864.24/9–2245: Telegram
The Representative in Hungary (Schoenfeld) to the Acting Secretary of State
[Received September 23—12:40 a.m.]
630. In connection with urgent need for newsprint here76 and danger that non-Marxist papers may be obliged to suspend publication prior to coming elections I am advised that US Information Service, Italy can make available for use in Hungary 273 tons newsprint with possibility of increasing total to 500 tons from ACC Italy stocks.
Key, who shares my view that importation of newsprint is of paramount importance at this time, is willing to facilitate its transportation from Vienna to Budapest. Transportation from Italy to Vienna [Page 874] and temporary warehousing in Vienna would have to be handled by US Army.
Shipment could eventually be turned over to Hungarian Government upon its submission to us of an allocation schedule for equitable distribution total available newsprint stocks among various potential purchasers. Alternatively allocation could be handled by this mission. Hungary could pay for newsprint at legal prices in Hungarian currency or possibly from blocked dollar balances in the United States.
I recommend that the Department approve allocation up to 500 tons of newsprint by US Information Service, Italy or ACC, Italy to Hungary and that Department request War Department to instruct AFHQ to transport same as soon as possible to Vienna and to warehouse it temporarily in Vienna. Further, Department requested to authorize me to discuss payment and allocation of newsprint with Hungarian Government in event circumstances warrant.77
Department, please see my immediately following telegram78 for references.
Repeated to Vienna as Number 11 to Rome as Number 36.
- Telegram 320, July 21 from Budapest, reported on the severe newsprint shortage in Budapest and the exploitation by leftist parties of the shortage to eliminate anti-labor and non-party newspapers (864.24/7–2145). Despatch 237, August 31 from Budapest, reported that domestic Hungarian newsprint production could not supply the country’s requirements and that the lack of adequate supplies of newsprint would seriously hamper the activities of the non-Marxist political parties in the impending election; the question was raised as to whether adequate supplies of newsprint for Hungary did not constitute an essential part of the program for the rehabilitation of Europe on a sound political basis (864.24/8–3145).↩
- In telegram 499, October 5, 6 p.m. to Budapest, the Department approved these recommendations but suggested that General Key negotiate directly with AFHQ regarding transportation (864.24/9–2245).↩
- Not printed.↩
- For your information.↩
- United States Information Service.↩