THE POLISH TRADE DISCUSSION

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP61S00527A000200040008-4
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 4
• Document Creation Date: November 9, 2016
• Document Release Date: July 10, 1998
• Sequence Number: 8
• Publication Date: February 26, 1957
• Content Type: MF

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24 April missing.
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26 February 1957
NEVORANDM
FOR: Deputy Director/Intelligence
SUBJECT: The Polish Trade Discussion
1. The Chief of the American delegation introduced the discussion
with a coMment on America's interest in the Polish people and in indica-
tion of our need to secure recent information on the direction and inter-
est of the Polish economy to facilitate our participation in the instant
discussion.
2. The Chief of the Polish delegation then outlined the general
nature of Poland's interest in these discussions. He indicated that the
course of the Polish economy since World War II had been one of increastn$
centralization of industrial control and that this centralization had been
the only means by which Poland was Able to facilitate its industrial
growth. Be pointed to the general paucity of Poland's raw material
resource base and indicated that only by centralization of industry had
Polsad been able to secure the raw material resources which she needed.
Be said that poland now had fundamentally changed its course and was
interested in reducing the element of central authority and of increastng
the attention given to the improvement of scales of living throughout the
country. Poland would under any program of reducing central control, he
said, find it necessary to seek additional imports of raw materials. The
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materials 4hich he specified as crucial to this program were grain and
fibers. Re said that Poland had e2ieleated the requirement for compulsory
delivery oa rarmers And as a result would probably be particularly short
of these .1tects., and that any industrial transition would require their
import.
3. Tae Polish Chairman specified that Poland expected the United
States to effer such commodities under a program of "aid" and on long-
term credit. There eas no intimation of immediate payment for grain and
fiber iiroorte from the United States.
4. The discussion was thea turned by the Polish delegate to a con-
sideration of Polish export industries, particularly coal. The Chairman
pointed out that the growth of Polish industrial production had been more
rapid than the growth of coal production. Thus, Poland had found itself
in a situation of declining coal exports and declining holdings of Western
foreign exehenge. While not specifeiag that the Polish coal industry
needed a great deal of investment to improve productivity in the Industry,
the Polish Chairman did indicate that the delegation expected the United
States to export modern coal-minine; machinery to Poland so that she could
expand her coal production and her export of coal to Western countries.
5. Speaking to the U.S, Chairnan'e suggestion of U.S. interest in
the current situation aad the neceseity to have certain questions answered,
the Polish Chairman indicated that roland had nothing to hide and that they
intended to answer U.S. questions f-eeely and conpietely.
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6. The Polish Chairman introduced his remarks by emphasizing the
general interest throughout Poland in his mission to the United States,
pleading that the Agricultural interest, the Industrial interest, and
particularly the interest of the Polish consumer coincided on the request
outlined above. The Polish Chaim= began rather nervously but once he
introduced their interest in aid and credit, spoke very forthrightly and.
emphatically. The members of the Polish delegation appeared to be ex-
tremely cordial and interested in makine a genuine appearance of interest
in the success of the program 'Which they outlined.
7. Discussions will proceed from todAy dealing with major items,
an item per meeting. Wednesday, 27 February, will be devoted to the
Polish balance of payments situation. pelted States reaction to the meet-
ing in general raised the question es to whether or not the Polish pro-
posal would generate enough foreign exchange to permit Poland to service
and repay the credit extended, assuming even that Vhited States legisla-
tion were such as to make possible the extension of the credit in the
first instance.
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