891.24/182: Telegram
The Minister in Iran (Dreyfus) to the Secretary of State
Tehran, April
23, 1942—3 p.m.
[Received April 23—1:21 p.m.]
[Received April 23—1:21 p.m.]
119. My 118, April 22, 5 p.m.5 Discussions with the British Legation and Jackson, head of MESC,6 have elicited following:
- (1)
- Hitherto there has been no centralized British agency for dealing with Iranian economic needs. The UKCC,7 the British Commercial Counselor, and an Anglo-Iranian shipping committee have all in varying degrees recommended pressing needs, supplied commodities, or assisted in obtaining shipping space for exports and imports.
- (2)
- Jackson proposes that a central supply committee be formed in Tehran to handle all matters of economic aid to Iran, the committee to be composed of one representative from each of the following organizations: Iranian Ministry of Finance, Iranian Ministry of Commerce and Industry, British Legation, American Legation, Imperial Bank, UKCC, MESC and possibly Ministry of Economic Warfare. It is proposed that all requests for economic assistance for Iran be made through this committee. Local merchants or importers will obtain import licenses from Iranian Ministry of Finance or Ministry of Commerce and Industry which will forward them to the committee. These Ministries will likewise put forward the requests of their Government. The committee will decide which commodities should not be supplied and will recommend quantities in case of commodities to be supplied, the American and British Legation delegates to decide on the latter point. The committee will also recommend method of handling requisitions i. e. whether by normal commercial methods in the case of private purchases, by Government purchase in the case of bulk articles such as cereals, sugar and tea, or by Lease-Lend.
- (3)
- The Central Supply Committee will forward all recommendations to MESC which will classify requisitions as to priority in the case of commercial purchases, will arrange through British Ministry of Food for supply of Government purchases and sale by UKCC to Iranian Government, and will forward Lease-Lend requests to Washington. [Page 125] (It is contemplated Lease-Lend will be the exception, to be used only when normal commercial purchases or Government purchases cannot be arranged.) It is proposed in future to eliminate all independent purchases by Iranian Government.
- (4)
- Distribution will be [arranged] as follows: An import license system will be established by Iranian Government for private imports. Government purchases and Lease-Lend material will be delivered only to the Iranian Government. It is proposed that a rationing system be adopted by the latter with the participation of the Supply Committee.
- (5)
- Shipping space will be arranged as follows: Merchants possessing import licenses will forward these through Central Supply Committee to MESC which after according priority will in turn forward them to Ministry of War Transport representative in area from which goods are coming. Government purchases will be handled directly by Ministry of War Transport. Lease-Lend will be shipped through United States Maritime Commission.
- Whereas under the proposed plan, the American
representative would be outnumbered 5 to 1 in relation to
the British, it is believed that a centralized agency to
control economic aid is essential and that the advice of the
Imperial Bank, the UKCC, and the British Ministry of
Economic Warfare might be useful. It is recommended,
therefore, that the proposed plan be accepted with two
alterations:
- (a)
- That the committee be composed of the Ministers of Finance and Commerce and one representative each of the American and British Legations, the other representatives named in paragraph 2 above to serve in advisory capacity only; and
- (b)
- That in case of disagreement between the American and British members as to type and quantity of assistance to be recommended, the disagreement be referred to Washington and London for settlement before being transmitted to MESC at Cairo. This would prevent the British from forwarding their recommendations to MESC through the British representative of the MESC in Tehran over the objections of the American representative.
Dreyfus