832.61333/873
The Ambassador in Brazil (Caffery) to the Secretary of State
[Received September 29.]
Sir: I have the honor to quote below a memorandum prepared by Mr. Harry Prochet of the Commodity Credit Corporation, relative to the reduction in the budget of the National Coffee Department as a result of the coffee agreement between the Governments of the United States and Brazil:
“While in the office of the National Coffee Department, Mr. Guedes received a telephone call from the Ministry of Finance and was requested to explain the reasons for the difference between the estimated budget of the DNC for the administration of the 1942/43 crop and actual expenditures, which were considerably less than the budget. Mr. Guedes replied that the enormous difference was the consequence of the assistance given in the United States to Brazil through the coffee agreement. He then stated that had it not been for this agreement, his estimate would probably have been low.”
Respectfully yours,
Counselor of Embassy for Economic Affairs