811.20 Defense (M)/2052½: Telegram
The Minister in Egypt ( Kirk ) to the Secretary of State
[Received May 4—9:53 a.m.]
390. Local importers are being advised by their American suppliers that shipping space to Egypt is at present unobtainable and therefore [Page 303] future orders will not be executed unless accompanied by letter of credit calling for payment against railway bill of lading or warehouse receipt New York. As Egyptian exchange regulations do not permit banks to issue letters of credit payable on this basis commercial shipments from the United States to Egypt threatened with complete stoppage. If American vessels with space for commercial cargo were available this difficulty would disappear. Would appreciate information on existing shipping situation as importers here greatly perturbed. Inform Commerce.