OAS Files, Lot 60 D 665

Unsigned Summary of the Seventh Meeting of the United States Delegation Members on Committee III, Department of State, 9:15 a.m., April 4, 1951

USDel Com III M–7.

1. Mr. Thorp requested progress reports on the activities of Committee III, its subcommittees and working groups.

2. Ambassador Bohan reported that in the Economic Development resolution, approved by Subcommittee A, all changes requested by the United States were incorporated in the revised resolution.

3. Ambassador Bohan brought up the question of U.S. position on a proposed resolution of Cuba on “Social and Economic Improvement of the Workers in the American Republics.”1 This resolution calls on the American Republics to support the principles of various multi-lateral agreements, including the Inter-American Charter of Social Guarantees, incorporated in the Bogota Charter. Ambassador Bohan stated that the Cubans felt very strongly about the necessity of incorporating such a resolution in any final act of this Meeting. They feel that the resolution passed by the Plenary Session on “Raising the Economic and Social Standards of the American Republics” was not adequate. Mr. Burrows presented the previous attitude of the United States in regard to this resolution and pointed out that strong [Page 966] opposition to it was voiced by the Department of Labor. Mr. Arnow2 of the Department of Labor said that not only does his Department feel that approval of this resolution would be inconsistent with our position before the ILO, but certain concepts contained in the Inter-American Charter of Social Guarantees cannot be supported and must be opposed by the U.S. Government. He said that the resolution of Committee II on the same subject, already passed by the Ministers, was strongly objected to by the Department of Labor. Mr. Miller pointed out that our representative on Committee II called attention to this point and entered a reservation for the United States. However, this problem might be solved administratively by achieving uniform treatment of both resolutions. It was generally agreed that when the Cuban proposal came up, the United States would present its reservation to Committee III.

4. Mr. Leddy3 reported that the Price Control resolution might come up this morning and stated that the draft prepared last night contains an outstanding disagreement between the United States and some of the Latin American Delegations, especially in the matters of prior consultation and its relation to cost indices of essential civilian products. It was generally agreed that if such a matter came up in Committee III, the United States would try to advance a broad text containing general language on this subject. Mr. Leddy reported that the Subcommittee agreed on a consultation provision which says that each country would provide opportunities for consultation and whenever practical, to consult before action is taken. Consultation will be held as soon as possible after such action and on request of other nations.

5. Mr. Wythe4 reported on the “Priorities” Resolution and stated that the Subcommittee had adopted a clause on export quotas which grants responsibility of the export country to determine the liscensing distribution of products exported. On one clause on which the United States position was over-ridden, Mr. Wythe had a revised draft which he was planning to submit at today’s session.

6. Mr. Wythe brought up the question of the Brazilian insistence on a Bilateral Supply Agreement which the United States opposes. At this point, Mr. Miller asked the opinion of Mr. Thorp on the advisability of arranging a meeting between Secretary Acheson and the Brazilian Foreign Minister to secure an understanding of Brazil’s position and the reasons for her opposition so far in the Conference. There was general agreement that such a meeting would be most useful and Mr. Miller agreed to arrange it. Mr. Miller recorded the five major [Page 967] U.S. objections to entering into a Bilateral Supply Agreement which would be included in the briefing material for the Secretary during his talk with the Brazilian Foreign Minister. A prolonged discussion ensued as to possible alternative approaches that could be made to-secure the agreement of the Brazilians on this matter. Mr. Knox commented that the Brazilians seem to be determined to secure approval of their position on this matter before any arrangements for the increased production of strategic materials are entered into.5

7. Mr. Brown6 reported that a draft text on Stockpiling had been approved by the Subcommittee, calling for producing nations to be given at least four months’ notice before stockpiling operations cease.

8. Mr. Leddy mentioned that the Economic Security Resolution proposed by the United States had been passed over in the Subcommittee and on his initiative, a new and separate resolution on the matter will be introduced before Committee III today. Mention was made of the fact that certain Delegations believe that the Economic Security Problem is so tied up with political overtones that it would more appropriately belong in Committee I. Mr. Miller agreed to have introduced into Committee I the U.S. resolution on this matter.

9. Mr. Nolan reported on the progress made in the transportation resolution and mentioned the efforts of Brazil to secure aid for the Santos-Arica Railroad. Mr. Miller said that the U.S. should offer a reservation to this resolution, indicating that it does not belong in this Conference of Foreign Ministers.

10. Mr. Brown indicated that since the Economic Development resolution was ready for approval by Committee III, it might not be appropriate to continue U.S. approval on this resolution until the completion of all the other economic resolutions. It was agreed that the U.S. would support the Economic Development resolutions in Committee III, but that its approval was subject to review when the text on allocations and priorities was finalized.

11. Brief discussions followed on matters in regard to the resolution on Increased Production and Strategic Materials and the resolution on IMC Activities.

12. The members of the U.S. Delegation on Committee III will meet again in Room 5106, New State, Thursday, April 5, at 9:00 a.m.

  1. For text, see Proceedings, p. 105.
  2. Philip Arnow, Associate Director, Office of International Labor.
  3. John M. Leddy, Deputy Director, Office of International Trade Policy.
  4. George Wythe, Director, American Republics Division, Office of International Trade, Department of Commerce.
  5. An unsigned summary, dated April 5, 1951, of the eighth meeting of the U.S. delegation members on Committee III, which took place at the Department of State on the same date, reads in part as follows: “Mr. Thorp reported that the Brazilian attempt to obtain Bilateral Supply Agreements in Committee III resolutions were unsuccessful.” (OAS Files, Lot 60 D 685)

    For further information on bilateral discussions between representatives of the United States and Brazil concerning a supply agreement, see the editorial note, p. 1195.

  6. Winthrop G. Brown, Director, Office of International Trade Policy.