710.Dev.Com./36

The Executive Secretary of the Inter-American Development Commission ( McClintock ) to the Secretary of State

Attention: Mr. Laurence Duggan, Chief
Division of American Republics

My Dear Mr. Duggan: The Inter-American Development Commission at its meeting on June 26 formally authorized me to undertake the necessary steps for the establishment of advisory committees to the Inter-American Development Commission in the various countries of Latin America affected by the work of the Commission. Under authority of resolution 13 of the Inter-American Financial and Economic Advisory Commission, which resolution created the Inter-American Development Commission, it is mandatory that advisory sub-committees be established in each of the twenty-one American republics. The Commission has thought it best initially to set about the establishment of such sub-committees in only the Latin American republics directly affected by the two initial projects under development by the Commission.

In the motion authorizing the Executive Secretary of the Commission to carry out the necessary arrangements to achieve this end, it is stated that the advisory committee shall be made up of five-man bodies, with the recommendation that two members be representatives of the local Latin American government and of the United States diplomatic mission in the respective country concerned, and that the other three members be local business men, to be chosen through the joint action of the United States diplomatic representatives and the government of the interested Latin American republic.

The work of the Inter-American Development Commission, involving its two initial projects—one the mandioca project in Brazil and the other the retail goods project in Central and South America, will initially involve the following countries: Brazil, Argentina, Chile, Peru, Guatemala, and Mexico. It is our thought that the advisory sub-committee first to be established should be in Brazil, as the mandioca project is now under way in that country and, furthermore, the technical committee of the retail goods project, which will leave New York around September 15, will call at Brazil as the first country on its itinerary.

I am approaching the Brazilian Ambassador in Washington requesting that he ask his Government to designate a representative to sit on the advisory sub-committee, and the Commission would appreciate your passing on word to the American Ambassador in Rio de Janeiro asking that he designate one of his staff to serve in a similar [Page 377] capacity. While the Commission believes it best to leave to the judgment of yourself and the chief of mission in whatever country is concerned the choice of the American representative for the subcommittee, it is the Commission’s recommendation that in the case of Brazil, Mr. Walter J. Donnelly, American Commercial Attaché, be designated to sit on the committee, if this is consistent.

The Commission would further appreciate your instructing the American Ambassador in Rio to collaborate with the appropriate officer of the Brazilian Government so that the three other members of the committee may be chosen as expeditiously as possible. The Commission has in mind that the three business members should represent, as far as possible, business, industry, and agriculture, if outstanding men can be secured to act in such capacity from these three categories.

The Commission wishes to emphasize that the members of the subcommittee to be chosen should be active and outstanding men in their respective fields, as the work of the Commission will very largely depend, within the Latin American countries themselves, on the effectiveness of the sub-committee representing it.

It will be appreciated if airmail could be used in handling these transactions, as it is important that the Brazilian sub-committee be established at once. As soon as word is received from the American Embassy in Rio as to the membership of the committee, we would appreciate your advices so that the Commission might formally recognize the sub-committee and commence direct negotiations with it.

Sincerely yours,

John C. McClintock