837.61351/4569: Telegram

The Ambassador in Cuba ( Braden ) to the Secretary of State

102. For Crowley and Cox, FEA,88 from Scheuer and Ball. Supplementing Embassy’s telegram No. 98, February 2, 8 p.m.,85 the following proposal has today been submitted in writing to the Cuban Government.

[Page 925]
1.
Cuba will sell to the United States and the United States will buy a minimum of 85 million physical gallons of black strap molasses at a price of $.0218 per pound of total sugars content f.o.b. tank car at Cuban port terminals or coastal points of delivery to be determined. For black strap molasses containing less than 52 percent total sugars there shall be deducted from the basic price for each percentage or fraction thereof below 52 percent total sugars $.0005 per pound of total sugars content.
2.
The United States and Cuba shall agree to take all necessary mutual action to limit shipments of beverage alcohol and spiritous liquors from Cuba to the United States to a total amount for the year 1944 not to exceed the amount imported into the United States during the year 1943. This amount is the equivalent of approximately 14,300,000 proof gallons of alcohol.
3.
It is understood that Cuba will reserve for its domestic needs an amount of black strap molasses necessary to provide carburante, fuel, et cetera, such amount being estimated at 85,000,000 physical gallons.
4.
Cuba will sell to the United States and the United States will buy all black strap molasses produced in 1944 or carried over from 1943 in addition to the 85,000,000 physical gallons provided for in paragraph 1 hereof which may not be required.
a.
for Cuban domestic needs provided for in paragraph 3 hereof or
b.
for the production of beverage alcohol or spiritous liquors provided for in paragraph 2 hereof.
At the option of Cuba up to 8 million wine gallons of 190 proof ethyl alcohol meeting United States specifications may be delivered by Cuba in lieu of all or part of the black strap molasses purchased under this.
4. [sic]
The United States will pay for all black strap molasses the price provided for in paragraph 1 and will pay for any 190 proof ethyl alcohol 50 cents per wine gallon f.o.b. Habana.
5.
Should there be any change during 1944 in the requirements of alcohol for the prosecution of the war the United States is prepared at the request of the Cuban Government to reexamine any restrictions imposed on the importation of beverage alcohol or spiritous liquors into the United States in the light of such change.
6.
The objective of both countries is to make available the maximum quantities of black strap molasses and 190 proof ethyl alcohol for use in the war effort.
[Scheuer and Ball]
Braden
  1. Leo T. Crowley, Administrator, and Oscar Cox, General Counsel, Foreign Economic Administration.
  2. Not printed.