651.116 Nitrate/44: Telegram

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

671. Department’s 590, November 23, 9 p.m. I am advised by the Barrett Company that recent accord between French Ministry of Agriculture and German nitrate producers has led, after prolonged negotiations, to execution of contract for purchase from Germany of 150,000 tons, not subject to license. Company feels that it has not [Page 266] received equality of treatment, as it was given opportunity to bid on only relatively small tonnage on terms which required almost immediate acceptance, and that accordingly it was unable to negotiate. Company understands that French authorities are likely to purchase additional 100,000 to 150,000 tons, early in January, and desires opportunity to submit bids for a substantial portion, if not all, of this next purchase, on terms of complete equality with other producers. You should endeavor to obtain opportunity for company to negotiate with appropriate French purchasing agency on fair commercial basis.