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Originally Processed With FOIA(s): FOIA Number: S; 2004-0734-F; 2009-1186-F S FOIA MARKER This is not a textual record. This is used as an administrative marker by the George Bush Presidential Library Staff. Record Group/Collection: George H.W. Bush Presidential Records Collection/Office of Origin: Speechwriting, White House Office of Series: Speech File Backup Files Subseries: Chron File, 1989-1993 OA/ID Number: 13761 Folder ID Number: 13761-003 Folder Title: President Collor of Brazil - Arrival and Toast 6/18/91 [OA 7564] [1] Stack: Row: Section: Shelf: Position: G 26 21 4 7 JUN 17 '91 19:18 P.1/2 FAX MESSAGE FOR Miss CAROLYN CAWLEY (n) 456.2983) WHITE HOUSE SPEECH'S OFFICE From: Luiz Chaves Dear Miss Cawley, As per our conversation early this afternoon. Thank you, JUN 17 '91 19:18 P.2/2 It is my wish to make a special toast to President Collor and his brave wife Rosane, for it just came to my knowledge another adventure of the President, another ad- venture in the style "Indiana Jones". During the flight from Brasilia to Washington Mr. Collor, with the help of the flight Commander, learned quick ly how to fly the airplane and he did so as he crossed Ve- nezuela and, later on, helped in the landing. As all the Brazilian guests are here, I believe the re hasn't been any danger in the flight and in the landing and I can even tell that the President showed a so great skill that they all arrived half an hour earlier. 2JUN 15 '91 13:51 PR/ASS.ESPECIAL 061 2240289 P.1 PRESIDÊNCIA DA REPÚBLICA FAX MESSAGE FOR MS. CAROLYN CAWLEY WHITE HOUSE SPEECH'S OFFICE From: Luiz Chaves Dear Miss Cawley, Sorry about the delay. Too many trips abroad and inland. If you find of any use, these are a few things that occurred me it could be spoken. I'll call you on monday to know your opinion. Thank you, they JUN 15 '91 13:52 PR/ASS. ESPECIAL 061 2240289 P.2 PRESIDÊNCIA DA REPÚBLICA - PRESIDENT BUSH ONCE REFERRED TO PRESIDENT COLLOR AS "INDIANA JONES"-- IN FACT PRESIDENT COLLOR HAS PROVED THAT THE STRENGTH AND COURAGE HE SHOWS IN HIS WEEKEND JOGGING, IN FLYING JET FIGHTERS AND JET-SKIING, HE ALSO SHOWS IN THE DETERMINATION WITH WHICH HE IS LEADING UNPRECEDENTED CHANGE IN BRAZIL. - PRESIDENT COLLOR IS A BLACK BELT KARATE FIGHTER, AND IS ALSO A CHAMPION IN CHOPPING DOWN RED TAPE; IN ONE BLOW HE KNOCKED OUT ONE HUNDRED AND SEVEN THOUSAND PRESIDENTIAL DECREES IN BRAZIL, WHICH HAD BEEN ACCUMULATING SINCE 1889. - THE PRESIDENT AND ROSANE, A COUPLE KNOWN FOR THEIR YOUTH AND ELEGANCE, DO BRING NEW "COLLOR" TO THIS WHITE HOUSE. - BRAZIL USED TO BE KNOWN IN THE WORLD OF SPORTS FOR ITS EXCELLENCE IN SOCCER, NOW IT IS FAMOUS FOR ITS CHAMPIONS IN FORMULA-I AND INDY CAR RACING -- IT IS A SIGN OF A COUNTRY ON THE FAST TRACK TO MODERNITY, WITH PRESIDENT COLLOR BEHIND THE WHEEL. JUN 15 '91 13:56 PR/ASS. ESPECIAL 061 2240289 P.1 PRESIDÊNCIA DA REPÚBLICA FAX MESSAGE FOR MS. CAROLYN CAWLEY WHITE HOUSE SPEECH'S OFFICE From: Luiz Chaves Dear Miss Cawley, Sorry about the delay. Too many trips abroad and inland. If you find of any use, these are a few things that occurred me it could be spoken. I'll call you on monday to know your opinion. Thank you, the JUN 15 '91 13:56 PR/ASS.ESPECIAL 061 2240289 P.2 PRESIDÊNCIA DA REPÚBLICA - PRESIDENT BUSH ONCE REFERRED TO PRESIDENT COLLOR AS "INDIANA JONES" IN FACT PRESIDENT COLLOR HAS PROVED THAT THE STRENGTH AND COURAGE HE SHOWS IN HIS WEEKEND JOGGING, IN FLYING JET FIGHTERS AND JET-SKIING, HE ALSO SHOWS IN THE DETERMINATION WITH WHICH HE IS LEADING UNPRECEDENTED CHANGE IN BRAZIL. - PRESIDENT COLLOR IS A BLACK BELT KARATE FIGHTER, AND IS ALSO A CHAMPION IN CHOPPING DOWN RED TAPE; IN ONE BLOW HE KNOCKED OUT ONE HUNDRED AND SEVEN THOUSAND PRESIDENTIAL DECREES IN BRAZIL, WHICH HAD BEEN ACCUMULATING SINCE 1889. - THE PRESIDENT AND ROSANE, A COUPLE KNOWN FOR THEIR YOUTH AND ELEGANCE, DO BRING NEW "COLLOR" TO THIS WHITE HOUSE. - BRAZIL USED TO BE KNOWN IN THE WORLD OF SPORTS FOR ITS EXCELLENCE IN SOCCER, NOW IT IS FAMOUS FOR ITS CHAMPIONS IN FORMULA-I AND INDY CAR RACING - IT IS A SIGN OF A COUNTRY ON THE FAST TRACK TO MODERNITY, WITH PRESIDENT COLLOR BEHIND THE WHEEL. RCV BY:THE WHITE HOUSE ; 6-17-91 ; 1:03PM ; SOCIAL OFFICE+ 2024566218;# 1 THE WHITE HOUSE WASHINGTON 91 JUN 17 P I : 39 DATE: June 18 they PLEASE DELIVER THE FOLLOWING PAGES TO: NAME: Carol ORGANIZATION: Speechwriting FROM: Celest, Souce L affice PHONE: TOTAL NUMBER OF PAGES 2 INCLUDING COVER LETTER. SPECIAL INSTRUCTIONS: I apologize for not Laving faxed this to you Earlier Thank you. IF YOU DO NOT RECEIVE ALL PAGES, PLEASE CALL BACK AS SOON AS POSSIBLE TO (202) 456-7788. RETURN TELECOPY NUMBER: 202/456-6235 RCV BY:THE WHITE HOUSE ; 6-17-91 1:04PM ; SOCIAL OFFICE- 14PT CAPS 2024566218:# 2 2 GLORIA ESTEFAN Singer/songwriter Gloria Estefan has been winning international praise from fans and critics alike throughout her sold-out 100-city "Into the Light" 1991 World Tour. The Cuban-born Estefan rose to fame in the late 1980s, highly acclaimed for the honesty, urgency and passion of her music, as well as for the exceptional perception and directness of her lyrics. Having just played to 500,000 fans in 31 sold-out who shows in as many cities throughout Europe and Japan, her audience bld continues to grow. ,41.6 Miss Estefan's many credits include 78 platinum records, 48 %2 gold records, an astonishing 11 consecutive #1 hits certified by Billboard magazine, Billboard's "Artist of the Year" and BMI's "Songwriter of the Year" awards. In addition, in 1989 GLORIA ESTEFAN and Miami Sound Machine were named the American Music Award's Favorite Pop Rock Duo or Group. Miss Estafan also won the Tokyo Festival in Japan, and has received numerous Grammy Award nominations, as well as the prestigious Crystal Global Award from Sony Music Entertainment "for outstanding world-wide sales." other recipients of the Clabe Award Crystal include Michael Jackson, Julio Iglesias, and Barbra streisand. Four weeks after its January 1991 debut, Miss Estefan's current albumn, "Into the Light," reached #1 on the Billboard chart. It already has gone double platinum and produced three hit singles. Her three-month 45-city North American Tour kicks off July 6th, in San Antonio, Texas. Gloria Estefon lives in Miami Beach with her husband/parsonal manager/founder of GLORIA ESTEFAN and Miami Sound Mechine, Emilio Estafan and their 10 year old son Nayib. Services of Mead Data Central, Inc. PAGE 10 7TH STORY of Level 1 printed in FULL format. Copyright (c) 1991 Gannett Company Inc. USA TODAY January 22, 1991, Tuesday, FINAL EDITION SECTION: LIFE; Pg. 2D LENGTH: 166 words HEADLINE: Bush not too busy to send Estefan a note BYLINE: Karen Thomas DATELINE: MIAMI BODY: President Bush is well-known for penning little personal notes. But who would think that in these frantic times, he'd take the time? Last week, Maria Shriver hand-delivered one of Bush's handwritten memos to Gloria Estefan. 'Maria was with them when Mrs. Bush broke her leg (Sunday), and when he found (Maria) was coming down (to Miami), he sat down and wrote me a note,' says Estefan. As Estefan remembers the note: ''I hope you're totally OK now, and I wish you all the best. ''That in the middle of this crisis, that he would take the time to be that personal was a wonderful thing,'' she says. ''It was very special.' Estefan makes her first public performance Jan. 28 at the American Music Awards, where she'll sing Coming Out of the Darkness a song she says explains her 10-month recovery from a broken back. Bush was among thousands of well-wishers who lent support to Estefan last March when a tractor-trailer rig crashed into her tour bus on a snowy Pennsylvania road. GRAPHIC: PHOTO; b/w, John Glenn, USA TODAY CUTLINE: ESTEFAN: Performs for the first time in 10 months Jan. 28 TYPE: People SUBJECT: MUSIC; CELEBRITY; PRESIDENCY LEXIS'NEXIS'LEXIS'NEXIS Services of Mead Data Central, Inc. PAGE 11 8TH STORY of Level 1 printed in FULL format. Proprietary to the United Press International 1991 January 9, 1991, Wednesday, BC cycle SECTION: Domestic News LENGTH: 429 words HEADLINE: ARNOLD TOO TOUGH FOR TV CRITICS KEYWORD: PEOPLE BODY: The National Coalition on Television Violence is waging a campaign to persuade President Bush to take back his appointment of strongman-actor Arnold Schwarzenegger as chairman of the President's Council on Physical Fitness and Sports. Schwarzenegger, a former body builder, makes movies that often include violence. Says campaign coordinator Brian Sullivan : ''Even if Mr. Schwarzenegger were the nicest, gentlest, most anti-steroid drug person in the world, his appointment as head of the PCPFS would still mistakenly glamorize violence. No word from the White House. GLORIA ESTEF AN READY TO BOOGIE - Miami Sound Machine singer Gloria Estefan is back and ready to rhumba. Or conga, twist or any other dance you care to mention. Estefan says she's looking forward to the group's world tour now that she has recovered from a March 1990 tour bus crash in Pennsylvania that broke her back and almost left her paralyzed. 'Mentally, I'm fully recovered. Physically, I feel fully recovered,' Estefan told a Toronto news conference. The crash left her son, Nayib, with a broken collarbone. Surgeons had to implant two 8-inch steel rods in the dancer's back. MIDLER CUTS BACK ON VICES Singer-actress Bette Midler is living a cleaner life thse days. She told Longevity magazine: ''I've stopped drinking because I don't have a tolerance for it. And I hated the hangovers. I was also afraid of becoming addicted. I did some drugs, too -- but no more. I've even cut down on cigarettes. THE MAKING OF A FEMINIST Feminist Gloria Steinem , writing in Ms. magazine on movie sex goddesses who must give ''total surrender'' to their leading men. ''As a little girl watching versions of this scene in Saturday matinees, I remember feeling betrayed. By the time I was a teenager, I had accepted this movie ritual as adult reality.'' WHAT DID GRANDMOTHER THINK? -- Actress Lynn Whitfield was glad to be chosen over Diana Ross and Whitney Houston to play Josephine Baker in the upcoming HBO movie ''The Josephine Baker Story. But she told Glamour magazine she was concerned about the scene requiring her to bare her breasts to perform Baker's famous ' 'Banana Dance. ''I was nervous about what my grandmother would think. But when I saw the old footage I saw her wonderful sense of humor and naivete. If you look at pictorial books on Africa, you see young, nubile women LEXIS'NEXIS'LEXIS'NEXIS Services of Mead Data Central, Inc. PAGE 2 2ND STORY of Level 1 printed in FULL format. Copyright (c) 1991 Newsday, Inc.; Newsday May 3, 1991, Friday, NASSAU AND SUFFOLK EDITION SECTION: NEWS; Pg. 8 LENGTH: 575 words HEADLINE: PEOPLE BYLINE: Edited by Al Cohn KEYWORD: COLUMN BODY: Joan Rivers Wedding Bells? 'Hold the Rice' Since her husband, Edgar Rosenberg, committed suicide four years ago, Joan Rivers has been linked romantically with several men, but she has insisted that her only real interests are her TV talk show, her daughter, Melissa Rosenberg, her clothing and the decor in her Manhattan apartment. She says this hasn't changed despite a current cover story in a national tabloid reporting that she and Bernard Goldberg, a Manhattan lawyer, will wed. Jeff Erdel, a spokesman for Rivers, said yesterday, "Hold the rice; it isn't true." Through Erdel, Rivers, 57, said she does know Goldberg, who is 59. "I bought my apartment from him, and he's very nice," she said. "But that's where the truth stops." Alluding to Goldberg's status as an attorney, Rivers joked, "The most romantic name he ever called me was 'plaintiff.' = Erdel said that Rivers "wonders how stories like this get started," and that she planned to deny the tabloid's story Monday on her syndicated talk show. The theme of that program, on Channel 4, will be gossip. Rivers and Rosenberg were married for 22 years and had the one daughter, who is a 22-year-old aspiring actress. Erdel was asked whether Rivers has had any romances. "If she has, she hasn't made them public," he said. Gloria Estefan Free Tickets for Recuperating Soldiers Checking the concert scene, here and abroad: In Frankfurt, Germany, Gloria Estefan, who knows about injuries, had planned Wednesday night to visit about 200 U.S. soldiers recovering from wounds suffered in the Persian Gulf war. But scheduling got tight for the pop singer, who has been on her first concert tour since she suffered a broken back in a LEXIS`NEXIS'LEXIS'NEXIS Services of Mead Data Central, Inc. PAGE 3 (c) 1991 Newsday, May 3, 1991 bus accident more than a year ago. Rather than miss the soldiers, Estefan arranged for them to get free tickets to her show at a Frankfurt concert hall. Estefan, who is touring Europe and the United States, also met with the soldiers backstage. Meanwhile, back in the U.S., financial help is on the way for the families of singer Reba McEntire's tour manager and band members. Shortly after the seven musicians and the tour manager were killed March 16 in a plane crash near San Diego, country music performers began setting up concerts to raise money for the families of the deceased. Merle Haggard, Charlie Daniels, Kathy Mattea and others took part in a series of concerts a week after the accident, and The Associated Press reported yesterday that they raised more than $ 140,000. The concerts were held at a resort in St. Charles, Ill., and a spokesman for the resort said that each family will get about $ 18,000 from the proceeds. Also appearing at the concerts were Sawyer Brown, Lee Greenwood, Janie Fricke and Lorrie Morgan. Elton John Captain Fantastic Takes 2 British Music Awards Elton John keeps rolling along, with music that maintains his popularity through hit songs or TV soda commercials. John led the star parade yesterday in London by winning two of Britain's top music awards. His recent hit "Sacrifice" was named best song and also brought him an Ivor Novello award for best-selling A-side record. John wrote that with lyricist Bernie Taupin. The best songwriter award went to Phil Collins. Rolling Stones Ronnie Wood and Bill Wyman won an award for outstanding contributions to British music. The Novello awards are presented by the British Academy of Songwriters, Composers and Authors. GRAPHIC: AP Photo-( Gloria) Estefan and Persian Gulf war veteran Michael Mobluy, 36, of San Antonio, Texas, pose for pictures after her concert in Frankfurt, Germany, on Wednesday. (06/8) LEXIS' NEXIS'LEXIS NEXIS Services of Mead Data Central, Inc. PAGE 4 3RD STORY of Level 1 printed in FULL format. Copyright (c) 1991 The Time Inc. Magazine Company; People April 8, 1991 SECTION: PICKS & PANS; Plus; Pg. 41 LENGTH: 174 words BYLINE: Susan Toepfer BODY: Cowabunga, dudes -- those Teenage Mutant Ninja Turtles are back and eating Lambs (see Screen, right). In the sequel to their 1990 hit, Teenage Mutant Ninja Turtles, the pizza-scarfing reptiles vaulted into the box office lead with Teenage Mutant Ninja Turtles II: The Secret of the Ooze, which pulled in some $20 million on its first weekend (March 22-24) and unseated The Silence of the Lambs ($78 million overall), possessor of the top spot for five weeks Singer Gloria Estefan is enjoying an even more dramatic sequel of her own (Song). One year after she broke her back in a tour- bus accident, Estefan and Miami Sound Machine are back on top of the pop charts with their third No. 1 single, "Coming out of the Dark. But don't be looking for any comebacks from L.A. Law's resident shark, Rosalind Shays (Diana Muldaur): On March 21 the crafty attorney fell down an elevator shaft to her death. The much-hyped episode brought the series its highest ratings of the season (Tube); no wonder it was titled "Good to the Last Drop." (06/8) LEXIS'NEXIS'LEXIS'NEXIS Services of Mead Data Central, Inc. PAGE 5 6TH STORY of Level 1 printed in FULL format. The Associated Press The materials in the AP file were compiled by The Associated Press. These materials may not be republished without the express written consent of The Associated Press. March 2, 1991, Saturday, PM cycle SECTION: Domestic News LENGTH: 154 words HEADLINE: Gloria Estefan Kicks Off World Tour DATELINE: MIAMI KEYWORD: People-Estefan BODY: Gloria Estefan kicked off her comeback from a serious back injury with a high-spirited performance that left 12,000 hometown fans cheering. "I love you Miami," Estefan said. "I'm at a loss for words right now. I thought I'd have a million things to say when I got up here, but it's 50 hard. No matter what I say, it is not enough for all the love you've given me this year. You moved mountains for me." Friday night's concert at the Miami Arena was Estefan and The Miami Sound Machine's first since a bus accident last March left her with a broken back. Doctors inserted a pair of eight-inch rods in her spine and initially feared she might be paralyzed. Her performance proved that months of grueling therapy had paid off. Estefan danced and pranced on stage and a huge ovation greeted her first song, "Get on Your Feet." The world tour accompanies the release of the group's latest album, "Into the Light." LEXIS' NEXIS'LEXIS NEXIS Services of Mead Data Central, Inc. PAGE 7 4TH STORY of Level 1 printed in FULL format. Copyright (c) 1991 Times Newspapers Limited The Times April 2, 1991, Tuesday SECTION: Features LENGTH: 1094 words HEADLINE: Grown up, happy and Gloria BYLINE: David Sinclair BODY: Two weeks ago, on March 20, Gloria Estefan was in a Japanese hotel room when, at the unsociable hour of 2.20am, the phone rang. The news from America was that Coming Out of the Dark'' had become her third No 1 hit. It was a sweet and poignant moment, not least because on March 20 it was also one year to the day since she had been lifted out of the wreckage of her tour bus on a Pennsylvanian highway with a broken back. The speed of her recovery, from an injury that specialists thought might leave her permanently disabled, has been astounding. Two weeks after a New York surgeon had inserted two eight-inch titanium rods which will stay in her spine for the rest of her life, she left hospital in a wheelchair and set about getting into shape. Having undertaken a rigorous regime of exercise and physiotherapy, while simultaneously writing and recording a new album, Into the Light, she was fit to start a world tour on Saturday March 2, when she performed on her home turf at the 12,000-seat Miami Arena. It was, understandably, an emotional occasion for all concerned. ''The biggest feeling was a sense of relief that this moment was over and that now I could try to move on, and start to put the accident behind me,'' she says. ''I know it will be a while yet, but that was a major step to have taken.' In London last Friday, in the opulent surroundings of the penthouse hotel suite in which Michael Jackson stayed on his last British visit, she is dressed entirely in black: jacket, bra, miniscule culottes and not a lot else. An expanse of bare midriff is revealed whenever she leans forward. Petite, though anything but frail, her 33-year-old body is clearly honed to taut perfection. ''I was always very careful to maintain my lower back, because when I was 13 I fell and hurt my coccyx. Now I make sure that my abdomen is very strong. I work a lot on strengthening that. I'll always have the damage to the left side of my body which, if you measure it with instruments, is now a lot less strong than my right side. But I really don't find any limitations to anything that MDC/F0171 (8/90) I've wanted to do on stage. It's only when I'm extremely tired that my left leg becomes harder to lift than the other. ''I can't feel the rods in my back unless I'm sitting against something hard, then I feel the screws at the top. I'm still building up the muscles in my back to try and cushion that. I don't do any sudden twisting motions. When it's really humid or cold I feel it where they took the bone graft from my hip, but I really don't feel anything in my back. LEXIS NEXIS'LEXIS'NEXIS Services of Mead Data Central, Inc. PAGE 8 (c) 1991 Times Newspapers Limited, April 2, 1991 ''I've always been hard-headed, stubborn in the things that I want to accomplish. But this was an easy thing to have discipline and will about. It's not as if you're dieting; you're talking about being able to walk again. My father was very ill and he spent years in a wheelchair, so I knew how quickly muscles can atrophy. Born Gloria Fajardo in pre-revolutionary Cuba, where her father worked as a motorcycle policeman, Estefan was two years old when Castro came to power in 1959, and the family fled to Miami. Her father enlisted in the American army, fought at the Bay of Pigs and later volunteered for Vietnam. For Estefan, the refugee who now lives in a magnificent mansion on the exclusive Star Island, the American Dream is a fact. ''The one thing that America stands for, for me, is freedom. Native Americans sometimes take their country for granted because they really don't know what's going on outside. For much of her adolescence she nursed her invalid father, while her mother was out at work. She went to college and gained a degree majoring in psychology. The turning point in her life came in 1974 when, as a guest at a local wedding, she was invited to perform a couple of songs with a band of Cuban expatriates led by percussionist Emilio Estefan. She ended up joining the band, which later became known as Miami Sound Machine, and four years later she married Emilio. For a long time she was known only as the vocalist in Miami Sound Machine, which enjoyed its first international hit with ''Dr Beat'' in 1984. But gradually, as the band's winning mixture of catchy pop and swirling salsa rhythms gathered in popularity, Emilio persuaded her to take a more central role and receive correspondingly more prominent billing. ''I never had a driving ambition to be anything,'' she protests with a chuckle. ' ' I liked to sing, that was my whole motivation. I always wrote poetry and I loved to write parodies of other people's songs, but it was Emilio who talked me into writing my own songs. ''It was never in my mind that I wanted to be a star.'' Such is her present celebrity that she has been called ''the Latin Madonna'', a description which prompts a hoot of laughter. 'There's a certain sensuality that you feel on stage because you're getting this massive love coming at you from all these people. Your fans ultimately fall in love with you a little bit, and that's good. ''But Madonna's really out on the edge of all that. Everything that she does is very controversial. I don't like controversy. I'm very laid back. I'm very calm. I could never pull that off, myself. She was brought up a Catholic and still regards herself as religious ''in a spiritual way''. She finds herself affected by the bad news that dominates the MDC/F0171 (8/90) newspapers. Today they are full of Eric Clapton in mourning at his four-year-old son's funeral. ''I don't know Eric Clapton, but I have certainly prayed for him ever since it happened. George Bush, whom she met the day before her accident, gets her vote not only because he was ''very warm and personable'' and showed her and her job''. ten-year-old son Nayib round the White House, but because ' he is doing a good LEXIS NEXIS'LEXIS`NEXIS Services of Mead Data Central, Inc. PAGE 9 (c) 1991 Times Newspapers Limited, April 2, 1991 Although her life is now one of luxury and privilege, her manner remains direct and streetwise. She insists that her wealth has not cut her off from the multi-ethnic Miami culture, citing her long-term involvement with many charity and community organisations. 'People are affectionate and proud, but I don't get mobbed. Obviously, I don't go into a mall that's packed with people because then it's difficult for me to do anything. But I go to the movies, I go to restaurants, I walk down the Art-Deco section of Miami Beachthat's one of my favourite things to do. I can still have a very good time in my own city. Gloria Estefan appears on Wogan (BBC1) tomorrow. She plays Wembley Arena On April 6, 8, 9, 11, 13 and June 4, 5. NEC, Birmingham on April 16, 17, 19, 20 and May 30. SECC, Glasgow on April 23, 24. TERMS: Gloria Estefan; Rock MDC/F0171 (8/90) LEXIS NEXIS'LEXIS'NEXIS TONY - Holly Williamson called again about "carving from the wilderness "stuff. Apparently Ede Holiday feels strongly that it should be removed. what do you think about the hig hlighted retread above? 1. -Carolyn Cawley/Grant June 9, 1991 brazil.tst - 1 PRESIDENTIAL REMARKS: STATE DINNER TOAST PRESIDENT COLLOR OF BRAZIL TUESDAY, JUNE 18, 1991 Mr. President. Distinguished guests. Friends of Brazil: It is a distinct privilege for Barbara and me to salute this extraordinary President. With great admiration we welcome to our nation's home, Brazil's President, Ferdinand Collor. // Our two countries were built upon the aspirations of pioneers, immigrants, merchants and workers: hardy people filled with the spirit of enterprise and independence, enthusiasm and ingenuity. They came to the Americas, determined to achieve lives of freedom and opportunity. This is our heritage -- and we will continue to fulfill it. The legacy we leave to our future generations must be an alliance of democratic institutions, free markets, and environmental stewardship. President Collor, I salute your efforts to consolidate your political system -- your firm commitment to free people and free markets -- your determination to raise environmental awareness, both at home and abroad. // In fact, I had to laugh when I heard the tale of your trek to Brazil's scientific outpost in Antarctica. The pace you set was so vigorous that you nearly lost one of your Cabinet ministers in a snow bank. /// [Now my own Cabinet won't let me near Antarctica.] /// Your service to your nation has been a source of faith: faith that Brazil will move forward under your guidance -- and faith that our nations will continue to be loyal friends and allies To POTUS Cawley/Grant June 13, 1991 brazil.arr - 2 PRESIDENTIAL REMARKS: PRESIDENT COLLOR OF BRAZIL ARRIVAL SOUTH LAWN JUNE 18, 1991 10:00 A.M. Good morning and welcome to the White House. It is my great honor to greet you, Mr. President, one of Latin America's most dynamic statesmen. // The U.S./Brazilian friendship has spanned nearly two centuries now -- an alliance built on fidelity to democracy, healthy mutual respect, and firm collective will. The most basic roots of our friendship lie in our dedication to democracy -- our allegiance to the power of the individual and the rule of law. The nations of the Americas all struggled and gained independence from the old ways of the Old World. We built nations of promise and renewal. One hundred seventy-nine years ago, the United States was proud to be the very first nation to recognize the newly sovereign Brazil. That year, your predecessors achieved independence without bloodshed, traded goods with the world, and began to integrate a vastly diverse country. Today, President Collor, you represent the modern leader, Brazil's first directly-elected President in twenty-nine years. We understand the challenges you face, and admire the vigor with which you are dealing with them. Across the spectrum -- from trade and economic matters, to environmental issues, to concerns over nuclear proliferation -- we are determined to treat our common challenges as opportunities -- opportunities to improve life throughout this hemisphere./ Brazil, with its great natural wealth and resourceful people, can make enormous contributions to the world economy -- and to hemispheric prosperity. Along with the other nations of the Americas, as a long term goal, we aim to create the largest free-trading partnership of sovereign states in the world. The Enterprise for the Americas Initiative, which I unveiled one year ago next week, can help make this goal a reality -- and we're already making great strides. I'm pleased to announce that tomorrow we will sign the completed negotiations for a Trade and Investment Framework Agreement with Brazil, Argentina, Paraguay, and Uruguay -- the countries of the planned Southern Common Market, or "Mercosul". // We look forward to this new era of enhanced dialogue in our trade and investment relations. Mr. President, America stands by your side as you tackle Brazil's most pressing issues. When I visited Brazil last December, I saw the bold economic changes you are making. You have trimmed government, and announced plans to privatize enterprises, fight inflation and liberalize trade. These are the keys to growth and prosperity in Brazil. As the 21st century draws near, we'll mark the 500th anniversary of Columbus' discovery of the Americas -- and the arrival of Cabral's Portuguese fleet in Brazil. Spectacular change characterizes this half-millennium. The New World is becoming integrated in ways our forefathers would never have dreamed, and our firm collective will can help ensure a future filled with cooperation -- not conflict. Brazil knows well the importance of united efforts -- aligning with the Allies in both World Wars, its brave expeditionary forces playing a key role in World War II. A half-century later, Brazil supported the United Nations resolutions and sanctions against Iraq -- despite significant economic losses. That, Mr. President, testifies not just to your vision, but to your courage. For this, we thank you. On behalf of all Americans, I salute the shared ideals that unite our nations and the lasting friendship between the people of the United States and the people of Brazil. It is my great pleasure to welcome you to the White House. // May God bless the Federative Republic of Brazil. [ PULL THE PODIUM STEP ] # # # Cawley/Grant June 13, 1991 brazil.tst - 2 PRESIDENTIAL REMARKS: STATE DINNER TOAST PRESIDENT COLLOR OF BRAZIL TUESDAY, JUNE 18, 1991 7:45 P.M. Mr. President. Distinguished guests. Friends of Brazil: It is a distinct privilege for Barbara and me to salute this extraordinary President. With great admiration we welcome to our nation's home, Brazil's President, Fernando Collor de Mello. // Our two countries were built upon the aspirations of pioneers, immigrants, merchants and workers: hardy people filled with the spirit of enterprise and independence, enthusiasm and ingenuity. They came to the Americas, carving from the wilderness lives of freedom and opportunity. This is our heritage -- and we will continue to fulfill it. The legacy we leave to our future generations must be an alliance of democratic institutions, free markets, and environmental stewardship. President Collor, I salute your efforts to invigorate your political system -- your firm commitment to free people and free markets -- your determination to raise environmental awareness, both at home and abroad. // Our guests deserve to know about your trek to Brazil's scientific outpost in Antarctica. You moved around at such a pace that you almost lost one of your Cabinet members in a snow bank. [[And to think my Cabinet officials are frightened by a little game of speed golf.] Your service to your nation expresses your faith that Brazil will move forward and that our nations will continue to be loyal friends and allies as we enter the 21st century. In 1876, as the United States celebrated its centennial, a certain foreign visitor was making his own headlines. Clad in a black suit and silk cap, your own Emperor Dom Pedro II sailed into New York's East River as thousands of spectators thronged the docks, cheering and saluting. He traveled the country on our new railroad -- over 9,000 miles, from Maryland to Wyoming, from California to Louisiana -- causing one newspaper editor to remark that "when he goes home, he will know more about the U.S. than two thirds of the Congress!" // Finally, on July 4.-- -- in Philadelphia, Dom Pedro joined President Grant in opening our Centennial Exhibition. A hymn was written especially for our 100th birthday by the celebrated Brazilian composer, Antonio Carlos Gomes. Tributes to your Emperor noted that " no distinguished stranger ever came among us who, at the end of three months, seemed so little of a stranger and so much of a friend to the whole American people as Dom Pedro II of Brazil. " Today, Mr. President, you carry on this friendship. Americans are proud to call you our friend, and on their behalf, I offer this toast: To lasting friendship between the people of the U.S. and the people of Brazil; to the shared ideals that unite our nations; and to a future of freedom, democracy and prosperity across all the Americas. # # # STaffed Factcheck copy Cawley/Grant June 12, 1991 brazil.arr - 1 Remove justification PRESIDENTIAL REMARKS: PRESIDENT COLLOR OF BRAZIL ARRIVAL JUNE 18, 1991 10:00 A.M. SOUTH LAWN Good morning and welcome to the White House. It is my great honor to greet you, Mr. President, one of Latin America's most dynamic statesmen. / / The U.S./Brazilian friendship has spanned nearly two centuries now -- an alliance built on fidelity to democracy, healthy mutual respect, and firm collective will. The most basic roots of our friendship lie in our dedication to democracy -- our allegiance to the power of the individual and brazilian congress the rule of law. The nations of the Americas all struggled and 12-90 gained independence from the old ways of the Old World. We built nations republics of promise and renewal. One hundred seventy-nine years State Dept , ago, the United States was proud to be the very first nation to recognize the newly sovereign Brazil. Boi That year your predecessors achieved independence without bloodshed, traded goods with the world, and began to integrate a ountry a Study, P.3 vastly diverse country. Today, President Collor, you represent the twenty nine modern leader, Brazil's first directly-elected President in thirty ster state Dept bio years and we understand the difficulties you face. Across the spectrum -- from trade and economic matters, to environmental issues, to concerns over nuclear proliferation -- we are determined to treat our common challenges as opportunities - Z - opportunities to improve life throughout this hemisphere. // Brazil, with its great natural wealth and resourceful people, can make enormous contributions to the world economy -- and to state hemispheric prosperity. Along with the other nations of the brazi lian Americas, we aim to create the largest free-trading partnership of gress sovereign states in the world. The Enterprise for the Americas nexte EFA remarks Initiative, which I unveiled one year ago this week, can make this goal a reality -- and we're already making great strides. Today, I'm pleased to announce that we have just signed a 150 Istate Trade and Investment Framework Agreement with Brazil for the planned "Mercosur" South American Common Market. // Mr. President, America stands by your side as you tackle Brazil's most pressing issues. We embraced your Collor Plan of sweeping economic reforms and, when I visited Brazil last December, I saw the bold economic changes you have made. You have trimmed Brazilian congress, government, privatized enterprizes, fought inflation and liberalized trade. You hold the keys to growth and prosperity in the global economy -- and you are using them well. // As the 21st century draws near, we'll mark the 500th stazilian ress anniversary of Columbus' discovery of the Americas -- and the arrival of Cabral's Portuguese fleet in Brazil. Spectacular change characterizes this half-milennium. The New World is integrated in ways our forefathers would never have dreamed, and our firm collective will can help ensure a future filled with cooperation - not conflict. Brazil knows well the importance of united efforts Dept -- aligning with the Allies in both World Wars, its brave statentry P.301 Pres, expeditionary forces playing a key role in World War II. Brazil - 3 3- - NSCl 1state TP'S strongly supported the United Nations resolutions and sanctions against Iraq -- despite significant economic losses. That, Mr. President, testifies not just to your vision, but to your courage. For this, the world thanks you. On behalf of all Americans, I salute the shared ideals that unite our nations and the lasting friendship between the people of the United States and the people of Brazil. It is my great pleasure to welcome you to the White House. // May God bless the Federative Republic of Brazil. # # # # Cawley/Grant June 12, 1991 brazil.tst - 1 PRESIDENTIAL REMARKS: STATE DINNER TOAST PRESIDENT COLLOR OF BRAZIL TUESDAY, JUNE 18, 1991 7:45 p.m. Mr. President. Distinguished guests. Friends of Brazil: It is a distinct privilege for Barbara and me to salute this extraordinary President. With great admiration we welcome to our nation's home, Brazil's President, Ferdinand Collor. // Our two countries were built upon the aspirations of pioneers, immigrants, merchants and workers: hardy people filled with the spirit of enterprise and independence, enthusiasm and ingenuity. They came to the Americas, carving from the wilderness lives of freedom and opportunity. This is our heritage -- and we will continue to fulfill it. The legacy we leave to our future generations must be an alliance of democratic institutions, free markets, and environmental stewardship. President Collor, I salute your efforts to consolidate your political system -- your firm commitment to free people and free markets -- your determination to raise environmental awareness, both at home and abroad. // Our guests X deserve to know about your trek to Brazil's scientific outpost in state T.P.S Antarctica. You moved around at such a pace that you almost lost X one of your Cabinet members in a snow bank. [[And to think my cabinet officials get frightened by a little game of speed golf. ]] Your service to your nation expresses your faith that Brazil will move forward and that our nations will continue to be loyal friends and allies as we enter the 21st century. Pedrovilliams Magnaminous One 1 2 - In 1876 hundred fifteen years agol as the United States Dom celebrated its centennial, a certain foreign visitor was making his By:Mary own headlines. Clad in a black suit and silk cap, your own Emperor Dom Pedro II sailed into New York's East River as thousands of p.189 spectators thronged the docks, cheering and saluting. He traveled the country on our new railroad -- over 9,000 Louisiana miles, from Maryland to Wyoming, from California to New Orleans - p.192, - causing one newspaper editor to remark that "when he goes home, p.208 he will know more about the U.S. than two thirds of the Congress!' Finally, on July 4 -- in Philadelphia, Dom Pedro joined 1.196 President Grant in opening our Centennial Exhibition. A hymn was 1.2" written especially for our 100th birthday by the celebrated Brazilian composer, Antonio Carlos Gomes. Tributes to your Emperor noted that " no distinguished stranger ever came among us who, at the end of three months, seemed so little of a stranger and so much p.all of a friend to the whole American people as Dom Pedro II of Brazil." Today, Mr. President, you carry on this friendship. Americans are proud to call you our friend, and on their behalf, I offer this toast: To lasting friendship between the people of the U.S. and the people of Brazil; to the shared ideals that unite our nations; and to a future of freedom, democracy and prosperity across all the Americas. # # # THE WHITE HOUSE WASHINGTON BRAZIL CONTACTS State : Mark Lore 647-9407 , Dir - Brazil Lee Peters - Dep.Dir - Brazil GOB Lucio Carlos Chavez - Collors personal secretary (0) 224-9396 (H) 248-4588 144 Brazil of Latin America; PIERRE MONBEIG, Ensaios de Geografia Colonial period. The coast of Brazil had been touched Humana Brasileira (1940), a collection of essays on Brazil's in January 1500 by the Spanish navigator Vicente Yáñez human geography; DONALD PIERSON, Negroes in Brazil (1942, reprinted 1967), a good account of the history and sociology Pinzón, but the Spanish crown made no effort to follow of this group; ROLLIE E. POPPINO, Brazil: The Land and up the discovery. Portugal's new possession was at first People (1968), an excellent, historically oriented introduc- called Vera Cruz (the True Cross), a name soon aban- tion to Brazil; T. LYNN SMITH, Brazil: People and Institutions, doned in favour of Brazil after the valuable red dyewood 4th ed. (1972), a sociologist's view of the regions, agriculture, (pau-brasil) with which the country abounded. land settlements, and socio-political institutions; JULIAN H. During the colonial period Brazil was expanded beyond STEWARD (ed.), Handbook of South American Indians, 7 vol. the line of Tordesillas (a vertical line drawn 370 leagues (1946-59), an indispensable reference work. west of the Cape Verde Islands) westward to the slopes The Economy: LUELLA N. DAMBAUGH, The Coffee Frontier of the Andes and northward and southward to the Ama- in Brazil (1959), a monograph on one aspect of the Brazilian zon and the Río de la Plata. In the north the movement economy; GILBERTO FREYRE, Brazil: An Interpretation (1945), a sociologist's view of development; T. LYNN SMITH and was led by missionaries, who established missions along ALEXANDER MARCHANT (eds.), Brazil: Portrait of Half a the Amazon in the 17th century. In the northeast, cattle- Continent (1951), a collection of noted works covering men from the sugar zones of Pernambuco and Bahia sociological and economic aspects; STANLEY J. STEIN, The pushed inland into the present area of Piauí, Maranhão, Brazilian Cotton Manufacture (1957), on the textile industry and Goiás in search of new pastures. The brunt of the from 1850 to 1950; KEMPTON E. WEBB, The Geography of "march to the west," however, was borne by the Paulis- Food Supply in Central Minas Gerais (1959), a basic regional tas, the settlers of São Paulo who organized great ex- study; GEORGE WYTHE, Brazil: An Expanding Economy (1949, peditions into the interior, known as bandeiras, to cap- reprinted 1968), a comprehensive study, emphasizing in- dustrialization. ture Indian slaves and to find gold and precious stones. Some of these expeditions, involving entire families, Transportation: The Anuário Estatístico do Brasil (an- lasted for years. nual), contains the most recent statistical data; ALAN ABOU- CHAR, Diagnostic of the Transport Situation in Brazil (1967), During the 17th century, Paulistas explored the area of a technical economic analysis; WORLD BANK, Telecommunica- Mato Grosso and attacked the Indian missions of Mis- tion (Sector Working Paper, November 1971), includes basic iones and southern Brazil, generally meeting resistance data for Brazil. from the Indians and their Jesuit protectors; only along Administration, social conditions, and cultural life: FER- the Río de la Plata, in modern Uruguay, did the Spanish NANDO DE AZEVEDO, A Cultura Brasileira (1943; Eng. trans., settlers eventually push the Paulistas back. The treaties Brazilian Culture, 1950), a lavish book covering many aspects of Madrid (1750), El Pardo (1761), and San Ildefonso of Brazilian culture; JOHN J. JOHNSON, Political Change in (1777) with Spain gave some legality to Portuguese Latin America (1958), a major synthesis on South American claims, including the conquests of the bandeiras. politics; MANOEL B. LOURENCO, La Educación en el Brasil An important factor in the unification of the people of (1950; Eng. trans., Education in Brazil, 1951), a general Brazil was the heritage of Portugal; the Portuguese lan- account; SAMUEL PUTNAM, Marvelous Journey: A Survey of Four Centuries of Brazilian Writing (1948), a standard text; guage formed a common bond between plantation resi- H. JON ROSENBAUM (comp.), Contemporary Brazil: Issues in dents, cattlemen, miners, slaves (both Indian and Negro), Economic and Political Development (1972), a discussion of slave hunters, and city dwellers from the Amazon to the new directions in Brazilian government policies of national Río de la Plata and distinguished them from their Span- integration and economic development; JOHN V.D. SAUNDERS ish-speaking counterparts elsewhere in South America. (ed.), Modern Brazil: New Patterns and Development (1971), Although Tupí-Guaraní continued to serve as a sort of essays by 13 specialists, five Brazilians, on population, society, lingua franca throughout much of the interior of the the economy, and the arts; RONALD M. SCHNEIDER, The Political System of Brazil: Emergence of a "Modernizing" colony, Portuguese remained the official and the com- Authoritarian Regime, 1964-1970 (1971), an analysis of the mon language. social origins, political views, and continuing policy objectives The expanded, patriarchal family structure, also derived of Brazil's military leadership; T. LYNN SMITH (op. cit.), a from Portugal, was nearly uniform throughout Brazil, vast compilation on major social aspects; CHARLES WAGLEY, and power was exercised by the heads of those families An Introduction to Brazil, rev. ed. (1971), a penetrating and which controlled the land, slaves, cattle, and, later, mines sympathetic interpretation of Brazilian society, its values and that produced the wealth of the colony. Brazilian society aspirations. and the economy were rurally based. The population was divided unevenly between those who possessed landed Brazil, History of wealth and prestige and those who were dependent upon them. No great cities grew up during the colonial period. This article covers the history of Brazil, with emphasis Moreover, contact with Portugal was maintained in all on the national period, and consists of the following parts of Brazil, and little trade or other regular contact sections: existed between Brazil and neighbouring Spanish Brazil to 1889 colonies. These common factors proved far stronger than Colonial period did regional variants when Brazilian unity was under The independence of Brazil severe stress in the second quarter of the 19th century. The Brazilian Empire (1822-89) (See also LATIN AMERICA AND THE CARIBBEAN, COLONIAL.) Brazil since 1889 The independence of Brazil. In 1789 the first rebellion The early republican period against Portuguese authority was instigated by José Jo- Return to representative government aquim da Silva Xavier, known as Tiradentes (Tooth Pull- Military intervention er) because of his occasional practice of extracting teeth. Social and political changes after 1945 The uprising was put down, and Tiradentes was exe- cuted. BRAZIL TO 1889 Despite its isolation, Brazil could not escape the effects The discovery and early settlement of Brazil appear in of the revolutionary and Napoleonic epoch in Europe. the larger perspective of history as episodes in the great In 1807 Napoleon resolved upon the invasion and con- movement of Portuguese colonial expansion to the east. quest of Portugal, a traditional British ally, largely to Vasco da Gama's discovery in 1498 of an all-water route tighten the European blockade of Great Britain. The to the East Indies and Spice Islands by way of the Cape Portuguese prince regent Dom John, afterward King John of Good Hope led the Portuguese crown to dispatch to VI, decided to take refuge in Brazil, the only time a col- India an imposing armada under command of Pedro ony ever served as the seat of government for its mother Álvares Cabral. To avoid the calms off the Gulf of country. He sailed from the Tagus on November 29, Guinea, Cabral bore so far to the west that on April 22, 1807, under the protection of the British fleet. Accom- Arrival p.20f11-26-90 1500, the mainland of South America was sighted; the panied by the royal family and a horde of nobles and Dom Jol region was promptly claimed by Portugal, as it lay well functionaries, he arrived at Rio de Janeiro on March 7, in 1808 draft for within the zone assigned to Portugal by the Treaty of 1808. Tordesillas (1494). The colonists, convinced that a new era had dawned for Joint Session Brazil, History of 145 ed Brazil, welcomed their sovereign. The Prince Regent realize that the days of absolutism were past; a new and ez promptly decreed a number of reforms that radically liberal constitution, drawn up by the Council of State, )W altered the status of the colony. These included practical was submitted to the municipal councils of the provinces st recognition of Brazil's position as seat of the Portuguese and sworn to by the Emperor on March 25, 1824. Pedro's n- od Empire and its new requirements in view of the war in remaining years saw a growing estrangement between Europe. The old Portuguese commercial monopoly was the monarch and his subjects. Parliamentary government abolished and Brazilian harbours were opened to the was little to his liking, and the opposition generally com- nd commerce of all friendly nations. British trade with manded a majority in the chamber of deputies. Brazil be- les Brazil immediately took on important proportions, and came involved in a disastrous war with Argentina result- es a number of British trading companies established offices ing in the loss of the Provincia Cisplatina (the present re- la- in the colony. public of Uruguay). Finally, Pedro formally abdicated on nt A ministry with four portfolios and a council of state April 7, 1831, in favour of the heir apparent, Dom Pedro ng were installed in Rio de Janeiro, and a supreme court of de Alacântara, then only five years of age. le- justice, a court of exchequer and royal treasury, the royal The regency (1831-40). The next decade proved the iia mint, the Bank of Brazil, and the royal printing office most agitated period in Brazilian history. From 1831 to io, were established. A royal library, a military academy, 1835 a triple regency tried in vain to end civil war in the he and medical and law schools were founded. Industries provinces and lawlessness and insubordination in the is- were encouraged, foreign scholars and artists were wel- army. In 1834 the constitution was amended to grant a :X- comed, and immigrants from northern Europe were measure of decentralization to the provinces, through the :p- brought in at government expense. The changed status creation of provincial assemblies with considerable local es. of Brazil was reflected in the decree of December 16, power, and to provide for a sole regent to be elected for es, 1815, by which the Portuguese dominions were desig- four years. For this office in 1835 a priest, Diogo An- nated the United Kingdom of Portugal, Brazil, and the tónio Feijó, was chosen. For two years he struggled of Algarves, thus making Brazil coequal with Portugal. In against disintegration, but he was forced to resign in is- 1816 the queen, Maria I, died, and the Prince Regent be- 1837 and was succeeded by Pedro de Araújo Lima. As ice came king. the end of the decade approached, sentiment began to ng Although John VI enjoyed a certain degree of personal crystallize in favour of a declaration of majority of the ish popularity, his corrupt and extravagant government young Dom Pedro. The Brazilians, impatient with the ies aroused much opposition, which was increased by the regency, hoped to find in the Emperor a symbol to which ISO fermentation of liberal ideas produced by the French the entire nation might rally. On July 23, 1840, both ese Revolution. In Pernambuco a revolt broke out in 1817 houses of parliament passed a declaration that Pedro de and was put down with difficulty after a republic had Alcântara had attained his majority. of been formed that lasted for 90 days. After the departure Pedro II. The reign of Pedro II, lasting practically a in- of the French, Portugal had been governed by an arbi- half century, constitutes perhaps the most interesting and si- trary and tyrannical regency. A revolution in 1820 swept fruitful epoch in Brazilian history. The prestige and o), aside the regency, and the Cortes, which had not met for progress of the nation were due largely to the enlightened Prestige the more than a century, was summoned to draw up a con- statesmanship of its ruler. Pedro cared little for the trap- and an- stitution. pings of royalty. Though not without personal distinction progress ca. The presence of John VI in Portugal was imperative if he was always simple, modest, and democratic. He pos- under of the revolutionary movement was to be kept in hand. On sessed an insatiable intellectual curiosity and was never Pedro II the The April 22, 1821, he appointed his son Dom Pedro regent, more happy than when conversing with scholars. He was m- regency of and two days later he set sail for Lisbon. Meanwhile, generous and magnanimous to a fault. One of his favour- Dom antagonisms between the Portuguese and Brazilians were ite occupations was inspecting schools. He was wont to /ed Pedro becoming increasingly bitter, republican propaganda was declare, "If I were not emperor I should like to be a zil, active, and Dom Pedro had to face the responsibility of a school teacher." Yet this kindly, genial, and scholarly lies separation of Brazil from Portugal as a result of the ruler took his prerogatives and duties as sovereign with nes shortsighted policy of the Cortes at Lisbon. The majority great seriousness, and in all matters of first importance ety of this assembly favoured the restoration of Brazil to its he was the final arbiter. According to the moderative vas former status of colonial dependence. Without waiting power granted to the executive under the constitution of ied for the Brazilian deputies, they proceeded to undo most 1824, the Emperor had the right to dissolve the Chamber on of the reforms introduced into Brazil by John VI. Fear- of Deputies, to select the members of the life senate from od. ful that Dom Pedro might head a movement for inde- triple lists submitted by the province, and to appoint and all pendence, the Cortes ordered the prince to return to Eu- dismiss ministers of state. That parliamentary life in act rope. Brazil was pitched upon a high plane, that the highest ish Supported by the majority of Brazilians, Dom Pedro officials in the state generally left office poorer than when ian defied the Cortes by his refusal to return to Lisbon. In they entered it, that the machinery of government func- der January 1822 he formed a ministry in which the chief tioned smoothly year after year was due in large measure iry. portfolio was held by the distinguished Paulista, José to the vigilance of the Emperor. L.) Bonifácio de Andrada e Silva. On June 3 Dom Pedro Pedro's government maintained an active interest in the ion convoked a legislative and constituent assembly. On Sep- affairs of the Plata republics, especially of Uruguay, Jo- tember 7, on the plain of Ipiranga, near the city of São which it sought to control through indirect measures. ull- Paulo, he solemnly proclaimed the independence of Bra- Brazil aided in the overthrow of the Argentine dictator eth. zil, and on December 1, 1822, he was crowned the na- Juan Manuel de Rosas in 1852. In 1864 Brazil inter- exe- tion's emperor. vened in Uruguayan internal affairs and brought about The strong Portuguese garrisons were forced to return war with Paraguay. In alliance with Argentina and Uru- ects to Europe. Before the end of 1823 independence had be- guay, Brazil successfully waged the costly and bloody pe. come an accomplished fact. The United States was first Paraguayan War of 1864-70, eventually overthrowing on- to recognize the new government, on May 26, 1824. Por- the Paraguayan dictator Francisco Solano López. The to tuguese recognition was secured in 1825. The early re- empire's relations with the United States and with Eu- The sumption of formal relations with Portugal was due in rope were generally cordial. Pedro personally did much ohn large part to the influence and good offices of the British to cement these international friendships, visiting Europe col- government. in 1871, 1876, and 1888 and going to the United States ther The Brazilian Empire (1822-89). The first years of in- in 1876. 29, The first dependence were difficult. The nation was without ex- The empire's major social and economic problems were 5m- Arrivale years of perience in self-government, and the Emperor was in- Dom Joi inde- related to slave-based plantation agriculture. Real politi- Slavery and clined to be despotic and arbitrary. When the constituent cal power remained with large rural landholders, who 17, in 1808 pendence assembly proved unmanageable, Pedro I dissolved it in formed the core of the social and economic elite of Bra- 1823 and sent the radical Andrada e Silva and his two zil. Industrialization was still economically insignificant, for brothers into exile. Fortunately, however, he came to and, with the decline of gold mining, agriculture was un- 146 Brazil, History of rivalled as the source of Brazil's wealth. Cotton, and in- creasingly coffee, cultivated by slave labour, competed with sugar as the leading export crop. The rural land- RORAIMA holders were largely insulated from the antislavery cur- AMAPA rent of the times. Although manumission was common, and the number of freedmen and their descendants far surpassed the number of slaves in Brazil, the slaveowners Amazon as a group resisted pressures for the complete abolition PARA AMAZONAS of slavery. Partly as a result of pressure from Great Brit- CEARÁ ain, Brazil had agreed to abolish the slave trade in 1831, PIAUI but it was not until 1853 that slave traffic completely PERNAMEN ceased. Agitation to abolish slavery as such began in the 1860s. Pedro was opposed to slavery, but he had to reck- on with the slaveowners. In 1871 a bill for gradual eman- RONDÔNIA BAHIA GOIAS cipation was passed by Parliament. The importance of MATO this act lay in the provision that, henceforth, all children FGROSSO Broslin born of slave mothers should be free. But this concession DISTRITO did not satisfy many of the abolitionists, who, led by a FEDERAL MINAS young lawyer and writer, Joaquim Nabuco de Araújo de- GERAIS ESPÍRITO manded immediate and complete abolition. Nabuco's book 0 Abolicionismo (1883) endeavoured to prove SÃO RIO JANEIRO that slavery was poisoning the very life of the nation. In PAULO São Rio de Janeiro Paulo 1884 Ceará and Amazonas freed their slaves; in 1885 all GUANABARA PARANA slaves over 60 years of age were liberated. Finally, com- 1823 1920 plete emancipation without compensation to the owners SANTACATARINA was decreed by the Princess Regent in the absence of the 1872 1930 Emperor on May 13, 1888. About 700,000 slaves were freed. 1890 1940 The collapse of the empire. Under Pedro II's wise 0 300 1970 600 guidance Brazil had made very real progress. His rule 0 300 600 900 to witnessed a growth in population from 4,000,000 to Growth of population In Brazil: dates by which the states 14,000,000, a fourteenfold increase in public revenues, had achieved a population density of more than two persons and a tenfold increase in the value of the products of the per square mile. Empire. Railroad mileage in 1889 exceeded 5,000 miles Adapted from A.C. Wilgus, Latin America in Maps (1943); Barnes and Noble, Inc. (8,000 kilometres); that year more than 100,000 immi- grants came to Brazil. Yet there were grave causes of his administration was rendered largely sterile through dissatisfaction. Propaganda in favour of a republic, the opposition of the disgruntled military elements and launched in 1871, had gained many recruits. The great the necessity of putting down a rebellion in the hinterland landowners, who had lost their slaves without compensa- of Bahia. His successor, Manuel Ferraz de Campos Sales tion, withdrew their support from the monarchy. The (1898-1902), former president of the State of São Paulo, clergy had been antagonized by the punishment of sev- is chiefly remembered for his striking success in saving eral recalcitrant bishops. Isabel, the heiress to the throne. Brazil from the financial collapse threatened by the orgy and her husband, the Conde d'Eu, were unpopular. Most of extravagance, inflated currency, and speculation, serious, important elements in the army, which had be- which had followed the overthrow of the monarchy. come a political force after 1870, turned against the Em- While still president-elect, Campos Sales in 1898 negoti- peror, largely because Pedro insisted that they stay out ated through the Rothschilds a funding loan of £10,- of politics. A conspiracy was hatched by these disgruntled 000,000, interest on which was to be suspended for three military elements, and on November 15, 1889, a revolt years and amortization payments for ten. Because of the of part of the army was the signal for the collapse of the able and economical administration of Campos Sales and empire. Pedro formally abdicated and, with his family, the marvelous recuperative power of the country, the was banished to Europe. credit and finances of Brazil were again placed on a sound foundation. Francisco de Paula Rodrigues Alves (1902- BRAZIL SINCE 1889 06), likewise a Paulista, is generally regarded as Brazil's The early republican period. For the next 14 months ablest civilian president. During his term of office the The Military Brazil was ruled by a military autocracy in which Mar- capital was transformed into one of the world's most develop- autocracy shal Deodoro da Fonseca, as chief of the provisional gov- beautiful cities. Under the direction of the distinguished ment ernment, was virtually supreme. Decisions of great im- physician and scientist Oswaldo Cruz, Rio de Janeiro of Rio de portance were reached. Church and state were separated, was completely freed from yellow fever. Some of Brazil's Janeiro civil marriage was introduced, and a constituent assem- most thorny boundary controversies were settled during bly was summoned, which adopted in 1891 a constitution the presidencies of Campos Sales and Rodrigues Alves modelled closely on that of the United States. by the able minister of foreign affairs, José Maria de Silva The presidencies. As president, Deodoro da Fonseca Paranhos, barão de Rio Branco. employed the same dictatorial methods that he had fol- President Afonso Pena (served 1906-09) took an impor- lowed as head of the provisional regime. On November tant step toward the stabilization of the exchange through 3, 1891, he forcibly dissolved Congress and proclaimed the creation of the so-called Caixa de Conversão, or Bank himself dictator. But opposition was so widespread that of Conversion, whose function was to redeem inconver- on November 23 he resigned in favour of the vice presi- tible paper currency by the issue of convertible notes se- dent, Marshal Floriano Peixoto. But Peixoto differed lit- cured through the deposit of gold. This project had to be tle in his methods from his predecessor. Of the meaning abandoned on the outbreak of World War I. Pena died in of constitutionalism in the strict sense, he had scant un- 1909 and was succeeded by the vice president, Nilo Pe- derstanding. Growing opposition finally culminated in çanha. In the campaign of 1910 the official candidate, 1893 in a naval revolt and military uprising that lasted Marshal Hermes da Fonseca, nephew of Deodoro da until the following year and were put down only with the Fonseca, was opposed by Rui Barbosa, a noted lawyer greatest difficulty. and publicist. Though the conviction was general that The advent of a civilian as president was hailed with Barbosa had received a majority of the votes cast, the of- undisguised relief. Prudente de Morais, who assumed ficial machine easily secured the election of Hermes da office in 1894, was a distinguished lawyer of São Paulo Fonseca, during whose administration (1910-14) the high and a republican of long standing. Though his intentions standards set by the first three civilian executives were were excellent and his ability and honesty unquestioned, largely abandoned. Brazil, History of 147 World War I and its aftermath. A change for the bet- stitutional patterns of the republic were voiced by-young ter came with the election of Wenceslau Brás (served military officers, the tenentes, in the mid-1920s; the 1914-18), a former governor of Minas Gerais. His ad- movement they headed culminated in the revolution of ministration was closely associated with Brazil's reaction 1930, which marked the end of the so-called old republic to and participation in World War I. The sympathies of and the beginning of a new era. most Brazilians inclined toward the Allies. On April 11, The Vargas era. When the administration-sponsored 1917, Brazil broke off relations with Germany following presidential candidate was officially declared winner in the torpedoing of the steamer "Paraná" off France. On the 1930 election, a revolt broke out. This successful re- ARÁ June 1 Brazil revoked its decree of neutrality in the war bellion was led by Getúlio Vargas, governor of the state as a mark of continental solidarity and friendship with of Rio Grande do Sul, who was to remain central in the United States. On October 26, following the sinking Brazilian national life until his suicide in 1954. PERSIAN of more Brazilian ships, Brazil declared war on Ger- Vargas held office as chief executive on two occasions, many. Brazil's participation in the war was confined to 1930-45 and 1951-54. Early in the first of these peri- the dispatch of a part of its fleet to European waters and ods, the country's difficulties were essentially economic, the sending of a medical mission and a number of accentuated by a policy of subsidizing coffee production, aviators to the Western Front. Its chief contribution was and the tremendous powers of the states served as steady the placing of its food supplies and other resources un- irritants to the country. In 1934 a new constitution gave reservedly at the disposal of the Allies. Brazil partici- the central government greater powers. Three years later, pated in the peace conference and was given a temporary President Vargas suddenly seized practically absolute ESPIRITO seat on the Council of the League of Nations. power and set up still another constitution, under which In the election of 1918 a precedent was established by he continued as president. The new administration, DE JANEING heiro power sees and the re-election of Rodrigues Alves. He was too ill to ac- known as the Estado Nôvo (New State), so concentrated cept office, however, and died on January 18, 1919. In power in Vargas' hands that he was able to suppress all April, Epitácio Pessoa, a lawyer of note and head of the manifestations of popular will. Vargas stripped Brazil of Brazilian delegation at the Versailles conference, was most of the trappings through which it might eventually elected. His presidency, coinciding with a wave of post- hope to become a democracy. On the other hand, consid- war prosperity, was an era of reckless expenditure ac- erable social legislation was enacted, with positive bene- companied by an immense increase in both the internal fits to the labouring man. 0 and foreign debt. Large sums were absorbed by the Bra- Vargas' policy concentrated upon curtailment of states' 8 zilian centenary exposition, which was celebrated in rights, emphasis on nationalism, and the transfer of the 600 1922. The presidency of Artur Bernardes (served 1922- locus of power from the country to the city. The states 26) was beset with difficulties. The collapse of the boom were increasingly subordinated to the central govern- found Brazil in financial extremities, and the new execu- ment, politically, economically, and socially. The ruinous tive endeavoured to carry out a policy of strict economy: coffee policies of the past were discarded, manufacturing governmental expenses were cut down, costly public was advanced, and the diversification of agriculture was works were postponed, and new sources of revenue, such encouraged. as the income tax, were created. The success of this pro- After the outbreak of World War II in 1939, Vargas' gram of retrenchment and reform was compromised by a government supported inter-American solidarity; on Au- dangerous flareup of militarism. In the closing weeks of gust 22, 1942, it declared war against Germany and Italy. Pessoa's administration a military group made a desper- Besides participating in the defense of the South Atlantic ate but fruitless attempt to prevent Bernardes' inaugura- against Axis submarines, Brazil sent an expeditionary tion. Another revolt was launched in July 1924 at São force to Italy in July 1944 that distinguished itself in sev- Paulo city. This, too, was suppressed, but only after eral battles. Brazil also allowed the United States to use heavy loss of life and much property damage. In 1926 certain Brazilian naval and air bases during the war. A Washington Luís, minister of justice in the two preceding number of agreements were signed between the two gov- administrations, was elected president without a contest. ernments for the economic development and production The shift from empire to republic produced little im- of Brazilian raw materials. mediate change in Brazil's basic political or social insti- Return to representative government. On October 29, tutions. Under the constitution of 1891, state and munici- 1945, Vargas was overthrown in a bloodless revolution. pal governments were granted somewhat greater free- When it appeared that the President intended to continue Over- dom from central control, with a consequent increase in indefinitely in power, a group of high army officers throw the power of local bosses. But no significant new ele- forced him to resign, transferring the government to of Vargas ments were added to the political spectrum, and the bulk Chief Justice José Linhares on an interim basis. The of the population remained outside the political process. Dutra and Vargas. On December 2, 1945, Gen. Eurico develor Rural landholders, particularly in the States of São Paulo Gaspar Dutra, the former war minister and a loyal friend ment and Minas Gerais, adjusted to the loss of slave labour of Vargas, was elected to a five-year term as president. In of Rio and retained their pre-eminence. In São Paulo massive September 1946 a constituent assembly at Rio de Janeiro S Janeiro immigration from the Mediterranean area before World adopted a new constitution, which confirmed and on War 1 provided a new source of rural labour for the ex- strengthened the civil and personal liberties and the mul- S panding coffee industry. By the late 19th century, coffee tiparty system of representative democracy that had tak- a had become the outstanding export crop and source of en effect after the overthrow of Vargas. As was custom- government revenue. Diversification of agriculture and ary in Brazilian constitutions, it recognized the armed the expansion and diversification of the mining industry forces as permanent national institutions and the guar- h provided economic stimulus in Minas Gerais. The old antors of constitutional powers. areas of Bahia and Pernambuco gradually declined in po- Dutra showed a sincere determination to govern the litical significance and were eventually replaced by the in- country in harmony with the measures of the new con- creasingly important state of Rio Grande do Sul, but the stitution. He outlawed the Communist Party as an un- latter did not challenge the political hegemony of the democratic, foreign-based organization in May 1947 but central states until 1930. Thus, economic and political did not otherwise interfere with the free play of political power was concentrated in São Paulo and Minas Gerais expression or political party activities. Major accomplish- during the first four decades of the republic, and national ments of the Dutra administration included the Paulo la policies usually reflected the interests of those states. Afonso Dam on the São Francisco River, to provide elec- The principal new factor was the political role of the tric power to northeastern Brazil, and the opening of an at of the military. After 1889 the armed forces asserted their claim all-weather highway linking that region with the indus- f- stitury as guarantors of the constitutional process and served trial zones of Minas Gerais and São Paulo. la usually as a check upon the civilian administrations. The The general elections of 1950 resulted in a substantial military also provided the leadership of occasional pro- victory for Vargas. While he failed to secure a clear re test movements. The first stirrings of social unrest and majority in the four-way race, he polled 1,500,000 more vaguely expressed demands for a modification of the in- votes than the runner-up and nearly as many as the com- 148 Brazil, History of bined total for the three rival candidates. Accordingly, suffered a mild heart attack and on November 8, 1955, despite serious reservations by the military leaders who transferred power temporarily to his constitutional suc- had deposed him in 1945, he was installed in the presi- cessor, Carlos Luz, speaker of the Chamber of Deputies. dency once more on January 31, 1951. During his second The following day Luz indicated that he would dismiss period in power, Vargas was unable to dominate the Marshal Lott to resolve a conflict of authority between political forces of the country or to exploit social and the executive and the war minister. This was interpreted economic trends to his advantage; he endeavoured to by Kubitschek's backers as the signal for a coup d'etat abide by the constitution of 1946 and was criticized in by anti-Kubitschek forces. On November 11, 1955, War some quarters for weak leadership. Lacking a firm ma- Minister Lott and Marshal Odílio Denys, commander of jority in the Congress, he could neither enact his own army troops in Rio de Janeiro, staged a "countercoup" to program nor resist the contradictory pressures of his guarantee Kubitschek's inauguration. Luz was deposed, supporters and opponents. The most serious continuing his constitutional successor, Sen. Nereu de Oliveira problem was economic. Brazilians were agreed upon the Ramos, was installed as interim president under a state need for more rapid industrial development and mea- of siege, and Lott remained as war minister and the sures to ameliorate the effects of gradual monetary in- strongest figure in the government. Kubitschek and flation, which persisted as government expenditures con- Goulart took office as scheduled and without incident on sistently outran revenues. Vargas maintained a precarious January 31, 1956. balance between the advocates of greater state interven- During his term of office Kubitschek encouraged the Spread tion in the economy and those who insisted upon a widespread spirit of nationalism, appealing to the pop- national. favourable climate for domestic and foreign private in- ular demand for economic development and to the belief ism vestment. The situation was complicated by the simul- that Brazil was destined to become a great power among taneous emotional, antiforeign campaign to nationalize the nations of the world. Kubitschek felt that the nation- the natural resources of the country. The campaign cul- al government should play a vital role in economic areas minated in the creation of the national petroleum corpo- unattractive to private capital; thus, his administration ration, Petrobrás, in 1953. undertook ambitious developmental programs for the For three years Vargas' popularity largely protected construction of interregional highways and vast hydro- him from attack by political adversaries, who directed electric power projects, the expansion of iron, steel, pe- their criticism against members of his administration. troleum, and coal production, and assistance to the rapid- João Goulart, Vargas' young protégé and vice president ly growing private industrial sector. Perhaps his out- of the Brazilian Labour Party (PTB), who became minis- standing accomplishment was the construction of Bra- ter of labour in 1953, was accused of using his office to sília on an inland plateau 580 miles (930 kilometres) transform organized labour into a political machine loyal northwest of Rio de Janeiro. Although not yet com- to Vargas. His sponsorship of a decree doubling the mini- pleted, Brasília was dedicated as the official capital of mum wage, thus strengthening labour-administration Brazil on April 21, 1960. The purpose of Brasília was to ties and contributing to the inflationary spiral, led to his focus the attention of Brazilians on the interior of the dismissal in 1954. A series of crises followed, climaxed country and to hasten settlement of the region and the on August 5, 1954, by the murder of an air force officer development of its largely untapped resources. The new and the attempted assassination of opposition newspaper capital was denounced by residents of Rio de Janeiro, but editor Carlos Lacerda. Investigation revealed that the Brazilians elsewhere generally regarded it as a symbol of assassins had been hired by the President's personal the nation's future greatness. In inter-American relations, guard. The exposure of widespread corruption within the the Kubitschek administration proposed the adoption of administration caused a wave of revulsion against the Operation Pan America, a cooperative program for the Vargas' former dictator. A group of army officers presented Var- economic development of Latin America, which fore- suicide gas with a demand for his resignation; Vargas complied shadowed the Alliance for Progress. on August 24, 1954, and later that day committed sui- The great material progress during the Kubitschek pe- cide. riod was achieved at a high cost in terms of inflation and Kubitschek's administration. Vice president João Café repeated foreign borrowing. The cost of living and the Filho served out the remainder of Vargas' term. His volume of currency in circulation tripled between 1956 Cabinet included military leaders who had been instru- and 1961, while Brazil's large foreign debt nearly dou- mental in removing Vargas and civilian moderates who bled. The gross national product rose to unprecedented generally favoured political democracy, limited social levels, but living standards for much of the population change, and an orthodox approach to economic ills. Mar- remained stationary or actually declined. At the same shal Teixeira Lott, a highly respected professional soldier time, indications of large-scale graft and favouritism in not identified with any political group, was made war public office disturbed even the normally tolerant Brazil- minister. Much of the Café Filho administration was OC- ian electorate. cupied by preparations for the presidential election of Quadros and Goulart. This situation was debated in October 3, 1955. After the failure of attempts to find a the electoral campaign of 1960. Again there were three single candidate around whom all major political parties candidates for the presidency: Marshal Teixeira Lott might rally, three strong candidates for the presidency who had served as Kubitschek's war minister for more emerged: former Minas Gerais state governor Juscelino than four years; Jânio Quadros, the unorthodox for- Kubitschek de Oliveira, popularly regarded as Vargas' mer governor of São Paulo and at that time congress- political heir; former São Paulo state governor Ademar man from the State of Paraná; and Adhemar de Barros, de Barros, with broad backing from financial and com- then mayor of the city of São Paulo. It was soon clearly mercial groups; and Marshal Juárez Távora, considered a race between Lott and Quadros. Lott received official as the representative of conservative military and civilian backing and campaigned on the Kubitschek record. Qua- groups. In the 1955 election Kubitschek was the victor dros, who was not a regular member of any political with slightly more than one third of the total vote, Tá- party was supported by the largest conservative party, vora ran a close second, and Barros was a somewhat the National Democratic Union (UDN), and a heteroge- more distant third; in the separate vice-presidential elec- neous grouping of lesser political factions. With a new tion, João Goulart won with a large plurality. The elec- broom as his symbol, Quadros caught the public's imagi- tion was widely interpreted as a popular vindication of nation as the candidate of the common man. He prom- the Vargas position. The illegal but active Communist ised a scrupulously honest administration, curbs on infla- Party, which had thrown its unsolicited support to Ku- tion, effective economic development, dignity for the in- bitschek, claimed to have provided his margin of victory. dividual, and an aggressively "independent" foreign pol- Rumours of a Café Filho administration plot to use un- icy. Goulart was once more a candidate for the vice-pres- constitutional means to prevent the inauguration of idency. At the polls on October 3, 1960, Quadros won Kubitschek and Goulart were not proved, but the con- election with a plurality of 48 percent of the popular servative press-which regarded Kubitschek as a danger- vote. He received more than 5,600,000 votes, the largest ous radical-added to the tension. President Café Filho number ever cast for a presidential candidate in Brazil. Brazil, History of 149 1955, Goulart, a political enemy of Quadros, won a narrow vic- and conservative opposition. Goulart surrounded him- suc- tory in the vice presidential race, polling slightly more self with left-wing advisers. He sought to neutralize the ities. than 4,000,000 votes. Quadros and Goulart were inaugu- armed forces by frequent command changes and by de- Opposition miss rated on January 31, 1961. veloping a personal following among noncommissioned to Goulart ween The election of Quadros was hailed as a revolution by officers and enlisted personnel. After failing to obtain reted ballot. For the first time in three decades, anti-Vargas po- authorization for a state of siege, which would have en- l'etat litical groups controlled the presidency. Quadros took hanced his powers, Goulart appealed directly to the War office in an atmosphere of popular expectation, but al- people for support. At a mass rally in Rio de Janeiro er of most immediately he encountered resistance from the in March 1964, he instituted a controversial agrarian p" to Congress, where parties loyal to the Vargas tradition still reform and nationalized certain privately owned oil osed, commanded a large majority. Quadros' arbitrary and au- refineries. Many military officers and opposition po- veira tocratic manner, which soon alienated many of his for- litical leaders had already become convinced that Gou- state mer adherents, further reduced the possibility of enacting lart was seeking to establish a dictatorship of the left. the a meaningful reform program or effective measures to re- During 1963 active plotting began among separate civil- and tard inflation. In foreign affairs Quadros was more suc- ian and military groups in different parts of the country. it on cessful; his foreign policy, which was applauded by ultra- Gov. José de Magalhães Pinto of Minas Gerais state and nationalists and deplored by moderates, seemed designed Marshal Humberto de Alencar Castelo Branco, chief of the to move Brazil toward neutralist nations and away from staff of the army, emerged as the chief coordinators of the pop- natio the traditional ties with the United States. He opposed conspiracy. An attempt was made to find a formula to elief ism any inter-American action to censure the Castro regime prevent a coup d'etat by the President and still permit nong in Cuba and initiated proceedings to resume or establish him to complete his term in office. At the same time, tion- diplomatic and commercial relations with the Soviet plans were made to overthrow the regime if necessary. areas Union and its European satellites. On August 25, 1961, The administration's refusal to suppress a strike by naval ation after less than seven months in office, Quadros resigned enlisted men in late March 1964 was regarded by the op- the unexpectedly, alleging that "terrible forces" had deterred position as intolerable, for military authority and disci- 'dro- him. The congress promptly installed Pascoal Ranieri pline were considered the last check on Goulart's alleged pe- Mazzilli, speaker of the Chamber of Deputies, as tempo- ambitions. On March 31, 1964, Magalhães Pinto pro- apid- rary president. Vice president João Goulart, the constitu- claimed a revolution against the government by the civil out- tional successor, was then en route home from a state and military forces in Minas Gerais; the following day he Bra- visit to China. was joined by the political leaders of the States of São tres) Brazil stood at the brink of civil war. Many military Paulo and Guanabara and by the armed forces through- com- commanders and conservatives regarded Goulart as too out most of Brazil. On April 2 Goulart fled into exile and 11 of radical to be entrusted with the nation's highest office, two days later he reached Uruguay. The Congress de- as to while the great majority of civilian political leaders up- clared his office vacant and designated Mazzilli as interim the held his constitutional right to the presidency. War Min- president until a successor could be chosen to serve out I the ister Odílio Denys now emerged as the chief spokesman the remainder of term. new of the anti-Goulart forces, demanding that the Congress Castelo Branco's administration. With the fall of but declare the office of vice president vacant and hold new Goulart, real power passed to the leaders of the revolu- ol of elections. The Congress refused. In southern Brazil the tion, who instituted sweeping political changes. The revo- ions, commanders of the powerful army and air force units lutionary commanders set out to restore economic and n of defied orders from the capital and sided with Goulart. financial order, to eliminate what the generals claimed the Goulart arrived in Pôrto Alegre, insisting that he was al- was "Communist infiltration," and to purge corrupt and fore- ready president of Brazil. Faced with the imminent pros- subversive elements. At the same time they desired to pect of armed conflict, the Congress and the anti-Goulart retain a modified form of representative government. On pe- group in the military agreed upon a compromise solu- April 9, 1964, these goals were combined in the First The First and tion: that Goulart be allowed to take office, but only as a Institutional Act, a modification of the 1946 constitution. Institu- the figurehead. On September 2, 1961, the parliamentary sys- The executive was granted temporary authority to cancel tional Act 1956 tem of government was adopted by constitutional amend- the mandates of elected officials, to dismiss public ser- dou- ment; most presidential powers were transferred to the vants, and to revoke for ten years the political rights of nted newly created post of prime minister. Provision was those found guilty of subversion or misuse of public tion made for a national plebiscite on the parliamentary ex- funds. ame periment before the end of the presidential term. Goulart During the six months these provisions were in effect, n in accepted these conditions and was formally confirmed as thousands were arrested, and hundreds of persons-in- azil- president on September 7, 1961. cluding union and government officials and former presi- Once the immediate crisis of the presidential succession dents Goulart, Quadros, and Kubitschek-were deprived d in was settled, the political parties resumed debate on press- of political rights. The Congress was retained as a legis- hree Ing national issues but postponed significant legislation lative body with power to debate and amend but not re- Lott pending the outcome of congressional elections in Octo- ject proposals submitted to it by the executive. On April nore ber 1962. When these failed to indicate a clear mandate 11, 1964, Castelo Branco was elected president by the for- for or against the administration's reform proposals, the Congress. José Maria Alkmin, finance minister under ress- opponents of parliamentarianism, led by Goulart, de- Kubitschek, was chosen as vice president. On July 22 the TOS, manded a quick return to presidential rule. On January Congress extended the terms of Castelo Branco and Alk- arly 6, 1963, a national plebiscite by a margin of more than min to March 15, 1967. icial five to one gave Goulart full presidential powers. Goulart Castelo Branco's extended term was regarded by the Qua- was unable to secure majority support for his legislative revolutionaries as a transition period during which sweep- tical program, however, and repeated Cabinet changes and ing political and economic reforms should be enacted arty, new plans for economic and social development did noth- oge- ing to restrict inflation and soaring living costs, which before the nation could again be entrusted to a popularly elected government. It was generally agreed by the new new reached alarming proportions under Goulart. During the agi- two and one-half years of his administration, there was leaders that such alleged shortcomings of the political a tenfold drop in the dollar value of the currency, the process as the multiplicity of small, regional, and per- om- sonalist parties, opportunistic electoral coalitions, and afla- cost of living tripled, and the growth of the gross national product, which had been rising by 6 to 7 percent yearly, the separate election of president and vice president must : in- be corrected, but they were divided over the best means pol- was brought to a complete halt. res- Military intervention. As the situation grew more des- to attain these ends. The President's determination to won perate, cooperation between the regime and its critics be- achieve reform by legislation, while permitting normal ular came more difficult. The administration identified itself political activities and full freedom of expression by gest increasingly with the ultranationalistic left, while most of critics of the regime, was challenged by civilian and mili- azil. the military officer corps sympathized with the moderate tary extremists who called for dissolution of Congress, abolition of political parties, and suspension of all par- 150 Brazil, History of tisan activities until the revolutionary regime had enough part markedly from the course set by his predecessor. time to consolidate its power. His administration rejected petitions for a general am- The test came in October 1965, when gubernatorial elec- nesty, resisted all proposals to amend the new constitution tions were held in 11 states and opposition candidates to restore direct elections, quashed attempts to form a were elected by substantial majorities in the key states of second opposition party, and forcefully suppressed stu- Minas Gerais and Guanabara. The extremists interpreted dent disturbances. More serious political opposition, how- the results as a great setback for the revolutionary gov- ever, was muted in part by the government's achieve- ernment. Accusing Castelo Branco of not pressing the ments in the economic field. revolutionary reform program with enough vigour, they The political situation deteriorated rapidly late in 1968. blamed him for the defeat of their candidates and de- Faced with a resurgence of public and congressional crit- Growir manded that he annul the two elections. When he refused icism, Costa e Silva, under strong pressure from the oppositie to comply with their demands, they plotted a coup d'etat. armed forces, seized emergency powers. The Fifth In- At this point, Marshal Artur da Costa e Silva, the min- stitutional Act issued on December 13 suspended all leg- ister of war, intervened and persuaded the dissident lead- islative bodies indefinitely, authorized the executive to ers to keep the peace in return for Castelo Branco's rule by decree, and provided the legal basis for a new promise to take stronger measures to enact the revolu- purge of outstanding political critics. tion's reform program. When in August 1969 Costa e Silva suffered a paralytic On October 27, 1965, Castelo Branco signed the Second stroke, the government was taken over by the three Emer- Institutional Act, which suspended all existing political armed forces ministers, who held power till October when gency parties, restored the president's emergency powers for the government selected Gen. Emílio Garrastazú Médici measures the remainder of his term, and set October 3, 1966, as the as the new president. Elections for federal and state sen- date for new presidential elections. An artificial two-party ators and deputies and municipal officials in November system was imposed upon the country. The new political 1970 showed a clear victory for Médici and the Arena parties were the Aliança Renovadora Nacional (or Na- party. Disturbances continued, however, through 1970 tional Renewal Alliance, called Arena), sponsored by the and 1971, kidnapping of foreign consular and diplomatic government, and an opposition party, the Movimento officials being added to the arsenal of the dissidents. Democrático Brasileiro (or Brazilian Democratic Move- Médici in 1971 presented the First National Develop- ment; MDB). A third party was theoretically possible, but ment Plan, which was aimed at 8 to 10 percent annual as a practical matter all active political factions were economic growth and per capita income of at least $500 required to function within those two parties. Arena soon (U.S.) per year (in 1972 it was estimated to be $400). attracted a heterogeneous grouping of pro-administration Development of the Northeast and the Amazon area, elements, while the MDB came to be composed largely of especially by means of a program of road construction former followers of Goulart and of politicians who had and one of redistribution of land, was also planned. broken with the revolutionary regime. Neither party en- In August 1973 a bill creating the electoral college that joyed strong grass-roots support. Because the president from 1974 onward would elect the president and vice was elected by the Arena-dominated Congress, the MDB president became law. In September the national conven- refused to nominate candidates. The administration can- tion of the Arena party selected as its candidates for pres- didates, Costa e Silva and Pedro Aleixo, the minister of ident and vice president, respectively, Gen. Ernesto education, were elected. Geisel, a chief executive of the government-owned petro- Castelo Branco in December 1966 called an extraordi- leum company, Petrobrás, and Gen. Adalberto Pereira nary session of Congress to approve a new constitution dos Santos. They were duly elected by the electoral col- drafted by a government-appointed commission. The lege on January 15, 1974. Constitu- new document, promulgated on January 24, 1967, incor- The 10th anniversary of the revolution was celebrated tion porated much of the revolutionary reform program and by lifting the prohibition on political activities of 106 of 1967 confirmed the expansion of the power of the executive leaders of the former regime, among them Kubitschek, and of the central government. Important changes in- Quadros, and Goulart. The Fifth Institutional Act, how- cluded the indirect election of the president and vice ever, remained in force. A surprising victory for the MDB president from a single ticket; reduction of the presiden- in the congressional elections in November 1974, in which tial term from five to four years; the use of military the opposition gained 20 seats in the Senate, was not courts to judge civilians charged with violation of na- repeated in the municipal elections of November 1976. tional security laws; the granting of authority to the In April 1977 President Geisel dismissed Congress when president to issue emergency decrees without consulting it failed to pass judicial reforms that he had requested. Congress; and denial to the Congress of the right to de- Under the emergency powers of the Fifth Institutional lay action on legislation requested by the executive. Act, Geisel then issued decrees instituting those reforms The Castelo Branco administration engaged in unprece- and other electoral and constitutional changes. Among dented economic planning in order to contain inflation these were provisions for the indirect election of state and to revive the flagging economy. It employed emer- governors and one-third of the federal senators and the gency powers to limit and regulate sources of credit, to. increase of the presidential term to six years. The num- restructure the tax system and collection procedures, and ber of members of the Chamber of Deputies was to be to impose wage and salary controls. These measures af- based on the total population of the states instead of on fected all sectors of society but bore most heavily on ur- the number of registered voters, and constitutional ban labour and white-collar workers, whose real income amendment could be effected by an absolute majority of was held below the rising cost of living. The adverse ef- Congress rather than the two-thirds vote of two succes- fects were partially offset by tax incentives to encourage sive sessions formerly required. increased industrial and agricultural productivity. At the Brazil's phenomenal rate of economic growth in these same time the government poured substantial invest- years-the gross national product of 1973 was nearly ments into electric power and transportation to provide double that of 1964-was halted by the petroleum crisis for continued orderly economic development. Although of 1973-74. Because the country imported 70 to 80 per- the administration did not achieve all of its goals, Brazil's cent of its oil, the trade deficit had risen to $6,000,000,000 credit rating abroad was firmly re-established, the an- by the end of 1976 and inflation had reached an annual nual rise in living costs fell from 86 percent in 1964 to rate of 45 percent. A stringent program to reduce govern- 41 percent in 1966, and the increase in the gross national ment spending and imports and to increase exports was product rose significantly. With the exception of labour, introduced in 1977. every major sector of the Brazilian economy was on the Social and political changes after 1945. In certain re- upswing when Castelo Branco left office. spects, the phase of Brazilian political history that began Administrations of Costa e Silva, Médici, and Geisel. with the overthrow of the Estado Novo and the election Costa e Silva promised to humanize the revolution, and it of a president and Congress responsible to the electorate was widely expected that he would soon relax the more ended with the revolution of 1964. The latter event dis- severe political and economic policies. Yet he did not de- pelled any lingering doubts that the armed forces were Brazil, History of 151 sor. the strongest political organization in Brazil. The ease Extension of the franchise to illiterates would greatly im- with which military leaders assumed and retained power enlarge the size of the electorate and increase the influ- ion clearly revealed the failure of the postwar political parties ence of the lower class on Brazilian politics. It would n a to develop into cohesive national bodies capable of win- also enhance the political power of rural society at the itu- ning the respect and allegiance of the voting public and expense of the city dwellers. But even though about 59 DW- of resolving the critical problems of economic develop- percent of the rural population was still unable to read ve- ment and social justice. Charges made by the right-wing and write in the early 1970s and was therefore still denied opposition of the ineffectiveness of populist civilian ad- the vote, the political consciousness of the peasantry had 68. ministrations in the early 1960s paved the way for the been awakened. Through illegal peasant leagues, founded Rural rit- retreat after 1964 to paternalistic rule by a narrow elite. in the late 1950s, and legitimate rural unions, which were political the Yet, in a deeper sense, fundamental economic and so- authorized in 1962, many peasants were able for the first power In- cial trends encouraged by the Vargas regime after 1930 time to make their needs known to the political leaders. eg- were only slightly modified by the representative govern- Before the revolution of 1964, the Communists, a few to ments after 1945 or by the revolutionary governments clergymen, and members of nearly all legal parties were ew after 1964. The fact that the political forces that had competing for the allegiance of the rural masses, appeal- just regained freedom of expression in 1945 were unani- ing to their demands for social justice and higher stan- tic mously agreed upon the need for a new national charter dards of living. Although most peasant organizations were ree dramatically illustrated their awareness that a return to abolished and many agitators were jailed or exiled after en the pre-1930 status quo was impossible. While the con- 1964, limited measures were enacted by the federal gov- lici stitution of 1946 borrowed heavily from that of 1891 in ernment to assuage rural unrest. The peasantry remains en- certain exterior forms, a comparison of the two charters potentially the most powerful political force in Brazil. per reveals the nature and extent of the socio-economic trans- The church. After 1964 the Roman Catholic Church na formation that Brazil experienced after 1930. The con- in Brazil, as one of the few effective institutions orga- 70 stitution of 1891, despite its positivist trappings, was nized nationwide, was drawn into the partial political vac- tic essentially a 19th-century liberal document that stressed uum caused by the purge of populist civilian leaders and the rights of the individual and of state governments as the abolition of established political parties. Several bish- op- opposed to the national administration. The constitution ops led the secular and regular clergy in denouncing the ual of 1946 largely reaffirmed Vargas' concentration of power government's apparent indifference to the vast inequities 00 in the central government and acknowledged the federal in Brazilian society. Clerics also served as champions of )). responsibility for maintaining and fostering economic de- the right of dissent, and by the late 1960s the church had ea, velopment and social welfare programs. These trends become a rallying point for political opposition. on were accelerated under the military rulers in the new na- The armed forces. The armed forces, final arbiters of tional charter of 1967. the political process in Brazil, were neither blind nor in- Influence at Rural and urban developments. The changes that be- different to the objectives of the new groups that entered of the ice gan in 1930 reflect basic socio-economic developments, the political scene after 1945. The traditional alliance of armed n- such as population growth and an increase in urbaniza- the military forces and conservative rural landholders had forces tion and in participation in the political process, which long since been replaced by an informal similarity of sto gave new dimensions and added complexity to Brazilian views between military officers and urban middle class :o- politics. In 1930 Brazil had a population of about 33,- sectors. The armed services consistently defended cen- ira 500,000, of whom at least three-fourths were rural and tralized government, rapid industrialization, and the de- ol- illiterate, hence could not vote. By 1945 the population velopment of an efficient, organized labour force. They had risen to about 46,000,000; two-thirds of these were were quick, however, to resent the exploitation of orga- ed rural and largely outside the political arena. In 1964 the nized labour by political leftists as a counterweight to the 06 population surpassed 80,000,000 and was divided equally political influence of the military officers. Between 1945 :k, between rural and urban inhabitants; the proportion of and 1964 no single political party was able to elect a W- literates was also about 50 percent, but at least half of president or a majority in Congress. Because this situation DB these were under voting age. By the time of the election encouraged political irresponsibility, the armed forces, ch of 1974, the population had reached almost 105,000,000, always at the behest of civilian political elements, inter- ot of which 56 percent was urban. Attendance at the polls vened on four occasions to protect national institutions 6. rose to 80 percent of the total of 36,000,000 registered against what they considered to be civilian incompetence. en voters. It appeared certain that the bulk of the voters en- Beginning in 1964, military leaders initiated a major revi- d. franchised after 1930 belonged to the urban working class sion of the political system, which, in their view, would al and government bureaucracy. make it impossible for men who placed partisan before ns With the formation of government-directed trade unions national interest to come to power. ng in the 1930s, a politically conscious urban proletariat de- te (Signeriat veloped. This did not, however, signify the emergence BIBLIOGRAPHY. E. BRADFORD BURNS (ed.), A Documentary he of a true labour-based political movement or an authen- History of Brazil (1966), excerpts from historical documents n- tic labour party. Leadership of this new political force from between 1595 and 1964, translated into English-an in- was contested by the traditional elite, principally land- dispensable work because of the original information it be gives; JOSE HONORIO RODRIGUES, Aspirações Nacionais, 4th on owners and large merchants, and by a new middle class rev. ed. (1970; Eng. trans., The Brazilians: Their Character al composed of industrial, commercial, and professional and Aspirations, 1967), a synthesis and interpretation of prin- of persons who had gained elite status. The governments cipal facets of the Brazilian character and of the objectives s- after 1964 continued to control labour organizations in of the nation; CAIO PRADO, JR., Formação do Brasil Contem- an effort to gain labour support while discouraging the porâneo, 7th ed. (1963; Eng. trans., The Colonial Background se formation of a potentially dissident labour movement. of Modern Brazil, 1967), a masterpiece of interpretation of ly Before 1966 the new middle class, which had not yet the colonial period; ALAN K. MANCHESTER, British Preëminence is acquired a strong enough sense of class consciousness to in Brazil, Its Rise and Decline (1933; reprinted 1964), a study regard itself as a distinct social element, did not seek a of relations between Great Britain and Brazil, with emphasis r- 0 unified political expression. Rather, it vied with the tradi- on the British influence in Brazil; C.H. HARING, Empire in al tional ruling groups for control of existing political or- Brazil: A New World Experiment with Monarchy (1958; re- printed 1968), a good introductory book to the imperial 1- ganizations. Members of both groups were found in the period in Brazilian history; JOSE MARIA BELLO, História da as leadership of virtually every party for two decades after República, 5th ed. (1964; Eng. trans., A History of Modern 1945, although urban-oriented parties grew consistently Brazil, 1889-1964, with a new concluding chapter by ROLLIE at the expense of more traditional, rural-based parties. E. POPPINO, 1966), a basic work in English dealing with the n By and large the middle class endorsed the revolution of history of republican Brazil; HENRY W. SPIEGEL, The Brazilian 1964, but many of its political spokesmen later broke with Economy: Chronic Inflation and Sporadic Industrialization n the revolutionary regime, and middle class political lead- (1949), an analysis of Brazil's economic problems, with em- e ers were found in each of the new political parties cΓe- phasis on the contradictions that plague its structure; THOMAS ated in 1965. E. SKIDMORE, Politics in Brazil, 1930-1964 (1967), the best available study of Brazilian politics for this period. June 7, 1991 Tony: Attached are bullets sent over by State for use in the arrival statement and the State Dinner Toast. 621 They are far too long and sprawling. Here is our brief outline of the themes the President should touch on: Our strong support for democracy in Brazil -- a key bulwark for achieving the world's first hemisphere of democracy; -- Our shared commitments to human liberty, human rights, free markets, the prosperity and welfare of our citizens, and our concern for the environmental legacy we will leave future generations. The complexity and variety of our bilateral agenda; our determination to treat the agenda as a challenge and an opportunity, not as an obstacle. Our reinvigorated efforts on nuclear and chemical non- proliferation; praise last fall's Foz de Iguacu accord with Argentina. Our support for Southern Cone economic integration; our leasure that we are about to sign a bilateral trade and investment framework agreement. Our appreciation for Brazil's strong support for UN resolutions and UN sanctions against Iraq. Im this , ''''' 000 0020 United States Department of State Washington, D.C. 20520 Date: 7 June 1991 TO: Don Johnson NSC Staff - Latin American Affairs PHONE: 395 6942 FROM: Bernard Aronson Assistant Secretary for Inter-American Affairs PHONE: 202-647-9210 No. of Pages (including cover) : 5 REMARKS: Speech points for use in preparing Presidential remarks for the Collor state visit. We will have to you by Monday some additional color points for the speechwriters. General/Introductory -- It has been a year and à half since President and Mrs. Collor were last in Washington -- in January 1990, when he came as President-elect. It has been half a year since we met in Brasilia. Much has happened since then; there is much to discuss. -- President Collor is the first directly-elected president to take office in Brazil in 30 years. He is the first in many other things: he is the youngest president of Brazil. He is the first president from the post-World War II generation. -- I was impressed the first time we met -- as I was in our other meetings -- by his energy in tackling his country's toughest problems. -- Brazil is home to great natural wealth and one of the world's most resourceful and inventive peoples. Nevertheless I think it is fair to say that to be the President of Brazil today is one of the world's toughest jobs. -- President Collor's task is to open his vast country to a system of more open markers and less state intervention. In so doing, he must challenge many well-entrenched and traditional ways of doing business. -- His energy is both physical -- he is a serious jogger, as I am -- and mental. He will need this energy for the daunting tasks that he faces -- but we agree that the payoff for Brazil, in terms of genuine economic competition and a better life for her people well justifies the effort. Democracy/Human Rights -- We are strongly united by our love of freedom and our shared commitment to democracy. A new Congress, elected last fall, has convened in Brasilia. I understand that some of its members differ with you, Mr. President, on your legislative agenda. I have some experience in this. I am sure we could discuss it at some length. -- President Collor has given special emphasis to the protection of human rights. He has joined others in Brazil in raising his voice to protest violence against some of the poorest and most helpless elements of Brazilian society. The President and his administration have made clear that such violence is not to be tolerated, and that those who threaten the rights -- and lives -- of others must be stopped. -2- Regional Issues -- The U.S. and Brazil have joined in celebrating the triumph of democracy elsewhere in the hemisphere since our last meeting. The successful presidential elections in Haiti were cause for great satisfaction for all democratic societies in the region. -- We have also shared concerns about possible threats to democracy in the region. The military coup in Suriname last Christmas Eve was deeply disturbing. Elections three weeks ago promise a return to civilian democratic rule -- but only if the military stay out of the political arena. We hope Brazil will join us in using its best efforts with the Surinamese authorities to inoculate that country's fragile democracy against military dictatorship. -- We look to Brazil as a major player in this hemisphere, but also as a friend with whom we should work in other key regions. Your strong commercial interests in the Middle East can help encourage peace in that tormented part of the world. Non-Proliferation/Technology, Transfer -- I am pleased to say that the U.S. and Brazil have come to share a strong dedication to halting the spread of weapons of mass destruction. : Your bold leadership, along with that of Argentine President Menem, has resulted in a dramatic effort to create a common nuclear policy in South America's two largest countries, to negotiate a joint full-scope safeguards agreement with the International Atomic Energy Agency, and to take steps to bring the Treaty of Tlatelolco into force. o This has put Brazil squarely among the nations committed to eliminating the threat of nuclear conflict. It has further ratified the promise of Brazil's constitution that nuclear energy will be used only for peaceful purposes. D We look forward to the signing of your agreement with the IAEA -- and to seeing full-scope safeguards put into operation. This will allow the U.S. and Brazil's other friends to move ahead with programs of nuclear cooperation with Brazil. 0 We also look forward to Brazil's bringing the Treaty of Tlatelolco into force quickly. Your country's weight and prestige, along with Argentina's, are vital to the success of this non-proliferation treaty covering Latin America. o This action would be particularly welcome in the wake of France's announcement of its intention to adhere to the Nuclear Non-Proliferation Treaty. We also welcome Brazil's support for efforts to control the proliferation of chemical weapons. I deeply appreciate your message of support for the initiative that I announced on May 13 to push forward on a global chemical weapons convention. I hope Brazil will become an original party to the final agreement. In the interim, I welcome steps by your government to ensure that Brazil does not become a source of materials or equipment that others could use for chemical or biological weapons. Brazil and the U.S. can also profitably increase our consultation on proliferation of ballistic missiles. This was a central focus of my May 29 Middle East arms limitation proposals. In Europe we have eliminated an entire category of missiles. Since my visit to Brasilia in December, our two governments have held talks on wide range of technology transfer issues. These talks have been marked by frankness and candor, which is how good friends should deal with one another. They mark the beginning of a broad dialogue and of steps in building mutual confidence that should be pushed forward. Let us ensure that this process continues, that we not lose momentum, and that tangible results are achieved. Trade/Finance When he took office in 1990, President Collor announced a program of sweeping economic reform for the Brazilian economy. It aimed to bring near-runaway inflation under control, reduce the role of government in the economy, and to liberalize Brazil's foreign trade system. The U.S. welcomed the Collor Plan and gave it warm endorsement. The last 15 months have not been easy. Not all parts of the Collor Plan have met their goals. But let us look at what has been achieved: o President Collor has changed the terms of national debate in Brazil about the role of the state in the economy. Privatizations of state companies are beginning. -4- o Brazil has adopted a more liberal and largely tariff-based system for its foreign trade. 0 Work is well under way to root out the dead hand of excess regulation which has too long afflicted Brazilian entrepreneurs. We sympathize with President Collor's objectives and want to help where we can. The Enterprise for the Americas provides the roadmap for such cooperation -- and I am very pleased to hear that we have just reached agreement on a Trade and Investment Framework Agreement with Brazil and its prospective partners in the planned "Mercosur" common market in South America. o This agreement will let us start serious work to open up new opportunities for trade and investment. o It will also give us a practical forum to discuss the emerging Mercosur common market. This bold initiative can complement the EAI, moving the hemisphere towards one, great free trade area. -- President Collor and I agree that a successful Uruguay Round is essential for the creation of a more open global trading system that will generate growth and prosperity for all nations. -- Brazil's coming talks with the IMF and foreign banks offer a major opportunity to begin to normalize relations with the international financial community. Early progress on this front is essential for lifting business confidence in Brazil and for obtaining the private and official capital flows which the country SO needs. I Brazil's friends abroad have an important stake in the success of your efforts and want to help with your liberalization effort. : Mr. President, we both face pressures at home to spend money we don't have. As politicians, we both understand how difficult it can be to resist such pressures. You have been steadfast in this area. I know you will remain so, since control of government spending remains key to future prosperity -- in both our countries. Many issues remain to be talked about and resolved. But know this: we have in Brazil and in President Collor a partner dedicated to promoting economic stability and growth through reliance on the free market and individual initiative. Environment Under President Collor Brazil has been a leader in the search for sustainable use of natural resources. The environmental section of its 1988 Constitution is frequently cited as a model for other nations. President Collor has been tireless in raising the appreciation of the Brazilian people for their great natural patrimony. He has shown them through his travels, from the Pantanal -- the world's largest wetlands, in the Far West -- to the Atlantic Rain Forest along the East Coast, the richness of their natural heritage. His attention to the environment has gone beyond Brazil's borders, to include a visit to your scientific station in Antarctica. He has set a demanding pace -- so hard that he nearly lost one of your Cabinet ministers in a snow bank trying to keep up with you there. Brazil has taken vigorous steps to reduce the burning of forests. Burnings dropped 36% berween 1988 and 1989, and another 278 in 1990. The recent completion of the world's largest hydroelectric dam, Itaipu, is another example of Brazil's protecting one of nature's treasures -- the world's largest waterfalls at Foz do Iguacu -- in a beautiful national park, while harnessing the river to supply the energy needs of Paraguay and southern Brazil. All of us look forward to the landmark United Nations Conference on Environment and Development which will take place in Brazil in 1992. Brazil's offer to host the Conférence and its many parallel events -- a task described as the management challenge of the century -- reflects your and your countrymen's commitment to meeting the challenge of managing the environment. I am pleased that we are working together to support Brazil's environmental efforts through the Agency for International Development's Global Climate Change program. Our bilateral cooperation doesn't stop there. EPA, USDA Forest Service, the Smithsonian, and the US Fish & Wildlife Service all have active, on-going programs with their Brazilian counterparts where our two countries share expertise and learn from each other. THE STATE VISIT TO WASHINGTON, D.C. OF DRAFT HIS EXCELLENCY FERNANDO COLLOR as of 6/13/91 PRESIDENT OF 8:30am THE FEDERATIVE REPUBLIC OF BRAZIL AND MRS. COLLOR JUNE 17 TO 20, 1991 SUMMARY SCHEDULE MONDAY JUNE 17 5:00 pm- Greeted by Deputy Chief of 5:05 pm Protocol Fitzgerald, Charge d'Affaires ad interim Palmiero, and Welcoming Committee, Andrews Air Force Base, Maryland. 5:05 pm- United States Presidential 5:15 pm Helicopters to Washington Monument Grounds Reflecting Pool, Washington, D.C. -9- SUMMARY SCHEDULE MONDAY JUNE 17 (Continued) 5:15 pm- Greeted by Acting Secretary of 5:20 pm State and Mrs. Eagleburger and Chief of Protocol Reed, Washington, Monument Grounds Reflecting Pool. 5:25 pm Arrive Blair House. Private dinner, Blair House. -10- SUMMARY SCHEDULE TUESDAY JUNE 18 8:00 am- Working Breakfast with invited 9:00 am Members of United States Senate, Blair House. * 10:00 am- Arrival Ceremony with The 10:20 am President and Mrs. Bush, South Lawn, The White House. 10:25 am- Reception with The President and 10:30 am Mrs. Bush, State Floor, The White House. 10:30 am- Coffee offered by Mrs. 11:00 am Bush in honor of Mrs. Collor, Green Room, The White House. 10:30 am- Meeting with President Bush, 10:45 am Oval Office, The White House. * 10:45 am- Expanded Meeting with President 11:30 am Bush, Cabinet Room, The White House. * *Mrs. Collor does not attend. -11- SUMMARY SCHEDULE TUESDAY JUNE 18 (Continued) 12:30 pm- Reception and Luncheon offered 2:00 pm by The Acting Secretary of State and Mrs. Eagleburger in honor of President and Mrs. Collor, Thomas Jefferson Room, Department of State. 2:30 pm- Meeting with World Bank 2:45 pm President Conable, Blair House. * 2:50 pm- Meeting with International 3:05 pm Monetary Fund Managing Director Camdessus, Blair House. * 4:30 pm- Address before Washington 5:30 pm Exchange, Brookings Institution. * 7:15 pm- Refreshments with The President 7:45 pm and Mrs. Bush, Yellow Oval Room, The White House. *Mrs. Collor does not attend. -12- SUMMARY SCHEDULE TUESDAY JUNE 18 (Continued) 7:45 pm- Reception, State Dinner, and 10:35 pm After-Dinner Entertainment offered by The President and Mrs. Bush in honor of President and Mrs. Collor, State Floor, The White House. Dress: Black tie. Overnight: Blair House. -13- SUMMARY SCHEDULE WEDNESDAY JUNE 19 8:00 am- Breakfast with invited Members 9:00 am of United States House of Representatives, Blair House. * 9:15 am- Wreath-Laying Ceremony at Tomb 9:50 am of the Unknown Soldier and visit gravesite of President Kennedy, Arlington National Cemetery. 10:05 am- Greeting Ceremony and Coupe de 10:30 am Champagne with Secretary General Baena Soares, Hall of the Americas, Organization of American States Building. * 12:30 pm- Luncheon offered by President 2:00 pm Collor for invited Members of United States Congress and senior Administration officials, Brazilian Ambassador's Residence. * 3:30 pm- Meeting with American private 4:00 pm sector representatives, Blair House. * *Mrs. Collor does not attend. -14- SUMMARY SCHEDULE WEDNESDAY JUNE 19 (Continued) 4:00 pm- Meeting with leaders of Jewish 4:30 pn Community of Washington, Blair House. * 6:30 pm- Reception and Dinner offered by 9:00 pm International Environmental Bureau in honor of President and Mrs. Collor, Grand Ballroom, Willard Inter-Continental Hotel. Dress: Business suit. Overnight: Blair House. *Mrs. Collor does not attend. -15- SUMMARY SCHEDULE THURSDAY JUNE 20 8:00 am- Working Breakfast with Secretary 9:00 am of the Treasury Brady and Federal Reserve Board Chairman Greenspan, Blair House. * 9:25 am- Bid farewell to Blair House 9:30 am staff, Blair House. 9:40 am- Farewell Ceremony with The 9:45 am Acting Secretary of State and Mrs. Eagleburger, Chief of Protocol Reed, and Farewell Committee, Washington Monument Grounds Reflecting Pool. 9:45 am- United States Presidential 9:55 am Helicopters to Andrews Air Force Base, Maryland. 10:00 am- United States Presidential 10:55 am Aircraft to La Guardia Airport, New York, New York, and resume private schedule. *Mrs. Collor does not attend. -16- BRAZIL During the Cruzado plan to the Inter-American Treaty of Re- when he visited Brazil in 1960. Presi- (March-November 1986), the official ciprocal Assistance (Rio treaty) and the dents Roosevelt and Truman made ear- cruzado exchange rate was held con- Organization of American States (OAS). lier visits; President Carter visited in texts. stant against the dollar, resulting in an In recent years, Brazil has given high 1978, and President Reagan in 1982. overvalued Brazilian currency, and im- priority to expanding relations with its President Sarney visited the United port controls were relaxed in response South American neighbors and is a States in 1986. to excess domestic demand. Following founding member of the Amazon Pact In the 1950s and 1960s, Brazil re- the plan's collapse, the government re- and the Latin American Integration ceived about $2.4 billion in U.S. eco- turned to "crawling peg" devaluation of Association (ALADI), the successor to nomic assistance-$1.4 billion under the the cruzado to spur exports. In addi- the Latin American Free Trade Asso- auspices of the U.S. Agency for Inter- tion, just prior to announcing its mor- ciation (LAFTA). national Development (AID) and the re- atorium on medium- and long-term Brazil is a charter member of the mainder under PL 480 (Food for Peace) commercial bank debt, Brazil an- United Nations and participates in and Peace Corps programs. After 1972, nounced that it would add 2,500 items many of its specialized agencies. It has the emphasis was on the training of to a list of prohibited imports, to save contributed troops to UN peacekeeping Brazilian leaders in technology and scarce foreign exchange. (That provi- efforts in the Middle East, the former physical and social sciences (in the sion was reversed in September 1987.) Belgian Congo, and Cyprus. United States), especially at the gradu- Foreign direct investment repre- As Brazil's domestic economy has ate level. Some 14,000 persons were sents a relatively small but important grown and diversified, the country has trained by USAID during this period, part of Brazil's capital base. The share become increasingly involved in inter- 22,000 from all U.S. Government of foreign direct investment and rein- national politics and economics. It is a sources. In view of Brazil's impressive vestment registered with the Central member of the General Agreement on economic development and its increased Bank totaled $27.7 billion as of Sep- Tariffs and Trade (GATT), the Commit- ability to obtain loans and technical as- tember 30, 1986; U.S. investment to- tee of Twenty of the International Mon- sistance from private and multilateral taled $8.2 billion, about 30% of the etary Fund (IMF), the Group of 77, the sources, U.S. assistance programs were total. Brazil's investment policy had World Bank, the Inter-American Devel- phased out in the 1970s, major AID ac- been fairly liberal since the mid-1960s opment Bank (IDB), and several inter- tivities in Brazil ended in 1979, and the and particularly effective in attracting national commodity agreements. The Peace Corp's program was ended in new investment from the developed United States, Western Europe, and 1980. Currently, AID maintains a small countries. Japan are primary markets for Bra- advanced developing country program Recent measures, including the zilian exports and sources of foreign that emphasizes cooperation in science market reserve on informatics and the lending and investment. Brazil's depen- and technology and family planning and lack of intellectual property protection dence on imported petroleum has re- responds to endemic disease, emergen- (especially patents and copyrights on sulted in more intensive political and cies, and natural disasters. specific processes and manufactured economic ties with Middle Eastern The United States is Brazil's most goods), have served to cool the invest- countries. In the 1970s, Brazil ex- important commercial partner, although ment climate. panded its relations with black African the U.S. share of Brazilian trade Initial drafts of the new constitu- countries. In 1986, it introduced a pro- dropped from a high of 26% to about tion include provisions that could re- posal at the UN General Assembly to 21% in 1985, when two-way trade strict considerably the activities of establish a Zone of Peace and Coopera- amounted to $9.6 billion. The growing foreign firms in various sectors of the tion in the South Atlantic. As an indi- diversification of U.S.-Brazil trade has economy. The possibility that market cation of Brazil's broader international led to trade disputes, and bilateral dis- reserve provisions will be extended to role, trade with other developing coun- cussions have concerned such issues as other sectors, high inflation rates, un- tries increased from 9% of the total in Brazilian export subsidies and trade re- certainty about economic policies, and the 1970s to nearly 30% in 1983. strictions, U.S. restrictions on certain the 1987 moratorium on interest pay- The Brazilian Government has dip- import items, technology transfer, in- ments to commercial banks, have cre- lomatic relations with the U.S.S.R., tellectual property protection, and mul- ated an adverse climate for the foreign China, all of the East European com- tilateral trade and commodity investor. Foreign direct investment munist countries, and Cuba but not questions. flows were negative in 1986 and proba- with Vietnam, Cambodia, or North The agreements between Brazil agreement bly will be negative in 1987. Korea. and the United States include a treaty of peace and friendship; an extradition treaty; a joint participation agreement FOREIGN RELATIONS on communication satellites; and scien- U.S. BRAZILIAN RELATIONS tific cooperation, civil aviation, and Traditionally, Brazil has been a leader maritime agreements. Brazil and the in the inter-American community and The United States was the first country to recognize Brazil's independence in United States exchange professors un- has played an important role in collec- 1822. Brazil's 19th-century leader, Em- der Fulbright and other academic pro- tive security efforts as well as in eco- grams and carry out university nomic cooperation in the Western peror Dom Pedro II, admired Abraham Hemisphere. Brazil aligned with the Lincoln and visited the United States cooperation projects. Allies in both World Wars and, during during the 1876 centennial. President World War II, its expeditionary force in Eisenhower was given a hero's welcome Italy played a key role in the Allied victory at Monte Castelo. It is a party Tone p.8 of 11/26 301 draft for congress speech Dec '90 Brazil visit File Fernando COLLOR de Mello BRAZIL (Phonetic: KOHlor) President-Elect Addressed as: Mr. Collor Young (40), charismatic Fernando Collor de Mello, who will take office on 15 March, will be Brazil's first directly elected president in 29 years. Virtually unknown at the onset of last year's presidential campaign, the conservative former (1986 - May 1989) Governor of Alagoas, a small state in Brazil's underdeveloped northeast, has portrayed himself as a tough leader who intends to reform his country's corrupt central government. Collor is popular among some segments in his home state for his attacks on "maharajas"-civil servants who receive astronomical salaries for little or no © work. In his campaign strategy he targeted the common man and stressed a broad vision of a better, more honest government for Brazil. .Collor has declared that he is a firm believer in free enterprise and acknowledges the need for a more open economy in order to compete internationally. He advocates the privatization of many state enterprises and says he will work to reduce inflation by cutting the budget deficit. He also wants to renegotiate Brazil's external debt on terms that will allow for adequate economic growth. Collor was born on 12 August 1949 into a wealthy Alagoas family and spent his formative years in Rio de Janeiro. He is the son of a former senator and governor and the grandson of a former federal deputy and Cabinet minister. Collor studied economics and journalism at the University of Brasilia and at the Federal University of Alagoas, while helping to run his family's large communications network. He entered politics in 1979, when the military government appointed him mayor of Maceio, the capital of Alagoas. He served as a federal deputy from 1982 to 1986 under the banner of the Democratic Social Party; he then switched to the Brazilian Democratic Movement Party and was elected Governor of Alagoas. He later broke with that party over the length of President Jose Sarney's term. After a brief affiliation with the Youth Party, Collor founded the National Reconstruction Party and entered the presidential race in May 1989. Collor has received favorable coverage in the Brazilian press for his recent travels; since mid-January 1990 he has visited three neighboring South American countries, followed by a three-week global tour of the United States, the Soviet Union, Japan, and several west European countries. Recognized for his facility with languages, he speaks some English, French, Spanish, and Italian. Collor was twice national karate champion of Brazil and says he relieves stress by running, swimming, and practicing karate. He is married to the former Rosane Malta and has two sons-Arnon Affonso and Joaquim Pedro-from his previous marriage to Rio de Janeiro socialite Lilibeth Monteiro. 1 March 1990 Brazil a country study Foreign Area Studies The American University Edited by Richard F. Nyrop Research completed December 1982 BRAZIL, EVEN MORE than most nation-states, is a land of stark contrasts-contrasts not only among cultures and ecological zones but also among perceptions and interpretations of the national experience. Literary works of the eighteenth century lavished praise upon the indigenous peoples, while predatory explorers, pushing inland from the vicinity of São Paulo, hunted them like animals. The institution of slavery was said to have been less brutal in Brazil than elsewhere in the Americas, but it was condoned by law longer there than in any other Western Hemi- sphere state. Gilberto Freyre and other renowned Brazilian writ- ers have depicted Brazilian society as racially and socially homogeneous, a consequence of several centuries of miscegenation. But there is no mistaking the gradations of color from dark to light as one moves up the socioeconomic pyramid. Formally claimed for Portugal by Pedro Alvares Cabral in 1500, Brazil is the only country in South America to have existed until late in the nineteenth century as a monarchy. It gained its independence in 1822 without violence and was spared the major civil wars that wracked so many states of the Western Hemisphere in the nineteenth century. There was some truth to the view embraced by middle and upper class Brazilians, at least until the inception of military rule in 1964, that their society was uniquely blessed with tolerance and humaneness. Brazilian elites had proved adept at finding nonconfrontational means of resolving conflict among themselves. But the means employed through the centuries to ensure that peasants and workers did the bidding of the great landowners and corporations have often been brutal. Maldistribution of wealth and opportunity and the unequal responsiveness of the political system to the various levels of the social pyramid have, of course, resulted in differing perspectives on the part of nonelites. The gulf between the literate and nonliterate elements of the population has generally confined political dialogue to the upper and middle classes. The nonliterate, excluded from the electoral rolls since 1881, have been unable, even in the best of times, to participate directly in political decisions. The strongest influences upon the standards aspired to or accepted by Brazil's ruling classes have been the ideologies and interests of colonial or hegemonic powers. Such foreign ideologies have been adopted and adapted, however, in accordance with the interests and perspectives of domestic elites. Even those members of the colonial aristocracy who most vigorously opposed domina- ipple) outside church of Congonhas tion by Portugal were strongly influenced by Portuguese political and social values. The Portuguese legacy in the New World 3 Brazil: A Country with foreign governments-was either abolished or drastically limited. Vargas went so far as to hold a ceremony in which state flags were burned. The government became heavily involved in the economy, founding agencies to promote agrarian diversifica- tion and technical innovation and making government investments in the expansion of coffee production, for example. Similarly, considerable emphasis was given to industry, either through the establishment of mixed public-private companies or through the creating of wholly owned public corporations, especially in steel but also in aircraft production and hydroelectric power development. The huge steel plant at Volta Redonda was built with loans from the United States Export-Import Bank after Vargas had let the United States know that Germany was interested in financing steel development. During the Vargas era great impetus was given to industrializa- tion. Coffee production declined, but manufacturing output increased substantially. By 1940 Brazil's capacity for electricity generation reached 1 million kilowatts, of which 60 percent was located in the São Paulo area, primarily due to the construction of hydroelectric power stations. Cement production increased from 87,000 tons in 1930 to 700,000 tons in 1940. Iron and steel output went from 90,000 tons in 1929 to 150,000 tons in 1939. The number of manufacturing establishments more than doubled during the decade, reaching 50,000 by 1940. Factories in the São Paulo area employed 35 percent of the industrial labor force and generated 43 percent of the value of industrial production. The outbreak of World War II provided Vargas with an excuse for the continuation of rule by decree and of a government role in the promotion of heavy industry and arms production. At first, Vargas tried not to commit the country to either side, although the population was clearly pro-Allies. He used Brazil's neutrality and occasional friendly gestures toward the Axis powers to secure loans, grants, and other favorable treatment from the United States. Eventually Vargas came down firmly on the side of the United States; he broke relations with the Axis powers in January 1942 and declared war the following August. Brazilian support for the Allied powers was unstinting. Allied bases were established in the Northeast, a convenient refueling point for planes en route to or from Africa and for ships plying the Atlantic route. A Brazilian expeditionary force was sent to fight in Italy. João Alberto, the former interventor in São Paulo, was designated director of a full-scale war mobilization effort. The United States sent a technical mission to assist in administrative reorganization. Because Brazil had decided to cooperate whole- heartedly in the war effort, the early equivocation, the speeches by Vargas favorable to fascism, and the blind eye that had been turned to Nazi activities in the late 1930s were all forgotten. American attitudes toward Brazil at both official and popular levels 44 Brazil: A ( Monetary Council are the principal policymaking bodies in the area of international finanace. Multilateral Relations Few countries in the world participate in as many intergovern- mental organizations, both global and regional in scope, as does Brazil. It was a founding member of the League of Nations (although it dropped out in 1928), and United Nations (UN), and the United Nations Conference on Trade and Development (UNCTAD); and it held membership in nearly all other specialized agencies of the UN. Brazil was one of the few nations that was a member of both the General Agreement on Tariffs and Trade (GATT) and the Group of 77. It was instrumental in the formation of the International Coffee Organization and the Cocoa Producers Alliance and participated in a host of additional multilateral commodity agreements. It was a member of the Organization of American States (OAS) and its specialized agencies and a variety of other inter-American regional organizations, including the Latin American Free Trade Association (LAFTA); its successor, the Latin American Integration Association (ALADI): and the Latin Ameri- can Economic System (SELA). Finally, Brazil was an active contributor and participant in major multilateral lending institutions, the World Bank (see Glossary), the International Monetary Fund (IMF), and the Inter-American Development Bank (IDB). During the late 1960s, when Brazil's participation in these organizations was growing precipitously, many observers saw Brazil as emerging as a natural leader of the nations of the Third World within these multilateral forums. For a variety of reasons, however, this never happened. In part this was due to political differences (Brazil being pro-capitalist, favorable toward multina- tional corporations, and not prone to blame the United States for the world's ills) with the majority of Third World nations that formed the Group of 77 within the UN. In part it was due to Brazil's own proclivities: "no automatic alliances" could apply to the Group of 77 as well as the United States. Brazil has proved to be a highly independent actor in the multilateral arena, unwilling to sacrifice what it perceives as its own interests for the sake of group solidarity. While Brazil retained membership in a wide array of intergov- ernmental organizations, only rarely did it undertake major multi- lateral initiatives. For the most part Brazil played a quiet role and held limited expectations of its activities in multilateral forums. They were viewed as necessary for the projection of international stature, to avoid isolation (particularly in regional affairs), to prevent actions against Brazilian interests, and as valuable for informational purposes and to make contacts for subsequent bilat- eral diplomacy. Their value in the pursuit of national interests was seen as clearly secondary to bilateral relations. 276 Brazil: A C est was indicated in the early 1980s, however, by a five-year energy accord signed with the revolutionary government in Nicara- gua and a repudiation of foreign intervention in the region. Brazil was very cautious in opening relations with Cuba. An initial contact was not made until early 1982, when a group of Brazilian businessmen visited the island. United States Relations Brazil greatly expanded the scope of its foreign relations in the 1970s and early 1980s, but the United States remained its most important foreign relationship. Although it had lost its primacy of previous years (in 1960, for example, nearly half of Brazil's trade had been with the United States), the United States remained the single most important market for Brazilian exports, its largest single supplier of imports, its largest source of bank financing, and the largest foreign investor in Brazil. From the Brazilian perspective, economic matters dominated the agenda between the two nations. This had not always been the case. The close cooperation between the Brazilian Expeditionary Force (Fôrça Expedicionária Brasileira-FEB) and the United Staes Army in Italy during World War II was the beginning of a long and fruitful consensus in matters of international politico- military strategy. When rising Brazilian nationalism combined with economic slowdown in the late 1950s and early 1960s to bring to power leftist-populists who threatened that consensus, the United States pursued a destabilizing policy against the govern- ment of President Goulart and then strongly supported the mili- tary government (many of whose members had been part of the FEB) that came to power in the 1964 coup d'etat (see The Presidency of João Goulart, ch. 1). The renewed consensus was symbolized by Brazil's supplying troops (including the figurehead commanding general) in the United States-sponsored intervention in the Dominican Republic. United States economic and military aid flowed freely into Brazil between 1964 and 1971. In contrast, Brazilian foreign policy officials showed little inter- est in the politico-military agenda set by the administration of President Ronald Reagan in the early 1980s. Specifically, efforts to interest Brazil in the Central American problems and in a military alliance to protect the South Atlantic were either ignored or received coolly in Brasília in 1981 and 1982. United States support for Britain in the Falklands/Malvinas war of 1982 also diverged from Brazil's neutrality. In a more general sense, Brazilian leaders no longer shared, as they had during nearly three decades of consensus, the competitive bipolar geopolitical vision that had waned under the détente of the 1970s but was being renewed in the early 1980s. In a 1981 address at the ESG, Minister of Foreign Affairs Guerreiro was critical of both the United States and the Soviet Union who, in the renewed competitive climate, "seek to 282 Administration of George Bush, 1990 / June 27 : for the important Nomination of George F. Murphy, Jr., querque to ensure the protection of serious- in .work of UNHCR. To Be Inspector General of the United ly threatened ancient Pueblo Indian and High Commissioner States Information Agency Spanish rock art. Cost sharing will be an he issue of Vietnam- June 27, 1990 important component of the success of this e overall issue of po- joint effort, and I look forward to a success- novements in the The President today announced his inten- ful partnership. esident restated the tion to nominate George F. Murphy, Jr., to S. 286 also will expand the existing 365- rt of first asylum in be Inspector General of the U.S. Informa- acre Pecos National Monument into the nst involuntary repa- tion Agency. He would succeed Anthony J. 5,865-acre Pecos National Historical Park. nder current condi- Gabriel. This will allow for expanded protection and eed that the United Since 1988 Mr. Murphy has served as recreation programs in an area rich in cul- to be in touch with Deputy Director for the U.S. Arms Control tural resources. on the issue of pre- and Disarmament Agency in Washington, I wholeheartedly support the measures Southeast Asia. DC. Prior to this, he served as a consultant contained in S. 286 because they will to the nuclear industry, 1986-1987; director ensure the protection of rich natural and of the Senate National Security Office, cultural resources within the State of New 1977-1986; executive director of the Joint Mexico that are now seriously threatened. Committee on Atomic Energy, 1975-1977; ressional Barbecue deputy director of the Joint Committee on George Bush Atomic Energy, 1968-1975; and a profes- The White House, sional staff member on the Joint Committee June 27, 1990. thank you. Thank on Atomic Energy, 1958-1968. In addition, 1 really turned it on Mr. Murphy worked for the Central Intelli- Note: S. 286, approved June 27, was as- gence Agency, 1950-1958. Mr. Murphy graduated from Harvard signed Public Law No. 101-313. to everybody how College (A.B., 1949). He was born May 1, k for all of you-we 1924, in Boston, MA. Mr. Murphy served in -40 albums, 4 gold the U.S. Army Air Corps, 1942-1946. He is awards, one of the married, has two children, and resides in 1 our country and a Remarks Announcing the Enterprise for Bethesda, MD. the Americas Initiative t here. And we are en. Thank you for June 27, 1990 erformance. Thank you all very much for coming to are quite welcome, Statement on Signing a Bill Protecting the White House, and it is my pleasure to dy. Natural and Cultural Resources in welcome so many distinguished guests with all this wonderful New Mexico such strong interests in the vital Latin elighted to have you June 27, 1990 American and Caribbean region. Let me to the Members of recognize the many members of the diplo- ra and I are delight- I take great pleasure in signing into law matic corps that are here and extend to you n here-a good, re- S. 286, an Act to establish the Petroglyph a warm welcome-from Latin America, autiful night at the National Monument and the Pecos National particularly, and the Caribbean, Europe, got a lot of work Historical Park in New Mexico, and to re- Japan. Members of our Cabinet-Nick east as far as we're solve various New Mexico land issues. Brady and Secretary Baker, Carla Hills, Sec- nd of Pennsylvania West of Albuquerque, New Mexico, the retary Mosbacher-delighted you're here. We're delighted you major landscape feature is the West Mesa, Chairman of the Council of Economic Ad- yourselves at home, marked by a 17-mile long basalt escarpment visers, Mike Boskin, is here. Bill Webster, in, Glen Campbell. and five volcanic cones. Within the area are welcome. And of course, we're delighted to an estimated 15,000 to 17,000 petroglyphs, see Alan Greenspan, Chairman of the Fed- which are designs carved or pecked into eral Reserve Board, here and then an old you, Mr. President. the rock. Establishment of the Petroglyph friend, Barber Conable, of the World Bank, National Monument will provide an excel- and Richard Erb, from the IMF. And Ricky lent opportunity to form a strong partner- Iglesias, an old friend of the Bushes, and we ke at 8 p.m. on the ship among the Federal Government, the welcome him, of the IDB, and so many e House. State of New Mexico, and the City of Albu- leading lights in the business and financial 1009 June 27 / Administration of George Bush, 1990 communities. To all of you, then, a wel- ing convinced that the U.S. must review it alks, come. approach not only to that region but to nation In the past 12 months, every one of us, Latin America and the Caribbean as a from the man in the White House to the comp whole. And I asked Treasury Secretary the n man on the street, has been fascinated by Brady to lead a review of U.S. economic term the tremendous changes, the positive policy towards this vital region, to make a the i changes, taking place around the world. fresh assessment, if you will, of the prob- into Freedom has made great gains not just in lems and opportunities we'll encounter in aim Eastern Europe but right here in the Amer- the decade ahead. And that review is now trade icas; and we've seen a resurgence of demo- complete, and the results are in, and the ing t cratic rule, a rising tide of democracy, need for new economic initiatives is clear never before witnessed in the history of this expa and compelling. beloved hemisphere. And with one excep- agre All signs point to the fact that we must com: tion, Cuba, the transition to democracy is shift the focus of our economic interaction Ame moving towards completion, and we can all towards a new economic partnership be- deep sense the excitement that the day is not far off when Cuba joins the ranks of world de- cause prosperity in our hemisphere de- proc pends on trade, not aid. And I've asked you Se mocracies and makes the Americas fully free. here today to share with you some of the see With one exception, that's the case. But ideas, some of the ways we can build a mat broad-based partnership for the nineties-to of t the political transformation sweeping the announce the new Enterprise for the Amer- Ano rest of Latin America and the Caribbean icas Initiative that creates incentives to re- onl has its parallel in the economic sphere. Throughout the region, nations are turning inforce Latin America's growing recogni- der away from the statist economic policies that tion that free-market reform is the key to equ stifle growth and are now looking to the sustained growth and political stability. ng power of the free market to help this hemi- The three pillars of our new initiative are Tie trade, investment, and debt. To expand I sphere realize its untapped potential for progress. A new leadership has emerged, trade, I propose that we begin the process rea of creating a hemispherewide free trade wi backed by the strength of the people's man- th date, leadership that understands that the zone; to increase investment, that we adopt future of Latin America lies with free gov- measures to create a new flow of capital CC of ernment and free markets. In the words of into the region; and to further ease the th Colombia's courageous leader, Virgilio burden of debt, a new approach to debt in tr Barco-President Barco: "The long-running the region with important benefits for our re match between Karl Marx and Adam Smith environment. rie is finally coming to an end" with the "rec- Let's begin with trade. In the 1980's, ro ognition that open economies with access to trade within our hemisphere trailed the to markets can lead to social progress." overall pace of growth in world trade. One o For the United States, these are welcome principal reason for that: overrestrictive is developments, developments that we're trade barriers that wall off the economies of t eager to support. But we recognize that our region from each other and from the each nation in the region must make its United States at great cost to us all. These own choices. There is no blueprint, no one- barriers are the legacy of the misguided size-fits-all approach, to reform. The pri- notion that a nation's economy needs pro- mary responsibility for achieving economic tection in order to thrive. The great eco- growth lies with each individual country. nomic lesson of this century is that protec- Our challenge in this country is to respond tionism still stifles progress and free mar- in ways that support the positive changes kets breed prosperity. To this end, we've now taking place in the hemisphere. We formulated a three-point trade plan to en- must forge a genuine partnership for free- courage the emerging trend toward free market reform. market reform that are now gathering Back in February, I met in Cartagena forces in the Americas. [Colombia] with heads of the three Andean First, as we enter the final months of the nations, and I came away from that meet- current Uruguay round of the world trade 1010 Administration of George Bush, 1990 / June 27 must review it talks, I pledge close cooperation with the growth and a higher standard of living in region but to nations of this hemisphere. The successful Latin America and, right here at home, Caribbean as a completion of the Uruguay round remains new markets for American products and asury Secretary the most effective way of promoting long- more jobs for American workers. U.S. economic term trade growth in Latin America and gion, to make a Promoting free trade is just one of three the increased integration of Latin nations ill, of the prob- key elements in our new Enterprise for the into the overall global trading system. Our 'll encounter in Americas Initiative. And our second pillar is aim in the Uruguay round is free and fair increased investment. t review is now trade, and through these talks we are seek- are in, and the The competition for capital today is ing to strengthen existing trade rules and to itiatives is clear fierce, and the key to increased investment expand them to areas that do not now have is to be competitive, to turn around the agreed rules of fairplay. And to show our et that we must conditions that have discouraged both for- commitment to our neighbors in Latin eign and domestic investment-reduce the omic interaction America and the Caribbean, we will seek regulatory burden, clear away the thicket of partnership be- deeper tariff reductions in this round on bureaucratic barriers that choke off Latin hemisphere de- products of special interest to them. America's aspiring entrepreneurs. d I've asked you Second, we must build on the trend we you some of the see toward free markets and make our ulti- In one large Latin city, for instance, it we can build a mate aim a free trade system that links all takes almost 300 days to cut through the the nineties-to of the Americas: North, Central, and South. redtape to open a small garment shop. In ise for the Amer- And we look forward to the day when not another country, the average overseas caller incentives to re- only are the Americas the first fully free, has to make five phone calls to get through, democratic hemisphere but when all are and the wait for a new telephone line can rowing recogni- equal partners in a free trade zone stretch- be as long as 5 years. And that's got to m is the key to cal stability. ing from the port of Anchorage to the change. lew initiative are Tierra del Fuego. Investment reform is essential to make it ebt. To expand I'm announcing today that the U.S. stands easier to start new business ventures and ready to enter into free trade agreements make it possible for international investors egin the process wide free trade with other markets in Latin America and to participate and profit in Latin American the Caribbean, particularly with groups of markets. In order to create incentives for it, that we adopt flow of capital countries that have associated for purposes investment reform, the United States is pre- of trade liberalization. And the first step in pared to take the following steps: further ease the roach to debt in this process is the now-announced free First, the United States will work with benefits for our trade agreement with Mexico. We must all the Inter-American Development Bank to recognize that we won't bring down bar- create a new lending program for nations riers to free trade overnight; changes so far- that take significant steps to remove im- In the 1980's, reaching may take years of preparation and pediments to international investment. The here trailed the tough negotiations. But the payoff in terms World Bank could also contribute to this world trade. One overrestrictive of prosperity is worth every effort, and now effort. the economies of is the time to make a comprehensive free And second, we propose the creation of a er and from the trade zone for the Americas our long-term new investment fund for the Americas. This goal. fund, administered by the IDB, could pro- : to us all. These f the misguided And third, I understand that some coun- vide up to $300 million a year in grants in tries aren't yet ready to take that dramatic response to market-oriented investment re- nomy needs pro- The great eco- step to a full free trade agreement. And forms in progress in privatization. The U.S. that's why we're prepared to negotiate with intends to contribute $100 million to the ry is that protec- SS and free mar- any interested nation in the region bilateral fund, and we will seek matching contribu- this end, we've framework agreements to open markets tions from Europe and Japan. rade plan to en; and develop closer trade ties. Such agree- But in order to create an attractive cli- end toward free ments already exist with Mexico and Boliv- mate for new investment, we must build on la. Framework agreements will enable us to our successful efforts to ease the debt now gathering move forward on a step-by-step basis to burden. That's the third pillar of this new hal months of the eliminate counterproductive barriers to Enterprise for the Americas Initiative. the world trade trade and towards our ultimate goal of free Many nations have already undertaken trade. And that's a prescription for greater painful economic reforms for the sake of 1011 June 27 / Administration of George Bush, 1990 future growth, but the investment climate nature swaps in countries that have set up remains clouded, weighted down by the such programs. These actions will be taken heavy debt burden. Under the Brady plan, on a case-by-case basis. we are making significant progress. The One measure of prosperity and the most agreements reached with Mexico and Costa Rica and Venezuela are already having a important long-term investment any nation positive impact on investment in those can make is environmental well-being. As part of our Enterprise for the Americas Ini- countries. Mexico, to take just one example, has already seen a reversal of the destruc- tiative, we will take action to strengthen tive capital flight that drained so many environmental policies in this hemisphere. Latin American nations of precious invest- Debt-for-nature swaps are one example, patterned after the innovative agreements ment resources. That's critical. If we restore confidence, capital will follow. reached by some Latin American nations and their commercial creditors. We will also As one means of expanding our debt call for the creation of environmental trusts, strategy, we propose that the IDB add its where interest payments owed on restruc- efforts and resources to those of the Inter- tured U.S. debt will be paid in local curren- national Monetary Fund and the World cy and set aside to fund environmental Bank to support commercial bank debt re- projects in the debtor countries. duction in Latin America and the Caribbe- an, and as in the case of World Bank and These innovative agreements offer a p.ow- IMF, IDB funds should be directly linked to erful new tool for preserving the natural economic reform. wonders of this hemisphere that we share. From the vistas of the unspoiled Arctic to While the Brady plan has helped nations the beauties of the barrier reef off Belize to reduce commercial bank debt, for nations the rich rain forests of the Amazon, we with high levels of official debt-debt owed must protect this living legacy that we hold to governments rather than private finan- in trust. For an increasing number of our cial institutions-the burden remains heavy. neighbors, the need for free-market reform And today, across Latin America, official is clear. These nations need economic debt owed to the U.S. Government amounts breathing room to enact bold reforms, and to nearly $12 billion, with $7 billion of that this official debt initiative is one answer, a amount in concessional loans. And in many way out from under the crushing burden of cases, the heaviest official debt burdens fall debt that slows the process of reform. on some of the region's smallest nations, countries like Honduras and El Salvador I know there is some concern that the and Jamaica. revolutionary changes we've witnessed this past year in Eastern Europe will shift our That's a problem we must address today. attention away from Latin America; but I As the key component in addressing the want to assure all of you here today, as I've region's debt problem, I am proposing a assured many democratic leaders in Central major new initiative to reduce Latin Amer- and South America and the Caribbean and ica and the Caribbean's official debt to the Mexico, the United States will not lose sight United States for countries that adopt of the tremendous challenges and opportu- strong economic and investment reform nities right here in our own hemisphere. programs with the support of international And indeed, as we talk with the leaders of institutions. the G-24 about the emerging democracies Our debt reduction program will deal in Europe-I've been talking to them also separately with concessional and commer- about their supporting democracy and eco- cial types of loans. On the concessional nomic freedom in Central America. Our debt, loans made from AID or Food for aim is a closer partnership between the Peace accounts, we will propose substantial Americas and our friends in Europe and in debt reductions for the most heavily bur- Asia. dened countries. And we will also sell a Two years from now, our hemisphere will portion of outstanding commercial loans to celebrate the 500th anniversary of an epic facilitate these debt-for-equity and debt-for- event: Columbus' discovery of America, our 1012 Administration of George Bush, 1990 / June 28 :hat have set up New World. And we trace our origins, our of the proposed rescissions are contained in ns will be taken shared history, to the time of Columbus' the attached report. voyage and the courageous quest for the advancement of man. Today the bonds of George Bush ty and the most our common heritage are strengthened by ment any nation The White House, the love of freedom and a common commit- J well-being. As ment to democracy. Our challenge, the June 28, 1990. he Americas Ini- challenge in this new era of the Americas, is n to strengthen to secure this shared dream and all its fruits Note: The attachment detailing the pro- this hemisphere. for all the people of the Americas-North, posed rescissions was printed in the "Feder- e one example, Central, and South. al Register" of July 6. tive agreements merican nations The comprehensive plan that I've just tors. We will also outlined is proof positive the United States ronmental trusts, is serious about forging a new partnership with our Latin American and Caribbean owed on restruc- Statement on the Japan-United States 1 in local curren- neighbors. We're ready to play a construc- Trade Negotiations tive role at this critical time to make ours 1 environmental June 28, 1990 the first fully free hemisphere in all of histo- tries. ry. Thank you all for coming and God bless Last year the United States and Japan ents offer a pow- the peoples of the Americas. Thank you launched a new cooperative endeavor in ving the natural very, very much, indeed. economic policy called the Structural Im- e that we share. pediments Initiative. This initiative is de- spoiled Arctic to signed to address underlying structural reef off Belize to Note: The President spoke at 2:48 p.m. in problems in both of our economies with the he Amazon, we the East Room at the White House. In his goal of contributing to more open and com- acy that we hold opening remarks, he referred to Secretary of petitive markets and to the reduction of ; number of our the Treasury Nicholas F. Brady; U.S. Trade payments imbalances. A joint working e-market reform Representative Carla A. Hills; Secretary of group was formed to identify and solve need economic Commerce Robert A. Mosbacher; William these problems. Over the past year, these old reforms, and H. Webster, Director of Central Intelligence; discussions have demonstrated the construc- is one answer, a Barber B. Conable, Jr., President of the tive and cooperative spirit which character- ushing burden of World Bank, which is also known as the izes the relationship between our two coun- of reform. International Bank for Reconstruction and tries. concern that the Development; and Richard D. Erb, Deputy Managing Director of the International The joint report of the SII working group ve witnessed this pe will shift our Monetary Fund. The President also referred has just been issued in Tokyo, following up 1 America; but I to the Group of 24, the industrialized de- an interim report issued in April. I welcome and endorse this joint report. Both coun- ere today, as I've mocracies that have pledged support for eco- tries have identified structural impedi- eaders in Central nomic and political reform in Poland and ments, taken initial corrective actions, and e Caribbean and Hungary. made commitments to take further steps to will not lose sight resolve a wide range of structural problems. ges and opportu- We expect that the structural policy actions own hemisphere. to be taken will have a positive effect on th the leaders of Message to the Congress Reporting our economies, encouraging open and com- ging democracies Budget Rescissions petitive markets, promoting sustained world ing to them also June 28, 1990 economic growth, contributing to a reduc- nocracy and eco- tion in global payments imbalances, and en- al America. Our To the Congress of the United States: hancing the quality of life in both Japan and iip between the In accordance with the Impoundment the United States. Although our efforts on in Europe and in Control Act of 1974, I herewith report SII are bilateral, the effects will be benefi- eight proposed rescissions totalling cial for the entire world. hemisphere will $327,375,000. I particularly welcome the clear commit- ersary of an epic The proposed rescissions affect programs ment by Japan to reduce further its current of America, our of the Department of Defense. The details account surplus and view the-SII process as 1013