and will contribute all possible assistance to obtain this objective, as it realizes that both North and West Africa normally are not exporters to dollar destinations in sufficient volume to create a sufficient dollar exchange to cover the purchase of imports now included in existing programs and contemplated in the near future.

8. The Government of the United States will welcome any suggestions from the French authorities looking toward the accomplishment of the purposes stated above and, in general, the fostering of normal commercial relationships between residents of French North and West Africa and the United States.

On December 12th, the Embassy of the United States addressed an aidememoire to the Foreign Office concerning the resumption of private trade between the African territories and the United States.

In reply to this communication, the Ministry of Foreign Affairs has the honor to set forth to the Embassy of the United States, as hereinafter appears, the position of the French Government on this question, which has been the subject of the conversations which His Excellency Mr. William Culbertson has recently had in Paris following the mission in North Africa which he had conducted for the Government of the United States during the summer of 1944.

The Provisional Government and the Government of the United States have already agreed that the reimbursable Lend-Lease arrangement should cease in 1945 for civilian purchases for the territories covered by the FrancoAmerican modus vivendi of Septemebr 25, 1943.1 The purchases made in the United States to supply the North African territories and French West Africa shall henceforth be settled for currently in cash and the system of payments which will thus be applied will no longer differ in principle from the system of payments in private trade.

The French Government is moreover entirely in agreement with the Government of the United States as to the appropriateness of resuming on the basis of private trade commercial intercourse between the United States on the one hand and on the other hand the French territories of North and

1EAS 483, ante, p. 1063.

West Africa, and in addition the other French colonies although the latter are not expressly included in the aide-memoire of December 12th.

The French Government notes with satisfaction the steps taken by the American administration tending to facilitate exports from French African territories to the United States. The French Government on its side is taking all steps to facilitate the issuance of export licenses for goods likely to interest the American market within the limit of goods available in French overseas territories after provision for local, Metropolitan and war needs. The French Government counts on the support of the American administration to give French overseas exporters the facilities to permit them to consummate sales in the United States, in particular shipping space and arrangements for remitting to the local Exchange Control Offices the dollars resulting from these sales, which will aid in increasing the ability of these territories to make purchases in the United States and in other countries using dollars for settlement of their international accounts. The Minister of Foreign Affairs takes this opportunity of drawing the attention of the Embassy of the United States to the difficulties raised by the American administration in granting licenses permitting this remittance to the Exchange Control Offices.

With respect to purchases in the United States of civilian goods for North Africa and for territories under the jurisdiction of the French Colonial Ministry, the French Government intends to give these operations a private character to the greatest extent possible.

It is of course understood that, as long as the world wide supply and shipping difficulties continue, these purchases can only be effected within the framework of the import programs agreed upon between the French Government, the United States Government and the appropriate interallied bodies. Licenses will be able to be granted to importers. When these licenses shall have been approved by the local Exchange Control Offices, they will include, in accordance with general exchange control regulations, authority for the holder of the license to procure, subject to the conditions specified in the license, the dollars necessary for the payment of imports mentioned therein.

The French Government, however, does not feel itself in a position immediately to extend this system of purchases to all cases for the following

reasons:

(1) A large number of products are currently being imported on behalf of State organizations such as the Cereals Office, General Supply Services, etc., and orders for such organizations consequently can only be placed on the American market through government channels and by means of the French Purchasing Mission;

(2) With respect to the North African territories, the small volume of imports which will be possible within the import programs in comparison

with normal imports would not permit in the case of many products an equitable division between the different importers without parcelling out the purchases in such a proportion as would render the operations impractical from a commercial point of view. The desire not to purchase such goods through government channels would thus lead to entrusting purchases to the groupements. In such case the direct contact which it is desired be established between buyers and sellers would not be realized and there would be the risk. of consolidating the activity of the importers' groupements which the French Government considers temporary and belonging only to a wartime economy. Therefore it would seem inevitable that for all products which cannot be imported in quantities sufficient to satisfy the orders of an excessive number of importers, the French Purchasing Mission should for the time being continue to make purchases for the account of the Office of Foreign Commerce or for the local supply services.

Consequently, in spite of the positive desire of the French Government, the purchases in the United States of supplies for the North African territories can only progressively become private purchases. The French Mission will be obliged to continue its activities, it will maintain its necessary contacts for this purpose with the competent American Government Agencies and in particular will continue its efforts to obtain the necessary transport both for the purchases which it will effect and for private purchases as well. In this connection, the French Government counts on the continuing support of the Foreign Economic Administration for the French Mission. It seems desirable to the French Government that an exact procedure be agreed upon between the American Government and the French Purchasing Mission, which procedure should be the subject of discussions in Washington.

With respect to other overseas French territories the French Government agrees that direct contacts should forthwith be established between the American firms and the Colonial firms. The French Ministry of Colonies will make every effort on its part to facilitate these contacts which more profitably can be had in Paris where the principal colonial firms have permanent commercial representatives.

H. A.

Preliminary agreement, supplementary exchange of notes regarding supplies and services, agreement with schedules, and accompanying memorandum and exchange of letters signed at Washington February 28, 1945

Entered into force February 28, 1945; agreement, with schedules, operative from June 6, 1944

Supplemented by agreement of November 8, 1945 2

59 Stat. 1304; Executive Agreement Series 455

PRELIMINARY AGREEMENT

PRINCIPLES APPLYING TO MUTUAL AID IN THE PROSECUTION OF THE WAR AGAINST AGGRESSION

Preliminary Agreement between the United States of America and the Provisional Government of the French Republic

Whereas the Government of the United States of America and the Provisional Government of the French Republic declare that they are engaged in a cooperative undertaking, together with every other nation or people of like mind, to the end of laying the bases of a just and enduring world peace securing order under law to themselves and all nations;

And whereas the Government of the United States of America and the Provisional Government of the French Republic, as signatories of the Declaration by United Nations of January 1, 1942,3 have subscribed to a common program of purposes and principles embodied in the Joint Declaration, known as the Atlantic Charter, made on August 14, 1941,* by the President of the United States of America and the Prime Minister of the United Kingdom of Great Britain and Northern Ireland;

1 See also lend-lease settlement agreements of May 28, 1946 (TIAS 1928, post, p. 1126); Feb. 27, 1948 (TIAS 1930, post, p. 1245); Mar. 14, 1949 (TIAS 1935 and 1936, post, pp. 1300 and 1304); and Jan. 30, 1958 (9 UST 67; TIAS 3979).

And whereas the President of the United States of America has determined, pursuant to the Act of Congress of March 11, 1941,5 that the defense of any French territory not under the control of the Axis is vital to the defense of the United States of America;

And whereas the United States of America has extended and is continuing to extend to the Provisional Government of the French Republic aid in resisting aggression;

And whereas it is expedient that the final determination of the terms and conditions upon which the Provisional Government of the French Republic receives such aid and of the benefits to be received by the United States of America in return therefor should be deferred until the extent of the defense aid is known and until the progress of events makes clearer the final terms and conditions and benefits which will be in the mutual interests of the United States of America and France and will promote the establishment and maintenance of world peace;

And whereas the Government of the United States of America and the Provisional Government of the French Republic are mutually desirous of concluding now a preliminary agreement in regard to the provisions of defense aid and in regard to certain considerations which shall be taken into account in determining such terms and conditions and the making of such an agreement has been in all respects duly authorized, and all acts, conditions and formalities which it may have been necessary to perform, fulfill or execute prior to the making of such an agreement in conformity with the laws either of the United States of America or of France have been performed, fulfilled or executed as required;

The undersigned, being duly authorized by their respective Governments for that purpose, have agreed as follows:

ARTICLE I

The Government of the United States of America will continue to supply the Provisional Government of the French Republic with such defense articles, defense services, and defense information as the President of the United States of America shall authorize to be transferred or provided.

ARTICLE II

The Provisional Government of the French Republic will continue to contribute to the defense of the United States of America and the strengthening thereof and will provide such articles, services, facilities or information as it may be in a position to supply.

ARTICLE III

The Provisional Government of the French Republic will not without the consent of the President of the United States of America transfer title to, or 55 Stat. 31.