TRANSPORTATION - WATER ECONOMIC - INVESTMENTS SOCIOLOGICAL - MANPOWER, TRAINING

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00809A000600140209-5
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 10
• Document Creation Date: December 22, 2016
• Document Release Date: June 13, 2011
• Sequence Number: 209
• Publication Date: December 6, 1951
• Content Type: REPORT

opy Approved Release
CO>$i tU/ CLASSIFICATION 84-C-R-9-T CR T
US t C2A ONLY
CENTRAL I1N'I'I &K Wi REPORT
DATE OF
INFORMATION 1951
DATE DIST. , Dec 1951
NO. OF PAGES 10
SUPPllFMFNT TO
REPORT NO.
THIS IS UNEVALUATED INFORMATION
A, Performance Plans
1. Inland Hate: Transport
a. Freight Transport (Transport Performance of Inland Fleet)
The State Planning Commission suggested 14 million tons for freight
transport in ships for 1955. The plan proposal of the Director General of Water
Transport is 32.5 million tons for 1955, taking intc account the probable de-
velopment of freight transport by eater as estimated by the ivdliyidual brarches
of industry.
At present, the State Planning Casalesion can give no definite
estimate on the amount of freight. to be moved, because of lack of data for es-
tablishing regional balances for freight to be moved, freight to be distributed,
and long-term delivery pleas. Shipments to be takes over by the State Water
Transport on the Oder River in 1955 may be estimated at 1.5 million tons; how-
ever, there is no agreement as yet between the Oder Water Transport and the
State Plareing Cas:isston.
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Economic - Investments
Sociological -? Manpower, training
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The ton-kilometer performance is expected to increase to 140 kilo-
meters per ton in 1955, computed on the basis of a figure of about 130 kilome-
ters per ton in 1951 and taking into account the fact that additional long-
distance transport sectors are to be taken over.
The Deutsche mark value given for the transport performance of
inland water transport were derived from the 1,951 finance plan. The result-
ing average value of 2.6 pf ennigs per ton-kilometer agrees with the d,relicinar;,,
balance for 1950. No DSU (Central Office of German Water Transpor.. and Tranes-
shipping) final accounting exists no far, nor 're any reess.:l tea ra, ,,il t,le yet
from t h e operations accounting, whUb is still being - - '; `G .;.. .....
approximate value had to be entered.
The average income value for the 5 years hue been entered .as a
constant value, because the cost accounting for the Five-Year Plan of the trans-
portation carriers has not been submitted yet, and consequently rates could not
as yet be established.
b. Freight Transshipment and Storage (Performance of Inland Ports)
The directive of the State Planning Commission also requested fig-
ures for performance of the inland ports, in addition to the figures originally
requested, As mentioned above, the DSU accounting results have not yet been
submitted. Furthermore, a practical statistical evaluation was not started un-
t1l 1 January 1951, Consequently, here,too, figures are based largely on assump-
tions. Performances of the inland ports have been established only for ports
under the DSU, because the majority of the other transshipping ports are under
the Launder administrations and no performance evaluation has been given for
them.
According to the opinion of the most important ports, the trans-
shipping performance proper will increase approximately 30 percent during the
Five-Year Plan. The 1951 finance plan and the preliminary balance for 1950
were again used to establish the income figures, on the basis of an average in-
come value of 1.46 Deutsche marks per ton transshipped. This average value was
used for the entire plan period, since transshipping rates can be established
only after actual costs- have been cited.
Together with the increase in transshipping performance in the DSU
ports, there is an increase in granary utilization and freight storage. Here,
a :.,witch from long-term storage to short-term storage was taken into account,
caused by better cooperation of the transport carriers in the ports and by the
efforts of economic enterprises to avoid unnecessary storage periods for economic
goods. It has not yet been possible to establish an income figure for storage
operations proper, because at present the charges are based on a variety of fac-
tors, such as weight, area, and cubic measurement.
c. Passenger Transport (Performance of Passenger Fleet)
Total pase-en3er transport by passenger ships will increase by 10.6
percent, chiefly because of the expansion of scheduled coastal. traffic and longer
sector runs in the 9eilin and Sachsen area, and also because of special trips for
enterprises and for cultural events. It is planned to increase the passenger
transport performance of the people-owned passenger fleet by 17.3 percent through
an increass in passenger space. Throughout the Five-Year Plan the planned in-
come is based uniformly on the value of 1.27 Deutsche marks per passenger, which
corresponds to the 1951 finance plan and the 1950 preliminary balance.
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will be taken over by the Federation of People-Owned Shipyards of the Ministry
for Machine Building. It ii planned to take the shipyards at Uebigau, Plaue,
Stralsund, and Wismar out of the Federation of Repair Shipyards and incorporate
them into the industry as production shipyards. As far as the Five-Year Plan
is concerned, after completion of the reorganization, the repair performance
of the shipyards will thus amount to 44 percent of the original Ltota17 figure,
since the planned capacity of those shipyards which are to join the industry
corresponds to the capacity increase planned for the fleets.
B. Development of Capacity (Investments)
1. Fleets
a. Inland Fleet
The draft submitted for the Five-Year Plan takes into account the
fact that, because of the high average age and the partly unsatisfactory condi-
tion of the inland fleet, approximately 17.7 percent of the total tonnage will
have to be deducted for wrecking. This assumes that that the remaining tonnage
will be maintained in the best possible condition. The repair backlog makes It
necessary that general repairs, at least until 1952, be subsidized by additional
funds for general repair. This tonnage deficit, in the face of the planned is r-
formance increase to 12.5 million tons of freight to be transported in 1955, will
be offset by the increase in the fleet's internal performance (better use of cargo
space through better transport planning, shorter turnaround times, etc.). and by
investments and. 1 placement investments totaling 59,#62 tons of loading apace.
The new vessels are almost exclusively to be self-propelled craft, whose value
is computed as equal to 1.5 tons of nonself-propelled craft. The recent realiza-
tion that in a planned economy the inland water transport should carry chiefly
bulk-goods shipments, for which a more economical method of utilizing towed ves-
sels may be- considered, called for nea planning of the fleet development. As
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already proved, the planned wreckings constitute a minimum value which can be
exceeded rather than undercut if the condition of the fleet is not watched
carefully. 't'herefore, to obtain the planned performances by the fleet, it is
necessary to develop not only the construction of nonself-propelled craft and
the necessary tugboats, but also self-propelled craft, mainly for the interior
and for the combined inland and coastal traffic.
Tons of Loading PpacS
Nonself-propelled craft
54,232
New construction
45,732
Replacements
8,500
Self-propelled craft
26,030
New construction
12,230
Replacements
13,800
The tug power required for this loading space is planned vithin
the Five-Year Plan at a total of 13,345 horsepower, including new construction
of 4,345 horsepower.
The computation in regard to performance is based on a slowing
down of the rate of decrease in shipping space, an increase in the full uttliza-
tion of capacity as the result of regular repairs, as described above, and an
increase in turnaround time. As compared with the originally planned 20 mil-
lion Deutsche marks of investments, this calls for increased demand of 3.6 mil-
lion Deutsche marks. The actual costs of a ton of freight space are computed
on the assumption that they will decrease sharply as a result of the stream-
lining of the shipyards. In conclusion, it may be added that the entire capac-
ity development refers to the people-owned fleet. The private fleet will de-
crease through natural losses.
In order to fulfill its assignments in the inland sector and, par-
ticularly, to meet the demands of the seaways, the overage service fleet must
be decisively rejuvenated and its capacity increased. The preponderant part
of the investments, valued at approximately 17 million Deutsche marks, for the
ocean service fleet are earmarked for the large-scale program for dredging the
sea lanes, particularly in connection with the expansion of shipyards for ocean-
going vessels, and for the maintenance of sea markers. For instance, plans pro-
vide for the construction of two ocean dredgers, one flushing vessel, several
hopper and flushing barges, and tugboats for dredging operations. The river
masters' boats, work boats, and inspection boats, all of wL.tch are deteriorat-
ing greatly, will have to be replaced by new ones. The expected increase in
ocean traffic calls for three icebreakers of 800 horsepower each. In addition,
a buoy-laying vessel and a sea marker inspection ship will be built.
sels. In contrast, the State Planning Ccemission mentioned 22, 20, and finally
18 commercial ships. Since no data for planning was available, the Directorate
in the international field of ocean-going shipbuil4ing were incorporated, and
the probable development of the shipyards in the German Democratic Republic was
taken into account. The voluminous planning work itself is dealt with in a
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special presentation. Since, however, planning was done only by the Directorate
General of Water Transport, it is necessary that the industry should finally
undertake to draw up an exact plan and adjust it with that of the Directorate
General of Water Transport.
The investments for inland ports total about 15 million Deutsche
marks, The key ports especially are being developed. These are Riess for the
central Sachsen area, I4agdeburg.for the central German area, and Halle for the
Saale district. The Berlin ports are not taken into consideration here, be-
rmuse they are under the ldagistrate of Greater Berlin.
Furthermore, the structural and mechanical installations and trans-
portation equipment in these ports will have to be replaced during the Five-Year
Plan in order to maintain the performance capacity.
b. Seaports
The seaports of Rostock-Warnemuende, Wismar, and Stralsund) meet
present demands on their installations; however, to insure the present trans-
shipping capacity, considerable replacement investments are necessary; Rostock,
6,605,000 Deutsche marks; Wismar, 4,927,000 Deutsche marks; Stralsund 2,050,000
Deutsche marks; total, 13,582,000 Deutsche marks.
No new installations are necessary for an assumed performance in-
crease of 40 to 50 percent above the Two-Year Plan. However, the construction
of an oil mill (water-operated industry), including granary and elevator, is
planned in the Kali (potash) port of Wismar for receiving and processing olea-
ginous plants imported from East Aria: This will eliminate the costs of trans-
porting the oleaginous plants to the nearest oil mill at Wittenberge, which
will result in a saving of approximately one million Deutsche marks. Planned
annual production at the Wismar mill will amount to 100,000 tons. With in-
creased ocean traffic, particularly larger vessels, lightering at anchorage
still be necessary. Four ocean lighters valued at 1,600,000 Deutsche marks
are planned for this purpose. Altogether this ccnstitutes an additional re-
quireauent of 4,242,000 Deutsche marks for the three port associations, or a
total of 29,242,000 Deutsche marks.
So far, Land Mecklenburg has included the investments in its plan.
La already pointed out, the exact planning of overseas shipments must be deter-
mined in detail, since this is necessary, together with the inclusion of Stettin
and later Hamburg, to achieve a more correct estimate of the capacity development
of the seaports.
3. shipyards
The capacity development of the shipyards, particularly the change to
result from the reorganization of the shipbuilding industry, has already been
explained. The necessary investments, including those for the Federation which
ie to be established, for the German Ship Inspection and Classification, and
for the designing office for ship construction, total 8,600,000 Deutsche marks.
Of special importance are the development of the transverse slipway installa-
tion and the dry dock at the State Shipyard at Stralsund, the slipway installa-
tion for the mach;ne-building yard at Plaue, and machinery for the other ship-
yards. Upon completion of the reorganization of the industry, those shipyards
which have been transferred to the Federation of People-Owned Shipyards will
have to work out a new development plan for capacities (investments).
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e N~, '' d A "P rt rr m N ?.dvw ,M,rr6 wrd~, y?'oy ti`",'n, aa ,;,,. fl
i2,500,040
8,850,000
300,E
2,700,000
1,000,000
11,460,049
9,550,0CC
6,Ooo,OO1
1, 3, 90,
7,117,5OO
23,517,900
29,017,500
57,467,E
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4. inland Waterways
The inland waterways include the area of the Elbe River; the water-
ways of Mark Brandenburg, including the Berlin waterways, the Mecklenburg
waterways; and the area of the Over River. The main objective cf the expan-
sion of the inland waterway net is the creation of a route from the Elbe River
via Berlin to Stettin which will be navigable for 1,000-ton ships. The pres..
ent Five-Year Plan could include only one project for this expansion, namely,
the deepening of the lower gavel River in Mark Brandenburg, at a cost of 600,000
Deutsche marks. The purpose of the remaining items provided for in the Five-
Year Plan is the restoration of prewar conditions. It is planneed to make the
Saale River navigable at logs-water level for 600-ton ships as far as Halle,
and 600,000 Deutsche arks have been set aside for this. The feeder waterways
(upper Havel, )4ueritz, and Bide rivers) will be deepened for 45O?tou ships;
800,000 Deutsche marks area provided for thin ram cam.
The funds provided in the Five-Year Plan for inland waterway's, 30 mil-
lion Deutsche marks, will have to be increased by 14,450,000 Deutsche marks for
expanding the Elbe-Oder canal system to acc, adate 1,000-ton ships. The fol-
lowing construction projects, and funds totaling 14,450,OOO"Deutsche marks are
necessary,
a. Expansion of the Brandenburg lock, 3 million Deutsche marks,
b. New construction of a lock at Spandau, 5 mullion Deutsche marks.
c. Excavation above Brandenburg and widening of the granary canal,
3 million Deutsche :narks,
d. Expansion of the Oder-Havel Canal, 1.6 aillion Deutsche marks.
e. Widening of the Hohensaaten-Friedrichtal waterway, 1.6 millicn
,,tsche marks.
f. Expansion of the Hohensaaten lock oa the East Oder River, 250,000
Deutsche marks.
Particularly noteworthy among the construction projects on the Elbe
River are the projects for construction of a double lock and a weir to dam up
the rocky stretch at Magdeburg. These projects are to be started in 1954.
The scientific work (basic research) for all the inland and sea water-
ways will have to be expand d. Especially important are the tests with colored
lights for the sea marker service and the development of light beacons. The
following table 11-to the total investment and maintenance funds for the inland
waterways (in Deutsche marks):
Elbe River area
Oder River area
Waterways of Mark Brandenburg
Berlin waterways
Y aritz'Rlde waterways
For service flee;.. telephone
installations, research
institute bvAilding, eta.
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Investments maintenance
Inland ports 4,900,000
Total 62,367,900
Necessary for'deepening the
Elbe-Oder-Stettin waterway
(for 1,000-ton ships)
14,450,000
Total
43,467,500
auc zayi.uoivta of the 13caweay6 i6 secescstia'y oecaaxse not only snips en-
gaged in border sea traffic but also overseas ships may enter the seaports of
the German Democratic Republic. In this connection considerable numbers of
sea markers have to be provided to mark compulsory routes around the island of
Ruegen and in the bay of Mecklenburg. Furthermore, a directed-light beacon
installation is being provided for the approach to Wismar, particularly for
night and murky weather. In 1950 the navigation channel to Wismar was deepened
to 8 meters. In 1951, therefore, the industrial port basin and in 1952 the Kali
(potash) port will have to be dredged to the same depth. The dredging projects
imposed upon the Directorate General of Water Transport within the framework
of the shipyard expansion program by the goverment decree of 17 August 1950
have been incorporated into the Five-Year Plan with only 3,457,000 Deutsche
marks. The funds necessary for these projects for 1952 - 1953, in the amount
of 11,954,000 Deutsche mas,rks, are not included, but will have to be provided
as additional funds, because otherwise the dredging work for the expansion of
shipyard industries would have to be charged against the investments for sea-
ways.
The Five-Year Plan provided 895,000 Deutsche marks for the expansion
of the Navigation School at Wustrow. The necessity of a total investment of
1,250,000 Deutsche marks will subsequently be justified under the heading
"Trainees," which marks an additional demand for 355,000 Deutsche marks. The
following table gives the data on investments for seaways (in Deutsche marks);
Investments Maintenance
Moles and breakwaters 2,714,000
Dredging projects 2,630,000
Repair base for buoys 2,101,000
Sea markers '4,158,000
Service fleet 23,15k,000
Wustrow School 895,000
Office and dwelling space 742,500
36,394,500 14,546,o00
Additional amount for
deepen:~ng navigation
channels
Wustrow Navigation School
11,954,000
355,000
48,703,500 14,546,000
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On the basis of the control figure given for investments, 222,000
Deutsche marks, the additional demand of 63, 18,500 Deutsche marks is thus ac-
counted for.
Additional Demand
Deutsche marks)
Inland fleet 3,600,000
Inland waterways 43,467,500
Dredging work (shipyard expansion) 11,954,000
Wustrow Navigation School 355,E
Seaports 1,2 2,000
63,618,500
C. Finances
1. Lowering of Costs
planning for reduction of costs was done within the framework of the
control figures furnished for the individual years. The cost figure for 1951
has been reached in practice by the enterprises, but, as a result of the lack
of rigid prices, it baa not had any effect financially, because cost reductions
in materials and savings effected through economic management have been ,passed
on to the customers. The cost figures for the next 3 years of the Five-Year
Plan have been planned on the assumption that in 1951 rigid prices will be es-
tablished. Negotiations on price planning have already taken place.
2. Working Capital
The increase in the transshipping figure already shows the planned im-
provement in the working methods of the enterprises. However, an attempt will
be made to attain an increase in the planned figures in the individual years.
It will be necessary to recheck the entire finance plan in detail after
the final balances for 1950 are available.
D. Manpower
The manpower plan for the Directorate General of Water Transport was es-
tablished for the first time for 1950 without any practical experience from
previous years to drab on. Since the Five-Year Plan was developed simultane-
ously, and since the first statistical manpower survey was not made until mid-
1950, no data or actual figures were available. Therefore the performance
plans, the investment projects for the waterways, and the salvage program served
as the basis for the computation of the manpower plan. The increase in gruas
production by about 16 percent is accompanied by an increase in manpower of
about 7 percent. This takes into account the development of greater productivity
per employee. This increase in productivity will be attained through the exte4-
sive adoption of performance vaages and of performance premiums, and through ex-
pansion and further development of the activist and competition movements. In
contrast to administrative personnel, the number of technical personnel will in-
crease. Improved work is foreseen as the result of augeeented training of new
employees and follw-%, training of technicians on the job.
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The expansion and improvement of existing cultural institutions and
the establishment of rooms for cultural purposes for the smaller enterprises
and offices will be concluded for the most part during 1951.
The main item for the years 1952 - 1955 is the improvement of cul-
tural guidance for seafaring personnel. In connection with this assignment,
the prerequisites are to be created for deepening cultural and sociopolitical
relations with West German and foreign ships' crews.
To achieve this task the construction of one cultural institution a
year at the water transport junctions has been planned. In the seaports it
is intended to establish a cultural institution in Wismar in 1952 and one each
in Rostock and Stralsund in 1953. In conjunction with these objectives, sports
installations are to be created which will enable ships' crews to engage in
sports activities during even short layovers.
To improve the conditions of female water transport employees, the
construction of a children's summer home in Dehnits is planned for 1951.
Considering the hitherto entirely unsatisfactory condition of cultural
installations, the amounts indicated in the control figures are by no means
sufficient. Therefore, an increase of 516,30G Deutsche marks is suggested, to
be taken out of the total allocation for main installations.
Improvement of the social conditions of seafaring personnel necessi-
tates increasing the suggested sum of 30,000 Deutsche marks to 210,000 Deutsche
marks, the excess to be taken out of the total allocation for main investments
in 1951. These funds will serve to erect a crew house at the port of Riesa and
one on the island of Daenholm, which is being expanded as a repair base for the
ocean service fleet. These houses include a kitchen, a mess hall, club rooms,
and a wash room and shover installation.
For better social care of those workers employed on construction sites
off the main routes, four ships with living accommodations will be built in 1951.
For the years 1952 - 1955 it is planned to erect washrooms and shower
installations at all transshipping points; they are urgently needed because of
the dirty work involved. Since the control figure given, 30,000 Deutsche marks,
is insufficient for this, an increase to 55,000 Deutsche marks is proposed, the
excess to be taken out of the funds for minor health projects.
The very diversified structure of water transport, with its large num-
ber of small-scale enterprises and offices, precludes the establishment of large
health installations. The funds requested are generally used for the expansion
and improvement of existing installations.
The condition of health installations in general may be considered ade-
quate. Therefore,, it is planned to shift the funds provided for the years 1953 -
.1955 to other purposes, except for the part earmarked for welfare.
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F. Trainees
The construction of people-owned sea-going commercial vessels calls for
the training of seafaring and technical personnel. Therefore, the Wustrow
Navigation School win be expanded to accommodate 200 students in 1951 and 350
in 1952. It is necessary to house these students in group lodgings in order
to achieve a concentration of traaining. The expansion of the capacity of the
Wanstrov Navigation School includes schoolroom, lecture halls, and laboratories
for nautical and machine operations. As already mentioned, no funds from the
total allocation for the Directorate General of Water Transport can be made
available this year because of the cuts in investments in favor of the shipyard
industry. Of the total of 1,250,000 Deutsche marks needed for the development
of the entire project, 750,E Deutsche marks will be needed in 1951 in order
to insure a sufficient number of trainees for the activation plan for seagoing
commercial ships and fishing fleets.
is undertaken in a combined training course: theoretical instruction is given
in the trade school atKleics kachnov; practical training is given on ships with
Since the trade of water construction worker has now been acknowledged as
one to be included in training programs, obsolete methods in this important
field of work will be eliminated. The training of water construction workers
yards and repair shops of the Water Transport Directorate, is given in the
It is planned to erect a sailors` trade school in 1954, to train young
Negotiations have begun with the State Secretary for Trade Training to
secure the planned funds for the extremely important water-transport-training
program.
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