AID recommends (Tab A) that you approve
a one million ton PL 480 wheat agreement
with Pakistan for FY 1970. This is the
first major commitment of funds to Pakistan in this fiscal year and the
decision is politically significant, so the agencies decided to seek
your approval.
The wheat is required to help Pakistan meet its minimum food needs and
bring down prices, which are one of the main causes of political unrest
in East Pakistan. President Yahya Khan has written you personally (Tab C), emphasizing the
urgency of the need and stressing his desire for the proposed
program.
State, Agriculture, Treasury, and Budget (Tab B) agree that one million
tons of wheat be allocated for shipment to Pakistan, with 800, 000 tons
to be dispatched now and the last 200, 000 tons, if conditions have not
improved markedly, by February 1970. An announcement in the next few
days would by itself have a helpful effect on prices, which have gone up
sharply.
This proposal stands on its economic merits alone. On top of that, it can
make an immediate and direct contribution to one of Yahya's principal political problems
— avoiding open unrest in East Pakistan which would complicate the
already difficult job of working out a new constitutional agreement
between East and West Pakistan.
RECOMMENDATION:
That you approve an FY 1970 PL 480 wheat program of up to one million
tons of wheat for Pakistan.
1 Source: National Archives, Nixon Presidential Materials, NSC Files, Box 623, Country Files,
Middle East, Pakistan, Vol. I, 1 Jan 69–30 Nov 69. Limited Official
Use. Sent for action. Attached at Tab A was an October 10 memorandum
from John Hannah to Nixon; attached at Tab B was an
October 13 memorandum from Mayo to Nixon; neither is published. The October 1 letter from
Yahya to Nixon, attached at Tab C, is
printed as Document 37. The President
initialed his approval of the recommendation on October 22. On
November 13 Nixon sent a
letter to Yahya indicating
that the United States was prepared to negotiate a PL–480 agreement of 1 million tons of
wheat for Pakistan. (Ibid., Box 759, Presidential Correspondence
File, Pakistan, (1969–1970) )