561.333D3/1599b: Telegram

The Secretary of State to the Ambassador in Brazil (Caffery)

4318. There have recently been published in the United States statements attributed to representatives of the National Coffee Department to the effect that coffee of the new Brazilian crop is now available for purchase by the trade in the United States. Department is informed, however, that the Food Distribution Administration has received numerous reports during the past 10 days believed to be reliable that the coffee trade in this country is experiencing difficulty in executing authorizations to purchase coffee in Brazil, that the prices asked for new crop Brazilian coffee are in some cases actually higher than existing Office of Price Administration green coffee price ceilings, and that in many cases importers are finding it impossible to obtain any offers of new crop coffee for shipment from Brazil for December 1943 through March 1944.

The two countries, of course, have a mutual interest in the use of all shipping available for Brazilian coffee and the maintenance of the good supply position in the United States which has permitted the removal of coffee from rationing control.

It is requested that the Embassy take whatever action it considers warranted in regard to the matter and report to the Department.

This matter has been brought to the attention of the Brazilian delegate to the Inter-American Coffee Board by the Board’s secretary on the basis of a communication which he has received from the Food Distribution Administration.

Hull