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United States Department of State / Foreign relations of the United States, 1952-1954. Africa and South Asia (in two parts)

Ceylon,   pp. 1499-1632 PDF (54.0 MB)

Page 1499

846E.2395/1-852: Telegram
     The Charge' in Ceylon (Gufler) to the Departnent of State 2
SECRET                            CoLoMBO, January 8, 1952-11 a.m.
  404. Yesterday evening Black and I were called to PriMin's office,
Min Home Affairs Goonetilleke, MinFin Jayewardene and MEA
Parliamentary Secy Renanayake also present.
  PriMin said MinFin proceeding London Wed for Commonwealth
finance talks and it was most important he should know what future
dollar position would be. He then quoted statistics to demonstrate
reduction in US purchases Ceylon rubber. At this point Goonetilleke
interjected that this decline coincided with Mickiewicz shipment to
China 3 and presumably some connection between two.
   PriMin concluded by asking whether we oonsidered this appro-
priate time hold discussions to re-estab normal pattern US rubber
  We expressed categorical opinion no relation between Mickiewicz
shipment and decline in US rubber purchases which should be attrib-
uted to purely econ factors. We then reviewed background original
rubber purchase talks and mentioned that when Amb Corea raised
question in Dept in Nov (Deptel 202, Nov 17)4 door was left open
and that Emb subsequently indicated US willing discuss rubber con-
  For previous documentation, see Foreign Relation8, 1951, voL1 vI, Part
2, pp.
2013 ff.
  2 This telegram was repeated to London as telegram 186.
  8The Mickiewicz was a Polish vessel which had departed Colombo harbor in
early October 1951, with the first major shipment of Ceylonese rubber to
nist China. Since this action violated both the U.S. and UN embargo of strategic
goods to China, undertaken as a Korean War measure, it consequently strained
U.S.-Ceylonese relations. The U.S. Government shortly thereafter terminated
all aid to Ceylon in compliance with the Battle Act (explained more fully
footnote 3, p. 1503). For an account of events surrounding the Mickiewicz
ment and the U.S. reaction to them, particularly for the months of September
October 1951, see Foreign Relations8, 1951, vol. vi, Part 2, pp. 2013 ff.
  "Telegram 202 to Colombo stated that Claude Corea, Ceylon's Ambassador
the United States, had on his own initiative discussed with a Department
the possibilities of reopening talks with the United States on a rubber purchase
agreement (846E.2317/11-1051). See footnote 2, ibid., p. 2078.

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