891.03/4–1151: Telegram
The Ambassador in India (Henderson) to the Secretary of State
priority
2776. Our appraisal foodgrain rationing situation near future as fols:
1. GOI must decide restore 12 ounce ration fairly soon. Dissatisfaction growing with nine ounce ration which quite inadequate. Prices outside ration shops have increased to double sometimes treble ration shop prices, as result consumers efforts supplement rations. In Parliament last week two members demanded ration restoration emphasizing two months which Munshi originally mentioned as probable duration reduced ration has already elapsed. We note pipeline stocks approaching 1,400,000 tons as result ration reduction since Jan, seasonal rice procurement and recently accelerated arrival purchased foodgrains which 960,000 tons to April 4 and additional 350,000 expected during April.
2. Munshi stated privately GOI decision restore 12 ounce ration cld be delayed little longer. He hopes some kind of favorable action US Congress on foodgrain aid may precede announcement ration restoration. This wld give US credit for increase.
3. We confident Chinese will fully exploit their psychological advantage in case increase made in absence passage US legislation claiming their sale foodgrains enabled GOI restore food rationing level.
4. Imminence of inevitable announcement foodgrain ration restoration makes early Congressional action toward enactment food aid bill extremely important. Even if foodgrain at present moving from US is filling all available ships we hope Members Congress realize delay passage legislation is daily strengthening effects Commie and anti-Amer propaganda in India.