891.03/4–2351: Telegram

The Ambassador in the Soviet Union (Kirk) to the Secretary of State

secret

1850. In conversation with Emb officer Apr 22 Indian Minister counselor Gundevia1 expressed serious concern about delay in US Legislative action on Indian wheat. He said that even assuming Legis eventually enacted US wheat will arrive too late prevent famine which has already begun in some districts Birar and Madras and on the propaganda side to prevent further deterioration in Ind public attitudes toward US. He opined that if Gallup Poll conducted India today to determine relative popularity US and USSR latter wld easily come out on top.

Gundevia then confided that secret negots now proceeding between GOI and Sov Emb Delhi for acquisition by GOI of 500,000 tons Sov wheat on barter basis. Sovs said to have taken initiative these negots which represent resumption GOI-Sov trade negots in 1949. 1949 negots broke down because of GOI disgust with hard Sov bargaining methods but GOI is impelled by grave food crisis to endure these methods this year. Shellac and tea were mentioned as two commodities figuring in present barter deal. Sovs also wanted rubber but told India had no surplus and in fact had to import rubber. Gundevia stressed that in contrast present US attitude Sovs have not raised question of getting strategic commodities in return for wheat.

In brief ref to comparable negots with Commie China Gundevia said 50,000 tons of Chi wheat already on way to India. He expressed some doubt however that India wld be able obtain significant quantities Chi wheat.

Gundevia concluded by saying present sitn gives Ind Leftists excellent ammunition which they will not fail use in forthcoming elections.

Please protect source.

Rptd info New Delhi 62, London 347, Dept pass New Delhi and London.

Kirk
  1. Y. D. Gundevia, Minister Counselor of the Indian Embassy in the Soviet Union.