Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-26
us. and Poland
Open Talks on
Surplus Goods
BY EARL IL. VOSS

The United States and Com
munist Poland open negotiations
here today on expansion Of their
economic contacts.
American officials hope to dem
onstrate to the independent
Communists" of the Warsaw
government that there is an at
tractive alternative to economic
dependence on the Soviet Union.
BY the sale of surplus Ameri-
can farm products for Polish
zlotys. the United States expects
to accumulate fund with which
to pay its Warsaw EmbasSy's ad-
ministrative expenses and per-
haps to buy strategic materials.
Poland is a uranium producer.
The five-man Polish team,
headed by Henryk Kotlicki. di-
rector general of the Polish
Finance Ministry, wants to OBJ
tain cotton, grains. fats, oils,
farm implements and coal min
ing machinery.
Figures Minimixed
United States officials eau
toned yesterday. however. that
the initial agreement expected
after about three weeks of ex-
ploratory talks here would be
very much more modest" than
the $500 million to $500 million
deal mentioned in some news re-
ports as the Polish target.
President Eisenhower could
draw on his special emergency
fund to loan Poland money to
buy machinery here if the ex-
ploratory talks develop a salts
factory deal. Export Import
Bank loans are not considered
a likely prospect for Poland. be-
cause Of congressional restric-
lions against their use in aiding
Communist nations.
In the background is the pros
pect that Poland may be per-
Suaded in time TO return to its
traditional trading pattern with
Western Europe.
Provision of coal mining ma
ehinery might be arranged on
some understanding that the in
creased coal output would be
sold to energy-hungry West
European nations rather than to
THE Soviet Union. One attractive
feature for Poland would be the
Increased price coal would COM
mand in the West.
The administration is acutely
aware of the delicacy of the
negotiations with Poland. Coal
producers here are sensitive
about the prospect of losing some
of their European customers to
Poland.
knOwland Opposes Deal
Senator Knowland. the Repub-
lican minority leader. has al
ready warned he is strongly OPP
posed to any economic aid for
Communist Poland. He fears the
effect would merely be TO prop
up weakening Communist
regime in Eastern Europe.
American officials also want to
proceed at gradual pace that
will not alarm the Soviet UnioH
and produce the kind of crack
down Moscow ordered in Hum
gary to return Poland to rigid
Kremlin control.
The United States hopes to ar
range a modest. pilot economic
agreement first. and perhaps
later negotiate stable contract
If the trial is satisfactory.
Poland now does 20 per cent
of its trading with the Soviet
Union. Before World War II the
preponderance of her commerce
was with the West.
At present the Polish regime
exports about SIG million worth
of goods a year to the United
States. Four-fifths OF this is
hams and pork products. Poland
imports about s3.2 million worth
OF goods a year from this coun-
try. mainly used clothing.
Poland spends the other 1922
odd million on repaying $40
million Export Import Bank
loan. making payments on sur
plus American property and pay
ing for imports from other West
ern countries.
II these initial talks are fruit
full. the United States expects
future negotiations to expand
from the economic field into
political and cultural discussions.