561.311F1/17: Telegram

The Consul at Geneva (Gilbert) to the Secretary of State

105. Department’s telegram No. 40, April 20, 11 a.m. Have just concluded conversations with Stoppani in which the following was developed:

1.
The Bureau of the Economic Committee in accordance with its powers can, in order that the Economic Committee may in view of the approaching Monetary and Economic Conference “resume its study of wheat”, invite experts to study this question and present a report.
2.
These experts will be from the United States, Canada, Australia and Argentina. Although it will not be so announced and these experts will serve in their personal capacity the selection of these states for this particular meeting is for special reasons which are detailed below.
3.
From the terms of the Department’s telegram referred to it is seen that the United States favors this meeting and note has been taken of the result of the sounding out by Washington of the other three states which is in line with Geneva impressions concerning their respective attitudes. They must still, however, be more formally approached by the League authorities and no invitation will be issued until it is understood that all three will accept.
4.
These preliminary conversations will be limited to the four states mentioned (a) inasmuch as the European exporting states have already made considerable progress in this respect in previous meetings and (b) because the Danubian states declared in the meeting held by the Institute of Agriculture at Rome on April 7 and 8 for the purpose of instructing the Institute’s delegate to the Monetary and Economic Conference that it was distinctly felt that the “next move” in the matter of wheat was up to the overseas exporting states.
5.
The problem of the European importing states not decreasing their imports is fully recognized. It is, therefore, contemplated that if the preliminary conversations among the four overseas states achieve the results that are hoped for there will follow as soon as possible thereafter a conference or conversations between all important importing and exporting states for the purpose of formulating proposals to be presented to the Monetary and Economic Conference. The scope of this second meeting and the states invited thereto will be largely determined by the conclusions of the meeting of the experts with the assistance of the Economic Section of the League.
6.
In view of informal information just received from Paris that London envisages the convening of the Monetary and Economic Conference on June 12 it is felt that the meeting of the four experts should take place at an early date, such date if possible to be before the convening of the Economic Committee on May 15, in order that the Committee of Four may report to the Economic Committee and also to afford time for the second meeting mentioned above.
7.
The date of the meeting of the four experts is tentatively set for May 10. The other three states will immediately be approached on the basis of that date and I beg to be instructed if that date is agreeable to the United States.
8.
As the American expert will be invited in his personal capacity it would also be convenient could I inform the Secretariat whom it is desired to have invited.
9.
The League can not pay the expenses of the experts primarily because it is lacking in funds for that purpose and also because it envisages this meeting as preparatory to the Monetary and Economic Conference.
10.
Note has been taken of the suggestion that the experts be invited to visit Washington en route to the conversations. It is believed [Page 791] that the Australian and Argentina experts will be officials already in Europe and this together with the shortness of the time would seem to render such a visit impracticable. In any event this matter must await developments.

Gilbert