834.001 Morinigo, Higinio/51

The Ambassador in Paraguay ( Frost ) to the Secretary of State

No. 970

Sir: Referring to my despatch No. 873 of March 19, 1943,40 with regard to the visit of President Morínigo and party to the United States as guests of the American Government in the early middle part of the month of June, I have the honor to transmit herewith a copy of a brief memorandum handed me by Foreign Minister Argaña40 outlining the subjects which Paraguay desires to have discussed during the Presidential visit.

The Foreign Minister informed me that this memorandum is the joint result of ideas and drafts submitted by three different ministers, presumably the Ministers of Finance, of Public Works, and of Agriculture, Commerce & Industry. The Department will note that the subjects relate wholly to assistance which Paraguay desires to receive from the United States, in the form of export permits for machinery, projects for Export-Import Bank financing under the three million dollar loan (of which two million dollars has already been earmarked for a highway through the Paraguayan Misiones region), a special loan to be floated by the Banco Agrícola del Paraguay, and unspecified aid regarding river transportation.

No reference is made in the outline to Lend-Lease materiel nor to the trade agreement which has been the subject of conversations now in a hopeful position.41 Doubtless these subjects, and several others, will in fact come up for discussion during the Washington visit.

[Page 692]

I enclose a memorandum furnishing brief and hasty notes by myself on the various subjects in their numerical order.42 Further information will be supplied to the Department if possible prior to the visit;43 but it is to be noted that Dr. Argaña is departing on April 28th for Brazil, and will be unavailable during the present week because of the religious holidays now commencing.

Respectfully yours,

Wesley Frost
  1. Not printed.
  2. Not printed.
  3. For correspondence regarding the trade agreement, see pp. 701 ff.
  4. Not printed. The Paraguayan program contemplated increased exports of farm machinery from the United States, the acquisition of a cement plant and the development of jute culture, the building of cold storage depots and mandioca starch plants, and the construction of roads, port works, and a water works system.
  5. President Morínigo and his party arrived in the United States on June 9. After some inconclusive conversations in Washington, the party departed on a tour of some of the automobile and war industry plants around the country.