501.BB Palestine/7–1349: Telegram

The Secretary of State to the Embassy in the United Kingdom 1

secret

2432. Reps Brit Emb July 13 furnished Dept list points suggested by FonOff as basis PCC approach solution Palestine problem. Fol substance points and informal comments reps Dept.

1)
Acceptance of refugees by Arabs and Israelis for resettlement and repatriation. Dept agreed and there was further accord that view circumstances Israel latter could probably not be expected accept more than quarter million refugees for repatriation.
2)
Israeli Gaza strip proposal should be accepted on condition safeguards devised re future treatment Gaza refugees Israel and territorial compensation made by Israel for strip. Dept agreed some kind international supervision treatment of refugees in Israel essential. Re second condition Dept in agreement provided Egypt desired compensation.
3)
Israel should make territorial compensation for areas outside 1947 boundaries retained by her. Dept agreed but pointed out danger creating impression that US would not agree to any settlement which did not provide for territorial compensation. US did not wish attempt [Page 1224] force Arab states accept compensation if they did not desire, and if agreement reached between parties without duress which did not include territorial compensation US would not oppose.
4)
If territorial compensation should take form of award to Jordan or to Jordan and Egypt of part or whole of Southern Negev, thus providing-land bridge between Egypt and Jordan, Israel should have “guaranteed” freedom of access and communication to Bed Sea. Equally Arab states should have “guaranteed” freedom of communication and access to Mediterranean through ports of Gaza and Haifa. If another solution were adopted for Southern Negev there should nonetheless be guaranteed freedom of communication and access across it between Egypt and Jordan and between Israel and Red Sea. Alternative method of providing for freedom of communication and access might be neutral zone or zones. Dept stated opinion that continuity of land communication between Arab states was most important territorial item in Palestine settlement as far as Arabs were concerned. Felt it might be possible for PCC informally make specific territorial proposal to parties and that this might well take form suggested arrangement involving transfer part of Southern Negev to Egypt and Jordan with agreement for Israeli access Red Sea. Dept inquired how much of Southern Negev UK thought would be necessary transfer to Arabs in order assure effective land communications between Jordan and Egypt. Brit reps said they would query FonOff. Dept pointed out such proposal as Gaza-Dead Sea line obviously unfeasible. Dept saw no reason for arranging access to Mediterranean for Arab states at Gaza if similar arrangement made at Haifa.
5)
Free port at Haifa with arrangement by which Iraqi crude could be freely exported in return for provision by Iraq of normal supplies for Haifa refinery. Dept stated general agreement desirability establishment free zone facilities Haifa Arab states but doubted possibility or desirability establishment free port completely free of Israeli control.
6)
Partition of Jerusalem for administrative purposes with international supervision, particularly of Holy Places. Dept stated its position on Jerusalem in general agreement with this.
7)
Incorporation of Arab Palestine in Jordan. Dept agreed desirable this should be done at appropriate time.
8)
Israel and Arab states concerned should agree to share for their mutual benefit waters of Jordan and Yarmuk. Dept agreed.
Acheson
  1. This telegram was repeated to Arab capitals.