Chiefs of Staff who would give broad directibns on the allocation of materiel. He saw no
objection whatever to having parallel Allocation Committees in Washington and London, dealing
with the allocation of American and British war materiel respectively.
 
 
                 The discussion then turned on the control of shipping dealt with in Paragraph 12.
 
                  GENERAL MARSHALL felt that the Chiefs of Staff should have control over
shipping resources so that they could apply them to the best strategic purposes. It was hoped that
something similar to the British system for the control of shipping would be set up in the United
States; but the problem was more difficult since they were not a maritime nation like Great
Britain, and the importance of shipping was not well realized ill the United States. Many other
interests clashed with strategic requirements when it came to dealing with shipping.
 
                   SIR DUDLEY POUND said that the British Chiefs of Staff had no control over the
Ministry of War Transport in the matter of shipping, but they had access to all the facts and could
make their case to the Prime Minister on military grounds if there was a clash of interests between
z strategical requirements and imports.
 
                 ADMIRAL STARK said that the United States Chiefs of Staff could not accept
anything more than the first sentence of Paragraph 12, since their own organizationfor the control
of shipping was not yet settled It followed, therefore, that Paragraph 13 also could not be
accepted at present.
 
                 SIR DUDLEY POUNDundertookto let the United States Chiefs ofStaff have a short
memorandum on the British system for the control of shipping and raw materials.
 
THE CONFERENCE -
 
        a. Took note of the proposals for Post-Arcadia Collaboration made by the British Chiefs of
Staff in WW-8, and of the extent to which these had been accepted by the United States Chiefs of
Staff in the discussion recorded above.
 
         b.    Agreed that the minute on the principle for the allocation of finished war materiel, as
amended in discussion, should be submitted by the United States and British Chiefs of Staff to the
President and Prime Minister respectively. (See Annex 1. Portions in Annex 1 indicated as deleted
are those indicated in the discussion above as subjects for further consideration by the United
States Chiefs of Staff.)
 
                                                                       - 4-