Office of the Historian

239. Memorandum From the Deputy Assistant Secretary of State for Near Eastern, South Asian, and African Affairs (Rountree) to the Counselor of the Department of State (MacArthur)1

Washington, April 4, 1956.

SUBJECT

  • Discussions by Mr. Prochnow with Commerce and Agriculture

I understand that you will request Mr. Prochnow to talk to top officers of the Departments of Agriculture and Commerce concerning certain aspects of our policy in the Near East. You might wish to suggest to him that the discussions be held at the Secretary or Under Secretary level. It might be explained that the Department is proceeding with great care in the implementation of its policies in the Near East area in light of recent disturbing developments. There are certain aspects concerning which we particularly desire the cooperation of the two Departments. It is important, in this connection, that any implication the requests derive from a special new policy of the US with regard to the area should be confined, if possible, only to the Secretary and Under Secretary.

a.

Agriculture (action requested relates solely to Egypt)

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We have decided that, for the time being, no disposals of agricultural surpluses, beyond those transactions already concluded, should be authorized. This relates to applications now pending for grain, cottonseed oil, greasy wool, etc. Also, we will proceed on a 1956 CARE program on an extremely limited basis for the first quarter, and defer any decision regarding the total magnitude of the program until a substantially later date. It is important that this slow-down in acting upon Egyptian requests should not be publicly announced or generally known. It is expected that such pressure from the Egyptians as might develop for items of this character will be focused primarily upon the Department of State; however it is possible or perhaps likely that the Egyptians will also be in touch with officials of the Department of Agriculture. In dealing with such Egyptian contacts we hope that the Agricultural officers will, on the one hand, give no encouragement to the Egyptians that favorable action is expected to be forthcoming or, on the other hand, indicate that policy considerations prevent Egyptian procurement at this time. Mr. Prochnow might discuss with the officials of the Department of Agriculture how this objective might best be achieved.

b.
Commerce (action requested relates to Egypt, Saudi Arabia, Jordan, Syria, Lebanon and Israel)

It might be explained that in view of the tense Near Eastern situation we wish to proceed with extreme care in authorizing commercial exports of matériel of a military character or of a civilian character which obviously is intended for use for military purposes. We therefore request that the Department of Commerce consult with the Department of State before approving any such exports to the countries mentioned. The Department of Commerce recently inquired of the Department as to whether there would be any objection to the export of several hundred jeeps to Egypt. At the Department’s request, a decision upon this item was and continues to be deferred. We hope that the Department of Commerce will continue to withhold its approval, if possible without an outright rejection of the application. Means of employing delaying tactics might be discussed by Mr. Prochnow.

  1. Source: Department of State, NEA Files: Lot 59 D 518, Omega. Mr. Rountree (for NATO meeting May ’56). Top Secret; Omega.↩