893.50 Recovery/8–548: Telegram
The Ambassador in China (Stuart) to the Secretary of State
[Received August 5—1:35 a.m.]
1434. For Department, ECA and Agriculture. Notes providing for establishment Sino-American Commission on Rural Reconstruction in China signed at Foreign Office at 11 a.m., August 5,16 Nanking daylight time.
[Page 629]After notes signed and exchanged, Dr. Wang Shih-chieh, Foreign Affairs Minister, read following prepared statement:
“The notes just signed and exchanged constitute a supplement to the Bilateral Aid Agreement of July 3, 1948, between the Government of China and the Government of the United States of America. This arrangement concerning rural reconstruction will certainly meet one of the most urgent needs of China whose countryside has suffered so tellingly from so many years of war damage and Communist devastation. This arrangement will enable our rural population to benefit from the technical knowledge and experience of both Chinese and American experts in the fields of farm economy, rural education and sanitation.
“When the work contemplated under the program develops, it will, I anticipate, put a large number of our educated youths into various kinds of rural reform work and thus make this arrangement both a plan of enterprise and a training ground for future rural leadership. Admittedly the funds provided for rural reconstruction by the Bilateral Aid Agreement are of modest dimensions—not exceeding 10 percent of the total economic aid. But, as the Joint Commission is to execute its program through existing Governmental and other agencies rather than creating machinery of its own, economy and efficiency may well result from this arangement. I fervently hope that the sum of money thus spent will bear such result as will compare favorably with a similar amount used for any other project. This will be the best way to show our appreciation for the friendly sentiments of the American people.”
Ambassador then read prepared statement, text of which already transmitted to Dept.17
Sent Department, repeated Shanghai 695.