PRODUCTION DIFFICULTIES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00810A004000920003-3
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 2
• Document Creation Date: December 22, 2016
• Document Release Date: May 11, 2009
• Sequence Number: 3
• Publication Date: May 7, 1954
• Content Type: REPORT

Approved For Release 2009/05/11: CIA-RDP80-0081 OA004000920003-3
CENTRAL INTELLIGENCE AGENCY
INFORMATION REPORT
This Document contains information affecting the Na.
tlonal Defense of the United States, within the mean-
ing of Title 18, Sections 793 and 794, of the U.S. Code, as
amended. Its transmission or revelation of its contents
to or receipt by an unauthorized person is prohibited
by law. The reproduction of this form In prohibited.
SECRET/CONTROL U.S, OF7ICIAIS ONLY
COUNTRY Hungary
Production Difficulties
619379
REPORT
DATE DISTR. 7 May 1954
NO. OF PAGES 2
REQUIREMENT NO. RD
REFERENCES
THE SOURCE EVALUATIONS IN THIS REPORT ARE DEFINITIVE.
THE APPRAISAL OF CONTENT IS TENTATIVE.
{FOR KEY SEE REVERSE)
1. The continuing shortage of coal and electric current in Budapest has caused
a big drop in production in the main factories, even in those possessing
their own power supply and generating plant. These drops are particularly
noteworthy in the factories which work in co-operation with other enter-
prises. Delivery of component parts is often delayed for days because of
the coal shortage on the railroads.
To try to overcome these drops in production, a scheme of so-called "closed
production processes" (zart termelesi folysimatok) has been introduced. To
supplement this scheme, component parts are ordered in advance by telephone
from factories co-operating in the manufacture of an article, electric
current is "ordered" for a certain number of hours every day and the factory's
workers are called out to do a special shift (day or night). In this way
an increased rate of activity is possible when there is a plentiful supply of
current; when current is in short supply, work is slackened off.
3, In January 1954, many workers were dismissed from factories and told to
find jobs in agriculture, tractor stations, etc. Their work contracts were
not terminated.
Those factories producing goods for export are given priority in supplies
of electric current and material. Nevertheless, they are still falling behind
in fulfilling their orders. In 1953 the MAPAG factory was 43 steam loco-
motives behind schedule in its production for the Soviet Union, This was due
to the shortage of chrome metals,
SECRET/CONTROL U.S. OFFICIALS ONLY
(Note: Washington Distribution Indicated By "X'; Field Distribution By
Approved For Release 2009/05/11: CIA-RDP80-0081 OA004000920003-3
 Approved For Release 2009/05/11: CIA-RDP80-0081 OA004000920003-3
SACRET/CONTROL U.S, OFFICIALS ONLY
5. To improve the speed of communications the dial telephone system is being
extended. Individual factories working in co-operation are linked up by
this means. As a result of this extension, there has been a marked decline
in the number of telephones available for private subscribers.
SNCR3T/CONTROL U.S. OFFICIALS ONLY
Approved For Release 2009/05/11: CIA-RDP80-0081 OA004000920003-3