The Department of State to the Brazilian Embassy
In view of the enactment of a new Brazilian tariff,9 which it is understood is to be effective from September 1, 1934, it will be necessary for this Government to prepare a redraft of the schedules submitted with the memorandum handed to the Brazilian delegation on October 30, 1933.10 It will be recalled that one of these schedules lists the products on which reductions in Brazilian duties are desired by the United States, and the other those which it is desired shall continue to receive in Brazil treatment as favorable as that now enjoyed. It is also thought that certain changes will probably be necessary in the text of the reciprocal trade agreement, a draft of which was also handed to the Brazilian delegation on October 30, 1933.11
It will be recalled that the memorandum referred to above contained the statement that the Government of the United States reserved, of course, the right to make such changes in the draft agreement and the [Page 546] appended schedules as might seem appropriate at any time during the discussions which were then in progress.
An inter-Departmental committee, composed of representatives of the Departments interested, has been set up to carry on discussions with the representatives of Brazil, and this committee will be pleased to receive at any time such proposals as the Brazilian Government may deem it expedient to lay before this Government and to discuss any question in relation to the proposed trade agreement.
This Government is gratified to hear that Ambassador Aranha is expected to sail shortly for the United States, and hopes that he will be armed with full powers to negotiate an agreement of mutual benefit to the two countries.