Office of the Historian

252. Telegram From the Department of State to the Embassy in the United Arab Republic1

Washington, November 17, 1965, 7 p.m.

2807. For Ambassador.

1.
You should inform Kaissouni earliest that USG pleased accede to UAR request for new PL–480 agreement. FYI: In our view preferable you inform Kaissouni rather than Nasser of broad outlines new agreement we willing negotiate. Kaissouni not only in position better understand implications new agreement but less likely react emotionally about possible “strings” or penalties. Quid pro quo aspects of new agreement would be clearly outlined to Kaissouni and others and passed by them to Nasser. On assumption Kaissouni reaction to new proposals will be favorable, we anticipate you would seek early meeting with Nasser, not to discuss details of PL–480 agreement, but to review against background our willingness negotiate new agreement broad spectrum US–UAR relations and areas of possible cooperation including:
a.
Normalization UK-UAR relations and cessation terrorism in Aden.
b.
Birth control.
c.
Economic management and planning in UAR.
d.
IAEA and avoidance of nuclear proliferation.
e.
Near East arms race. End FYI.
2.

Suggest your presentation include following points:

a.
US–UAR relations suffered unfortunate strains in past months, but we have noted indications lessened strain.
b.
President Johnson appreciated President Nasser’s recent message expressing his desire for good relations with US.
c.
We hope climate our relations will continue improve. Important, however, that UAR understand problems we face in marshalling domestic support essential for success our foreign policies, and fact that future of PL–480 program will be directly related to climate US–UAR relations. Believe continuing frank exchanges offer best chance keeping incipient problems manageable.
d.
Several weeks intensive discussion among interested USG agencies were required develop program responsive to UAR request. While certain technical details—including third country consultations on usual marketing requirements—must still be worked out, main features proposed program (same described Deptel 27512) as follows:
1)
Duration six months.
2)
“Mix” of 75% Title I and 25% Title IV. Title IV terms generous. Shift to increasing use Title IV part of worldwide trend.
3)
Program will include wheat, vegetable oil, tobacco, and poultry (number of items requested by UAR no longer available for PL–480 programming) in amounts indicated Deptel 2751.
4)
UAR will be expected substantially increase commercial food purchases from US. Program also provides for option US purchase rice for pounds.
e.
Negotiating instructions now being prepared and should be completed early December. We will not be able discuss specifics until that time.

Begin FYI. We doubt that any of above desiderata can be significantly eased so we should not let Egyptians think that much bargaining is feasible. End FYI.

3.
Department will make parallel presentation to UAR Ambassador Kamel upon receipt info re timing your meeting with Kaissouni. Please advise immediate.
4.
There should be no public statements at this time. You should stress to Kaissouni that it is essential there be no publicity or speculation in UAR at this stage.3
Ball
  1. Source: National Archives and Records Administration, RG 59, Central Files 1964–66, AID (US) 15–4 UAR. Secret; Priority; Limdis. Drafted by Russell and James H. Bahti of NE on November 16; cleared by Symmes, Davies, Hare, Macomber, and Komer; and approved by Ball.↩
  2. Telegram 2751 to Cairo, November 12, requested comments on a package proposal discussed at the LBJ Ranch on November 11 for a P.L. 480 agreement with the UAR with a total commodity value of $54.75 million. (Ibid.)↩
  3. Battle reported in telegram 1260 from Cairo, November 19, that he informed Kaissouni of the substance of telegram 2807. Kaissouni expressed great pleasure but also concern at the terms of the offer. (Ibid.)↩