638.5131/32: Telegram

The Minister in Haiti (Armour) to the Secretary of State

119. Reference to Department’s telegram No. 79, November 2, 5 p.m., the following information has been obtained from Pixley: [Page 335]

Using the present exchange rates it is estimated that the operation of the French plan would have reduced last year’s revenues by 200,000 gourdes. Further decline in the gold value of the dollar will increase the reduction and might also induce larger shipments from gold countries thus accelerating the loss. Uncertainties are too great to permit an estimate of the probable loss of revenue under the plan.
In the conference the French Minister made no reference to last year’s coffee quota. His threats were indefinite, although he specifically mentioned withdrawal of most-favored-nation treatment of Haitian coffee. As stated in the last paragraph of the Legation’s telegram No. 115, of November 1, noon, Pixley believes that this is a strictly local matter at present. No compensation was offered by the French for acceptance of the plan.