Memorandum by the Acting Secretary of State

The Brazilian Ambassador called to say that his Government was glad to respond to the suggestion of conversations looking to a possible reciprocal trade agreement between the United States and Brazil; he did not think that his Government would send any experts to Washington for these conversations; he would like, however, to have a [Page 15] statement from me, preferably in the form of a personal letter, which could be a basis for these conversations.

I explained again that I could not very well put in writing at the present time any possible exchange of commodities because this was a subject which would naturally come up for discussion; I would, however, be glad to write him a letter to the effect that the conversations were merely exploratory, with a view to ascertaining whether formal negotiations could be wisely undertaken by the two Governments.

William Phillips