651.116 Nitrate/5: Telegram

The Acting Secretary of State to the Ambassador in Frame ( Edge )

435. Department’s 427, August 31, 6 p.m.40 Barrett Company advises Department that new regulations governing issuance nitrate licenses under French Ministry of Agriculture place their product at a disadvantage as compared with German and Chilean nitrates. Company fears further that contemplated French tax will be credited to Reparations where German nitrates are concerned and will thus constitute a discrimination against American nitrates. Company states that large stocks of Chilean nitrates in France will not be affected comparably to American nitrates. Company fears that failure to protest French action before September 8 will prejudice company’s chance of obtaining effective diplomatic protection in event of discrimination alleged. Embassy should investigate promptly question of discrimination and if Barrett Company’s allegations are substantiated should make representations with a view to securing equality of treatment for the American product with respect to the imposition of French taxation.

  1. Not printed.