File No. 656.119/342
The Secretary of State to the Netherland Minister ( Philips)1
My Dear Mr. Minister: I take pleasure in replying herewith seriatim to the points raised in your letter to Mr. McCormick dated April 1, and relating to certain aspects of the action of my Governmerit [Page 1452] in putting into service ships of Netherland registry lying in United States waters on March 20.
1. Cargoes are not comprised in the requisition and any expense involved in unloading the same will be borne by my Government. With respect to storage, insurance and eventual reloading, I assume that you are only interested in cargoes to the extent that your Government or nationals have an interest therein. Cargoes having such a Netherland interest will be stored and insured by my Government until the owners elect to dispose of the same in an authorized manner, or until a reasonable period after such time, if any, when my Government may offer your Government opportunity to transport such cargoes to their destination. In the event that such opportunity is availed of the expense of reloading will likewise be borne by my Government. In the event that any of such cargoes are of a perishable character my Government will also bear such loss, if any, as may result from their perishable character during a period following the date of requisition, which may afford the owners a reasonable opportunity to dispose of the goods. I may add that my Government is disposed to offer to purchase at a fair valuation such portions of the cargoes as the Dutch owners may desire to be relieved of in this manner. In the case of all of such cargoes my Government reserves the right to take them over in whole or in part as its national interest may demand.
2. In the case of ships which were under charter to the Shipping Board, we regard these charters, except as hereafter indicated, as canceled on March 20. In the case of ships which were outside the jurisdiction of the United States on March 20, we shall regard the charter as subsisting until the return of the ships to a United States port as contemplated under the charter party, and in case the Dutch owners desire the charters to be regarded as subsisting for the full period contemplated by the charter party, we will conform with such desire.
3. Trade of the Dutch East and West Indian ports will be facilitated by granting bunker licenses and by guarantees against detention, provided the amount and character of this trade conforms to that specified in the proposed general commercial agreement as signed by the Dutch Commissioners at London. In regard to Netherland continental trade, ships in Holland will be freely bunkered and will be immune from detention while engaged in lifting cargoes comprising supplies which the Associated Governments may, from time to time, tender Holland, or the procurement of which the Associated Governments may offer to facilitate. Ships of Netherland registry outside of Holland and not engaged in colonial trade as above indicated, may engage in normal trade outside of Netherland [Page 1453] colonial or continental trade. If, however, it shall develop that Netherland ships now in Holland are not sufficient to lift the supplies, which, as above mentioned, the Associated Governments may-tender, then my Government will be glad to offer to facilitate the movement of these ships in trade between Holland and foreign ports under suitable conditions.
As an exception to the above-mentioned arrangement and as a further expression of the earnest desire of the Associated Governments that Holland shall begin as soon as possible to obtain the foodstuffs for which the Associated Governments have promised facilities, I desire to assure you that upon a corresponding vessel leaving Holland for a North American port, the steamship Hollandia which I am advised is now at Buenos Aires may avail itself of all the facilities which the Associated Governments can offer in loading a cargo of grain and proceeding to Holland. It is desired, however, that in the event this offer is availed of the Hollandia shall call at a designated port for examination.
4. My Government will be happy to cooperate in having Lloyd’s agencies make a report regarding the condition of the ships, provided this can be done without unduly delaying the movement of the ships. The United States Navy has already made a survey and report on the conditions of the Dutch ships, which indicates that they are generally in good condition. I shall be pleased to furnish you with a copy of these reports as soon as they are in complete form.
5. My Government will be glad if the captains or owners of the ships put into our service will make inventories and instructions will be issued that if correct they will be signed as such by proper authorities. The foregoing is, however, subject also to the condition that the movement of the ships cannot be unduly delayed to permit of the making of such inventories. Accurate inventories have already been made by officers of this Government and have been checked and signed and you may perhaps desire to suggest that the captains or owners of the several ships likewise sign these inventories if they are found to be correct.
The foregoing will, I trust, be found to cover the specific points which your letter of April 1 raises. I desire, however, to add that it is my Government’s earnest desire, in so far as is possible, to spare your nationals any inconvenience or expense arising from the action which my Government has felt obliged to take. The replies to your several points of inquiry have been framed with a view to accomplishing this result. Since, however, the points which you raised were general in character and the replies are similarly general, it may be found that their application to certain specific cases may seem to you to work some hardship. If so, I trust that you will [Page 1454] bring such specific cases to the attention of my Government and I assure you that no effort will be spared to accord such treatment as may be equitable.
I am [etc.]
- Letter of Apr. 6 from the Assistant to the Chairman of the War Trade Board states: “This proposed reply has been approved by the War Trade Board, the Shipping Board, and the British Embassy.”↩