SINO-SOVIET BLOC ECONOMIC ACTIVITIES IN UNDERDEVELOPED AREAS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP92B01090R000700010020-8
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 6
• Document Creation Date: December 16, 2016
• Document Release Date: August 9, 2005
• Sequence Number: 20
• Publication Date: November 19, 1956
• Content Type: REPORT

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SECRET
BIWEEKLY REPORT
SINO -SOVIET BLOC
ECONOMIC ACTIVITIES
IN UNDERDEVELOPED AREAS
EIC-WGR-1 /20
12 November 1956
PREPARED BY THE WORKING GROUP
ON SINO-SOVIET BLOC ECONOMIC ACTIVITIES
IN UNDERDEVELOPED AREAS
SECRET
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15t
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WARNING
THIS MATERIAL CONTAINS INFORMATION AFFECT-
ING THE NATIONAL DEFENSE OF THE UNITED STATES
WITHIN THE MEANING OF THE ESPIONAGE LAWS,
TITLE 18, USC, SECTIONS 793 AND 794, THE TRANSMIS-
SION OR REVELATION OF WHICH IN ANY MANNER TO
AN UNAUTHORIZED PERSON IS PROHIBITED BY LAW.
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SINO-SOVIET BLOC ECONOMIC ACTIVITIES
IN UNDERDEVELOPED AREAS
Summary of Events, 23 October-5 November 1956.
The most significant features of the Sino-Soviet Bloc effort to
expand economic relations with the Free World during the period
23 October-5 November 1956 were the arrival of 17 MIG aircraft
at airfields in Afghanistan and the signing of contracts valued at
US $35 million between Afghanistan and the USSR for the construc-
tion of improved highway and river. port connections between the
two countries.
Other significant features of the Sino-Soviet Bloc economic drive
include the following:
1. India has ordered 650 broad-gauge railroad car
undercarriages valued at over $4 million from Poland but has
canceled an order for IL-14 transport aircraft from the USSR.
2. Cambodia authorized a total of $8. 6 million in trade
with Communist China.during the period 16 June - 16 September 1956.
3. Sino-Soviet Bloc trade (excluding arms) with Egypt
during the first 7 months of 1956 increased significantly over 1955
trade levels, whereas Bloc trade with Turkey declined. Turkey
has a large trade surplus with the Bloc, however, and is expected
to increase trade with the Bloc during the remainder of 1956.
4. Sino-Soviet Bloc trade with Mexico, the Dominican
Republic, and Cuba is increasing during 1956, but a UN official
indicates that Latin America, in general, is reluctant to accept
Bloc technical assistance even through the UN.
5. Yugoslavia signed a trade and payments agreement with
Rumania and announced that negotiations for the purchase of $5 mil-
lion of agricultural machinery from the USSR during 1957 will begin
soon.
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S-E-CmR-E-T
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CONTENTS
A. Afghanistan . . . . . . . . . . . . . . .
1. Bloc Military Equipment
2. Soviet Construction of Transport
Facilities . . . . . . . . . . . . . . .
3. Plans for Czechoslovak-Financed Cement
Plant . . . . . . . . . . . . . . . . .
Page
1. Orders of Polish Railroad Equipment . . . 4
2. Cancellation of Order for Soviet Transport
Planes . . . . . . . . . . . . . . . . 4
III. Far East (Cambodia) . . . . . . ? . . . . . . . . 5
IV. Middle East . . . . . . . . . . . . . . . 6
A. Egypt's Trade with the Bloc . . . . . . . . . 6
B. Soviet Bloc Economic Relations with Turkey . . 7
A. Increase of Sino-Soviet Bloc Trade '.
with Mexico . . . . . . . . . . . . . . . . 8
B. Dominican Republic Trade with the Sino-Soviet
Bloc . . . . . . . . . . . . . . . . . . . 9
C. Czechoslovak Negotiations for Construction
Projects in Cuba . . . . . . . . . . . . 9
D. Position of Latin American Countries
on Acceptance of Soviet-Sponsored
UN Technical Assistance . . . . . . . . . . 10
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VI. Western Europe (Yugoslavia) . . o . . . . . 10
1. Trade Agreement with Rumania . . . . . . . 10
2. Soviet Investment Credit . . . . . . . . . . 11
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