628. Memorandum From Arnold Nachmanoff of the National Security Council Staff to the President’s Assistant for National Security Affairs (Kissinger)1 2

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SUBJECT:

  • Efforts to Avoid Friction with Peru

In your April 16 meeting with Under Secretary Irwin, you discussed the importance of avoiding friction with the Peruvians in the near future. He subsequently sent you a memo outlining several current problem areas in our relations with Peru. State has now sent the attached memorandum (Tab A) outlining their actions to reduce and avoid friction with Peru on difficult US-Peruvian problems.

The memo notes that two of our most immediate problems with Peru have been taken care of:

  • —The US supported the IDB road loan for Peru and Secretary Connally was dissuaded from authorizing a threatening statement by our Executive Director.
  • —W.R. Grace Company’s efforts to introduce an amendment to the Sugar Act which would require deduction from the imports of countries that have nationalized US sugar properties have also been defused. State has expressed its opposition to the amendment before the House Agriculture Committee and has informed the Peruvians of its position.

The potential for serious conflict over the fisheries problem, however, remains high because US tuna boats are still fishing in the waters off Peru. State has concluded its review of possible solutions to the problem and has submitted its recommendations, from which DOD dissents. We propose to deal with State’s proposals on the fisheries question in the context of NSSM 125—US Oceans Policy, which is due June 15. However, US fishing boats are off Peru and we may be forced to consider our tactics sooner if the situation escalates before that date.

  1. Source: National Archives, Nixon Presidential Materials, NSC Files, Box 793, Country Files, Latin America, Peru, Vol. II, July 1970–13 December 1971. Secret; Exdis. Sent for information. Tab A, an April 29 memorandum from Eliot to Kissinger, is attached, but not published. Although a memorandum of conversation of the April 16 meeting was not found, Eliot summarized it for Kissinger in an April 17 memorandum, which is ibid. NSSM 125 is published in Foreign Relations, 1969–1976, vol. E–1, Documents on Global Issues, 1969–1972, Document 390.
  2. After discussing the resolved problems in the U.S.-Peruvian relationship, Nachmanoff noted that the fisheries problem still persisted and explained that it would be dealt with in the context of NSSM 125, U.S. Oceans Policy.