611.60F8/12: Telegram
The Chargé in Czechoslovakia (Chapin) to the Secretary of State
[Received September 9—9:38 a.m.]
51. Department’s 30, August 17, 5 p.m. Note received last evening from Foreign Office indicates that date of decision reached to abolish issuance of certificates by Cabinet was on June 24, notice of which was communicated to the Legation in a note June 28. Present note states,
“Appropriate steps have been taken for the certificates issued after the said 24th of June, 1937, not to be applied in connection with the exportation of malt to the United States. The exportation of grain from Czechoslovakia to the United States does not come into consideration.”
After pointing out that this Government cannot safely assure that barley or malt will not be reexported to the United States and that therefore no effective steps can be taken to preclude issuance of certificates, Foreign Office note states further as follows:
“Reexports would hardly be possible in view of the fact that the production and export of malt in Czechoslovakia are governed by a syndicate; according to the rules of this syndicate malt and barley must be sold to direct customers only, that is malt only to breweries and barley only to malt factories or breweries. The syndicate rules prohibit strictly any reexport of barley or malt.”
Full text by mail.