611.2531/357a: Telegram
The Secretary of State to the Ambassador in Chile ( Bowers )
122. 1. In case you have not received instructions 2 and 3 of September 1514 referred to in the Department’s telegram 118 of September 13, agreement was reached with Gazitua on all important general provision questions except exchange control, which was left open for discussion during the negotiations on the understanding that the Chileans would be requested again to accept the “standard” article. (It is understood Gazitua has sent text to Santiago),15 If in the then existing circumstances it were still unacceptable, it would nevertheless be written into the agreement with a protocol suspending during continuance of special circumstances those parts with which the Chileans could not comply. Thus far Gazitua has received no indication that his Government has approved the foregoing as a basis for announcement of negotiations.
2. Approval was given today to the list of Chilean products to be published in connection with the announcement. Gazitua is now cabling the list to Santiago for approval. The list, while not indicative of the concessions to be granted, covers more than 95 percent of imports from Chile and it is not believed the trade-agreements organization would approve additional items. As you know, consideration with respect to the possible granting of concessions will be limited to the items in that list in the absence of later additional public announcement and hearings. The list approved today covers all items requested for inclusion by Gazitúa except one or two unimportant products.
[Page 412]3. As it is greatly desired that Chilean negotiations be announced during the Panama conference preferably September 25, it is hoped that the Chilean Government will approve within the next three days the general basis and list mentioned above. You should therefore keep in close touch with the appropriate officials in an endeavor to expedite consideration and approval.