611.1431/123: Telegram
The Secretary of State to the Chargé in Guatemala (O’Donoghue)
Washington, August 22, 1935—7
p.m.
25. With reference to your despatch No. 729 of August 10. Schedule I.
- 1.
- If the Guatemalan Government is definitely unable to grant any concessions on unspecified fish (211–4–04–01), shrimp and oysters (211–4–04–04), corn starch (212–3–02–02), unspecified fresh fruits (212–5–01–01) and unspecified canned fruits (214–1–01–01), the Department prefers that these items be removed from Schedule I, considering the duty rates to which they are now subject too high to bind.
- 2.
- Please urge the Guatemalan Government to reconsider its refusal to reduce the duty on wheat flour, pointing out the great importance of this commodity in our trade with Guatemala and the very favorable effect a concession would have in this country. Any reduction at all would be of inestimable importance. In the event no concession is possible, we will accept the binding of the present rate.
- 3.
- Endeavor to have fresh apples made dutiable at the rate of 3 centimos per gross kilo together with grapes under numeral 212–5–01–02 and to obtain a 50 per cent reduction of the present duty on raisins and prunes included under numeral 212–5–02–01.
- 4.
- It is understood here that there is considerable smuggling of tobacco from Honduras into Guatemala. If this be the case, we suggest that you make a final effort to obtain a reduction on leaf tobacco as originally requested, pointing out that this might have a favorable effect on customs revenues by reducing smuggling. If unsuccessful, accept binding of the present rate.
- 5.
- Endeavor to obtain a 25 per cent reduction on 493–2–03–02 and a 50 per cent reduction on 493–2–03–03 when the vehicles are provided with pneumatic tires. The latter proviso is inserted to meet the Guatemalan objection that heavy vehicles may damage their roads. If no concession is obtainable, accept binding of 493–2–03–01 and 493–2–03–02 only, since the duties on the following two numerals are excessive.
- 6.
- For your confidential information, the Department does not attach great importance to the bindings offered on cotton yarns and piece goods, since in some cases we are not chief supplier of these articles and in others the present duty rates are high. We suggest therefore that you bear in mind the possibility of trading these bindings for the concessions indicated above in this telegram. If no bargaining power is to be gained by this procedure, we will accept the bindings as offered.
- 7.
- We believe that the counter suggestions indicated above are reasonable. While we will accept Schedule I in the last resort as [Page 607] submitted by Guatemala, we hope that the Guatemalan Government can see its way clear to meeting these further requests, considering the importance of the commitments we are prepared to make in return on Schedule II and the extent to which we have already modified our original requests on Schedule I.
- 8.
- Schedule II treated in separate telegram.14a
Hull
- Supra.↩