Evening star., 1951-03-04

close economic cooperation betwt
agreed that future political cordi;
depends primarily upon long
range economic collaboration. or
to put 1t more bluntly, large loans
and capital investments from
North America"
From President Vargas down,
most responsible Brazilians. as
well as q large number of United
States businessmen and diplo-
matte officials with whom I have
talked. feel that in the present
world emergency, Uncle Sam can
not afford to neglect the impor-
tance Of this. the largest. most
populous and richest country on
the Southern continent. Some OF
them tell you frankly that it is
the duty of the United States to
supply the means with which to
develop Brazil's fabulous re-
sources. Most Brazilian politi-
clans think such assistance should
be in the form of loans and credits
to local government agencies. Nat
urally, most businessmen. native
and foreign, insist that it should
be in the form of private capital
investments.
But in q six-week. on-the-
ground observation Of the situa-
ton just before and following the
Inauguration of the new Vargas
regime, I have not found many
Brazilians who are enthusiastic
about making any material sacri-
fees to contribute to the present
fight against Communist aggres-
sion. or to allow private United
States capital more liberal oppor-
tunity to invest and make a profit
Views on Communism
Some observers express hope
that President Vargas himself
who during his previous Is
year tenure in Office welcomed the
entrance of private foreign enter
prise into the country. will again
encourage North American invest
ments, and eventually offer effec-
tive military cooperation against
communism. But if the general
attitude of Brazilians of all classes
has any bearing on official actions,
it will be only after generous and
ironclad economic and financial
concessions and aid from us.
In an exclusive interview, the
first with a foreign correspondent
after he assumed Office. President
Vargas told me that he is mot
sure that Korea was the place to
make a definite stand against Red
aggression. Personally" he said
Il am afraid you are using your
energies long way from you1
bases of supply" But the Brazilian
leader was quick to add. Natural.
ly, I am not yet in possession o1
all the flrst-hand facts concerning
the situation. since I have been II
official touch with the inter.
national picture only a few days.
1t may be said that this is essen.
TALLY the point of view one hears
throughout most of Latin America
today. To the vast majority oi
our neighbors, the war In Asia not
only seems to be a long way off
but they do not wish to be in
volved in it.
In answer to a direct question
as to whether his government
would be willing to furnish direct
military aid to United Nations
forces he said. Brazil is always
ready to fulfill it's international
agreements. What assistance we
will be able to offer would depend
upon our military preparations
At any rate, all this is to be dis
cussed with the United States and
the other American nations at the
forthcoming foreign ministers
consultations in Washington.
These discussions will determine
what steps we are to take"
For the first time since he took
Office on January the 31st, Presi-
dent Vargas also declared, for
publication, that Communism is
a definite threat and every con-
structive effort must be used to
combat it. But" he went on to