740.00112A European War, 1939/31029: Telegram

The Secretary of State to the Ambassador in Guatemala (Long)

276. Your 252, May 22, 5 p.m.26 The Department has been informed that it is stated in Guatemala that this Government is insisting that all Proclaimed List coffee be sold by the Banco Central in lots at auctions.

You should make it clear to the appropriate Guatemalan authorities, and in your discretion to any other interested parties, that this Government is insisting upon no special conditions with regard to the sale of Proclaimed List coffee other than those set forth in its airgram no. 436 of May 17, 6:30 p.m. Provided Proclaimed List coffee is sold in accordance with those conditions and with the Inter-American [Page 359] Coffee Agreement, the Department considers it otherwise entirely for the Guatemalan Government to decide in what manner the coffee is to be sold.

For your confidential information, the Department does not wish to prevent an en bloc sale of Proclaimed List coffee by the Banco Central through regular trade channels to the Army. You should of course be careful, in accordance with the policy described above, not to take a position either for or against such a sale.

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