611.2231/232: Telegram
The Minister in Ecuador (Long) to the Secretary of State
[Received 6 p.m.]
47. Department’s instruction No. 301, April 15. In conference with Banda yesterday he thought it might be possible to conclude a trade agreement with unconditional most-favored-nation and 6 months denunciation clauses, provided that his Government could make a unilateral declaration in an entirely separate note to the effect that should the balance of trade become unfavorable to Ecuador this would be considered one of the causes for denouncing the agreement. [Page 514] In spite of all our efforts to the contrary, Banda asserts that such a statement would be absolutely essential to satisfy the National Economic Council and other members of the Government because other trade agreements are conditional as well as foreign countries having conditional agreement with Ecuador.