purchase agreement with Canada for wheat, and with Denmark for bacon, eggs, and butter. In general these agreements provide for the purchase by the United Kingdom of exportable surpluses of specified minimum quantities, and for specified minimum prices with provisions for periodic review.

United Kingdom: Principal bilateral financial and economic agreements in force Feb. 21, 1949

I. MONETARY AND OTHER FINANCIAL AND ECONOMIC AGREEMENTS

In general, agreements described as monetary agreements provide for fixed rates of exchange, for the sale of currencies up to certain specified limits, and for the use of sterling at the disposal of either party freely throughout the sterling area. Payments agreements provide for the channeling of all payments through special accounts, without fixing exchange rates or providing for sales of currencies by the respective central

bank

II. AGREEMENTS OR CONTRACTS FOR THE PURCHASE OF FOOD PRODUCTS BY THE UNITED KINGDOM

Contracts are in force for the purchase of the exportable surpluses of sugar from the following countries for 4 years from June 1946:

All parts of the British Empire.

Portuguese Each Africa (Portuguese requirements excepted).
Haiti.

Fiji.

Mauritius.

D. BILATERAL AGREEMENTS BETWEEN LATIN-AMERICAN REPUBLICS

Following is a list of bilateral agreements known to have been negotiated by Latin-American Republics in recent years:

Argentina-Sweden

Signed: November 23, 1948.

Effective: December 1, 1948.

Duration: December 1, 1953.

Nature: (1) Each party agrees to facilitate the importation of the merchandise of other according to its needs and in value equivalent to purchases of its goods by the other party. (2) All payments to be made in Swedish crowns. (3) Overdraft of 50,000,000 crowns to be allowed either country. (4) Final settlement to be made in sterling.

Argentina-France

Signed: July 23, 1947.

[Effective:]

Duration: 5 years.

Nature and commodities involved.-Agreement provides that France buy from Argentina annually specified quantities of certain products provided that during each year the exportable surplus is not now below a specified amount. If France during 5-year period can buy products more cheaply elsewhere, it is free to do so. Products to be purchased by Government of France from IAPI. Agreement also lists goods to be sold by France to Argentina in minimum specified quantities.

Argentina-Belgium-Luxemburg

Signed: May 14, 1946.

Effective: May 24, 1946. Provisionally, subject to ratification.

Duration: 1 year-financial agreement renewable for 1-year periods by tacit consent, unless abrogated by either party with 3 months' notice. 2 years-Commercial Protocol renewable automatically for 1-year periods, unless denounced 3 months prior to date of expiration.

Nature and commodities involved.—Financial agreement, exchange of notes regarding release of blocked assets, and a commercial protocol.

Financial Purpose to provide Belgium with an operating credit with which to purchase Argentine goods until such time as Belgian exports reach point sufficient to establish an approximate balance in the payments between the

two countries. Argentina to allow Belgium a maximum unfavorable operating balance of payments in Belgian francs equivalent to 110,000,000 Argentine pesos. Belgian franc established as means of payment between Argentina and Belgian franc area. Payments to be effected through special Belgian franc account known as Argentine Special Account to be opened in favor of Central Bank of Argentine Republic in the National Bank of Belgium. Central Bank will make use of Belgian franc credits in meeting current Argentine payments in Belgian franc area and will not demand liquidation of balance in its favor until franc balance exceeds equivalent of 110,000,000 Argentine pesos.

Blocked assets: Notes exchanged provide that both countries will unblock assets only upon presentation of a certificate issued by the other certifying to the absence of participation in the ownership of the assets on May 10, 1940. Commercial protocol: Purpose to encourage a commercial interchange between contracting parties until it can be replaced by a commercial treaty. Argentina to facilitate, in greatest measure possible, the granting of export permits for certain specified commodities, principally foodstuffs and animal products, for which Belgium will grant import permits. The quantities of these goods are not stipulated.

Argentina-Ecuador

Signed: August 5, 1946.

Effective: August 5, 1946.

Duration: 3 years.

Nature and commodities involved.-Reciprocal purchase: Argentina to supply Ecuador with up to 10,000 tons of wheat of which up to 5,000 tons to be from 1945-46 crop at 35 pesos per quintal f. o. b. Buenos Aires; 50,000 head of cattle; 30,000 sheep; 10,000 pigs; 7,000 goats; 3,000 horses. Argentine Congress to be requested to exempt Ecuadoran toquilla straw hats from import duty. Ecuadoran fresh fruit to receive most-favored-nation treatment in Argentina.

Ecuador to supply Argentina, annually, up to 6,000 tons good quality rubber beginning January 1, 1947, at a price to be agreed upon for each transaction, but not less than $0.89 (U. S. currency) per kilo f. o. b. port of shipment. Ecuadoran Government to give preference to exports of natural rubber to Argentina, and will not grant for 3 years export permits for rubber to other countries until the Argentine Government has imported the quantity of 6,000 tons of natural rubber per year. Ecuador also to supply annually minimum of 200,000 tons petroleum, 10,000,000 square feet of balsa wood, and 20 tons cinchona bark. Ecuadoran Congress to be requested to reduce import duty on Argentine lard from 0.60 to 0.25 sucre per gross kilo. Argentine fresh fruit to receive most-favored-nation treatment in Ecuador.

Argentina-Egypt

Signed: August 2, 1948.

Nature and commodities involved.-Barter agreement providing for exchange of 30,000 tons of Egyptian rice for Argentine agricultural products. Argentina-United Kingdom

Signed: February 12, 1948.

Effective: Agreement to go into effect as soon as it is approved by the British and Argentine Governments.

Duration: 1 year.

Nature and commodities involved.-Agreement provides for advance lump-sum payment of 10,000,000 pounds by the United Kingdom as a contribution to the increased cost of production of the goods to be purchased from Argentina. This in effect merely part of the purchase price. Rest of price approximately 100,000,000 pounds and this sum Britain also pays in advance, receiving one-half of 1 percent interest. If British purchases of goods covered by the agreement have not amounted to 100,000,000 pounds by March 31, 1949, Argentina is to reimburse the United Kingdom for the unexpended balance. British purchases from Argentina to include 1,272,000 metric tons of corn, 400,000 long tons of frozen meat, and 20,000 long tons of canned meat. Britain to furnish Argentina petroleum products and coal.

Argentina-Spain

Signed: October 30, 1946.

Effective: October 2, 1946.

Duration: October 2, 1946 to December 31, 1951.

Nature and commodities involved.--Provides for reciprocal purchases: Argentine credits to Spain; preference to merchant marine of both parties in transportation of merchandise involved; and various other matters.

Argentina to supply Spain with 400,000 tons minimum of wheat in 1947 and 300,000 tons minimum in 1948; and with 120,000 tons of corn in 1947 and 100,000 tons in 1948; provided that the exportable surpluses of these items exceed stated figures. Argentina also to supply Spain with stipulated quantities of a number of other agricultural products during the period 1947-51, once its international commitments on these items are fully satisfied.

Either party may buy in other markets if the seller is unable to meet world prices, and imports and exports, insofar as Argentina is concerned, must be made through the Argentine Institute for the Promotion of Trade.

Argentina-Brazil

Signed: November 29, 1946.

Effective: January 1, 1947.
Duration: 5 years.

Nature and commodities involved.—Reciprocal purchases. Argentina to supply Brazil:

Wheat: 1.200,000 tons annually if exportable surplus is not less than 2,600,000 tons; if it is less Argentina will earmark 45 percent of the available surplus for Brazil. Price to be lowest applied to any third party during preceding month.

Wool: 5,000 metric tons annually.

Casein 1,000 metric tons annually.

Brazil to supply Argentina:

Truck tires: 5,000 during 1946, 40,000 during 1947.

Automobile tires: 40,000 during 1947. Brazil will supply in 1948-51 such truck and automobile tires as Argentine industry cannot produce.)

Crude rubber: 3,000 tons in last half of 1947, 5.000 tons annually in 1948-51. Cotton piece goods: 60,000,000 meters in 1947, 80,000.000 meters in 1948, 100,000,000 annually in 1949-51.

And specified quantities of about a dozen other miscellaneous items.

For rubber, wheat, tires, and textiles, purchases of the specified amounts are not obligatory and offers from competitive sources can be considered. If price quotations from other sources are lower than those specified in the agreement, the other party must be given an opportunity to meet the lower price quotations. If the other party is unable or unwilling to meet them, purchaser is free to buy from the cheapest source.

Argentina-Chile

Signed: December 13, 1946.

Duration: 5 years after ratification.

Nature and commodities involved.-Provides for limited free trade between the two countries and for the financing by Argentina of industrial development and public-works construction in Chile.

I. Trade provisions: Reciprocal duty-free and tax-free entry of goods imported for consumption or industrialization. Such duty-free imports will be in amounts sufficient to complete requirements of either country, subject to exportable surpluses in the other country. Each Government will fix periodically the quantity of the respective products which can be imported within a fixed period of time.

Both countries will give preferential attention to the requirements of the other country, as regards each one's exportable surpluses.

Each country shall prepare a list of products originating in the other which shall be excepted from the duty-free entry provision, within 180 days from the day the agreement goes into effect.

II. Financial provisions: Argentina grants a 100,000,000 peso revolving credit to Chile, will invest 300,000,000 pesos in Chilean industries, and will grant a 300,000,000 pesos loan to Chile for public-works construction. These funds to be provided by Argentine Institute for the Promotion of Trade.

An Argentine-Chilean Finance Association, to be established, will assist Chilean enterprises to increase Chile's exports to Argentina, especially of copper, iron, steel, nitrate, coal, wood, and electric power.

All materials, machinery, and implements used in public works and not produced in Chile shall be purchased from the Argentine Institute for the Promotion of Trade, except those which may be purchased more advantageously as to quality, terms or prices, in other market. (This is an escape clause.)

The agreement contains other provisions regarding communications, insurance, motion pictures, etc.

Argentina-Switzerland

Signed: January 20, 1947.

Effective: January 20, 1947, provisionally, pending ratification.
Duration: To December 31, 1951.

Nature and commodities involved.—Provides for reciprocal purchases, most favorable treatment possible with respect to duties, taxes, and administrative procedure in connection with the interchange of products, and various other matters. Applies also to Principality of Liechtenstein by virtue of customs union treaty with Switzerland.

Argentina to supply Switzerland with specified quantities of wheat, corn, barley, oats, an rye, 1947-51.

In addition, once internal demand is satisfied, and existing commitments to other countries met, Argentina will endeavor, whenever possible, to furnish Switzerland with unspecified amounts of meat, butter, lard, tallow, millet, birdseed, wheat flour for fodder, bran, fine bran, bristle, and castor oil.

Switzerland to extend every facility for Argentina to acquire Swiss products, especially industrial machinery and parts; textile machinery; motors, including hydraulic, wind-driven, gas and internal combustion engines; steam boilers; electrical and telecommunication devices; chemicals and pharmaceutical products.

For wheat, corn, barley, oats, and rye, if Switzerland finds other sources of supply with lower prices than those quoted by the Argentine Institute for Trade Promotion, the Institute should be given an opportunity to meet these lower prices. Should it be unable to do so, Switzerland may acquire the products from another source, the quantity thus purchased being deducted from the quota specified in the agreement.

Argentina-Bolivia

Signed: March 8, 1947.

Effective: Upon ratification.

Duration: 5 years.

Nature and commodities involved.-Similar to Argentine-Chilean agreement, but Argentine credits, investments, and loans are less. Provides for limited free trade and for financing by Argentina of industrial development and publicworks construction in Bolivia. However, unlike Chilean agreement, ArgentineBolivian agreement contains a protocol providing for exchange of specified products, including Bolivian minerals and other raw materials, and Argentine foodstuffs, wool, cotton, etc. Bolivia to supply Argentina with annual quantities of tin as available over and above other Bolivian international commitments. Brazil-United Kingdom

Signed: May 21, 1948.

Nature and commodities involved.-Trade and payments agreement. United Kingdom undertakes to ship to Brazil during 1948 certain quantities of specified products, including petroleum, locomotives, machinery, and iron and steel manufactures, in exchange for specified amounts of Brazilian cotton, hides, coffee, and other foodstuffs and raw materials. All operations between Brazil and scheduled area A (formerly sterling area A) will be liquidated in sterling but Brazil withdraws from the transferable account area.

Brazil-Czechoslovakia

Signed: October 16, 1946.

Effective: November 15, 1946.

Duration: 2 years, after expiration of which continues in effect subject to denunciation at any time by either party with 6 months' notice.

Nature and commodities involved.-Most-favored-nation treaty, financial arrangement providing credits to Czechoslovakia, and protocol for interchange of merchandise between two countries.

The commercial treaty provides for reciprocal most-favored-nation treatment with respect to commerce and maritime navigation.

In the financial agreement Brazil grants a $20,000,000 (United States currency) credit to Czechoslovakia for the purchase of Brazilian products, and the repayment of the credit utilized at the rate of 20 percent annually beginning January 1, 1952. The agreement also provides for the regulation of methods of payment between the two countries, and releases Czechoslovak blocked credits in Brazil amounting to approximately $500,000 (United States currency).