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Showing posts from December 23, 2012

Coffee in Retrospect: Coffee and International Situation

Every American housewife has a part in this diplomatic and economic drama. She reduced her purchases of high-priced coffee to such a degree that 1954 consumption fell off six per cent from the 1947-1952 volume. And, of course she will benefit, if the 1955 futures level becomes effective at the retail level. American reaction toward soaring prices has caused tremendous resentment. James S. Kemper, our Ambassador to Brazil, recently predicted a sharp decline in price, leading to demands for his recall on the ground that he has outlived his usefulness. Foreign Operation Administrator Harold E. Stassen then issued a statement completely contradictory to the FTC report, which envisaged surpluses. He foresaw serious shortages, and urged that Ethiopia be tried out as a new source of production, with American aid, of course. Brazilians exploded at that. Thus, in South America at least the coffee bean has become as explosive an issue as the atom bomb at the State Department and in...