Created: 12/16/1953

OCR scan of the original document, errors are possible

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PtRl 12



of Controlling newsprint

Supply to Guateaala

Thla aubjeot haa bean reviewed on two separate occasions and both timea tha ocoolualon reached van nossets could ba developed by an attempt to Halt tho supply of newsprint and Ink to Guateaala.

In the flret place,. Government effort to oontrol imerloan aouroea vould be Ineffectual, aa sources of supply at the proBant time are vorld wide, with tba united States, Canada and Sweden actively ooa-petlng for the sao-ket. To swat competition, American firms frequently auat offer papera produced outaide the Western Head sphere, principally from Sweden and quite recently free Bnropean aouroea.

furthermore lt la common practice ia the publishing field to aeeterf newsprint by borrowing froa tbe nearest source. This practice ia cueternary and la utilised by all commercial channels from the produoer down to the ultieate user.

Guatemalan newsprint oonsumptlon is an Insignificant part of the total conauoptlon of the Caribbean area and the email quantities consumed oould readily bo obtained froa any number of miecallaneoua souraea.

speaking, newsprint supply cannot be controlledeconomic methods abort of utilisation of full wartime An example of an unaucceBBful attempt of this nature wasmadey the State Department to restrict supplies efto Argentina, it failed no Withstanding the feet newsprint was inat tbe tine and that handicapping factors snob aa ooncealaant of

o. S. Government interest was not involved.

Other elements of press control have been analysed without aucoesB in developing PBSUCCESS assets, such as supply of printing inks, press maintenance and repairfl parta. International Wire Servioao, snipping sad warehousing operations and financial aspects.

All elements have been explored by adequate research andwith two cleared contracts ie Kev Tork actively partleipatine or associated with the newsprint supply buainaaa.

Original document.

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