611.0031 Executive Committee/57
The Assistant Secretary of State ( Sayre ) to the Administrator of the Agricultural Adjustment Administration ( Peek )
My Dear Mr. Peek: In accordance with your request I beg to send you herewith a statement concerning the two Committees named in your letter of December 15.
(1) Executive Committee on Commercial Policy.
Under authority of the President this Committee was organized “for the purpose of coordinating the commercial policy of this Government with a view to centralizing in the hands of one agency supervision of all Government action affecting our import and export trade”. The composition of the Committee is as follows:
- Department of State:
Francis B. Sayre, Chairman. - Treasury Department:
Mr. Walter J. Cummings. - Department of Commerce:
Assistant Secretary John Dickinson.
Dr. Willard L. Thorp. - Department of Agriculture:
Assistant Secretary Rexford G. Tugwell. - Agricultural Adjustment Administration:
General William I. Westervelt. - National Recovery Administration:
Mr. Oscar B. Ryder. - United States Tariff Commission:
Chairman Robert L. O’Brien.
Commissioner Thomas Walker Page.
The functions of the Committee are, as I see it, twofold:
- (1)
- To consider concrete problems of commercial policy which arise in the various Departments in connection with particular cases and to determine what course to follow. For instance, the question of bargaining for wine and liquor quotas during the temporary four months’ period has arisen for frequent consideration during the meetings of the Committee. Mr. Ray Miller20 has reported and asked for guidance by the Committee in determining the policy to be followed and the nature of the bargains to be made with the various countries concerned. Similarly, questions of underlying policy concerning the negotiation of reciprocal bargaining treaties, questions of financing American exports, questions of tariff adjustment, et cetera, are discussed and in so far as possible settled by the Committee. I am inclosing herewith copies of the minutes of the Committee’s meetings.21
- (2)
- A second and more important function of the Committee, which was organized “for the purpose of coordinating the commercial policy of this Government”, is to think through and formulate fundamental principles and an integrated comprehensive plan resulting therefrom to guide the economic and commercial policy of the Government exercised through its various Departments. There is a danger that each separate Department of the Government, determining problems of policy from its own viewpoint, will follow divergent and often conflicting courses unless some unifying and integrated comprehensive plan of economic and commercial policy is agreed upon and established. The Committee has been engaged in this all important work and a subcommittee on policy planning has now submitted its report. The Committee expects to submit to the President shortly a statement setting forth its recommendations concerning the putting into effect of a comprehensive plan of commercial policy for consideration and action by the President.
The existing flexibility of the present Committee and the smallness of its membership seem to me highly desirable. Additional officials from the various Government Departments can be brought in from time to time as problems of particular importance to such Departments are discussed; and the smallness of the membership makes possible a speedier concurrence of minds and resulting decision and action than could be possible in a larger group.
The Committee is meeting regularly twice a week and thus far has been functioning smoothly and well.
(2) Inter-Departmental Advisory Board on Reciprocity Treaties.
The Inter-Departmental Advisory Board on Reciprocity Treaties consists of representatives of the State Department, the Department of Commerce, the Tariff Commission, the Department of Agriculture and the Treasury Department. The National Recovery Administration designated an employee to cooperate with the Board, but did not specifically designate a representative on the Board.
Mr. Charles M. Barnes, Chief of the Treaty Division of the Department of State, is Chairman of the Inter-Departmental Advisory Board.
The Inter-Departmental Board has been divided into two committees: one to assemble data relating to the countries of Latin America with which it is proposed to negotiate (Argentina, Brazil, Colombia, Cuba), called the Latin American Committee: the other to assemble data with respect to the countries of Europe with which it is proposed to negotiate (Portugal and Sweden), called the European Committee. Another committee called the Statistical Committee, consisting of representatives of the Department of State, the Department of Commerce, the Tariff Commission and the Department of Agriculture, has been appointed for the purpose of correlating the statistical work and avoiding duplication in the statistical work which is done by the several Departments.
[Page 933]The Board serves in an advisory capacity only. It makes recommendations which are submitted through the Chairman to the Secretary of State or an Assistant Secretary of State for decision.
The work of the Board and its committees is to prepare (a) lists of products on which concessions should be asked of each country with which negotiations are to be undertaken; (b) lists of concessions to be offered by the United States to such countries. This work involves a detailed statistical analysis of the trade of each country and a detailed analysis of their tariffs and other restrictions as they affect products of interest to the United States. Basic statistical data used as a basis of discussion by committees of the Board are prepared in the Department of Commerce as are also the data regarding foreign tariffs and trade restrictions. Data regarding the lists of products on which concessions might be offered by the United States are prepared in the Tariff Commission. The Treasury Department furnishes advice regarding questions of classification and other provisions of the American tariff law and regulations which need to be considered. The Department of Agriculture furnishes information and advice regarding American trade in agricultural products.
After the committee of the Board has considered these data its conclusions are submitted to the Board for approval. A draft agreement embodying these conclusions is then drawn up in the Treaty Division and submitted to the Secretary of State or an Assistant Secretary of State, and if approved by him, is submitted to the foreign Government concerned as a basis for negotiations.
Up to the present, studies or negotiations have been begun with six countries—Argentina, Brazil, Colombia, Cuba, Portugal and Sweden. The negotiations with Colombia have been completed and the reciprocity agreement was signed by the Acting Secretary of State and the Minister of Colombia on December 15, 1933. Negotiations have been begun with Brazil and Portugal. The studies preparatory to negotiations with the other three countries have been advanced to different steps of completion.
The work of the committees, particularly the frequent association at committee meetings of experts of the different Departments and exchange of views and discussions among them, has resulted in a great improvement in the technique of assembling in one place the different kind of data and knowledge in regard to foreign trade in the several Departments.
Very truly yours,