835.24/2396: Telegram
The Ambassador in Brazil (Caffery) to the Secretary of State
[Received 8:26 p.m.]
5662. Aranha70 showed me a telegram from Rodrigues Alves71 again urging that Moreira da Silva72 be allowed to give Argentina [Page 684] some rubber, insisting that if this were not done the negotiations would result in complete failure; and that if this were done Argentina would grant additional facilities for the importation of Brazilian textiles, et cetera. He referred again also to the frozen credit situation. He spoke of loss of Brazilian prestige, danger of unfavorable reaction on the Argentine military, et cetera, if the negotiations collapsed.
Aranha remarked “You will note that Rodrigues Alves is very insistent about the rubber. I am still telling him no; but I would like to observe that the United States and Great Britain both find it necessary to continue to make considerable purchases in the Argentine; we find it necessary to make purchases there too”.
Repeated to Buenos Aires.