42. Memorandum From Lindsey Grant of the National Security Council Staff to the President’s Assistant for National Security Affairs (Kissinger)1

SUBJECT

  • Amends to the Thai for the Rice Transaction

You asked for a recommendation as to what we can do to salve Thai feelings over the recent cancellation of the GVN rice contract.

I have told State that something needs to be done, that we leave it to them to propose specific measures, but that there must be something which the Vice President can offer when he arrives in Bangkok.

I am told by State that—accidentally, I hope—one of the two diverted ships containing PL 480 rice for Vietnam has sunk.

As a result, there are two immediate possibilities:

  • —we can encourage the Vietnamese to go to the Thai for 10,000 tons of rice, and the Vice President can let the Thai know that we are doing so.
  • —we can encourage the Vietnamese to buy some 30,000 tons of sugar from Thailand. Ambassador Unger has already been informally discussing this idea with the Thai Government.

I believe that with the application of continuing pressure from here, I can be confident that we will have a firm policy decision on one of these two possibilities for the Vice President to use in Bangkok.

[Page 92]

Other possible ways of recompensing the Thai seem somewhat farther down the road and therefore less attractive.2

Recommendation

That you approve my continuing to press State and AID for a favorable decision on one of these gestures to the Thai.

Approve3

Disapprove

Other

  1. Source: National Archives, Nixon Presidential Materials, NSC Files, Box 560, Country Files, Far East, Thailand, Vol. II. Secret; Exdis. Sent for action. A notation in Kissinger’s handwriting reads: “Let’s get this moved.”
  2. We are asking Lindsey for a memo on what these are. [Handwritten footnote in the source text.]
  3. Kissinger initialed his approval on December 30.