USSR: END OF JULY PROSPECTS FOR GRAIN PRODUCTION AND TRADE

Document Type: 
Collection: 
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP86T00608R000500160005-6
Release Decision: 
RIPPUB
Original Classification: 
C
Document Page Count: 
13
Document Creation Date: 
December 9, 2016
Document Release Date: 
August 2, 2000
Sequence Number: 
5
Case Number: 
Publication Date: 
July 25, 1975
Content Type: 
REPORT
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PDF icon CIA-RDP86T00608R000500160005-6.pdf478.82 KB
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C h,~ ~ E R I B" ' 7 ~ - O ~pproved For. Rel ~~Od/0~1f~ i IA-R~,'00608R000500160005-6 USSR: End of July ''Prospects ,for Approved For Release,2000/09/14 :CIA-RDP86T00608R000 00160005-6 ~onfidentiial USSR: End of July Pro~~ectr for Grin Production and' 7'rad~p Confidential ER IB 75-5 25 July 1975 Copy ~ ~ ~ ~ 4 Approved For Release 2000/09/14 :CIA-RDP86T00608R000500160005-6 Approved For Release 2000/09/14 :CIA-RDP86T00608R000500160005-6 NATIONAL SECURITY IIJFORMATION Unauthorized Disclosure Subject to Criminal Sanctions Claulfled by 013919 Exempt from General Declaulflcation Schedule of E,~. 11632, axsmptlon cateporyi ?SB(1), (2), and ~3) /tufomallcallyy declauL~ed on: dote )mpoeelble fo dshrm)ne Approved For Release 2000/09/14 :CIA-RDP86T00608R000500160005-6 Approved For Release 2000/09/~4 y~~C~1~4~RDP86T00608R000500160005-6 U5SR: CND O~ JULY 1'ROSPCCTS fF~R GRAIN I'RODUCfIC~N AND TRADC 1. Crop prospects hove been cut sharply by continuation of a severe drought in most of the USSR's spring brain area. We now estimate total grain production at 185 milr~on metric tons, 15 million tons below our end-of-June forecast. 2. Cvcn at this date, the cstinultc is not certain. Unless the drought breaks, the outlook for late maturing crops, such as corn, could worsen further. 3. A crop of 185 million tons is some 25 million tons below projected ro~luircmcnts I'or uomestic use and export. The Soviets have negotiated in recent weeks to buy 14-1/2 million tons of grain and may come back for more later. T'irey are unlikely, however, to meet their entire grain deficit from imports, Cvcn though they would have no difficulty linancing whatever purchases they choose to make. Other means of filling the deficit include some slaughtering of livestock, and reduction in feed rations, although the continued high priority of consumer programs probably precludes any large cuts in domestic demand for grain. More likely would be drawdowns in stocks. 4. Crowing conditions in the USSR's grain land have deteriorated during the past twc months, sharply reducing the size of this year's crop and prompting the Soviets to buy large quantities of brain. This publication uses weather data through 22 July and available collatcra{ information to describe current crop conditions, to update earlier estimates of the size of th; Soviet grain crop, and to discuss recent Soviet grain-buying activity. Note.: This publication was prepared by the Office of lconomic Research. It 25X1A i.:~corporatcs materials and analysis supplied by the i/nvironment Analysis Staff' of the Office of Geographic and Cartographic Research. Comments and queries 25X1A9a regarding this publication are welcomed and may be dire~,cd ?o of the Office of Economic Research, Code 143, Extension 5107. Confidential 26 July 1976 Approved For Release 2000/09/14 :CIA-RDP86T00608R000500160005-6 Conf do t1~1 Approved For Release 2000/09/14 : G~I~-RDP86T00608R000500160005-6 Status of tl~c Crop 5. Weather during J~anc and the Grst three weeks of July has been unusually dry. Scvcrc drought persisted in the central portion of the iJSSR -the Volga ~/alley, soutlicrn Urals, and parts of nortltcrn Kazakhstan -and spread into parts of the northeastern Caucasus, the southern and eastern Ukraine, and northern Kazakhstan (sec the map). Winter Grains 6. We estimate winter grain production at about 67 million tons, somewhat ]x;low our earlier 70 million ton prediction. Crop conditions remain good in much of the winter grain lands. In June, however, soil moisture in regions on the western edge of the drought-stricken Volga Valley, where winter grains are grown, became critically low. Although the crop was near maturity, yields suf!'ercd. Nevertheless, our current forecast remains 3-1 /2 million to7s above the previuus record reached in 1973 because of the large acreage sawn and very favorable winter weather, which minimized winterkill. Spring Grains 7. Crop conditions Dave sharply deteriorated in most of the spring grain area since June. During the first ten days of July, about an inch of rain fell in the southern and eastern Ukraine -important corn producing areas -and in parts of the Volga Valley. The subsequent return of abnormally high temperatures and low humidity, however, quickly reduced soil moisture to previous critically low levels. In addition, the affected area moved farther east into northern Kazakhstan. During the second decade of July, rain fell in the important spring grain areas north of the Volga Valley, marginally improving crop prospects in these regions. 8. In central Siberia, w}ticlt usually accounts for about 15% of all spring gains, recent dryness may have helped rather than hurt the crop. A wet spring had delayed sowing in this area, and the Higher than normal temperatures during early July, while not seriously reducing soil moisture, accelerated crop development and thus reduced the risk of major losses from early frosts. 9. On balance, however, the drought has dr~istically cut the spring grain crop. This spring and summer have been tine driest since 1963 and 1965, when the USSR's two worst crop failures occurred. Cumulative precipitation since the Approved For Release 2000/09/~~f~Q~~l-RDP86T00608R000500160005-6 Confidontlal Approved For Release 2000/09/14 :CIA-RDP86T00608R000500160005-6 .,f :,~~~~ ~'~:'ur1~, ..,.f ~;.,.,~ (:anl~L~ru:,~,,, rr11V 1 CK :~A~ ~. '" `p~((V~~F111r~7 III:i:il;l ~ 6 /?~ ,.. GRAINS ~?,.~~~.~._.