811.5017/5–1446: Telegram
The Chargé in Brazil (Daniels) to the Secretary of State
[Received 8 p.m.]
895. This afternoon Ovidio de Abreu, President, National Coffee Dept, explained apparent discrepancy between coffee proposal presented Dept by Brazilian Embassy in note Apr 2941 and proposal made by Minister Vidigal transmitted Embassy’s telegram 835, May 6, 6 p.m. Abreu said that the two proposals, the first providing for elimination of ceiling with guaranteed sale 400,000 bags monthly for 6 months and the other providing for 5-cent increase ceiling prices without guaranteed sales any coffee, could be considered as alternative proposals, and that it was hoped that US Govt would find it possible to accept one or the other. He added that in event 5-cent increase were granted and there were subsequently insufficient sales coffee, DNC would undoubtedly sell some of its stocks, even without commitment to do so, as a matter of convenience.
Please telegraph if either foregoing proposals can be promptly accepted by Dept.42