851G.00 TA/1–2750: Telegram

The Secretary of State to the Consulate General at Saigon 1

secret

42. 1. Dept does not anticipate passage Pt IV enabling legis and appropriations in time to make available funds prior to start next fiscal year and amt funds not yet known.2 Dept anxious, however accelerate feasible econ activities in SEA earliest possible to achieve favorable econ and polit effects, having in mind objectives stated [Page 4] Secy’s speech Jan 12,3 This may be possible thru availability funds under Sec 303–P.L. 3294 if particular projects adequately supported.

2. For urinfo Dept considering this connection sending small mission SEA countries to determine by spot surveys and discussions US missions type projects moist immedy needed and feasible for which such funds might be used in countries of area immed.5 Also concerned lay groundwork for Pt IV operations, for using Pt IV to abet soundly conceived development plans, for later high level negots toward these ends and to consider relationship US Pt IV plans with UN and Commonwealth programs. Mission wld attempt maximum coordination with anticipated Dept agri mission and other specialized surveys in the area.

3. In view foregoing Dept also desires urgent telegraphic summary ur prelim estimate most useful projects for possible early implementation. For example: Wld technical assistance in food production; technical advice on transportation; technical advice on coal mining or other valuable mineral deposits; and medical supplies needed demonstrate impact of assistance program as envisaged Para I. In addition to technical assistance, funds might be available limited scale for essential capital projects. Foregoing shld be compiled from info now available and no inquiries arising from this tel shld be made of govt to which you accredited. Dept recognizes this perhaps largely recapitulation projects previously recommended by you and does not intend it as substitute more extensive report called for by Depins 7, Jan 24.6

4. Any specific projects you can propose shld if possible be supported with basic justification, rough estimates re dol contribution entailed, personnel, status local govt planning, relevant time factors for completion, etc.7 Ur summary shld be useful discussions this gen subj with Butterworth and Jessup at Bangkok.8

Acheson
  1. This telegram was transmitted mutatis mutandis to other posts in Southeast Asia.
  2. Documentation on the evolution of the “Point IV Program” for economic and technical aid to underdeveloped nations is scheduled for publication in volume i .
  3. For the text of Secretary Acheson’s speech on United States policy in Asia, delivered before the National Press Club in Washington on January 12, see Department of State Bulletin, January 28, 1950, pp. 111–118.
  4. Reference is to Section 303 of the Mutual Defense Assistance Act of 1949 (63 Stat. 714) which authorized the expenditure of $75 million for military aid in the “general area” of China. Documentation on overall aspects of the Mutual Defense Assistance Program is scheduled for publication in volume i .
  5. Assistant Secretary of State Butterworth suggested an economic survey mission to Southeast Asia in a memorandum to the Secretary of State dated January 19, not printed (890.00TA/1–1950).
  6. Not printed.
  7. For the response of the Consulate General at Saigon, see telegram 73, February 1, p. 715.
  8. Reference is to the Bangkok Regional Conference of United States Chiefs of Mission in the Far East, February 13–15. For information on the conference, see telegram 155 from Bangkok, February 17, and footnote 1, p. 18.