The Secretary of State to the Chargé in Cuba (Briggs)

No. 1394

The Secretary of State refers to the Chargé d’Affaires’ various despatches and telegrams, particularly despatches 3638 and 3639 of March 10 and 11, 1942,86 and telegrams 102 and 127 of March 4 and 14, with respect to the problems involved in reducing the invert molasses production to 700,000 Spanish long tons sugar equivalent and to the cost of carrying sugar in Cuba, which is not being shipped as contemplated under the sugar purchase contract.

For the purposes of the record there is enclosed a copy of the agreement87 reached between Dr. Amadeo López Castro as representative of the Institute and the Defense Supplies Corporation. There is also enclosed copy of the final agreement88 as approved, it is understood, by the Institute and accepted by the Defense Supplies Corporation which will be given effect by Cuban Government decree.

The Department is sending the various Embassy despatches and telegrams to file on the understanding that the matters raised in the foregoing connection have been satisfactorily disposed of.

  1. Despatch No. 3639, March 10, not printed.
  2. Not printed.
  3. Not printed; it provided that the Institute act to limit to 700,000 long tons the sugar produced in the form of invert molasses. The Defense Supplies Corporation, in its turn, was to accept molasses as soon as stored and make payment, expedite the shipment of sugar, and make settlement according to certain specified provisions pertaining to the refinery locations, transshipment, and loss of weight. The Corporation agreed further to provide financing of all warehoused raw sugar of the 1942 crop up to 90 percent of the value of the sugar.