The Secretary of State to the Netherlands Ambassador ( Loudon )

The Secretary of State presents his compliments to His Excellency the Ambassador of the Royal Netherlands Government and has the honor to acknowledge the receipt of the Embassy’s note dated October 23, 19428 relative to post-war relief. The Department of State is gratified to receive the word contained in the note of the Royal Netherlands Government that the Ambassador agrees in principle to the interim procedure outlined in the note of the Secretary of State dated August 20, 1942,9 and recognizes that this procedure was adopted for the purpose of enabling the Royal Netherlands Government to proceed with its purchasing plans and to prevent these plans from conflicting with the United Nations’ procurement of materials necessary to the common war effort.

The Department notes that the Economic, Financial, and Shipping Mission of the Kingdom of the Netherlands will act as the agent of the Royal Netherlands Government in all matters pertaining to postwar stockpile purchases.

The Department points out to the Royal Netherlands Government that it has set up the machinery which will enable any contemplated purchase for post-war stockpile purposes to be adequately and promptly considered. It is contemplated that all applications for the purchase of materials and commodities of any kind will be submitted to the Combined Raw Materials Board and the Combined Food Board in order that these Boards may pass on the eligibility of the commodities and goods covered by the application for purchase for post-war stockpile purposes.

The Department of State assures the Royal Netherlands Government that the Government of the United States does not presently contemplate any action which will be destructive of stockpiles which have been accumulated in pursuance with the Royal Netherlands Government’s four-months’ relief program. However, the Department points out that the proper prosecution of the war efforts of the United Nations may require withdrawals from stockpiles created by the Royal Netherlands Government. If withdrawals from the stockpiles of the Royal Netherlands Government are required the Royal Netherlands Government will of course be compensated therefor on an equitable basis.

The Royal Netherlands Government has the assurances of this Department that withdrawals will not be resorted to unless such withdrawals are either directly or indirectly in the interest of the war effort of the United Nations.