(SANITIZED) TRENDS AND CHANGES IN POLISH CONSTRUCTION INDUSTRY(SANITIZED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80T00246A008000540002-2
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 18
• Document Creation Date: December 22, 2016
• Document Release Date: July 23, 2009
• Sequence Number: 2
• Publication Date: October 23, 1959
• Content Type: REPORT

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19 October 1959
Subject:
TABLE OF CONTENTS Page
Introduction and Remarks . . . . . . . . . . . . . . . . . . 1
2) Current Trends and Changes in Development of
Housing Construction . . . . . . . . . . . . . . . . . . 1
Table I. Housing Construction 1945-1958 . . . . . . . . . . 2
(4 Table II. Rooms in 1958 . . . . . . . . . . . . . . . . . . 3
,4,') Tables III and IV. Investment Outlays for
Housing 1956-1957 . . . . . . . . . . . . . . . . . . . . . 4
Table V. Outlays from the Socialized Economy
and from Own Means of Population . . . . . . . . . . . . . 5
Table VI. Share of Outlays for Various Types
of Construction . . . . . . . . . . . . . . . . . . . . . 6
('e'h Table VII. Outlays for Housing Construction in 1958 . . . 7
Table VIII. Rooms Completed and Handed Over for Use
t 1950-1958 . . . . . . . . . . . . . . . . . . . . . . . . . 8
Changes Caused by New Housing Policy . . . . . . . . . . . . . 9
01 Tables IX and X. Development of Cooperative Construc-
tion 1957-1959 . . . . . . . . . . . . . . . . . . . . . 10
Table XI. 195wellings ? Completed . and Handed Over ? for
Use ? 11
Table XII. Housing Construction in Poland in 1958 . . . . . . . 14
Table XIII. Number of Rooms Built by DBOR in 1958
and Share of Housing Construction by Ministries and
Establishments 1956-1958 . . . . . . . . . . . . . . . . . . 15
Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
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ula,V~ vb.~~.lEul
New Trends and changes in housing and rural construction. 25X1
Introduction and remarks
The government started from 1956 a new course in housing construction. 25X1
This part will describe the characteristic trends of the new policy in housing
construction on the basis of the latest official statistics published by GUS and
thorough studies of the Housing Construction Institute in Warsaw. The studies con-
cerning housing construction in Poland are lately more thorough and the official
statistical data is at present, extensive. However there are still differences;,add
inaccuracies in statistics published by the same source i.e. between the Statistical
Bulletin and Statistical Year Book of GUS.
Nevertheless, housing construction is no doubt one of the best described
sectors in the official publications and for this part of the study several new
tables and statistical data published in 1959 were used. A detailed description of
the sources are given in the text.
Current Trends and Changes in Development of housing Construction
One of the main changes showing progress and some real improvement in construc-
tion is the new housing construction policy. It is a significant cbta.-ta increase
in housing construction and there is a change of proportion of state construction to
non-state construction The latter, although it is not implemented by the state, is
also not entirely private and for this reason is called "Construction from the means of
the Population" (Budownictwo ze srodkow ludnosci). This definition was already ex-
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25X1
about the new policy
in housing construction. This part will deal with current trends in the development of
the state, cooperative and construction from the means of the population.
Tables I and II show that the number of rooms built in Poland increased from
178,800 in 1950 to 368,600 in 1958-Taking the year 1950 as 100, the index for the
year 1958 is 206. But the number of rooms built by the state at the same time in-
creased only from 119,400 in 1950 to 200,600 in 1958) i.e. the index for the year 195:8?
is only 168 but the non-socialized construction in 1950 was 59,400 rooms and in 1958,
168,000 rooms so the index of increase is 280. It should be added here that the non-
socialized construction was at its lowest in 1952 when it amounted to only 39,800
rooms. In relation to this lowest level in 1952 the nonsocialized housing construction
increased in 1958 more than four times and the index for the year 1958, taking 1952
as 100, amounts to )420.
Housing Construction in Poland During the Years 1945-1958
Total Socialized of which Non-socialized
Economy Cooperatives economy
in thousand rooms)
Period 1945-1949
1,590.0
1959
:178.8
119.4
59.4
1951
175.9
130.1
45.8
1952
174.3
134.5
39.8
1953
208.8
160.8
0.4
48.0
1954
209.4
i6o.4
2.0
49.0
1955
252.1
178.9
2.9
73.2
1956
263.5
159.6
3.3
103.9
1957
340.6
207.4
5.5
133.2
1958
368.6
200.6
7.4
168.0
(Source: Fundamenty, 26 July 1959)
f*?
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Table II
Rooms given for use in the National Economy in 1958
according to Statistical Bulletin, No 5, 1959, page 19
Total number of rooms 368,611.
of which socialized economy 200,582
of which state economy 188,224
of which construction by peoples' councils 85,552
Rooms regained after capital repairs 14,569
Built by cooperatives 12,358
Of which Association of Housing cooperatives 7,425
of which non-socialized economy 168,029
In 1950 the state built 119,400,room i.e. twice as much as socialized
economy which built
59, 400
In 1952 the state built even 134,500" " 3.4 It it if 11-acenm'""rZ-`4 4'%, 800
And in 1958 the state built 200,60Q it 1.2 if " " the non-
socialized economy 168,000
This tendency is illustrated in financial outlays for the housing construction
during the years1956, 1957 and 1958 given in Tables III, IV, V, VI and VII in
state and free market prices as follows:
of the total outlays
As it is indicated in Table VI for housing construction
Outlays from own means of the population amounted in 1958 to 36.4%
Outlays by the state 58.6%
Outlays by cooperatives 5.0%
The same tendency to increase the share of outlays from the me:s, of the
population remains in the Five Year Plan 1961-1965-
According to Directives for development of the Polish Peoples' Republic 1959-1965
the planned index of increase for investment outlays in socialized economy during the
years 1961-1965 in relation to the current five year plan 1956-1960 amounts to 142,
however for investments from the means of the population this index is 187.
1,2
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U",r
Table III
Estimate of investments for housing construction in 1956 and 1957
According to Tadeusz Zarski, Bulletin of the Housing Construction Institute, attached
to Miasto No. 4, May 1959.
Outlays according to
state price system in
million zlotys in 1956 Rooms given for use
prices/? ' /ac) in thousands- 1956=100)
1957
1956 1956 1957,
Total outlays 9,062 122.8. 263.5 129.3
Outlays in socialized
economy 6,498 118.1 159.6 129.8
Outlays in non-socializ-
ed economy 2,564 134.6 103.3 128.3
The Share of outlays in socialized and non-socialized economy in relation
to the total outlays for housing construction in 1957 in 1957 prices.
Outlays for housing corm
struction according to
state price system Rooms given for use
in million zlotys in % in thousands in %
Total outlays 13,656 100 340.6 100
Outlays in socialized
economy 9,236 67.6 207.3 60.9
Outlays in non-social-
ized economy 4,420 32.4 133.3 39.1
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i
The share of outlays from the socialized economy and from own means of
the population in relation to total outlays for housing construction
in the years 1956-1957
In 1956 according In 1957 according
to current 1956 to current 1957
prices prices
In reference to construction from own means
of the population, ithe free market price
system was applied
Total outlays (in million zlotys) 9,728
Outlays from socialized sources 69.3%
Of which: allocations for state
construction
67.2%
65.4% 61.5
realized credits given
by the intermediary of
Investment Bank 1.6% 3.2%
Outlays from own means of the population 30.7% 32.1%
Source: Tadeusz Zarski, Bulletin of the Housing Construction Institute, attached
to Miasto No 4, May 1959.
14,574
(In percentage)
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Table VI
The share of outlays for various types of construction in relation to
the tota1,.-outlays for housing construction in 1958.
r)
Outlays for housing The number of
construction in rooms given
1958 according to for use in
the state price system 1958
in million zlotys in thousand
in current prices rooms
Total outlays in absolute figures 15,869.8
368.6
in percentage
A. Total outlays for construction in
socialized economy
63.6
54.4
of which for cooperative housing construction
B. Outlays for individual construction from own
5.0
2.0
means of the population
1. of which for construction not connected
36.4
45.6
with agriculture
17.5
15.9
a. with the aid of state credits
13.8
10.5
.3.7
5.4
2. For construction connected with agriculture 18.9
Ad 1. For the agriculture population only 25% were allocated although this
population amounts to 47%. The outlays increased by 17%, and the
rooms given for use by 8% in relation to 1957.
Ad 2. The credits amount to 10% of the outlays, whicl* represents a big
Vie'. ~,?~cit-~~ a_ ~.
Source: Fundamenty, 16 August 1959
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Outlays for housing construction in l958 in million zlotys in current prices.
Estimate according to price system
Total Outlays 15,869.8 16,976.9
I. Outlays in the socialized economy total 10,096.8 10,138.9
l.Building and construction by the
People's Councils
5,030.8
5,030.8
2. Construction by non-agricultural
ministries
3,317.8
3,317.8
3. Construction by cooperative
;Housing societies
801.1
843.2
4. Housing construction carried out by
agricultural ministries and agencies
947.1
947.1
II.Outlays in the non-socialized economy total
5,773.0
6,838.0
of which:
1. Housing Construction not connected with
agriculture
2,772.0
3,134.0
a. with aid of state credit
2,178.0
2,454.o
b. without state credits
594.0
680.0
2. Housing connected with agriculture
3,001.0
3,704.0
Source: Fundamenty 1 Aug. 1959 Budownictwo Mieszkanibwe w 1958" page 3.
Research by engineer Dangel of the Housing Construction Institute
In order to get the outlays from the means of the population to increase this
much, the state is increasing the credits for the population. It is planned that
these credits will amount to 38.1 billion zlotys in the period 1961-65 in comparison
with 16.6 billion zlotys during 1959-1960. Here the index of increase is 230.
The trend of absolute increase of newly built rooms is also maintained. In 1958
a total of 368,000 rooms were built and it is foreseen that in 1965 a total of
465,000 rooms, i.e. 26% more, will be built. It is expected that during the Five Year
Plan 1961-1965, a total of 2,000,000 rooms will be built in comparison with 1,200,000 rooms
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constructed during the present period 1956-1960 i.e. an increase of 68%.
Despite this large increase in absolute figures, it is too low in relation
to the increase of the population, not mentioning the influx of people into towns in
connection with industrialization and the needed improvement of the existing housing
As is seen from Table VIII, the number of rooms per 1,000 persons of increase
of population is 651 room i.e. one for lfwsw 1.52 persons which is still a very
high index of crowding.
Table VIII
0
Dwelling Rooms Completed and handed over for use
X1950-
to
1955
1955
1956
1957
7_
1958
Total (thousand rooms)
Socialized economy
of which dwelling cooperative
societies
1,199.3
884.1
5.3
252.1
178.9,
2.9
263.5
159.6
3..3
-6
_370
207.4
5.5
0**
200.8
-7?4
Non-socialized economy
315.2
73.2
1.0.3?.9
133.2
139.2
of which with state assistance**
2.5
2.4
10.3
21.5
38.7
Urban areas-
805.0
153.2
153.3
191.1
203.3
Rural Areas
394.3
98.9
110.2.
149..5
136.7
Socialized economy
130.9
40.9
31.4
41.4
31.3
Non-socialized economy
263.4
58.0
78.8
108.1
105.4
Remarks :
of which socialized
753.2
138.0
128.E
165.9
169.5
non. socialized
51.8
15.2
25.1
25.2
33.8
Excluding rooms built thanks to credit granted to farmers
The Statistical Bulletin, 1959 gives the number of rooms built in 1958 368,600
Source: Concise Statistical Yearbook 1959, p.82.
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Changes caused by new housing policy
The new housing construction policy caused the following changes in the
direction of housing investments during the years 1956-1958,:
a. The tempo of development of housing construction from own means of the
population exceeds the increase of outlays for other types of housing construction
The share of outlays for housing construction in relation to the total
investment outlays in the national economy amounted to:
19.1%
in 1956
22.7%
" 1957
23.8%
" 1958
The plan for the year 1959 foresees 70,000 rooms)i.e. 28,000 apartments
from own means of the population (of which 30,,000 will be built by cooperatives,
40,000 by individuals, general use and factory housing). The credits allocated for
this housing construction from own means of the population amount to 2,300 million
zlotys. During the first half year 1959. 1,900 millions were approved and 1,356
millions were already put into effect.
b. The total outlays for housing construction grew during the years 1956-1958 by
42%. In 1956 they amounted to 9,062 billion zlotys. Taking 1956 for 100 we obtain in
1957122.8% and in 19.581+2.10%0.
c. For various types of ownership of housing this increase is different as
The outlays for state housing construction
and state type cooperatives in 1956 6,558 billion zlotys are 100.0
1957 117.2
1958 121.2
As is seen, the increase of state housing construction is less than the
increase of total housing construction
d. Instead cooperative housing construction ,(which during the years 1921-9-1955
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almost disappeared completely as a result of the state housing policy at that time
increased, and amounted: in 1956 to 140 million zlotys or 100%, in 1957 to 160.5
and in 1958 to 446.7%.it should be remembered however, that the starting point in
1956 was very low, therefore this type of construction is not yet large in absolute
figures but it is still growing fast.
Detailed figures concerning the development of cooperative housing construction
are given in Tables IX and X.
:ems
X. The greatest increase is in construction from own means of non-agricultural popu-
lation with the aid of state credits which amounted to: 442 million zlotys i.e. 100%
in 1956, 221.7 in 1957, 584.6 in 1958.
Development of cooperative construction
The number of housing cooperatives according to categories in 1957 and-1958
1957 1958 1 July 1959
Total 492 844 981
a. General tenants cooperatives 92 243
b. Workers - 108
c. Housing-construction 280 347
d. Housing-administration cooperatives 27 24
e. Cooperative associations for the construction
of one family individual houses 93 122
Remarks: In 1959 cooperatives exist in 281 towns, but 42% of them are in the voivodship
towns where there are difficulties in allocation of building lots.
Table X
Housing construction realized by cooperatives during the years 1956-1958
1956
1957
1958 1959 Plan
Total
3,356
5, 5
7;_366 30,000
Tenants housing cooperatives
-
231
2.,214
Housing-construction cooperatives
416
9-57
906
Cooperative associations for one family houses
2,940
4,268
4,246
At the end of 1958, rooms built by the cooperatives amounted to
37,900 in rough stage.
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f. However housing construction from own means of the non-agricultural population
J
without the aid of state credits has not increased. It amounted to 467 million
zlotys or 100/1in 1956, 122.8 in 1957, 99.0 in 1958?
g. The outlays for housing construction from own means of the agricultural population
show some growth in accordance with the increase of the total outlays for housing
construction namely: 1,655 million zlotys or 100.0 in 1956, 114.7 in 1957, 141.7 in
1958.
Table XI
Dwellings .complete4 and handed over for use in
Total 116,753
dwellings
Socialized Economy
69,452
Sta t
66 718
it
t
of which
41,278
s
by Building Management of Workers Settlemen
Cooperative Economy
2,734
of which
1,372
dwelling cooperative associations
Non-socialized economy
47,301
dwelling
Urban Areas 62, 361
If
Social economy 54:,.686
non-social 7,675
Rural Areas 54,392
Socialized economy14,766
non-socialized
economy 39,626
Source: Concise Statistical Yearbook 1959 page 81, Tables 7 and 8
*Dwellings built by ZOR average about 2.5 rooms. Other authorities built dwellings
which have a higher aver4number of rooms- approx. 3.
490
01-
As is seen from Table XI t'ie following number of dwellings were completed in
1957 and handed over for use:
in urban areas
62,361
in rural areas
54,392
The rural areas were still neglected since nearly half of the population in Poland
(exactly 47%) is agricultural.
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The figures published in the English edition of the Statistical Yearbook 1959
called Concise Statistical Yearbook 1959 differ a little from the studies of the
Housing Construction Institute which are more precise. The figures from these
ftudies in Table XII on page .I . show that in 1958
in urban areas 70,000 apartments i.e. 193,,.-;00 rooms were built
in rural areas 58,600 175,500 IT It "
Total 128,600 " " 368,600 if
From these more accurate figures of the Housing Construction Institute, an
increase of the share of construction in rural areas is clear. The following figures
are given for comparison of housing built in 1957:
in urban areas 68,000 apartment3,i.e. 191,100 rooms
rural areas 54,400
Total 122,400
149,500
340,600
The comparis/ n of 1957 with 1958 shows the tendend:y of increasing housing construc-
h. The state helps the population in the form of credits for non-agricultural
population from the Investment Bank.In the past years this bank gave the following
credits: in 1956 154 million zlotys
It 1957 473 it
t'
?
IT 1958 1,290 if
and for the agricultural population the Agricultural Bank gave the following credits:
in 1956 48 million zlotys
1957 228
1958 467
Altogether these credits amounted:
in 1956 - 202 million zlotys
1957 701 it IT
1958 1,757 It
Besides that, the population often received financial and other help from the
factories through the Factory Fund in the form of loans of pecuniary assistance,
but no data is available on this subject.
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if, L. VIII.I.
Remark: The above figures are based on the article written by T. Zarski (Housing
Construction 1958) in Fundamenty, 23 August 1959, page 11.
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Housing Construction in Poland in 1958
according to Bulletin of the Housing Construction Institute, Book 4-M, Warsaw,
May 1959, article by J. Dangel.
Thousand rooms
1957
1958
Total
340.6*
368.6
A, State construction
201.9**
1'93.2
1. By Peoples Councils including Administration
Worker's Settlements Construction (DBOR )
of
119.0
95.8
2:. By Ministries and working establishments for
non-agricultural population
106.7
85.5
3. Bit ministries and working establishments for
agricultural population
34.2
34,0
4. Gain by capital repairs
14.5
14.6
B. Cooperative construction
5.5
7.4
C. Individual construction
133?2***
168.0
1. With the aid of state credits
21.5
38.7
- general
16.2
29.9
- workers factory
5.3
8.8
2. Without the aid of state credits
111.7
129.3
- non-agricultural population
22.2
19.9
- agricultural population
89.5
109,4
- of which collective quartering construction in
cq.1culated rooms
9.4
5.4
Remarks:
In the Small Statistical Yearbool-,l95,
In the Small Statistical,earbook 128
In the Small Statistical Yearbook 1958
on page 65 -346.2 rooms
H tv it ,,,, if
if -142.9
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i. Further changes take place within the state construction industry itself. While
in the past the major part of this construction was completed by the Administration of
Workers Settlements (ZOR) and by its subordinate Administrations of Workers Settlements
Construction (DBOR), at present there is a trend to reduce this share of DBOR; more
is built by the various ministries and by the factories and establishments themselves
for their own employees. The Figures in Table XIII below illustrate this trend. The
construction by ministries and establishments increased from 12% in 1956 to 28% in
1958 and shows a further tendency to increase.
Table XIII
Decrease of number of rooms built by Administration of Workers Settlements Construction (DBOR)
DBOR built in 1958 total 94,859 rooms
of which for Peoples Councils 85,501 it
As contractor for m:nistries. 7,901 It
if for state enterprises 897 "
11 for cooperatives 560 "
The increase of construction by ministries and working establishments for the non-
agricultural population in 1958 share in the total amount of public construction:
in 1956 18,900
1957 34,200
1958 54,ooo
rooms i.e. 12%
17%
11 11 11 28%
j. Recently there is a new tendency to obtain new rooms by capital repairs and re-
construction of old apartment houses. Table XII shows that the following number of new
rooms was obtained by repairs, division of old apartments, by building partition walls)
etc: in 1957 1+,500 and in 1958 - 14, 6o0 rooms.
Summing up the new trends in housing construction the following tendencies
can be underlined:
a. The increase of the number of rooms built in absolute figures.
b. The increase of the share of housing construction in investments of the national
economy.
c. The housing construction by the state increases relatively less than the total
housing construction.
e. A strong increase of construction from own means of the population with the aid
of state credits.
f. Stabilization and even decreases of housing construction without credits by the
non-agricultural population.
g. Housing construction by own means of the agricultural population is increasing
at the same rate as the total housing construction, i.e. at a medium pace.
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b9 LFi tf ".~
h. The increase of credits given by the state.
i. The increase of housing construction from state allocated funds by the ministries
and establishments and factories, at the same time decrease of construction
by ZOR.
j. A tendency for obtaining new rooms by repairs, reconstructions and adaptation of
old apartment houses.
The difficulties encountered'by the new housing construction policy and its
chances for success are described in detail in No. 6 of this series of reports.
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