835.5151/674: Telegram

The Chargé in Argentina ( Wilson ) to the Secretary of State

67. My 58, April 28, noon.32 A personal letter which I addressed to the Minister of Finance last week requesting an interview remains unanswered. It appears obvious to me that both he and Louro, head of the Exchange Control Board, are intentionally delaying and wish to avoid discussing the question of removing exchange discrimination either entirely or partially. A few days ago Louro told Ravn-dal33 that the Department’s note had remained unanswered due not only to incomplete statistics for 1936 (see my telegram 45, April 2, 5 p.m.) [but] also to the desirability of waiting for the prospects for creation of official marginal exchange during 1937.

I believe that the Argentine authorities are attempting in this manner to force us to negotiate this subject with them as a part of the contemplated trade agreement and that the only way now to secure better exchange treatment would be to inform Saavedra Lamas and the Finance Minister and interested officials of the Foreign [Page 241] Office and the Ministry of Finance that a removal of exchange discrimination would secure much needed support in the United States in any negotiations toward a trade agreement and that a continuance of the present exchange treatment would seriously hamper such negotiations.

At the time that I convey the foregoing to Saavedra Lamas verbally and also possibly by note, similar information given by the Department to Espil34 might have salutary effect.

Instructions requested.

Wilson
  1. Not printed.
  2. Christian M. Ravndal, Consul at Buenos Aires.
  3. Felipe A. Espil, Argentine Ambassador in the United States.