810.24/247b: Circular airgram

The Secretary of State to Certain Diplomatic Representatives in the American Republics 16

The Board of Economic Warfare has requested that the following advice regarding decentralization procedure be transmitted to the Embassy:

“Reference is made to the portions of the material entitled ‘Details of Plan A’17 dealing with the non-importable or non-licensable lists, particularly item H on page 4 of ‘Detail of Operation,’ pages 2 of ‘Statement for Special Missions on Cargo Backlog Problem,’ and the entire page on ‘Licensable Material.’

“Under Decentralization Plan A it was, of course, realized in Washington as it no doubt was in your country, that given the conditions prevailing at the time the plan was presented, emergency measures were necessary in order to assure the export licensing of essential materials for the respective countries of destination and to make the best possible use of the limited shipping space then available. Further, sizeable backlogs of merchandise were apparent for most countries.

“The non-importable lists were proposed as an interim procedure until the flow of Import Recommendations afforded a mechanism for indicating the opinion of the Country Agency as to essentiality; and the issuance of materials on such lists was designed to permit essential cargo from the backlog to be moved within the shipping availabilities. It is believed that both of these conditions have now been satisfied, particularly in view of the fact that the backlog has been substantially reduced as a result of liftings in March and April.

[Page 117]

“The Country Agency is now in a position to select the order in which materials will be imported, based upon the essentiality of the material. Since license applications for non-essential commodities will be approved by the Board of Economic Warfare when Plan is fully operative only if accompanied by Import Recommendations, as long as Plan A applies to all commodities, the cancellation of the non-importable lists will not result in licensing of non-essential materials.

“If the country to which you are accredited contemplates issuing an importable, non-importable or non-essential list at a later date please bring to their attention the changed conditions explained herein calling to their attention that the need for such a list is now past, and in the meantime, please take the necessary steps to eliminate from ‘Decentralization Plan A’ the last sentence of point number 2 which reads:

‘The Country Agency will, as soon as practicable, announce a list of articles and materials which are importable.’

“Please notify us by airgram as soon as this is accomplished.”

Hull
  1. The diplomatic representatives in Costa Rica, Dominican Republic, Ecuador, El Salvador, Guatemala, Haiti, Honduras, Nicaragua, Panama, Paraguay, and Peru.
  2. An issuance of the Board of Economic Warfare; for an outline of Decentralization Plan A, see circular airgram, January 19, 8 p.m., p. 106.