611.3131/206: Telegram

The Minister in Venezuela ( Gonzalez ) to the Secretary of State

54. From Daniels. Department’s telegram No. 36, June 22, 3 p.m., paragraph 7. In the opinion of Dr. Uslar Pietri and that of the Minister of Foreign Affairs, the general provisions of the proposed trade agreement could be negotiated very rapidly, probably within 2 or 3 weeks. I concur (see my despatch No. 5 of May 2521).

With respect to the schedules a longer period of time would necessarily elapse. After the presentation to the Venezuelan Government of our proposals for specific tariff reductions to be made in schedule 1 the procedure would be as follows:

(1)
Ministry of Hacienda would study each article on which tariff reductions are requested;
(2)
This list would then be forwarded with attached memoranda to Interdepartmental Committees [on?] Tariff Bates for study and discussion;
(3)
Committee on Tariff Rates forwards its recommendations to the Cabinet for approval;
(4)
List as revised returned to negotiators;
(5)
Further discussion and agreement, if possible.

Dr. Uslar Pietri (who represents Ministry Foreign Affairs on the Committee on Tariff Rates) states that by exerting pressure it would be possible for the negotiation of the schedules to be condensed within 1 month following formal presentation of our schedule 1 requests. Dr. Tello, the official primarily concerned in the Ministry of Hacienda, inclines to the view that it would probably require 2 months, pointing out the controversial nature of certain agricultural items.

Without knowing precisely the extent to which controversy may arise locally after presentation of a schedule 1 request list it is of course impossible to predict with assurance the probable time required for negotiation. Bearing this in mind I incline to the opinion that the probable duration of negotiations following presentation of our request for specific tariff reductions would be closer to two months than one.

Although it will be seen from the foregoing that it would be difficult to conclude the negotiations early in September, I believe that conditions here for the conclusion of a satisfactory trade agreement with Venezuela are as favorable now as they are apt to be for some time yet to come. [Daniels.]

Gonzalez
  1. Not printed.