CONFIDENTIAL

Kr Huntley, Kr Jordan and I did what we could by direct or indirect methods to suggest that closer liaison and cooperation between police and Preventive Service would be desirable.

DISCUSSION OF AGENDA ITEMS

The Golden Triangle

10. The first and second working sessions were on opium production and trafficking in Burma, Laos and Thailand with consideration of what should and could be done about them;

the discussion was to include a consideration of the roles of the United Nations and of the INCB, and of the position of the People's Republic of China, Pickering (from the American Embassy in Bangkok) gave an assessment of the political situation in the area. He suggested that a rapprochment between Burma and Thailand was in the process of developing. In particular, the Thais were becoming embarrassed by the presence of Burmese insurgents in Thailand (who are led by U Nu). There were Thai moves to get U Nu to leave Thailand. Although there was apathy in Thailand about the opium traffic there had recently been some successes, particularly in relation to the trawler traffic from Thailand to Hong Kong. The Thais were also attempting to do something about the former KIT irregulars. They were largely locally recruited but were still led by their former leaders. Attempts were being made to resettle them, to deter them from growing opium, and to encourage them to turn to other occupations; they were being given the opportunity of becoming Thai citizens. It seemed possible that diplomatic relations might be improved between Thailand and the People's Republic of China. Laos presented a comparatively small problem. There was probably only 20 tons of opium grown in Laos annually as opposed to 200 tons in Thailand, The Americans had little information about the situation in

They thought that the Burmese were keeping better control over the KKY (the Burmese irregulars) who were fighting the Communist "White Flag" insurgents, but there was some doubt about this.

11.

Dick (the Regional Director of the BNDD) gave an account of the opium traffic in the area, He referred to the success of the so called SNO programme in Northern Thailand in suppressing trafficking. He said that there was evidence of heroin coming from Burma into Thailand and that the Burmese appeared to be concerned at finding No 4 heroin available on the streets of Rangoon. There was no evidence of export traffic westwards from Burma. The traffic was overland through Thailand down through Malaya, or by trawler to Singapore, Hong Kong and occasionally to the Phillipines. There were grounds for cautious optimism about enforcement in Thailand, particularly as a result of the recent conviction of a Thai colonel for corruption, but there were enormous problems for the BNDD working unilaterally against the trawler traffic.

People's Republic of China

12. The question of involving the PRC was then discussed, in particular whether steps might be taken to encourage Sir Harry Greenfield (the President of the INCB) to visit Peking. The Americans were not attracted by this idea and Ingersoll confirmed to me privately that he thought little of it. There was no certainty that a trip by Sir Harry to Peking would produce any advantage so far as the United Kingdom and Hong Kong were concerned and there might be considerable disadvantage if it became known that the United Kingdom had brought pressure to bear upon Sir Harry to undertake the trip. It would be a different matter if the initiative came from the Chinese; otherwise it seemed best to let it rest. The Americans made clear that they were considering in Washington the whole question of how and whether

CONFIDENTIAL

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