761.742/1: Telegram

The Chargé in Bulgaria (Millard) to the Secretary of State

1. Minister of Commerce78 returned today from Moscow where he signed on January 5th a treaty of commerce and navigation effective at latest one month from signature, valid for three years, and a clearing agreement for one year. He stated on arrival in Sofia that the latter provides for trade during 1940 valued at 920,000,000 leva gross (approximately $9,000,000) Bulgaria to import from Russia petroleum products, iron, steel, copper, sulphate, cellulose, and salt in exchange for tobacco, rose oil, hogs, skins, rice, and seeds. In addition Bulgaria will receive 10,000,000 kilograms of cotton goods for spinning and returning to Russia.

The announcement has been most favorably received in Sofia. It is realized here that while the economic advantages expected to result from the agreements will be very valuable to Bulgaria they are essentially friendly political gestures on Russia’s part.

Repeated to Moscow.

Millard
  1. Slavcho Zagorov.