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Volume #13 - 910.

CHAPTER XIII

WESTERN EUROPE

PART 7

TURKEY

910.

DEA/9371-A-40

Secretary of State for External Affairs
to Ambassador-Designate in Turkey

DESPATCH 9

Ottawa, November 21, 1947

Sir:

I have the honour to refer to the subject of commercial relations between Canada and Turkey and to summarize recent correspondence and discussion with the Turkish Embassy in Ottawa on this topic.

A note of October 1st† from the Turkish Embassy proposed a Commercial Modus Vivendi between Canada and Turkey similar to that concluded July 28th between Canada and Greece. Our reply of October l7th† to this note was to the effect that direct negotiations between Canada and Turkey to arrange a Commercial Modus Vivendi were considered inadvisable at the present time in view of the fact that the Havana Conference was to open in the very near future and that our two countries would have an opportunity there to discuss the exchange of most favoured nation tariff treatment as part of a multilateral agreement on international trade relations.

In response to this reply, Mr. Zorlu, Counselor of the Turkish Embassy, pointed out, verbally, that by our decision we had given Greece an advantage over Turkey in the competition to secure a Canadian market for exports common to these two countries. Mr. Zorlu was informed that we had again reviewed the problem and that our answer must remain unchanged.

For your own information I might add that negotiations with Greece had been proceeding actively long before the conclusion of the Geneva Conference, and it would have been very difficult suddenly to defer the final exchange of notes until the Havana Conference. In regard to Turkey, the Canadian Government had, in September 1945, expressed agreement in principle with the exchange of most favoured nation tariff treatment and had renewed this offer in October, 1946, but the first definite reply was the Turkish note of October 1st, 1947. As indicated above, it was then decided that the question could well be deferred a few weeks more until the Havana Conference.

I have etc.
H.O. MORAN
for Secretary of State
for External Affairs



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