special national military courts to 
deal with war criminals not held or requested by 
the Supreme Commander for trial by an inter- 
national military court or tribunal of the types 
referred to in paragraph G above. Such courts 
should be separate from courts which may be set 

lAoy 4, 1947 



ACTIVITIBS AND DEVELOPMENT 

up to deal with current offenses against the occu- 
pation or infractions of military discipline. 

8. Military commanders of forces of occupation 
in the Far East should promptly comply with a 
request by the government of any one of the United 
Nations or Italy for the delivery to it of any person 
who is stated in such request to be charged with a 
war crime subject to the following exceptions: 

(1) Persons who have held high political, civil 
or military positions in the Japanese Empire or in 
one of its allies, co-belligerents or satellites, should 
not be delivered, pending decision whether such 
person should be tried before an international mili- 
tary court or tribunal. Suspected war criminals 
desired for trial before such a court or tribunal 
or persons desired as witnesses at such trials will 
not be turned over to the nation requesting them 
so long as their presence is desired in connection 
with such trials. 

(2) Wliere persons are requested by more than 
one of the Governments above mentioned for trial 
of a war crime, the military commanders concerned 
should make their determinations based on all the 
circumstances, including the relative seriousness- 
of the respective charges against such a person and 
the national interests involved, and should deliver 
the requested person to a particular United Nation 
or Italy accordingly. 

9. Compliance with any request for the delivery 
of a suspected war criminal should not be delayed 
on the gi-ound that other requests for the same 
person are anticipated. 

10. Delivery of a suspected war criminal to a 
requesting government should be subject to the 
condition that if such person is not brought to trial, 
tried and convicted within six months from the 
date he is so delivered, he will be returned to the 
authority who made delivery if he has been re- 
quested for trial by any of the other United 
Nations or Italy. 

11. Military commanders should take under 
their control, pending subsequent decisions as ta 
its eventual disposition, property, real and per- 
sonal, found in areas of their respective jurisdic- 
tion and owned or controlled by persons taken into 
custody pursuant to the provisions of paragraph 3 
above. 

12. Such measures as are deemed necessary 
should be taken to insure that witnesses to war 
crimes will be available when required. 

805 



ACTIVITieS AND DEVSLOPMBNTS 

13. The execution of death sentences should be 
deferred if there is a reason to believe that the 
testimony of those convicted would be of value 
in the trial of other war criminals. 

14. Any national of any United Nation who 
may be requested, or who there is reason to believe 
may be desired, by his government as a renegade 
or quisling, should be arrested. Such persons 
should normally be turned over as soon as prac- 
ticable to their government. 

15. Military commanders having custody of 
alleged offenders requested under paragraphs 8 and 
14 above, if in doubt as to whether such persons 
should be turned over to the demanding nation 
for trial, should consult their government and, 
in appropriate cases leave the matter to be dealt 
with through diplomatic channels. Within the 
main islands of Japan, the Supreme Commander 
for the Allied Powers will have custody of such 
alleged offenders and should consult the Joint 
Chiefs of Staff in cases of doubt. 



Determination of Peaceful 
Needs of Japan ^ 

1. The Far Eastern Commission determines as 
a matter of policy that the peaceful needs of the 
Japanese people should be defined as being sub- 
stantially the standard of living prevailing in 
Japan during the period of 1930-1934. 

2. Data about the standard of living during 
1930-1934 should for present purposes be used to 
make an estimate of Japan's peaceful needs in 
1950. In estimating the nature and size of the 
industrial structure within that level, account 
should be taken of such factors as technological 
developments, the balance of payments, and em- 
ployment. 

3. Acceptance of the above policy should not be 
interpreted to mean acceptance in advance of a 
specific level for any particular industry. 

' Policy decision approved by the Far Eastern Commis- 
sion on Jan. 23, 1947, and released to tlie press on Apr. 18. 
A directive based upon this decision was forwarded to the 
Supreme Commander for the Allied Powers for imple- 
mentation. 

806 



U.S. DELEGATION TO ILO INDUSTRIAL 
COMMITTEE ON COAL MINING 

[Released to the press April 25] 

The President has approved the composition of 
the United States Delegation to the second meet- 
ing of the Industrial Committee on Coal Mining 
of the International Labor Organization, as sub- 
mitted by the Secretary of State upon the recom- 
mendation of the Secretary of Labor. The meet- 
ing will commence on April 24 at Geneva, Swit- 
zerland, and will continue for 10 days. 

Tlie United States Delegation is a tripartite 
group of six delegates representing equally, in 
accordance with ILO constitutional provisions, 
government, management, and labor. In addition, 
two Government advisers will participate. The 
Delegation is listed as follows : 

Representing the Oovernment of the United States: 

Delegates 

Harry Weiss, Director, Ek;onomics Branch, Wage and 

Hour and Public Contracts Divisions, Department 

of Labor 
Louis C. McCabe, Chief of the Coal Division of the 

Bureau of Mines, Department of the Interior 

Advisers 

Witt Bowden, Economist, Labor Economics Staff, Bureau 

of Labor Statistics, Department of Labor 
Paul R. Porter, Acting Chief, Mission for Economic 

Affairs, London 

Representing the Employers of the United States 

Robert P. Koenig, President, Ayrshire Colleries Corpo- 
ration, Indianapolis, Indiana 

H. J. Connolly, President, Pennsylvania Coal Company, 
Scranton, Pennsylvania 

The following members originally scheduled to 
represent the workers of the United States have 
been detained by Union business : 

Thomas Kennedy, Secretary-Treasurer, United Mine 
Workers of America, Washington, D. C. 

John T. Jones, President, District 16, United Mine Work- 
ers of America, Washington, D. C. 

This will be the second session of the Coal Min- 
ing Committee, the first having been held in De- 
cember 1945 at London. The meeting stems from 
the policy inaugurated by the Governing Body of 
the International Labor Office in January 1945 of 
establishing seven major industrial committees for 
the purpose of paying closer attention to the indi- 
vidual industries, and thus implementing the 
previously evolved general principles governing 

Department of State Bulletin 



ACTIVITIES AND DEVELOPMENTS 



labor standards and social policy on an individual 
industry basis. 

The 12 major coal-producing countries that 
comprise the Committee are Australia, Belgium, 
Canada, Czechoslovakia, France, India, the 
Netherlands, Poland, the Union of South Africa, 
Turkey, the United Kingdom, and the United 
States. 

The agenda for the second session will include a 
report on the progress made by the member coun- 
tries since the first meeting. The mineworkers' 
charter, which was drafted at the first session, will 
be scrutinized in the light of subsequent develop- 
ments, particularly with respect to mine-safety 
provisions. Attention will also be focused upon 
the utilization of the economic, human, and tech- 
nical resources of the coal mining industry in 
view of the critical need for increased production 
of fuel in Europe at this time. 

In accordance with the terms of the agreement 
between the International Labor Organization and 
the United Nations, representatives of interested 
agencies of the United Nations have been invited 
to attend the meeting. 

U. S. DELEGATION TO IMMRAN 

[Released to the press April 24] 

The Acting Secretary of State announced on 
April 24 that the President has approved the com- 
position of the American Delegation to the Inter- 
national Meeting on Marine Radio Aids to 
Navigation (IMMRAN), which is scheduled to 
be held at New York, N. Y., and New London, 
Conn., beginning on April 28, 1947, and continu- 
ing for two weeks. The nominations were sub- 
mitted by Acting Secretary Acheson upon the rec- 
ommendation of the interested Government agen- 
cies, the National Federation of American Ship- 
ping, and the Radio Manufacturers Association. 

The American Delegation is as follows : 

Chairman 

John S. Cross, Assistant Chief, Telecommunications Di- 
vision, Department of State 

Vice Chairman 

Edward M. Webster, Commissioner, Federal Communica- 
tions Commission 

Delegates 

Capt. H. C. Jloore, United States Coast Guard 

Commodore Gordon McLintock, United States Maritime 
Commission 

I,t. Conidr. Irvin L. McNally, United States Navy 



Daniel J. McKenzie, Master Mariner, Transportation 

Corps, War Department 
Lt. Comdr. Clarence A. Burmister, Coast and Geodetic 

Survey, Department of Commerce 
P. De Forrest McKeel, Civil Aeronautics Administration, 

Department of Commerce 
Edward C. Phillips, National Federation of American 

Shipping, Inc., Washington 
W. R. G. Baker, Radio Manufacturers Association, 

Washington 

The purpose of the meeting is to provide infor- 
mation to foreign countries regarding United 
States policy in the field of marine radio aids to 
navigation and to demonstrate the progress which 
the United States has made in this field. The ses- 
sions in New York will consist of lectures and dis- 
cussions, and exhibits by manufacturers of radio 
and electronic equipment, including radar and 
loran. During the second week the headquarters 
of the meeting will be at the United States Coast 
Guard Academy in New London, Conn., where 
there will be further discussions and demonstra- 
tions at sea of equipment under operating condi- 
tions. Vessels for the demonstrations on ship- 
board have been made available by the United 
States Maritime Commission, the United States 
Coast Guard, and the United States Coast and 
Geodetic Survey. 

It is expected that the meeting will inform the 
delegates regarding the adoption of new radio aids 
to navigation by this Government and the availa- 
bility, type, and quality of marine radio-aid 
equipment produced by United Statas manufac- 
turers. Should it appear that fruitful conclusions 
and resolutions leading to world standardization 
of marine radio aids can be evolved during the 
progress of the meeting, such conclusions and reso- 
lutions will be recorded for future reference and 
utilization when the nations of the world meet to 
consider standardization of equipment in this field. 

The Honorary Chairman of the meeting will be 
Garrison Norton, Assistant Secretary of State. 
Chairman of the meeting will be William L. 
Everitt of the University of Illinois. John S. 
Cross of the Department of State will serve as 
Executive Secretary and Lt. Comdr. L. E. Brumier 
of the United States Coast Guard as Program 
Coordinator. Henry F. Nichol and Reginald T. 
Johnson, both of the Department of State, will 
serve respectively as the Executive Officer and the 
Administrative Officer of the meeting. 



fAay 4, 1947 



807 



ACTIVITIES AND DEVELOPMENTS 

The congressional advisers who are expected to 
attend are: Fred Bradley of Michigan; Alvin F. 
Weichel of Ohio; T. Millet Hand of New Jersey; 
Henry J. Latham of New York; David M. Potts 
of New York; Willis W. Bradley of California; 
Thor C. Tollefson of Washington ; Horace Seely- 
Brown of Connecticut; John C. Brophy of Wis- 
consin; Robert Nodar, Jr., of New York; Herbert 
C. Bonner of North Carolina ; Henry M. Jackson 
of Washington ; Eugene J. Keogh of New York ; 
Cecil R. King of California; Emory H. Price of 
Florida; and Leo F. Rayfiel of New York. Ac- 
companying them will be Marvin Coles, Chief 
Counsel, and Guy H. La Bounty, Chief Investi- 
gator, both of the Merchant Marine and Fisheries 
Committee, House of Representatives. 

Attached to the Delegation will be approxi- 
mately 15 industi-y advisers and 20 advisers from 
United States Government agencies. In addition, 
speakers who are experts in the field of radio and 
radio marine aids to navigation will address the 
meeting. 

To date 26 countries have accepted the invitation 
to IMMRAN. The United Kingdom Delegation 
will be headed by Sir Watson-Watt, well-known 
scientist in the field of electronics. 

U.S. DELEGATION TO FIRST ASSEMBLY OF ICAO 

[Released to the press April 231 

The President announced on April 23 the com- 
position of the United States Delegation to the fii'st 
assembly of the International Civil Aviation Or- 
ganization, scheduled to convene in Montreal, 
Canada, May 6, 1947. 

The Delegation will be headed by Garrison 
Norton, Assistant Secretary of State and chainnan 
of the Air Coordinating Committee. William A. 
M. Burden, Assistant Secretary of Commerce and 
vice chairman of the Committee, will be alternate 
chairman. Other delegates designated by the 
President are : James M. Landis, chairman of the 
Civil Aeronautics Board and co-chairman of the 
Committee; Maj. Gen. Laurence S. Kuter, U.S. 
Representative to the ICAO Council; Harllee 
Branch, member of the Civil Aeronautics Board ; 
L. Welch Pogue, president of National Aeronautic 
Association and member of the Industry Advisory 
Panel of the Air Coordinating Committee; and 
Lt. Comdr. Paul A. Smith, U.S. Representative to 
the Air Navigation Committee and an alternate to 
General Kuter on the ICAO Coimcil. 

808 



Invitations have been extended to both Houses 
of Congress to send congressional advisers as part 
of the Delegation. 

Designated as consultants to the Delegation 
were: W. Stuart Symington, Assistant Secretary 
of War for Air ; John N. Brown, Assistant Secre- 
tary of Navy for Air; Robert S. Burgess, Deputy 
Second Assistant Postmaster General; Gerald 
Brophy, former U.S. Representative to PICAO. 
The President named the following as alternate 
delegates: Russell B. Adams, Director, Economic 
Bureau, Civil Aeronautics Board; J. Paul Bar- 
ringer, Assistant Chief, Aviation Division, De- 
jjartment of State; Paul T. David, U.S. Repre- 
sentative on Air Transport Committee and an 
alternate to General Kuter on ICAO Council; 
Livingston T. Merchant, Chief, Aviation Division, 
Department of State; Emery Nunneley, General 
Counsel, Civil Aeronautics Board ; Carl Schwartz, 
Assistant Chief, Estimates Division, Bureau of the 
Budget ; Charles I. Stanton, Deputy Administra- 
tor, Civil Aeronautics Administration, Depart- 
ment of Commerce. 

Included on the Delegation as advisers are the 
following Government and industiy aviation ex- 
perts : Col. W. G. Bryte, Cliief , Civil Air Division 
AC/AS5, War Department; G. N. Calkins, At- 
torney Adviser, General Counsel, Civil Aeronautics 
Board; Enar B. Olson, Budget Analyst, Civil 
Aeronautics Administration, Department of Com- 
merce; Glen Gilbert, Chief, Technical Mission, 
Civil Aeronautics Administration, Department of 
Commerce ; Frank Hefner, Budget Examiner, Bu- 
reau of the Budget; Robert Hoyt, Coordinator of 
International Relations, Civil Aeronautics Board ; 
Stephen Latchford, Aviation Adviser, Aviation 
Division, Department of State ; Comdr. E. S. Lee, 
Jr., Civil Aviation Section, Naval Operations, 
Navy Department; Robert J. G. McClurkin, As- 
sistant Director, Economic Bureau, Civil Aero- 
nautics Board; Walker Percy, CAA-PICAO Co- 
ordinator, Department of Commerce; David W. 
Wainhouse, Assistant Chief, Division of Interna- 
tional Organization Affairs, Department of 
State; Richard K. Waldo, Special Assistant on 
ICAO Matters, Aviation Division, Department of 
State ; John Dickerman, Air Line Pilots Associa- 
tion ; Donald W. Nyrop, Air Transport Associa- 
tion; Stuart Tipton, Air Transport Association; 
W. K. Ebel, vice president, Glenn L. Martin Com- 
pany, and member of Aircraft Industries Associa- 

Department of Sfafe Bulletin 



tion; Hall L. Hibbard, vice president, Locklieed 
Corporation, and member of Aircraft Industries 
Association. Representatives of United States 
flag airlines engaged in international air commerce 
have been invited to attend the assembly session 
as observers attached to the United States Dele- 
gation. 

United States positions on specific agenda items 
are in the process of preparation within the 
framework of the Air Coordinating Commit- 
tee, providing an opportunity for full and com- 
plete industry participation in the development of 
United States positions. The provisional agenda 
for the Assembly has been in the hands of the Air 
Coordinating Committee since March 6, 1947. 



ACTIVITIES AND DEVEIOPMENTS 

The assembly at Montreal will be of particular 
importance this year in as much as this will be the 
first assembly of the permanent organization. The 
convention on international civil aviation, drafted 
at the Chicago aviation conference in the winter 
of 1944, under which the permanent organization 
was established, came into force on April 4, 1947, 
following receipt of the necessary number of ratifi- 
cations from member governments. 

Among the items to be considered at the assem- 
bly are the organization, structure, and duties of 
the permanent international body, the relationship 
of the organization to the United Nations, the fi- 
nancing of ground facilities on an international 
basis and a possible multilateral air-transport con- 
vention. 



The Twelfth Pan American Sanitary Conference: Regional 
Health Programs and World Health Organization 



The Twelfth Pan American Sanitary Confer- 
ence met in Caracas, Venezuela, from January 12 
to 24, 1947. It was composed of delegates from 20 
of the 21 American republics,^ together with 
observers ^ from Canada and the British, Dutch, 
and French territorial possessions in the Western 
Hemisphere, and from the World Health Organ- 
ization, the Rockefeller Foundation, the Institute 
of Inter-American Affairs, and Pan American 
Airways. 

The agenda of the Conference included a wide 
range of health problems which may be grouped 
under three major categories: (1) those concern- 
ing international cooperation and organization in 
public health; (2) those relating to national poli- 
cies and organization in public health; and (3) 
those regarding the prevention and eradication of 
major diseases. Although the work of the Con- 
ference in the last two fields was of vital signifi- 
cance since it affects the health of all the peoples of 
the Western Hemisphere, the Conference decisions 
in the field of international public-health organ- 
ization have aroused such wide-spread interest 
that they will be given primary attention in the 
present article. 

The most controversial issue facing the Confer- 
ence was that of the relationship between the Pan 
American Sanitary Bureau and the World Health 
Organization. The constitution of the World 
Health Organization, as drawn up and signed by 

May 4, 1947 



the representatives of 61 nations at the Interna- 
tional Health Conference in New York City on 
July 22, 1946, provides in chapter XI for the 
structure of regional offices and committees of the 
World Health Organization and in article 54 
states that : 

"The Pan American sanitary organization rep- 
resented by the Pan American Sanitary Bureau 
and the Pan American Sanitary Conferences, and 
all other inter-governmental regional health or- 
ganizations in existence prior to the date of sig- 
nature of this Constitution, shall in due course be 
integrated with the Organization. This integra- 
tion shall be effected as soon as practicable through 
common action based on mutual consent of the 
competent authorities expressed through the or- 
ganizations concerned." 

A subcommittee of representatives of four 
American republics (Brazil, Mexico, United 
States, and Venezuela) was appointed by the In- 



' The Dominican Republic received an invitation from 
the Venezuelan Government, transmitted through the Pan 
American Sanitary Bureau, but declined to send 
representatives. 

' It was decided by the Conference that representatives 
of states and territories not members of the Pan American 
Sanitary Bureau would have full right of participation in 
the discussions and worl£ of the Conference, but without 
the right to vote. 

809 



ACTIVITieS AND DBVEIOPMENTS 

terim Commission of the World Health Organiza- 
tion to negotiate with the Pan American sanitary 
organization in order to implement this article. 
This subcommittee prepared in the fall of 1946 a 
draft agreement between the two organizations. 
The Directing Council of the Pan American Sani- 
tary Bureau met in early October and approved a 
document called the '"Declaration of Habana" 
which urged that the American republics in ratify- 
ing the constitution of the World Health Organi- 
zation seek assistance to insure that the complete 
organizational, financial, administrative, and pol- 
icy independence of the Bureau would be preserved 
in any agreement with the World Health Organi- 
zation. 

Four principal issues faced the commission of 
the Conference which dealt with this problem: 
(a) the general nature and form of action which 
the Conference should take; {h) the policy to be 
recommended as to approval of the constitution 
of the World Health Organization; (c) whether, 
after integration, the Pan American sanitary or- 
ganization would continue to carry on activities 
apart from those as regional agency of the World 
Health Organization ; and (d) the extent to which 
the Pan American sanitary organization would be 
required to conform to the World Health Organi- 
zation constitution and policies, both in serving as 
its regional organization and in any separate 
activities. 

1. As to the nature of the action to be taken 
by the Conference, there was an initial difference 
of opinion as to whether the Conference should 
seek to work out the terms of an agreement with 
the World Health Organization or should confine 
itself to a brief statement of general principles to 
govern the relations. 

It was therefore agreed to adopt a generally 
worded resolution and to place the more detailed 
provisions in an annex as the guiding basis for the 
formulation of a specific agreement with the World 
Healtli Organization. In this resolution the Con- 
ference authorizes the Directing Council of the 
Bureau to negotiate the agreement within the 
framework of the principles set forth in the annex 
and specifically delegates to the Council power to 
approve modifications therein if this proves de- 
sirable. A motion to limit this power to accept- 
ance only of proposals falling witliin the context 
of the points in the annex was defeated in the full 
conmiission (receiving only three votes) when the 

810 



desirability was jwinted out of giving the Council 
certain freedom of action in negotiating the agree- 
ment. 

The procedure thus worked out is believed to be 
eminently practicable. It permits prompt negoti- 
ations with the Interim Commission of the World 
Health Organization for the formulation of the 
specific agreement and fulfils the requirement in 
article 54 of the World Health Organization con- 
stitution that the "mutual consent of the com- 
petent authorities" to proceed with integration 
should be "expressed through the organizations 
concerned". Yet the procedure obviates the neces- 
sity of further reference of a specific agi'eement 
to the individual American governments and 
avoids the four-year delay which would have oc- 
curred if the agreement had been required to be 
submitted to the next Pan American Sanitaiy 
Conference for approval. Once negotiated, the 
agreement is to come into effect, according to par- 
agraph VI of the resolution, after the establish- 
ment of the World Health Organization, approval 
by the World Health Assembly, ratification of the 
constitution by 14 American republics, and signa- 
ture of the agreement by the Director of the Pan 
American Sanitary Bureau. 

2. The second major problem mentioned above 
related to the policy to be recommended by the 
Conference on ratification of the World Health 
Organization constitution. The United States 
position at the Conference was one of firm opposi- 
tion to any recommendation to the governments to 
ra,tify the constitution with reservations. The 
resolution as finally agi'eed upon recommends the 
prompt approval of the constitution by all Ameri- 
can republics with no reference to reservations of 
any kind. 

3. The third question was whether, after the 
agreement with the World Health Organization 
became effective, the Pan American Sanitaiy Bu- 
reau would continue any separate activities in 
addition to its functions as regional ofiice. The 
possibility of additional activities was envisaged 
in the draft agi-eement prepared by the subcom- 
mittee of the World Health Organization, and it 
was generally assumed in the discussions at the 
Conference that sejDarate activities would be con- 
tinued by the Bureau. Indeed, the list of prin- 
ciples in the annex to the resolution places great 
emphasis upon such separate progi-ams. 

Department of State Bulletin 



4. The basic issue of the extent to which the Pan 
American Sanitary Bureau should conform to the 
World Health Organization constitution and poli- 
cies, both in serving as regional office and in its 
separate activities, was not definitely settled in 
all its aspects. 

However, a key to the resolution of this problem 
is found in paragraph 1 of the annex: 

"The Pan American Sanitary Organization 
. . . shall continue to function in its conti- 
nental character in American aspects of health 
problems and shall act as Regional Committee and 
Office of the World Health Organization in the 
Western Hemisphere, in accordance with the Con- 
stitution of the World Health Organization." 

This clearly provides for conformance with the 
World Health Organization constitution when the 
Organization acts as regional agency. However, 
there was no discussion as to whether the final 
phrase following the comma applies to the entire 
paragraph or only the last portion. 

Nevertheless, two other articles in the annex 
establish a pattern of conformance of the Bureau, 
even in its separate activities, to World Health 
Organization constitution and policies. Article 
IX provides that the Pan Am^ican Sanitary Con- 
ference — 

"is free to promote and adopt sanitary standards 
and conventions in the Western Hemisphere being 
required to take into account and to proceed in 
accordance with the standards, conventions and 
plans of the World Health Organization . . .". 

Article X empowers the Bureau to undertake 
regional health programs under the terms of the 
Pan American Sanitary Code and as directed by 
the conferences or the Directing Council, "pro- 
vided that such programs are not incompatible 
with the Constitution of the World Health 
Organization". 

The provisions concerning the election of the 
Director were considered as of the greatest im- 
portance, since the post is a dual one under the 



ACriVniBS AND DEVeiOPMBNTS 

present concept. The idea was readily accepted 
that the existing Director at the time the agree- 
ment becomes effective shall assume the post of 
Regional Director until the end of his term. 
After discussion it was agreed that his successors 
should be elected by the Executive Board of the 
World Health Organization in agreement with the 
Pan American Sanitary Conference (as provided 
in article 52 of the World Health Organization 
constitution) with two conditions: (1) that the 
person must have received the vote of two-thirds 
of the American republics in the Directing Coun- 
cil, and (2) that both the Directing Council and 
the World Health Organization may reject candi- 
dates proposed by the other only once for each 
election. The United States Delegation did not 
favor the latter condition. 

The complex of problems with which the Con- 
ference dealt in the field of national policies and 
organization of public health included the Na- 
tional Organization of Sanitary Services, the 
relations between social security and public-health 
service, post-war health problems with special 
reference to migration, and the regulation of food 
and drugs. An equally important portion of the 
Conference agenda was devoted to problems of the 
diagnosis, control, and treatment of diseases which 
constitute nation-wide problems, such as malaria, 
tuberculosis, and venereal disease, as well as rabies, 
typhus, plague, and other animal diseases trans- 
mittable to man. 

Each of these topics was assigned to a special 
commission of the Conference attended by repre- 
sentatives who were experts in these particular 
fields and, through discussion and a sharing of 
experiences among these leaders in public health, 
a series of resolutions and recommendations was 
evolved on each of the subjects. After consider- 
ation and approval by the full Conference, these 
were transmitted to the governments. It will be 
part of the continuing task of the Pan American 
Sanitary Bureau to work with the 21 American 
governments to seek to assure the implementation 
of these programs. 



May 4, 1947 



8U 



THE RECORD OF THE WEEK 



Soviet Position on Reconvening of Joint U. S.-U. S. S. R. Commission 



NOTE FROM SOVIET MINISTER FOR FOREIGN'AFFAIRS TO THE SECRETARY OF STATE 



Dear Mr. Marshall : 

In reply to your letter of April 8 on the question 
of Korea,^ I am communicating the following : 

At the Moscow meeting of the Foreign Ministers 
of the Soviet Union, the United States of America 
and the United Kingdom in December 1945, an 
agreement was reached which determined the pol- 
icy of the three powers with respect to Korea. A 
basis for this agreement were the proposals of the 
Soviet Government, to which the Government of 
the U.S.A. also agreed, having consequently aban- 
doned its first intention not to establish a National 
Korean Government in Korea. The Moscow 
Agreement held the establishment of a provisional 
democratic Korean Government which could take 
all the necessary measures for the development of 
Korean industry, transport, agricultui-e and the 
national culture of the Korean people, to be a 
problem of primary importance. 

Having made these proposals, the Soviet Gov- 
ernment deemed that the unification of Korea un- 
der the leadership of the Korean National Govern- 
ment was the most important prerequisite for the 
restoration of Korea as an independent state and 
the establishment of bases for the development of 
the country on democratic principles. 

The Soviet Government continues to adhere to 
this point of view and insists on a steadfast im- 
plementation of the Moscow Agreement on Korea, 
being certain that, on the basis of the execution of 
this agreement Korea would be successfully de- 
veloped along democratic principles and would be- 
come an independent and prosperous state and an 
equal member of the United Nations. 

However, the legislative program provided for 
Korea by the Moscow Agreement has not yet been 
carried out. A provisional democratic Korean 
Government has not been established. The work 
of the Joint Soviet-American Commission, estab- 

' Bulletin of Apr. 20, 1947, p. 716. 

8ia 



lished for the purpose of collaborating in the 
establishment of a provisional democratic Korean 
Government was suspended as a result of the fact 
that the American delegation on this Commission 
took a stand contrary to the Moscow Agreement 
on Korea. Furthermore, the American Command 
in southern Korea did not agree to a serious con- 
sideration of the proposals by the Soviet Com- 
mand in northern Korea on the question of an 
economic exchange between the two zones, which 
made it impossible to reach an agreement on this 
question. 

In the course of the work of the Joint Soviet- 
American Commission during the period from 
March to May, 1946, the Soviet delegation made 
every effort to effect the execution of the afore- 
mentioned agreement on Korea and, first of all, 
provide for a prompt establishment of a provi- 
sional democratic Korean Government and for the 
unification of Korea under its leadership. How- 
ever, the Soviet delegation met not only with diffi- 
culties in this connection, but also with direct 
counter-action on the part of the American dele- 
gation. Basing itself on the agreement on Korea, 
which provides that the Joint Commission, in 
formulating its proposals, should consult Korean 
democratic parties and social organizations, the 
Soviet delegation insisted on a wide-scale attrac- 
tion of such parties and organizations to consulta- 
tion with the Commission. The American delega- 
tion excluded participation by a whole series of 
large democratic organizations in southern Korea 
and insisted on consultation with groups which 
had taken a stand in opposition to the Moscow 
Agreement, consultation with which, naturally 
could not facilitate the execution of this agree- 
ment. The American delegation included in the 
list of parties and organizations submitted by it 
for consultation with the Joint Commission, sev- 
enteen political i^arties and social gi'oups of 
southern Korea which took a stand against the 

Deparfment of State Bulletin 



Moscow Agreement, and only three democratic 
parties which suppoiled the agreement. The 
American delegation excluded such large demo- 
cratic parties and social organizations as the All- 
Korean Labor Confederation, the All-Korean 
Peasant Union, the Korean National Revolution- 
ary Party, the All-Korean Youth Union, etc., 
from participation in consultation. Deeming it 
impossible to agree to this position of the Ameri- 
can delegation, the Soviet delegation nevertheless 
did its utmost to find a way to reach an agreed 
decision. This, however, appeared impossible 
and the work of the Commission, on the sugges- 
tion of the American delegation, was curtailed. 

The intolerance of the resulting situation is evi- 
dent. As a result of this, as you know, it was 
necessary to take new measures in endeavoring 
to find a way out of such a situation. 

The Soviet Commander in his relations with the 
American Commander endeavored to find a basis 
for the renewal of the work of the Joint Commis- 
sion. As a result of an exchange of letters, there 
has been a considerable rapprochement of the 
points of view of both sides, which fact was noted 
by both commanders. It was expected that an 
agreement would soon be reached and the Joint 
Commission would begin its work very shortly. 
However, no reply has been received to date from 
the American Commander to the last letter of 
February 28, from the Soviet Commander and the 
proposed agreement was not reached. Disagree- 
ment of action was a serious obstacle for the op- 
portune fulfillment of the program of measures 
proposed in the Moscow Agreement of Korea as 
a whole. 

In connection with northern Korea, during the 
period beginning with the capitulation of Japan, 
considerable progress was made in the field of 
democratization, and also with respect to the res- 
toration of national economy and culture. Wide 
democratic reforms have been made which guar- 
antee political freedom and raise the standard of 
living of the population. I have in mind, first 
of all, the introduction of an over-all electoral 
right ; a law on equal rights for women ; the estab- 
lishment of local authority agencies and the 
People's Committee of Northern Korea on the 
basis of free democratic elections; land reform, as 
a result of which 725,000 landless peasant farmers 
and those having little land received more than 1 
million hectares of free land, which formerly be- 

May 4, 1947 



THE RECORD Of THE WEBK 

longed to Japanese colonists and their accomplices 
in Korea; the nationalization of former Japa- 
nese industries, the 8 hour work-day, safeguarding 
of labor and social insurance; public educational 
reform, as a result of which the Korean language 
has been reestablished, the network of schools was 
increased and the number of students was in- 
creased, etc. However, such wide democratic re- 
forms have been carried out only in northern 
Korea, where there is only two fifths of the popula- 
tion of Korea. 

The Soviet Government, closely adliering in 
their policy toward Korea to the program planned 
in the Moscow Agreement, believes the following 
to be points of j^rimary importance : 

1. The establishment of a provisional demo- 
cratic Korean Government on the basis of a wide- 
scale participation of Korean democratic parties 
and social organizations, in order to expedite the 
political and economic unification of Korea as a 
self-supporting state independent of foreign in- 
terference, which would do away with the division 
of the country into two zones. 

2. The establishment of democratic authority 
agencies throughout Korea by means of free elec- 
tions on the basis of a general and equal electoral 
right. 

3. The aiding of Korean people in the restora- 
tion of Korea as an independent democratic state 
and in the development of its national economy 
and national culture. 

In conformity with the steadfast aspiration on 
the part of the Soviet Government for the prompt 
restoration of Korea as a united sovereign state 
and elimination of difficulties arising from the fact 
that Korea to date has not been unified and does 
not have a national government, I propose that 
the Joint Soviet- American Commission resume its 
work on May 20 of the current year in the city of 
Seoul, on the basis of an exact execution of the 
Moscow Agreement on Korea, and that the Com- 
mission present the result of its work on the elabo- 
ration of recommendations with respect to the 
establishment of a provisional democratic Korean 
Government for consideration by the two govern- 
ments in July and August 1947. 

I am sending copies of the present letter to Mr. 
Bevin and to the Chinese Ambassador in Moscow. 

I beg you [etc.] 

V. MoLOTOV 

813 



Lend-Lease to the Union of Soviet Socialist Republics^ 



Lend-Lease Assistance to the Soviet Union During 
the Period of Hostilities 

Lend-lease aid to the Soviet Union during the 
period of hostilities amounting to about $11,100,- 
000,000 was rendered under the terms of a master 
lend-lease agreement with the Soviet Government 
signed on June 11, 1942. Aid on this basis was 
ordered halted on V-J Day, September 2, 1945, 
and no further shipments were made except for 
goods then in process of loading or in transit to 
shipside. Aid rendered from V-E Day, May 12, 
1945, to V-J Day, September 2, 1945, was solely 
for support of the Soviet Far Eastern Army and 
the strengthening of this area for operations 
against Japan. Ninety-five merchant ships now 
remain in Soviet possession out of the 126 which 
were transferred under tlie terms of the master 
agreement of June 11, 1942. The Soviet Govern- 
ment has now agreed to commence discussions for 
settlement of its obligations for lend-lease aid 
rendered under this agreement. These discussions 
will include the disposition of the 95 merchant 
ships. 

Lend-Lease Shipments to the Soviet Union Since 
V-J Day 

On V-J Day, September 2, 1945, there remained 
in warehouses and in production, quantities of 
lend-lease articles which had been ordered for the 
Union of Soviet Socialist Republics during the 
period of hostilities. These articles were the resi- 
due of a larger quantity of orders, many of which 
were cancelled shortly after the cessation of hos- 
tilities in Europe on V-E Day, May 12, 1945. 
On October 15, 1945, an agreement was concluded 
with the Government of the Union of SoAriet So- 
cialist Republics under section 3(c) of the Lend- 
Lease Act which reads in part as follows : 

". . . until July 1, 1949, any of such powers 
may be exercised to the extent necessary to carry 
out a contract or agreement with such a foreign 
government made before July 1, 1946 . . .". 

The agreement of October 15, 1945, was con- 



cluded independently of the master lend-lease 
agreement of June 11, 1942. Under its terms the 
Government of the United States agreed to deliver 
and the Government of the Union of Soviet Social- 
ist Republics agreed to accept under terms of pay- 
ment stated below a specific quantity of these resid- 
ual supplies. The supplies included in the sched- 
ules of this agreement consist primarily of in- 
dustrial and transportation equipment fabricated 
to Soviet specifications. (No arms, ammunition, 
or implements of war were included for shipment 
under the agreement of October 15, 1945. It will 
also be noted from the tables below that no cargo 
trucks were included in the "pipeline" schedule.) 
As a whole this equipment would have brought a 
limited return if disposed of in the United States 
as surplus. In many instances contract-cancella- 
tion charges for material still in production on 
V-J Day would have been excessive. Up to De- 
cember 31, 1946, materials valued at $233,000,000 
had been transferred to the Soviet Government 
under this agreement and only about $17,000,000 
of equipment still remained untransferred either 
located at warehouses or in production. All trans- 
fers are now suspended pending consideration by 
the Congress. 

The articles shipped after V-J Day and up to 
December 31, 1946, were as follows: 



Machine tools 

Steam locomotives (Russian gage) 

Generator sets 

Cranes, derricks, hoists, etc. 

Electric rotating equipment 

Marine engines 

Canned tushonka 

Pumps 

Crushing equipment 

Valves and fittings 

Gas-producing equipment 

Secondary metal-forming machinery 



$40, 850, 000 
30, 634, 000 
22, 800, 000 
8, 129, 000 
8, 633, 000 
6, 824, 000 
4, 054, 000 
4, 620, 000 
4, 135, 000 
5, 114, 000 
4, 177, 000 
4, 956, 000 



^ Statement prepared by the Department of State and 
presented to the Senate on Apr. 18 by Arthur H. Vanden- 
berg. President pro tempore of the Senate. 

814 



Diesel electric locomotives (Russian gage) 3, 001, 000 

Industrial trucks and tractors 3, 768, 000 

Fan and blower equipment 3, 182, 000 

Power-transmission equipment 3, 162, OOO 

Power-conversion equipment 3, 117, 000 

Rolling mills and equipment 3, 372, 000 

Mine and quarry machinery 3,690,000 

Insulated wire and cable 3, 765, 000 

Bearings 2, 803, 000 

Department of State Bulletin 



THE RECORD OF THE WEEK 



Metal-melting and heating furnaces 

Welding machinery 

Metal-cutting tools 

Mine-type locomotives 

Leather 

Various industrial equipment and materials 

Total 

The equipment remaining to be transferred to 
the Soviet Government under the agreement is 
made up as follows : 

Oil-refinery equipment 

Equipment to expand refineries shipped to 
the U.S.S.R. before the cessation of 
hostilities 9/2/45 $6, 972, 000 



$2, 079, 000 


Mine hoists 


$3, 058, 000 


2, 965, 000 


Locomotive storage batteries 


1, 777, 000 


2, 289, 000 


Power equipment 


1, 272, 000 


2, 085, 000 


Electrical equipment 


945,000 


2, 117, 000 


Mining equipment 


674,000 


46, 589, 000 


Electric motors and controllers 


350,000 




Miscellaneous machinery and equipment 


1, 648, 000 




$233, 000, 000 







Total $16, 696, 000 

Payment for articles covered by the "pipeline" 
agreement as set forth above is to be made over a 
period of 30 years ending in 1975, with interest at 
2% percent per annum. The first payment of 
interest will be due July 1, 1947. The first pay- 
ment of principal will be due July 1, 1954. 



Protocol on Establishment of Four Power Naval Commission, 
Disposal of Excess Units of Italian Fleet, and Return 
by Soviet Union of Warhips on Loan 



Protocol signed at Paris February 10, 1947, hy 
representatives of the United States, United King- 
doin, Union of Soviet Socialist Republics, and 
France, on the establishment of a Four Power 
Naval Commission, the disposal of excess units 
of the Italian Fleet, and the return by the Soviet 
Union of warships on loan 

PART I 

Whereas the Treaty of Peace with Italy pro- 
vides that all the excess units of the Italian Fleet, 
as listed in Annex XII B of the said Treaty, shall 
be placed at the disposal of the Governments of 
the Union of Soviet Socialist Republics, the United 
Kingdom of Great Britain and Northern Ireland, 
the United States of America, and of France; 

And whereas it is necessary to make provision 
for the final disposal among certain Allied and 
Associated Powers of tlie said excess units ; 

The Governments of the Union of Soviet So- 
cialist Republics, the United Kingdom of Great 
Britain and Northern Ireland, the United States 
of America, and of France have therefore agreed 
as follows: 

1. The excess units of the Italian Fleet as listed 
in Annex XII B of the Treaty of Peace with Italy, 
and as finally verified on 1st January 1947, shall 
be allocated as set out in the Annex to this Protocol. 
No modification of the list of ships in Annex XII 
B will be accepted, irrespective of the date of any 

May 4, 1947 



damage to or loss of such ships, the Italian Gov- 
ernment being held responsible for the security 
and maintenance of such excess units up to the 
time at which each transfer is completed. 

2. Upon transfer by the Italian Government, the 
vessels concerned shall respectively vest in full 
ownership in the States hereby becoming entitled 
thereto, subject to the following exceptions: 

(a) The Governments of the Soviet Union and 
of France take note : that the Governments of the 
United Kingdom and of the United States of 
America have undertaken to meet, at least in part, 
and out of the tonnage at their disposal, the claims 
of certain other Powers for Italian naval vessels ; 
furthermore, that in regard to any such Italian 
naval vessels as the Government of the United 
States of America may elect to transfer to other 
Powers, the Government of the United States of 
America will accept temporary custody only, and, 
upon transfer of custody by the United States 
Government to any such Power, full ownership 
will pass from the Italian Government to that 
Power. 

(b) None of the Governments concerned shall 
be obliged to accept any ship assigned to it under 
this Protocol if such Government deems the ship 
unsuitable for its purpose, but in that case the 
Four Powers shall ensure that such ship, unless 
it is an auxiliary naval vessel, be scrapped or 
sunk by the Italian Government within nine 
months from fhe coming into force of the Treaty. 

815 



THE RECORD OF THE WECK 

3. A Commission, to be known as the Four 
Power Naval Commission, shall be set up, to 
meet for the first time immediately after the sig- 
nature both of the Treaty of Peace with Italy and 
of this Protocol. This Commission shall make all 
detailed arrangements necessary to effect the 
transfer of the excess units of the Italian Fleet, 
together with their spare. parts and armament 
stores, to the beneficiary Powers, in conformity 
with the naval clauses of the said Treaty. 

4. By invitation of the French Government, the 
Commission will meet in Paris, where it will oper- 
ate under the authority of the Council of Foreign 
Ministers, and carry out all preliminary work 
practicable prior to the coming into force of the 
Treaty. 

5. Upon the coming into force of the Treaty, the 
Commission will move to Rome, where it will 
operate under the authority of the Ambassadors 
of the Soviet Union, the United Kingdom, the 
United States of America and France. 

6. All orders and instructions by the Commis- 
sion shall be issued in the name of the four Am- 
bassadors, and shall be communicated by them to 
the Italian Government for execution. 

7. The Commission shall have the right to co- 
opt the services of representatives of Greece, 
Yugoslavia and Albania, when matters affecting 
these States are under discussion, and to call for 
such Italian representation as may be found neces- 
sary to the execution of the work of the 
Commission. 

8. The Annex to this Protocol will be published 
at a later date. 

PAHT II 

And whereas, by agreement between the Gov- 
ernments of the Union of Soviet Socialist Repub- 
lics, the United Kingdom of Great Britain and 
Northern Ireland, and the United States of Amer- 
ica, certain warships of the Royal Navy and of the 
United States Navy were, in 1944, transfei-red on 
loan to the Government of the Soviet Union ; 

And whereas it is necessary to make provision 
for the return to the Governments of the United 
Kingdom and of the United States of America of 
the aforementioned warships now on loan ; 

The Governments of the Union of Soviet Social- 
ist Republics, the United Kingdom of Great 
Britain and Northern Ireland, and the United 
States of America have further agreed as follows : 

816 



9. The representatives of the abovementioned 
three Governments on the Commission shall co- 
ordinate the arrangements for the return to the 
Governments of the United States of America and 
of the United Kingdom of the vessels on loan to 
the Government of the Soviet Union, as listed in 
paragraph 10 below. The return of such vessels 
to United Kingdom and United States ports shall, 
as far as possible, be effected simultaneously with 
the transfer to the Soviet Union of the excess 
units of the Italian Fleet allocated to her. 

10. List of Vessels on Loan from the United 
Kingdom 

British Name Temporary Russian Name 



Battleship 


Royal Sovereign 


Archangelsk 


Destroyers 


St. Albans 


Dostoiny 




Brighton 


Zharky 




Riclimond 


Zhyvuchy 




Chelsea 


Derzky 




Leamington 


Zhguchy 




Roxburgh 


Doblestny 




Georgetown 


Zhostky 


Submarines 


Unbroken 


B. 2 




Unison 


B. 3 




Ursula 


B. 4 


Vessels on Loan from 


the United States 


United States Name 


Temporary Russian Name 


Cruiser 


Milwaukee 


Murmansk 



In faith whereof the Undersigned Plenipoten- 
tiaries have signed the present Protocol, which 
will take effect immediately, the English, French 
and Russian texts being equally authentic. 

Done in Paris this tenth day of February one 
thousand nine hundred and forty seven. 

[Here follow the signatures.] 
THE CONGRESS 

Continuing the Authority of the Committee on 
Interstate and Foreign Commerce To Investigate 
the Transportation Situation : Report to accom- 
pany H. Res. 153. H. Rept. 277, 80th Cong., 1st 
sess. 1 p. 

Reincorporation of Export-Import Bank of 
AVashington : Report to accompany S. 993, a bill to 
provide for the reincorporation of Export-Import 
Bank of Washington, and for other purposes. S. 
Rept. 104, 80th Cong., 1st sess. 2 pp. 

Correcting an Error in Section 342 (B) (8) of 
the Nationality Act of 1940, as Amended : Report 
to accompany H.R. 2237. H. Rept. 272, 80th Cong., 
1st sess. 2 pp. 

Department of State Bulletin 



Protocol Amending Agreements, Conventions 
and Protocols on Narcotic Drugs ^ 



THE PRESIDENT'S LETTER OF TRANSMITTAL 



To the Senate of the United States : 

With a view to receiving the advice and con- 
sent of the Senate to ratification, I transmit here- 
with a certified copy of the protocol amending the 
agreements, conventions and protocols on nar- 
cotic drugs concluded at The Hague on January 
23, 1912, at Geneva on February 11, 1925 and Feb- 
ruary 19, 1925, and July 13, 1931, at Bangkok on 
November 27, 1931 and at Geneva on June 26, 
1936. 

This protocol was opened for signature at Lake 
Success, New York on December 11, 1946 and was 



signed on behalf of the United States of America 
on that date. 

I transmit also for the information of the Sen- 
ate the report of the Acting Secretary of State 
regarding this protocol. 

Haret S. Truman 

The White House, April 22, 191^1 

(Enclosures: 1. Certified copy of protocol, opened for 
signature December 11, 194G, amending the agreements, 
conventions and protocols on narcotic drugs.'' 2. Report 
of the Acting Secretary of State.) 



REPORT OF THE ACTING SECRETARY OF STATE 



WASHrNGTON, A'pril 21, 1947. 
The President, 

The White House: 

The undersigned, the Acting Secretary of State, 
has the honor to lay before the President, with a 
view to its transmission to the Senate to receive 
the advice and consent of that body to ratification, 
if his judgment approve thereof, a certified copy 
of the protocol amending the agreements, conven- 
tions and protocols on narcotic drugs concluded at 
The Hague on January 23, 1912, at Geneva on Feb- 
ruary 11, 1925 and February 19, 1925, and July 13, 
1931, at Bangkok on November 27, 1931 and at 
Geneva on June 26, 1936. 

By resolution adopted February 12, 1946, the 
General Assembly of the United Nations decided, 
with certain reservations, to take the steps neces- 
sary to ensure the uninterrupted exercise of the 
functions and powers of a technical and non-polit- 
ical character vested in the League of Nations by 
virtue of international agieements. Questions 
with respect to those functions and powers relating 
to the control of narcotic drugs were referred to 
the Economic and Social Council with a view to 
the drafting of amendments made necessary as a 



result of the dissolution of the League of Nations 
and the willingness of the United Nations to as- 
sume the international control of narcotic drugs. 
Accordingly, the Economic and Social Council 
undertook a study of existing international agree- 
ments in order to determine how the administra- 
tive and enforcement powers conferred by such 
agreements on the Council of the League of Na- 
tions and other bodies could best be transferred to 
the United Nations without altering the substan- 
tive provisions. Subsequently, a draft protocol 
adopting certain amendments, as set forth in an 
accompanying annex, was referred to the General 
Assembly which, on November 19, 1946, unani- 
mously approved the assumption by the United 
Nations of the functions and powers exercised by 
the League of Nations in respect of narcotic drugs. 
The protocol was opened for signature at Lake 
Success, New York on December 11, 1946 and was 
signed by the United States Representative to the 
United Nations on that date. 

The six agreements, conventions and protocols, 
amendment of which is contemplated by the pres- 



' S. Exec. N, 80th Cong., 1st sess. 
' Not printed. 



May 4, 1947 



817 



THE RECORD OF THE WEEK 

ent protocol, represent the entire field of existing 
multilateral undertakings of a fomial character in 
regard to narcotic control. Tliey had been drawn 
ujj from time to time, as closer collaboration in 
this field between nations gave reason to expect that 
they would be accepted by a sufficient number of 
governments to make further regulation practica- 
ble. This explains the existence of six separate in- 
ternational agreements on the subject and the com- 
plexity of the control system resulting therefrom. 
Each of these agreements covers a special aspect 
of drug control. Each is made effective by its own 
terms, irrespective of the others, although the 1936 
convention does not enumerate the narcotic sub- 
stances covered by its provisions, merely providing 
that they are the narcotics referred to in the 1912, 
1925, and 1931 conventions. 

The Convention for the Suppression of the 
Abuse of Opium and Other Drugs, signed at The 
Hague on January 23, 1912, first of the series and 
antedating the League of Nations, laid the ground- 
work for drug control by defining raw, prepared, 
and medicinal opium, morphine, cocaine, and her- 
oin and providing for the adoption of certain 
measures by the participating Powers for control- 
ling the traffic in those drugs. The United States 
of America became a contracting party to that con- 
vention. The Netherlands Govenmient was des- 
ignated depositary and remained such until the 
General Assembly of the League of Nations, by 
resolution of December 15, 1920, entrusted to the 
League of Nations, with the consent of the Nether- 
lands Government, the exercise of the powers con- 
ferred upon that Government by the Hague Con- 
vention. The first Assembly of the League created 
the Advisory Committee on the Traffic in Opium 
and Other Dangerous Drugs to secure the fullest 
cooperation between the various countries in re- 
gard to narcotic control and to assist and advise 
the Council in matters pertaining thereto. 

The Agreement Concerning the Manufacture 
of. Internal Trade in, and Use of Prepared Opium, 
with Protocol, signed at Geneva on February 11, 
1925 by representatives of the British Empire 
(with India), China, France, Japan, the Nether- 
lands, Portugal, and Siam, was designed to im- 
plemenl Chapter II of the Hague Convention of 
1912. The contracting Powers undertook, with 
respect to Far Eastern possessions or territories, 
to make the importation, sale and distribution of 
opium a monopoly of the Government with a view 

818 



to the gi-adual and effective suppression of the 
trade in, and use of, prepared opium. 

The International Convention Relating to Dan- 
gerous Drugs, vnth Protocol, signed at Geneva on 
February 19, 1925, further strengthened the Hague 
Convention of 1912 by extending control to ecgo- 
nine and Indian hemp, establishing a system of 
import certificates and export authorizations, and 
entrusting supervision over such trade to a Per- 
manent Central Opium Board. The contracting 
powers were required to furnish this Board esti- 
mates of annual drug requirements and statistics 
showing annual drug production. The United 
States of America did not become a party to the 
Geneva Convention of 1925. However, it has co- 
operated with the Permanent Central Opium 
Board by making the reports which the Board has 
requested. Since 1933 it has participated in the 
nomination of candidates for the Board and in 
the nomination of a representative to join with the 
Council in the selection of the Board. 

The Convention for Limiting the Manufacture 
and Regulating the Distribution of Narcotic 
Drugs, with Protocol of Signature, signed at Ge- 
neva July 13, 1931, advanced the area of control 
by limiting the world manufacture of narcotic 
drugs to the world's medical and scientific needs 
and by limiting in each country the accumulation 
of stocks of such drugs. Iii both cases the limita- 
tion was to be accomplished by means of a system 
of government estimates of annual drug require- 
ments, to be examined by an international super- 
visory body provided for in the convention and to 
be binding upon the estimating governments. The 
United States of America was a signatory to this 
convention and became a party. 

The Agreement for the Control of Opium Smok- 
ing in the Far East, signed at Bangkok on No- 
vember 27, 1931, by representatives of the Govern- 
ments of the United Kingdom of Great Britain 
and Northern Ireland, France, India, Japan, the 
Netherlands, Portugal, and Siam, reaffirmed their 
desire to suppress and discourage opium smoking 
by providing that the retail sale and distribution 
of the drug shall take place only from government 
shops, in the absence of a system of licensing and 
rationing of smokers. This agreement was ap- 
plicable only to Far Eastern possessions or terri- 
tories of the contracting powers, including leased 
or protected territories in which the u.se of pre- 
pared opium was temporarily authorized. 

Deparfmenf of Sfale Bulletin 



To standardize penalties for illicit trafficking 
and to formalize arrangements for extradition of 
persons guilty of drug offenses, the Convention 
for the Suppression of the Illicit Traffic in Dan- 
gerous Drugs was signed at Geneva June 26, 1936. 
The United States of America participated in the 
consideration of this convention but the conven- 
tion as drafted was regarded as unacceptable to the 
United States of America and was not signed by 
the American delegates. 

The jjresent protocol has the effect of lodging 
in new administrative and judicial bodies created 
as organs or under the auspices of the United Na- 
tions the authority formerly exercised by various 
bodies. More particuJai'ly the transfer of func- 
tions in regard to narcotic control may be shown 
as follows : 

NARCOTIC CONTKOIj 



Functions of 
The Council of the League 
of Nations 

The Secretary-General of 
the League of Nations 

The League of Nations 
Advisory Committee on 
Traflfic in Opium and 
Other Dangerous Drugs 

Tlie League of Nations 
Health Committee and 
the Permanent Commit- 
tee of the Office Inter- 
national d'Hygi^ne pub- 
lique In Paris 

The Permanent Court of 
International Justice 



Transferred to 

The Economic and Social 
Council of the United 
Nations 

The Secretary-General of 
the United Nations 

The Commission on Nar- 
cotic Drugs of the Eco- 
nomic and Social Council 
of the United Nations 

The World Health Organi- 
zation 



The International Court of 
Justice 



The provisions of the prior agreements, con- 
ventions and protocols which refer to states mem- 
bers of the League of Nations and to non-members 
shall, upon the coming into force of the present 
amendments, apply to states members of the 
United Nations and to non-member states. Dur- 
ing the period preceding the entry into force of 
this protocol, the Permanent Central Opium 
Board and the Supervisory Body established, 
respectively, by the Geneva conventions of Febru- 
ary 19, 1925 and July 13, 1931, shall continue, as 
constituted, to perform their functions. There- 
after the Board and Supervisory Body will con- 
tinue to function subject to the amendments 
contemplated by the present protocol. 

A Commission on Narcotic Drugs has been 
created by the Economic and Social Council of 



THE RECORD OF THE WEEK 

the United Nations to assist in exercising such 
authority in respect of narcotic drugs as may be 
vested in the Council, and particularly to carry 
out functions formerly entrusted to the League of 
Nations Advisory Committee on Traffic in Opium 
and Other Dangerous Drugs. Should the amend- 
ments relating to the conventions of February 19, 
1925 and July 13, 1931 come into force before the 
Work] Health Organization is in a position to as- 
sume its functions, the functions conferred on 
that Organization by the amendments shall, pro- 
visionally, be performed by its Interim Commis- 
sion. 

The present protocol provides in Article VII 
that it shall come into force in respect of each 
party on the date upon which it has been signed 
on behalf of that party without reservation as to 
approval, or upon which an instrument of accept- 
ance has been deposited. The amendments set 
forth in the Annex shall come into force in respect 
of each agreement, convention and protocol when 
a majority of the parties thereto have become 
parties to tlie present protocol. However, states 
which are parties to any of the instruments which 
are to be amended are invited (Article II, para- 
graph 3) to apply the amended texts of those 
instruments so soon as the amendments are in 
force even if they have not yet been able to become 
parties to the present i^rotocol. 

This protocol does not terminate, amend, or add 
to the substantive provisions in the instruments 
mentioned above. It is designed solely to transfer 
functions and responsibilities in the field of 
narcotic control from the old organisms to new 
organisms of, or under the auspices of, the United 
Nations. The substantive commitments of con- 
tracting Powers under the several existing instru- 
ments remain as before. No additional financial 
ol)ligation is imposed on the Government of the 
United States of America and it does not, by this 
protocol, become a party to any of the existing 
instruments to which it is not already a party. 
The provisions in such existing instruments with 
respect to the procedure for becoming a party 
thereto and with respect to denunciation are to 
remain in effect. 

It is of the greatest importance to the world that 
states collaborate in the interest of unbroken con- 
trol of the traffic in narcotics, so long as danger of 
drug addiction remains unabated. The danger is 



May 4, 1947 



819 



THE RECORD Of THE WB£K 

greater than ever. Because of the recent war there 
are many new factories engaged in drug manu- 
facture and processing. A number of countries 
had been cut off from their normal sources of sup- 
ply and, to assure for themselves the largely in- 
creased requirements which the war necessitated 
for legitimate medical and scientific operations, 
they found it necessary to cultivate the raw mate- 
rials and build factories to convert the raw mate- 
rials into drugs. The danger is increased by scien- 
tific progress. Now the straw of the poppy can be 



used for making morphine. A new synthetic drug, 
demerol (isonipecaine) , with properties similar to 
morphine, is being manufactured in many coun- 
tries. With new drug sources, increased pi'oduc- 
tion, and the susceptibility of war-torn peoples to 
the taking of drugs to escape suffering, there is a 
pressing need for further concerted effort to avoid 
the diversion of dangerous and habit-forming 
drugs into illicit chamiels. 
Respectfully submitted. 

Dean Acheson 



Report of Operations of the Department of State Under Public Law 584 



THE PRESIDENT'S LETTER OF TRANSMITTAL 

To the Congress of the United States: 

I transmit herewith a report, by the Acting Sec- 
retary of State, on the operations of the Depart- 
ment of State under section 32 (b) (2) of Public 
Law 584, Seventy-ninth Congress, as required by 
that law. 

Harry S. Truman 
The WnrrE House, 
March 10, 1947 

(Enclosure: Report from the Acting Secretary of State 
concerning Public Law 584.) 

REPORT OF THE ACTING SECRETARY 
OF STATE 

In accordance with section 32 of the Surplus 
Property Act of 1944, as amended August 1, 1946, 
the following report is submitted covering opera- 
tions under paragraph 32 (b) (2) of the act during 
the period August 1 through December 31, 1946.^ 

The activities of the Department of State during 
this period have been confined to the preliminary 
fiscal and administrative arrangements required 
for the establishment of a program of international 
educational exchanges, within the restrictions im- 
posed by the act. 

As of December 31, 1946, sales of surplus war 
property abroad, developing local currencies avail- 



' H. Doe. 167, 80th Cong., 1st se.ss. Public Law 584 is an 
act to amend the Surplus Property Act of 1944 and to desig- 
nate the Department of State as the disposal agency for 
surplus property outside the continental United States, its 
territories and possessions, and for other purposes. 

' Bulletin of Aug. 11, 194G, p. 262. 

820 



able under the act for educational programs, have 
been made to the following countries: United 
Kingdom, Australia, New Zealand, Czechoslo- 
vakia, Greece, Hungary, Poland, Norway, Finland, 
Netherlands, Belgium, France, Italy, India, Iran, 
Turkey, Egypt, Lebanon, Saudi-Arabia, Ethiopia, 
China, Netherlands Indies, Pliilippines, Austria, 
Korea, and Siam. Sales in process of negotiation 
may, when consummated, make it possible to de- 
velop programs in several other countries. 

As of the close of the calendar year 1946 none of 
the Executive agreements required by the act had 
been concluded. No American citizens were at- 
tending schools or institutions pursuant to such 
agreements, and no currencies or credits for cur- 
rencies had been expended for any of the purposes 
imder paragraph 32 (b) (2) of the act. 

It is to be expected that during the 1947 cal- 
endar year the Executive agreements will be nego- 
tiated, and the Board of Foreign Scholarships 
will be appointed, as provided for in the act. 
Ample time will then be permitted for the filing 
of applications for fellowships, in order to give 
equal opportunity to all those interested. The first 
fellowships are expected to commence in 1948. 

Foreign Commerce Weekly 

The following article of interest to BirriETiN readers 
appeared in the April 19, 1947, issue of Foreign Com- 
mence Weekly, a publication of the Department of 
Commerce, copies of which may be obtained from the 
Superintendent of Documents, Government Printing 
OflSce, for 15 cents each : 

"Mala.va Makes Some Progress in Its First Full 
Year of Peace", by Max Seitelman, Vice Consul, 
American Consulate General, Singapore. 

Department of State Bulletin 



Authorizing the Secretary of the Navy To Transfer Certain Vessels 
and Material and To Furnish Certain Assistance 
to the Republic of China ^ 



Whereas the act of July 16, 1946, Public Law 
512, Seventy-ninth Congress, provides, in part : 

"That notwithstanding the provisions of any 
other law, the President is authorized, whenever 
in his discretion the public interests render such 
a course advisable, or will assist in relieving 
United States forces of duty in China or putting 
the Government of the Republic of China in 
better position to protect or improve the safety 
of navigation in its waters, to provide to the Re- 
public of China such naval services, training, 
plans, and technical advice as he may deem proper ; 
and to dispose of naval vessels and craft, not to 
exceed two hundred and seventy-one vessels and 
craft under authority of this Act, which are in 
excess of the naval needs of the United States, 
floating drydocks of capacity sufficient to accom- 
modate any vessel or craft disposed of under au- 
thority of this Act, and material necessary for the 
operation and maintenance of the vessels and craft 
disposed of under authority of this Act and for 
the training of the crews of such vessels and craft, 
to the Republic of China by sale, exchange, lease, 
gift, or transfer for cash, credit, or other property, 
with or without warranty, or upon such other 
terms and conditions as he may deem proper: 
Provided, That prior to the disposition under the 
authority of this Act of any battleship, aircraft 
carrier of any type, cruiser, destroyer (but not 
destroyer escort) , or submarine the President shall 
first obtain the authority of the Congress in each 
instance : Provided further, That no information, 
plans, advice, material, documents, blueprints, or 
other papers, bearing a secret or top-secret classi- 
fication shall be disposed of or transferred imder 
authority of this Act. 

"Sec. 2. The President is authorized, upon ap- 
plication from the Republic of China, and when- 
ever in his discretion the public interests render 
such a course advisable, to detail not to exceed one 
hundred officers and two hundred enlisted men of 
the United States Navy and Marine Coi'ps to assist 
the Republic of China in naval matters : Provided, 
That United States naval or Marine Corps per- 
sonnel shall not accompany Chinese troops, air- 

May 4, 1947 



craft, or ships on other than training maneuvers 
or cruises . . ." 

Whereas the Republic of China has requested 
the United States to transfer to it certain specified 
naval vessels, craft, and floating drydocks, and 
to furnish it certain technical advice and assistance 
in connection with the organization and mainte- 
nance by it of a naval establishment ; and 

Whereas such vessels and craft are in excess of 
the naval needs of the United States ; and 

Whereas it appears that the transfer of such 
vessels, craft, and floating drydocks, and the fur- 
ishing of such advice and assistance to the Re- 
public of China would be in accordance with the 
conditions and limitations of the said act of July 
16, 1946, and would be in the public interest : 

Now, therefore, by virtue of the authority 
vested in me by the said act of July 16, 1946, and 
as President of the United States and as Com- 
mander in Chief of the Army and Navy of the 
United States, it is hereby ordered as follows : 

Section 1. Subject to the conditions and limita- 
tions contained in the said act of July 16, 1946, 
the Secretary of the Navy is authorized : 

(a) To transfer to the Republic of China with- 
out compensation the said vessels, craft, and float- 
ing drydocks. 

(6) To repair, outfit, and equip the vessels, 
craft, and floating drydocks which are to be trans- 
ferred under paragraph {a) of this section, and 
to transfer material deemed by the Secretary of 
the Navy to be necessary for the operation and 
maintenance of the vessels and craft so trans- 
ferred, all on the basis of cash reimbursement of 
the cost thereof by the Republic of China. 

(c) To furnish to the Republic of China such 
plans, blueprints, documents, and other informa- 
tion in connection with such vessels, craft, and 
floating drydocks, and such technical information 
and advice in connection with the organization 
and maintenance of a naval establishment by the 



' Ex. Or. 9843 (12 Federal Register 2763). 



821 



THE RECORD OF THE WBBK 

Republic of China which has not been classified 
as secret or top-secret as the Secretary of the Navy 
may deem proper. 

(d) To train personnel for the operation of 
such vessels, craft, and floating drydocks, and for 
such other naval purposes as the Secretary of the 
Navy may deem proper. 

(e) To detail not more than one hundred offi- 
cers and two hundred enlisted men of the United 
States Navy or Marine Corps to assist the Re- 
public of China in naval matters under such con- 
ditions and subject to such rules and regulations 
as the Secretary of the Navy may prescribe. 

Section 2. The authority hereby granted shall 
be exercised by the Secretary of the Navy subject 
to concurrence by the Secretary of State; and if 
at any time the Secretary of State shall determine 
that the transfer of further vessels and craft or 
material would not be in the public interest, such 
transfers shall be discontinued. 

Haert S. Truman 

The White House 
April 25, 19Jt7 

U. S. Military Attaches in China 
Returned by Communist Captors 

[Released to the press April 22] 

According to recent Chinese Communist broad- 
casts, Maj. Robert B. Rigg and Capt. John W. 
Collins, Assistant Military Attaches of the Amer- 
ican Embassy at Nanking who were captured by 
Communist troops on March 1, were released at 
noon April 24. Following the procedure outlined 
in the Chinese Communist broadcast, United 
State representatives were sent to a rendezvous 
at Hungfangtze, a place northeast of Changchun, 
to meet Rigg and Collins at the time appointed 
for their release. The American representatives 
were Oliver Edmund Clubb, United States Consul 
General at Harbin, and Lt. Col. Edward T. Cowen, 
Assistant Military Attache at the United States 
Embassy. 

Visiting Lecturer of Ceramics to 
Honduras 

James ]\f arek, consultant in ceramics, Indianap- 
olis, Indiana, has been awarded a grant-in-aid by 
the Department of State to enable him to serve 
as visiting lecturer of ceramics at the Escuela 
Nacional de Bellas Artes, Tegucigalpa, Honduras. 



Philippine Vice President and Foreign 
Secretary To Visit U.S. 

[Released to the press April 21] 

Elpidio Quirino, Vice President and concur- 
rently Secretary of Foreign Affairs of the Repub- 
lic of the Philippines, has accepted the invitation 
of this Govermnent to visit the United States. 

The Vice President will remain in Honolulu and 
San Francisco for a few days and is expected to 
arrive in Washington May 6. The party will be 
the guests of this Government at the Blair House. 

Control of Coal Exports in Western 
Zones of Germany 

[Released to the press simultaneously in Washington, 
Loudon, and Paris on April 21] 

It was announced jointly on April 21 by the 
American, British, and French Governments that 
an arrangement has been made to fix the propor- 
tion of coal exports from their zones of occupation 
in Germany to the coal-importing countries of 
Euroj^e for the six-month period beginning July 
1, 1947. Exports will be fixed in terms of per- 
centages of net merchantable coal production be- 
ginning at 21 percent when the daily output of 
clean bitimiinous and anthracite coal in the western 
zones reaches 280,000 tons a day, and rising to 25 
percent when it reaches 370,000 tons a day. 

The scale of percentages takes account on the 
one hand of the needs of coal for the reconstruction 
of the liberated countries of Europe who have 
always been dependent on imports of German coal ; 
and on the other of the essential industrial and 
other requirements of the German economy. 

The arrangement will facilitate planning both 
by the coal-importing countries and by the authori- 
ties in charge of the economics in Germany. It is 
subject to review at the end of 1947. 

It has also been decided that when the economic 
incorporation of the Saar with France has been 
decided upon, a joint notification will be made to 
the European Coal Organization, indicating that 
in future France will present to ECO both the 
resources and the needs of France and the Saar as 
a wliole, and inviting ECO to take account of this 
new situation. 

The present arrangement represents the results 
of long discussions and has been confirmed by the 
three Foreign Ministers. 



822 



Department of State Bulletin 



Visit of President of iViexico 

At the invitation of President Truman, His 
Excellency Miguel Aleman, Pi'esident of Mexico, 
arrived in Washington on April 29 to be the 
official guest of the United States (Tovernment mi- 
til May 7. His visit was the first official visit 
by a Mexican President in office to this country's 
capital. After remaining several days in Wash- 
ington, the official party visited New York, N. Y., 
Chattanooga, Tenn., and Kansas City, Mo. 

Elisabeth Enoclis To Attend Institute 
for Protection of Childhood 

[Released to the press April 22] 

The Acting Secretary of State announced on 
April 22 that Mrs. Elisabeth Shirley Enochs, Di- 
rector of the Inter- American Cooperation Service 
of the Children's Bureau, Social Security Admin- 
istration, Federal Security Agency, has been des- 
ignated as alternate technical delegate of the 
United States to attend the regular annual meet- 
ing of the Executive Council of the American 
International Institute for the Protection of Child- 
hood. This meeting is scheduled to be held at 
Montevideo, Uruguay, beginning on April 25, 
1947. 

The Institute was established with headquarters 
a( Montevideo in 1927 in accordance with a reso- 
lution of the Fourth Pan American Child Con- 
gress (1924). A permanent official pan-American 
agency for the promotion of child welfare in the 
American republics, the Institute is a center of 
social action, information, advice, and study of all 
questions relating to child Mfe and welfare. The 
Executive Council, which is composed of repre- 
sentatives of member states, directs the Institute's 
activities. 

United States participation in the American 
International Institute for the Protection of Child- 
hood was authorized by Congress in 1928. Since 
that time Miss Katharine F. Lenroot, Chief, United 
States Children's Bureau, has been the technical 
delegate of the United States. Due to prior com- 
mitments she is unable to attend this meeting, and 
Mrs. Enochs, who has attended four of the Coun- 
cil meetings in the past seven years, is going in her 
stead. Mrs. Enochs' trip will include stopovers 
at Rio de Janeiro and Lima where she will have 
consultations with field representatives of the 
Children's Bureau. 



THE RECORD OF THE WEEff 

New Salesroom Opened 

Publications of the Department of State and 
selected publications of other Government agencies 
are now being sold in Room 120 at 1778 Pennsyl- 
vania Avenue NW., one of the buildings occupied 
by the Department of State. The salesroom was 
opened as a convenience to visitors to the Depart- 
ment and to persons in Washington. It is operated 
by an agent of the Superintendent of Documents. 
Mail orders for the Department's publications 
should be addressed as in the past to the Superin- 
tendent of Documents, Government Printing Of- 
fice, Washington 25, D.C. 

Paul A. Porter Resigns 

The President on April 25 accepted the resig- 
nation of Paul A. Porter as Chief of the American 
Economic Mission to Greece with the personal 
rank of Ambassador. For texts of Mr. Porter's 
letter and the President's reply, see Wliite House 
press release of April 25. 

Confirmations to the United Nations 

The Senate on April 21, 1947, confirmed the Executive 
nominations of Warren R. Austin to be the Representative 
of the United States of America to the special session of 
the General Assembly of the United Nations ; and of 
Herschel V. Johnson to be the Alternate Representative 
of the United States of America to the special session of 
the General Assembly of the United Nations. 

THE FOREIGN SERVICE 
Confirmations to the Diplomatic 
and Foreign Service 

The Senate on April 9 confirmed the following nomina- 
tions : 

Ambassadors Extraordinary and Plenipotentiary of the 
United States of America to the Countries Named 
Willard L. Beaulac, to Colombia 
Walter J. Donnelly, to Costa Rica 
John F. Simmons, to Ecuador 
Albert F. Nufer, to El Salvador 
Paul C. Daniels, to Honduras 
Henry F. Grady, to India 
Fletcher Warren, to Paraguay 
John C. Wiley, to Portugal 
Edward F. Stanton, to Slam 
Williamson S. Howell, Jr., to Uruguay 
Cavendish W. Cannon, to Yugoslavia 

Envoys Extraordinary and Ministers Plenipotentiary of 
the United Slates of Ameriea to the Countries Named 
Solden Chapin, to Hungary 
George A. Garrett, to Ireland 
Paul H. Ailing, to the Republic of Syria 



May 4, 1947 



823 




Jj^'r-:.'/;>«1ii^;iJ-- 



The United Nations Page 

U.S. Trusteeship for the Territory of the Pacific 

Islands. Article by Robert R, Robhins . 783 

Trusteeship Agreement for the Former Japanese 

Mandated Islands 791 

Special Session of General Assembly CaUed: 
Cable of Secretary-General to Members . . 795 

Items Requested for Agenda 795 

U.S. Delegation 798 

Designating the U.S. Mission to the U.N. and 
Providing for Its Direction and Administra- 
tion 798 

Summary Statement by the Secretary-General. 

Security Council Matters 799 

U.S. Delegation to First Assembly of ICAO . . 808 

Confirmations to the United Nations 823 

Occupation Matters 

Toward Formulating a New Japanese Constitu- 
tion: 
FEC Intere.st in Japanese Constitution . . . 802 
Principles for a New Japanese Constitution . 802 
Further Policies for New Japanese Constitu- 
tion , 803 

Review of Japane.se Constitution 804 

Apprehension, Trial, and Punishment of War 

Criminals in the Far East 804 

Determination of Peaceful Needs of Japan . . . 806 
Soviet Position on Reconvening of Joint U.S.- 

U.S.S.R. Commission. Exchange of notes. 812 
Control of Coal Exports in Western Zones of 

Germany 822 

The Council of Foreign Ministers 

Moscow Meeting of the Council of Foreign 

Ministers: Discussion of German and 

Austrian Draft Treaties. Statements by 

the Secretary of State: 

Reiteration of Position on Disarmament and 

Demilitarization of Germany 793 

Position on Treaty for Reestablishment of 

Independent and Democratic Austria. . 793 

General Policy 

Authorizing the Secretary of the Navy To Trans- 
fer Certain Vessels and Material and To 
Furnish Certain As-sistance to the Republic 
of China 821 



General Policy — Continued page 

U.S. Military Attaches in China Returned by 

Communist Captors 822 

Philippine Vice President and Foreign Secretary 

To Visit U.S 822 

Visit of President of Mexico 823 

Economic Affairs 

U.S. Delegation to ILO Coal Committee . . . 806 
Treaty Information 

Lend-Lease to the U.S.S.R 814 

Protocol on Establishment of Four Power Naval 
Commission, Disposal of Excess Units of 
Italian Fleet, and Return by Soviet 

Union of Warships 815 

Protocol Amending Agreements, Conventions 
and Protocols on Narcotic Drugs: 
The President's Letter of Transmittal . . . 817 
Report of the Acting Secretary of State . . 817 

Educational, Scientific, and Cultural Coopera- 
tion 

U.S. Delegation to IMMRAN 807 

Twelfth Pan American Sanitary Conference: 

Regional Health Programs and WHO . . 809 
Visiting Lecturer of Ceramics to Honduras . . 822 
Elizabeth Enochs To Attend Institute for 

Protection of Childhood 823 

Calendar of International Meetings . . . 800 

The Foreign Service 

Confirmations to the Diplomatic and Foreign 

Service 823 

The Congress 816 

The Department 

Report of Operations of the Department of State 

Under Public Law 584 820 

Paul A. Porter Resigns .823 

New Salesroom Opened 823 

Publications 

Foreign Commerce Weekly 820 



i6mv(/mui(yy6, 



Robert R. Robbins, author of the article on United States trustee- 
ship for the territory of the Pacific Islands, is a Specialist in Dependent 
Area Affairs, Trusteeship Branch, Division of Dependent Area Affairs, 
Office of Special Political Affairs, Department of State. 



U. S. GOVERNMENT PHINTINS OFFICE: 1947 



J/ie/ ^efia/)^Cnienf/ /O^ tnate/ ^ cy^s ^^ i (^^^ 




u 



lletin 



Sup p lement 



AID TO 
GREECE AND 
TURKEY 

A Collection of State Papers 



Vol. XVJ, No. 409 A 
May 4, 19i7 



1} ''i^SeSi^S^I^^^ * 





■■•»«• •♦ 



M 



e 



zl^e^€(/ytme)tt ^£ CHa^ Yj LA X JL \D L X X X 



Vol. XVI, No. 409 A • Publicatiom 2802 

Near Eastern Series 7 
May 4, 1947 



For sale by the SuperinteodeDt of Documents 

U. 8. Government Printing Office 

Wasliington 25, D. 0. 

Scbsceiption: 
62 Issues, $S.OO; single copy, 16 cents 

Published with the approval of the 
Director of the Bureau of the Budget 

Note: Contents of this publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of the Depabtuent 
OF State Buixeiin as the source will be 
appreciated. 



SUPPLEMENT 

The Department of State BULLETIN, 
a weekly publication compiled and 
edited in the Division of Publications, 
Office of Public Affairs, provides the 
public and interested agencies of 
the Government uiith information on 
developments in the field of foreign 
relations and on the work of the De- 
partment of State and the Foreign 
Service. The BULLETIN includes 
press releases on foreign policy issued 
by the White House and the Depart- 
ment, and statements and addresses 
nuide by the President and by the 
Secretary of State and other officers 
of the Department, as well as special 
articles on various phases of inter- 
national affairs and the functions of 
the Department, Information con- 
cerning treaties and interruitional 
agreements to which the United States 
is or may become a party and treaties 
of general international interest is 
included. 

Publications of the Department, cu- 
mulative lists of which are published 
at the end of each quarter, as toell as 
legislative material in the field of inter- 
national rela tions, are listed currently. 



y. a. SUFeRI.VtENDENT of DOCUMtNU 

JUN 2 1947 

AID TO GREECE AND TURKEY 



Greek Government Seeks U.S. Financial Aid 

MESSAGE TO THE PRESIDENT AND THE SECRETARY OF STATE FROM 
THE GREEK PRIME MINISTER AND THE MINISTER FOR FOREIGN AFFAIRS i 



Sir: I have the honor, on instructions of my 
Government, to convey the following urgent mes- 
sage to His Excellency the President of the United 
States and to Your Excellency : 

"Owing to the systematic devastation of Greece, 
the decimation and debilitation of her people and 
the destruction of her economy through four in- 
vasions and protracted enemy occupation, as well 
as through disturbances in the wake of war, and 
despite the valuable assistance rendered by our 
Allies during and after the war for which the 
Greek people feel profoundly grateful, further and 
immediate assistance has unfortunately become 
vital. It is impossible to exaggerate the magnitude 
of the difficulties that beset those survivors in 
Greece who are devoting themselves to the restora- 
tion of their country. Such means of survival as 
remained to the Greek people after the enemy 
withdrew have now been exhausted so that today 
Greece is without funds to finance the import even 
of those consumption goods that are essential for 
bare subsistence. In such circumstances the Greek 
people cannot make progress in attacking the prob- 
lems of reconstruction, though substantial recon- 
struction must be begun if the situation in Greece 
is not to continue to be critical. 

"The Greek Government and people are there- 
fore compelled to appeal to the Government of 
the United States and through it to the American 
people for financial, economic and expert assist- 
ance. For Greece to survive she must have : 

"1. The financial and other assistance which will 
enable her immediately to resume purchases of the 
food, clothing, fuel, seeds and the like that are 
indispensable for the subsistence of her people and 
that are obtainable only from abroad. 

"2. The financial and other assistance necessary 
to enable the civil and military establishments of 
the Government to obtain from abroad the means 

Supptement, May 4, 7947 

741728 — 47 



of restoring in the country the tranquillity and feel- 
ing of security indispensable to the achievement 
of economic and political recovery. 

"3. Aid in obtaining the financial and other as- 
sistance that will enable Greece and the Greek peo- 
ple to create the means for self-support in the 
future. This involves problems which unhappily 
cannot be solved unless we surmount the crisis im- 
mediately confronting us. 

"4. The aid of experienced American admin- 
istrative, economic and teclmical personnel to as- 
sure the utilization in an effective and up-to-date 
manner of the financial and other assistance given 
to Greece, to help to restore a healthy condition in 
the domestic economy and public administration 
and to train the young people of Greece to assume 
their responsibilities in a reconstructed economy. 

"The need is great. The determination of the 
Greek people to do all in their power to restore 
Greece as a self-supporting, self-respecting democ- 
racy is also great; but the destruction in Greece 
has been so complete as to rob the Greek people of 
the power to meet the situation by themselves. It 
is because of these circumstances that they turn to 
America for aid. 

"It is the profound hope of the Greek Govern- 
ment that the Government of the United States 
will find a way to render to Greece without delay 
the assistance for which it now appeals. 

"Signed : D. Maximos, Prime Minister, C. Tsal- 
DARis, Deputy Prime Minister and Minister for 
Foreign Affairs." 

Accept [etc.] Paul Economou-Goubas 

His Excellency George C. Maeshaix 
Secretary of State 
Washington, D. C. 



' Delivered by the Charge d'Affaires of Greece in Wash- 
ington on Mar. 3, 1947, and released to the press on Mar. 4. 



827 



AID TO GREECE AND TURKEY 



STATEMENT BY THE SECRETARY OF STATE 



[Released to the press March 4] 

• For some time this Government has been en- 
deavoring in various ways to assist in the restora- 
tion of the economy of Greece. Spurred by ap- 
peals from the Greek Government, it has been 
studying ways and means of providing additional 
assistance. This study impelled the dispatch of 
the economic mission headed by Paul A. Porter 
which is now in Greece. It has also involved con- 
sultations and exchanges of ideas with the Greek 
Government and the British Govermnent, which 
has likewise been bending every effort to help 
Greece. 

Recently reports from our own representatives 
and from the Greek and British Governments have 
shown that the economic condition of Greece has 
deteriorated to the verge of collapse. The Greek 



Government has renewed its request for help. In 
the light of the world situation, this is a matter of 
primary importance to the United States. It has 
received the urgent attention of the President and 
the executive agencies concerned. It has been dis- 
cussed with the appropriate congressional leaders. 
I cannot say anything today regarding the ac- 
tion which may be taken, other than that a fuU 
public statement will be made very soon, when the 
executive agencies have completed their consider- 
ation of the matter. The problems involved are so 
far-reaching and of such transcendent importance 
that any announcement relating to them could 
properly come only from the President himself. 
The final decisions will rest with the President 
and the Congress. 



828 



Department of State Bulletin 



Recommendations on Greece and Turkey 



MESSAGE OF THE PRESIDENT TO THE CONGRESS ' 



Mr. President, Mr. Speaker, Members or the 
Congress of the United States : 

The gravity of the situation which confronts the 
■world today necessitates my appearance before a 
joint session of the Congress. 

The foreign policy and the national security of 
this country are involved. 

One aspect of the present situation, which I 
wish to present to you at this time for your con- 
sideration and decision, concerns Greece and Tur- 
key. 

The United States has received from the Greek 
Government an urgent appeal for financial and 
economic assistance. Preliminary reports from 
the American Economic Mission now in Greece and 
reports from the American i\jnbassador in Greece 
corroborate the statement of the Greek Govern- 
ment that assistance is imperative if Greece is to 
survive as a free nation. 

I do not believe that the American people and 
the Congress wish to turn a deaf ear to the appeal 
of the Greek Government. 

Greece is not a rich country. Lack of sufficient 
natural resources has always forced the Greek 
people to work hard to make both ends meet. 
Since 1940 this industrious and peace-loving coun- 
try has suffered invasion, four years of cruel enemy 
occupation, and bitter internal strife. 

When forces of liberation entered Greece they 
found that the retreating Germans had destroyed 
virtually all the railways, roads, port facilities, 
communications, and merchant marine. More 
than a thousand villages had been burned. 
Eighty-five percent of the children were tubercu- 
lar. Livestock, poultry, and draft animals had 
almost disappeared. Inflation had wiped out 
practically all savings. 

As a result of these tragic conditions, a militant 
minority, exploiting human want and misery, was 
able to create political chaos which, until now, 
has made economic recovery impossible. 

Greece is today without funds to finance the 

Supplement, May 4, 1947 



importation of those goods which are essential 
to bare subsistence. Under these circumstances 
the people of Greece cannot make progress in 
solving their problems of reconstruction. Greece 
is in desperate need of financial and economic as- 
sistance to enable it to resume purchases of food, 
clothing, fuel, and seeds. These are indispensable 
for the subsistence of its people and are obtainable 
only from abroad. Greece must have help to im- 
port the goods necessary to restore internal order 
and security so essential for economic and political 
recovery. 

The Greek Government has also asked for the 
assistance of experienced American administrators, 
economists, and technicians to insure that the finan- 
cial and other aid given to Greece shall be used 
effectively in creating a stable and self-sustaining 
economy and in improving its public administra- 
tion. 

The very existence of the Greek state is today 
threatened by the terrorist activities of several 
thousand armed men, led by Commimists, who defy 

' Delivered by the President before a joint session of 
Congress on Mar. 12, 1&47, and released to the press by 
the White House on the same date. This message has 
also been printed as Department of State publication 2785. 
The full text of the President's speech was translated into 
eight languages and broadcast at differing times to Europe, 
the Soviet Union, and the Far East. Summaries of the 
speech were broadcast several times in all the 25 languages 
of the "Voice of the United States of America". 

As the President was speaking at the Capitol, a "live" 
broadcast of his voice was transmitted to Europe and 
to the Middle East through relay at Algiers. A recording 
of the President's voice was broadcast to Latin America 
at 5 : 30 and 9 : 25 p.m. on March 12 ; to the Far East at 
5: 30 p.m. on March 12 and at 5 and 8: 30 a.m. on March 
13 ; and to Europe and the Middle East at 5 : 30 a.m. on 
March 13. With the time changes around the world, the 
rebroadcasts carried the President's voice to all parts of 
the world at the most favorable listening hours during the 
morning, afternoon, and evening. 

Since the "Voice of the United States of America" does 
not include the Greek and Arabic languages, the Presi- 
dent's message was heard in Greece and Turkey only in 
the English language. 



829 



AID TO GREECE AND TURKBY 



the Government's authority at a number of points, 
particularly along the northern boundaries. A 
commission appointed by the United Nations Se- 
curity Council is at present investigating disturbed 
conditions in northern Greece and alleged border 
violations along the frontier between Greece on 
the one hand and Albania, Bulgaria, and Yugo- 
slavia on the other." 

Meanwhile, the Greek Government is unable to 
cope with the situation. The Greek Army is small 
and poorly equipped. It needs supplies and equip- 
ment if it is to restore authority to the Government 
throughout Greek territory. 

Greece must have assistance if it is to become 
a self-supporting and self-respecting democracy. 

The United States must supply that assistance. 
We have already extended to Greece certain types 
of relief and economic aid, but these are inadequate. 

There is no other country to which democratic 
Greece can turn. 

No other nation is willing and able to provide 
the necessary support for a democratic Greek Gov- 
ernment. 

The British Government, which has been help- 
ing Greece, can give no further financial or eco- 
nomic aid after March 31. Great Britain finds it- 
self under the necessity of reducing or liquidating 
its commitments in several parts of the world, in- 
cluding Greece. 

We have considered how the United Nations 
might assist in this crisis. But the situation is an 
urgent one requiring immediate action, and the 
United Nations and its related organizations are 
not in a position to extend help of the kind that 
is required. 

It is important to note that the Greek Govern- 
ment has asked for our aid in utilizing effectively 
the financial and other assistance we may give to 
Greece, and in improving its public administration. 
It is of the utmost importance that we supervise 
the use of any funds made available to Greece, in 
such a manner that each dollar spent will count 
toward making Greece self-supporting, and will 
help to build an economy in which a healthy de- 
mocracy can flourish. 

No government is perfect. One of the chief vir- 
tues of a democracy, however, is that its defects 
are always visible and under democratic processes 
can be pointed out and corrected. The Govern- 

' Bulletin of Jan. 5, 1947, p. 23 
830 



ment of Greece is not perfect. Nevertheless it rep- 
resents 85 percent of the members of the Greek 
Parliament who were chosen in an election last 
year. Foreign observers, including 692 Ameri- 
cans, considered this election to be a fair expression 
of the views of the Greek people. 

The Greek Government has been operating in an 
atmosphere of chaos and extremism. It has made 
mistakes. The extension of aid by this country does 
not mean that the United States condones every- 
thing that the Greek Government has done or will 
do. We have condemned in the past, and we con- 
demn now, extremist measures of the right or the 
left. We have in the past advised tolerance, and 
we advise tolerance now. 

Greece's neighbor, Turkey, also deserves our 
attention. 

The future of Turkey as an independent and 
economically sound state is clearly no less impor- 
tant to the freedom-loving, peoples of the world 
than the future of Greece. The circumstances in 
which Turkey finds itself today are considerably 
different from those of Greece. Turkey has been 
spared the disasters that have beset Greece. And 
during the war the United States and Great 
Britain furnished Turkey with material aid. 

Nevertheless, Turkey now needs our support. 

Since the war Turkey has sought additional 
financial assistance from Great Britain and the 
United States for the purpose of effecting that 
modernization necessary for the maintenance of its 
national integrity. 

That integrity is essential to the preservation of 
order in the Middle East. 

The British Government has informed us that, 
owing to its own difficulties, it can no longer extend 
financial or economic aid to Turkey. 

As in the case of Greece, if Turkey is to have the 
assistance it needs, the United States must supply 
it. We are the only country able to provide that 
help. 

I am fully aware of the broad implications in- 
volved if the United States extends assistance to 
Greece and Turkey, and I shall discuss these im- 
plications with you at this time. 

One of the primary objectives of the foreign 
policy of the United States is the creation of con- 
ditions in which we and other nations will be able 
to work out a way of life free from coercion. This 
was a fundamental issue in the war with Germany 
and Japan. Our victory was won over countries 

Deparlmenf of State Bulletin 



AID TO GREECE AND TURKEY 



which sought to impose their will, and their way of 
life, upon other nations. 

To insure the peaceful development of nations, 
free from coercion, the United States has taken a 
leading part in establishing the United Nations. 
The United Nations is designed to make possible 
lasting freedom and independence for all its mem- 
bers. We shall not realize our objectives, however, 
unless we are willing to help free peoples to main- 
tain their free institutions and their national in- 
tegrity against aggressive movements that seek to 
impose upon them totalitarian regimes. This is 
no more than a frank recognition that totalitarian 
regimes imposed upon free peoples, by direct or 
indirect aggression, undermine the foundations of 
international peace and hence the security of the 
United States. 

The peoples of a number of countries of the 
world have recently had totalitarian regimes 
forced upon them against their will. The Gov- 
ernment of the United States has made frequent 
protests against coercion and intimidation, in vio- 
lation of the Yalta agreement, in Poland, Ru- 
mania, and Bulgaria. I must also state that 
in a number of other countries there have been 
similar developments. 

At the present moment in world history nearly 
every nation must choose between alternative ways 
of life. The choice is too often not a free one. 

One way of life is based upon the will of the 
majority, and is distinguished by free institutions, 
representative government, free elections, guar- 
anties of individual liberty, freedom of speech and 
religion, and freedom from political oppression. 

The second way of life is based upon the will of 
a minority forcibly imposed upon the majority. 
It relies upon terror and oppression, a controlled 
press and radio, fixed elections, and the suppression 
of personal freedoms. 

I believe that it must be the policy of the United 
States to support free peoples who are resisting 
attempted subjugation by armed minorities or by 
outside pressures. 

I believe that we must assist free peoples to work 
out their own destinies in their own way. 

I believe that our help should be primarily 
through economic and financial aid which is essen- 
tial to economic stability and orderly political 
processes. 

The world is not static, and the status quo is not 
sacred. But we cannot allow changes in the status 
Supplement, May 4, 1947 



quo in violation of the Charter of the United Na- 
tions by such methods as coercion, or by such 
subterfuges as political infiltration. In helping 
free and independent nations to maintain their 
freedom, the United States will be giving effect to 
the principles of the Charter of the United Nations. 

It is necessary only to glance at a map to realize 
that the survival and integrity of the Greek nation 
are of grave importance in a much wider situation. 
If Greece should fall under the control of an armed 
minority, the effect upon its neighbor, Turkey, 
would be immediate and serious. Confusion and 
disorder might well spread throughout the entire 
Middle East. 

Moreover, the disappearance of Greece as an 
independent state would have a profound effect 
upon those countries in Europe whose peoples are 
struggling against great difficulties to maintain 
their freedoms and their independence while they 
repair the damages of war. 

It would be an unspeakable tragedy if these 
countries, which have struggled so long against 
overwhelming odds, should lose that victory for 
which they sacrificed so much. Collapse of free 
institutions and loss of independence would be dis- 
astrous not only for them but for the world. Dis- 
couragement and possibly failure would quickly be 
the lot of neighboring peoples striving to maintain 
their freedom and independence. 

Should we fail to aid Greece and Turkey in this 
fateful hour, the effect will be far-reaching to the 
West as well as to the East. 

We must take immediate and resolute action. 

I therefore ask the Congress to provide authority 
for assistance to Greece and Turkey in the amount 
of $400,000,000 for the period ending June 30, 1948. 
In requesting these funds, I have taken into con- 
sideration the maximum amount of relief assistance 
which would be furnished to Greece out of the 
$350,000,000 which I recently requested that the 
Congress authorize for the prevention of starva- 
tion and suffering in countries devastated by the 
war. 

In addition to funds, I ask the Congi-ess to au- 
thorize the detail of American civilian and mili- 
tary personnel to Greece and Turkey, at the request 
of those countries, to assist in the tasks of recon- 
struction, and for the purpose of supervising the 
use of such financial and material assistance as 
may be furnished. I recommend that authority 



831 



AID TO GREECE AND TURKEY 

also be provided for the instruction and training 
of selected Greek and Turkish personnel. 

Finally, I ask that the Congress provide au- 
thority which will permit the speediest and most 
effective use, in terms of needed commodities, sup- 
plies, and equipment, of such funds as may be 
authorized. 

If further funds, or further authority, should be 
needed for purposes indicated in this message, I 
shall not hesitate to bring the situation before the 
Congress. On this subject the Executive and 
Legislative branches of the Government must work 
together. 

This is a serious course upon which we embark. 

I would not recommend it except that the alter- 
native is much more serious. 

The United States contributed $341,000,000,000 
toward winning World War II. This is an in- 
vestment in world freedom and world peace. 

The assistance that I am recommending for 



Greece and Turkey amounts to little more than one 
tenth of one percent of this investment. It is only 
common sense that we should safeguard this in- 
vestment and make sure that it was not in vain. 

The seeds of totalitarian regimes are nurtured 
by misery and want. They spread and grow in 
the evil soil of poverty and strife. They reach 
their full growth when the hope of a people for a 
better life has died. 

We must keep that hope alive. 

The free peoples of the world look to us for 
support in maintaining their freedoms. 

If we falter in our leadership, we may endanger 
the peace of the world — and we shall surely en- 
danger the welfare of our own Nation. 

Great responsibilities have been placed upon us 
by the swift movement of events. 

I am confident that the Congress will face these 
responsibilities squarely. 



832 



Department of State Bulletin 



Messages From the Greek Prime Minister and the Leader 
of the Parliamentary Opposition 



STATEMENT BY PRESIDENT TRUMAN 



[Released to the press by the White House March 15] 

I have just received two warm and appreciative 
messages from Greece, one from Prime Minister 
Maximos and one from Sir. Themistocles Sophou- 
lis, leader of the Pariiamentary Opposition. 
Both of these messages welcome the prospect of 
the kind of American assistance which I recently 
requested Congress to authorize and pledge the 
whole-hearted support of the Greek people in 
devoting any aid that may be forthcoming to the 
purpose of constructive rehabilitation and the 
cause of peace and freedom. These two state- 
ments bear witness to the fact that all of the 
Greek Parliament, including the Opposition as 
well as those parties now represented in the Coali- 
tion cabinet, are prepared to cooperate unre- 
servedly with the United States Government in its 
desire to assist Greece in restoring those basic 



conditions of economic stability and internal order 
which will allow the Greek people to build their 
future in peace and security. 

I sincerely hope that these evidences of good-will 
mark the beginning of a happier era for Greece, 
in which all loyal citizens will contribute their 
share toward the restoration of a country of whose 
democratic history they may be proud. It is also 
my profound hope that those Greeks who have 
taken up arms against their government will ac- 
cept with confidence the amnesty which the Greek 
Government is extending to all except those guilty 
of crimes against the common law. The Greek 
people, aware of the sympathetic interest of the 
American people, will, I am sure, rally their 
strength to vitalize their national life, forgetting 
past excesses and looking courageously toward a 
hopeful future. 



TEXTS OF MESSAGES 



[Released to the press by the White House March 15J 

His Excellency ILviiRY Trdman, 

President of the United States. 
My Dear Mr. PREsroENT : 

It is with great emotion that I hasten to express 
to you the gratitude of the Greek Government, as 
well as my own, for your momentous address to 
Congress. It is destined to have a decisive influ- 
ence on the future of the world, and especially on 
that of our Greek people, a significant encourage- 
ment in the just and noble struggle they are wag- 
ing for the principles of freedom and democracy. 
You are aware that the Greek people have long ago 
chosen between the two ways of life which consti- 
tute at the present historical moment the only 
choice for the peoples of the world. This way of 
life, which is based upon the will of the majority 
and distinguished by free institutions, represent- 
ative governments, free elections, and guarantees 
of individual liberty, has been ours for thousands 

Supp/emenf, May 4, 1947 



of years. That is why we defied the Axis forces 
which accumulated ujjon our people innumerable 
calamities. That is also why we are now facing a 
subversive movement of a militant minority which 
is supported from abroad and is seeking to impose 
its will upon the majority of the people by force 
of arms and terrorism. This struggle is an excep- 
tionally hard one because it has found the nation 
exhausted by the devastation wrought by war and 
occupation as your distinguished representatives 
in Greece, the Ambassador of the USA and the 
Chief of the American Economic Mission, have so 
accurately informed you. Its prolongation would 
definitely stop the economic recovery of our people 
and dangerously weaken the nation's capacity of 
resistance. That is why your announcement con- 
cerning the precious assistance of the great Amer- 
ican democracy has revived the hopes of all of us 
and has convinced us that the time is no longer far 
when Greece, free from all trials, will regain her 

833 



AID TO GREECE AND TURKEY 



position among the happy and peace loving democ- 
racies of the world. You declare that you have 
condemned in the past and condemn now extremist 
acts, either of the right or of the left, and that in 
the past you have advised tolerance which you also 
advise now. 

The Greek Government, chosen by the free will 
of the Greek people and based upon the confidence 
of its great majority, is exactly following the 
policy which you suggest by defending free insti- 
tutions with conviction by enforcing a state of law 
for all and by offering an amnesty in order to put 
a quick end to the abnormal situation. 

The Greek people are well aware of the im- 
portance of your assistance under the present cir- 
cumstances and through me give you the unre- 
served assurance that they will prove themselves 
worthy of the solicitude and the confidence which 
you are extending to them, confident that the policy 
outlined by your address will soon bring peace and 
happiness to this part of the world and that Greece 
by recovering her tranquillity and applying her- 
self undistractedly to productive work will become 



an example for peace loving and progressive dem- 
ocratic peoples. 

I assure you, Mr. President, of the eternal grat- 
itude of the Greek nation. I have the honour to 
be, my dear Mr. President, 

Yours faithfully, 

D. Maximos, Prime Minister of Greece 

The President of the United States, 
Harry Truman/ 

Please accept the expression of our deepest grati- 
tude for the valuable assistance which you have 
kindly proposed to Congress in favor of Greece 
for her economic rehabilitation, the stabilization 
of her freedom and independence, and for her in- 
ternal pacification. The assistance of the United 
States and your wise advice condemning the ex- 
tremes of the right and left and recommending a 
policy of toleration will also contribute, I am sure, 
to the internal pacification of Greece without 
further bloodshed. 

Themistocles Sophotjlis 
The Leader of the Opposition Committee 



STATEMENT BY U.S. REPRESENTATIVE AT THE SEAT OF THE UNITED NATIONS > 



The United States is dedicated to the principles 
of the United Nations Charter and to the building 
up of collective security. Support of the freedom 

' Made by Warren R. Austin, U.S. Representative at the 
Seat of the United Nations, on Mar. 13, 1947, and released 
to the press by the U.S. Delegation to the U.N. on the 
same date. 



and independence of Greece and Turkey is essen- 
tial to these purposes. Prompt approval by Con- 
gress of the President's proposal would be new 
and effective action by the United States in sup- 
porting with all our strength our policy in the 
United Nations. 



834 



Department of State Bulletin 



Senate and House Committee Hearings 

STATEMENT BY ACTING SECRETARY ACHESON > 



Three weeks ago the British Government in- 
formed the Department of State that as of March 
31 it would be obliged to discontinue the financial, 
economic, and advisory assistance which it has 
been giving to Greece and Turkey. 

A few days later we received from the Greek 
Government an urgent appeal for financial, eco- 
nomic, and expert assistance. Assistance is im- 
perative, says the Greek Government, if Greece 
is to survive as a free nation. 

At various times during recent months the Turk- 
ish Government has applied to the United States 
for financial aid, but the Government has not had 
the facilities for responding to those requests. 
With the withdrawal of British aid, the needs of 
Turkey for assistance are greatly increased. 

This, then, is the situation with which we have 
to deal. Greece and Turkey are in urgent need of 
aid, and there is no other country to which they 
may turn. The President in his message to Con- 
gress on March 12 recommended that this Govern- 
ment extend the necessary assistance.* 

The problem with which we are faced has a his- 
tory and a background. Greece's difficulties are 
not new. But they have become acute as a result 
of special circumstances. 

Long before the war Greece had a hard time 
making ends meet. Her poverty of natural re- 
sources is so great that she has always needed more 
imports than she could pay for with exports. Only 
by hand-to-mouth contriving has she been able to 
maintain a precarious balance in her international 
economic position. In the past much of her export 
trade naturally went to central European markets, 
particularly to Germany; during the thirties she 
was forced into closer dependence on Germany 
through clearing agreements and other instruments 
of Nazi economic warfare. 

And then came the Italian invasion, the Ger- 
man invasion, four years of cruel enemy occupa- 
tion, and the scorching of her earth by the retreat- 
ing enemy. Perhaps no other coimtry in the world 

Supplement, May 4, 1947 

741728 — 47 2 



has suffered greater destruction of its physical 
resources than Greece. 

I should like to focus your attention upon four 
conditions which were found to exist at the time 
of Greece's liberation : 

1. Physical destruction had catastrophically 
impaired Greece's ability to produce, either for 
home consumption or for export; 

2. Greece's entire fiscal system had been 
destroyed ; 

3. The Greek civil service and administrative 
system had been gravely impaired through starva- 
tion and by death, undermined by infiltration of 
undesirable elements, demoralized by inflation and 
the resultant scramble for existence; and 

4. The authority of the Greek state was threat- 
ened by several thousand armed men who defied 
and continue to defy it in certain areas of the 
country. This situation in part grew out of the 
arming of guerrilla forces during the war of lib- 
eration. Many of these people have retained their 
weapons, and certain bands now use them, fighting 
to resolve political differences that might other- 
wise be peaceably settled. The Greek Govern- 
ment has charged before the Security Council of 
the United Nations that the insurgent groups oper- 
ating in northern Greece are assisted from outside 
Greece by supplies and training in neighboring 
countries. A commission appointed by the Secur- 
ity Council of the United Nations is now investi- 
gating these charges. 

In the period of more than two years since its 
liberation, Greece has received substantial relief 
assistance from the United Nations Relief and 
Rehabilitation Administration. Great Britain has 
also extended very substantial aid to Greece in an 
effort to supplement the relief and reconstruction 

" Made before the House Foreign Affairs Committee on 
Mar. 20, 1047, and released to the press on the same date. 
' BtnxBMN of Mar. 23, 1947, p. 534. 

835 



AID TO GREECE AND TURKEY 



eiforts of UNRRA, and to organize and equip the 
Greek Army. 

However, at the end of this current month out- 
side assistance to Greece is scheduled to stop. 
UNRRA is going out of business in Greece, and 
British assistance, for reasons of which you are 
aware, is to be discontinued. 

The cessation of outside aid to Greece means 
immediate crisis. Unless help is forthcoming from 
some other quarter, Greece's economy will quickly 
collapse, very possibly carrying away with it the 
authority of the Government and its power to 
maintain order and the essential services. 

Essential imports for civilians and for the army 
under the circumstances can continue for only a 
few weeks. Two weeks ago the dollar resources 
available to Greece were only $14,000,000 — enough 
for one month's imports of food and other essen- 
tials from the United States and other countries. 
If imports should cease, the price of such goods as 
are available would very rapidly reach astronomi- 
cal figures. This is inflation. Its result in a coun- 
try so dependent upon imports would be paralysis 
of the government and of economic life. It would 
also very probably mean the end of Greek freedom 
and independence. 

The armed bands in the north, under Communist 
leadership, are already fighting, Greek against 
Greek. In the event of economic collapse and 
government paralysis, these bands would un- 
doubtedly increase in strength until they took over 
Greece and instituted a totalitarian government 
similar to those prevailing in countries to the north 
of Greece. The rule of an armed minority would 
fasten itself upon the jDeople of Greece. 

In this critical situation Greece has urgently 
asked the United States for help. She requests 
financial assistance for the following purposes: 
(1) to enable her to carry on essential imports of 
food, clothing, and fuel necessary for the sub- 
sistence of her people; (2) to enable her to organ- 
ize and equip her army in such a way that it will 
be able to restore order throughout her territory; 
and (3) to enable her to begin the process of 
reconstruction by putting her production facilities 
in order. (4) Finally, Greece requests the aid of 
experienced American administrative, economic, 
and teclinical personnel to assure the effective 
utilization of whatever financial aid may be 
extended her and to help her to begin the re- 



construction of her own economy and public 
administration. 

The situation in Turkey is substantially differ- 
ent, but Turkey also needs our help. The Turkish 
Army has been mobilized since the beginning of 
World War II and this has put a severe strain 
upon the national economy. During the war 
Turkey received substantial assistance from Great 
Britain and the United States, which helped her 
to carry this load. 

Today the Turkish economy is no longer able 
to carry the full load required for its national 
defense and at the same time proceed with that 
economic development which is necessary to keep 
the country in sound condition. With some help 
from the United States, and further assistance 
which Turkey may be able to negotiate with 
United Nations financial organs, Turkey should 
be in a position to continue the development of her 
own resources and increase her productivity, while 
at the same time maintaining her national defenses 
at a level necessary to protect her freedom and 
independence. 

The crisis in Greece and Turkey confronts us 
with only two alternatives. We can either grant 
aid to those countries or we can deny that aid. 
There is no possibility of putting the responsi- 
bility for extending the aid which Greece has asked 
from the United States on some other nation or 
upon the United Nations. 

This becomes clear when we consider the specific 
problems that confront Greece today and the spe- 
cific kinds of assistance that Greece has requested 
from the United Nations on the one hand and from 
the United States on the other. 

Let us consider first the problem arising from 
outside Greece's borders. Greece has charged be- 
fore the Security Council that armed bands op- 
erating within her territory are partly supplied, 
trained, and given refuge in neighboring countries 
and are moving back and forth across the borders. 
Greece has asked the United Nations for help in 
dealing with this situation. This is peculiarly a 
United Nations problem and one with which the 
United Nations is dealing expeditiously and effec- 
tively. In this matter the United States is sup- 
porting the Security Council's action energetically. 

The second problem confronting the Greek 
Government is the need for supplies and funds to 
enable it to meet its internal difficulties, namely, 



836 



Deparfment of State Bulletin 



averting of economic collapse. The United Na- 
tions Relief and Rehabilitation Administration 
and the British Government have been helping 
Greece with these particular problems, and the 
present crisis has arisen because those two supports 
must be withdrawn. To whom was Greece to turn ? 
If Greece had applied to the United Nations or any 
of its related organizations, the essential element 
of time would have been lost and the end result, if 
any, would have been the same. 

The United Nations does not of itself possess 
funds. The Economic and Social Council is an ad- 
visory body that recommends economic, financial, 
and social action to member states. The Interna- 
tional Bank, which is just now completing its 
organization, is set up primarily to make self- 
liquidating loans for long-term reconstruction pur- 
poses. It has not yet made any loans whatsoever. 
The Economic Commission for Europe is still in 
its early organization stage. 

It may be that at some future time the United 
Nations will be organized and equipped so as to 
render emergency aid to member states of the kind 
now needed in Greece and Turkey. But as the 
President said, the United Nations and its related 
organizations are not now in position to extend 
help of the kind that is required. Even if some 
organ of the United Nations should decide to rec- 
ommend assistance to Greece and Turkey, it would 
have eventually to turn primarily to the United 
States for funds and supplies and technical as- 
sistance. Even if the project were not blocked by 
the objections of certain members of the United 
Nations, much time would have been lost, and time 
is of the essence. 

The third problem confronting Greece is one of 
expert personnel. Greece has linked this problem, 
and we heartily concur, with the supply of funds. 
Greece is in the most serious need of expert advice 
and assistance. We believe, and we think Con- 
gress believes, that the expenditure of American 
funds in Greece and Turkey should be supervised 
by American experts. 

These are the emergency aspects of the problem. 

In the longer range, the United Nations may be 
able to take over various parts of the economic and 
financial problem in Greece and Turkey. We are 
giving serious study and consideration to ways in 
which the United Nations may take hold of this 
problem after the present emergency is past. 

Supplement, May 4, 1947 



fore us are to give the help requested, or to deny it. 
An essential step in considering the wisdom of any 
policy is to look at the alternatives. What are the 
probable consequences of not extending aid to 
Greece and Turkey? 

I have already indicated what would more than 
likely happen in Greece. As the President said, 
however, it is necessary only to glance at the map 
to realize that the survival and integrity of Greece 
is of grave importance in a much wider situation. 
The inexorable facts of geography link the future 
of Greece and Turkey. Should the integrity and 
independence of Greece be lost or compromised the 
effect upon Turkey is inevitable. 

But the effect is even wider. Consider for a 
moment the situation of the countries to the east 
and south of Turkey. All of them are confronted 
with the accumulated problems of the past and of 
the war. Some of them are just emerging into 
statehood. These nations wish and should be able 
to develop and maintain free institutions and in- 
dividual liberties, but untoward circumstances may 
force them in the other direction. Will these 
countries be able to solve the extremely difficult 
problems that confront them in ways compatible 
with free institutions and individual liberty? It 
is vital to our own interests to do all in our power to 
help them solve their economic difficulties in such 
a way that their choice will be in favor of freedom. 

I need not emphasize to you what would more 
than likely be the effect on the nations in the 
Middle East of a collapse in Greece and Turkey, 
and the installation of totalitarian regimes there. 
Both from the point of view of economics and 
morale, the effects upon countries to the east would 
be enormous, especially if the failure in Greece and 
Turkey should come about as the result of the 
failure of this great democracy to come to their 
aid. On the other hand, I ask you to consider 
the effects on their morale and their internal de- 
velopment should Greece and Turkey receive a 
helping hand from the United States, the country 
with which they closely associate the principles of 
freedom. It is not too much to say that the out- 
come in Greece and Turkey will be watched with 
deep concern throughout the vast area from the 
Dardanelles to the China Sea. 

It is also being watched with deepest anxiety by 
the peoples to the west, particularly the peoples of 

837 



AID TO GREECE AND TURKEY 

Europe, who, as the President said, are struggling 
against great difficulties to maintain their freedom 
and independence while they repair the damages 
of war. 

As the President said, it would be an unspeak- 
able tragedy if these countries, which have 
struggled so long against overwhelming odds, 
should lose that victory for which they sacrificed 
so much. Collapse of free institutions and loss of 
independence could be disastrous not only for them 
but for the world. Discouragement and possible 
failure would quickly be the lot of neighboring 
people striving to maintain their freedom and inde- 
pendence. 

I have tried to outline to you the nature of the 
present crisis, and to describe some of its implica- 



tions for the United States. The Secretary of 
War, Mr. Patterson, and the Secretary of the Navy, 
Mr. Forrestal, will give you an appreciation of the 
problem from the point of view of their Depart- 
ments. The Under Secretary of State, Mr. Clay- 
ton, and Ambassador Porter, who has just 
returned from an economic mission in Athens, will 
give you more facts about the present situation in 
Greece and an account of the preliminary recon- 
struction program we have worked out for Greece. 
Our Ambassadors to Greece and Turkey, Mr. 
MacVeagh and Mr. Wilson, have been recalled for 
consultation. If the Committee wishes to have the 
benefit of their views, I request that, on account of 
the nature of their position and official duties, they 
be heard in executive session. 



STATEMENT BY UNDER SECRETARY CLAYTON • 



The general political situation in Greece has 
already been outlined by Mr. Acheson. I should 
like to explore with you the economic position of 
the country and the events which have brought the 
Greek economy to a state of near collapse. 

Even before the war, Greece was a poor country. 
Her per capita income was one of the lowest in 
Europe; labor productivity was low in both agri- 
culture and industry; population pressed on 
limited resources ; and there was a constant deficit 
in the balance of trade. 

Greece entered the war on the side of the United 
Nations relatively early in the conflict. By April 
1941, Greece was completely occupied by eneniy 
forces and remained under occupation until late in 
1944. During this period, the Greek economy was 
operated almost entirely by and for the enemy war- 
machine. Through such devices as issue of occu- 
pation currency, drafts on the Greek Government, 
clearing arrangements which gave exports to the 
enemy without recompense, requisitions, confisca- 
tions, and the like, the Greek economy was sys- 
tematically and progressively stripped and at the 
same time billions of drachma were pumped into 
circulation. 

One of the first acts of the German occupation 
authorities was to requisition existing stocks of 
Greek food, already seriously depleted. Agricul- 
tural products were regularly requisitioned in 
various areas and sometimes the Germans them- 



' Made before the House Foreign Affairs Committee on 
Mar. 24, 1947, and released to the press on the same date. 

838 



selves harvested crops to keep them from the local 
population. Clothing was requisitioned in Crete 
and other Greek areas. The Germans seized trans- 
port, machinery, and raw materials to whatever 
extent was required by the German armed forces 
and the German economy. Greek industry was 
used to meet the conqueror's needs at home and to 
supply the necessary spare parts and repairs for 
his damaged equipment. Machinery in factories 
that could have supplied Greek civilian require- 
ments was removed and replaced by machinery 
designed especially to maintain German war 
equipment. 

As the enemy forces withdrew, they put into 
effect a policy of systematic destruction calculated 
to wreck the Greek economy to such an extent that 
a liberated Greece would have slight prospect of 
normal recovery in the foreseeable future. The 
physical damage inflicted on the country was suf- 
ficient to result in almost complete paralysis. 
Means of communication were destroyed, port fa- 
cilities wrecked, and bridges demolished. Live- 
stock was carried off, villages burned, railways 
torn up and the Corinth Canal dynamited. 

The following figures will serve to highlight the 
heavy material losses suffered by Greece from the 
war. Of 55 passenger ships in 1939 only 5 re- 
mained. Less than one quarter of the cargo ves- 
sels were still afloat. The Greek State Railways 
had lost over 80 percent of their rolling stock and 
nearly 90 percent of their locomotives. Half of 
the highway system was unusable and half the 
Department of State Bulletin 



bridges were out. A large proportion of the live- 
stock and draft animals had disappeared. Indus- 
trial production was only a small fraction of that 
in 1939. Agricultural production had not suf- 
fered as much but was still substantially below 
pre-war levels. 

In addition to the visible damage sustained by 
Greece, the Greek economy fell prey to progressive 
inflation, which stemmed largely from the heavy 
occupation costs levied by the enemy. At one 
point in the summer of 1942, occupation-cost pay- 
ments reached 30 billion drachma monthly. It 
may be estimated from Greek Government figures 
that occupation costs totaled over 431 million 1938 
dollars. In addition, Greece incurred heavy 
drachma expenses for products exported to the 
Axis during the occupation under the clearing ar- 
rangements with Germany and Italy. Both clear- 
ings at the end of occupation reflected net unpaid 
exports by Greece totaling about 534 million 1938 
dollars. By liberation, such fantastic amounts of 
drachma were in circulation that the currency sys- 
tem was on the verge of complete collapse. 

In fact, the Greek Government-in-Exile was com- 
pelled almost immediately upon its return to 
Greece to abandon the old currency and establish 
a new one. Conversion was effected in November 
1944 at the rate of 50 billion old to 1 new drachma. 
This had the effect of wiping out bank deposits 
and destroying the value of Greek Government 
bonds and other obligations. 

The fiscal position of the Greek Government on 
liberation was also appalling. The machinery of 
government was disorganized. The pre-war tax 
structure had completely collapsed during the oc- 
cupation on the municipal as well as on the national 
level. At the same time the financial burdens of 
the Government were greatly increased. Hos- 
pitals, schools, and many other essential services 
had to be financed from the national treasury since 
the municipalities were bankrupt. The Greeks' 
brave fight to preserve their independence against 
impossible odds and the subsequent occupation had 
greatly increased the number of widows, orphans, 
and maimed entitled to pensions. Moreover un- 
settled world conditions imposed a further heavy 
burden on the Greek budget for military needs 
even though the British Government made a sub- 
stantia] contribution in this respect. 

Ever since liberation the Greek Government has 

Supplement, May 4, 1947 



AID TO GREECE AND TURKEY 

been faced with a mounting budget deficit. Un- 
fortunately, however, the lack of confidence in the 
currency and credit of the Government engen- 
dered by the inflationary experiences through 
which the Greek people have just passed has meant 
that the Government has been unable to float any 
internal bond issues since the drastic currency con- 
version of November 1944. Lack of confidence in 
the currency is also reflected in the absence of any 
appreciable savings in the form of bank deposits. 
Tliis in turn has limited the ability of Greek banks 
to supply essential credits to the Government or to 
business and industry to finance rehabilitation and 
reconstruction. As a result, reconstruction has 
been greatly retarded and the Government has 
been forced to cover the deficit in effect by currency 
issues. 

These currency issues have inevitably added to 
the inflation in Greece, exerting upward pressures 
on prices and the exchange rate. The over-al] cost 
of living is now more than 100 times as high as in 
1939. Wages have increased but not proportion- 
ately, with the result that there has been a drastic 
decline in real wages. The exchange rate has had 
to be adjusted from 150 per dollar established at 
liberation to 5,000 per dollar fixed in January 
1946. Even this rate has been consistently below 
black-market rates, which are now in the neighbor- 
hood of 8,000 to the dollar. The rate for gold is 
even higher, amounting to approximately 16,000 
drachmas per dollar. 

In these circumstances the Greek Government 
has made efforts to attain stability by the expe- 
dient of selling gold sovereigns at premium rates. 
While this practice may have had some effect in 
stabilizing the value of the drachma, it has also 
reduced the gold and foreign-exchange reserves 
of the Government to a dangerously low point. 

Greece finds herself today with virtually no gold 
or dollar resources left, with relatively little re- 
construction accomplished, and with an economy 
which threatens to collapse at the onset of almost 
any serious adverse development. The shock to 
confidence from the inflationary experience of 
recent years was itself enough seriously to dis- 
rupt the normal functioning of the economy. 
This, added to the destruction wrought by the war 
the political uncertainties facing the nation, and 
the guerrilla activities imperiling life and prop- 

839 



AID TO GREECE AND TURKEY 



erty in the interior, has meant virtual paralysis of 
the normal economic processes by which Greece 
might otherwise have been able to work out her 
own salvation. 

The assistance heretofore provided by UNRKA 
and the British has succeeded in preventing actual 
starvation. It has been far from sufficient to 
restore Greece to a position where she could be- 
come self-supporting. With the imminent cessa- 
tion of the help provided by UNRRA and the 
British, Greece needs substantial outside assist- 
ance if suffering and political turmoil are to be 
avoided. Such assistance can only come from the 
United States m tlie time and in the amount 
required. 

I shall endeavor to outline the program of as- 
sistance which is proposed. The Congress has 
already been advised that with the termination 
of UNRRA shipments Greece will require mini- 
mum relief aid of 50 million dollars if serious 
malnutrition and further retrogression in the 
minimum operation of the economy are to be pre- 
vented. This sum will be provided under the jjost- 
UNRRA bill if this is approved by the Congress. 

Provision of relief aid in this amount will not, 
however, be sufficient to restore domestic security 
or provide the minimum reconstruction and sta- 
bility which are necessary if Greece is again to 
take her place among the self-supporting demo- 
cratic nations of the world. 

For this purpose it is believed that approxi- 
mately 300 million dollars will be necessary. Of 
this approximately half would be devoted to mak- 
ing available to the Greek armed forces the arms, 
ammunition, clothing, rations, and equipment 
necessary to deal effectively with the guerrillas. 
The political and military reasons for strength- 
ening the Greek Army have been discussed by 
others, but I should like to emphasize that the 
establishment of military security is an essential 
prerequisite to economic stability. The economic 
difficulties of Greece have been seriously compli- 
cated by a general lack of confidence in the future 
of Greece as an independent state. Establisli- 
ment of military secvxrity will enable the Greek 
Government and people to concentrate their efforts 
upon the solution of their economic problems, and 
renewed hope and confidence will encourage Greek 
private enterprise to undertake a larger share of 
the tasks of reconstruction. 

The civilian program envisaged will cost ap- 

640 



proximately 150 million dollars. I would like to 
indicate very briefly the nature of this program, 
in particular the import or foreign-exchange ele- 
ments involved. 

We have estimated that imported equipment 
and materials for reconstruction until June 30, 
1948 wiU cost approximately 50 million dollars. 
The first priority in reconstruction must be given 
to the restoration of transport and public utilities. 
Internal transportation in Greece is a serious bot- 
tleneck to further recovery. Until the railroad 
network is fully restored and sufficient rolling 
stock provided, the present excessive diversion of 
traffic to trucks will have to be continued with 
attendant high costs which hamper internal dis- 
tribution and exports. 

Greek roads have deteriorated very seriously 
and are in such imbelievably bad condition that 
the life of vehicles is only a fraction of normal, 
and operating costs are excessively high. The two 
principal Greek jDorts, Piraeus and Salonica, wei'e 
very badly damaged and have been restored on 
only a provisional basis. 

In order to make progress toward the restora- 
tion of the Greek transport system, it will be neces- 
sary to import considerable quantities of rolling 
stock, rails, structural steel and bridge-building 
material, road machinery and earth-moving 
equipment, some vehicles, and the services of the 
United States contractors and technicians. 

Restoration of damaged and destroyed electric 
utilities and communications systems must also be 
given a high priority. Substantial imports of 
electrical machinery and communications equip- 
ment will be required. 

Agriculture, which is the basis of the Greek 
economy, depends heavily upon the various flood- 
control, irrigation, and water-control facilities. 
During the war these facilities were neglected by 
the invaders, and tlie equipment necessary to keep 
them in good condition was either destroyed or 
removed. The dams, dikes, canals, and ditches 
have, as a result, deteriorated very seriously, and 
unless they can be reclaimed very soon further 
deterioration and loss of agricultural output is 
inevitable. For example, the Thessalonica Plains 
project, which drains and irrigates an area of 
roughly 460 square miles along the Axios River in 
north-central Greece, has been virtually without 
maintenance since the beginning of the war. In 
order to reclaim this vital project, such pieces of 

Department of State Bulletin 



AID TO GREECE AND TURKEY 



equipment as hydraulic dredges, drag lines, bull- 
dozers, and tractors are needed as well as main- 
tenance equipment for these items. Such equip- 
ment will have to be imported. 

During the war much industrial plant in Greece 
was idle and the Nazis removed and destroyed 
considerable industrial equipment. Mines suf- 
fered very seriously. Imports of industrial equip- 
ment will be required to permit Greek production 
to return to pre-war levels. 

Any visitor to rural Greece is impressed by the 
wanton destruction of rural dwellings, of which 
over 100,000 were destroj'ed and 50,000 badly dam- 
aged. The foreign-exchange costs of beginning 
the restoration of this tremendous loss are a small 
but vital element in the job. 

Aside from the problem of basic reconstruction, 
Greece urgently needs further assistance in the 
rehabilitation of agriculture. UNRRA has made 
a start by the importation of some livestock, farm 
machinery, food-processing equipment, and the 
like. This program includes 20 million dollars 
for this important task. 

This 20 million dollars and the 50 million dollars 
for reconstruction are to cover the cost of foreign 
goods and services entering directly into these 
l^rograms. But in order to carry out the recon- 
struction program it will also be necessary to 
employ local labor and materials. Greek labor 
and raw-material producers will be paid in 
drachmas. However, the Greek laborer or raw- 
material producer cannot be expected to make 
available his services or products unless he can 
convert the drachma he receives into the goods and 
services required by himself and his family. 

Even with the additional supplies of food and 
clothing to be provided for abroad under the direct 
relief progi-am, the total supply of goods and serv- 
ices available for purchase will be barely sufficient 
to permit holders of drachmas to convert them into 
the necessities of life. Large drachma payments 
must be made in cormection with the proposed re- 
construction program, and such increased drachma 
purchasing power will exert a tremendous pressure 
upon the limited supply of goods. In such cir- 
cumstances, each new drachma recipient would bid 
against his neighbor for available supplies, and the 
result would be a rapid rise in prices. Wage earn- 
ers and raw-material producers would soon find 
that their drachma receipts were inadequate to 
produce the necessities of life, and they would de- 



mand increased payment for their labor and prod- 
ucts. If the basic shortage of goods were not 
remedied, increased wages and prices to producers 
would not enable them to procure the goods they 
require, but would only lead to more frantic com- 
petitive bidding and further price rises. Price 
controls and rationing are only temporary pallia- 
tives under such circumstances, and experience has 
shown that the effective operation of controls of 
this nature cannot be expected in Greece under such 
circumstances. 

It is our firm opinion that the reconstruction pro- 
gram in Greece cannot be carried out successfully 
unless consumers' goods are made available from 
abroad, roughly equivalent in value to the drachma 
expenditures in connection therewith. The best 
available estimate of these expenditures is 80 mil- 
lion dollars. Greece itself is the cheapest source of 
the labor and of much of the raw materials re- 
quired for the reconstruction program, and of 
course such labor and materials should be utilized 
to the utmost. The precise method of carrying out 
an integrated program of reconstruction, includ- 
ing the procurement and distribution of the neces- 
sary consumers' goods, should, I believe, be left 
for determination by the American mission which 
it is proposed to send to Greece. 

To summarize: The 150-million-dollar civilian 
program for Greece consists of the 20-million-dol- 
lar agricultural rehabilitation program and a re- 
construction program which includes 50 million 
dollars for foreign-exchange costs and 80 million 
dollars for internal costs. 

I should like to emphasize that all the estimates 
I have given you are necessarily rough approxima- 
tions and that it is essential that flexibility be 
maintained, so that adjustments between various 
portions of the program can be made in the light 
of experience and developments which cannot now 
be anticipated in detail. 

The funds made available under this program 
must, of course, be utilized to best advantage so 
that our objectives may be achieved efficiently and 
economically. It will be necessary to send a civil- 
ian mission to Greece to administer this Govern- 
ment's interest in the program. We cannot 
now say what the size of such a mission would be, 
or how it would be organized ; these questions are 
still under study. 

It is clear that we should not make any ex- 
penditures for the Greek program until specific 



Supplement, May 4, 1947 



841 



AID TO GREECE AND TURKEY 



plans have been developed and have been approved 
by us. The mission in Greece would be in a posi- 
tion to carry a large part of the responsibility for 
this activity. It is also clear that the expenditure 
in Greece of funds that may be made available to 
the Greek Government must be subject to control 
by our mission there. 

Furthermore, it is my considered opinion that in 
the United States any purchases with these funds 
should be made through the procurement agencies 
of this Government, or, if made otherwise, should 
be subject to careful supervision and strict control. 

Finally, we must see to it that competent per- 
sons are sent to Greece to insure the development 
of controls at key points and to supervise their ap- 
plication. Time is so short, and the expenditures 
involved so great, that we must be assured that 
sound policies will be adopted and effectively ad- 
ministered in matters such as the following: fiscal 
metliods; a modern tax structure; strict husband- 
ing and control of the foreign-exchange earnings 
of the Greek people; conservation of remaining 
gold resources; a restriction on unessential im- 
ports; and the expansion of Greece's exports. 
These measures, no less than the financial ad- 
vances we are proposing, are necessary to put 
Greece back on her feet. 

I have stressed the economic situation in Greece 
because it is one of crisis. General economic con- 
ditions in Turkey are more favorable than those 
in Greece. In fact the latest information avail- 
able indicates that Turkey has sufficient resources 
to finance the essential requirements of her civilian 
economy. It also appears that Turkey should in 
due time be able to procure through existing credit 



channels part of the additional resources required 
for a program of general economic development. 
However, Turkey urgently needs military and 
other capital equipment which she herself can- 
not at present procure without seriously impairing 
her general economic position. The necessity for 
assisting Turkey in bearing the burdens of her 
military defense is very real, and an immediate be- 
ginning should be made. The 100 million dollars 
recommended for Turkey will be devoted to equip- 
ment for the Turkish armed forces and for projects 
such as the rehabilitation of the Turkish railroad 
system, which will contribute most directly to the 
maintenance of security in Turkey. 

The bill now before you provides that the Presi- 
dent shall determine the terms upon which assist- 
ance will be furnished to Greece and Turkey from 
the appropriations authorized. These terms may 
be loans, credits, grants, or otherwise. In view of 
the unusual conditions confronting us in this situa- 
tion, I do not believe that it would be wise or prac- 
tical to specify now what these terms might be. 

Any set of financial relationships, to be sound, 
must be related to the realities and objectives of the 
case. I believe that assistance for military pur- 
poses, being essential to our own security, and not 
in itself creating the wherewithal to repay, should 
be made as a clear grant. 

Financial assistance for civilian purposes would 
appear to fall in a somewhat different category. 
Repayment could be sought when the direct effect 
of the financial aid was to create the ability on the 
part of the receiving country to meet such obliga- 
tions in foreign exchange. However, I do not be- 
lieve that we should create financial obligations for 
which there is no reasonable prospect of repayment. 



STATEMENT BY AMBASSADOR PORTER' 



The majority of the people of Greece are, in my 
opinion, eager to perfect their democratic institu- 
tions if given the opportunity. They need mate- 
rial assistance and technical guidance if they are 
to function as a free, self-sustaining democracy. 
Greece has the resources for development and the 
capacity to exploit those resources, once the coun- 
try has gotten on its feet and is started on the road 

'Made before the House Committee on Foreign Affairs 
on Mar. 28, 1947, and released to the press on the same 
date. Paul A. Porter is Chief of the American Economic 
Mission to Greece, with personal rank of Ambassador. 



to recovery. In a two months' intensive survey 
into Greek economic problems, I developed ad- 
miration for the democratic spirit of the average 
Greek citizen. Tliese people are industrious, 
frugal, and devoted to the basic ideals of freedom. 
The problem is to create conditions in which this 
spirit can find its fullest democratic expression. 
It is not easy, but it can be done. Greece can, with 
our help, become a peaceful, democratic society 
with the living standards of her people above the 
present precarious level of mere survival. If this 
country assumes obligations in this regard, I have 



842 



Departmenf of State Bulletin 



AID TO GREECE AND TURKEY 



confidence that Greece will not forfeit what I be- 
lieve to be hei' last clear chance for independence. 

The American Economic Mission to Gi'eece ar- 
rived in Athens on January 18. With a small staff 
we immediately began our inquiries into Greek 
economic problems. I would like to submit to this 
Committee some of our findings and conclusions as 
well as a description of the immediate economic 
crisis which now confronts Greece. 

Mr. Acheson and Mr. Clayton have told you 
of the immediacy of Greece's present internal 
crisis. I would lilie to describe its economic aspects 
with greater particularity: 1946 was a year of 
theoretical stability for Greece; the inflationary 
sweep of 1945 was slowed down and from time to 
time halted. The two main factors operating to 
produce this condition were the quantity of 
UNRRA supplies fed into the economy and the 
free sale of gold by the Bank of Greece. These 
factors are no longer present. UNRRA supplies 
are diminishing and gold reserves are exhausted. 
As a result there now exists a new and immediate 
threat of inflation of disastrous proportions within 
Greece unless measures are taken at once to stop 
it. In a sense Greece is now living on borrowed 
time — on the hope of prompt American assistance. 

In my opinion economic conditions now serious 
would deteriorate with great rapidity if it should 
become apparent that there was serious doubt that 
the United States was coming to her rescue. 

Here are the principal elements of the imme- 
diate inflationary threat in Greece: 

1. The tentative budget estimates of the Minis- 
ter of Finance for the fiscal year beginning April 
1 indicate a deficit, including the military, of 
about 1,682 billion drachma ($287,000,000). This 
is over three times the amount of currency now in 
circulation. The debt of the Greek Government 
to the Bank of Greece inci-eased by 77 billion 
drachma during the month of February alone 
(about $9,600,000, using the rate of 8,000 drachma 
to $1.00). 

2. With the cessation of the flow of UNRRA 
goods into the market and a restricted import pro- 
gram necessitated by lack of foreign exchange, the 
I'eduction of available consumer supplies, entirely 
apart from the threat of inflation arising from 
the budget deficit, would cause an immediate and 
substantial increase in the internal price level 
which is already out of line with general world 
prices. 

Supplemenf, May 4, 1947 

741728 — 47 3 



3. The gold sovereign reserves of the Bank of 
Greece totaled only 101,000 on March 1 and the 
prospect of replenishment is remote. In the ab- 
sence of immetliate corrective steps including out- 
side assistance, there is no hope of curi-eucy sta- 
bilization, and the printing presses would resume 
without restraint. 

4. Because of these and other circumstances, the 
Government is now faced with a series of new 
wage demands and increasing signs of labor un- 
rest. Thus, in the absence of some immediate 
steps, there is the imminent threat of wage in- 
flation added to the prospect of budget inflation. 

The American Economic Mission was con- 
fronted with some of these conditions soon after 
its arrival in Greece, and although our purpose 
was primarily to analyze the current and longer- 
range problems, we were requested by the present 
Government of National Cooperation to suggest 
measures to meet the immediate crisis. In co- 
operation with the Currency Committee, the most 
effective instrument of Greek economic policy, we 
submitted certain emergency proposals. To meet 
the situation Mr. Maximos, the Prime Minister, is- 
sued a declaration of economic policy of the pres- 
ent government, which in the official translation 
reads as follows: 

a. Avoidance of inflation and protection of 
the national currency by every sacrifice in close 
cooperation with the Currency Committee. 

h. Regulation of imports and exports under 
close observation by the central organization. 

c. Enforcement of every restriction and con- 
trol which can be considered necessary for the 
Greek economy to retui'n to normal. 

d. Taking of any measure which is necessary 
for the compression of price levels and the ex- 
tension of ration cards to all basic goods for the 
maintenance of the population. 

e. Reorganization of banking credits for 
achieving decisive assistance towards produc- 
tion. 

/. Use of all-Greek labor for reconstruction. 

g. Complete cooperation with the Porter Mis- 
sion and the British Economic Mission and the 
granting to them of all available data so as to 
keep them well informed of the economic and 
financial situation of the country. 

h. Suspension of appointments to public posts 
excluding those which, by Cabinet decision, are 

843 



AID TO GREECE AND TURKEY 



considered unavoidable for the smooth running 
of the state. 

i. Dismissal of incompetent civil servants. 

I cite Mr. Maximos' declaration of economic 
policy (inly for the purpose of indicating that there 
is a recog)iition by the present Goveinment that 
firm measures will be necessary if inflation is to be 
avoided and Greece is to make the maximum use of 
her own resources. However, for any program of 
this general character to be made specific and effec- 
tive, the immediate assistance of American per- 
sonnel is, in my judgment, absolutely indispensable. 
This is recognized not only by the present Greek 
Government but by the leaders of the opposition 
parties as well. Constant attention and super- 
vision must be exercised to make certain that these 
general policies are given content and made to 
woik. 

If the Greek Government succeeds in staving off 
the immediate crisis — and I think it can if assist- 
ance from the United States is promptly forth- 
coming — there remain the longer-term aspects of 
financing essential imports and the problems of 
reconstruction and recovery. 

Greece's international financial position is des- 
perate. UNRRA imports are rapidly terminat- 
ing, and tlfe Greek nation simply does not iiave the 
resources to obtain foreign exchange to meet the 
essential import i-equirements. The Greek Gov- 
ernment submitted to us their estimates that, on 
an austerity basis, imports of at least $350,000,000 
would be essential during 1947; our estimates are 
somewhat lower. Against these demands the 
Bank of Greece had, on February 5, foreign ex- 
change in gold, dollars, and sterling of approxi- 
mately $1(^,000,000, of which gold and dollars ac- 
counted for only $12,500,000. Such sterling hold- 
ings are not fully convertible into dollars. 

Thus, it is obvious that outside assistance is re- 
quired for the survival of a democratic Greek state. 
But we must do more than that if we are to go 
further than merely postponing collapse; we must 
make available funds for reconstruction and re- 
habilitation. Wliile Greece has done some restora- 
tion of ports and railways since liberation, in gen- 
eral the country has made little progress in re- 
building. 

The relief program will only supply bare sub- 
sistence needs, and even then there is the danger 
of starvation in some areas in Greece unless proper 

844 



distribution is assured. The additional funds 
contemplated for rehabilitation and reconstruc- 
tion should enable Greece to recover to the extent 
that outside relief for minimum human needs, 
year after year, will no longer be necessary. That 
is what the program as explained by Mr. Clayton 
is designed to achieve, and it checks completely 
with the findings we have made on the spot. 

It is apparent that the funds available to Greece 
from the post-UNRRA relief measure will only 
serve to keep the Greek people alive at a dietary 
level of something less than 2,200 calories. Addi- 
tional economic assistance in the amount of $150,- 
000,000 is the minimum which we believe necessary 
to have an effective program of reconstruction 
and rehabilitation with the objective of achieving 
a reasonably self-supporting economy in a reason- 
able length of time. This, of course, is apart 
from the financial aid for the military establish- 
ment. 

It should be borne in mind that the Greek pre- 
war economy was not capable of sustaining a 
military organization other than for police duties 
without severe pressure on the extremely low 
standard of living. With real income, possibly 
around three fourths of pre-war during 1946, it is 
obvious that almost the entire burden of the mili- 
tary must be borne from abroad if the economy 
is not to regress, much less progress. 

It is also important to bear in mind that the 
total amount of American assistance proposed, in- 
cluding relief, military aid, and reconstruction 
assistance is not substantially different from the 
total of UNRRA assistance to Greece and the 
British military subsidy during 1946. The pro- 
gram proposed by the Department of State to 
June 30, 1948 provides a cumulative total of 
$350,000,000. The best e.stimate of UNRRA dis- 
tribution of supplies, plus the British military 
subsidy, is a])proximately $330,000,000 for the 
calendar year 1946. 

To emphasize further that this progi-am re- 
quires Greece to exercise the maximum of self- 
help in 1947, the estimates on which the amount 
of assistance is based call for considerably more 
than twice the volume of exports in 1947 over last 
year. The best estimates of Greek exports for 
1946, taken from UNRRA, the Bank of Greece, 
and other sources, indicate a total volume of around 
$40,000,000. The balance of payments upon which 
the new program of American aid is based requires 

Department of State Bulletin 



AID TO GREECE AND TURKEY 



export at the level of about $75,000,000 for the 
calendar year 1947. 

I think that the goals which have been set can 
be reached with proper effort and a realistic man- 
agement of export possibilities. For example, we 
have estimated that Greece will export $37,000,000 
worth of tobacco during the current year, or more 
than the unadjusted dollar value of tobacco ex- 
ports in 1935. With the northern European mar- 
kets not yet available, this volume of tobacco ex- 
ports may be high, but we think it can be done. 
We have also estimated that Greece should export 
$20,000,000 worth of olive oil on current account 
during 1947. At present there is an embargo on 
olive oil, but we do not feel that this target is too 
high if the Greek Government will devote its ener- 
gies to achieving this goal. 

In addition we have included in extraordinary 
receipts the sum of $14,000,000 from United States 
surplus as a source of Greece's essential import re- 
quirements ffH" 1947. I do not believe tliis figure 
to be high but, taking into account problems of 
transportation, availabilities, and the time lag, it 
is certainly not conservative. 

It is thus apparent that this program of Ameri- 
can financial aid to Greece will do no more than 
place Greece on an austerity basis and lay the 
basis for reconstruction. Hence, it will still be 
necessary for the Greek Government to use all ef- 
fective measures to mobilize her own resources. 
It will be necessary for Gieece to adopt a plan of 
vigorous fiscal and taxation reforms; to develop a 
tight system of control of imports, development of 
exports, control of foreign exchange, and such 
other measures as are necessary to assure that es- 
sential commodities flow through distribution 
channels to the farmers, workers, and producers 
who need them. Here again I must emphasize the 
necessity of American technical experts to provide 
advice and guidance in the development and appli- 
cation of such measures, and I repeat that the 
Greek Government has accepted in principle the 
necessity of such a program and requested such 
American assistance. 

The pi'ograni now proposed permits the use of 
funds advanced for internal expenditures as well 
as the foreign exchange costs of reconstruction. 
In my judgment this is indispensable if the nec- 
essary amount of reconstruction is even to begin. 
Because of internal disruptions and the great 
devastation wrought by the war and occupation, 

Supplement, May 4, 1947 



Greece has not been able to provide the local costs 
of reconstruction. Even though some capital 
equipment was available, the Greek Government 
was frequently faced with the difficult choice of 
increasing the note issue to finance internal costs 
or letting reconstruction lag. I have seen road- 
building equipment and machine tools on the docks 
at Piraeus which could not be utilized because the 
Government was unable to make provision for 
credits or allot drachmae for their use. Because 
of the inflationary potential of additional cur- 
rency issue and the appalling shortages of essential 
commodities, the decision usually was dictated by 
budgetary considerations and thus reconstruction 
was sacrificed. 

Such a program would go a long way towards 
dispelling the inflation phobia which has infected 
the economic system of the country. In addition, 
it would serve to encourage Greek liquid capital 
held in private hands to seek investment outlets. 
I was told on every hand by industrialists in the 
Athens-Piraeus area, as well as by peasants in 
northern Macedonia, that the incentive to rebuild 
would be lacking until internal security was 
achieved and the fear of inflation removed. There 
is no way to measure the amount of private capital 
available for investment purposes, but I have the 
belief that once it is felt that stable economic and 
political conditions are likely to be achieved, local 
private initiative will make an important contribu- 
tion to Greek recovery. 

Mr. Clayton described to you some of the plans 
by which United States personnel in Greece would 
insure a proper expenditure of funds and under- 
take to see that adequate measures are taken by 
the Greek Government for the use of Greece's own 
resources for recovery. It is my view that such 
an American Recovery Mission should, within the 
limits set forth by Congress and the President and 
agreed to by the Government of Greece, have some 
flexibility in developing the techniques appropri- 
ate to achieve desired objectives. 

The functions of such a Mission primarily 
would be to help in the formulation and adminis- 
tration of government fiscal policies, to advise the 
Greek Government on carrying out measures for 
the employment of the maximum amount of Greek 
resources in the recovery program, and finally to 
recommend to the U.S. Government revisions in 
the amounts of U.S. assistance needed and in the 

845 



AID 70 GREECE AND TURKEY 



conditions which should be attached to such 
assistance. 

The reforms needed in the public administration 
of Greece are numei'ous. Technical expeiis as- 
signed to this problem by the Mission should be 
able to devise more effective procedures in gov- 
ernment operations and to imjarove quality and 
performance of the persomiel. Many reforms will 
take a period of time to achieve, but I believe that 
with the selection of a proper Mission its influences 
can be decisive in developing and making effective 
the measures essential to Greek recovery. 

I would recommend that the Mission have power, 
primarily advisory in character, in relation to the 
Greek Government, but that this power should be 
supported by two sanctions : first, the authority to 
recommend to the U.S. Government that assistance 
be withdrawn or reduced in the event of the failure 
of substantial compliance with any of the condi- 
tions; and second, the publication by the Mis- 
sion of quarterly reports on the progress of Greek 
recovery, such reports being made available to the 
Government and the people of Greece, as well as to 
the Government and people of the United States. 

The Mission should advise on the formulation 
of Greek fiscal policies. The Currency Committee, 
with power over additional currency issues, should 
be continued and strengthened. As an agency of 
the Greek Government this Committee should 
screen all expenditures before they are presented 
to the American Recovery Mission for approval. 
An Office of the Foreign Trade Administrator, 
with an American as Administrator, should be 
created within the Greek Government with final 
power over all imports and exports. This Admin- 
istrator as an employee of the Greek Government 
should be charged with the responsibility of carry- 
ing out the foreign trade programs decided uj^on 
by the Greek Government with the advice and 
consent of the American Recovery Mission which 
would luidertake to assure that the most effective 
use is made of available foreign exchange. 

The American Economic Mission which has just 
returned from Greece will have detailed recom- 
mendations for the consideration of the new 
American group which would play such a sig- 
nificant part in Greek recovery. These recom- 
mendations will include specific suggestions con- 
cerning reconstruction projects, tax policies, 
government expenditures, banking, foreign ex- 

846 



change controls, control of imports, development 
of exports, agricultural activities including credit 
policies, industrial development, the exploitation 
of fishing resources, shipping, wages and prices, 
public administration, and some preliminary steps 
which we believe Greece should take to qualify for 
assistance from the International Bank for Recon- 
struction and Development, as well as the Inter- 
national Monetary Fund. 

Our general conclusions on the program of re- 
construction of public works include the sugges- 
tion that in the selection of projects there should be 
two criteria: First, they should be those which 
contribute most to the general economy of the 
country; and, second, they should be distributed 
geographically over the whole country. The 
Greek Army should be used for reconstruction 
work as much as possible. The specific projects to 
be undertaken should be selected by the American 
Recovery Mission after consultation with the Re- 
construction Board of the Greek Government. 
The American Economic Mission will direct con- 
sideration to a number of specific projects. 

The importance of an effective program for im- 
ports and exports cannot, of course, be over- 
emphasized. A program of essential imports 
approved by the American Recovery Mission 
should be the guide for all imports. It would in- 
clude requirements for an austerity civilian 
economy, for the Army, for approved reconstruc- 
tion and development projects, and for the con- 
tinuation of the UNRRA child-feeding and ma- 
laria programs. It would be little short of 
criminal if the child-feeding program were dis- 
continued. This activity was begun in Greece by 
the Swiss Mission of the International Red Cross 
during the occupation. It has since been developed 
and expanded by UNRRA, but in the absence of 
outside assistance the program must be discon- 
tinued at the end of the current school semester, or 
about June 1. I will not burden the Committee 
with the details of this program, as I am certain 
you recognize its obvious benefits. This and other 
essential welfare activities must go hand-in-hand 
with reconstruction. 

Finally, I wish to express the view that if the 
United States is to assume this responsibility it 
must be done in a manner that will demonstrate 
to the world that the objectives and policies of 

Department of State Bulletin 



AID TO GREECE AND TURKEY 



democracy are superior to those of any other 
system. It is obvious to all that Greece cannot 
work out her own destiny alone. She has the re- 



sources, the labor supply, and the will to do it 
with our assistance. The record of Greece in re- 
sisting oppression entitles her to that chance. 



STATEMENT BY ACTING SECRETARY ACHESONi 



On February 24 the British Ambassador, in a 
note dated February 21,^ informed the Department 
of State that as of March 31 the British Govern- 
ment would be obliged to discontinue the financial, 
economic, and advisory assistance which it has 
been giving to Greece and Turkey. Within a 
week the President informed congressional leaders 
of this situation and advised with them on the 
course of action which the Government should 
take. On March 12 the President informed Con- 
gress and the nation of the situation and recom- 
mended that this Government extend aid to Greece 
and Turkey. 

On March 3 we received from the Greek Gov- 
ernment an urgent appeal for financial, economic, 
and expert assistance.' Assistance is imperative, 
the Greek Government says, if Greece is to survive 
as a free nation. 

The Turkish Government has on various occa- 
sions applied to the United States for financial 
aid, but this Government has not had the facilities 
for responding to those requests. Since British 
aid is not available, the needs of Turkey for 
assistance are greatly increased. 

This, then, is the situation with which we have 
to deal. Greece and Turkey are in urgent need 
of aid, and there is no other country to which 
they may turn. 

The problem with which we are faced has a 
history and a background. Greece's difficulties 
are not new. But they have become acute as a 
result of special circumstances. 

Long before the war Greece had a hard time 
making ends meet. Her poverty of natural re- 
sources is so great that she has always needed 
more imports than she could pay for with exports. 
Only by hand-to-mouth contriving has she been 
able to maintain a precarious balance in her inter- 
national economic position. In the past much of 
her export trade naturally went to Central Euro- 
pean markets, particularly to Germany ; during the 
thirties she was forced into closer dependence on 
Germany through clearing agreements and other 
instruments of Nazi economic warfare. 



And then came the Italian invasion, the Ger- 
man invasion, four years of cruel enemy occupa- 
tion, and the scorching of her earth by the retreat- 
ing enemy. Perhaps no other country in the 
world has suffered greater destruction of its physi- 
cal resources than Greece. 

I should like to focus your attention upon four 
conditions which were found to exist at the time 
of Greece's liberation : 

1. Physical destruction had catastrophically 
impaired Greece's ability to produce, either for 
home consumption or for export; 

2. Greece's entire fiscal system had been de- 
stroyed ; 

3. The Greek civil service and administrative 
system had been gravely impaired through the 
starvation and death of many of its personnel, 
undermined by infiltration of undesirable ele- 
ments, demoralized by inflation and the resultant 
scramble for existence; and 

4. The authority of the Greek state was threat- 
ened by several thousand armed men who defied, 
and continue to defy, it in certain areas of the 
country. This situation in part grew out of the 
arming of guerrilla forces during the war of lib- 
eration. Many of these people have retained their 
weapons and certain bands now use them fighting 
to resolve the political differences that might 
otherwise be peaceably settled. The Greek Gov- 
ernment has charged before the Security Council 
of the United Nations that the insurgent groups 
operating in northern Greece are assisted from 
outside Greece by supplies and training in neigh- 
boring countries. A Commission appointed by 
the Security Council of the United Nations is now 
investigating these charges. 

In the period of more than two years since its 
liberation, Greece has received substantial relief 



' Made before the Senate Foreign Relations Committee 
on Mar. 24, 1947, and released to the press on the same 
date. 

'Not printed. 

' BuixF.TiN of Mar. 16, 1947, p. 493. 



Supplemenf, May 4, 1947 



847 



AID TO GREECE AND TURKEY 



assistance from the United Nations Eelief and 
Rehabilitation Administration. Great Britain 
has also extended very substantial aid to Greece 
in an effort to supplement the relief and recon- 
struction efforts of UNRRA, and to oi'ganize and 
equip the Greek Army. 

However, at the end of this current month out- 
side assistance to Greece is scheduled to stop. 
UNRRA is going out of business in Greece, and 
British asistance, for reasons of which you are 
aware, is to be discontinued. 

The cessation of outside aid to Greece means 
immediate crisis. Unless help is forthcoming 
from some other quarter, Greece's economy will 
quickly collapse, very possibly carrying away with 
it the authority of the Government and its power 
to maintain order and the essential services. 

The information reported to us by the Greek and 
British Governments in regard to conditions in 
Greece has been corroborated by reports we have 
received from the American Ambassador in Greece 
and from the American economic mission which 
has been in Greece at the invitation of the Greek 
Government, inquiring into economic conditions 
there. 

Essential imports for civilians and for the Army 
under the circumstances can continue for only a 
few weeks. Two weeks ago the dollar resources 
available to Greece were only $14,000,000 — enough 
for one month's imports of food and other essen- 
tials from the United States and other countries. 
If imports should cease, the price of such goods as 
are available would very rapidly reach astronomi- 
cal figures. This is inflation.' Its result in a 
country so dependent upon imports would be 
paralysis of the Government and of economic life. 
It would also very probably mean the end of 
Greek freedom and independence. 

The armed bands in the north, under Communist 
leadership, are already fighting. In the event of 
economic collapse and Government paralysis, 
these bands would undoubtedly increase in 
strength until they took over Greece and instituted 
a totalitarian government similar to those prevail- 
ing in countries to the north of Greece. The rule 
of an armed minority would fasten itself upon the 
people of Greece. 

In this critical situation Greece has urgently 
asked the United States for help. She requests 
financial assistance for the following purposes: 



(1) to enable her to carry on essential imports of 
food, clothing, and fuel necessary for the sub- 
sistence of her people; (2) to enable her to or- 
ganize and equip her army in such a way that it 
will be able to restore order throughout her terri- 
tory; and (3) to enable her to begin the process of 
reconstruction hj putting her production facili- 
ties in order. (4) Finally, Greece requests the aid 
of experienced American administrative, eco- 
nomic, and technical personnel to assure the effec- 
tive utilization of whatever financial aid may be 
extended her and to help her to begin the recon- 
struction of her own economy and public 
administration. 

The situation in Turkey is substantially differ- 
ent, but Turkey also needs our help. The Turkish 
Army has been mobilized since the beginning of 
World War II, and this has put a severe strain 
upon the national economy. During the war Tur- 
key received substantial assistance from Great 
Britain and the United States, which helped her 
to carry this load. 

Today the Turkish economy is no longer able to 
carry the full load required for its national de- 
fense and at the same time proceed with that ec- 
onomic development which is necessary to keep the 
country in sound condition. With some help from 
the United States, and further assistance which 
Turkey may be able to negotiate with United Na- 
tions financial organs, Turkey should be in a posi- 
tion to continue the development of her own re- 
sources and increase her productivity, while at 
the same time maintaining her national defenses 
at a level necessary to protect her freedom and 
independence. 

The present proposals do not include our send- 
ing troops to Greece or Turkey. We have not 
been asked to do so. We do not foresee any need 
to do so. And we do not intend to do so. We have 
no understandings with either Greece or Turkey, 
oral or otherwise, in regard to the sending of troops 
to those countries. 

Our military missions to Greece and Turkey will 
be small ones, whose task will probably be to find 
out the local needs for military equipment and to 
see to it that needed material is delivered and in 
the hands of the proper authorities. Our missions 
will consist only of observers and advisers. 

In Greece some British troops remain who landed 
there for liberation purposes. The British Gov- 



848 



Department of State Bulletin 



AID TO GREECE AND TURKEY 



ernment has recently announced its intention of 
•withdrawing its troops in the near future. There 
is also in Greece a British military mission whose 
members act as advisers and instructors with the 
Greek military forces. 

Questions submitted to the Department of State 
appear to assume that the presence of those forces 
will mean that the British Government will direct 
the policies of the Greek Government while the 
United States supplies necessary economic aid. 
This is not the case. 

The United States has not made any agreement 
with the British Government with reference to 
the implementation of the proposed plan of as- 
sistance to Greece and Turkey. If the proposed 
program is authorized by the Congress, its imple- 
mentation will be worked out through agreements 
with Greece and Turkey and with the aid of United 
States personnel. 

I wish to reiterate that the United States, in 
undertaking aid to Greece and Turkey, is not as- 
suming British obligations or underwriting Brit- 
ish policy there or elsewhere. We propose, rather, 
a program designed by this Government to pro- 
mote stability in Greece, Turkey, and the Middle 
East generally and thereby to pave the way for 
peaceful and democratic development. 

In the present instance we are proposing to 
respond to certain requests made to us by the 
Greek and Turkish Governments, and our pro- 
gram is designed to assist those countries in cer- 
tain announced ways. We have been asked whether 
this establishes a pattern for all future requests 
for American assistance. 

Any requests of foreign countries for aid will 
have to be considered according to the circum- 
stances in each individual case. In another case we 
would have to study whether the country in ques- 
tion really needs assistance, whether its request is 
consistent with American foreign policy, whether 
the request for assistance is sincere, and whether 
assistance by the United States would be effective 
in meeting the problems of that country. It can- 
not be assiuned, therefore, that this Government 
would necessarily undertake measures in any other 
country identical or even closely similar to those 
proposed for Greece and Turkey. 

The situation of Greece and Turkey confronts 
us with only two alternatives. We can either grant 



aid to those countries or we can deny that aid. 
There is no possibility of putting the responsibility 
for extending the aid which Greece has asked from 
the United States on some other nation or upon 
the United Nations. 

This becomes clear when we consider the specific 
problems that confront Greece today and the spe- 
cific kinds of assistance that Greece has requested 
from the United Nations on the one hand, and 
from the United States on the other. 

Let us consider first the problem arising from 
outside Greece's borders. Greece has charged be- 
fore the Security Council that armed bands oper- 
ating within her territory are partly supplied, 
trained, and given refuge in Yugoslavia, Bulgaria, 
and Albania, and that these bands are moving back 
and forth across the border. Greece has asked the 
United Nations for help in dealing with this situa- 
tion, and the Security Council has appointed a 
commission which is at the present moment in- 
vestigating the Greek charges on the spot. It is 
expected that this commission will begin writing 
its report early in April, and that report should be 
ready shortly thereafter. 

We do not know what the report will contain or 
the action that may be taken by the United Nations 
upon it. We hope and believe that United Nations 
action in this matter will result in the cessation of 
disturbances along Greece's northern borders. 
Such a result would be a most vital contribution 
to the situation in Greece and make possible the 
task of stabilization and rehabilitation. It would 
not be a substitute for the assistance which Greece 
has asked from the United States. More is needed 
to deal with internal disorder and economic break- 
down. 

The second pi-oblem confronting the Greek Gov- 
ernment is the need for supplies and funds to enable 
it to cope with its internal difficulties, namely, the 
restoration of order in the coimtry and the averting 
of economic collapse. The United Nations Relief 
and Rehabilitation Administration and the British 
Government have been helping Greece with these 
particular problems, and the present crisis has 
arisen because those two supports must be with- 
drawn. 

To whom was Greece to turn? The Food and 
Agriculture Organization of the United Nations, 
which recently sent a mission to Greece, recom- 
mended that the Greek Government request the 



Supplement, May 4, 1947 



849 



AID TO GREECE AND TURKEY 



Economic and Social Council of the United Na- 
tions, and the United States and the United King- 
dom to extend aid to it in securing funds for the 
continuation of essential food and other imports to 
cover the period after UNEEA's withdrawal until 
expanding exports, international development 
loans, and expanding production should enable 
Greece to balance its international accounts. 

If Greece had applied to the United Nations or 
any of its related organizations, the essential ele- 
ment of time would have been lost, and the end re- 
sult would have been the same. The funds would 
have to come primarily from the United States. 
The United Nations does not of itself possess funds. 
The Economic and Social Council is an advisory 
body that recommends economic, financial, and 
social action to member states. The International 
Bank, which is just now completing its organiza- 
tion, is set up primarily to make self-liquidating 
loans for long-term reconstruction purposes. It 
has not yet made any loans whatsoever. The Eco- 
nomic Commission for Europe is still in its early 
organization stage. 

It may be that at some future time the United 
Nations will be organized and equipped so as to 
render emergency aid to member states, of the kind 
now needed in Greece and Turkey. But, as the 
President said, the United Nations and its related 
organizations are not now in position to extend 
help of the kind that is required. Even if some 
organ of the United Nations should decide to rec- 
ommend assistance to Greece and Turkey, it would 
have eventually to turn primarily to tlie United 
States for funds and supplies and technical assist- 
ance. Even if the project were not blocked by the 
objections of certain members of the United 
Nations, much time would have been lost, and time 
is of the essence. 

One hundred twenty-three years ago Daniel 
Webster spoke in the United States House of Eep- 
resentatives in favor of a resolution looking toward 
aid to Greece, which country was then striving for 
her independence. Then, too, time was of the 
essence. He said : 

"Mr. Chairman, there are some things which, to 
be well done, must be promptly done. If we even 
determine to do the thing that is now proposed, we 
may do it too late. Sir, I am not one of those who 
are for withholding aid when it is most urgently 
needed, and when the stress is past, and the aid no 



longer necessary, overwhelming the sufferer with 
caresses. I will not stand by and see my fellow 
man drowning without stretching out a hand to 
help him, till he has by his own efforts and presence 
of mind reached the shore in safety, and then en- 
cumber him with aid. With suffering Greece, now 
is the crisis of her fate — her great, it may be, her 
last struggle. Sir, while we sit here deliberating, 
her destiny may be decided." * 

The United Nations is an organization designed 
to keep the peace and to promote friendly relations 
among nations as well as orderly economic, social, 
cultural, and humanitarian progress. However, it 
would be a tragedy, and a travesty upon logic, if 
an overestimate of the immediate powers of the 
United Nations should succeed in preventing this 
country from using its wealth and influence to help 
create those very conditions of economic and politi- 
cal stability which are necessary if the United 
Nations is to develop into a stronger organization 
over a period of years. 

By membership in the United Nations neither 
the United States nor any other country has ab- 
solved itself of its responsibility for fostering 
through its own action the same objectives as the 
Charter sets for the United Nations. 

The third problem confronting Greece is one of 
expert personnel. Greece has linked this problem, 
and we heartily concur, with the supply of funds. 
Greece is in the most serious need of expert advice 
and assistance. We believe, and we think Congress 
believes, that the expenditure of American funds 
in Greece and Turkey should be supervised by 
American experts. 

The proposals now before the Congress deal 
with the emergency aspects of the problem. 

In the longer range, the United Nations may be 
able to take over various parts of the economic 
and financial problem in Greece and Turkey. We 
are giving serious study and consideration to 
ways in which the United Nations may take hold 
of this problem after the present emergency is 
past. 

I have said that the two alternatives that are 
before us are to give the help requested or to deny 
it. An essential step in considering the wisdom of 
any policy is to look at the alternatives. What are 
the probable consequences of not extending aid to 
Greece and Turkey ? 

* Annals of Congress (18th Cong., 1st sess.). 



850 



Department of State Bulletin 



AID TO GREECE AND TURKEY 



I have already indicated what would more than 
likely happen in Greece. As the President said, 
however, it is necessary only to glance at the map 
to realize that the survival and integrity of Greece 
is of gi-ave importance in a much wider situation. 
The inexorable facts of geography link the future 
of Greece and Turkey. Should the integrity and 
independence of Greece be lost or compromised, the 
effect upon Turkey is inevitable. 

But the effect is even widei-. Consider for a 
moment the situation of the countries to the east 
and south of Turkey. All of them are confronted 
with the accumulated problems of the past and of 
the war. Some of them are just emerging into 
statehood. These nations wish and should be able 
to develop and maintain free institutions and 
individual liberties, but untoward circumstances 
may force them in the other direction. Will these 
countries be able to solve the extremely difficult 
problems that confront them in ways compatible 
with free institutions and individual liberty ? It 
is vital to our own interests to do all in our power 
to help them solve their economic difficulties in 
such a way that their choice will be in favor of 
freedom. 

I need not emphasize to you what would more 
than likely be the effect on the nations in the 
Middle East of a collapse in Greece and Turkey 
and the installation of totalitarian regimes there. 
Both from the point of view of economics and 
morale, the effects upon countries to the east would 
be enormous, especially if the failure in Greece and 
Turkey should come about as the result of the 
failure of this great democracy to come to their 
aid. On the other hand, I ask you to consider the 
effects on their morale and their internal develop- 
ment should Greece and Turkey receive a helping 
hand from the United States, the country with 
which they closely associate the principles of free- 
dom. It is not too much to say that the outcome 
in Greece and Turkey will be watched with deep 
concern throughout the vast area from the Darda- 
nelles to the China Sea. 

It is also being watched with deepest anxiety by 
the peoples to the west, particularly the peoples of 
Europe, who, as the President said, are struggling 
against great difficulties to maintain their freedom 
and independence while they repair the damages 
of war. 



As the President said, it would be an unspeak- 
able tragedy if those countries which have strug- 
gled so long against overwhelming odds should 
lose that victory for which they sacrificed so much. 
Collapse of free institutions and loss of inde- 
pendence would be disastrous not only for them 
but for the world. Discouragement and possible 
failure would quickly be the lot of neighboring 
peoples striving to maintain their freedom and 
independence. 

It is feared in some quarters that the proposed 
United States program for Greece constitutes a 
blanket endorsement of its present government. 
Others have suggested that the United States make 
its assistance conditicJnal on changes in the compo- 
sition of the Greek Government. 

As to the first point, I can do no better than to 
emphasize the President's declaration that we do 
not condone everything the present Greek Govern- 
ment has done or will do. As to the second, I do 
not think that such interference in Greek affairs 
would be justified. 

The present Parliament of Greece was demo- 
cratically elected in an election which foreign ob- 
servers agreed was fair. There can be no doubt 
that it represents the majority of the Greek 
people. The present Greek Cabinet contains rep- 
resentatives of 85 percent of the members of the 
Greek Parliament. The mere fact that Greece 
has a king does not necessarily make Greece's 
form of government less democratic than that of 
other countries, as is shown for instance by the 
Governments of Norway, Sweden, Denmark, the 
Netherlands, and Great Britain. 

It is not the object of our aid to Greece either 
to help to maintain or to help to remove the present 
Government or the King of Greece. It is our ob- 
ject to help to maintain the present constitutional 
system of Greece so long as the majority of Greeks 
desire it, and to help Greece create conditions in 
which its free institutions can develop in a more 
normal fashion. 

In Greece today we do not have a choice be- 
tween a perfect democracy and an imperfect de- 
mocracy. Tlie question is whether there shall be 
any democracy at all. If the armed minorities 
that now threaten Greece's political and economic 
stability were to gain control, free institutions and 
human freedoms would disappear and democratic 
progress would come to an abrupt halt. 



Supplement, May 4, 1947 

741728^7 4 



851 



AID TO GREECE AND TURKEY 



It is not claimed that all persons involved in 
the present armed challenge to the Greek Govern- 
ment are Communist. There are among them 
many persons who honestly, but in our opinion 
mistakenly, support the Communist-led forces be- 
cause they do not like the present Greek Govern- 
ment. The political amnesty offered by the Greek 
Government offers to all the opportunity to co- 
operate in making democratic Greek institutions 
work.