816.24/673: Telegram
The Chargé in El Salvador (Gade) to the Secretary of State
[Received 10:04 p.m.]
185. Department’s airgram August 23, 7 p.m.17 regarding export controls of materials in free supply. Definitely recommended that Alternative I be adopted for El Salvador as decidedly most advantageous and practicable for situation here.
Salvadoran Committee of Economic Coordination has just and effective system for determining and scheduling the needs of the country and maintaining equitable distribution of imports. There is no doubt that Government and Committee will wish to maintain this system of participating in the determination of what goods shall be provided and it is believed that this administration, which has been proved in practice, should be encouraged. Its relinquishment is entirely unlikely to provide any improvement and is most likely to be prejudicial to the prestige and cooperation enjoyed by the Committee from all branches of trade, industry, and agriculture. The use of simplified Import Recommendations for materials in free supply will preserve this control, will provide opportunity for Committee to express its recommendations regarding order of priority of shipment and will maintain all political and commercial screening in the hands of this Embassy where local situation is best known.
Importers copy of Import Recommendation is used locally as import permit. Alternative II would make this system impracticable [Page 217] necessitating adoption of a dual procedure for both Committee and Embassy as well as making economic control more difficult.
Alternative III is certain to be entirely unacceptable to local agency and this Embassy would concur.
Any alternative to present practice will necessitate a very close definition of “materials in free supply” as many items not under estimate of supply are not in free supply, judging from unsuccessful attempts made to import them here.