Foreign Relations of the United States, 1946, The Far East, Volume VIII

892.61317/3–2646: Telegram

The Acting Secretary of State to the Chargé in the United Kingdom ( Gallman )

confidential

Washington , March 26, 1946—8 p.m.

2672. 1. By aide-mémoire Mar 22²⁸ Brit Embassy agreed to modifications 2, 3 and 4 set forth Dept aide-mémoire Mar 7 on Siamese rice and also third point accompanying written oral statement.

2. In telephone conversation this afternoon Moffat and Sanderson, MoF:

A. Dept withdrew proposed modification 1 in aide-mémoire.

B. Stated US could not accept unilateral fixing price of rice as the 1,200,000 tons will be purchased by many countries including US²⁹ and price fixed will also have direct bearing on prices which Commission must fix. To expedite action however Dept while preferring agreement with Siamese willing waive Siamese participation in this price discussion but considers price must be determined in agreement between Brit representatives and Yost and Kahn.³⁰ Dept does not anticipate difficulty reaching agreement and willing give Yost and Kahn full discretion and authority.

C. Repeating second point of oral statement Dept requested omission phrase “to His Majesty’s Govt”.³¹ This phrase does not strengthen Siamese obligation to Brit Govt and is embarrasing to US by implying Rice Commission agency of Brit Govt. Furthermore phrase will be source of criticism Brit taking all specified rice even though contrary fact.

3. Brit requested change words “contribute free” to “supply” in fourth line Article 2 Para 6 Tripartite Agreement. This agreeable.

4. Sanderson promised talk FonOff Wed morn.

5. Please use best efforts secure Brit concurrence.

Acheson

28. Not printed.
29. Telegram 3848, April 8, from London reported a Foreign Office statement that there was no basis in fact for the report that British authorities in Siam considered 1,200,000 tons of Siamese rice as British and consequently for resale by the British to other countries. (741.92/4–846)
30. Walter B. Kahn, Adviser on Far Eastern Affairs detailed to the Legation in Siam, became U.S. representative on the Combined Siam Rice Commission when it was established in May 1946.
31. In its telegram 3848 the Embassy in London reported information from the British Foreign Office that “although this phrase occurs in a communication addressed to Siamese Govt on the basis of instructions sent British Legation, Bangkok, as long ago as March 4, FonOff is fully prepared to take into account US reservations on this point when preparing text of formal notes which will embody present arrangements under discussion with Siamese Govt.”