61. Letter From Bolivian President Banzer to President Nixon1

Mr. President and Distinguished Friend:

Deeply disturbed by the announcement made by your Secretary of the Treasury concerning the possibility of the sale of United States reserves of strategic materials, I consider it my duty to send you this message expressing the concern which that announcement has aroused in the people of Bolivia, who regard it as presaging the approach of a time of serious economic depression with all of the accompanying backwash of sacrifices and hardships.

I am writing to Your Excellency because I am sure that the Government of the United States cannot be indifferent to the very serious [Page 180] damage that such a measure would inflict upon my country, bearing in mind that Bolivia spared no effort and did not haggle over prices at the time when Bolivian minerals represented such effective cooperation in the defense of democracy. At that time of trial, far from seeking to benefit from a privileged situation, we acted as loyal supporters of the cause, setting aside material advantages for the sake of continental solidarity.

I need not tell you, Mr. President, that we do not regret having acted so, but we do ask for consistent treatment. Your Excellency well knows that my country is struggling doggedly to resolve the innumerable great problems that affect its development and seriously endanger its social peace, maintained with such difficulty in recent times. The dumping of any quantity of your country’s reserves of tin, which will relieve the problems of its powerful industry very little, if at all, will have, on the other hand, a terrible impact on Bolivia’s economy and will be a cause of distress and discouragement for its people.

The announcement that the sales would be regulated, in order not to create unfavorable consequences for the countries concerned, does not alleviate our worry, Mr. President, because we are sure, even so, that the countries whose economies depend in large measure on the price of ores will find that their just aspirations for progress will be seriously affected.

I have thought it opportune to address you, distinguished friend and President of the country that leads all others in acting on behalf of peoples who are struggling to attain better standards of living, because the alternative that faces Bolivia is truly critical. All financial or technical assistance, however well intended, will always be ineffective and deficient if the poor countries are not enabled to learn to be self-supporting with their own resources and if those resources do not obtain in foreign markets the fair prices they should have, free from paternalistic attitudes or regulations in which the interests of the more powerful countries prevail.

These are the thoughts that have impelled me to send you this message. They express the distress of a country which knows what poverty is and which therefore fears to see that poverty made more acute by measures such as those announced by the Secretary of the Treasury of the United States. As the leader of my country, aware of my duties and responsibilities, I can do no less than appeal to the understanding of you, my colleague and friend, who are standard-bearer of a great cause and who therefore will surely not be indifferent to the concern that possesses us.

Trusting that Your Excellency will dispel any doubt about the intentions motivating your Government on the sale of strategic [Page 181] reserves and will restore confidence to my country, I am happy to renew to you the assurances of my highest and most distinguished consideration.

Cordially yours,

General H. Banzer
  1. Summary: Banzer informed Nixon that he was disturbed by the announcement of the sale of U.S. reserves of strategic minerals, which, by depressing tin prices, would harm the Bolivian economy. Banzer noted that no amount of U.S. assistance could compensate for the lower tin prices.

    Source: National Archives, Nixon Presidential Materials, NSC Files, Box 749, Presidential Correspondence, President Banzer, Bolivia, 1971–1974. No classification marking. The text is a translation prepared by Language Services; Banzer’s original letter in Spanish is ibid. On April 6, Banzer expressed similar concerns to U.S. officials in La Paz. (Telegram 1961 from La Paz; ibid., RG 59, Central Foreign Policy File, [no film number]) Nixon’s reply to Banzer’s letter is referenced in the source note to Document 63.