611.1231/450
Memorandum of Conversation, by the Assistant Chief of the Division of Commercial Policy and Agreements (Fowler)
| Participants: | Dr. Beteta |
| Mr. Hawkins | |
| Mr. Fowler |
Dr. Beteta came in at 3 o’clock at his request to tell us that he had definitely made up his mind that it would be necessary for him to leave for Mexico City with the remaining members of the trade agreement delegation as soon as transportation could be arranged. He said that this did not in any sense mean the breaking off of negotiations nor even discouragement on his part or on the part of his government concerning the progress of the negotiations. He explained that he had been telling his government almost daily for the past three or four weeks that our offer of a petroleum concession was expected momentarily. In view of the continued delay in getting our proposal on petroleum and various other products he did not feel that he could continue to give such assurances to his government notwithstanding the possibility that we might be able to present a firm offer in regard to petroleum some time next week [Page 514] following our discussion of the matter with Petroleum Coordinator this morning.
He said that he thought it might be helpful to the negotiations rather than otherwise for him to go to Mexico City at this time where he would be able to explain the situation far better than he had been able to do by telegrams and telephone calls. He also thought that his presence in Mexico City would be helpful after the receipt of our full proposals in connection with the concessions we are asking of Mexico. He emphasized again as he has on previous occasions the great difficulty of granting many of our requests on agricultural products and industrial products which are manufactured to some extent in Mexico. He thought it possible, although he could not, of course, guarantee anything, that given satisfactory offers of concessions to Mexico on petroleum and other important items he might be able to persuade his government to come closer to meeting our original requests.
From the way he talked Dr. Beteta appears to be uncertain whether he will continue as head of the Mexican trade agreement delegation. However, he said that if his government decides to leave the negotiations in his hands he would be ready to come back to Washington just as soon as possible after a full proposal from us had been gone over with high officials in Mexico City for the purpose of obtaining new instructions designed to enable agreement to be reached in the shortest possible time.
Mr. Hawkins told Dr. Beteta that we, of course, have appreciated the difficulty of his position during the past three or four weeks and likewise understand his desire to return to Mexico City for a short time. He said further that although the matter was, of course, one for his government to decide he hoped that Dr. Beteta would come back, after discussions in Mexico City on the basis of proposals we hoped to be able to make within a week or ten days, as head of the Mexican delegation. Mr. Hawkins also explained the procedural steps involved in getting the full proposal before the Mexican negotiators; expressed the importance we attach to our Schedule I requests generally, which have been gone over very carefully with a view to making them reasonable in the light of what we hoped to be able to offer to Mexico in return; and pointed out that the present may be the most favorable opportunity we will have to negotiate a comprehensive trade agreement between the two countries of great value to both of them in the postwar period.
On leaving, Dr. Beteta said that he would appreciate it very much if before his departure he could be informed of any further progress in regard to the petroleum concession. He said he understood we could tell him nothing definite as to the concession which might be offered but that even an informal expression of our hopes in that [Page 515] regard would be deeply appreciated and would be very helpful to him when he gets back to Mexico City.