File No. 652.119/372

The Ambassador in France (Sharp) to the Secretary of State

[Telegram]

2951. Following from Dawes:

Following is Spanish situation since September 30. Export permits from Spain have involved material of less than $250,000 value chiefly for engineers. We have request for permission to export [Page 1224] pending on 4,000,000 pounds rice and dried beans concerning which Willard, Ambassador, wired me on December 20 as follows:

Embassy here requesting Foreign Office permission to export articles requested for use in American Army in France but fears until definite policy concerning use of our embargo here shall have been decided upon by our Government desired permits will not be granted. Embassy, however, will keep you informed. Willard.

We have made contract in Spain for 200,000 blankets for which will soon desire export permits. We also have located lumber and other materials in connection with Franco-American Purchasing Bureau we have been strongly urging action upon the French. General Pershing last week personally called upon Clemenceau and after naming the American member of supplies bureau again requested prompt nomination of French members so that all purchases in Spain and Switzerland commencing January 1 may be made by this bureau, the existence of which had been definitely agreed upon by them with Mr. McCormick and the A.E.F. We are daily expecting the nomination of the French members of the bureau. In the meantime entirely in coordination with the existing British and French agencies and in order that precious time may not be lost we are locating and purchasing supplies in Spain subject to securing export permits.

Cannot emphasize too much the importance to the A.E.F. of the Spanish market which the State Department and Mr. McCormick are endeavoring to open for us. In this connection invite attention to cablegram from Darling, December 11, to War Department, relative supplies in Spain. Can you not secure general agreement from Spanish Government for export permits and assistance in securing supplies suggested therein. We have named American member on Inter-Allied Wood Committee and are already receiving the benefit of the McCormick commercial treaty negotiations in wood importations from Switzerland which in January we expect to still more largely increase.

Sharp