PROGRESS REPORT ON NSC 171/1 (INDONESIA)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80R01731R003000160012-3
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 13
• Document Creation Date: December 16, 2016
• Document Release Date: April 15, 2005
• Sequence Number: 12
• Publication Date: January 12, 1955
• Content Type: REPORT

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SECRE
DATE Jan.
COPY NO.
OPERATIONS COORDINATING BOARD
Washington, D. Co
PROGRESS REPORT ON NSC 1711 (IONESIA)
REFERENCE: NSC Action. No. 962
OCB FILE NO. 3?
NSC review(s) completed.
;'0FgT
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This document contains ;nformation affecting the national defense of the
United States, within the meaning of the espionage laws, Title i8, Sec-
tions 793 and 794, U.`.C., the transmission or revelations of which in
any manner to an unauthorized person is 7,rohit1ited by law.
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OPERATIONS COORDINATING BOARD
Washington 25, D. C.
MEMORANDUM FOR THE OPERATIONS COORDINATING BOARD
January 24, 1955
SUBJECT: Progress Report on NSC 171/1 (Indonesia)
The attached Operations Coordinating Board Progress Report
on NSC 171/1, "United States Objectives and Courses of Action
with Respect to Indonesia," dated January 12, 1955, was noted oy
the National Security Council on January 20, 1955 (NSC Action
No. 1310).
The previous draft of this report dated January 7, 1955 it
obsolete and may be destroyed in accordance with the security
regulations of your. agency.
z d I
Elmer B. Staats
Memo to the Executive Secretary, NSC
from the Executive Officer, OCB,
subject as above, dated 1/13/55, with
attachment as listed.
OCB File No. 30
I a _ c 0 f
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OPERATIONS COORDINATING BOARD
Washington 25, D. C.
January 13, 1955
MEMORANDUM FOR Mr. James S. Lay, Jr.
Executive Secretary
National Security Council
SUBJECT: Progress Report on NSC 171/1 (Indonesia)
(Policy Approved by the President., November 20, 1953)
There is attached the second progress report by the
Operations Coordinating Board on NSC 171/1, "United States
Objectives and Courses of Action with Respect to Indonesia,"
covering the period June 1, 1954 through November 30, 1954.
The report was approved by the Operations Coordinating Board
on January 12, 1955.
The following significant developments subsequent to
November 30, 1954 were noted by the Board:
1. Smallholder Rubber Policy
On December 9, 1954, the National Security Council in
NSC Action No. 1284 decided that the COB should reconsider ira-.
plementation of NSC 5417/3 (U.S. Rubber Policy) in approximately
six months in the light of the situation then existing. (Paras4
7 and 25 of Summary, and para. 20a of Annex "A"),
2? Review of U.S. Far East Policy
On December 22, 1954, the President approved NSC 5429/5,
including a new section, paragraph 5e_, relating to means of pre-
venting Indonesia from falling under Communist control. NNSC 5429/5
will guide the implementation of MSC 171/1 modifying the latter
where inconsistent, pending a review by the NSC of NS.C 171/1,
(Para. 19 of Summary).
3. Afro-Asian Conference
On December 29, 1954, announcement was made of an Afro..
Asian Conference to be held in Bandung, Indonesia in April 1955.
Due to the inclusion of Communist China in the list of prospective
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participants this conference has become a much more concrete
problem than it was at the time the report was written. It is
recognized that the proposed conference will include representa-
tives and consider issues wider in scope than those under NSC 171/;
it is reported in this paper because of the initiative of the
Indonesian Government and because the conference will presumably
be held in Indonesia. (Paras. 5 and 24 of Summary and para. 16
of Annex "A".)
Elmer B. Staats
Executive Officer
Attachment:
Progress Report on NSC 171/1
(Indonesia) dated 1/12/55.
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Ambassador Curodngts consultation in Washington during parts of
SeDDtember, October, and November, permitting him to talk to the
President., Vice President, Secretary of State, Senate Foreign Relatio-nos
Sub-Committee on the Far East, Defense representatives, and many other's
should increase the Ambassador's ability to exert personal influence
on Indonesian leaders. Foreign Minister Sunario, Dr. Djuanda (Bead
of the State Planning Bureau), the Governor of the Bank of Indonesia.
and a number of other leading officials visited the U.S. during the
period of this report. Meetings were arranged between these leviers
and Americans, both official and non-official which, it is believed,
have exerted a favorable influence.
Para. 19. - "Continue efforts to influence Indonesian government
officials to oppose Camun .st infiltration and subversio v.
This principal has continued to guide activities of all dep,3rtmr_=, is
and agencies of the U.S. Government in the day-to-day conduct of
relations with Indonesia and in actions taken pursuant to TSC 171/1.
Para, 20, a. - "Explore urgently the practicable means of assisting
Indonesia in regard to its important economic problet ,
with particular attention to the net advantage of
helping Indonesia find markets for rubber and tia,
and explore the possibility of assisting the Indones-.