561.333D3/11–1747: Airgram
The Secretary of State to the Embassy in Brazil
A–603. For the Embassy’s comment and files the Department reports below a telephone conversation on November 5 between an officer of the Department and Mr. George Robbins, President of the National Coffee Association. Mr. Estockler Queiros, DNC, and Mr. Prado of the Brazilian coffee trade have been visiting this country on the invitation of the National Coffee Association. Before these gentlemen left for Brazil on November 3 they summarized to Mr. Bobbins the conclusions which were reached during their visit in this country which are listed below:
With respect to the Inter-American Coffee Agreement and Board, the Brazilians wish that the United States would support their request to delay approval of the revised coffee study for sixty days.
With respect to the future of the Agreement they wish to keep the essence of the Coffee Board as an inter-American entity and favor the alternative proposal in the instructions from the Secretary of State to the United States delegate to the Board dated August 4, 19479 to establish an inter-American coffee consultative committee within the framework of the Pan American Union. They desire that the operation of such an entity be principally concerned with the collection and publications of coffee statistics.
The Brazilians wish to recommend the reorganization of the Pan American Coffee Bureau by a new commercial agreement with the other countries now represented on the Bureau. In addition, they wish to have cooperation with the National Coffee Association written into the new terms of reference for the Bureau. Mr. Bobbins stated that the Brazilians wish to continue the cooperation with Colombia in the leadership of this Bureau.
In order to investigate the Brazilian coffee growers’ attitude toward [Page 161] the promotional fund to be used for propaganda purposes in the United States, Mr. Prado is to take a trip in Brazil among the growers to ascertain the feeling of the growers with respect to placing a tax on the export of coffee from Brazil to support the promotional fund. Mr. Queiros is to recommend to President Dutra and to the Minister of Fazenda that a tax be imposed for the promotion of coffee in the United States. After this action has been taken the Brazilians intend to hold a meeting of the seven coffee growing states in order to formalize the request to their government for an export tax for coffee promotion.
The National Coffee Association has agreed to correct or withhold misleading statements which may emanate from this country with respect to conversations which are to be held in Brazil concerning the imposition of a new tax for coffee promotion.
Mr. Queiros is convinced that a tax is required to maintain the fund needed for the promotion of coffee in the United States. He believes that ten cents a bag exported should be collected.
- Not printed.↩