File No. 763.72112/3345
The Ambassador in Great Britain ( Page ) to the Secretary of State
[Received 2.50 p.m.]
5577. Your 4364, January 30, 4 p.m. Am informed by competent private authority that committee referred to propose to fix charter [Page 509] rates and in certain cases indicate persons of Allied nationality whom they approve as charterers of neutral vessels. It is probable that type of cargo and voyage will also be stipulated. Neutrals may bid against the price set for Allied charterers and, provided they are willing to perform the stipulated service, will probably be able to obtain the ship in question, other things being equal. British coal will be given only where conditions set by committee are met by neutral charterer. It is hoped by these measures to concentrate any neutral tonnage coming into the market on services most needed by the Allies and to regulate the movement of freight by the reduction of ballast voyages.
It is hoped the plan will reduce ocean freights and apart from the effect of possible high neutral charter bids it will probably do so.