868.48/3213

The Department of State to the British Embassy

Memorandum Regarding Greek Relief Shipments on Swedish Vessels

1. The initiative on this proposal having been taken in London by the British and Greek Governments, which have apparently agreed between themselves, with the assent of the Canadian Government, with regard to the financial arrangements for the chartering of the Swedish vessels and the supply of Canadian wheat, the United States Government is prepared in general to be guided by the recommendations of the British Government regarding the supplies to be sent to Greece under the Swedish plan and the arrangements regarding their distribution in Greece. Consideration has been given in this matter also to the primary role of British agencies in the operation of the continental blockade.

2. This Government has received reports from its own agents in a position to be in close touch with the situation which satisfy it regarding the integrity and trustworthiness of the committees set up by the International Red Cross Committee, under Dr. Junod and Mr. Brunei, to distribute the foodstuffs heretofore sent to Greece under United Nations’ auspices. However, this Government is in agreement with the British Government that it would be desirable to place as much responsibility as possible for the distribution of larger quantities of supplies to be shipped under the “Swedish” plan upon the Swedish representatives, especially in view of the fact that the Swedish Government has undertaken the negotiations with the Axis Governments and has received from them assurances with respect to the conditions governing the distribution of these relief supplies and of Greek native produce in the interests of the Greek people.

3. The British and American Governments have both agreed in principle to permitting shipments of medical supplies on the Swedish vessels, subject to their approval of the specific types and quantities involved.

The American Red Cross plans to send $35,000 worth of such supplies to Montreal for loading on the first three Swedish vessels. The Red Cross is applying to the Board of Economic Warfare at Washington for an export permit. In view of the close collaboration between the Board of Economic Warfare and representatives of the British Ministry of Economic Warfare, it is assumed that this will ensure both American and British examination and approval of the specific items to be shipped.

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The Department has learned informally that the Canadian Red Cross is likewise planning to send certain medical supplies on these vessels. It will of course apply for an export permit to the appropriate Canadian authorities, who will presumably clear with the American and British Governments before approving.

4. The British Government having indicated that it considers the furnishing of motor vehicles and fuels therefor as necessary to enable the Control Commission properly to carry out its functions, the Greek War Relief Association is endeavoring to procure for shipment on the first vessels the supplies requested by the Swedish Foreign Office.

5. In response to a request of the Greek War Relief Association, the British Government agreed exceptionally to permit the forwarding to Greece, with a shipment of breadstuffs, of a small quantity (not exceeding 50 tons) of milk, on condition that it be distributed by the Swedish-Swiss Control Commission to Greek children, and on the understanding that publicity regarding this shipment would be subordinated. This approval has been communicated to the Association, with the support of this Government.

6. Reports have reached this Department indicating that the German forces in Greece have withheld and are still withholding large stores of native olive oil in the country, while the Greek population suffers particularly from lack of fats. The International Red Cross Committee, despite persistent efforts, has been unable to secure the release of even 400 tons of oil per month necessary for the operation of the Athens soup kitchens.

Shortly after the “Swedish” plan gets into operation the American and British Governments might well call this situation forcibly to the attention of the Swedish Government, making it clear that they expect the release of presently blockaded stocks of Greek olive oil and the reservation of future production for consumption by the Greek people, except insofar as there may be a genuine export surplus compensated for with foodstuffs imported from Axis sources in conformity with the terms of condition no. 4 of the scheme.