SINO-SOVIET BLOC ECONOMIC ACTIVITIES IN UNDERDEVELOPED AREAS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP92B01090R000700020045-0
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 10
• Document Creation Date: December 16, 2016
• Document Release Date: August 3, 2005
• Sequence Number: 45
• Publication Date: September 24, 1962
• Content Type: REPORT

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a Co 'TO 399
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BIWEEKLY REPORT
SINO - SOVIET BLOC
ECONOMIC ACTIVITIES
IN UNDERDEVELOPED AREAS
EIC WGR 1/173
24 September 1962
PREPARED BY THE WORKING GROUP
ON SINO-SOVIET BLOC ECONOMIC ACTIVITIES
IN UNDERDEVELOPED AREAS
SECRET
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Summary of Events*
7-20 September 1962
Soviet ships carrying military cargo for Cuba continue to depart
almost daily from the USSR. Much of the current cargo appears to be
equipment bound for probable new SAM sites in eastern Cuba. One
MIG-21 has already been assembled at Santa Clara Airfield, and there
are indications that as many as 12 of these aircraft will be located at
Santa Clara. In addition to the previously reported SAM sites, a
coastal-defense missile site having a range of 30 nautical miles is
being constructed near Banes in Oriente Province. Large quantities
of military transportation equipment also are being delivered. The
total number of Soviet personnel in Cuba associated with the current
influx of military equipment is expected soon to reach 4, 000 persons.
Under secret protocols to the 1961 Soviet-Iraqi arms agreement,
the USSR during 1962 and 1963 will equip Iraq with surface-to-air, air-
to-air, and wire-guided antitank missiles and launchers. Iraq is to re-
ceive 5 ''combat'' batteries (presumably implying a total of 30 launchers)
of surface-to-air missiles, 160 air-to-air missiles, and 84 launchers
for the 972 antitank missiles that ultimately will be delivered.
In recent months, criticism by Ghana's military leaders of the train-
ing program for Ghanaian army cadets in the USSR has increased, and
Ghana reportedly now has decided to withdraw 46 of the 71 army cadets
sent to the USSR for training last fall.
According to an aid agreement concluded between Burma and the
USSR on 30 August, the USSR will provide a credit of $3. 9 million for
the construction of the Kyetmauktaung irrigation dam, which is sched-
uled for completion in 4 years.
On 15 September, Ceylon and Communist China concluded their third
5-year trade and payments agreement, according to which Communist
An unclassified table summarizing Bloc economic credits and grants
to underdeveloped countries from 1954 through mid-1962 is included in
this issue on p. 6.
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China will purchase 33, 000 metric tons of Ceylon's rubber and Ceylon
will purchase 200, 000 tons of rice from Communist China.
On 9 August, Ceylon and the USSR signed an agreement that pro-
vides for the extension of the 1958 technical aid agreement between
the two countries for a 5-year period beginning in May 1963. Six of
the 16 projects originally scheduled under the 1958 agreement have
been withdrawn, and 2 or 3 other projects also are expected to be
canceled.
As an expression of its dissatisfaction with US policy in Laos and
Cambodia, the Thai Government, which has yet to conclude any trade
agreements with the Bloc, has recently authorized the opening of trade
discussions with the USSR.
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CONTENTS
Page
I. Latin America . . . . . . . . . . . . . . . . . . 1
Continuing Soviet Military Shipments to Cuba . . . . . 1
II. Middle East . . . . . . . . . . . . . . . . . . . 2
Soviet Missiles for Iraq . . . . . . . . . . . . . . 2
III. Africa . . . . . . . . . . . . . . . . . . . . . . 3
Withdrawal of Some Ghanaian Army Cadets
from the USSR . . . . . . . . . . . . . . . . . . 3
IV. Asia . . . . . . . . . . . . . . . . . . . . . . . 3
A. Soviet Aid for Burmese Irrigation Project . . . . 3
B. Ceylon . . . . . . . . . . . . . . . . . . . . 3
1. Renewal of 5-Year Rubber-Rice Trade Pact
Between Ceylon and Communist China . . . 3
2. Renewal of Soviet Aid Agreement to Ceylon 4
C. Authorization of Thai Trade Talks with the USSR . 4
Sino-Soviet Bloc Economic Credits and Grants to Under-
developed Countries of the Free World, 1 January 1954 -
30 June 1962 . . . . . . . . . . . . . . . . . . . . 6
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Photograph
Following Page;
Leningrad, USSR: Soviet Materiel Awaiting Ship-
ment to Cuba . . . . . . . . . . . . . . . .
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Next 5 Page(s) In Document Exempt
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Sino-Soviet Bloc Economic Credits and Grants
to Underdeveloped Countries of the Free World a/
1 January 1954 - 30 June 1962
Million Current US $
Area and Country
Extended
Drawn
4,904
1,208
Argentina
104
36
Bolivia
2
0
Brazil
4
4
Cuba
457
40
Middle East
1 , 133
368
Cyprus
1
0
Iran
6
6
Iraq
216
32
Syrian Arab Republic
178
65
Turkey
17
15
United Arab Republic
(Egypt)
671
221
Yemen
44
29
86
Ethiopia
114
6
Ghana
200
15
Guinea
125
45
Mali
100
20
Morocco
5
0
Somali Republic
63
0
Sudan
25
0
Tunisia
46
0
a. Not including military credits and grants.
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Sino-Soviet Bloc Economic Credits and Grants
to Underdeveloped Countries of the Free World
1 January 1954 - 30 June 1962
(Continued)
Million Current US $
Area and Country
2,
410
558
Afghanistan
515
155
Burma
93
7
Cambodia
65
31
Ceylon
58
6
India
950
224
Indonesia
641
122
Nepal
55
6
Pakistan
33
7
Europe
Iceland
5
5
Yugoslavia
111
ill
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