724.34119/144: Telegram

The Ambassador in Argentina (Weddell) to the Secretary of State

194. From Dawson.

1.
Before Saavedra’s departure on his vacation he asked the group which dealt with the prisoners of war question to use the period of his absence in sounding out the Bolivians and the Paraguayans on the fundamental territorial problem so that the Conference might be ready to proceed on his return. Consequently Rodrigues Alves, Podestá Costa, Nieto del Rio and I have held a number of conferences on the subject with the chairmen of the Bolivian and Paraguayan delegations since August 29. In these we have succeeded in getting them to recede somewhat from their extreme positions and it now seems in the realm of possibility that a solution can be found. The situation is now sufficiently defined to submit a summary although it is, of course, subject to change without notice through the vagaries of those with whom we are dealing.
2.
Zubizarreta82 now expresses willingness to consider agreeing on a boundary line which would start from the Otuquis River north of Glacier [Bahia?] Negra, leaving the latter to Paraguay, and run to the upper Pilcomayo. This would give Bolivia only a few miles of useless swamp land along the Paraguay River between the Brazilian boundary and the Otuquis but it is at least a hopeful break in the previous Paraguayan insistence that Bolivia should not have a foot of land on the Paraguay River.
3.
At the same time Zubizarreta states that Paraguay would be ready to give Bolivia the fullest free port and transit facilities farther south including the use of a contemplated railroad to the international boundary between the two. The Argentines and Brazilians [Page 132] have from the first clearly indicated that they would extend similar facilities to Bolivia.
4.
Furthermore Zubizarreta has assured us that if an agreement on the territorial problem is reached the prisoners will be immediately returned and has intimated that Paraguay would also be prepared to agree that the question of responsibility and repatriation be dropped.
5.
Zubizarreta has been adamant in insisting that Bahia Negra and everything south thereof must remain in Paraguayan possession. He not only refuses to consider giving Bolivia any land in that region but the creation of an international zone or any form of territorial arbitration covering that section even by special American tribunal.
6.
While Elío on the other hand has held out for a boundary line from about Fuerte Olimpo to the upper Pilcomayo, he has indicated that he would be willing to concede Paraguayan sovereignty over territory to the south of that line if an arbitral zone were established east of meridian 59 degrees west of Greenwich and between the latitudes of Fort Olimpo and Bahia Negra and if Bolivian sovereignty over the remainder of the disputed territory were accepted.
7.
In other words at the present stage of negotiations the territorial differences appear to be reduced to a 55-mile zone along the Paraguay River which Paraguay insists on retaining but Bolivia seems ready to submit to arbitration.
8.
While the mediatory group recognizes the extreme difficulty of reconciling these two points of view we hope that continued negotiations may be successful. We are concentrating on trying to break down Paraguayan resistance. If Paraguay would let Bolivia have clear title to Bahia Negra and a few miles to the south, getting in return a larger zone in the interior, or agree to arbitration over a limited zone say from Puerto Leda to Bahia Negra it is probable that Elío would eventually accept. If no progress can be made here Rodrigues Alves and Podestá Costa, who have excellent personal relations with President Ayala and express confidence in his reasonableness, are prepared to go to Asunción in an endeavor to secure his acquiescence in some such arrangement.
9.
At the same time we have been trying to impress on the Bolivians that their aspirations for a port on the Paraguay River would be met by the few miles north of Bahia Negra but the uselessness of the land for port construction is too obvious to hope for much success from this.
10.
The most optimistic development is that both the Bolivians and Paraguayans express the desire to have the territorial question settled by the end of September when the Conference would normally under article 3 of the June 12 Protocol declare the war terminated. While both still want the solution to be in accord with their stands there is less variance between these than before.
11.
The mediators also are anxious for accomplishment and seem disposed to abandon the vacillating course previously pursued and to press for agreement. Before leaving on his vacation Saavedra Lamas had ceased talking of prolonging the Conference indefinitely and appeared to realize that his personal prestige is involved in getting something done as quickly as possible.
12.
The Bolivians and Paraguayans have both expressed gratification at the continuance of the informal method of negotiation begun by Ambassador Gibson in the prisoners of war discussions and appear to have confidence in the group which works as a unit and in complete accord. It is, of course, unfortunate that the other neutrals representing Peru and Uruguay have not been taking an active part as some resentment may be aroused. …
13.
The senior Uruguayan delegate Manini Rios would probably be a help in the negotiations if he were present but his political position at home seems to require his presence and the opening of the Uruguayan Congress will hardly make it easier for him to take a part. Rodrigues Alves is contemplating sending the second Brazilian delegate Luzpinto to Montevideo to inform Manini of the course of development and request his presence and cooperation.
14.
Podestá Costa is keeping Saavedra Lamas who is due back in a week advised of the efforts of the group.

Repeated to the Embassy at Rio de Janeiro. [Dawson.]

Weddell
  1. Gerónimo Zubizarreta, chairman of the Paraguayan delegation.