561.35E1A/1168: Telegram

The Ambassador in the United Kingdom (Kennedy) to the Secretary of State

2297. From the delegates to the International Sugar Council. Following circular note received from the Chairman:

  • “1. As you know, under article 51 (a) of the International Sugar Agreement, any contracting government becoming involved in hostilities may apply for suspension of its obligations, and if such application is denied, may give notice of withdrawal. Under article 51 (e), if any belligerent government does give notice of withdrawal, other contracting governments have the right at any time during the following 3 months also to give notice of withdrawal. Under article 51 (f) withdrawal takes effect 3 months after receipt of notice by the United Kingdom Government.
  • “2. So far no application for suspension of obligations under article 51 has been received, and the agreement is therefore in full force. Moreover, if one of the governments engaged in hostilities should make an application for the suspension or partial suspension of its obligations, I have no reason to believe that the Council would not find a way to meet the needs of the government concerned without forcing it to withdraw from the agreement.
  • “3. In any case, I think that it is very important to make every effort to keep the agreement alive. Taking a long view, it is certain that the end of the war will see the desirability of some regulation scheme if the sugar industry is not to fall into the chaos that followed the last war. In fact, I think it is very desirable to endeavor during the war to avoid the possibility of such a state of chaos arising.
  • “4. I fully realize that it may be difficult to hold formal meetings of the Council, but I believe that much useful work might be done by having informal discussions from time to time among the representatives of the delegations who are available in London, or who can easily come here. Further, it seems essential that the statistical work of the Council should be maintained.
  • [Here follow paragraphs 5 to 9 of the circular, containing recommendations regarding carrying on the work of the office of the Council upon a reduced budget.]”

The amount proposed for the United States in the revised budget of £3,800 for a full war-year is £734.1.9. It would be helpful if any instructions the Department may desire to send be received before the meeting which has been called by the Chairman for 10 a.m., Saturday, November 11th.

Kennedy