Office of the Historian

235. Memorandum From Robert Hormats of the National Security Council Staff to the Presidentʼs Assistant for National Security Affairs (Kissinger)1

Washington, February 14, 1972.

SUBJECT

  • Legislation to Remove Findley Amendment Restrictions on Title I PL 480 Sales to Yugoslavia

Assistant Secretary Palmby has asked for White House views on approaching the appropriate Congressional committees with a view toward removal of restrictions which now prevent PL 480 sales to Yugoslavia. At present, the Findley amendment excludes from PL 480 sales any nation whose ships transport goods to or from Cuba or North Vietnam. Yugoslavia permits its ships to transport materials to Cuba, and exports to Cuba as well. However, Agriculture would like, in accordance with the Presidentʼs desire to be helpful to Yugoslavia and at the same time do something to increase agriculture sales abroad, to provide PL 480 agricultural products to Yugoslavia. Congressional action would be necessary to do this and Palmby wants to approach the Congress to determine how best to proceed to get the proper legislative authority.

You should be aware, however, that this action would probably seriously erode our restrictive policy on trade with Cuba by other Latin [Page 598] American countries. There is considerable pressure from Latin American countries for us to countenance expanded trade relations on their part with Cuba. If we do so with Yugoslavia, it will be difficult to resist in Latin America.2

Recommendation

That you approve Palmbyʼs approaching the Congress on this matter. Pete Peterson and all interested agencies concur.3 (A directive from Pete Peterson approving Palmbyʼs request is at Tab A.4)

  1. Source: National Archives, Nixon Presidential Materials, NSC Files, Box 734, Country Files, Europe, Yugoslavia, Vol. III, 1 Sept 71. Confidential. Sent for urgent action. Sonnenfeldt and Lehman concurred.↩
  2. Haig highlighted this paragraph and wrote a note that reads: “HAK: Could be problem?”↩
  3. Haig checked the approval option. Sonnenfeldt and Hormats informed Kissinger in an April 27 memorandum that Congressman Findley had informed the President that he supported removing Yugoslavia from the list of nations disqualified for dollar credit sales of U.S. agricultural commodities. (National Archives, Nixon Presidential Materials, NSC Files, Box 734, Country Files—Europe, Yugoslavia, Vol. III 1 Sept 71)↩
  4. Not printed.↩