Ask the Scholar

Document scope · 1 page
doc
Scholar
Ask about this object, its catalog metadata, its source description, or the page inventory. For page-specific OCR and visual context, open one of the page chats.

Scholar Source Context

Document identity
localId
1553543
label
September 24, 1976 - Ford, President-Elect of Mexico Jose Lopez Portillo
core
doc
dtoType
document
pageCount
1
Source metadata
id
1553543
contentType
document
title
September 24, 1976 - Ford, President-Elect of Mexico Jose Lopez Portillo
collections
Memoranda of Conversations (Nixon and Ford Administrations)
Ford Administration Memoranda of Conversations
subjects
Mexico
Agriculture
Emigration and immigration
Foreign economic affairs
Migrant labor
Petroleum
imageCount
1
hasImages
yes
source
import
hasTranscription
no
Source extras
naId
1553543
coverageEndDate
day
24
logicalDate
1976-09-24
month
9
year
1976
coverageStartDate
day
24
logicalDate
1976-09-24
month
9
year
1976
levelOfDescription
fileUnit
recordType
description
ocrSource
nara-archive
Single page context
seq
1
pageIndex
0
type
document
mediaId
99dc361999a45632
ocrText
MEMORANDUM THE WHITE HOUSE WASHINGTON DECLASSIFIED E.O. 12958, Sec. 3.5 SECRET/NODIS/XGDS NSC Memo, 11/24/98, State Dept. Guidelines By KBH # NARA, Date 3/22/00 MEMORANDUM OF CONVERSATION PARTICIPANTS: President Ford Jose Lopez Portillo, President-Elect of Mexico Charles W. Robinson, Acting Secretary of State Brent Scowcroft, Assistant to the President for National Security Affairs Amb. Jose Juan deOlliqui, Mexican Ambassador Amb. John J. Jova, U.S. Ambassador to Mexico Anthony Hervas, OPR/LS (Interpreter) Enrique Loaeza (Interpreter) DATE AND TIME: Friday, September 24, 1976 2:58 - 4:10 p.m. FUND & PLACE: The Oval Office The White House GERALD LIBRARY Lopez: Aren't you feeling tired? The President: It's a letdown, a bit. I spoke before a Polish-American group; I went to an Italian market. So that was a lift. I am looking forward to tonight. Lopez: I was very pleased at the opportunity to meet with you and introduce my family. The President: My son Jack will join us. Let me congratulate you on your election. I look forward to working with you in the months and years ahead. I know we can build on our good bilateral relations. Lopez: That is what I expect and hope, especially when Mexico is entering a peri od of turbulence. There is a sense of fortune in the people. We have CLASSIFIED BY Henry A. Kissinger SECRET/NODIS/XGDS EXEMPT FROM GENERAL DECLASSIFICATION SCHEDULE OF EXECUTIVE ORDER 11652 EXEMPTION CATEGORY 5 (B) (1, 3) AUTOMATICALLY DECLASSIFIED ON Imp. to det. File scanned from the National Security Adviser's Memoranda of Conversation Collection at the Gerald R. Ford Presidential Library SEGRET/NODIS/XGDS -2- to build a sense of hope and trust. It will take much work and the main element is the United States. Much of our economic problems stem from the U.S. economy. You are our most important customer and any change is of great consequence to us. Fortunately, we have made economic arrangements with you and the IMF to carry us over this difficult period. The President: We are very pleased to be of assistance. Lopez: Your help has already had its favorable impact. The rest is up to us. But there is one thing. Our trade balance with the United States is very unfavorable. It is accidental, but it is legitimate on our side to seek to restore the balance. We think there are remedies. We have had conversations with the Secretaries of Agriculture and Commerce, and the Congress. Let me give an example. We could or ganize an agriculture committee of both countries in areas where it makes sense. This would mean dividing the market equitably, and it would avoid labor migration to the United States. Strawberry cultivation is an example. It is labor-intensive and we have excess labor. If we divided it up, we could grow them in Mexico and our workers wouldn't have to come into the United States. We know that is one of the most serious problems between us. That wouldn't solve the problem, but it could relieve it. The President: Are you shipping any new oil into the United States? Lopez: As I remember, some goes to the U.S. and some to Israel. We don't sell to Central America because of an agreement with Venezuela. We sell a little to Brazil. We have an open market and we sell to who ever wants it. The President: Is your production up? Lopez: Yes, until 1973 we had to import crude oil. We had the bad policy of subsidizing energy, so our investment was low. I turned this around and in 1974 we were self-sufficient and in 1975 we started to export. We are self-sufficient in oil, but even though I am President I can't really find out how much.. There are old hands in Pemex who think the oil should stay FORD SECRET/NODIS/XGDS & GERALD LIBRARY SEGRET/NODIS/XGDS -3- in the ground for the future. I will straighten it out, and I will have someone at my side to give me the information the old hands and technicians want to keep from me. I understand we have 6-7 billion barrels, and with secondary recovery there would be much more -- maybe 11-12 billion barrels of proven reserves. For unproven reserves, the information is more general -- probably 50-100 billion barrels. It is hard to make a policy without the information. It is essential to outline our export policy and refining capability. The President: It should help your foreign earnings. Lopez: Most of our exports are raw materials. That is why I am emphasizing the countryside and energy. We are also prospecting for mining. We have found lots of minerals. All this has to be developed if we can find the financing. Let me describe a trap in our financing. Our trade deterioration was obvious recently. One of the ways to increase exports was oil, but we couldn't increase production because the import of materials overloaded the economy. We have to reorganize our economy between prices, wages, production, exports, imports, taxes, expenditures, etc. It is like squaring the circle. There are already 63 million Mexicans; when I leave there will be 70 million. FORD & [Described how optimum a six-year term is. ] GERALD LIBRARY [Some discussion about campaigning. ] The President: Are there any particular problems we should discuss? Lopez: Yes, I think the terms of trade is the most serious, but there are others. One is non-documented workers whose situation and treatment in the United States worries us very much. Their non-legal status hurts them because they can't be a contractual situation. We would like to avoid this problem, but when it arises, we would like to adhere to the migratory prin- ciples of the ILO. That, of course, has its own sanctions. These people have no empathy for the U.S. and the U.S. has none for them. I know the solution is job creation in Mexico. SEGRET/NODIS/XGDS SECRET/NODIS/XGDS -4- The President: As I recall, we used to have an agreement for Mexicans to come to the U.S. under contract. I thought that was a good program. There were controls, but they had guaranteed wages and conditions. Unfortunately, the Congress ended that program under pressure and the problem is bad now. Echeverria and I discussed the prospect of the study maybe to revive that program. I generally favor that approach, though I don't know where the study is. Lopez: Unfortunately, stop-gaps like that don't eliminate the problem. It helps, but there is always a black market problem. Some of your farmers demand cheap labor. There is plenty in Mexico and there is the problem. The only real solution to this, and other problems -- like drugs - is jobs in Mexico. That in turn is a matter of markets -- supply and demand. I visited during my campaign the province that is most involved in drugs. Now many of the people there are addicts. What used to be an economic problem has now become a social problem. As we eradicate the traffic, the price rises and the traffic is more lucrative. The President: We have had wonderful cooperation, and I hope it will continue. Lopez: To the extent we solve the drug problem, we create another American prisoners in our jails, almost all of them because of drugs. The President: How about the idea of exchanging prisoners? Lopez: There are some problems, including the constitutional ones, but they will be overcome. I think we can solve the problem to whatever degree you wish. Robinson: [Explains where the negotiations are]. We have no interest in having American prisoners and Mexico has no interest in having them. Lopez: I would be happy to solve this if it hasn't been solved by December. Then there is the problem of border industries. If you could do something about the amount of gifts which can be brought in. The President: But that is set by law. FORD ? SEGRET/NODIS/XGDS BERALD LIBRARY SEGRET/NODIS/XGDS -5- Lopez: But it had been $200 until 1966 and then it went to $100. The President: And $100 then would buy more than $200 now. Lopez: Of course, I hope you can do something; that will help me a lot. Also you could let our export agriculture have better entry. [More discussion]. The President: I hope your people will talk to State and Agriculture to do something about it. What percentage of your exports go to the United States? Lopez: Between 65 and 70%. The President: Have they been going up or going down? Lopez: Down just an insignificant amount. Without being rhetorical, I think my Administration will lay down the basis for the 21st century. If I fail, the country will fail and the country will go the left, then to the right, and democracy will fail. The President: We certainly want democracy in Mexico. We will certainly do everything we can to help. You take over on December 1st? Lopez: Yes. I am now preparing my government plan. I thank you a great deal for your expressions of support. In Latin America, there are different methods. We seek justice through liberty. Cuba eliminated liberty to seek justice. Uruguay seeks justice then liberty with order. Right now there are only four democratic-elected Presidents in Latin America. I know you are very busy, but I want to thank you. I hope it is not our last contact and our hopes are with you. The President: I look forward to having a state dinner soon for you, with me as the host. SECRET/NODIS/XGDS P/hopez Portillo 258-4:10 pm Friday 4Syt is L Client for perhing trid P It a botalement mm a bit. I spohe byre Pole-On comp avent to an Statia unankt. So that was a lift. & loving forma et trigat L I very pleased of c offer + to what my family. P my for you h will for us het the everyent on you exchin -I lisk forward to mushing w/ you in was I yrs ornal. & have are can cild on or good heathe al el F That shot I expect a hope, up when myno is entring a prind T Then is a Three of fortune in c people. are am to wild a sense of hope & trust Itemill Take ench wak to indian elevent is C JS. Wish form e e con pash sterm from C Js e un. you are are court imp. eustomer - any changes quet consequence to m. Faturately we has make ean amergest w/m & CIME to every us our this by period P w a are every planced & be ossis h $5 you help has already hul its formable the Che lest is my a no. But The is one thing the trach belme w/os is very enformable It is d calntal but it light on are side to see h Inlance FORD LIBRARY & GERALD DECLASSIFIED E.O. 12958, Sec. 3.5 NSC Memo, 11/24/98, State Dept. Guidelines By KBH NARA, Date 3/22/00 'W 1 think there an we hut had emo. w/ Sixy aqri, Cruce, Y Congress- Let ml girl an sample We would ngal agai carliter of birth construs in were when it works cense. This would onen chinding moved it would afrind lahremptin to - US. Shawbory certifustion is example. Itis is later intervaine + In home excess labor. If in climited et up, we could grows them in uniqued + me workers armetrit have came into US. We know that is one of not shing person but us. That would some pot but it could relieve it. P are eyes shipping my new pil into cus? L as I uninkey come to US+ must Issuel we about kill of Chit am. he wast of equal w/ Vene. a little to Genzel we home an ph munhet will x whom wasts it, P I your food up? L Yes. TN 73 bry had to M create, We had C had policy of subsiding theory, 20 am thoughert was lms. I this mand + in 74 we were serf serf & in 25 me even the started X, we me evf find Int for in have oil much. but ag Pers I can't really fortual pt. There GERALD LIBRARY R FORD and old bracbin Pemix who think - and should stoy in ground for c future & will straighter it ant I well hml towerne at side to give me info C NId has experient help from me. Limistand we have 6-7 bil birls + w/ secondary secovery thus enmed he much wore - may he 11-12 bil hills of known usemes For improver reserves C info is No were gesel- part 50- 100 his help It hade hard of marke a frig w/o c info. It is essential to onthis am X policy σ refuning cagaints. Y It should help your foreign limings L West of am X are been mestinals. That why Denglasizing countryoide. huling. We one also prospecting for ming we home fond lots of minirals. av this has to he aloped I and can find ping hat me discuse a hay in and from One trub determas ohriping recently. One of worp D of X urrs oil, but an corldnt 1 and hecame M of enothing e any. We have to enryoned are entry bet prices hope, production Y, M, tops, expersatives, its. C. civils. ahirady 63 will Unexicans & when Sleme will be 10. (Descerbed how optume a 6 ye them is ) GERALO P. FORD LIBRARY ( from decreasion about compaiying P an discuss there any partner balatrial FND and should L Yes. & this terro of trach is - burt thinks but them one thers, One is non dr. workers whre set & turtinest in us evenies no very winh. Their non -legal statis must Then become they event he in a contractural sit. women what aroid this whole pro, but when it aniss, we world who to athen to inigintry jersony of ICO. That of counsel has its are own hm trins, These purchase end very for US& us more for them. & has - which is for cuntre in Unifire & as In call, an molt have am agreement for Unifers to camets to us made emhact I that that ans a good prog. There were centrols, but they had granantual ways & conditions. Unpert. Cry ended that prog muhe pressure & c per is below Ech & I discussed propert fe study maghts revive that pirt. I gently fam that pron, Ehro I don't hum where study is. L Unpert. Murtap biechin like that drit limit C pub. It helps, but then is above a black market fevt. Some of Jan form farmers chey tube lather FORD & LIBRARY OF There is fluity in WIX. & Chm in I suh. The only unl polntion to this & others drays- is justs in Infice. That in turn is a mattleg enarhels- euggly & lemand I inisated during my companync prevince unst envolved in dw lungs. how may of - people thank and elchots. what high he on econ be are a weire put. G and ixad. C traffic c price use & C traffic is and business Incrative P we have had ear x & hope t will continue. L. To extent and sohe J drug pmb me create another - am pressiers, about all he cause of drug. P How about idea of Xchenging promess L Thru an serve parts, incl. constitutioned but ctay will our come I think cere can sohn c prob to whatine degen you wish Krhuan (Explain when everyot are we have WD interest in huming am processing & 2acy. L I small he happy happy to some this if it hasn't bvn by Dr. Then the 100% border justs. industries. If you ceedit do withing about ant of gifts which can be Grought in P But that it by law L But it had here "200 tit 66 + themist went to $100. FORD & GERALD LIBRARY P and $100 then world buy were Chm 100 am L of Comrol Hagu you cumet do that will helping as lnt. also you would hh at are X ager have better enty (ume december) P Ihon your people will to Stut + agre again to do something about whit per % of your X 70 US y But 65-709 P Huntchary have 9 t L Down your just awing dunt w/o being restrical I this any alson will lay done C box for 21 It cent If fail, C country will Pail & C country will gotoc to left then the right & client. will fail. r wr-eertancy want lemo. in way. We will certainly Is beg thing he wants help. You take over Dec!? L Yes. I now preparing by gast flow. Trunk from just chal for your X pressing of repport. In LA there ohl lif withols we zuk justice then birth :b enter my breath to ceek justice. Uniquey who justice the lib w/ order. Reyat how the are only 4 demo. elected Pers in L.A. I how your very bruzy but 9 wat to thank FORD & LIBRARY GERALD your I hope it art L lost intert ( he he hopes it w/yon. P I look forward to state cloum soon for your wf we asc best, GERALD 5 FORD