File No. 763.72112/3007

The Consul General at London (Skinner) to the Secretary of State

No. 2725

Sir: Referring to my commercial report dated September 1, stating that exportations of fresh apples from the United States were not being interfered with, and to my telegram of the 14th instant,1 stating that this policy had been modified, I have the honor to report that since some days the British authorities have been declining to issue letters of assurance covering fresh fruit intended for neutral European destinations. It is reported that this is a temporary measure and that the whole question is being examined with care. It is claimed that the Dutch, particularly, have already sold four-fifths of their domestic apple crop to German buyers, intending to import equivalent supplies from the United States. The Netherlands Government have now prohibited the export of apples, but apparently the British blockade authorities are not fully satisfied that this legislation will be effective in preventing the forwarding of fruit already under contract.

In view of this situation it has been decided, for the present, at least, to prevent shipments from going forward from the United States. I am also informed, privately, that the subject of importations of fresh apples from the United States is undoubtedly associated with the difficulties respecting the shipment of oranges from Italy. I deem it quite possible that, but for the necessity of assisting the Italians in disposing of their oranges, the British authorities would take strong grounds against the shipment of apples from the United States, not as a temporary, but as a definite measure. The Italians are understood to be very insistent in respect of their desire to forward oranges without restraint to Holland and other northern countries, and it is recognized that if this source of revenue were cut off, Italian fruit growers would be placed in a very precarious position. On the other hand, it will be difficult to grant free transit to oranges without doing as much for apples.

I rather anticipate that eventually a scheme will be formulated whereby oranges will be permitted to go forward in full cargoes only. As apples are invariably forwarded in connection with miscellaneous cargoes, it will be interesting to note whether or not the final measure for controlling fruit shipments will include arrangements satisfactory to American interests.

The Department no doubt has taken note of my recent telegrams, indicating that the policy of rationing the Scandinavian countries and Holland has assumed fairly definite metes and bounds. Hitherto the public were kept in a state of uncertainty on this subject, only knowing that certain commodities were being prevented from [Page 506] going forward when their shipments were refused. Within the last few days, however, announcements have been made stating the particular commodities for which no further export licenses, or other facilities, would be given. It is proposed to modify this list from time to time, according to circumstances, and particulars will be transmitted by cable as they become known to me. It is my understanding that the restrictions will apply to goods of American origin as well as goods forwarded from this country, and no doubt shipping companies in the United States will refuse to accept commodities of the prohibited classes.

I have [etc.]

Robert P. Skinner
  1. Not printed.