UNRRA Council.

1. We understand that the Council is likely to meet in Paris in
late July or August to deal with the problem of transition [1]
when it may make recommendations to the United Nations Assembly
for September. Assuming that no third contributions will be made
some financial liability for rehabilitation must continue through
other channels. It is doubtful whether the bank for reconstruction
would be suitable.

2. Meanwhile the March Meeting may make public sharp differences
of opinion on relief food supplies. UNRRA countries supported by
the Russians are demanding priority for themselves as devastated
areas. Their chief grievances are over edible fats and oils the
distribution of which is largely controlled by former neutrals.

3. Frequent conferences are being held-between UNRRA Committees
and Combined Food Board Officers who endeavour to explain their
lack of authority. [2] It is possible that UNRRA may seek
allocations of food exports from member countries by some
international authority and your delegation will need
instructions. Detailed reports on the situation are en route by
airmail.

4. We need your nominations for the Australian Delegation. Brigden
could leave Savannah [3] in time to attend if desired.

5. Your 217. On the second contribution we had informed UNRRA that
your reservation on its form probably concerns the ten per cent of
free exchange. We have noted the telegram to you on this subject
from London No. 1153 repeated here and await further instructions.

[4]