Office of the Historian

862.5018/7–2347

Memorandum by the Director of the Office of European Affairs (Matthews) to the Secretary of State

[Washington,] July 23, 1947.

Subject: Principle of Food Supply Program for Germany

Discussion:

In an accompanying memorandum62 General Hilldring recommends that a priority be given for food shipments from the United States to Germany, in accordance with a proposal of the Secretary of War. I agree fully that it is of great importance to maintain the basic German ration at a level of 1550 calories per day, and to raise it if [Page 1159] possible, but I believe, for the following reasons, that it would be unwise to establish a formal priority on behalf of the bizonal area.

a.
Such a priority would give Germany a preferred status in respect to a vital commodity. This would provide good material for propaganda and charges that the United States cares more to rebuild Germany than to help the rest of Europe, and the same apprehension would probably be aroused in France that was caused last week by the proposal to raise the level of German industry.
b.
The European nations are sensitive on the subject of grain, and I believe they would resent a firm guarantee of even minimum quantities for Germany especially in the absence of guarantees to them. Such a reaction on their part would surely react adversely after preparation of a concerted plan for economic reconstruction in reply to your Harvard speech.
c.
To maintain a basic ration of 1550 calories would require approximately 3,500,000 tons of the 14,500,000 which are expected to be available for export from the United States during the crop year beginning July 1, 1947. A firm priority for Germany would mean that the 3,500,000 tons would not be available for disposition elsewhere in case of an emergency. There is danger in thus making our export program too rigid. For example, if the entire burden of the unexpected deficiencies in German collections this spring had fallen on countries other than Germany, there would probably have been disastrous political and economic consequences, especially in France and Italy.

For these reasons I am convinced that, while special efforts should be made to increase German production of grain and also to supply large quantities from the United States, no formal priority should be given to such shipments.

Recommendations:

a.
That policies 1 and 2 in General Hilldring’s memorandum be approved.
b.
That the following policy, if approved by you, be substituted in place of policy 3 in General Hilldring’s memorandum:

The United States should make a particular effort to provide the bizonal area with imports of foodstuffs sufficient to supplement the indigenous supplies resulting from the applications of the measures outlined above, to the extent necessary to provide non-self suppliers with rations on a scale based on 1550 calories per day for the normal consumer.

Concurrence:

This memorandum has been read by Mr. Wood of A–T, who agreed with the point that no over-riding priority should be given to food shipments for Germany, and that no guarantee should be made in this respect.

  1. Supra.↩