662.116 Fruit/29: Telegram

The Secretary of State to the Chargé in Germany (Gordon)

124. Your 205, October 11, 1 p.m. The German Ambassador called today to discuss the agricultural quota question. He said these quotas would probably be imposed as of November 1 and might be imposed in the first instance for a short period. He understood that the Government favored a global system of percentages rather than a national system, and that quotas would be based on the imports for the preceding year. Percentage for apples was 65 and that for lard 50. No requests were made of the Ambassador with regard to this matter.

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For your information the apple interests are anxious that the quota be not based on the preceding year, since in that year the shipments were very small, but would prefer the season 1930–1931.

In the negotiations with France last spring the Department sought from the French Government an undertaking to establish all quotas on a basis of the 3 year period 1929–1931. It was felt that this period of years was the fairest indication of normal trade and that any quotas established should take into consideration normal trade.

Should occasion present itself, you might, if you see no objection, indicate informally and orally our position in respect of a 3 year period as indicated above.