840.50 Recovery/3–2048: Telegram
The Ambassador in France (Caffery) to the Secretary of State
1512. Rece 21. This is in pursuance recommendation number three our Rece 19.1 It is important that we be in position to inform delegates [Page 399] in some detail concerning role we envisage for continuing organization in ERP programming. By emphasizing need for program integration and coordination by CEEC, we will increase recognition by delegates of need for establishment of suitable organization and may to able to correct current tendency to minimize importance secretariat. Although CEEC programs envisaged in paragraph 3 below obviously would have to be agreed by national representatives, consolidation of country programs as outlined could not be performed except by strong, well-qualified secretariat.
If we in fact expect some such programming as suggested below, we should make it clear to delegates so that they may be persuaded to raise sights and to plan for and start recruiting adequate and competent personnel. We believe the procedure suggested below in line with Washington thinking, but as this is an important issue and one which troubles some of the delegates, we should like your clearance.
We recommend that we be authorized to suggest to individual delegates probability that such programming will be necessary from US viewpoint and that some procedure such as that outlined below will probably have to be adopted. We should of course make it clear that no final determination as to procedure possible until act passed, administrator appointed. It would be extremely helpful to have your comments on following by March 23.
- 1.
- ECA (Economic Cooperation Administration) would look to CEEC for preparation of integrated import program for CEEC area as a whole together with screened programs for individual countries, rather than directly to the countries for individual country programs. CEEC would develop these programs on basis of the overall economic programs of each of the participating countries, including production programs and imports and exports from and to all areas.
- 2.
- CEEC would request each participating country to provide it with the country’s proposed overall economic program for a given time period. Although details can not be determined now, data on production and investment goals and performance, and balance of payments by currency areas (including major commodity breakdown for exports and imports) would probably be minimum requirements. With respect to imports from Western Hemisphere, full details would be required for commodities on our positive list, plus such additional items as Commerce may decide to screen for Western Europe. Details of other categories might from time to time be necessary.
- 3.
- CEEC would review and coordinate country economic programs so as to insure consistency, equity and full use of European resources and to hold Western Hemisphere deficit to minimum. CEEC would then propose programs of imports from Western Hemisphere taking account of such information as US can provide regarding availability of funds and supplies. By this procedure, Western Hemisphere import programs would take into consideration CEEC recommendations [Page 400] on multilateral clearing and offshore purchases within participating countries.
- 4.
- CEEC would transmit programs to Washington.
- 5.
- US special missions and the special representative and, his technical staff would participate in this work at every stage as consultants. Thus, although final determination would at all times rest with ECA, it should usually be possible to accept CEEC recommended programs without major modification. To extent possible, adjustments should be negotiated with CEEC rather than bilaterally between ECA and individual countries.
- Supra.↩