343. Telegram From the Mission to the European Office of the United Nations to the Department of State1
3388. Roth to Bator.
- 1.
-
Full report on this morning’s Steering Committee meeting on its way,2 Delegation returned from discussions in mood of deep pessimism.
Absolutely no sign of progress to date in any areas of U.S. interest. For example, this morning before the Steering Committee meeting Rabot met with us on grains and rejected our offer to bind loan rate on feed grains as a substitute for minimum price. He also reversed his position of several days ago that a grains agreement could be put together without the inclusion of feed grains. We have not surfaced our ultimate position in this area.
- 2.
- Rey in his main presentation at Steering Group gave a much clearer statement than even before that US should not expect any meaningful concessions in agriculture. He expressed particular concern over US indication that industrial offers might have to be withdrawn if agriculture offers not forthcoming and has refused to take seriously our position that the KR must include agriculture if it is to succeed at all.
- 3.
- In the Steering Group and privately with Rey, I have made it crystal clear that, in addition to movement in the industrial sector (particularly on chemicals), we must have something on grains and non-group agriculture. Otherwise there is no deal. We will continue to press hard for enough concessions from the Community to enable us to face inevitable Congressional criticism with a reasonable case. However, I believe the President will shortly be faced with having to choose between a KR with no offers of substance in non-group agriculture (and perhaps even no grains agreement) or no KR agreement at all.
- 4.
- We now intend to table the packages on Friday PM after prior discussions with Community and other delegations. I have duly noted concern about package number 3, and although I believe you have a point, feel we must probably go ahead with third package. However, I will keep you abreast of thinking as it develops.
- 5.
-
At the next Steering Group meeting on Friday PM,3 I intend to take up Wyndham White’s suggestion that a full Ministerial meeting be tentatively scheduled, perhaps for May 6th. Today and tomorrow I will consult with other key delegations to line up support for this idea. I feel strongly that if no real progress is evident as a result of May 2 EEC Council meeting, time will have run out. At that point, I think our only hope is a full Ministerial meeting. Such meetings always carry risks but it seems to me that we cannot afford to let the KR go down the drain or deescalate into a mini-package without a political confrontation.
For obvious reasons, Rey will resist the participation of member state Ministers and HMG will have a special problem if they follow through on their apparent intention to make the formal EEC application announcement around May 8 (there may not even be a BOT President at the time). The reactions on Friday will determine our immediate tactics re a formalization of the Ministerial meeting request. Also, we will want Washington instructions to Ambassadors at the right time.
- 6.
- As of now Blumenthal and I will return Saturday morning and I would appreciate having a dinner meeting with the “command group” Sunday at my house. Suggest Rehm notify my wife and also that Leddy be invited. If at all possible Blumenthal, Bator and I should see the President on Monday. If the President then feels a restricted Cabinet meeting is necessary or desirable, that can be arranged Tuesday. We will return Tuesday night for Wednesday meeting.
- 7.
- Although our eyes are somewhat glassy and spirits low, nerves are in quite adequate shape. Food excellent and weather has improved.