Memorandum by Mr. Paul C. Daniels of the Division of the American Republics to the Under Secretary of State (Welles)

Mr. Welles: This afternoon there is to be another meeting of the Coffee Subcommittee at the Pan American Union. Judging by the [Page 397] experience of the past two or three weeks it is very doubtful that this meeting will produce any results in the direction of unanimous agreement on coffee quotas.

Ambassador Turbay13 has told Mr. Duggan in strict confidence that Brazil and Colombia would be prepared to give up 100,000 bags jointly from their quotas as fixed at New York if this could bring about a general agreement. So far as I know, no confirmation of this confidential offer has been received from Brazilian sources. If this report is true, I believe it would be very helpful in reaching a solution provided it is not disclosed prematurely.

If, as is anticipated, the meeting this afternoon produces no agreement, you may wish to consider the possibility of presenting a quota plan which in the opinion of this Government would be fair and equitable. Many of the delegates would, I believe, welcome an expression of our views in this sense. If you so desire, I shall submit to you prior to next Thursday a new list of quotas based on the collective judgment of the officials of this Government who have been studying the problem most closely.

  1. Gabriel Turbay, Colombian Ambassador.