WEEKLY CONTRIBUTIONS (Sanitized) ORE, CIA

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79-01090A000200050014-0
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 9
• Document Creation Date: December 15, 2016
• Document Release Date: September 5, 2002
• Sequence Number: 14
• Publication Date: April 4, 1950
• Content Type: SUMMARY

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Weekly Contributions
/4. April 1950
Dal CIA
Of the items reported this week217--lfinds one ? that an 25X1
anti-US feeling in Bolivia (p. 2) o particular interest.
CURRENT DEVELOPMENTS
NORTHERN AREA: Unrest among Mexican railway workers is being ex-
ploited by the Communists (p. 2).
CENTRAL AREA: In Venezuela? the government is attempting to win
labor's confidence (p. 2).
SOUTHERN AREA.: In Bolivia, disappointment over failure to receive
US economic aid has increased anti-US feeling (p. 2).
In Peru, Odria's presidential campaign is meeting
with increased resistance (p. 3). In Argentina, despite its recent
victory in four provincial elections the administration continues
gradually to lose political strength (p, h).
SFECIAL SUBJECTS
The Current Situation in Surinam 5
The Current Situation in Haiti 7
DOCUMENT NO
N CHANGE IN CLAS.
DECLASSIFIED
CI. SS. CHANGED TO: TS
NEXT REVIEW DATE:
AUTH: 1FOS.
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DATE/
State Dept. review completed
SC
REVIEWER;
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euokly Contributions,
(CIA Working Paper)
4 April 1950
kEXICO: Unrest Among Railnyjilerms.
dissenilon Sindicato de Trabajadores
Perrocarrileros (railroad workers) are, as charged by pro-adminis-
tration forces, being stirred up and exploited by. the Communists.
Communist leaders, by supporting these long-standing political and
economic grievances, have attracted a substantial following in the
Sindicato. Its pro-government Executive Committee, recognizing the
poseibility of unrest being turned to U00CMHCommunist advantage,
is now bargaining with their,arriment to submit to the economic
demands of the dissidents. estimates that the government and
Executive Committee will succe in "taking the wind out of the
sails" of the Communist agitators by a general wage increase in
the near future.
2. VENEZUELA: Petroleum Strike Averted
The-governing-juiaverted a threatened industry-
wide strike of Venezuelan petroleum workers by granting unexpectedly
liberal concessions to labor. In a conference 29 March between the
junta and union representatives, the labor loaders agreed to halt
the strike eachinery set in motion 25 March when they filed the
prescribed 120-hour strike notice. The junta in turn has agreed
to lift the restrictions imposed in the western oil fields 28 March
(lee., closing of syndicate headquarters, prohibition of syndicate
activities, and detention of labor loaders); to consider the possi-
bility of asking the companies to continue informal discussion of
uege scales and ?emissaries; to issue a decree upholding the
grievance procedure provided in the collective labor contracts
(a procedure which had recently been nullified by a decision of
the Second Superior Labor Court); and to -uphold any court decision
favorable to labors right to introduce demands.
The appeasement of labor implicit in the govornmentes
concessions appears to exceed the immediate requirements of the
situation. If the governments only purpose had been to prevent
a strike, the steps previously taken (the declaration that such a
strike would be illegal, and the detention of labor leaders) would
probably have been sufficient. However, it is apparent that the
junta is no longer satisfied to depend solely upon repressive meas-
ures in dealing with labor problems; and, fearing labor unrest due
to unemployment, and perhaps looking ahead to elections, the junta
is attempting to win the confidence of labor. en the other hand, as
long as the junta insists upon keeping the labor organizations decen-
tralized, it will be difficult to dispel their hostility towards the
government.
3, BOLIVIA: Anti-US Feel Increases
Tr-ailFiTisiriiiiiiaiir?e=iire to receive additional US eco-
nomic aid during recent months has increased anti-US feeling in
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Weekly Contributions,
(CIA Working Paper)
P79-01090A006050050014-0
4 April 1950
Bolivia. This feeling was illustrated by the sharp reaction of the
Bolivian press to Assistant Secretary Miller's recent Philadelphia
speech. Ever since the beginning of Bolivia's current economic
crisis, Bolivian officials have encouraged the public to look to
US aid rather than to measures that might be taken by Bolivia
itself. The Foreign Minister even dreamed up a "Miller Plan" as
a suggested Latin American counterpart to ECA I INly, 21 Mar 50).
Consequently, public hopes had been built up to an exaggerated de-
gree prior to Mr, Miller's speech. While the immediate reaction
has been one of somewhat angry disappointment, the ultimate effect
could be to put US-Bolivian relations on a sounder basis than would
have been possible had the Bolivian public persisted in its very
unrealistic hopes for US aid.
5, PERU: Oirfats Presidential Ca i Meets With Increased Resistance
mEL-1131
pros n a campa gn s mee wi crease
resistance. Various political groups and military elements vigor-
ously oppose ?dries arrangements for the election scheduled 2 July
/950 and especially his delay in resigning from office as required
by the Constitution
25X1 Wklies, 7 Mar and 17 Jan 50). Disunity
among Odra 's ma followers has also become apparent; and a sub-
stantial portion of the electorate, already restricted by the dis-
enfranchisement of the Apristas, evidently intends to abstain from
voting. further, Odrfa has not yet Obtained the support he expected
from the Uni6n Revolucionaria? the largest legal party. Because
of these difficulties, he may be forced to hand arer his office to
some trustworthy colleague some time in advance of the elections
and possibly even to postpone them. In any case, political condi-
tions can be expected to become considerably more unsettled prior
to elections. Nevertheless, as long as Odrfa retains the support
of the majority of the armed forces and of influential groups such
as the "Independent" Senators, his chances of election are still
quite good.
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25X1 Weakly Contributions,
(CIA Working Paper)
L. April 1950
6, ARGENTINA: yrovincial Elections
The mat-recent eirdence that the gradual loss of polit-
ical strength by the Peron administration is continuing is found in
the slight losses in voting strength sustained by Peronista candi-
dates in four recent provincial elections. Even though administra-
tion candidates won these elections, the administration --uhich
remains vulnerable to the loss of vital labor support ? maybe
expected to continue to try to reverse the declining trend, perhaps
more vigorously than before, in anticipation of the presidential
elections of 1952.
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eke:le e ceontr1nueions5;
\eel Norking Paper)
Sete
tion Venorandtne150
elle Current Situation in Surinam
eeemeary -- Under the new interim conetitation of 20 January
10; ..S-iiireem now lee the right to menage its own domestic
effairs, The comic outlook appears less favorable. The
Dutch arey garrison and small force of native policemen
eontinun to be of no militanf importanoe There has been
no movement of a leftint or other nubversive character.
Surinemue efforts to obtain meMbership in the United Nations
.!ceenorrie Commission for Iatin America (ECU) are being en-
eouraged by the home government
-- US security teres have not been affected
eyrecent developronts in Surinam.)
PolA ical
,he most important development in recent months was the prounlga-
tion 20 Jareere 1950) of a new interim constitution for Surinam. The
bill es finally approved by the Surinam Staten and the Netherlands
Stet, a General, omits the prevision rewiring mandatory public support
of vemate schools which aroused such controversy- when the draft bill
was .erst submitted for Surinemue approval in July 1949
Ece
The new constitution is an "interim order'', since ereeent plans
envi ego an owentual change in the logal relationships of the Nether-
land 1 and its Western Hemisphere possessions. Now that the Battlement
with Indonesia has been concludeds the Netherlands can concentrate
affection on the problem of relations with its Caribbean. possessions
Indi ations are that the government of the Netherlands, adopting a
more evlightened approach" in its colonial policy contemplates the
ereaelon of a New Kingdom which mill include throe "equal,' partners ---
the eetherlands the Neth rlands Antillees and Surinam The new cor-
etit .eion is a preliminary step in this direction. The definitive
regu ation of the structure of the Kingdom and its relationship, if amy,
eith the Netherlands-Indonesian Union, will be discussed at a round table
coni rence scheduled for julee
!anmhile? ender the terms of the interim errangements Serie-mu
gets the right to manage its own domestic affairs? with the Netherlands
gave, ement continuing to edWenister matters relating to foreign rola
-
timer deform; and trade with the rest of the empire. Responsibility
foreovernments, wnieh foraerly rested solely with the Crown-appointed
Clove nor is now shared, be- the 0orereer and a cabinet composed of at
leeee nine ministers. The constitution provides for ministerial re-
epon rebility to a Staten or tweni,7--ona members elected directly by the
peopee In addition, there in a provision for the appoleteent by the
Gove eme of a five-men advisory council; charged with giving advice,
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25X1 Atela ontributions,?
f!..1.TA Work:1ms poor)
3ituation itmorandum 18-50
it April 1950
%,elative to laws proposed by the Governor or the cabinets, decrees of the
Covemor, and ell other matters on -which its opinion may be requestod,
26o OW:Mae
00011.013-1C condition of Surinam appears less favorable than it
Id five months ago. It is possible that production at the largest of
the throe bauxite mines will be reduced by one third. in 1950 because of
dscreasod US demand, If this happens? the loss of dollar ilICOre result-
ing from decreased (Imports will have an adverse effect on. the countrys
ER:10110127, but no serious unemployment situation ray be expected since
the mines are. so mechanized that even at the peak of production they
omploy less than 31000 natives? Even if thare is a cut-back in produc-
tion.f? it is not likely that it will be a lasting one in view of the fact
that aluminum has now boon out on the US lir b of strategic materials for
stockpiling beginning July 1950,
Vae output ,of gold (the one other mineral of importance) 0071tilMOS
to decline in spite of the government bonus for ovary gram produeod. The
coonoAc outlook is somewhat more favorable for the main agricultural ex-
port rice, but even hall'a the current lou price of rico in the world rarket
is not .a source of encouragemento Surinam producers. In two of the
smaller industries -- citrus fruit and timber and plywood -- the adverse
effects of the devaluation of the Netherlands guilder will continuo to be
felt for some tiro. These industries were the hardest hit by this devalu-
ation? ai.ncte they depend almost exclusively on the Netherlands market.
ilir
':ftla small Dutch arm garrison in Paramribo and the very smrtil native
polies force continue to be of no political or militori- significance.
Saw sive
Movement of a leftist or other subversive character is !mown to
exist in Siarinam.
Inter nt,:xtional
hairinom does not carry on international relations, 3111.(M all matters
relating to its forragiaf_..fairs are administered by the Nothez.lancis govera-
sent? :Surinam has o#ressod interest in membership in the United Nations
Plconomic Comission for Latin. Jlimerica (1-1014,) however, and at the 1943.0
mootilag of that body in Havana the Dutch delegate officially requested the
incltsion of Surinam in the Commisnien, (Although at present no colonial
possessions are members of E0LA? dependent territories are allowed under
the 1,,=1,s of reference of the Cominsion to becow. associate YrEmbers vith
no voting privileges.) Through such mcdeershipi. Surinam hopes to obtain
the :::vantages of amcr technical studies 7thich may be made EOLit and
also .Tbreiga scholarships for Sminam technicians.
people of Surinam contime to be favorably disnowd tomrd the US.
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25X1 Weekly-Contributions,
(CIA Working Paper)
situation Nemerandum 19-50
The Current Situation in Haiti
4 April 1950
(Sumem -- The Est ing regime is reasonably well in control
Orme political situation, Haiti experienced a relatively
prosperous year during 1949 and the financial outlook is
improving. The armed forces are loyal. Communist activity
is at a standstill. Friction with the Dominican Republic
continues to dominate Beitigs international relations.
-- The fact that Haiti, in the face, of Dominican
interference in its internal affairs, resorted to the
inter-American machinery and obtained some satisfaction is
a gain for DS security interests to the extent thatreir-
tions between the two countries are iraproved.)
Political
regime is reasonably well in control of the political
situation. Following the BoveMber student strike, effective opposition
was suppressed while revelation of a Dominican-supported plot to assassi-
nate government leaders last December won new adherents for the adminis-
tration. In January, when a new Chamber of Deputies was elected, the
government os nofficial" candidates were virtually unopposed. The adnin-
istrationcs prestige has also been increased by the International
Exposition? a source of national pride. Army leaders, whose support is
necessary for Estimits continuance in office, are cooperating fully-with
25X1 the president, estimates that the gavernmentss stability has been
Is:proved and that the political situation will remain calm during the
coming months,
Economic
---N-Iti experienced a relatively prosperous year during 1949. Concur-
rent with generally accelerated commercial activity, employment increased
and wages rose. The only noteworthy adverse features in the economic
situation have been lower prices for cacao and bananas and the resultant
serious curtailment of production of these commodities. Shipments of
bananas, for =ample, at one tine Haiti's second export crop, declined
from 7 million stems in 1947 to just over 2 million stems during the
past years, and the downward, trend is continuing. With the exception of
bananas awl cacao, however, the outlook bertha production and disposal
of Haitils export commodities during the current fiscal year is favor-
able, Shipments of the two principal export crops, coffee ($3.7 million)
and. sisal ($9,5 million), represented an increase in value of 28 percent
and 15 percent, respectively, aver 1948 as a result of favorable weather
and marketing conditions,, It is anticipated that the larger-than-average
lV49-50 coffee crop will be sold at advantageous prices, and the market
for Ileitis's slowly expanding sisal production appears firm, The
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25X1 Vieekly Contributions, - 2 ? 4 April 1950
(CIA Working Paper)
Situation Memorandum 19,-50
International Exposition, while it probably will not be a financial euc-
oess? has contributed to the prosperity of the country by creating jobs,
stimulating tourism, and effecting permanent and necessary improvements
in the capital city. Despite the above-averago number of tourists,
the cost of living has shown a slight downward tendency during recent
months. International trade was carried on at the same high level as
in the preceding year. tbcause of increased domestic consumption, the
volume of elports was somewhat reduced although their value remained
steady. at $31 million. Import prices mere slightly more favorable to
Haiti than in 1948, and the value of merchandiee imported fell from
632,2 million in 1948 to $31,4 million. Foreign currency holdings
appear adequate and no exchange difficulties are eepected.
The finencial outlook for the country is improving. The Inter-
national Exposition, which heretofore constituted a hoary drain (about
$6 million) on the hard-pressed treasury, is now practically- completed.
Although government expenditures exceodod by $2 million record receipts
of $16.6 million, these expenditures included over $2 million for debt
amortiration. The 194950 budget is the largest in the country's
histoeny? and it is estimated that government revenues will continue at
their present high level during the current year. There are no factors
in the present situation -which are likely, during the next few months,
to impair seriously the generally favorable economic outlook.
e armed forces are, as a whole, loyal to the administration and
capable of maintaining internal order under ordinary oircumatances.
Officer morale in the army and air force has been improved by promotions
effected under an increase in the authorized officer complement of both
soriclees. The coast guard is benefiting from a much needed program of
mat6rie1 maintenance and personnel training under the guidance of the
newly installed US Naval *salon_
A basic defect in the military establishment, which has become more
prevalent of late, is the involvement of civilian politicians in the
country's arne procurement program. As a result, the limited funds avail-
able for this purpose are not being used to the bent advantage.
Subversive
-aitaTugh Communism has been officially outlawed in Haiti since early
19W? a wall Communist Party (the FSP) was tolerated until President
Eetim6 suppressed it for fomenting political disturbances lest November.
The dissolution of the Party and suspension of its once influential news-
paper has put an end to overt Cormunist activity in Haiti. believes 25X1
that Communism, which has never attracted significant popular support in
Haiti, will not be resuscitated for at least some time.
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aiscaln
Weekly Contributions,
(CIA Working Paper)
Situation Memorandum 19-50
4. April 1950
International
Wiio with the Dominican Republic continues to be Haiti 'a primary
International concern. DS efforts to foster a resumption of maicable
relations sere nullified by Dominican complicity in the December plot
to overthrow the Haitian government. OAS action following Haiti's com-
plaint in this connection will probably discourage further Dominican
interference in Hhities internal affairs for the time being. However,
Haiti continuos to regard its neighbor with traditional distrust.
The International Exposition has earned for Haiti a certain amount
of prestige abroad, particularly among other Latin American countries.
The inaugural ceremonies were featured by numerous friendly gestures
on the part of France toward its formar colony, and the Haitians re-
sponded with 'wholehearted demonstratione of sentimental affection for
the "mother countryn,
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