Search JTA's historical archive dating back to 1923

Grain Deal for Arab States

May 7, 1975
See Original Daily Bulletin From This Date
Advertisement

Egypt, Syria and Jordan have received more than 14 times as much American grain on concession credit terms granted by the U.S. government than has Israel thus far this fiscal year that ends June 30, the U.S. Department of Agriculture told the Jewish Telegraphic Agency.

Including the latest authorization of about 200,000 metric tons of wheat under the U.S. Public Law 480, Egypt will be getting 572,000 tons of wheat and wheat flour for $95.2 million. The U.S. Egyptian agreement calls for the Cairo government to buy 600,000 tons of wheat this fiscal year. In addition, delivery has already been made to Egypt of 4124 tons of tobacco that Cairo bought for $10 million.

Syria has purchased 75,000 tons of wheat for $10.6 million and 25,000 tons of rice for $9 million. Syria bought the wheat after prices had plummeted 30 percent, an Agriculture Department spokesman noted to JTA. Jordan has obtained 40,000 tons of wheat for $6.8 million. Israel’s purchase during the current year total 50,000 tons of wheat for $9 million. Egypt’s purchases were on U.S. dollar credit for 40 years at interest of two percent a year. The agreements with the other Middle East countries called for approximately the same terms, the spokesman indicated.

LINKED TO MIDEAST DEVELOPMENTS

Sen. Richard Stone (D.Fla.) said that Robert J. McCloskey, Assistant Secretary of State for Congressional Relations, has informed him that agricultural assistance will be “somewhat higher” in the new fiscal year beginning July 1 than during the current year.

Stone, a member of the Senate Foreign Agriculture Subcommittee, observed that Israel has received primarily food grains and vegetable oil in past years but these were not available for overseas aid in fiscal year 1975. In fiscal year 1974, Israel received $20 million in aid under the PL 480 program, more than three times the amount this year. Egypt and Syria received no such aid in fiscal year 1974.

Stone said that one State Department official had stated that Egypt’s and Syria’s high level of aid was linked not only to their agricultural needs but also to attempts to reach “a peaceful development in the Middle East.” Israel, according to that official, received large amounts of economic and military assistance which was taken into account along with its food needs in determining its level of agricultural aid.

Recommended from JTA

Advertisement