711.162/28: Telegram

The Chargé in Salvador ( Engert ) to the Secretary of State

76. Conversations with the Minister of Foreign Affairs have so far been limited to the first twelve articles of the proposed treaty. Important amendments to articles 7 and 11 suggested by him would, I know, prove unacceptable to the Department. As anticipated most-favored-nation treatment is the principal difficulty.

Your 39, September 5, 3 p.m. Has the Department already officially admitted the right of Salvador or any other Central American Republics to favor neighboring States or could it be offered as an inducement? Is article 7 intended to cover special privileges granted by Salvador to other foreigners under valid concessions or only privileges granted by treaty?

[Paraphrase.] I have hopes that the Foreign Minister will finally yield. However, the President’s attitude is doubtful, and the Finance Minister is hostile. [End paraphrase.]