INTERNATIONAL AGREEMENTS OTHER THAN TREATIES [61 STAT. relief import requirements. These programs shall be subject to screening and approval by the United States Government and pro- curement will be authorized only for items contained in the approved programs. Transfers. (e) Transfers of United States relief supplies shall be made under arrangements to be determined by the United States Government in consultation with the Chinese Government. The United States Government, whenever it deems it desirable, may retain possession of any United States relief supplies, or may recover possession of such supplies transferred, up to the city or local community where such supplies are made available to the ultimate consumers. ARTICLE II. Distribution of Supplies in China (a) All United States relief supplies shall be distributed in ac- cordance with the terms of this Agreement, by the Chinese Govern- ment and by established voluntary agencies in China which are agreed upon between the two Governments. Representatives of the United States of America shall have direct supervision and control of supplies made available by the United States Government under this Agree- ment. Fisa cha.es . (b) All United States relief supply imports shall be free of fiscal charges including customs duties up to the point where they are sold for local currency as provided by Article III of this Agreement unless when because of price practices, it is advisable to include customs charges or government taxes in prices fixed, in which case the amount thus collected on United States relief supply imports will accrue to the special account referred to in Article III. All United States relief supply imports given freely to indigents, institutions, and others, and those turned over to voluntary agencies for distribution shall be free of fiscal charges including customs duties. Lal o .. (c) The Chinese Government will designate a high-ranking official who shall have the responsibility of liaison between the Chinese Government and the United States representatives responsible for the relief program. DiRtriibu(on ,7 (d) United States relief supplies and similar supplies produced Chine.se (overnment. locally or imported from outside sources shall be distributed by the Chinese Government and voluntary agencies without discrimination as to race, creed or political belief, and the Chinese Government shall not permit the diversion of any such supplies to non-essential uses or for export or removal from the country while need therefor for relief purposes continues. The Chinese Government shall not permit the diversion of United States relief supplies or an excessive amount of supplies similar to United States relief supplies which are produced locally or imported from outside sources in the maintenance of armed forces. (e) The Chinese Government will take appropriate steps regarding the distribution of United States relief supplies and similar supplies produced locally and imported from outside sources designed to
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