Foreign Relations of the United States, 1947, The American Republics, Volume VIII

838.51/10–1047

Memorandum of Conversation, by Mr. Charles C. Hauch of the Division of Caribbean Affairs

confidential

[Washington,] October 10, 1947.

Participants:	Assistant Secretary Armour
	Ambassador Tittman—Haiti
	Mr. Hauch—CRB

During a discussion on current United States-Haitian relations, the following points were mentioned:

1. Mr. Armour felt that in view of this Government’s past close association with Haiti, it has a particular moral responsibility to guide and assist Haiti in meeting its problems and in improving conditions in Haiti. He said he was quite disturbed by the present state of opinion towards the United States in Haiti, as evidenced by the recent Tuck article. Ambassador Tittmann agreed that it would be extremely desirable for political reasons to make a substantial gesture of cooperation with Haiti in solving that country’s problems. The Ambassador observed that the Department has recently pursued a hand-off withdrawal policy towards Haiti, and his estimate of our present policy is to do just enough for Haiti to keep the country’s head above water. Mr. Armour stated that this should not be and that we should be doing considerably more.

2. Mr. Armour agreed that informal advice in working with the Haitian Government in drawing up and executing a plan for the development of the Artibonite Valley might be helpful as a gesture of this Government’s desire to cooperate with Haiti. He wondered, however, whether this would be sufficient and thought perhaps that additional technical personnel should be sent from the United States to assist the Government of Haiti. Ambassador Tittmann said it was his view that since the Food Mission had achieved such marked success in Haiti and had the good will of the Haitian Government, it would be best to continue to work through that channel, perhaps enlarging the personnel and funds of the Mission. Mr. Armour observed that this might be a problem in view of the limited funds at the disposal of the Institute. It was agreed that the matter would be discussed with officers of the Institute. As for a Haitian application for a loan from the Export-Import Bank in connection with this project, it was felt that this would have to await development of a detailed plan by the Haitian Government assisted by the IIAA Food Mission.

3. Mr. Armour thought that the development of tourism, and particularly hotel construction, in Haiti might offer a real opportunity for this Government to assist in Haitian development. He referred to the visit of Georges Leger and the French citizen, Georges Maurin, regarding their hope of obtaining funds from the Export-Import Bank for hotel construction in Haiti, and thought this might be worked out within the framework of the Bank’s policy.

4. Ambassador Tittmann mentioned that Finance Minister Margron had inquired of him regarding the possibility of the Export-Import Bank’s granting a five or ten year extension of the J. G. White loan. The Ambassador thought this might be a tangible gesture of good will towards Haiti which would assist our relations with that country. It would mean that the Haitian Government would have additional funds to carry on developmental projects during the next decade. Mr. Armour agreed that this would be a worthwhile gesture and that Ambassador Tittmann should suggest it to the Export-Import Bank during a meeting scheduled for the same afternoon.

5. In general, Mr. Armour felt that Ambassador Tittmann might express to the Board of directors of the Export-Import Bank our concern with Haitian-United States relations and inquire of them whether they would be sympathetic to some tangible evidence of the Bank’s willingness to cooperate in improving these relations. Ambassador Tittmann noted particularly the unanimous opinion of Haitians that they had been given a bad deal by the United States on the SHADA and Cryptostegia programs, and stated his opinion that perhaps a neutral commission might proceed to Haiti in order to ascertain the truth of the Haitian belief. I said that the Cryptostegia settlement in 1944 had been agreed to, perhaps reluctantly, by the Haitian Government which itself had declared the question closed at that time. As for present SHADA operations, they are currently showing a profit and consequently it was my understanding that the Bank felt this is no time to go into the question of a SHADA debt readjustment. Mr. Armour said that regardless of this the anti-United States feeling engendered by the SHADA and Cryptostegia programs was the important thing to placate, particularly in view of the use to which it might be put by communist influences.

6. Mr. Armour said he had seen Mr. Blackmon of Standard Fruit briefly the previous day and that Mr. Blackmon had expressed great concern for the future of United States business in Haiti. Ambassador Tittmann outlined briefly the situation with respect to Standard’s present difficulties, and Mr. Armour expressed concern at the Haitian Government’s present policy. He agreed that a telegram should be sent to Port-au-Prince authorizing the Embassy again to express our concern and inquire specifically of President Estimé why he had refused to conclude a new agreement with Standard on the terms of his recent written statement to the Embassy. (Note: This telegram went out as no. 291 of October 10³³).

33. Not printed.