493.46E9/11–1251: Telegram

The Chargé in Ceylon (Gufler) to the Secretary of State

secret

315. Deptel 185, Nov 7. US position discussed today with Jayewardene. Jayewardene’s initial reaction was that inasmuch as US already taken action to cut aid to Ceylon, what further was there to discuss? He said that while in Washington he had agreed take matter up with PriMin on return but in meantime US had suspended aid so he had not mentioned subj.

After receiving explanation present status Ceylon’s request for exemption under Battle bill, Jayewardene agreed convey US position to PriMin and inform Emb of latter’s reaction and whether any change likely in GOC position. He expressed personal opinion however it wld be exceedingly difficult for domestic political reasons for PriMin embargo China rubber shipments at least without some substantial quid pro quo, e.g. US agreement bulk buy Ceylon rubber. We agreed transmit to Dept any concrete ideas GOC might present this connection.

Question rice from China raised Friday with Min Home Affairs Goonetilleke in discussion re Ceylon rice situation (Embtel 313, [Page 2075] Nov 10).1 Min stated in view urgency local need and polit implications, GOC wld “take rice from devil himself”.

Emb considers improbable GOC will change position re China rubber shipments and that GOC will not hesitate barter rubber for Chi rice if conditions favorable and other suppliers unable fulfill requirements.

Emb suggests position toward Ceylon under Battle bill be taken on above assumptions and believes there is little to be gained by further discussions.

Gufler
  1. Telegram 313 from Colombo, November 10, not printed, reported that the Government of Ceylon had on November 9 telegraphed the Ceylonese Embassy in Washington authorizing the purchase of 18,000 tons of U.S. rice. Nine thousand tons were needed in Colombo by January 12, 1952, and the balance by January 20 at the latest. Rice from present stocks and expected arrivals would be completely exhausted by January 12. The Government of Ceylon also raised the possibility of a loan of rice from purchases which the Japan Logistics Command was making in Bangkok. (846E.2317/11–1051) The Japan Logistics Command was an Army procurement agency under the Commander in Chief, Far East, for meeting military and relief requirements in Korea from non-U.S. sources.