the manufacturers cannot be made without raw materials which we must   
                          furnish.                          
 
                                                            
 
 
The British absorb Irish surplus cattle at a price not too profitable for   
the Irish farmer. But apparently they are unwilling to increase price  
levels in order to stimulate production. Through our Embassy in London, I   
have suggested that we take over the whole purchase of Irish food supplies   
for the duration of the emergency, in order that we might raise prices and   
impose an economy which would result in highly stimulated production   
without creating a precedent embarrassing to Britain in her post-war   
resumption of the inter-island trade. Not unexpectedly, the British appear   
reluctant to assent to this, although a considerable saving of tonnage  
                  would probably result.                    
 
                                                            
 
        AMERICAN AND BRITISH POLICY TOWARD IRELAND.         
 
                                                            
 
 
It grows clearer as time passes that with regard to winning the war the   
single vital question is the importance of Irish bases and of Irish Fifth   
Column agencies operating on Eire soil. Our President appreciates this,   
but the British view is apparently confused. The Prime Minister I suspect   
sees the matter as does the President, but many of his Ministers hesitate   
to recognize Eire as a foreign power exercising a neutrality unfavorable   
to the war effort, and refusing to contribute to the common safety or   
even to contribute to the safety of the supplies which she