800.24/9–2844

The Department of State to the British Embassy

Aide-Mémoire

The United States Government has been cognizant of the services to the war rendered by the Middle East Supply Center1 and has been appreciative of the opportunity accorded to it by the British Government of cooperating in the administration of that Center.

In the days when shipping was extremely scarce and supply difficulties beset both Governments, the Center conserved such shipping as was available to meet the essential needs of the Middle East. It also provided means whereby limited amounts of available goods could be equitably distributed and so best meet the needs of the populations of that area. In that enterprise the two Governments worked effectively together.

The British Government is, of course, aware that these earlier conditions have changed and will continue to change with accelerated rapidity as the progress of the war in Europe proves steadily more favorable. Civilian supply has eased in a multitude of commodities, and limitations upon the production of goods for civilian end-use are being rapidly eliminated. The shipping situation shows signs of constant improvement as the supply of ships increases and the danger of the submarine menace diminishes.

In these circumstances, the United States Government believes that it is no longer necessary to maintain the extensive system of import controls developed by the Middle East Supply Center for that territory. It proposes, however, to continue that system with reference to a select list of commodities in very short supply, where the necessity for equitable and controlled distribution requires resort to territorial [Page 42] import licensing coordinated by the operations of the Middle East Supply Center. It believes, however, that import licensing of this character is no longer required for most of the commodities involved. With reference to these, such supply and shipping considerations that are relevant to their export from the United States can be given due consideration by simple export or shipping controls administered through the appropriate agencies in the United States.

The foregoing does not mean that the United States Government seeks to withdraw from the cooperative effort which has worked to such excellent advantage in the Middle East. The Center will still be the implement for such joint action as may be required with reference to those commodities which continue to be in very short supply during such period as may be considered necessary as a result of the existing emergency and the abnormal supply situation arising therefrom. It is suggested also that the United States Government and the British Government give consideration to the desirability of continuing to assist, through appropriate instrumentalities, in the promotion of the development of agricultural and industrial production in the Middle East, particularly in view of the developing regionalism of that area.

The details of the program referred to above have been carefully worked out by the appropriate agencies of the United States Government. Consultation on these details will be desirable, so as to make clear to the British Government the nature of the controls which the United States Government will continue to maintain and those it will relax. Mr. Landis, the American Director of Economic Operations to the Middle East, is familiar with these matters. He hopes to proceed shortly to London, and thence to Cairo, there to work out such details as may be necessary to put into operation the policies of the United States described above.2

  1. The Middle East Supply Center was an organization initially established by the British Government in April, 1941, under the stress of the growing crisis in shipping, to assume the task of planning and maintaining a supply of civilian goods for the populations of the Near and Middle East; the agency was partly civilian and partly military in composition, and was controlled by the British Ministry of Shipping at London. For correspondence concerning decision by the United States in 1942 to participate in the Middle East Supply Center, see Foreign Relations, 1942, vol. iv, pp. 1 ff.
  2. For text of press release of December 31, 1944, concerning relaxation of the import controls administered by the Middle East Supply Center, effective January 1, 1945, see Department of State Bulletin, December 31, 1944, p. 846. Agreement to relax controls was reached in London on October 18 by James M. Landis, principal American civilian representative at the Middle East Supply Center, in an exchange with the appropriate British authorities (800.24/10–1944, 10–2744).