ECONOMIC CONDITIONS IN THE EUROPEAN SATELLITES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79-01093A000800060001-4
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 201
• Document Creation Date: November 9, 2016
• Document Release Date: March 1, 1999
• Sequence Number: 1
• Publication Date: February 11, 1955
• Content Type: IR

US OFFICIALS ONLY
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1 4
PROVISIONAL INTELLIGENCE REPORT
ECONOMIC CONDITIONS
IN THE EUROPEAN SATELLITES
;10
-
001-4
CIA/RR PR-99 DOCUMENT NO
NO CHANGE IN CLASS. 0
11 February 1955 0 DECLASSIFIED
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AUTH:i nAHR 70.2
DATE: 7FiEVIEWER. 006514
CENTRAL INTELLIGENCE AGENCY
OFFICE OF RESEARCH AND REPORTS
US OFFICIALS ONLY
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WARNING
This material contains information affecting
the National Defense of the United States
within the meaning of the espionage laws,
Title USC, Secs. 793 and 794, the trans-
mission 0'7 revelation of which in any manner
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CONFIDENTIAL
US OFFICIALS ONLY
PROVISIONAL INTELLIGENCE REPORT
ECONOMIC CONDITIONS IN THE EUROPEAN SA1ELLI1ES
CIA/RR ER-99
(ORR Project 10.140A)
NOTICE
The data and conclusions contained in this report
do not necessarily represent the final position of
ORB and should be regarded as provisional only and
subject to revision. Comments and data which may
be available to the user are solicited.
CENTRAL INTELLIGENCE AGENCY
Office of Research and Reports
US OFFICIALS ONLY
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tWEIVTIAL
01.4600.46161.
FOREWORD
In this report, emphasis has been placed on economic phenomena
which reveal Satellite capabilities and intentions in the economic
sphere. Particular attention has been paid to the revised economic
plans in the Satellite countries -- the so-called "new course."
In addition, a detailed analysis of the growth of gross national
product, industrial production, agriculture, consumer welfare,
population, and foreign trade has been presented. The estimates
of gross national product, perhaps better than any other single
measure, reveal the direction and scale of economic growth in the
European Satellites, while more detailed insight into Satellite
capabilities may be derived from study of industrial production
and agriculture -- commodity by commodity, and industry by in-
dustry.
The projections of gross national product to mid-1956 wets made
on the assumption that there will not be general War within the
period of the estimate. Statistics through 1953 used in Sections III,
IV, V, VI, and VII are estimates of the past, whereas data for
1954-56 are projections of past data. The term "European Satellites"
as used in this report includes Albania, Bulgaria, Czechoslovakia,
East Germany, Hungary, Poland, and Rumania.
4.1!stierrt
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CONTENTS
Summary
I. Soviet Control over the Satellite Economies
Page
1
4
A. Introduction 4
B. Direct Control by Soviet Agencies
or Representatives .14
C. Control through CEMA 7
II. Revision of Economic Policies and Plans
A. Introduction
B. Policy Revisions
11
11
13
1.
Industrialization
13
2.
Investment
13
3.
Agriculture
1/$
4.
Scale of Living
15
5.
Trade
15
C.
Plan Revisions
15
1.
Summary of Plan Revisions
16
a. Production Plans
16
b. Investment Plans
18
2.
Plan Revisions
18
a. Bulgaria
18
(1) Industrial Production Plans
18
(2) Investment Plans
19
(3) National Budget
21
b. Czechoslovakia
22
(1) Industrial Production Plans
22
(2) Investment Plans
214
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3) 4ational Budget . .
04) latizinal Income .
c. iast Germany ? ******* ?
(1) _ndustrial Production Plans .?
(2) I nvestment, Budget, and Income
fiunw:ry . . . . ......
(1)-industrial Production Plans ? ?
(2) investment Plans . ? ? ? ? 4
e. Poland , A a ? ? 10 ? a ? a a ? e
(1) Froduction Plans
a a ? a a a 0
(2) Iivestment Plans34
.
.
fa31.
?
a
?
?
?
4
.
0
4
.
a
25
26
26
26
29
29
29
32
32
f. Rumania . a . . . . . .?...
? ? . 4
(1) Ildustrial Production Plans35
(2) Ilvestment Plans36
III. Gross National Proltuct
4
,
4
.
?
.
38
A.
Introduction
.
38
B.
Gross National Product Estimates
38
1. Trends . . .
38
2, Gross National Product in 1951 US Dollars ?
?
.
.
39
3. Distributicn of Satellite Gross National
Product .
40
4. Projections of Gross National Product,
1954-56 .
.
40
5, Per Capita Gross National Product .. ..
.
?
0
41
6. Gross National Product by Sector of Origin .
a
0
40
43
a. Agricultural Sector . . 0 0 ? ? * 0 ? ?
a
?
A
43
b. Industrial Sector . ? a a
44
c. Transportation and Communications Sector ?
?
.
46
d. Construction Sector . . a
46
vi
alimmt ?????? MN* Nil ?????
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7. Gross National Product Sectors as Percentage
Page
of Total Gross National Product
47
TV.
Production Trends
48
A. Industrial Sector
48
1. Introduction
48
2. Production by Industry Subsectors
48
a.
Energy Industries
48
(1) Trends of Production
48
(2) Distribution of Production of Energy
Products in 1953
49
b.
Metals Industries
50
(1) Trends of Production
50
(2) Distribution of Production of Metals
in 1953
5o
c.
Machinery and Equipment
52
(1) Trends of Production
52
(2) Distribution of Production of Machinery
and Equipment in 1953
52
d.
Chemicals
54
(1) Trends of Production
514
(2) Distribution of Production of Chemicals
in 1953
55
e.
Building Materials
56
(1) Trends of Production
56
(2) Distribution of Production of Building
Materials in 1953
57
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f. Forest Products
(1) Trends of Production
(2) Distribution of Production of Forest
Products in 1953
Page
57
57
57
g. Food Processing Industry
58
(1) Trends of Production
58
(2) Distribution of Production of Processed
Foods in 1953
59
h. Light and Textile Industry
60
(1) Production Indexes
60
(2) Distribution of Production of Light
and Textile Products in 1953 . ? ? ?
61
B. Agricultural Sector
62
1. Trends of Production
62
a. Industrial Crops .
62
b. Livestock Numbers and Food Crops
62
2. Distribution of Production
64
Consumer Welfare
66
A. Introduction
66
B. Availability of Agricultural Commodities
67
1. Per Capita Consumption of Food . ?
?
67
2. Per Capita Production and Trade
69
C. Per Capita Production of Manufactured Consumer
Goods
71
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VI.
?prima?ii,..PEar""?*
Population
Page
73
A. Summary
73?
B. Total Population
73
C. Population by Age Group
75
D. Labor Force
78
1. Nonagricultural Labor Force. . .......
80
2. Agricultural Labor Force
891
VII.
Foreign Trade
84
A. Introduction ? ? ......
84
B. Value of Imports and Exports
C. Area Pattern of Trade
85
1. Geographic Distribution of Total Trade . .
.
?
.
85
2. Geographic Distribution of East-West Trade
.
i
0
86
3. Geographic Distribution of Trade
within the Soviet Bloc . .... ? ? ?
?
?
?
88
D. Commodity Composition of Trade
91
1. Composition of Trade with Soviet Bloc
Countries
91
2. Composition of Trade with the West
96
E. Foreign Trade Administration and Policies
96
1. Administration and Coordination of Trade
Policies
96
2. Revision of Trade Policies
97
3. Price Policy in Soviet-Satellite Trade
99
ARendixes
A. Statistical Tables 101
B. 'Methodology 155
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C. Gaps in IntelligencP ? ? ? ? ? ? ? O ........ ... 159
D. Sources and Eyaluation of Sources 161
Tables
1. Officially Announced Ahnual Rates of Increase
in Industrial Production in the European Satellites,
1952, 1953, and 1954 Plan 17
2. Indexes of Planned Industrial Production in Bulgaria,
1957 19
3. Investment by the State and by Production Enterprises
in Bulgaria, 1953-54 1 20
4. Indexes of Planned Capital Investment in Bulgaria,
Second Five Year Plan, 1953-57 ? ? . ? 4, ? ? ? ? ? ? ? 21
5. Planned National Budget of Bulgaria, 1953 and 1954 ? ? ? 22
6. Planned Increases in Production of Selected Commodities
in Czechoslovakia, 1954 over 1953 . .. . -. 23
7. Planned State Budgetary Investment in Czechoslovakia,
1953,54 24
8. Planned National Budget of Czechoslovakia, 1953-54 . 25
9. Original and Revised Plans for Industrial Production
in East Germany, 1953 ? a ...... ? ? ? ? ? ? 0 27
10. Reported and Planned Rate of Increase aver Previous
Years in Industrial Production in East Germany,
1952-53 28
11. Planned Investment in East Germany, 1953-55 . ? ? ? 29
12, Annual Rate of Increase in Industrial Production
in Hungary, 1951-54 30
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1.2.82
13. Proportion of State Investment in Agriculture
in Hungary, 1951-54 32
14. Officially Announced Rtes of Increase in Industrial
and Agricultural Production in Poland, 1952-55 4 4 . . 33
15. Planned Increase in Production of Selected Consumer
Goods in Poland, 1955 over 1253 34
16. Selected Indexes of Planned Investment in Poland,
1955 35
17. Allocation of Rumanian State Investment under the Five
Year Plan, 1950-54 36
18. Indexes of Gross National Product of the European
Satellites, 1938 and 1948-53 39
194 Gross National Product of the European Satellites,
1954-56 41
20. Per Capita Gross National Product of the European
Satellites, 1938 and 1948-53 42
21. Agricultural Sector Indexes of the European Satellites,
1938 and 1948-53 43
22. Industrial Sector Indexes ofthe European Satellites,
1938 and 1948-53 44
23. Producer and Consumer Goods Indexes of the European
Satellites, 1938 and 1948-53 45
24. Transportation and Communications Sector Indexes
of the European Satellites, 1938 and 194843 46
25. Construction Sector Indexes of the European Satellite,
1938 and 194843 47
26. Distribution of Production of Selected Energy Products
in the European Satellites, 1953 49
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OM= MOM .1?1? ??????
27. Distribution of Production of Selected Metals in
in the European Satellites, 1953 51
28. Distribution of Production of Selected Machinery
and Equipment in the European Satellites, 1953 54
29. Distribution of Production of Selected Chemicals
in the European Satellites, 1953 56
30. Distribution of Production of Forest Products
in the European Satellites, 1953 58
31. Distribution of Production of Selected Processed Foods
in the European Satellites, 1953 60
32. Distribution of Production of Light and Textile Industries
in the European Satellites, 1953 61
33. Indexes of Industrial Crop Production in the European
Satellites, 1938 and 1948-53 . . . 63
34. Indexes of Livestock Numbers and Food Crops
in the European Satellites, 1938 and 1948-53 63
35. Distribution of Livestock Numbers and Production
of Selected Crops in the European Satellites,
1938 and 1953 64
36. Average Daily Per Capita Caloric Consumption of Food
in the European Satellites, Prewar, 1951/52, 1952/53,
and 1953/54 6G
37. Indexes of per Capita Production of Agricultural
Commodities in the European Satellites, 1938
and 1948-53 . 70
38. Indexes of For Capita Production of Manufactured Consumer
Goods in the European Satellites, 1938 and 19148-S3.. ? ? 72
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39. Indexes of Per Capita Production of Light and Textile
Industry in the European Satellites, 1938 and 1948-
53 72
40. Population of the European Satellites, 1938 and 1948-
56 74
41. Indexes of Population of the European Satellites by Age
Group, 1950, 1955, and 1960 76
42. Distribution of Population of the European Satellites
by Age Group, 1950, 1955, and 1960 77
43. Labor Force of the European Satellites, 1948-56 79
44. Labor Force of the European Satellites in Relation
to Total Population, 1948-56 . . . . 80
Nonagricultural Labor Force of the European Satellites,
1948-56 81
45.
46. Nonagricultural Labor Force of the European Satellites
in Relation to Total Labor Force, 1948-56 82
47. Agricultural Labor Force of the European Satellites,
1948-56 .. . . 83
48. Distribution of Trade of the European Satellites,
1951 85
49. Geographic Distribution of Trade of Individual European
Satellites with the West, 1948 and 1953 87
50. Geographic Distribution of Trade of Individual European
Satellites with Other Soviet Bloc Countries, 1936-38
and 1951 89
51. Commodity Composition of European Satellite Trade . . . 92
52. Extent of Socialized Sectors of Agriculture, European
Satellites, Selected letars, 1949-54
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LeAt
53. Gross National Product of the European Satellites,
1938 and 1948-53 0 ? ? ? OOOOO 104
54. Distribution of Gross National Product of the European
Satellites by Sector of Origin, 1938 and 1948-53 ? ? ? 6 105
S. Indexes of Industry Subsectors of the European Satellites,
1938 and 1948-53 0 ? ? OOOOO 107
56. Production of Selected Energy Products in the European
Satellites in 1953 and Percentage Increabes in Pro.
duction, 1953 aver 1952 ? ? ? ? ? . 0 0 ? ? ? OOOO 110
57. Comparison of 1953 Production of Selected Energy Products
in the European Satellites and the USSR ? ? ? ? ? ? ? ? 111
58. Production of Metals in the European Satellites in 1953
and Percentage Increases in Production, 1953 over
1952 ? ? ? ? 0 O ? ? ? 111
59. Comparison of 1953 Production of Selected Metals
in the European Satellites and the USSR . ? OO 6 OO 113
60. Production of Selected Machinery and Equipment Products
in the European Satellites in 1953 and Percentage
Increases in Production21953 over 1952 4 ? ? ? 9 ? ? ? ? 113
61. Comparison of 1953 Production of Selected Machinery
and Equipment in the European Satellites and in
the USSR 116
62. Production of Selected Chemicals in the European
Satellites in 1953 and Percentage Increases in Pro-
duction, 1953 over 1952 ? ? ? . ? ? ? OOOOO ? .. 116
63. Comparison of 1953 Production of Selected Chemicals
in the European Satellites and in the USSR 119
64. Production of Selected Building Materials in the European
Satellites in 1953 and Percentage Increases in Pro..
auction, 1953 over 1952 ? ? ? ? OOOOOOOOOO?? 120
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65. Production of Selected Forest Products in the European
Satellites in 1953 and Percentage Increases in Pro-
duction, 1953 over 1952 121
66. Production of Selected Processed Foods in the European
Satellites in 1953 and Percentage Increases in Pro-
duction, 1953 over 1952 .? ? . 121
67. Comparison of 1953 Production of Selected Processed Foods
in the European Satellites and in the USSR ? ? ? ? ? ?? 122
68. Production of Selected Light and Textile Industiy
Products in the European Satellites in 1953 and Per-
centage Increases in Production, 1953 over 1952 ? . . 123
69. Comparison of Production of Selected Light and Textile
Industries in the European Satellites and in the USSR,
1953 . ? 1214
70. Indexes of Agricultural Production of the European
Satellites, 1938 and 1948-53 ? ? ? ? ? ? -? ? ? ? ? ? . 124
71. Livestock Numbers and Production of Selected Agricultural
Crops in the European Satellites in 1953 and Percentage
Changes in Production, 1953 over 1952 and 1938 ? ? ? ? 125
72. Comparison of Livestock Numbers and Output of Selected
Agricultural Crops in the European Satellites and in
the USSR, 1953 ? ? ? OOOOO ? O OO ? . ? ? 128
73. Geographic Distribution of Imports of the European
Satellites, 1936-38 Average and 1951 ?? 130
74. Geographic Distribution of Exports of the European
Satellites, 1936-38 Average and 1951 131
75. Trade of the European Satellites with the West, 1948
and 1953 ? ? ? ? ? OOOOOOOO ? . ? ? . ? ? ? ? ?
132
76. Commodity Trade of Bulgaria with the West, 1951
and 1952 134
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MOM IMO mM, .1?0 ????
77.
Commodity Trade of Czechoslovakia with the West,
Page
1951 and 1952 . . .. .. a ? a ............
135
78.
Commodity Trade of East Germany with the West,
1951 and 1952 . ? ? ? ? ? 0 ? ? ............
1142
79.
Commodity Trade of Hungary with the West, 1951
and 1952 0 .. .... 4P ? 8
147
80.
Commodity Trade of Poland with the West, 1951
and 1952
0
?
*
isi
81.
Commodity Trade of Rumania with the Nest, 1951
and 1952 . . . .. ? .. . .........
.
.
153
Charts
Following Page
Figure 1. European Satellites: Officially Announced Annual
Rate of Increase in Industrial Production, 1952,
1953, and 1954 Plan
Figure 2. European aatellites: Annual Rate of Change in
Gross NatiOnal Product, 1950-53
Figure 3. European Satellites: Gross National Product, 1938
and 1953
Figure 4. European Satellites: Distribution of Gross
National Product, 1938 and 1953
4o
4o
Figure 5. European Satellites: Distribution of Gross
National Product by Sector of Origin, 1938 and
1953 44
Figure 6. European Satellites: Indexes of Selected Gross
National Product Sectors, 1953 48
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Figure 7. European Satellites: Indexes of Industry Sub-
sectors, 1938 and 1953 48
Figure 8. European Satellites: Agricultural Sector In-
dexes, 1938, 1951, and 1953 62
Figure 9. European Satellites: Indexes of Average Daily
Per Capita Caloric Consumption of Food, Prewar,
1951/52, 1952/53) and 1953/54
Figure 10. European Satellites: Percentage Distribution of
Population, 1953
Figure IL, European Satellites: Indexes of Agricultural and
Nonagricultural Labor Force, 1948-56
Figure 12. European Satellites: Geographic Distribution of
Trade, 1936-38 Average and 1951
Figure 13. European Satellites: Geographic Distribution of
Trade) 1936-38 Average and 1951 ..... . .
Figure 14. European Satellites: Commodity Composition of
Imports from the West, 1952
Figure 15. European Satellites: Commodity Composition of
Exports to the West, 1952
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74
78
84
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(ORR Project ;10.140A)
ECONOMIC CONDITIONS IN THE EUROPEAN SATELLITES*
Summary
Soviet controlover the European Satellite economies- is firmly
established. Foremost among the control devices are the Satellite
governments, all of which acknowledgethe leadership of Moscow in
formulating broad economic policies. .The Soviet-sponsored-Council -
for Economic Mutual Assistance (CEMA).ie a potential instrument
for the tormUlation and administration, of economic plans. embracing..
both the USSR and the Satellites. Soviet operational control of the
Satellite economies is manifested chiefly through Soviet-owned cor-
porations, Soviet-dominated joint corporations,. and various types..
of-missionS operating within the Satellites. -
In 1953 the economic plans of all the Satellites were revised.
The extent of the revisiOns varied from country to country, but in
most instances they involved some reallocation of resources to
agriculture from industry and to light industry from heavy industry.
Under the revisions, production of consumer goods was to be in- -
creased-appreciably, and a larger proportion of budgetary expen-
ditures was to be devoted to housing and to social and cultural
benefits. Emphasis continued, however, on fuels, power, and metals
production.
The economic policy revisions of 1953 include various measures
for the expansion of agricultural production, especially production
of animal products. The. inducements to peasants to increase their
output. include price., increases and other concessions on compulsory-.
deliveries, tax reductions, increased availability of consumer_
goods, adjustment of peasants debts, and increased amounts offarm
machinery and technical assistance.. A tendency on the part of. some
of the Satellite governments to hold back and Modify the benefits .
promised by these programs is nevertheless 'evident. Moreover,
although some immediate. relief from the pressure for collectivization
* The estimates and conclusions contained. in this report represent
the best judgment of ORR as of 30 September 1954.
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_ _ _ ? ? ?
has been provided, Communist officials have reaffirmed the long-
term goal of complete socialization of agriculture.
The gross national product (GNP) of all the Satellites combined
now approximates 36 percent of that of the USSR. A growth in over-
all Satellite GNP of between 4 and 5 percent per year is expected
through 1956. In 1953, for the first time since the war, the
Satellite GNP attained the level of 1938. The all-Satellite GNP in
1953 was about US $45 billion (in 1951 US $), which represented an
increase of about 5.5 percent over 1952 and about 16 percent over
1950.
The growth of GNP in the European Satellites, however, has been
uneven as among individual countries. In the 3-year period since
19500 East Germany, Bulgaria, and Hungary (in that order) have made
the largest gains in GNP, while Czechoslovakia and Poland show rather
small increases. In 1953 the East German GNP was still an estimated
13 percent below the 1938 level, whereas the GNP of Poland and Runania
approximated the prewar level, and the GNP of Bulgaria, Hungary, and
Czechoslovakia materially exceeded it.
An analysis of GNP by sector of origin shows the emphasis which the
European Satellites have placed on, development of industry, transporta-
tion and communications, and construction. For the countries as a group,
the output originating in these sectors has increased by about one-third
sinte 1950, while the output of the agriculture, services, and trade sec-
tors has changed only slightly. Output of agricultural commodities in the
European Satellites not only has failed to recover to prewar levels but
declined from 1951 to 1952 and, to a lesser extent, from 1952 to 1953.
It is not expected that the increased investment in agriculture and the
incentives offered to the individual peasants will greatly affect agri-
cultural output by mid-1956.
Within the industrial sectors, the European Satellites made Im-
portant gains from 1952 to 1953 in the production of energy, metals,
machinery and equipment, chemicals, building materials, and light
and textile products. Output of forest products declined in four
of the countries while increasing in three, and food processing
declined from 1952 to 1953 for the countries as a group. The northern
Satellites (Czechoslovakia, East Germany, and Poland) predominate
in the production of most types of industrial goods. Satellite
production of synthetic petroleum, lignite, and brown coal is sub-
stantially greater than that of the USSR, while the output of
electric power and hard coal (bituminous coal and anthracite) is
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about one-half that of the USSR. The Satellites make important con-
tributions to total Soviet Bloc output of refined lead, antimony,
electric motors, metalworking machinery, railway equipment and trac-
tors, various basic chemicals, and cement and bricks.
The per capita production of consumer goods in the European
Satellites has remained for the most part below prewar levels. Per
capita food consumption in calories, a significant indicator of con-
sumer welfare, is expected to equal prewar level in the year ending
30 June 1954 only in the case of Poland. The estimated decline from
prewar levels in the other countries ranges up to about one-sixth
for Rumania and East Germany. On the other hand, a significant gain
in per capita food consumption is expected from 1952-53 to 1953-54 --
a gain which would generally restore the food consumption levels
of 1951-52. The consumer in the Satellites has, however, suffered
a qualitative reduction in his diet compared with prewar standards,
with grain products and potatoes being substituted to some extent
for meat, fats, and oils. In the case of manufactured consumer
goods, important increases in production were achieved throughout
the period 1948-53 in Bulgaria, East Germany, Hungary, and Rumania.
Per capita production of such goods has leveled off or declined
slightly in Czechoslovakia and Poland, the two countries which
reached their prewar outputs most rapidly after the war.
? The population of the Satellites, which has been increasing at
an annual rate of from 0.5 to 1 percent during the past several
years, amounted to 92 million persons in 1953. This is 43 percent
of the population of the USSR. Continued increases of about 1
million persons per year are expected through 1956. The proportion
of the total population in the age group from 15 to 59 is expected
to decline in the near future, and the effect should be to place
a limit on expansion of the labor force. Nevertheless, some growth
in the labor force is likely. This will come about with increased
employment of women and the drawing of a larger percentage of the
population into the labor force. It is estimated that the labor
force in 1956 will have increased to some 44.7 million from about
43 million persons in 1953.
The foreign trade orientation of the European Satellites has
been increasingly in the direction of the USSR. Satellite trade
with Western countries declined from more than four-fifths of the
total before the war to less than one-third of the total in 1951
and 1952. During the same period, their trade with the USSR
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increased from 1 percent to 34 percent of the total. Czechoslovakia,
Poland, and; to an increasing extent; East Germany rank next to the
USSR as trading partners of the individual Satellites. Trade with
Communist China has increased greatly during the past 3 years but
is still a small fraction of the total trade. As part of the re-
vised economic policy, the Satellites have announced their intention
to expand trade not only with other Soviet Bloc countries but also
with the West.
I. Soviet Control over the Satellite Economies,
A. Introduction.
Basically, Soviet control over the European Satellites
rests on military power and on the World War II and postwar occupation
of these countries by Soviet forces. Military occupation,made it
possible for the USSR either to set up puppet governments or to in-
sure the dominance of Communist parties in the leftist coalitions
that took over government functions and paved the way to the even-
tual establishment in all of the Bloc countries of governments on
the Soviet pattern. The relationship of these governments to the
local Communist Party organizations, and the subordination of these
Satellite parties to the Communist Party of the USSR is undoubtedly
an instrument for achieving some degree of unity and coherence
among the economic plans of the individual Satellites and suggests
that the recent changes in Satellite economic policies were sanc-
tioned, if not initiated, by the USSR.
Within the economic sphere, Soviet control of the Satellites
is exercised chiefly through Soviet agencies or representatives
operating within the countries and through the Soviet-dominated
Council for Economic Mutual Assistance. These two methods are dis-
cussed'in the following sections.
B. Direct Control by Soviet Agencies or Representatives.
Several categories of Soviet personnel with control func-
tions are or have been operating in the Satellites. One category
consists of persons who are nominally attached to a Soviet albassy
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and who generally stay in a country for an extended period of time.
For example, there are Soviet economic and commercial missions or
trade delegations, which maintain close liaison with the Satellite
foreign trade and production ministries and, in some instances,
with their Soviet counterparts in the Soviet property administration
in the particular country. A sharp distinction cannot always be
made between Soviet personnel in such missions and another category
consisting of "advisers" on more or less temporary assignments, who
may enter the country for only a few days or Weeks for "cultural"
or propaganda purposes.
A related category is represented by Soviet inspectors, who
check Satellite production for conformity with Soviet specifications
regarding quality, quantity, and delivery schedules. The Soviet
military missions in the Satellites have special sections for in.
of military equipment produced for the USSR. In Hungary,
according to one source, a permanent contingent of 10 to 15 Soviet
inspectors is assigned to each factory producing military items. 1/4
It is not clear whether their responsibility "for the proper manu-
facture and the prompt delivery of the products" involves functions
of management as well as inspection.
Another method of control is through direct ownership of
property, complete or partial. The USSR acquired property holdings
in the Satellites by various means. Apart from the widespread dis--
mantling And removal of plant facilities and other property to the
USSR after thewar, many Soviet-owned enterprises and Soviet-
Satellite "joint corporations" were formed. The extent of such
activities was due in part to a distorted interpretation by the
Soviet authorities of what constituted former enemy assets and was
therefore subject to seizure.
Key industrial plants thus came under Soviet ownership or
control, especially in East Germany, Hungary; and Rumania In
Poland, some property in the German area acquired by Poland was
removed to the USSR, and a few large agricultural estates were
taken Over by the USSR to obtain food for the Soviet occupation
forces. No Soviet enterprises or joint companies, however, were
established in that country. In Czechoslovakia, early postwar
Soviet acquisitions were relinquished in 1946, but uranium mines
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were taken over later and apparently are still in Soviet hands.
In recent years the USSR has relinquished ownership and
control of many companies to the Satellite governments, though some-
times with strings attached. This has happened in East Germany,
for example, where some 200 enterprises weolly owned by the USSR
were formed originally and made directly responsible to a central
Soviet organization in 13erlin -- the lidministration of Soviet
Property in Geemany. In 1947, 74 of the less profitable plants were
returned to the East Genlan government, as were 31 in 1950 and 66
in 1952, at which time it was declared that some 33 remained under
Soviet ownership. In August 1953, as a part of the general con-
cessions announced by the USSR after the June 1953 rioting, an agree-
ment was signed, providing, among other things, for the cancellation
of the remaining 430-million-DME (Deutsche Mark East) debt for the
66 Soviet enterprises returned in 1952 and for the return without
compensation, on 1 January 1954, of all those remaining except the
Wismut uranium-mining organization. 2/ The Wismut organization was
supposedly transformed into a joint goviet-East German corporation
at this time, but it is believed that the USSR has retained effective
control of the enterprise and that it will continue to operate as
in the past. 3/
In the case of Hungary, the enterprises acquired by the USSR
as former German assets were sold to Hungary at the time of the ter-
mination of reparations payments by Hungary on 20 January 1953.
Shipments of Hungarian goods over and above those scheduled in trade
agreements were arranged as partial compensation for the plants
purchased. 4/
Ostensibly there is a considerable difference between the
Soviet-owned enterprises and the joint corporations. In practice,
however, Soviet control has been nearly as strong in the latter
type as in the former. In most instances, the chairman of the
board of directors of the joint company has been a national of the
Satellite country, but the general manager has been a Soviet
national who is empowered to negotiate agreements, carry out bank-
ing transactions, and handle personnel and other administrative
matters. These companies have enjoyed broad tax concessions and
high priorities for labor, materials, and equipment. According
to one source, a fixed level of profits has been guaranteed to the
USSR without reference to actual profits. 5/
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? These companies were generally capitalized equally by the
USSR and the Satellite concerned, with the Soviet contribution
typically taking the form of a transfer o: confiscated German assets.
It has not been possible to ascertain whether the USSR actually pro-
vided Soviet-produced capital equipment for these joint companies
or merely transferred or reduced reparations or other obligations of
the Satellite concerned as part of its contributions. There is
evidence that technicians (engineers, workmen, and the like) have
actually been provided, however, and Soviet-produced capital goods
have been provided the Satellites under trade agreements and other
economic protocols.
Precise determination of the extent of control over Satellite
economies through joint companies in Bulgaria, Rumania, and Hungary is
not possible. In Hungary the oil, aluminum, coal, metallurgical, and
machinery industries are controlled to various degrees by the joint
companies. 2/ In Rumania it appears that the oil, metallurgical,
and machinery industries, and through them most of Rumanian heavy
industry are dominated. 18/ There is no information available to
demonstrate that joint companies with the privileges and functions
of such establishments in Hungary and Rumania have been formed in
Czechoslovakia or Poland. Because of the previously mentioned pre-
ferred position of the joint companies, the USSR is in a position
to influence strongly the direction of industrial development within
certain Satellite countries merely by expanding or Changing the out-
put plans of these companies. In addition, if the USSR decides to
reinvest the profits of any of these joint companies, the Satellite
government may be forced to allocate additional capital to these
companies on a matching basis. 2/
C. Control through C.A.
The Council for Economic Mutual Assistance (CEMA, also re-
ferred to as COMECON) is one of the chief mechanisms through which
the USSR exerts control over the Satellite economies. CEMA was
created on 18 January 1949 with the signing of a protocol by-
representatives of the USSR, Czechoslovakia, Hungary, Rumania,
Bulgaria, and Poland. 12/ Albania joined the organization the
following month, and East Germany became a participant in late
1950.
CEMA appears to have been established in part as a Soviet
response to the inauguration of the Marshall Plan for Western
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Europe. Consequently, it has been pictured officially as an instru-
ment for channeling Soviet aid to the "people's democracies" of
Eastern Europe and for promoting cooperation among the "equal"part-
ners of the Soviet Bloc.
Comparatively little specific information about the actual
functioning of CEMA is available. It is in fact difficult to show
that it has an organic position in the Soviet government or has es-
tablished liaison with a particular part of the Soviet government
such as the Foreign Trade Ministry, Foreign Affairs Ministry, or
Gosplan, although some indications point in this last direction.
In any event, CEA does not appear to have become the exclusive
instrumentality for carrying out Soviet policies regarding the
Satellite economies.
The text of the protocol establishing CEMA has never been
made public. According to the information which is available, the
purposes of the organization as set forth in the protocol include
the following 11/:
1. Coordination of the economies of the member
countries within a general' economic plan developed by Council.
2. Supervision of the development of the resources and
industries of the various countries to create a well-balanced whole.
3. Promotion of economic reconstruction in each
country.
4. Expansion of each country's productive capacity by
establishing mixed companies or associations for exploitation of its
resources.
5. Exchange of information and standardization and
improvement of industrial products.
6. Arranging for investments or loans and for assured
sales or products,:
In addition to these sweeping aims, the protocol reportedly
contains a provision to the effect that, beginning in 1950, the
economic plans of the member countries are to be drawn up in con-
formity with the advice of the Council. Furthermore, each country
is required to make available all information necessary to facili-
tate the tasks of observers whom the Council may find it advisable
to send into the country. There is also an obligation to accept
and carry out advice of any counselors and technicians sent by
the Council. 12/
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According to the protocol, CEMA was set up with a Council
and a Secretariat General. The Council, which appears to have be-
come subsequently a Supreme Council assisted by a Subordinate
Council and a Technical Council, 12/ was to meet "whenever neces-
sary" but not less often than every 3 months, each time in a
different country from that of the last meeting. Each country
apparently has sent from I to 4 delegates to the Council (or
Supreme Council) sessions, with the chairman of the country's
economic planning commission heading the delegation. Other dele-
gates may include the planning commission's deputy chairman, the
minister or deputy minister of foreign trade, and an official of
the section of the Communist Party's central committee. The chief
of the delegation from the USSR has been at different times iden-
tified as A.N. Kosygin, A.I. Mikoyan, V.M. Molotov, and M.Z.
Saburov, 112 who are (or have been) leading figures in the Soviet
ministries of foreign trade and foreign affairs and in Gosplan.
The Secretariat General, sometimes referred to as the
Executive Committee, has its permanent seat in Moscow. Each country
Is represented in it by a permanent delegate, who may ostensibly be
attached to the country's diplomatic mission. The identity of these
delegates is uncertain in most instances, although there is some
evidence that they are typically high officials in the respective
planning commissions. 1.W It is presumed that they provide liaison
between CA and the Satellite commissions. 1?1./
Relatively little is known about the composition and opera-
tion of the CEMA Secretariat. According to one source, it includes
some 2,000 "specialists" 1// (presumably excluding clerical workers),
70 percent of whom are nationals of the USSR. The existence of a
group of this size is entirely credible if the Council and its
Secretariat are performing at least some of the functions outlined
in the protocol. It seems likely that the Secretariat does the
staff work for the Council, whose functions were described in the
protocol in rather general terms. There is also evidence that the
Secretariat General is empowered to make major decisions implementing
the protocol; the decisions being subject to ratification by the
Council at its next meeting. Moreover, the protocol specifically
obligates the member governments to send to the Secretariat a de-
tailed monthly report concerning production "and any other documen-
tary material pertinent to the economic and financial situation
of the country." 11/
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The program of standardization of industrial products men-
tioned in the protocol appears to have been partially implemented.
There are also examples of joint industrial projects, which are
apparently inspired and promoted but not administered in detail by
CEMA. 19/ Entire factories with complete equipment have been
transferred from one country to another. .?121/ Czechoslovakia and
Hungary have a coordinated program for pr(-5auction of rolled steel,
21/ Czechoslovakia and Poland have a joint program for aluminum
production ,22/ and Hungary and Rumania have formed a joint company
(ROMAGCHIM) for development of Rumanian natural gas resources. 23/
Some Soviet ,and Satellite spokesmen have stressedCEMAls
efforts in promoting and coordinating intra-Bloc trade. The role
of CEMA in this field is difficult to assess. A Czechoslovak de-
fector has asserted that all foreign trade plans are worked out in
CEMA and that, at least in the case of Czechoslovakia, the plans
have been transmitted to the Czechoslovak State Planning Commission
for implementation. 24/ CEMA may exercise some type of control over
trade, but it seems 7abtfu1 that trade planning has been centralized
to this extent.
It is reported that a decision was reached at the August
1949 meeting of CEMA in Moscow that the member countries should con-
clude long-term trade agreements to provide closer economic ties
with one another. 25/ It is claimed that in this way the resources
of the various countries are made to supplement one another and
the long-range economic development of the countries is facili-
tated. 26/
It seems clear that CEMA has furthered the economic inte-
gration of the Soviet Bloc countries and is a potential instrument
for the formulation and administration of economic plans embracing
both the USSR and the European Satellites. The Satellites have
already adopted the Soviet pattern of economic organization and
Soviet techniques of economic planning and administration, and
there can be little doubt that their economic plans reflect
broad objectives as laid down by the USSR.
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II. Revision of Economic Policies and Plans.*
A. Introduction.
To gain perspective on the reasons for the revision of
economic policies in the European Satellites during 1953, a look
at the economic situation in the preceding period will be useful.
The situation in agriculture throughout the Satellites in 1952
and 1953 was deteriorating rather than improving. Shortages of
meats and fats were severe, and prices of food products were
relatively high. In most of these countries, agricultural pro-
duction in 1952 and 1953 was below the prewar level (or had in-
creased less than population) and was, moreover, lower than during
the two preceding years (see Section IV). The priorities given to
industrial growth had an adverse effect on both the quality and
the size of the agricultural labor force. In view of some of the
measures announced to increase farm output, it also seems clear
that the aggressive policies designed to force the peasants into
collectives had a depressive effect on production. Because of
these and other factors (including weather conditions, which were
not especially favorable in 1952), it was often impossible to
collect the delivery quotas levied on the farmers.
As a result of this poor performance, the Satellites
could not begin to meet their announced goals for increasing the
level of food consumption and the supply of agricultural raw
materials to light industry. A further effect was the limitation
of the quantity of farm products available for export to the West
in exchange for badly needed industrial raw materials and machinery.
Lagging food supplies and housing construction in 1953 continued
to cause widespread dissatisfaction among industrial workers. In
the drive to reach the priority goals of heavy industrial produc-
tion, the Satellites had in general neglected consumer goods and
* The discussion of Satellite economic policies in this section is
based on Satellite official statements, taking account of their
past performance and their expectations for the future. In most
instances the methodology and prices entering the construction of
official Satellite indexes are unspecified, but it is believed that
the trends shown in these indexes are useful indicators of the
direction of economic development. The CIA appraisal of economic
activity is contained in other sections, with indexes based on CIA
estimates of output of selected goods and services.
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services.* The output of such goods and services was limited in
both volume and quality, with consequent bad effects on the morale
of workers.
In the industrial sectors of the economies, continued ex-
pansion was hampered by the difficulties encountered in attaining
planned production of basic raw materials and electric power.
For example, in 1952, East Germany failed to fulfill its produc-
tion plan for bituminous coal g//; Hungary produced about three-
fourths of the planned output Cir coal and of electric power 28/;
and Czechoslovakia failed to reach its goals for iron ore, coal,
electric power, and certain other basic materials. 29/
It should be noted, however, that the seriousness of these
problems varied a good deal from country to country. Because of its
sharp decline in population in World Mar II and its greatly in-
creased industrial production capacity following the postwar boun-
dary changes, Poland, for example, was able to achieve rapid in-
creases in per capita industrial output. The situation in
agriculture was less favorable, although not so serious as in
several other Satellites. Poland's success in achieving its
industrial development plans possibly explains its announcement
of economic policy revisions several months after this was done
in East Germany and Hungary.
During the last half of 1953, revisions of economic policies
were announced in some form by each of the European Satellites as
well as by the USSR. The first Satellite announcement was made
by East Germany on 9 June (8 days before the widespread rioting).
On 4 July, Hungary announced a new economic policy." Revised
economic programs were made public in Albania between 22 June and
8 September, in Rumania on 22 August, in Bulgaria on 8 September,
in Czechoslovakia on 15 September, and in Poland on 29 and 30
October. The revisions for the USSR were announced in August.
The occurrence of all of these statements within a 5-month period
creates a strong presumption that the plans were somehow coordinated,
and the general similarity of the revisions supports this impression.
* See Sections IV and V for a detailed discussion Of food pro-
duction and the availability of consumer goods.
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B. Policy Revisions.
Certain common features are observable in the revisions of
economic policy announced in 1953, although exceptions and differing
degrees of emphasis are found in one country or another. The major
characteristics of the revised policies are described in the para-
graphs which follow.
1. Industrialization.
Correction of imbalances which have developed in the
Satellite economies is a primary aim in the "new course." These
maladjustments are the result, first, of overemphasis on industrial
development at the expense of agriculture and, second, of concen-
tration of resources during the past several years on the develop-
ment of heavy industry at the expense of housing construction and
light industry (for example, textiles, shoes, processed foods, and
consumer durables). Premier Siroky characterized Czechoslovakia's
revised policy as one of "proportionate growth." 22/ Other
Satellite officials have made similar statements about the objectives
of the programs announced last year.
2. Investment.
In conjunction with the aim of more balanced economic
growth, the Satellites plan cutbacks and/or reallocations of capital
investment. In general, increased proportions of total investment
will go to agriculture as against industry, and a larger share of
industrial investment funds will be expended on consumer goods in-
dustries and on facilities for the production of power and metals
rather than on the engineering industries. In some cases, agricul-
tural investment will consist largely of the expansion and equipping
of the state machine and tractor stations and the state farms;
together with the granting? of long-term credits to agricultural
producer cooperatives for such developmental work as construction of
farm buildings, electrification, irrigation, well-digging, soil im-
provement, afforestation, and planting of orchards and vineyards.
In other instances, a program which includes greater assistance to
private farmers was announced. In Hungary, for example, credits
for certain purposes are to be made available to independent
farmers as well as to the cooperatives. 21/
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3. Agriculture.
The special emphasis given to the improvement of the
faltering agricultural sector of the economies is shown not only
in the revised investment plans but in a number of other measures.
Increased agricultural production is to be promoted by reducing
the pressure for collectivization for an indefinite period and by
providing other incentives to the farmers. Some of the Satellites
announced that farmers could leave the Collective farms (agricul-
tural producer cooperatives) if they desired to do so and that a
collective could be disbanded on demand of its members. 22/ When
peasants in Hungary hastened to leave the collectives in large num-
bers, these promises were hedged by limitations. This phase of
the program was toned down in subsequent announcements in other
countries. The long-term goal of complete socialization of
agriculture through the nvoluntary41 action of the peasants has,
mor'eover, been reaffirmed.
Assistance to farmers is to include increased avail-
ability of machinery services, tools, and fertilizers and the
improvement of grain seeds and livestock. Much greater use is
to be made of the services of technical experts, and the state
farms are to take a leading role in the development and demon-
stration of more effective farming methods.
Measures intended to induce greater agricultural output
also included, in most of the countries, (a) lower delivery quotas
or promises that quotas would not be increased for a time, (b)
permission to farmers to substitute certain commodities in filling
their delivery quotas, (c) higher prices for farm products delivered
under the quotas, (d) increased allotments of land to members of
cooperatives for their private use, (e) cancellation or reduction
under certain circumstances of land taxes, delivery quotas in
arrears, and fines imposed for nondelivery of commodities in
accordance with quotas and (f) increased supplies of manufactured
consumer goods. Such measures, do not, however, eliminate all
discriminatory treatment of the independent farmers. Reduction of
taxes or delivery quotas are typically less for such farmers than
for members of agricultural producer cooperatives. Concessions
with respect to agriculture appear to be of greatest extent in
Hungary and of least significance in Poland.
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4. Scale of Living.
Promises of material improvement in living conditions are
very prominent in the announcements. These promises are reflectea
in various measures providing for (a) price reductions for consumer
goods, (b) increased quantity, quality, and variety of consumer
goods, (c) improved retail distribution of goods, particularly in
rural areas, and (d) selective wage increases and better working
conditions.
5. Trade.
There is to be increased intra-Soviet Bloc trade and
greater integration of the Soviet and Satellite economies in the
future. Such aims, together with the reduction of production goals
for heavy industry, are associated with the disavowal by Satellite
officials of the goal of national self-sufficiency. According to the
chairman of Czechoslovakia's State Planning Office, parts of the
economies of the USSR and most of the Satellites will be coordinated
during the period 1956-60, and long-term trade agreements will be
concluded. 22/ Premier Nagy of Hungary stated that the general
direction of development of the "people's economy" must be modified
from a striving after self-sufficiency and exaggerated industriali-
zation to increasing participation in the international exchange of
goods and growing cooperation and trade with the USSR, the other
People's Democracies, and Communist China. 211/
The major European Satellites have also announced in-
tentions to expand trade with the West. In general, increased
imports of foodstuffs and other consumer goods from the West in
exchange for manufactured goods are desired. (See Section VII for
discussion of Satellite trade policies.)
C. Plan Revisions.
Implementation of the Satellites' revised economic policies
is shown to some degree in the changes in their economic plans
which took place in the latter part of 1953. These plan revisions
are discussed in the sections which follow -- first in summary form
for all of the Satellites except Albania and then country by
country in somewhat greater detail.
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1. Summary of Plan Revisions.
a. Production Plans.
In Czechoslovakia, Hungary, and Poland, planned
increases in industrial production in 1954 show a sharply decreasing
rate of growth compared with 1952 and 1953, whereas in Bulgaria the
decline in the 1954 planned rate of growth is: not so sharp compared
with the year before, and in East Germany the planned increase in
production in 1954 is slightly greater than in 1953 (see Table 1*
and Fig. 1**). These somewhat divergent planned rates of growth
for 1954 are due primarily to special circumstances within the
Satellites. Normally, it could be expected that after the period
of reconstruction after the war was over, production in the
Satellites would increase at a decreasing rate, and this is borne
out by the CIA estimates of changes in industrial production since
1948. (See Section Ill, Table 22.***) The declining rate of in-
crease in Poland's industrial production is in accordance with its
long-term plan. East Germany was probably able to plan about the
same rate of increase in 1954 as in 1953 because the cessation of
reparations deliveries will leave the economy with more resources
for its own needs. In Hungary and Czechoslovakia there is evidence
that original plans were overly ambitious. In 1953, Hungary planned
to increase industrial production by 16 percent over 1952 but re-
ported officially an increase of only 11.8 percent. Czechoslovakia
had planned an increase of 18.4 percent for 1953 and achieved only
10 percent according to official reports. Rumania also failed to
meet production goals in 1953 by a considerable margin; the planned
increase was 24 percent and the officially reported increase was
14.4 percent.
The emphasis of Satellite propaganda with regard
to the "new course" has not, however, been on changes in the over-
all rate of growth of the economy, but rather upon changes in the
"proportions" of !production. All of the Satellites emphasize in-
creasing investment in the production of coal, electric power,
agricultural products, and consumer goods. They have also allo-
cated a greater Proportion of budgetary expenditure to housing
and to social and cultural purposes. There has been some
* Table rrolIows on p.17.
** Following P. 16.
*** P.44, below.
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divergence in emphasis, however, with respect to these policies.
Bulgaria has given little evidence of planning any unusual in-
crease in consumer goods production, and Rumania has not been able
to increase production sufficiently to cut prices of consumer goods.
Hungary and East Germany have shown the greatest interest in put-
ting additional consumer goods on the market.
Table 1
Officially Announced Annual Rates of Increase in Industrial Production
in the European Satellites
1952, 1953, and 1954 Plan
Country
1952
Reported
1953
Reported Plan 2/
Albania
N.A.
22.0 2V 29.4
2?./
Bulgaria
18.0
12.0;4- / 9.8 1:2/
i795/
Czechoslovakia
18.3
10.0 _2/ 18.14
I
East Germany
15.6
__/
4-67 12.52/
Hungary
23.6 sy
11.82/ 16.0
'1./
Poland
20.0
17.5 54/ N.A.
Rumania
23.0
-5.e/
14.4 77/ 24.0
ly
1954 Plan
N.A.
9.8 12/ W
5.1 -44/
13
4.5 E2i
10 to 11 a/
N.A.
a. Refers to long-term flan as, it existed before the year 1953,
except in case of Bulgaria where the 1953 plan was reported ful-
filled in 1952.
b. Compound annual rate for Second iive Year Plan (1953-57).
c. Revised plan called for 10.2-per ent increase for 1953.
d. Total manufacturing and mining only.
All of the Satellites plan to increase agricultural
production, particularly of livestock. Little specific information
on changes in planned output of agricultural commodities for the
next several years is available. Nevertheless, reported changes in
planned industrial production and in the planned amounts and
allocations of investment funds leave little doubt that the goals
for the countries' agricultural sectors have been increased. In
each Satellite except Bulgaria, where collectivization is most ad-
vanced, the private farmers have been promised additional aid.
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The countries other than Bulgaria are especially dependent on in-
creasing the production of the private farms because the major
portion of the land is still privately held. (See Appendix A, Table
52* for data on the extent of the socialized sectors of agriculture
in the Satellites.)
b. Investment Plans.
Total planned investment has been cut for 1954 by
35 percent in East Germany and by 14 percent in Hungary under the
reported 1953 investment (26 percent under planned 1953 investment
In Hungary). In Poland, the absolute amount of investment in 1954
is planned at the same level as in 1953, but the proportion of
national income going to capital formation will be smaller. In
Czechoslovakia, total planned investment for 1954 is 16 percent
below that of the original Five Year Plan (1949-53), whereas budgeted
investment is about 5 percent above the 1953 level. In Bulgaria, the
budget calls for an increase of about 9 percent in funds for invest-
ment. The amount of planned investment in Rumania in 1954 will be
increased by 11.5 percent.
All of the Satellites have reallocated their invest-
ment funds, increasing the share for light and food industries,
usually at the expense of heavy industry; but basic industry, in-
cluding fuels, electric power, and metallurgy, continues to receive
special emphasis. Investment in agriculture will be increased sub-
stantially in Hungary, Czechoslovakia, Poland, Rumania, and Bulgaria.
Increased investments in housing construction and repair and social-
cultural facilities are scheduled in most of the Satellites. In
most instances these changes are directed at remedying the relative
neglect of the sectors of the economy supplying consumption goods
and services. The basic direction of economic development toward
industrialization remadns unchanged, however.
2. Plan Revisions.
a. Bulgaria.
(1) Industrial Production Plans.
Bulgaria's industrial production is now planned
to increase 60 percent from 1952 to 1957, 59/ or at a compound
annual rate of 9.8 percent. This is a good deal lower than the
* P. 101, below.
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officially reported increases of 12 percent in 1953, ,,S)./ 18 percent
in 1952, 6,1/ and 19 percent in 1951. 62/ The large rates of in-
crease in 1951 and 1952 are the resuli-of Bulgaria's successful
effort to complete its First Five Year Plan in 4 years, that is,
in 1952 instead of 1953. Bulgaria will continue to emphasize in-
creases in output of fuels, power, metals, dhemicals, and machinery
rather than such consumer goods as processed roods and textiles.
This is shown by the indexes of planned industrial production in
1957 in Table 2.
Table 2
Indexes of Planned Industrial Production in Bulgaria
1957
Total Industrial Production
160
All Coal .?.4/
189
Lignite Coal 65/
270
Soft Coal 66
160
Hard Coal _1/
250
Anthracite Coal 0/
200
Pig Iron .?2/
1,600
Rolled Steel 12/
1,000
Lead 11/
550
Machine Building and Metal
Processing 12/
183
(2)
Investment Plans.
Planned state capital investment in Bulgaria in
195/1 is about 9 percent higher than that reported for 1953. Invest-
ment in the rural economy is to be increased about 36 percent over
1953, whereas nonagricultural investment is planned to decline 7.4
percent. In addition to a reallocation of state investment in favor
of the rural economy, available information also indicates a shift
within the industrial sector toward much more public and residential
construction. The extrabudgetary investment planned by production
enterprises for 1954 will presumably be industrial for the most
part. A comparison of this element of investment in 1954 with that
1952 . 100
Chemical Industry-12/
Building Materials 74
Timber Industry 75
Electric Power 7
Food Industry 7
Textile Industry Li/
80
Furniture
Rubber
China and Faience 21/
Glass 22/
200
180
146
200
150
153
200
190
175
200
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of 1953 cannot be made, however, because data for the latter year
are not available. Table 3 presents data concerning investment
by the state and by production enterprises in. Bulgaria for 1953-54.
Table 3
Investment by the State and by Production Enterprises
in Bulgaria 22(
1953-54
Million Leva
- 1958
Repotted
1954
New Plan
Percent Increase
1953 to 1954
Investment by the State
3,441....a/
3,74612/
8.9
Rural Economy
1,298
1,762
35.7
Other
2,143
1,984
-7.4
Construction0 Public
Buildings
N.A.
N.A.
4o
Construction,
Residential
N.A. '
N.A.
80
Investment by Production
Enterprises
N.A.
1,317
Total
N.A.
5JL063
, a. Planned investment of 5,325 million leva was not realized.
b. Calculated as 22 percent of total planned budgetary expen-
diture of 17,027 million leva.
Planned capital investment under Bulgaria's
Second Five Year Plan (1953-57) is 2.3 times as great as that re-
ported for the preceding 4 years. The percentage increase for the
rural economy is the same as for the economy as a whole, while
planned investment in industry is twice the 1949-52 figure, Much
greater expansion is planned for some industries than for others.
For example, investment in coal mining will be 5 times that of
the First Five Year Plan and housing 3.7 times as great. Table
4 presents indexes ofplanned Capital investment in Bulgaria
during the Second Five Year Plan.*
Iacie 4 rollows on p. 21.
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Table 4
Indexes of Planned Capital Investment in Bulgaria
Second Five Year Plan, 1953-57 84/
1949-52 a 100
Total Capital Investment 230
Rural Economy 2/ 230
,Industry 200
Coal Mining 500
Electrification 190
Light and Food Industry 210
Transportation and Communications 130
Education, Culture, Health 270
House Building 370
a. Includes state funds only.
(3) National Budget.
Bulgaria's national budget for 1954 calls for
a somewhat lower total state expenditure than planned in 19530 and
the national economy is allocated a smaller percentage of this total
than in 1953 (see Table 5*). Budget expenditures for the rural
economy are higher in absolute amount and as a percentage of the
total than in 1953.. Even so, the nonagricultural Part of the'hational
economy is Allocated over two-fifths of 1954 budgetary expenditures,
In absolute amounts, state expenditures on defense,for1954 are
cut slightly from 1953, while spending on social Welfare, educatiOn0
and culture is increased slightly.
* Table 5 follows on p. 22.
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Table 5
Planned National Budget of Bulgaria
1953 and 1954
Change
1953 to 1954
1953 85/
1954 86J
(Percent)
Totals (Million Leva)
Revenue
19,021
18,227
-4.2
Expenditure
17,973
17,027
-5.3
Distribution of EXpendi-
tures (Percent)
National Economy
58.4
55.6
Rural Economy:
11.0
14.4
Industry and Other
47.4
41.2
Defense
11.6
11.4
Social Welfare -;Education,
and Culture
19.4
21.4
Administrative and Other
10.6
11.7
Total
100.0 100.0
Change in Expenditures
from 1953 to 1954 (Percent)
National Economy 91.9
Rural Economy
Industry and Other -17.6
Defense ..6.8
Social Welfare, Education,
and Culture +4.4
Administrative and Other +4.3
b. Czechoslovakia.
(1) Industrial Production Plans,
One of the gravest problems currently facing
Czechoslovakia is the shortage of such basic materials and utilities
as coal, iron, and electric power. The September 1953 plan revisions
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18.0
12.0
9.8
1952 1953 1954
BULGARIA
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OFFICIALLY ANNOUNCED ANNUAL RATE OF
INCREASE IN INDUSTRIAL PRODUCTION, 1952, 1953, and 1954 PLAN
(In Percent)
18.3
10.0
5.1
1952 1953 1954
CZECHOSLOVAKIA
15.6
13.0
12.5
1952 1953 1954
EAST GERMANY
23.6
11.8
4.5
1952 1953 1954
SECRET
HUNGARY
20.0
17.5
1952 1953
POLAND
1954
Figure 1
23.0
14.4
1952
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show that an amelioration of this situation is a major aim of Czeche-
slovak economic policy. Czechoslovakia's Five Year Plan for the
period 1949-53 was first revised in 1951. In September of 1953 the
annual plan for 1953 was revised again, and a new plan was developed
for 1954. Industrial production in 1953, which under the plan
revision of 1951 was to increase 18.4 percent, 87/ actually increased
only 10 percent 88/ according to official claims.* An increase in
industrial production of 5.1 percent from 1953 to 1954 is now
planned. 22/ This may be compared with the compound annual rate of
increase of 14.9 percent Cor the Five Year Plan period which is im-
plied by the total increase of 100 percent reported by the Czecho-
slovak Minister of Planning. Table 6 shows the planned production
increases from 1953 to 1954 for a number of industrial products.
Table 6
Planned Increases in Production of Selected Commodities
in Czechoslovakia 221
1954 over 1953
Percent
Mining
Black Coal
Brown Coal
8.5
7.9
Rolled Material
Aluminum
Ferrochrome
.Ferrowolfram
13.4
600.0
70.5
21.0
Iron Ore
10.4
Lead
27.0
Manganese Ore
33.7
Lead-Zinc Ore
15.3
Engineering Products
10.6
Electric Power
12.2
Chemical Fertilizers
Metallurgical
8.3
Phosphates
19.8
Nitrates
19.3
Pig Iron
4.5
Steel
13.4
* This represents 99-percent fulfillment of the latest revision
of the 1953 plan.
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(2) Investment Plans.
Total state investment in Czechoslovakia, not
all of which is included in the budget, was originally planned at
around 27 billion crowns (new) for 1953, and was reduced by 16
percent to 23 billion crowns at the time the revised economic
policy wasannounced by Premier Siroky. For 1954, the plan Called
for the same level of 23 billion; however, the budget announced in
April included only 20 billion crowns. At the same time it was
announced that the realized investment in 1953 was 19 billion
crowns (see Table 7). This sum may not have included some investment
by state enterprises.
In the original Five Year Plan, 8 percent of
the total investment was allocated to agriculture, but this pro-
portion was lowered in 1951 when the Five Year Plan was revised to
provide for accelerated growth of heavy industry. The Minister of
Planning, Pucik, has admitted that there has been comparatively
little investment in agriculture. Nevertheless, a 12.1-percent in-
crease in output is planned for 1954, 22/ and increased investments
in this sector will be made for mechanization of agriculture, soil
improvement, and construction of farm buildings.
Table 7
Planned State Budgetary Investment in Czechoslovakia 22/
1953-54
-----
Billion New Crowns
-
1953 1954
Agriculture N.A. 1.8 a/
Fuels, Power, Metallurgy N?A? 6.3
Technical Development N.A. 1.9
Housing N.A. 4.5
Not Specified N.A. 5.5
Total Budgetary Investment 19.0 20.0
i7"-c=RW117.TiMinsor long-term credits to cooperatives
and 344 million croWns for short-term credits and other benefits.
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(3) National Budget.
Planned Czechoslovak budgetary revenues and
expenditures for 1954 are about 18 percent higher than in 1953
(See Table 8). A smaller proportion of total expenditures will be
devoted to the national economy, and a larger proportion is
scheduled to be allocated to cultural, health, and welfare programs.
The percentage of expenditures allocated to defense in 1954 is re-
duced, although the aCtual amount of expenditure will be somewhat
higher. Within the allocation for the national economy, the largest
portionlrearly one-third of it, will go to the fuel, power, and
metallurgical industries. Housing is allocated 22.5 percent and
agriculture 9 percent of the total State investment expenditure.
The expenditure for agriculture (included in oNational Economy")
is one-third greater than in 1953, whereas expenditures on the
national economy As a whole are planned at only 'about 11 percent
more than in 1953.
Table 8
Planned National Budget of Czechoslovakia AV
1953-54
Totals (Billion New Crowns)
Revenue
Expenditure
1953
Increase
1953 to 1954
1954 (Percent)
74.4 Y
74.2y
87.9 18.3. y
87.6 18.0 2/
Percentage Distribution of Expenditures
National Economy
59.1
55.4
Defense and Security
9.7
8.9
State Debt
1.1
0.2
Administrative
4.3
4.3
Culture, Health, and Welfare
25.8
31,2
Total
100.0
100.0
* Footnote for Table &follows on p. 26.
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Table B
Planned National Budget of Czechoslovakia 94/
1953-54
(Continued)
a. Total revenue and expendiEFOMT79551-rer'e'ePorear 32L.3 and
323.5 billion "old" crowns respectively. Since the ratio of "old"
to "new" crowns is variable, expenditure in 1953 is computed on
basis of the officially stated 18 percent increase from 1953 to 1954.
The implied ratio of "old" to "new" crowns is then used to obtain
a figure for revenue in 1953.
(4)
National Income.
According to official reports, Czechoslovak
national income* is planned to increase 7.7 percent in 1954 over
the previous year compared with the compound annual rate of in-
crease of 10.7 percent achieved during the period 1949-53. A larger
share of the national income will be devoted to individual consump-
tion in 1954 -- 62 percent compared with 57 percent in 1953. 95/
c. East Germany.
(1) Industrial Production Plans.
According to official statements, the "new
course" in East Germany involved a reduction under the original plan
of 1.4 billion DKE in the value of heavy industrial production for
the latter half of 1953, while planned consumer goods production was
increased by 410 million DME. In addition, plan arrears in the pro-
duction of the light and food industries of 540 million DME were to
* The definition of national income used officially in the Satel-
lite economies is not comparable to the GNP definition used in
Section III, since the former excludes certain services and
depreciation. Moreover, the prices and methodology underlying the
Satellite figures are rarely explained. The Satellite data are
useful, however, in appraising rates of change in a significant
economic aggregate.
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_ - _ _ _
be made up (see Table 9). ?The original plan had emphasized pro-
duction in the metallurgical and machine construction industries,
requiring in both cases increases above the average for all industry.
Under the "new course," the production goals for the metallurgical
industry were reduced to less than the average for all industry and
to slightly above this over-all average for machine construction.
An increase in industrial production of 13 per-
cent is planned for each of the two remaining years of the current
Five Year Plan, 1954 and 1955. This is approximately the same as
the reported increase in 1953 over the previous year, but is lower
than the increase of 15.6 percent in 1952. The planned increase
each year in heavy industrial output is 7 percent and that for
alight and food industries, 24 percent (see Table 100.
Table 9
Original and Revised Plans for Industrial Production
in East Germany
1953
Million DME
Original 2.?./ Change 97/ Revised
Total Industrial Production
37,340
-990
36,350
Light and Food Industries
14,936
+410 a/
15,346
Heavy Industry
22,404
-1,400
21,004
a. Production was expected to increase 950 million DME in comparison
with the first half year, but only 410 million in comparison with
the original planned amount for the second half. The difference
represents the plan arrears for the first half of the year, which
were to be made up.
* Table 10 follows on p. 28.
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? ? ?
Table 10
Reported and Planned Rate of Increase over Previous Years
in Industrial Production in East Germany
1952-53
Percent
Plan for
1952 1953 each Year,
Reported 22/ Reported 92/ 1954 and 1955 122/
Total Industrial
Production
15.6
12.5
13
Light Industry
Food Industry
N.A .
N. A .
11.0
15.0
(24)
Heavy Industry
N. A.
N.A.
7
(2) Investment, Budget, and Income.
For 1953, net investment in East Germany was re-
duced by only 230 million DME from the original plan figure of 5,690
million DME. This merely removed from the 1953 plan the backlog of
unfulfilled investment which had been carried forward from 1952.
There was, however, a reallocation of investment for 1953. Heavy
industry was reducedby 370 million DME, of which 70 million DME
was shifted to investment in consumer goods industries and 300
million DME to housing and highway construction (see Table 11*).
According to Minister President Grotewohl,
investment during each of the two remaining years of the Five Year
Plan, 1954 and 1955, will be 'reduced 2 billion DME from the originally
planned levels of 5.7 and 6.0 billion DME, respectively. The re-
duction in investment will affect mainly metallurgy, ore mining,
and heavy machine construction. Facilities for production of electric
power and coal and of consumer goods will, on the other hand, be
expanded.
* Table 11 follows on p. 29.
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.11. ??? WM MEP
Table 11
Planned Investment in East Germany
1953-55
Million DME
1953 121/ 1954 122/ 1955.103/
Original Plan
Reduction (Net)
New Plan
5,690
230 2/
5,460
5,700
2,000
3,700
6,0b0
2,000
4,000
a. This amount is the backlog of unfulfilled investment carried
forward from 1952.
The increase in personal income in the second
half of 1953 as a result of "new course" measures raising wages and
salaries was officially estimated at 760 million E. 104 The
accretion to real personal income through price reduct ons and im-
provements in the sickness insurance system was officially estimated
at 690 million DME for the sameperiod, for a total increase of
1,450 million E. It should be noted, however, that the increased
supply of consumer goods was obtained from imports and state reserves
rather than from current production and that reductions in prices
of consumer goods during 1953 were reported to be principally on.
old stocks of inferior quality.
d. Hungary.
(1) Industrial Production Plans.
The goals of Hungary's First Five Year Plan
(195044), which had been revised upward in February 1951, were
lowered in mid-1953. Although the new, reduced production targets
have never been published, Premier Nagy's annual report to the
National Assembly in January 1954 indicated that the revised plan
had been put into effect. Under the Five Year Plan as revised in
1951, total industrial production in 1953 was to increase 16 percent
over 1952 (see Table 120. The actual increase reported was 11.8
* Table 12 follows on p. 30.
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percent. Nevertheless, it was claimed that the production plan for
the second half of the year was fulfilled by 101.3 percent, in-
dicating that the goal for the year was reduced from a 16-percent
rate of increase to about 11.7 percent. The planned increase in
total industrial output in 1954 is only 4.5 percent.
Table 12
Annual Rate of Increase in Industrial Production
in Hungary
1951-54
Percent
Total Industrial Production
Heavy Industry
Selected Products
Actual New
(Official Reports) Plan Plan
1951 105/ /952 106/ 19537 1953 a/ IL/ 1954 109/
30.1 b/ 23.6 b/ 11.8 16.0 4.5
37.7 33.3 N.A. N.A. -2.0
Coal N.A. 22.8 13.6 N.A. 6.4
Electric Power N.A. 19.3 19.2 N.,. 10.7
Rolled Steel N.A. 13.0 c/ 6.6 N.A. 5.0
Light Industry 26.9 10.5 N.A. N.A.
Food Industry 16.5 16.1 N.A. N.A. (16.0)
a. After revision in 1951.
b. Applicable to "manufacturing industry," w'lich includes mining but probably does not
include local industries.
c. Rate of increase for ingots. The rate for bars was 26.5 percent.
Apart from this striking reduction of the planned rate of increase
in over-all industrial putput, the rate of production of heavy in-
dustrial goods is planned to decline 2 percent from the 1953 level,
while the planned output of the light and food industries is 16
percent above that realized in 1953. The Hungarian Central
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Statistical Office reported a lower rate of increase in 1953 than
in 1952 for coal and for rolled steel and about the same rate for
electric power production. Moreover, the planned increases for
these items in 1954 represent a decline from the 1953 rates.
' (2) Investment Plans.
In 1953, state investment in Hungary fell short
of the planned total of 19 billion forints by 2.7 billion forints
(see Table 13*). According to Finance Minister Szalai, the difference
between planned and actual investment was spent on the manufacture of
consumer goods. 112/ With respect to investment allocation, Premier
Nagy reported changes from the first half of 1953 to the second half
as follows: heavy industry, 64.5-percent decrease; light industry,
69.9-percent increase; and food industry, 103.5-percent increase.**
111/ Thus it appears that investment in heavy industry was radically
cut in the last 6 months of 1953, as promised in the announcement of
the new economic policy, whereas the light and food industries re-
ceived substantially increased investment funds. Since total in-
vestment was 2.7 billion forints less than planned, investment in
heavy industry must have been cut by an absolute anount much greater
than that by which investment in the light and food industries was
increased.
In 1954, state investment is to be reduced to
14 billion forints -- 2.3 billion forints less than the actual in-
vestment reported for 1953. Agriculture will receive almost one-
quarter of the total investment in 1954. Direct investment in
agriculture in the second half of 1953 was reported to exceed the
sum invested in.the first half of the year by 70.2 percent. 112
Nevertheless, agricultural investment for the year was only T2
percent of the total investment of 16.3 billion forints rather
than 14 percent of 19 billion forints as budgeted. The distribution
of the 10.6 billion forints of planned nonagricultural investment in
1954 has not been revealed except for statements that investments
in light industry, housing, and internal trade will be increased.
Investments in coal and power facilities apparently will not be reduced.
* Table 13 follows on p. 32 .
** The reported "increasesd for the three industry groups are 35.5,
;69.9, and 203.5 percent respectively. Since these values seem
unreasonably high as percentage increases over the first half of
the year, it is assumed that they actually represent index numbers.,
with the first 6 months of 1953 equaling 100.
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???? OEM
Table 13
Proportion of State Investment in Agriculture in Hungary
1951-54
Agriculture
Forints)
Total State Investment
(Billion Forints)
Agriculture as Proportion
of Total (Percent)
1951
Plan 112/
1952
Plan lly
1953
1954
Plan 1L/
Reported
Plan 115/
N.A.
11.7
N.A.
N.A.
15.5
N.A.
1.9W
16.3 XI/
12.0 3.3_2/
2.7
19.0
14.0
3.4
14.0
24.0
a. Computed from data reported by Miriiitei. of Finance Szalai41.2/
e. Poland.
(1) Production Plans.
The changes in economic plans announced in Poland
in October 1953 were concerned mainly with 195445, the last 2 years
of the Six Year Plan. According to official reports, industrial pro-
duction during the first 4 years of the Six Year Plan .(1950-53) in-
creased 118 percent over 1949. The annual increase reported for 1952
is 20 peraent and that for 1953 is 17.5 percent (see Table 14*).
At the recent Polish Communist Party (P2PR) Congress, Hilary Mina,
the Finance Minister, stated; "For the next two, years, the reduction
of the average annual rate of increase in industrial production to
about 10 or 11 percent is foreseen, while the rate of increase in
production of producer goods and the rate of increase in the pro-
duction of consumer goods is to be maintained on the same level." 122/
He asserted that such a reduction in the rate of increase was pro-
vided for in the Six Year Plan and that 10- or 11-percent increases
will mean fulfillment or overfulfillment of the Six Year Plan for
industry. The official figures show, however, that such goals
* Table 14 follows on p. 33.
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represent a reduction of more than one-third from the rate of in-
crease achieved in 1953 and a reduction of about one-half from the
1952 rate of increase in industrial production.
The dragging pace of agricultural production
in Poland is indicated by official reports that during the 4 years
from 1950 to 1953 agricultural production rose only 9 percent, or
About one-thirteenth the rise in industrial production (see Table
14). During 1954 and 1955, agricultural production is planned to
rise 9 percent -- the same as the reported total increase for the
last 4 years.
Table 14
Officially Announced Rates of Increase
in Industrial and Agricultural Production in Poland
1952-55
Percent
1952
over
1951
Total Industrial Production 20.0 121/
Producer Goods
Consumer Goods
N.A.
N.A.
Total Agricultural Production N.A.
1953
over
1952
Plan
1954
over
1953
Plan
1955
over
1954
1953
over
1949
17.5 122/ 10 to 11 123/ 10 to 11 114/ 118 12V
N.A.
N.A.
N.A.
10 to 11 12Y 10 to 11 127/ N.A.
10 to 11 12/ 10 to 11 122/ 99 122/
N.A. 9 (1955 9 122/
over 1953) 131/
Moderate to substantial increases are planned
in the production of various foods and other consumer items from
1953 to 1955 (see Table 15*). Special emphasis during this period
will be Placed not only on the production of consumer goods but also
on mining and metallurgy, since Polandfs output of hard coal is in-
adequate for combined domestic and export demands and its production
of iron ore meets only a minor part of its domestic requirements.
* Table 15 follows on p. 34.
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Table 15
in Production of Selected Consumer Goods
in Poland
1955 over 1953
Foods
Baking Producte122/
Meat 134/
Milk 133/
Fats,-Eimal and
Vegetable 12?1
Processed Fruits
and Vegetab1ea122/
Fish 121/
Canned Fish 122/
Wine 212/
Sugar 141/
12
17
17
25
27 Cast Iron Ware 1112/
10 Galvanized Buckets 142/
Percent
Other Consumer Goods
Soap 142/
15
Cotton Textilesly
12
Woolen Textiles 1
11
Silk Textiles 14
20
Leather Footwear 146/
Enameled Kitchen We
140
30 Bicycles 122/
40 Motorcycles 151
7 Furniture 1 2
Radio Sets 133/
75
62
79
100
26
24
(2) Investment Plans.
Premier Bierut stated at the Communist Party
Congress in March 1954 that investment in 1954 and 1955 would be
maintained on the same absolute level as in 1953, leaving a larger
portion of the national income for personal and public consump-
tion. 154/ The share of the national income* allocated to invest-
ment is planned to decrease from 25.1 percent in 1953 to 21.2 per-
cent in 1954 and to 19.8 percent in 1955. 155/ These figures
represent a distinct downward trend from the percentages (27 to
28 percent) which were reported for the period 1950-52. 156/
Although the 1953 level of investment ex-
penditures will bp continued in 1954 and 1955, the allocation of
the funds is to be altered. According to Bierut, there will be a
.77-NUTER=Come, as used in Polish official statistics, follows
the Communist definition, which excludes services not directly
connected with material production.
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considerable increase in the amounts allotted to agricultural develop-
ment, to industries producing consumer goods, and to the construction
of houses and of social and cultural facilities. 157/ On the other
hand, investment in the producer goods industry WITT be reduced
somewhat. Planned investment in 1955 for various sectors of the
economy may be compared with 1953 investment as shown in Table 16.
Table 16
Selected Indexes of Planned Investment in Poland 158/
1955
1953 . 100
Total Investment Outlays
100
Producer Goods Industry?"
86
Consumer Goods Industry
138
Agriculture and Forestry
145
Housing and Communal Development
126
Social and Cultural Facilities
134
a. Index computed from percentages of fotal investment which are
reported for producer goods (46.7 and 40.4 percent,respectively).
f. Rumania.
(1) Industrial Production Plans.
According to Rumanian official reports, over-all
production of industry in 1953 increased 14.4 percent over 1952. 159/
This is much lower than the increase in 1952, which was reported to
be 23 percent. 12/ In 1953 the plan was revised at midyear.
Industrial production is believed to have been considerably lower
in the second half of 1953 than in the first half. Following the
plenary meeting of the Central Committee of the Rumanian Workers
Party on 19 and 20 August 1953, steps were taken to raise the
output of consumer goods. Nevertheless, the output of producer
goods in 1953 rose by a greater percentage over the previous year
than did the output of consumer goods such as food products, tex-
tiles, clothing, and household wares. 161/ For example, the output
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of certain metals, minerals, and heavy machines increased from 13
to 65 percent, whereas the reported increase in production of tex-
tile and clothing items ranged from 14 to 6 percent. Coal and steel
production, however, increased only 5 percent and 3 percent respec-
tively.
(2) Investment Plans.
Allocation of investment unde/ Rumanials original
Five Year Plan, 1950-54, indicated a decided emphasis on the production
of capital goods (see Table 17). Planned investment was 66.5 billion
lei, or an annual average of 13.3 billion lei. Investment in 1952
and 1953 was reported to be 11.5 billion lei and 13.9 billion lei,
respectively. According to the announcement of Finance Minister
Petrescu (20 April 1954), the budgetary investment for 1954 will be
increased to 16 billion lei, 3.5 billion of which will be for agri-
culture. The original investment plans for the last 2 years of the
Five Year Plan period, 1953 and 19514.. are to be replaced by a new
3-year plan for the years 1953-55.
Table 17
Allocation of Rumanian State Investment
under the Five Year Plan 162/
1950-54
Total Investment
Amount
(Billion New Lei)
Percent
66.5
100
Industry
34..2
52
Capital Goods
28.0
43
Consumer G0049
6.2
9
Agriculture and Forestry
6.7
10
Transportation and Communications
10.7
16
Construction
1.3
2
International Trade
1.5
2
Social and Cultural Projects
8.9
13 2/
a. Ihdludee 3.2 percent for workers' housing..
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Table 17
Allocation of Rumanian State Investment
under the Five Year Plan 162/
1950-54
(Continued)
Government
Scientific and Geologic
Amount
(Billion New Lei) Percent
1.3 2
1.9 3
At the time the "new course" was announced in
August 19530 changes in the amounts to be invested in particular sec-
tors of the economy were given. 163 Investment in agriculture for
the period 1953-55 is planned at billion lei compared with 6.7
billion earmarked for all 5 years of the original plan. It was
stated officially that the new plan provides for twice as much agri-
cultural investment as was realized in the first 3 years of the
Five Year Plan. The government also announced that planned invest-
ment of 3 billion lei in the food, textiles and shoe industries in
1953-55 144/ is double the old plan figure for a comparable time
period. -Yiemier Gheorgiu-Dej stated that "out of the total volume
of investments reductions are to be made from the funds earmarked
for the heavy industry and other works; a fund of 5 billion lei is
to be earmarked for the development of agricultural production, the
consumer goods industries, and the construction of dwellings and
other social works." 1?1W Thus more than half the investment funds
for agriculture and consumer goods, which total 9 billion lei under
the new plan, will be diverted from heavy industry. But in spite
of the increased investment in agriculture and the consumer goods
industries, indications are that capital goods investment will con-
tinue to receive a large share of investment funds.
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III. Gross National Product.*
A. Introduction.
Increases in the total value of all goods and services pro-
duced (GNP) in the European Satellites since the war have reflected
several important phenomena that should be taken into account in
interpreting the meaning of changes in Satellite GNP and its future
growth. Rapid industrialization of these economies has occurred
uniformly under socialization of industry and authoritarian allo-
cation of resources by the state through such means as taxation,
compulsory deliveries from agriculture, regimentation of workers, and
rationing of consumer goods. In the years immediately after World
War II large increases in GNP reflected, essentially, the period of
recovery from the disorganization and destruction caused by the war.
The dissipation of the chronic underemployment which was character-
istic of most of the Satellite economies in the prewar period and
the forced acceleration in the use of resources also affected the
increases in GNP. In addition, the achieved increases in the stock
of capital goods yielded increases in GNP in succeeding periods.
Future growth of GNP, however, will come to depend more and more on
efficient utilization of resources and increases in productivity as
a result of the efforts of labor and management, technological
innovation, and continuing increases in the stock of capital equip-
ment of these economies.
B. Gross National Product Estimates.
1. TrendS,
The GNP of all the Satellites combined increased by about
5.5 percent between 1952 and 1953. The growth of this measure of
national power, however, was somewhat uneven as between the various
Satellites, ranging from a low of 1 percent for Czechoslovakia to a
high of 6.4 percent for East Germany. The GNP of Poland grew by 3.9
percent, that of Hungary by 5.2 percent, that of Rumania by 4,7 per-
cent, and that of Bulgaria by 6.1 percent. (For indexes of GNP see
Table 18.**)
* For a statement of the methodology used in preparing GNP
estimates, see Appendix A.
** Table 18 follows on p. 39.
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Table 18
Indexes of Gross National Product of the European Satellites
1938 and 1948-53
1950 100
Year
European
Satellites a
Bul-
garia
Czecho-
slovakia
East
Germany
Hungary
Poland
Rumania
1938
115
87
92
152
88
106
115
1948
86
95
89
81
83
85
95
1949
92
98
96
88
93
92
96
1950
100
100
100
100
100
100
100
1951
106
109
102
113
111
101
110
1952
110
115
105
124
115
103
107
1953
116
122
106
132
121
107
112
a. Not including Albania.
The trend of yearly percentage increases (that is, percen-
tage increase of each year over the previous year) of GNP in all the
Satellites except Bulgaria was generally downward during the 1950-53
period as shown in Figure 2.* The average of the four yearly percen-
tage increases for this period were as follows: Czechoslovakia, 2.5
percent; Poland, 3.9 percent; Rumania, 4.0 percent; Bulgaria, 5.7 per-
cent; Hungary, 6.8 percent; and East Germany, 10.7 percent.
2. Gross National Product in 1951 US Dollars.
For purposes of comparison, the GNP of the Satellites is
expressed in a common denominator -- US 1951 dollars. In 1953 the
Satellites combined had a GNP of US $44.8 billion (36 percent of the
Soviet GNP). This compares with a GNP of US $44.5 in 1938 for the
same area. Of all the Satellites, only East Germany's GNP was still
perceptibly below the 1938 level (by an estimated 13 percent), whereas
the GNP's of Poland and Rumania approximated the prewar level and
those of Bulgaria, Hungary, and Czechoslovakia materially exceeded it,
as shown in Figure 3.*
* Following p. 40.
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3. Distribution of Satellite Gross National Product,
Czechoslovakia, East Germany, and Poland have accounted
for well over four-fifths of total Satellite GNP each year since
1948. The distribution of the all-Satellite GNP among the various
Satellites indicates that, in 1953, Poland and E$st Germany accounted
for over three-tenths each of the all-Satellite total, with Czecho-
slovakia contributing almost one-fifth. Figure 4Ioshowing the dis-
tribution of GNP among the European Satellites in 1938 and 1953,
indicates that East Germany has not yet regained its prewar position
as the most important contributor to the all-Satellite GNP, while
the relative importance of Bulgaria, Czechoslovakia, and Hungary
has increased someahat. Poland's relative contribution to all-
Satellite GNP was the same in 1953 as in 1938, and Rumania's de-
clined slightly.
4. frjections of Gross National Product 1954-56.
CIA projections of GNP indicate growth in a range from
4 to 5 percent annually for all the Satellites combined, assuming
no general war and continuation of present economic plans. Above-
average growth is predicted for East Germany, whose GNP will probably
increase in a range from 6 to 8 percent annually for the 3-year
period 1954-56. The other Satellites probably willexperience growth
closer to the Satellite average, with the range of annual increase
being 3 to 5 percent for Poland and Rumania, and 3 to 4 percent for
Bulgaria, Czechoslovakia, and Hungary.
Satellite GNP will probably be slightly over US $51
billion (in 1951 US dollars) by 1956. One-third of this will be
generated in East Germany, with the GNP of Poland being only very
slightly less. The GNP of Czechoslovakia probably will be well
over one-sixth of the total, with Bulgaria, Hungary, and Rumania
together accounting for less than one-sixth (see Table 19**).
* Following p.
** Table 19 follows on p. 41.
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SECRET EUROPEAN SATELLITES*
ANNUAL RATE OF CHANGE IN GROSS NATIONAL PRODUCT, 1950-53
on Percent)
8.7
\k.0...N.000000.00,
3.8
5.5
1950 1951 1952 1953
ALL SATELLITES*
13284 5-54
15
10
5
0
15
10
5
9.0
5.5
2.0
1950 1951 1952
BULGARIA
7.5
1950 1951 1952
HUNGARY
5.2
15
10
5
0
1953 1950 1951 1952
POLAND
6.1
1953
15
10
5
4.2
2.0
2.9
1.0
1950 1951 1952 1953
CZECHOSLOVAKIA
8.7
2.0
1.0
SECRET
10
3.9
15
10
5
10.0
Figure 2
13.6
13.0
9.7
1950
1951
1952
EAST GERMANY
4.2
-2.8
4.7
1953 1950 1951 1952 1953
RUMANIA
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EUROPEAN SATELLITES*
44 5 44.8
GROSS NATIONAL PRODUCT, 1938 AND 1953
1938 1953
1.0 L7na.4
.773.
.......
.........
8.4
(Billions of /95/ US Dollars)
16.1
1938 1953 1938 1953 1938 1953
EAST
ALL SATELLITES* BULGARIA CZECHOSLOVAKIA GERMANY
13285 5-54
SECRET
1938 1953
HUNGARY
14.6 14.7
1938 1953
POLAND
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Figure 3
3.0 2.9
rA
1938 1953
RUMANIA
*Excludes Albania
SECRET
(Percent of All-Satellite GNP)**
40 ?
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30
25
20
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DISTRIBUTION OF GROSS NATIONAL PRODUCT
1938 and 1953
36.3
1938 1953
EAST GERMANY POLAND CZECHOSLOVAKIA RUMANIA HUNGARY
18.7
*Excludes Albania
**!938 All-Satellite GNP, US 1951 $44.5 billion
1953 All-Satellite GNP, US 1951 $44.8 billion
1938 1953 1938 1953 1938 1953
7.6
1938 1953
13471 12-54
SECRET
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1938 1953
BULGARIA
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Table 19
Gross National Product of the European Satellites Lti
1954-56
Country
GNP
GNP. Indexes (1950 s 100) (Billion 1951 US $)
1954 1955 1-956 1954 1955 19515
European Satellites 121 127 132 46.9 49.4 51.2
Bulgaria 125 130. 135 1.5 1.6 1.6
Czechoslovakia 109 113 116 8.6 8.9 9.2
East Germany 143 153 162 15.1 16.2 17.1
Hungary 125 130 134 3.5 3.6 3.7
Poland 111 116 119 15.2 15.9 16.3
Rumania 117 123 127 3.0 3.2 3.3
a. Not including Albania.
5. Per Capita Gross National Product.
Per, capita GNP for all the Satellites combined was US
$486 (1951 US $) in 1953, compared with US $587 for the USSR. East
Germany attained the highest per capita GNP, US $782, while Rumania
had the lowest, US $172. Close behind East Germany was Czecho-
slovakia, with a per capita GNP of US $658, after which came Poland
with US $559. On a distinctly lower level were Hungary, with a
per capita GNP of US $360, and Bulgaria, with US $186 (see Table
200.
The 1953 per capita GNP for all the Satellites was only
3.6 percent higher than the 1938 figure. The change between 1938
and 1953 varied in individual Satellite countries, from a decline
of 19 percent for East Germany to an increase of 32 percent for
Hungary and Czechoslovakia. In between were Bulgaria with a 22-
percent increase in per capita GNP from 1938 to 1953, Poland with a
19-percent increase, and finally Rumania with a 9-percent decline.
* Table 20 follows on p. 42.
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Table 20
Per Capita Gross National Product of the European Satellites
1938 and 1948-53
1951 US $
Country_
1938
1948
1949
1950
1951
1952
1953
European
Satellites a/
469
375
400
431
454
467
486
Bulgaria
E153
155
153
164
178
175
186
Czechoslovakia
500
586
620
637
639
649
658
East Germany
970
445
487
564
643
714
782
Hungary
273
252
283
304
333
341
360
Poland
468
491
523
553
550
551
559
&mania
189
156
155
159
176
168
172
a. Not incluallialbania.
Because per capita GNP is sometimes used as a measure
of welfare, it must be pointed out that per capita GNP is not
synonymous with per capita consumption. In planned economies the
welfare aspect of this measure is greatly qualified by the fact that
distribution of GNP is not made on the basis of consumer choice.
Thus it might be possible for a country wherethe per capita GNP was
high to have low per capita consumption. In fact, emphasis on rapid
industrial expansion in the Satellite plans was accompanied by en-
forcement of abstention from consumption through various forms of
taxation, compulsory deliveries from agriculture, and a high rate
of profit on products originating in socialized industry or dis-
tributed by the socialized trading establishments.
It is generally agreed that GNP estimates reflect
better the economic activity of industrialized countries and less
well the economic activity of countries predominantly agricultural,
where there is usually a large amount of home and handicraft industry
as well as sizable nonmarket economic activity, such as payment in
kind and unpaid services which do not find their way in GNP
statistics. It is for this reason that some reserve is called for
in interpreting per capita GNP figures, and it would be well to
assume that in all probability the per capita GNP estimates for
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predominantly agricultural countries such as the southern Satellites
somewhat understate the case relative to the more industrialized
northern Satellites. It is felt, however, that the general impres-
sion which these estimates afford is an accurate one, especially in
terms of ranking of the various countries from the largest to the
smallest per capita GNP.
6. Gross National Product by Sector of Origin.
Analysis of GNP by sector of origin reveals the very
striking emphasis in all the Satellite countries on industry, trans-
portation and communications, and construction. For the Satellites
as a whole these sectors have increased about one-third since 1950.
Agriculture, services, and trade, on the other hand, have changed
only slightly since 1950 (see Figure 5*).
a. Agricultural Sector.
The agricultural sector indexes s1lown in Table 21
reflect the great difficulty which has been experienced by the Satel-
lite governments in attempting to increase agricultural output. Gen-
erally the level of production in 1953 was a little below that of
1950. However, 1953 output, compared to 1938, was substantially
lower for most Satellites.
Table 21
Agricultural Sector Indexes of the European Satellites
1938 and 1948-53
1950 In 100
Country
1938
1948
1949
1950
1951
1952
1953
European
Satellites 2/
118
85
90
100
102
95
93
Bulgaria
99
104
101
100
106
96
100
Czechoslovakia
110
83
92
100
100
96
95
East Germany
120
80
84
100
108
106
99
Hungary
108
93
101
100
112
94
95
Poland
119
80
89
100
92
86
86
Rumania
126
104
98
100
114
95
96
a. Not including Albania.
* Following p. 44.
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b. Industrial Sector.
The 1950-53 period was one of rapid growth of the
industrial sector for most of the Satellites. The all-Satellite
increase was 37 percent for this period. Individual country in-
creases ranged from 15 percent for Czechoslovakia to 83 percent for
Bulgaria. During the 1938-53 period the all-Satellite industrial
index increased by 25 percent. The East German index in 1953,
however, was 10 percent below 1938. In the other Satellites prewar
levels were exceeded (see Table 22).
Industrial Sector
Table 22
Indexes of the European Satellites
1938 and 1948-53
1950
100
Country
1938
1948
1949
1950
1951
1952
1953
European
Satellites V
110
76
88
100
114
128
137
Bulgaria
1 73
75
91
100
123
167
183
Czechoslovakia
69
85
96
100
106
112
115
East Germany
185
64
79
100
125
149
166
Hungary
71
70
86
100
116
133
145
Poland
80
77
88
100
105
115
123
Rumania
107
81
89
100
114
127
139
a. Not including Albania.
It must not be assumed, however, that equal emphasis
has been given to industry on a uniform basis. Indexes which
differentiate between producer goods industries and consumer goods
industries show very clearly that the emphasis has been on expansion
of producer goods rather than of consumer goods, at least up until
1953. The indexes: reproduced in Table 23 show that, while producer
goods production was increased in 1953 anywhere from 6 percent for
Czechoslovakia to 14 percent for East Germany over 1952, the change
in production of consumer goods ranged from a decrease of 7 percent
in Czechoslovakia to an increase of 6 percent in East Germany.
vea xerease 11391J/U9/U2 : / -U1 UUJAUUUMPJUtiUtrUl -4
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SECRET
EUROPEAN SATELLITES*
DISTRIBUTION OF GROSS NATIONAL PRODUCT
BY SECTOR OF ORIGIN, 1938 and 1953
Figure 5
100%
Trade
Services
Agriculture
Transportation and
Communications
Construction
Industry
.3
10
On Percent)
15.8
12.0
1213
18.0
11.4
14.5
10.9
11.8
7.7
17.4
14.6
14.9
11.7
12.8
13.6
14.6
ZO
14.2 "
11.5
170
.14.1
14.7
9.3
15.6,
12.7
18:8?
18.8
19.9
12.3
11.7
19.6
46.3
32.5 ?
50.5
30.8
25.1
24.5
6.3
21.8
34.1
5.5
-3.1-
5.0
6.6
7.0
54.1
52.4
49.9
46
43.2
44.1
4.9
5.7
3.2
6.2
4.1
3.7
35.1
35.1
5.3
33.5
34.0
3.2
4,3
32.3
30.4
4.2
2.3
3.2
24.7
22.3
19.6
1938 1953 1938 1953 1938 1953 1938 1953 1938 1953 1938 1953 1938 1953
13286 5-54
ALL SATELLITES* BULGARIA CZECHOSLOVAKIA
EAST
GERMANY
SECRET
HUNGARY
POLAND
RUMANIA
Excludes A/banjo
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Furthermore, a comparison of 1938 and 1953 shows the
same thing. For this time period, although producer goods produc-
tj,on declined by percent in East Germany, the other Satellites
had substantial increases -- 54 percent for Rumania, 98 percent for
Poland, 125 percent for Czechoslovakia, 184 percent for HungarY,
and over 1,000 percent for Bulgaria, which started from a very small
prewar base. The comparison of these increases with those for con-
sumer goods is striking, none of the increases in the latter case
being larger than 19 percent (see Table 23).
Table 23
Producer and Consumer Goods Indexes of the European Satellites
1938 and 1948-53
1950 m 100
Producer Goods
Country
193U
194U
1949
1950
1951
1952
1953
Bulgaria
25
54
82
100
145
246
278
Czechoslovakia
55
85
90
100
109
117
124
East Germany
201
61
77
100
126
158
180
Hungary
57
67
84
100
121
145
162
Poland
69
78
88
100
107
123
137
Rumania
99
79
89
100
117
134
152
Consumer Goods
Bulgaria:
106
89
96
100
108
113
118
Czechoslovakia
89
92
102
100
100
103
96
East Germany
155
69
85
100
122
132
140
Hungary
93
78
90
100
105
109
111
Poland
99
76
88
100
103.
100
97
Rumania
117
83
90
100
109
118
120
a. Not including Albania.
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0. Transportation and Communications Sector.
The course of the transportation and communications
sector follows, in general, that of the industrial sector. This is
not surprising, for transportation and communications are integral
parts of industrial growth. The 1953 index of the transportation and
communications sector for all the Satellites combined was 34 percent
above 1950. Individual Satellites varied a good deal in the rates
of development of this particular sector. The indexes in 1953 were
from 21 percent to 45 percent above 1950 levels. A comparison of
1953 index numbers with prewar 1938 indicates very substantial in-
creases for almost all the countries with the exception of East
Germany, where a decline of 17 percent was recorded (see Table 24).
Table 24
Transportation and Communications Sector Indexes
of the European Satellites
1938 and 1948-53
1950 is 100
Cotintry
1938
1948
1949
1950
1951
1952
1953
European
Satellites I/
100
80
90
100
111
123
134
Bulgaria
52
82
89
100
112
122
131
Czechoslovakia
65
99
94
100
105
112
121
East Germany
162
65
85
100
111
123
135
Hungary
91
79
86
100
105
113
123
Poland
79
78
91
100
118
132
145
Rumania
98
67
87
100
112
124
137
a. Not including Albania.
d. Construction Sector.
The construction industry increased in all the
Satellites by 31 percent between 1950 and 1953. Again a good deal
of difference among the various Satellites is found. Since 1950
the greatest increase has been registered by Rumania, Where the
1953 index was 89 percent above the 1950 level. The smallest
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? ? ? ? ?
gain -- 7 percent -- occurred in Czechoslovakia. Of all the
Satellites, only East Germany, which has had impressive increases
in construction since 1950, has not yet attained the 1938 level
(see Table 25).
Table 25
Construction Sector Indexes of the European Satellites
1938 and 1948-53
1950
= 100
Country
1938
1948
1949
1950
1951
1952
1953
European
Satellites 2/
118
74
87
100
109
116
131
Bulgaria
37
79
104
100
117
129
145
Czechoslovakia
102
62
93
100
103
106
107
East Germany
146
78
80
100
108
114
137
Hungary
58
49
71
100
111
131
143
Poland
114
87
96
100
114
118
131
Rumania
141
76
79
100
126
164
189
a. Not Albania.
7. Gross National Product Sectors as Percentages of Total
77a7N7777717Product.
In general, the industry, transportation and communica-
tions, and construction sectors of GNP have been growing at a faster
rate than agriculture, services, and trade. This phenomenon is
relected in the percentage distribution of GNP by sectors. Figure
6* show the change in the relative importance of the various GNP
sectors between 1938 and 1952.
* Fo1loRTE-T7 48.
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IV. Production TrendS.
A. Industrial Sector.
1. Introduction.
The subdivision of the industrial sector of the Satellite
countries into industry groups (subsectors) reveals clearly the sys-
tem of priorities established under Communism. First priority goes
to the production of machinery and equipment. Given the production
of machinery and equipment as a primary goaltit follows that supporting
priorities would go to chemicals, building materials, metals, and
energy. The result of this emphasis is that light and textile in-
dustries, food processing, and forest products are relatively neglected
Industry groups (see Fig. 7*).
In the discussion which follows, industry subsectors
will be discussed individually. Output of the major products within
each subsector and comparison with USSR output is shown in appropriate
tables in Appendix A.
2. Production by Industry. Subsectors,
a. Energy Industries.
(1) Trends of Production.
The output of energy industries in 1953 in the
Satellites increased over the previous year in a range from 26 per-
cent in Rumania to 6:percent in Czechoslovakia. The growth in
Hungary was 14 percent; in Bulgaria, 9 percent; in Poland, 8 per-
cents and in East Germany, 7 percent.
Relative to 1938, the 1953 output of Bulgaria
represented an increase greater than in any of the other Satellites --
359 percent. The next lazgest increase occurred in Hungary -- 139
percent. The output of Czechoslovakia in 1953 was 94 percent greater
than in 1938; that of Rumania, 85 percent greater; that of Poland,
50 percent greater; and that of East Germany, 36 percent greater.
* Pollowing p. 48.
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17-1.00090008000V?601.0-6/c1CIN-V10 : Z0/60/6661. eseeieN .10d peA0.1ddV
SECRET EUROPEAN SATELLITES*
INDEXES OF SELECTED GROSS NATIONAL PRODUCT SECTORS, 1953
*ALL SATELLITES
BULGARIA
CZECHOSLOVAKIA
EAST GERMANY
HUNGARY
POLAND
RUMANIA
*ALL SATELLITES
BULGARIA
CZECHOSLOVAKIA
EAST GERMANY
HUNGARY
POLAND
RUMANIA
13472 12-54
INDUSTRY
137
1950= 100
183
145
123
100
CONSTRUCTION
131
145
107
137
100
131
143
166
SECRET
TRANSPORTATION
AND COMMUNICATIONS
Figure 6
121
123
134
-0
-0
CD
a_
0
(I)
CT)
C,)
(I)
CD
CD
135
CD
100
AGRICULTURE
86
93
100
95
99
95
96
100
*Excludes Albania
137
0
CD
6
CD
(A)
Co
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SECRET
INDUSTRY SUBSECTORS
Energy
100
01 94
129
Metals /
corneryuas
Equipment ) 4k/.2
149
Building Materials ;;;---
Forest Products
Food Processing
Light and Textile
104
98
7
ct22-7 124
105
EAST GERMANY
Energy
100
173
152
158
211
279
EUROPEAN SATELLITES*
INDEXES OF INDUSTRY SUBSECTORS
1938 and 1953
**
Metals 418
Machinery and **
Equipment /
Chemicals **
Building Materials 0-
136
49
Forest Products 125
Food Processing
Light and Textile
, 99
131
BULGARIA
13461 8-54
KEY
1938
1953
//'
1950 = 100
..JZA?M 987
30
52
100
84
AV A
25
125
AV A
132
8
44
150
101
113
75
85
103
POLAND
100
faMEMMI ,r
MS
66
AAV
=BM
97
135
159
53
01
119
118
78
HUNGARY
108
SECRET
178
71
94
Figure 7
64
100
AiV
80
123
12
/
30
126
AV A
81
85
109
93
99
99
CZECHOSLOVAKIA
100
93
130
IMENOMM
AV
00
79
136
172
159
11:11"1111111151V A
..
gNMEItl
V"
101
116
98
119 119
-4-
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136
* Excluding Albania
**Zero or negligible
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? - _ _ _
(2) Distribution of Production of Energy Products
in 1953.
Among the Satellite countries the major producers
of electric power were East Germany, Poland, and Czechoslovakia, in
that order. Germany accounted for two-fifths of the output of elec-
tric power of all the Satellites; Poland, almost one-fourth; and
Czechoslovakia, one-fifth. Nearly seven-tenths of the Satellite out-
put of lignite and brown coal was produced in East Germany. The next
largest producer was Czechoslovakia, with over one-seventh of total
Satellite production. Output of hard coal (bituminous coal and
anthracite) was concentrated in Poland, which produced almost eight-
tenths of total Satellite output. Most of the remaining production
of hard coal occurred in Czechoslovakia. In the Production of syn-
thetic petroleum, East Germany led with three-fourths of the output,
the next most important producer being Czechoslovakia With over one-
fifth of the Satellite total. Crude oil output was confined Almost
entirely to Rumania, which accounted for seven-eighths of the total
Satellite production (see Table 26).
Table 26
Distribution of Production of Selected Energy Products
in the European Satellites
1953
Percent
Product
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Electric Power
Lignite and Brown Coal
Hard Coal
Synthetic Petroleum
Crude Oil
100
100
1003
100
100
0
4
2
3
2/
20
15
18
22
1
141
68
75
0
8
8
2
0
6
23
3,
77
3
2
5
3
87
a. Less than 1 percent.
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- - _ _
For specific output data and comparison of
European Satellite and USSR production, see Appendix A, Tables 56
and 57.*
b. Metals Industries.
(1) Trends of Production.
There has been substantial increase in the out-
put of metals among the Satellites. Bulgaria, starting from a small
1952 base, increased its production by 79 percent by 1953. During
this year the metals output of East Germany increased by 22 percent.
Rumania increased its production of metals during the same period
by 10 percent; Hungary, by 7 percent; Poland, by 6 percent; and
Czechoslovakia, by 4 percent.
Compared with 1938, 1953 production was 133
percent higher in Hungary and 103 percent higher in Poland. Out-
put in Czechoslovakia increased by 79 percent between 1938 and 1953,
more than twice the increase of 36 percent in Rumania. The East
German production had not yet attained prewar levels, being 6 per-
cent below 1938 in 1953. It is noteworthy that Bulgaria, which had
no metals output in 1938, accounted for an increase of nearly 250
percent between 1949 and 1953.
(2) Distribution of Production of Hetals in 1953.
The major producers of iron and steel are Czecho-
slovakia, Poland, and East Germany. In 1953, Czechoslovakia produced
35 percent of all the finished steel manufactured in the Satellite
Countries and 37 percent of the pig iron. In this same year, Poland
produced 29 percent of the finished steel and 32 percent of the pig
iron, while East Germany produced 23 percent of the finished steel
and 18 percent of the pig iron. Hungary contributed slightly under
10 percent of finished steel and pig iron produced in the Satellite
countries. A small production of about 5 percent of the total was
accounted for by Rumania.
There is a good deal of specialization in the
production of nonferrous metals. For instance, all the mercury is
produced in Czechoslovakia, and the small tin output comes entirely
* Pp. 110 and 111, respectively, below.
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from East Germany. Czechoslovak output of antimony accounts for 95
percent of the total. Production of copper is more widespread.
Forty-six percent of all the copper output of the Satellites is pro-
duced in Poland, while another 42 percent comes from East Germany.
The output of the other countries was not important in the over-all
total, although all of these other countries produced some primary
copper.
rhirty-three percent of the refined lead was pro-
duced in Poland, with another 31 percent coming from Bulgaria. A
sizable proportion -- 17 percent -- was produced in East Germany, 10
percent in Czechoslovakia, and 9 percent in Rumania. Production of
Aluminum was concentrated in Hungary to the extent of 52 percent of
total Satellite output. The next major produceri East Germany, had
an output of 38 percent of the total, with Czechoslovakia and Rumania
each producing 5 percent of the total (see Table 27).
Table 27
Distribution of Production of Selected Metals in the European Satellites
1953
Percent
All
European Czecho- East
Metal Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
81
6
0
31
0
0
0
Finished Steel
Pig Iron
100
100
0
0
Primary Copper
100
3
Aluminum Ingot
100
0
Refined Lead
100
o
Antimony
100
0
Mercury
100
0
Tin
100
0
35
23
9
29
4
37
18
.8
32
5
Negligible
42
Negligible
46
3
5
38
52
o
5
10
17
Aegligible
33
9
95
5
o
0
0
100
0
0
0
0
0
100
0
0
0
a. Less than 0.05 percent.
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For specific output data, and comparison of
European and Soviet production, see Appendix A, Tables 58 and 59.*
c. Machinery and Equipment.
(1) Trends of Production.
In the machinery and equipment industries 1953
output increased over 1952 in a range from 7 percent for Czechoslovakia
and Bulgaria to 15 percent for East Germany. Rumanian output increased
by 8 percent Hungarian by 9 percent, and Polish by 11 percent.
Between 1938 and 1953 the output of Hungary,
which started from '?ow prewar base, almost quadrupled. Polish out-
put for the same period increased almost five times. In Czechoslovakia
the output increased about three times. These achievements compare
with a failure of, East Germany to reach prewar levels in 1953. The
1953 output was 24 percent below the 1938 level. Since Bulgaria and
Rumania had no prewar output of machinery and equipment of any impor-
tance, comparison with 1948 is used. For Bulgaria the output increased
about 9 times between 1948 and 1953 and for Rumania, aboat two and
one-half times for the same time period.
(2) Distribution of Production of Machinery and
bouipment in 1953.
The output of machine tools in 1953 was concen-
trated in East Germany (44 percent of total Satellite output) and
Czechoslovakia (36 percent of total Satellite output). The output
of Poland was 14 percent of the total Satellite production. A
similar distribution of production was reported for metalworking
machinery, with Czechoslovakia and East Germany contributing over
40 percent each of total Satellite output, Polish output being 10
percent of the total. Again in the case of bearings, the predomin-
ance of Czechoslovakia and East Germany is noteworthy. Czecho-
slovakia produced 50 percent of all the bearings produced by the
Satellite countries, and East Germany produced 43 percent, with
Polish output amounting to 5 percent of the Satellite total. The
proportions of passenger car output contributed by each country
were very similar to the proportions of bearings -- 53 percent
by Czechoslovakia, 40 percent by East Germany, and 7 percent by
Poland.
* Pp. 111 and 113 respectively, below.
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The manufacture of trucks was less concentrated
than the aforementioned products. Here, 30 percent of the output
was contributed by Czechoslovakia, 28 percent by East Germany, 27
percent by Poland, and 15 percent by Hungary. The production of
tractors was even more dispersed, 36 percent of the Satellite total
having been produced in Czechoslovakia, 22 percent in East Germany,
19 percent in Poland, 12 percent in Hungary, and 11 percent in
Rumania.
The production of steam locomotives was concen-
trated in Czechoslovakia to the extent of 43 percent of total
Satellite output. Other important contributors to Satellite output
were Poland with 26 percent of the total, Hungary with 19 percent,
and :Rumania with 12 percent. The output of freight cars was some-
what more diffused over the Satellites than the output of steam loco-
motives, with Czechoslovakia producing 31 percent of the total and
Poland 27 percent of the total. The East German contribution amounted
to 19 percent of Satellite output of freight cars, with Hungary con-
tributing 14 percent, Rumania 7 percent, and Bulgaria a minor
percent.
In the field of electrical and electric-power
equipment a definite concentration is noted in Czechoslovakia, East
Germany, and Hungary. For instance, in 1953, Czechoslovakia pro-
duced 64 percent of the turbines manufactured in the Satellite
countries, and East Germany produced 24 percent. Hungary's Output
was 6 percent. The output of electric motors was confined, in
general, to the three countries listed above, although every
Satellite had some production. East Germany produced the largest
share -- 41 percent -- and Czechoslovakia aid Hungary each pro-
duced 21 percent, altogether accounting for over four-fifths of
the output of the Satellites. Telephone and telegraph equipment
was produced in only three Satellite countries, Hungary producing
47 percent of the total; East Germany, 28 percent; and Czecho-
slovakia, 25 percent (see Table 28*).
* Table 28 follows on p. 54.
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Table 28
Distribution of Production of Selected Machinery and Equipment
In the European Satellites
1953
Percent
All
European Czecho- East
Machinery and Equipment Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Machine Tools '100 12/ Negligible N.A. 36 sf 44 2/ 6 y 14 y 1 82/
Metalworking Machinery ,100 0 0 43 43 4 10 0
Trucks 100 0 0 30 28 .15 27 0
Tractors 100 0 0 36 22 12 19 11
Passenger Cars 1100 0 0 53 40 o 7 0
Bearings ,100 0 0 50 43 0 5 2
Steam Locomotives 100 0 0 43 0 19 26 12
Freight Cars 1100 0 2 31 19 14 27 7
Turbines 100 1)/ NA. N.A. 64 12/ 2412/ 612/ 5 y 1 12/
Electric Motors .100 2 4 21 41 21 7 4
Telephone and Tele-
graph Equipment '100 0 0 25 28 47 0 0
a. Percentage distribution is for all Satellites excluding Bulgaria, whose output is
relatively unimportant. .
b. Percentage distribution, is for all Satellites excluding Albania and Bulgaria, whose
outputs are relatively unimportant.
For specific output data and a comparison of
European Satellites and Soviet production, see Appendix A, Tables
60 and 61.*
d. Chemicals.
(1) Trends of Production.
Output of chemicals increased during 1952-53 by
large percentages in Bulgaria and Hungary -- 42 percent and 31 per-
cent, respectively. Production in Poland was augmented by 12 percent
17-157117-arils, respectively, below.
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during the year, with a 9-percent increase in East Germany and a 6-
percent increase in Rumania. In contrast to the prewar year of 1938,
the chemical industry increased by over 150 percent in Poland and by
about 130 percent in Rumania. The output of Hungary increased during
the 1938-53 period by 76 percent, that of Czechoslovakia by 70 per-
cent, and that of East Germany by 55 percent. The output of Bul-
garia, which was zero in 1938, reached a levnl by 1953 over 20 times
that of the 1948 output.
(2) Distribution of Production of Chemicals
in 1955:
The northern Satellites, East Germany, Czecho-
slovakia, and Poland, dominate the production of chemicals. In
1953, East Germany produced 33 percent of the Satellite sulfuric
acid output. Poland produced 31 percent, and the output of Czecho-
slovakia was 21 percent. Production of caustic soda was concen-
trated in East Germany to the extent of 56 percent, with another
20 percent in Poland, 11 percent in Czechoslovakia, and 10 percent
in Rumania. East Germany produced the largest proportion of
chlorine, nitric acid, synthetic ammonia, and calcium carbide; 75
percent, 50 percent, 62 percent, and 71 percent of the Satellite
total, respectively. Two countries predominated in the manufacture
of refined benzol Poland, which produced 47 percent, and Czecho-
slovakia, whose output was 42 percent. Likewise, the output of
toluol was confined mostly to Czechoslovakia and Poland to the ex-
tent of 42 percent and 38 percent, respectively, with East Germany
contributing 17 percent. East Germany dominated the production of
refined phenol in 1953, accounting for 54 percent of the all-
Satellite total, with 28 percent of the total coming from Poland,
and 18 percent from Czechoslovakia. Seventy-five percent of
cresol was produced in East Germany. Output of xylol and naphthdlene
WAS confined generally to Poland and Czechoslovakia, their contribu-
tions being in the neighborhood of 40 percent each, with East Ger-
many contributing 18 percent of xylol and 12 percent of naphthalene.
East German production of synthetic rubber was 92 percent of the
total. Czechoslovakia predominated in the output of rubber Urea,
with 53 percent of the total, while East Germany contributed 25
percent. In the production of reclaimed rubber Czechoslovakia led
again with 46 percent of the total. Poland contributed 27 percent
and East Germany 26 percent (see Table 290.
* Table 29 follows on p. 56.
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Table 29
Distribution of Production of Selected Chemicals
in the European Satellites
1953
Percent
Chemicals
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Sulfuric Acid
Caustic Soda
Chlorine
Nitric Acid
Synthetic Ammonia
Calcium Carbide
Refined Benzol
Toluol
Refined Phenol
Cresols
Xylol
Naphthalene
Rubber Tires
Synthetic Rubber
Reclaimed Rubber
100
100
100
100
100
100
100
100
100
100
100
100
100
100
100
0
0
0
0
0
0-!_i/i
0
0
0
0
0
045
0
0
0
1
0
o
9
5
4/,
4/,
4t,
2/
0
i/
0
1
21
11
12
11
12
7
42
42
18
9
38
53
3
46
33
56
75
58
62
71
8
17
54
75
18
12
25
92
26
9
3
2
2
4
2
2
2
e
2
3
5
0
0
31
20
7
13
15
19
47
38
28
12
41
40
10
6
27
5
10
3
7
2
1
1
1
2/
2/
1
e
0
0
a. Less percent.
For specific output data and comparison of
European Satellites and USSR production, see Appendix A, Tables 62
and 69.*
e. 221111.10.11tEall.
(1) Trends of Production.
The output of building materials increased by 31
percent in East Germany between 1952 and 1953. Four of the other
Satellites -- Bulgaria, Poland, Rumania, and Albania increased
* pp. 116 ana-124, respectively, below.
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their output by about 15 percent. A 10-percent increase was reported
for Hungary and 7-percent for Czechoslovakia.
(2) Distribution of Production of Building
Materials in 1953.
Almost three-fourths of the production of cement
occurred in 3 of the Satellites -- Czechoslovakia, East Germany,
and Poland. The output of Poland was 30 percent of the Satellite
total, that of Czechoslovakia was 24 percent, and that of East Ger-
many-was 21 percent. Of the Southern Satellites, Rumania had 12
percent of the Satellite total, while Hungary and Bulgaria contri-
buted 7 percent and 6 percent, respectively. Brick production was
divided among the Satellites in proportions similar to that of
cement. Poland accounted for 28 percent of the Satellite output,
East Germany) 25 percent; Czechoslovakia)19 percent; Hungary:1.13
percent; Rumania,9 percent; and Bulgaria l6 percent. Total 'batellite
output of cement was 70 percent as much as the Soviet production in
1953. Brick output was 57 percent of Soviet production. For
specific output data, see Appendix A, Table 58.*
f. Forest Products.
(1) Trends of Production.
From 1952 to 1953, output of forest products
declined in 4 Satellite countries and increased in the other 3.
The declines ranged from 1 percent in Hungary to 4 percent in
Czechoslovakia and Albania. Polish output declined by 3 percent.
Increases of 1, 2, and 9 percent occurred in East Germany,
Rumania, and Bulgaria, respectively.
(2)
Distribution of Production of Forest
Products in 1953.
Bulgaria and Rumania had the highest propor-
tions of the output of fuelwood in the Satellite countries, Bul-
garian output was 28 percent of the total, and Rumania accounted
for 27 percent. Czechoslovakia, Poland, and East Germany were
each in a range of 10 to 12 percent of total Satellite output.
The contribution of Hungary was 7 percent, and the remaining 6
* P. 1110 below.
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percent was provided by Albania. In the production of industrial
wood, the alignment Is somewhat different. The largest Satellite
producer, Poland, had 28 percent of the total, and Czechoslovakia,
East Germany, and Rumania supplied about 20 percent each. Bulgaria
produced only 7 percent of the total and Hungary and Albania, 2
percent each (see Table 30). The production of fuelwood in the
Satellites was one-sixth that of the USSR, while industrial wood
output was about one-fifth that of the USSR. For specific output
data, see Appendix A, Table 65.*
Table 30
Distribution of Production of Forest Products
In the European Satellites
1953
Percent
Country Fuelwood Industrial Wood
European Satellites 100 100
Albania 6 2
Bulgaria 28 7
Czechoslovakia 10 20
East Germany 12 20
Hungary 7 2
Poland 10 28
Rumania 27 21
g. Food Processing Industry.
(1) Trends of Production.
Output of processed foods in 1953 as compared to
that of 1952 declined in the Satellite countries. The declines ranged
from 2 percent in Albania to 25 percent in Czechoslovakia. Decreases
in output of about 4 percent occurred in Bulgaria and Hungary. Rumania,
East Germany, and Poland had decreases ranging from 8 to 12 percent.
* P. 121, below.
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? MM. IMM
With the exception of Albania, the levels of 1953
output were well below those of 1938. In Poland aid Czechoslovakia
the 1953 output was 34 percent and 18 percent below 1938, respectively.
Outputs of Rumania, Bulgaria, Hungary, and East Germany, were less
than in 1938, in a range from 11 to 16 percent, and Albanian output
was 69 percent above 1938.
(2) Distribution of Production of Processed
Foods in 1953.
Production of flour was well distributed among
the various Satellites. Poland was the largest producer, accounting
for an output of 33 percent of the Satellite total. Czechoslovakia
and East Germany had outputs of 15 percent and 17 percent, respec-
tively. Bulgaria,-Hungary, and Rumania produced between 11 percent
and 12 percent each. The contribution of Albania was less than 0.05
percent. Production of animal fats was somewhat more concentrated,
with Poland supplying 33 percent; East Germany, 27 percent; Czecho-
slovakia, 17 percent; and Hungary, 13 percent. Rumania and Bulgaria
produced 6 percent and 4 percent, respectively, the output of
Albania being negligible. The output of vegetable oil in East Ger-
many, Hungary, Poland, and Rumania ranged from 17 percent to 23
percent of the Satellite total, while 12 percent was produced in
Bulgaria, 4 percent in Czechoslovakia, and 2 percent in Albania.
Production of raw sugar was concentrated in Czechoslovakia and
East Germany, each having 26 percent, and Poland, which had 31
percent. The raw sugar production of Hungary was 10 percent of
the total; that of Rumania, 5 percent; and that of Bulgaria, 2
percent. Albania's output was negligible. Poland and East Ger-
many each produced 27 percent of the total meat output, Czecho-
slovakia, 18 percent; Hungary and Rumaaia, 11 percent each; and
Bulgaria, the remaining 6 percent. Albania's output of meat was
negligible (see Table 31*).
? For specific output data and a comparison
of European Satellite and Soviet production, see Appendix A,
Tables 66 and 67.**
? * Table 31 follows on p. 60.
** 1p. 121 and 122, respectively, below.
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Table 31
Distribution of Production of Selected Processed Foods
in the European Satellites
1953
Percent
Country
Flour
Animal
Fats
Vegetable
Oil
Raw Sugar
Meat
European Satellites
100
100
100
100
100
Albania
A/
e
2
PI
i/
Bulgaria
1T
12
2
Czechoslovakia
15
17
4
26
18
East Germany
17
27
17
26
27
Hungary
12
13
23
10
11
Poland
33
33
21
31
27
Rumania
12
6
21
5
11
a. Less thaii775577a7c7117.-
h. Light and Textile Industry.
(1) Production Indexes.
Output of the light and textile industry
in 1953 increased over the previuus year in all Satellite countries
except Poland, which had a one percent decline, and Czechoslovakia,
where it remained constant. The extent of the increases in the
remaining Satellites was very wide, reaching a, maximum of 23 percent
for Albania. Hungary's production Was up by 2 percent, Rumania's
by 8 percent, Bulgaria's by 9 percent, and East Germany's by 11
percent.
Only East Germany failed to exceed its
1938 output, 1953 produotion being 12 percent below the 1938 level.
Other Satellites had increases in output in a range from 14 percent
for Rumania to 21 percent for Poland. Within this range were
Bulgaria and Czechoslovakia with an increase of 16 percent over
1938, and Hungary with an 18?percent increase.
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(2) Distribution of Production of Light ard
Textile Products in 1953.
Czechoslovakia's output represented the largest
proportion (49 percent) of all the boots and shoes manufactured in
the European Satellites. The next largest producer, East Germany,
produced about one-half this amount, 24 percent of the Satellite
total. The contribution of Poland to boot and shoe production was
12 percent, with Rumania and Hungary adding 6 percent and 7 percent,
respectively. Bulgaria's output was 2 percent, and Albania pro-
duced 0.4 percent of the Satellite total.
Production of rayon was concentrated in Rae,
Germany, which produced 70 percent of the Satellite total. Czecho-
slovakia produced 19 percent, and the remaining output was provided
by Poland, with 9 percent, and Rumania and Hungary, each with 1
percent, The largest producer of wool was Poland, with 39 percent
of the total output, followed closely by Czechoslovakia with pro-
duction which amounted to 29 percent of the total. Of the other
producers, Hungary supplied 12 percent; East Germany, 9 percent;
Rumania, 6 percent; and Bulgaria, 5 percent. The production of
cotton yarn was rather widely distributed, with Poland providing
34 percent; Czechoslovakia, 28 percent; East Germany, 16 percent;
Hungary, 10 percent; and Rumania and Bulgaria, 6 percent each.
Albania produced a minor amount (see Table 32).
Table 32
Distribution of Production of Light and Textile Industries
in the European Satellites .
1953
Percent
Boots and
Country Shoes
Synthetic Products
(Rayon)
Wool
Yarn
Cotton
Yarn
European Satellites 100
100
100
100
Mania.
0.4
0
0
0.4
Bulgaria
2
0
5
6
Czechoslovakia
49
19
29
28
East Germany
24
70
9
16
Hungary
7
1
12
10
Poland
12
9
39
34
Rumania
6
1
6
6
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For specific output data and comparison of
European Satellite and Soviet production, see Appendix A, Tables
68 and 69.*
B. Agricultural Sector.
1. Trends of Production.
In contrast to the continued substantial postwar gains
shown by the industrial sector of the Satellite economies, the near
recovery of agriculture to postwar peaks in 1950-51 was followed by
declines of several percent in the following 2 years. As May be
seen from Figure 8**, only Albania, Bulgaria,- and Hungary exceeded
the prewar level of agricultural production, and only Albania and
Bulgaria were able to stay above that level in 1953, however, the
latter by a very Slight margin.
a. Industrial Cr.
Some branches of agriculture fared better than others.
Several of the Satellites have fostered industrial crops in order to
produce their own raw materials for the sugar and textile industries.
Sugar beets ad fibre crops have been given special encouragement.
The production index for industrial crops in Albania, Bulgaria,
Hungary, and Rumania was considerably higher in 1953 than it was in
1950 (see Table 33**). The crop indexes started from a low prewar
base in these four countries, rose at a rapid rate immediately after
the war up to 1951, and were still high in 1953. In Poland and
Czechoslovakia, on the other hand, there has been a slight decline
and in East Germany a drop of about 33 percent from the prewar
production of industrial crops, principally in production of sugar
beets and wool.
b. Livestock Numbers and Food Croa.
Indexes of livestock numbers and production of food
crops, given in Table 34***, in all the Satellites except East
Germany show an almost universally lower level of output in 1953
than in 1950. Moreover, there were sizable declines in production
* Pp. 123 and 124, respectively, below.
** Following p. 62.
*** Tables 33 and 34 follow on p. 63.
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100
107
EUROPEAN SATELLITES
AGRICULTURAL SECTOR INDEXES, 1938, 1951, and 1953
110
1950= 100
120
126
Figure 8 -0
(I)
0-
11
0
(I)
(I)
C,)
(I)
CD
CD
100 to
1938 1951 1953
ALBANIA
13474 12-54
1938 1951 1953
1938 1951 1953
BULGARIA CZECHOSLOVAKIA
1938 1951 1953
EAST
GERMANY
SECRET
1938 1951 1953 1938 1951 1953
HUNGARY
POLAND
1938 1951 1953
RUMANIA
CD
0
CD
cb
CD
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Table 33
Indexes of Industrial Crop Production
in the European Satellites
1938 and 1948-53
1950
100
Country
1938
2/
1948
1949
1950
1951
1952
1953
Albania
78
86
90
100
113
110
123
Bulgaria
84
95
101
100
117
103
123
Czechoslovakia
99
81
81
100
94
76
91
East Germany
138
76
69
100
102
74.
93
Hungary
71
93
100
100
125
91
112
Poland
97
72
83
100
86
79
92
Rumania
85
88
91
100
105
96
114
1935-39a. average.
in 1953 from the previous year for 3 countries, amounting to a
drop of 15 percent for Hungary, nearly 10 percent for Poland, and a
percent for East Germany. This decline was principally in livestock
numbers, since breadgrain production was not below the previous year,
except in Poland, but cattle and hog numbers were dawn in all countries.
Table 34
Indexes of Livestock Numbers and Food Crops
in the European Satellites
1938 and 1948-53
1950
= 100
Country
1938 W
1948.
1949
1950
1951
1952
1953
Albania
Bulgaria
Czechoslovakia
East Germany
Hungary
Poland
Rumania
93
100
110
118
109
120
130
100
104
83
81
93
81
106
99
Ica
88
86
101
96
99
100
100
100
100
100
100
100
105
106
100
108
111
92
114
97
95
98
109
95
95
95
99
99
95.
loa
81
86
95
a. 1935-39 average.
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_
2. Distribution of Production.
The relative distribution among the Satellites of live-
stock numbers and major crop production given in Table 35 gives an
idea of the major agricultural contributors to the Satellite total.
Except for the industrial crops and rice, the relative distribution
of agricultural output in 1953 was very similar to that of the pre-
war period. Poland still is predominant in production of grains
and livestock but does not account for so large a percentage of the
total numbers of cattle and hogs as in the prewar period, having
dropped from 39 to 29 percent of the total cattle numbers and from
39 to 32 percent of the total number of hogs. Hungary and Rumania
have made notable gains over the other Satellites in growing rice,
cotton, and hemp; Rumania holds the lead in production of wool;
and Poland grows more than 50 percent of the flax.
For specific output data and a comparison of European
Satellite and Soviet production, see Appendix A, Tables 72 and 73.*
Table 35
Distribution of Livestock Numbers and Production of Selected Crops
in the European Satellites
1938 2/ and 1953 *
Percent
Cattle
Sheep and Goats
Hogs
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
1938 100 2 6 18 14 7 39 14
1953 100 2 8 19 18 8 29 16
1938 100 8 31 5 8 5 9 33
1953 100 8 29 5 8 3 10 37
1938 100 0.1 3 13 23 12 39 10
1953 100 0.1 4 17 25 14 32 8
i--footnote EF Table 35 follows on p. 65.
Pp. 126 and l30, respectively, below.
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_ _ _ _ _ _
Table 35
Distribution of Livestock Numbers and Production of Selected Crops
in the European Satellites
1938 2/ and 1953
(Continued)
Percent
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Horses
1938
100
1
7
9
11
11
42
20
1953
100
1
8
10
12
10
46
14
Breadgrains
1938
100
0.2
9
13
15
13
37
13
1953
100
0.5
11
13
14
14
36
12
Coarse Grains
1938
100
0.7
7
13
13
16
24
26
1953
100
1
9
15
14
17
23
22
Rice
1938
loo
4
91
0
0
0
0
4
1953
100
4
22
0
0
1
o
24
Potatoes
1938
100
0
0.2
16
21
3
58
2
1953
100
0
0.2
14
23
3
58
2
Cotton (Ginned)
1938
100
0
90
0
0
0
0
10
1953
100
4
51
0
0
11
0
35
Wool (Grease)
1938
loo
4
27
1
11
13
6
38
1953
100
5
26
2
8
8
7
44
Flax
1938
loo
0
0.4
22
20
4
47
7
1953
100
0
1
18
12
6
55
9
Hemp
1938
100
o
6
7
13
18
16
41
1953
100
0
8
6
3
26
9
48
Sugar Beets
1938
100
0
1
23
35
5
33
3
1953
100
0.3
2
23
28
10
30
5
a. 1935-3y average.
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V. Consumer Welfare.
A. Introduction.
Although Consumer welfare has been affected by distinctive
faCtors in some or the European Satellites, a common pattern of
developments in this sphere is discernible. During the first phase,
roughly covering the period from the end of the war to 3_949, the
economies converted and recovered from wartime conditions. This
phase is characterized by increased supplies of consumer goods, par-
tial Or complete reduction of rationing, and, toward the end of the
period, the initiation of a moderate, short-term program of indus-
trialization and Socialization under a quasinationalistic banner.
With the elimination or reduction in scope of rationing, retail
prices typically were stabilized somewhere between the level which
had existed for rationed goods and that for transactions on the
free market.
The second phase of economic developments especially per-
tinent to a-consideration of consumer welfare is marked by the in-
auguration of the first Satellite Five Year Plans (a Six Year Plan
in the case of Poland). These programs represented a shift in
resource allocation in favor of industrial buildup, particularly
expansion of heavy industry, and an emphasis on greater integration
of the economies of the Bloc countries under the direction of the
USSR. Real per capita consumption does not appear to have fallen
as a result of these plans, but the growth in gross national prod-
ucts was devoted almost entirely to capital investment rather
than to improvement of living conditions.
Following the enlistment of growing nuMbers of workers in
new or rejuvenated industries at relatively high wages, there was
a widening gap between the amount of money accumulated by workers
and the supply of ,consumer goods Which could be purchased with
that money. A serious degree of absenteeism from work, inflation,
and related difficulties retuned. To correct these byproducts
of the countries' !rapid industrialization, currency refOrms were
instituted in each major Satellite except Hungary. Under the
cover of these reforms, consumer savings were to a large extent
confiscated, consumer incomes were adjusted to the available sup
plies of consumer goods, and real income was redistributed to
further Communist economic and political goals.
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The third phase of postwar developments particularly affect-
ing consumer welfare dates from the middle or latter part of 1953,
depending upon the country. Various price and tax reductions and
wage increases were reportekand increased supplies of goods were
made available. Some shift In production and in new plant con-
struction favoring consumer goods apparently also took place. But
in general, the per capita availability of consumer goods in the
European Satellites has remained below the prewar levels in these
countries.
The foregoing developments are reflected in the data below
on the per capita caloric consumption of food and the per capita
production of agricultural commodities and manufactured goods. Of
these, caloric consumption alone takes account of imports and ex-
ports and changes in inventories. Thus the other measures do not
show exactly what has been happening to the standard of living,
because they reflect current production only.
Although food and manufactured consumer goods are paramount
in a consideration of living standards, some attention to housing
and the service trades would be desirable if adequate information
were at hand. Nevertheless, it is not thought that these omissions
materially affect the welfare implications of the per capita pro-
duction figures which are presented. The problem of estimating
consumdr welfare may also be approached from the point of view of
trends in purchasing power of wages and cost of living. Since the
necessary time series of price and wage data are not available,
per capita measures of consumption and production were employed
in the present instance.
B. Availability of Agricultural Commodities.*
1. Per Capita Consumption of Food.
The difficulties which the Communist regimes have ex-
perienced in increasing agricultural production are clearly reflected
in what is perhaps the most significant single indicator of consumer
welfare -- the per capita food consumption in calories. Table 36**
and Figure 9*** show the average daily caloric consumption per person
* Including livestock, food crops, and industrial crops.
** Table 36 follows on p. 68.
*** Following. p. 68.
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Table 36
Average Daily Per Capita Caloric Consumption of Irood a/
- in the European Satellites 166/
Prewar, 1951/52, 1952/53, and 1753/54
Country
Calories
Changes (Percent)
Prewar to
1953/54
1951/52
to 1952/53
1952/53
to 1953/54
1'rewar
19 1/52
19 2/53
1953/54
Albania
1,758 2/
1,624
1,471
1,645
-6
-9
+12
Bulgaria
2,424 2/
2,326
2,177
2,336
-4
-6
+7
Czechoslovakia
2,501 2/
2,364
2,262
2,358
-6
-4
+4
East Germany -
2,810 y
2,081
2,102
2,356
-16,
+1
+12
Hungary
2,632 2/
2,367
2,324
2,372
-10
-2
+2
Poland
29791 2/
2,723
2,745
2,783
0
+1
+1
Rumania
2,606 2/
2,483
2,080
2,168
-17
-16
+14
a. Includes grains, sugar, potatoes, animal fats and vegetable oils, fish,and milk,
which normally account for 90 to 95 percent of total caloric consumption.
b. 1 July to 30 June.
c. 1933-37 average.
d. 1935-38 average.
e. 1934-38 average.
in the seven Satellite countries during the prewar period and for
the years 1951/52, 1952/53, and 1953/54.* Food consumption in the
year ending 30 June 1954 was expected to equal the prewar level only
In Poland. The estimated decline from prewar levels in the other
countries ranges from 4 percent in Bulgaria to 16 percent in East
Germany and 17 percent in Rumania.
Although the estimated per capita food consumption in
1953/54 is still below the prewar achievement in 6 of the 7 coun-
tries, it nevertheless represents a significant gain over the values
for 1952/53. Albania and East Germany show the largest increases
from 1952/53 to 1953/54 -- 12 percent in each case -- while increases
of from 1 to 7 percent are recorded for the other Satellites.
* For the consumption year, 1 July to 30 June.
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Largely because of unfavorable weather conditions for the 1952 har-
vest, food consumption in 1952/53 was lower than the previous year,
when the agricultural production of the Satellites reached the
highest point of the past 6 years. Still larger reductions in
consumption were avoided only by drawing upon State reserves of food-
stuffs or, in the case of East Germany, by obtaining additional im-
ports of foodstuffs from the USSR. 167/ As Figure 9 shows, the effect
of the 1953/54 gains in Albania, BuT7aria, Czechoslovakia, and Hungary
is generally to restore the food consumption levels of 1951/52.
East Germany has done much better than this, but Rumania is still
well below its 1951/52 accomplishment. Only Poland, which was a
close second to East Germany in prewar per capita caloric consumption
of food, has been successful in maintaining prewar standards through-
out the last 3 years.
2. Per Capita Production and Trade.
The availability of food in the European Satellites,
taken as a unit, depends very largely on each country's own agri-
cultural output. Inspection of the indexes of per capita agri-
cultural output in Table 37* indicates first, that prewar production
levels were reached in three of the countries but were not Inaintained;
second, that 1251 was in general the best year of the last six;
and third, that without exception, agricultural output in 1952 and
1953 was lower than (or, in a single case, equal to) output in 1951.
East Germany has made the greatest gain in production since 1948.
On the other hand, Bulgaria, Hungary, Poland, and Rumania show lower
agricultural production for 1953 than for any year in the period
1948-51.
Since agricultural production depends so heavily on the
unpredictable factor of weather, these estimates should not be
regarded as indicating a downward trend. On the other hand, there
can be no doubt that recent Communist efforts to increase production
of agricultural commodities have been unsuccessful and that this
problem continues to be one of the most serious ones facing the
Satellite governments.
* Table 37 follows on p. 70.
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mni MEP Imik
Table 37
Indexes of Per Capita Production of Agricultural Commodities 2/
in the European Satellites 12/
1938 and 1948-53
1950
= 100
Country
1938
1948
1949
1950
1951
1952
1953
Bulgaria
111
107
103
100
106
95
97
Czechoslovakia
93
85
93
100
99
94
92
East Germany
136
79
83
100
110
110
104
Hungary
109
94
101
100
111
92
93
Poland
95
83
91
100
90
83
81
Rumania
129
106
99
100
113
93
92
a. Livestock, food crops, and industrial crops. CIA indexes are
based on estimates of production, prices, and population.
b. Not including Albania.
The consumer in the Satellite countries has, furthermore,
suffered a qualitative as well as a quantitative reduction in his
diet from prewar standards. The per capita production of meats, fats
and oils, and sugar has been much lower in these countrieS since the
war than it was in 1938. 12.3/ These foods have to some extent been
replaced by grain products and potatoes. The proportion of food in-
take represented by grains alone has increased to 64 percent from a
prewar figure of 54 percent. 12/ This reduction in the protein and
fat content of the average diet is not only a source of dissatisfac-
tion among consumers but may well have a significant effect on the
productivity of the workers.
The consumption of food in the Satellites in 1952/53 was
more than usually dependent on intra-Soviet Bloc trade. This was
largely the result of the poor harvest of 1952, which restricted
farm output throughout the Satellites and eliminated the Balkan
Satellites' normal surpluses of grain. Additional shipments of
grain were consequently sent to East Germany from the USSR, and
Satellite exports to non-Bloc countries were drastically reduced.
During the year ending 30 June 1953 the USSR sent an estimated
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895,000 metric tons* of grain to Czechoslovakia and about half that
amount to, East Gemany, while receiving some 260,000 tons from
Poland and negligible amounts from Bulgaria and Rumania. The USSR,
however, received about 200,000 tons of potatoes and 60,000 tons of
sugar from East Germany and about 40,000 tons of sugar from Poland.
The only sizable shipments of meat from the USSR went to East
Germany and Czechoslovakia, which received 10,000 and 6,000 tons
respectively. On the other hand, Rumania supplied the USSR with
approximately twice this quantity of meat. The USSR also provided
the Satellites with some animal fats and vegetable oils -- most
notably 43,000 tons for East Germany and 21,000 tons for Czecho-
slovakia. 1E/
C. Per Capita Production of Manufactured Consumer Goods.
Indexes of per capita production of manufactured consumer
goods in the European Satellites show a distinctly different
situation from that discussed above for agricultural commodities.
Table 38**indicates that Bulgaria, East Germany, Hungary, and
Rumania have made important gains in the manufactured consumer
goods sector throughout the period 1948-53. The increase from
1948 to 1953 amounts to 109 percent for East Germany (whose
output Of such goods was still at a very low level in 1948). 37
percent for Hungary and Rumania, and 25 percent for Bulgaria.
Czechoslovakia and Poland achieved their prewar outputs of manu-
factured consumer goods rather quickly after the war, but as
Table 38 shows, their production of these goods has generally
leveled off since 1948 and was less in 1953 than in the preceding
3 years.
Per capita production of the light and textile industries
(see Table 39**) has followed much the same pattern as the more
inclusive category of manufactured consumer goods. A tendency
for production to level off and then decline is again apparent for
the countries which attained prewar levels relatively early (Czecho-
slovakia, Hungary, and Poland). Conversely, very rapid rates of
growth in the production of these goods are found for the countries
whose outputs were rather low during the first postwar years
(Rumania, Bulgaria, and especially East Germany).
* Tonnages throughout this report are given in metric tons-.
** Tables 38 and 39 follow on p. 72.
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Table 38
Indexes of Per Capita Production of Manufactured Consumer Goods
in the European Satellites 2/
1938 and 1948-53
1950
= 100
Country
1938
1948
1949
1950
1951
1952
1953
Bulgaria
119
92
98
100
108
112
115
Czechoslovakia
76
94
103
100
99
101
93
East Germany
96
68
84
100
124
137
142
Hungary
94
79
90
100
104
107
108
Poland
79
79
90
100
101
96
91
Rumania
120
85
91
100
108
115
116
a. Not including Albania. CIA indexes are based on estimates of
production, prices, and population.
Table 39
Indexes of Per Capita Production of Light and Textile Industry
in the European Satellites 2/
1938 and 1948-53
1950 iv 100
Country
1938
1948
1949
1950
1951
1952
1953
Bulgaria
126
88
101
100
113
118
127
Czechoslovakia
72
107
113
100
100
97
96
East Germany
196
61
87
100
130
142
160
Hungary
79
77
89
100
102
104
105
Poland
67
82
96
100
102
100
97
Rumania
122
74
83
100
113
123
131
a. Not including Albania. CIA indexes are based on estimates of
production, prices, and population.
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VI. Population.
A. Summary.
Satellite population will continue to grow slowly. In the
near future the proportion of old people will increase, as will the
proportion of children 14 years of age and under. As a consequence,
the proportion of the persons in the 15-59 years age group will
decrease. The labor force itself will increase only slightly as a
percentage of the total population. Within the labor force a
structural change which began earlier will continue, to the end that
larger proportions of the labor force will be devoted to industrial
pursuits and smaller proportions to agricultural pursuits. By 1956,
more workers will be engaged in nonagricultural pursuits than in
agricultural.
B. Total Population.*
Population in 1953 in the European Satellite countries in-
creased by 1 percent over 1952. Of a total 92 million persons 143
percent of the population of the USSR) almost 29 percent were in
Poland and nearly 20 percent in East Germany. The five other
Satellites accounted for slightly over 50 percent of the total
Satellite population (see Figure 10**).
Population estimates for the European Satellites indicate
that by 1956 the Satellite countries as a group will attain their
prewar population level of about 95 million persons. The relative
distribution of the population as among the various Satellites will
change but little by 1956. The percentage increases of individual
Satellite populations between 1953 and 1956 will vary from zero
for East Germany to 6.2 for Albania, with the over-all Satellite
increase estimated at 3.4 percent. Poland's population will rise
by 5.7 percent, Bulgaria's by 4.3 percent, with the population of
Rumania, Hungary and Czechoslovakia growing by 3.5 percent, 3.1
percent, and 2.7 percent, respectively (see Table 40***).
* Population statistics in this section refer to present boun-
daries both for prewar and postwar.
** Following p. 74.
*** Table 40 follows on p. 74.
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Table 40
Population of the European Satellites
1938 and 1948-56
Year
All
European
Satellites
Albania
Czeoho-
Bulgaria slovdkia
East
Germany
Hungary
Poland
Rumania
Number
(Thousands)
1938
94,979
1,100
6,544 14,606
16,600
9,156
31,200
15,873
1948
88,455
1,175
7,100 12,120
19,100
9,130
23,850
15,980
1949
89,488
1,285
7,175 12,260
19,100
9,200
24,300
16,168
1950
90,028
1,200
7,322 12,40o
18,800
9,220
24,780
16,306
1951
90,613
1,240
7,310 12,510
18,500
9,300
25,250
16,503
1952
91,386
1,270
7,423 12,640
18,200
9,380
25,770
16,703
1953
92,144
1,290
7,537 12,760
17,900
9,450
26,300
16,907
1954
93,239
1,310
7,652 12,880
17,900
9,580
26,800
17,117
1955
94,265
1,335
7,750 13,000
17,900
9,670
27,300
17,310
1956
95,285
1,370
7,860 13,105
17,900
9,740
27,810
17,500
Indexes
(1950 = 100)
1938
105.5
83.3
09.4 117.8
88.3
99.3
125.9
97.3
1948
98.3
97.9
97.0 97.7
101.6
990
96.2
98.0
1949
99.4
107.1
98.0 98.9
101.6
100.0
98.1
99.2
1950
100.0
100.0
100.0 100.0
100.0
100.0
100.0
100.0
1951
100.6
103.3
99.8 100.9
98.4
101.1
101.9
101.2
1952
101.5
105.8
101.4 101.9
96.8
101.7
104.0
102.4
1953
102.4
107.5
102.9 102.9
95.2
102.5
106.1
103.7
1954
103.6
109.2
104.5 103.9
95.2
103.9
108.2
105.0
1955
104.7
111.3
105.8 104.8
95.2
104.9
110.2
106.2
1956
105.8
114.2
107.3 105.7
95.2
105.6
112.2
107.3
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41111.. one AWN MOO
Table 40
Population of the Luropean Satellites
1938 and 1948-56
(Continued)
All
European Czecho- East
Year Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Distribution
(Percentage)
1938
1948
1949
1950
1951
1952
1953
1954
1955
1956
100
100
100
100
100
100
100
100
loo
100
1.1
1.3
1.4
1.3
1.4
1.4
1.4
1.4
1.4
1.4
6.9
8.0
8.0
8.1
8.1
8.1
8.2
8.2
8.2
8.2
15.4
13.7
13.7
13.8
13.8
13.8
13.9
13.8
13.8
13.8
17.5
21.6
21.3
20.9
20.4
19.9
19.4
19.2
19.0
18.8
9.6
10.3
10.3
10.2
10.3
10.3
10.4
10.3
10.3
10.2
32.8
27.0
27.2
27.5
27.8
28.2
29.5
28.7
28.9
29.2
16.7
19.1
18.1
18.2
18.2
18.3
18.3
18.4
18.4
19.4
C. Population by Age Group.
The pattern of development of population in the Satellites
is such that the youngest and the oldest age groups will increase
more rapidly than the very large group in between. The nuMber of
persons 14 years and under will increase by 19 percent between 1950
and 1960 in the European Satellites as a whole. In the age group
15 to 59 years (inclusive) the Increase will be only 4 percent,
while the 60-years-and-over group will grow by 23 percent.
This pattern will hold for all the individual Satellite
countries with the exception of Albania and East Germany. In Albania,
in the 0-14 years age group, the increase will be 29 percent. Al-
though there will be a 22-percent increase in the 1549 years age
group, the oldest age group, 60-years-and-over, will decrease by 1
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percent between 1950 and 1960. In East Germany the number of per-
sons in the 0-14 group will decline by 18 percent, whereas popu-
lation aged 15759 years will decrease by only 7 percent. At the
same time, however, the number of persons over 60 years old will
increase by 9 percent (see Table 41).
Table 41
Indexes of Population of the European Satellites by Age Group
1950, 1955, and 1960
Country Year 0 to 14
European Satellites 1950 100
1955 108
1960 119
Albania 1950 100
1955 110
1960 129
Bulgaria 1950 100
1955 113
1960 130
Czechoslovakia 1950 100
1955 113
1960 121
East Germany 1950 100
1955 87
1960 82
Hungary 1950 100
1955 105
1960 109
Poland 1950 100
1955 117
1960 140
Rumania 1950 100
1955 106
1960 121
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1950 = 100
15 to 59
60 and Over
100
100
103
109
104
123
100
100
112
92
122
99
100
100
103
107
106
123
100
100
101
109
102
123
100
100
96
102
93
109
100
100
102
110
104
126
100
100
107
116
109
142
100
100
105
113
108
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From the foregoing it appears that the proportion of total
population represented by the 0-14 years and 60-years-and-over
age groups will increase between 1950 and 1960. Persons 14 years
old and under will constitute 28.5 percent of total Satellite
population in 1960, compared to 26.3 percent in 1950. The only
case where this group will not become a larger proportion of
population will be in East Germany, where the proportion in 1950
was 22 percent, whereas the percentage in 1960 will be 19.5.
For all the Satellites, persons aged 60 years and over constituted
11 percent of the population in 1950, whereas in 1960 the proportion
will be 12.3 percent. In all the individual countries except Albania
the proportion of population will increase in this age group. On
the other hand, the percentage of population in the 15159 year
age group in the Satellites as a whole will decrease from 62.7 per-
cent in 1950 to 59.2 percent in 1960. Without exception the pro-
portions of population in the individual Satellites in this age
group will be lower in 1960 than in 1950 (see Table 42).
Table 42
Distribution of Population of the European Satellites by Age Group
1950, 1955, and 1960
Percent
Country Year Total 0 to 14 15 to 59 60 and Over
European Satellites 1950 100.0 26.3 62.7 11.0.
1955 100.0 27.0 61.7 11.3
1960 100.0 28.5 59.2 12.3
Albania 1950 100.0 36.6 55.6 7.8
1955 100.0 36.5 56.9 6.6
1960 100.0 38.5 55.3 6.2
Bulgaria 1950 100.0 26.9 63.5 9.6
1955 100.0 28.7 61.6 9.7
1960 100.0 30.6 59.0 10.4
Czechoslovakia 1950 100.0 25.3 63.0 11.7
1955 100.0 27.1 60.7 12.2
1960 100.0 27.9 58.9 13.2
East Germany 1950 100.0 22.1 61.9 16.0
1955 100.0 20.1 62.8 17.1
1960 100.0 19.5 61.8 18.7
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Table 42
Distribution of Population of the European Satellites by Age Group
1950, 1955, and 1960
(Continued)
Percent
Country, Year Total 0 to 14 15 to 59 60 and Over
Hungary 1950 100.0 24.5 63.3 12.2
1955 100.0 24.8 62.3 12.9
1960 100.0 24.8 61.0 14.2
Poland 1950 100.0 28.4 63.4 8.2
1955 100.0 30.2 61.3 8.5
1960 100.0 32.9 57.6 9.5
Rumania 1950 100.0 28.8 62..2 9.0
1955 100.0 28.7 61.7 9.6
1960 100.0 30.7 59.2 10.1
It is thus clear that in the Satellites as a whole, the
unproductive age groups will increase as a proportion of population,
whereas the productive age group (15459 years) will decrease.
Or put another way, increases of population will be greater in
the 0-!14 'years and 60-years-and-over age groups than in the 15-
59 year age group. Thus the population base for the labor force
will expand more slowly than will the population as a whole.
D. Labor Force.
The labor force for all the Satellite countries was slightly
under 43 million persons in 1953, having increased by 2 percent over
the previous year. A 4.3-percent increase is expected between 1953
and 1956, bringing the labor force total to almost 45 million. In-
creases in the labor force for individual Satellites between 1953
and 1956 will vary from 1.8 percent for Bulgaria to 6.3 percent for
Czechoslovakia. The percentage increase forecast for East Germany
is 4.9 percent; for Poland, 4.2 percent; for Albania, 4.4 percent;
for Rumania, 3.8 percent; ana for Hungary 3.3 percent (see Table 43*
and Figure il**).
* Table 43 follows on p. 79.
** Following p. 78.
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150
125
Figure 11
EUROPEAN SATELLITES
INDEXES OF AGRICULTURAL AND NONAGRICULTURAL
LABOR FORCE, 1948-56
1950= 100
Nonagricultural Labor
100 100
75
50
25
Agricultu
ra I Labor
..=?1
0-
13288,5-54
1948
1949
1950
1951
1952
SECRET
1953
1954
1955
1956
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Table 43
Labor Force of the European Satellites
1948-56
Year
All
European
Satellites
Albania
Czecho-
Bulgaria slovakia
East
Germany
Hungary
Poland
Rumania
Number
(Thousands)
1948
37,652
537
3,495
5,245
6,550
3,625
10,900
7,300
1949
38,623
546
3,512
5,290
6,725
3,785
11,230
7,535
195o
40,182
554
3,50
5,310
7,100
3,955
11,895
7,865
1951
41,215
565
3,479
5,401
7,325
4,075
12,245
8,125
1952
42,110
573
3,457
5,475
7,575
4,150
12,605
8,275
1953
42,929
582
3,459
5,575
7,675
4,26o
12,860
8,518
1954
43,753
590
3,48o
5,740
7,850
4,325
13,125
8,643
1955
44,337
599
3,500
5,845
5,050
4,350
13,250
8,743
1956
44,746
608
3,520
5,925
8,050
4,400
13,400
8,843
Indexes
(1950
. 100)
1948
93.7
96.9
99.8
98.8
92.3
91.7
91.6
92.8
1949
96.1
98.6
100.3
99.6
94.7
95.7
94.4
95.8
195o
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
1951
102.6
102.0
99.3
101.7
10.2
103.0
103.0
103.3
1952
104.8
103.4
98.7
103.1
106.7
104.9
106.0
105.2
1953
106.8
105.1
98.7
105.0
108.1
107.7
108.1
108.3
1954
108.9
106.5
99.3
108.1
110.6
109.4
110.3
109.9
1955
110.3
108.1
99.9
110.1
113.4
110.0
111.4
111.2
1956
111.4
109.7
100.5
111.6
113.4
111.3
112.7
112.4
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No great change in the proportion of labor force to total
population is anticipated for the 1953-56 period. The labor force
as a percentage of total population for all the Satellite countries
will change only from 46.6 percent in 1953 to 47.0 per-
cent in 1956. The individual countries will vary in a narrow range
from 43 percent for East Germany and 50 percent for Poland in 1953,
to 44 percent for Albania and 51 percent for Rumania in 1956 (see
Table )44).
Table 44
Labor Force of the European Satellites in Relation to Total Population
1948-56
Percent
Year
European
Satellites
Albania
Bulgaria
Czecho-
slovakia
East
Germany
Hungary
Poland
Rumania
1948
42.57
45.70
49.22
43.28
34.29
39.70
45.70
45.68
1949
43.16
42.49
48.95
43.15
35.21
41.14
46.21
46.60
1950
44.63
46.17
47.84
42.82
37.77
42.90
48.00
48.23
1951
45.48
45.56
47.59
43.17
39.59
43.82
48.50
49.23
1952
46.08
45.12
46.57
43.31
41.62
44.24
48.91
49.54
1953
46.59
45.12
45.89
43.69
42.88
45.08
48.90
50.38
1954
46.93
45.04
45.48
44.57
43.85
45.15
48.97
50.49
1955
47.03
44.87
45.16
44.96
44.97
44.98
48.53
50.51
1956
46.96
44.38
44.78
45.21
411.97
45.17
48.18
50.53
1. Nonagricultural Labor Force.
The growth of that part of the
labor force which is
devoted to nonagricultural pursuits is a rough index of the rate of
industrialization. In 1953 there were 21 million persons in the
nonagricultural labor force of the Satellite countries. By 1956
this figure will probably be about 23 million, an increase of 9
percent over 1953. The projected growth of the nonagricultural
labor force in the various Satellite countries shows a considerable
variation. The nonagricultural labor forces of Bulgaria,
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Czechoslovakia, and Hungary willgrow by about 6 percent between
1953 and 1956; of East Germany by 7 percent; and of Poland by 11
percent. The Rumanian and Albanian increases will be 17 and 27
percent, respectively (see Table 45).
Table 45
Nonagricultural Labor Force of the European Satellites
1948-56
Year
All
European
Satellites
Albania
Czecho-
Bulgaria slovakia
East
Germany
Hungary
Poland
Rumania
Numbers
(Thousands)
1948
14,648
58
795 3,045
4,350
1,600
3,500
1,300
1949
15,815
73
837 3,130
4,550
1,810
3,855
1,560
1950
17,687
89
878 3,230
4,975
2,030
4,545
1,940
1951
18,979
104
904 3,376
5,225
2,200
4,920
2,250
1952
20,104
117
932 3,500
5,475
2,300
5,330
2,450
1953
21,052
130
959 3,625
5,575
2,410
5,610
2,743
1954
21,905
142
980 3,740
5,750
2,475
5,900
2,918
1955
22,566
153
1,000 3,795
5,950
2,500
6,100
3,068
1956
23,028
165
1,020 3,825
5,950
2,550
6,300
3,218
Indexes
(1950 m 100)
1948
82.8
65.2
90.5 94.3
87.4
78.8
77.0
67.0
1949
89.4
82.0
95.3 96.9
91.5
89.2
84.8
80.4
1950
100.0
100.0
100.0 100.0
100.0
100.0
100.0
100.0
1951
107.3
116.9
103.0 104.5
105.0
108.4
108.3
116.0
1952
113.7
131.5
106.2 108.4
110.1
113.3
117.3
126.3
1953
119.0
146.1
1094 112.2
112.1
118.7
123.4
141.4
1954
123.8
159.6
111.6 115.8
115.6
121.9
129.8
150.4
1955
127.6
171.9
113.9 117.5
119.6
123.2
134.2
158.1
1956
130.2
185.4
116.2 118.4
119.6
125.6
138.6
165.9
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Another measure of the degree of industrialization is the
ratio of nonagricultural workers to all workers. This ratio for the
Satellites as a whole in 1953 was 49 percent. The range of the ratios
of the Satellites individually shows a great deal of variation from
Albania, with 22 percent, to East Germany, with 73 percent. In be-
tween are Czechoslovakia, with 65 percent; Hungary, with 57 percent;
Poland, with 44 percent; Rumania, with 32 percent; and Bulgaria,
with 28 percent. These ratios will not change very markedly over
the next few years. By 1956 the all-Satellite ratio will probably
reach 51.5 percent. About 74 percent of the East German labor force
will be in nonagricultural pursuits, as will 65 percent of the
Czechoslovak labor force. Close behind will be Hungary with 58 per-
cent of its labor force in nonagricultural occupations. The percen-
tage for Poland will be 47 percent; for Rumania, 36 percent; for
Bulgaria, 29 percent; and for Albania, 27 percent (see Table 46).
Table 46
Nonagricultural Labor Force of the European Satellites in Relation to Total Labor Force
1948-56
Percent
Year
All
European
Satellites
Albania
Bulgaria
Czecho-
slovakia
Last
Germany
Hungary
Poland
Rumania
1948
38.90
10.80
22.75
58.06
66.41
44.14
32.11
17.81
1949
40.95
13.37
23.83
59.17
67.66
47.82
34.33
20.70
1950
44.02
16.06
25.06
60.83
70.07
51.33
38.21
24.67
1951
46.05
18.41
25.98
62.51
71.33
53.99
40.18
27.69
1952
47.74
20.42
26.96
63.93
72.28
55.42
42.28
29.61
1953
49.04
22.34
27.72
65.02
72.64
56.57
43.62
32.20
1954
50.07
24.07
28.16
65.16
73.25
57.23
44.95
33.76
1955
50.90
25.54
28.57
64.93
73.91
57.47
46.04
35.09
1956
51.46
27.14
28.98
64.56
73.91
57.95
47.01
36.39
2. Agricultural Labor Force.
In 1953, almost 22 million persons were in the agricul-
tural labor force in all the Satellite countries. By 1956 this
figure will probably be reduced to about 21.7 million, but if the
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modified economic programs are successful, this slight downward trend
may be halted. For the Satellites as a group, the estimated decrease
will be 0.7 percent for the 1953-56 period. The agricultural labor
force of Bulgaria, East Germany, and Hungary probably will not change
at all. An increase of about 7.7 1:),rcent is expected in Czechoslovakia,
but the remaining Satellites are expected to experience declines in
a narrow range from 2.0 to 2.7 percent (see Table 47).
Table 47
Agricultural Labor Force of the European Satellites
1948-56
Year
All
European
Satellites
Albania
Czecho-
Sulgaria slovakia
East
Germany
Hungary
Poland
Rumania
NuMbers
(Thousands)
1948
23,004
479
2,700 2,200
2,200
2,025
7,400
6,000
1949
22,808
473
2,675 2,160
2,175
1,975
7,375
5,975
1950
22,495
465
2,625 2,080
2,125
1,925
7,350
5,925
1951
22,236
461
2,575 2,025
2,100
1,975
7,325
5,875
1952
22,006
456
2,525 1,975
2,100
1,850
7,275
5,825
1953
21,877
452
2,500 1,950
2,100
1,850
7,250
5,775
1954
21,848
448
2,500 2,000
2,100
1,850
7,225
5,725
1955
21,771
446
2,500 2,050
2,100
1,850
7,150
5,675
1956
21,718
443
2,500 2,100
2,100
1,850
7,100
5,625
Indexes
(1950 = 100)
1948
102.3
103.0
102.9 105.8
103.5
105.2
100.7
101.3
1949
101.4
101.7
101.9 103.8
102.4
102.6
100.3
100.8
1950
100.0
100.0
100.0 100.0
100.0
100.0
100.0
100.0
1951
98.8
99.1
98.1 97.4
98.8
77.4
99.7
99.2
1952
97.3
98.1
96.2 95.0
98.9
96.1
99.0
98.3
1953
96.7
97.2
95.2 93.8
98.8
96.1
98.6
97.5
1954
97.1
96.3
95.2 96.2
98.8
96.1
98.3
96.6
1955
96.8
95.9
95.2 98.6
98.8
96.1
97.3
95.8
1956
96.5
95.3
95.2 101.0
98.8
96.1
96.6
94.9
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_ _ ? ? _ ?
VII. Foreign Trade.
A. Introduction.
The available data on the foreign trade of the European
Satellites have several serious limitations. In the first place,
the degree to which covert trade is included or excluded is not
precisely known. Insofar as the estimates of trade with the West
are based on official Western sources, covert trade is excluded,
but it is often impossible to tell whether reports from Satellite
sources include or exclude covert trade. Second, trade data
from Satellite sources, andthis includes all data on trade with
the Soviet Bloc, were converted to current dollars at official
exchange rates. Even in the prewar period, exchange control and
differential exchange rates were so common as to make a simple
conversion of trade aggregates rather tenuous. Third, even if
the conversion to dollars or any standard unit were assumed valid,
comparisons over time are not meaningful without an index of the
prices of goods entering into foreign trade. Such an index is not
available. Fourth, complete 1953 data were in most cases not
available. Data used in each section were for the latest year for
?which reasonably complete reports were available.
Nevertheless, it is believed that the data on which the
following discussion is based yield a rough idea of the direction
of trade, and that, for any given period, reasonably valid state-
ments can be made about the composition of trade.
B. Value of Imports
The value of the
was about US $3 billion,
and Exports,
export trade of the Satellites in 1951
with imports being about US $3.2 billion.
This trade was carried on mostly by Czechoslovakia, East
Germany, and Poland, which countries accounted for three-fourths
of the imports and exports of all the Satellites. A percentage
distribution of trade of the Iliuropean Satellites is shown below
in Table 48* and graphically presented in Figures 12 and 13.**
* Tale 41:1 follows on p. 85.
4* Following p. 84.
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V
0-
Cs1
In
0+
to
,11
In
r?-?
SECRET
EUROPEAN SATELLITES
INDEXES OF AVERAGE DAILY
PER CAPITA CALORIC CONSUMPTION OF FOOD
PREWAR, 1951/52, 1952/53, AND 1953/54
100 100 100 100 100 100 98 98 100 100
92
84
94
96 96
90
ALBANIA BULGARIA CZECHOSLOVAKIA
1933-37 = 100
13475 12-54
1933-37 = 100 1933-37 = 100
84
EAST
GERMANY
1935-38 = 100
SECRET
90 90
88
95
80
Figure 9>
CD0-
11
0
CD
CD
100 A)
83
HUNGARY POLAND RUMANIA
1933-37 = 100 1934-38 = 100 1933-37 = 100
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4cz
eoRoPEAN SATELLITeS
SrA IRIBUTION Op p
Cft-
Figure 10
Opo
1953
RUMANIA
18.3%
CZECHOSLOVAKIA
13.8%
POLAND
28.5%
13476 12-54
SECRET
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Figure 12
EUROPEAN SATELLITES
GEOGRAPHIC DISTRIBUTION OF TRADE,
1936-38 AVERAGE and 1951
On Percent)
CHINA 1
USSR
EUROPEAN
SATELLITES
WEST
13289 5-54
2
31
1936-38 1951
EXPORTS
1
1
3
82
34
100%
SECRET
1936-38 1951
IMPORTS
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93z
91%
9%
SECRET
67%
1936-38 1951 1936-38 1951
EXPORTS IMPORTS
BULGARIA
31%
34%
1936-38 1951 1936-38 1951
EXPORTS IMPORTS
HUNGARY
2%
1%
28% .
1%
29z
2%
14%
15%
10%
5%
28%
24%
82%
17%
1936-38 1951 1936-38 1951 1936-38 1951
EXPORTS IMPORTS
CZECHOSLOVAKIA
13477 12-54
2%
2%
1936-38 1951
EXPORTS IMPORTS
EAST GERMANY
Figure 13
EUROPEAN SATELLITES*
GEOGRAPHIC DISTRIBUTION OF TRADE
1936-38 AVERAGE and 1951
0%
24%
3
1%
USSR
CHINA
EUROPEAN
SATELLITES
SOVIET BLOC
WEST
* Excluding Albania
China less than 0.5%
11%
-- 26%
1936-38 1951 1936-38t 1951
EXPORTS IMPORTS
POLAND
SECRET
22%
62%
22%
16%
31%
47%
28%
25%
1936-38 19511. 1936-38 1951t
EXPORTS IMPORTS
RUMANIA
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Table 48
Distribution of Trade of the European Satellites a/
1951
Percent
Country
Imports
Exports
Bulgaria
4
Czechoslovakia
31
28
East Germany
15
22
Hungary
12
13
Poland
29
25
Rumania
9
8
a. Based on Appendix A, Table 73.*
C. Area Pattern of Trade.**
1. Geographic Distribution of Total Trade.
The area pattern of the trade of the European Satellites
has shifted radically in the postwar period compared to prewar. From
a trade point of view, the European Satellites before the war faced
to the West; they now face to the East. As Figure 12 clearly shows,
before the war the West was the major source of imports and exports.
The next area for trade in terms of volume was the European Satel-
lites themselves with Soviet and Chinese trade being negligible.
By 1951 a basic Change had taken place, with the result that the
trade of the European Satellites was divided into three more or
less equal parts, each somewhat less than a third of the total
trade, with China making up the balance. Slightly less than a
third of the Satellite trade is still with the West; another third
is among the European Satellites themselves; and finally, a third
Is with the USSR, China accounting for 3 percent.
* P. 130, below.
** The discussion under Cs 1, and C, 3, is based on data primarily
from Soviet Bloc sources, while data in CI 2, are from Western sources.
The data from the two sources are not completely comparable.
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The degree tolthich the Eastern orientation of trade has
been accomplished is shown for each Satellite in Firure 13*: Bulgaria
has done the most complete about face. Czechoslovakia, Poland, and
Hungary still carry on 30 to 40 percent of their trade with the West.
This, however, is much less than their prewar Western trade. The
large decline in trade with the West was accompanied and primarily
caused by the redirection of trade to other countries of the Soviet
Bloc. Of trade with the other Bloc countries, trade with the USSR
increased the most.
2. Geographic Distribution of East-West Trade.
By far the most important area in the Satellites' trade
with non-Soviet Bloc countries is Western Europe (see Table 0**).
The proportion of total known Satenite imports from Western Europe
in 1948 ranged from 44 percent for Rumania to 100 percent for East
Germany. By 1953, the proportions were in general still larger,
although the proportion of Czechoslovak imports supplied by
Europe declined from about three-fourths to three-fifths of the
total from non-Soviet Bloc countries. In Rumania, the percentage
doubled from 1948 to 1953, and a sizable increase also occurred
in the case of Poland.
With the exception of Bulgaria, Western Europe's share
of Satellite exports in 1948 equaled or exceeded the import per-
centages and was not much less than three-fourths of total East-
West exports in any of the countries. The export percentages for
1953 show declines from 1948 for Czechoslovakia, East Germany,
Hungary, and Poland, but the proportions remained relatively high --
generally between 70 and 90 percent of the East-West totals.
The US and Canada were the second most important non-
Soviet Bloc trading area for the Satellites in 1948, but this
situation had changed considerably-by 1953, especially with respect
to imports from the two countries. The percentages of total imports
from the West obtained from the US and Canada declined from about
10 to 20 percent in 1948 (depending on the Satellite) to practically
zero in 1953. ExpOrts to the US and Canada also fell, although not
to such an extent.!
* Following p. 84, above.
** Table 49 follows on p. 87.
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Table 49
Geographic Distribution of Trade of Individual European Satellites a/ with the West 12/
Country
Bulgaria
1948 1953
Western Europe 85.2 87.4
Near East and Africa8.3
US and Canada lA d/
Far East 1.2 473
Latin America1/, N.A.
Australia and New Zealand S, N.A.
Total
Western Europe
Near East and Africa
US and Canada
Far East
Latin America
Australia and New Zealand
Total
100.0 100.0
1948 1953
74.4 86.2
11.8 12.6
12.8 1.2
N.A. d/
d/ N.A.
Lo d/
100.0 100.0
1948 and 1953
Percent of Total .9./
Imports
Czechoslovakia
East Germany
Hungary
Poland
Rumania
1948
1953
1948 1953
1948
1953
. 1948
1953
1948
1953
74.0
5.5
8.9
4.3
6.5
0.8
100.0
58.9
9.5
e
1478
7.3
9.3
100.0
100.0
N.A.
N.A.
N.A.
N.A.
N.A.
100.0
98.5
d/
0.7
O.
N.A.
2/
100.0
82.5
5.2
9.9
1.5
0.9
di
100.0
83.5
12.4
e
173
2.1
0.6
100.0
63.9
2.3
19.7
4.3
8.3
1.5
100.0
75.2
3.7
d/
5:5
8.3
7.1
100.0
43.6
2.1
17.3
2.5
34.4
W
100.0
90.4
2.5
e
.7
1.1
100.0
Exports
1948
1953
1948
1953
1948
1953
1948
1953
1948
1953
74.o
7.8
6.4
3.6
4.7
3.5
100.0
70.8
10.9
2.7
5.9
7.6
2.1
100.0
100.0
N.A.
N.A.
N.A.
N.A.
N.A.
100.0
90.3
d/
4.7
4.2
N.A.
0.7
100.0
89.8
7.0
1.9
o.5
d/
a/
100.0
73.6
13.6
3.9
7.8
A/
0.9
100.0
96.2
1.0
A/
0.9
1.4
d/
100.0
87.5
3.4
5.9
0.9
2.3
d/
100.0
79.4
11.4
1.1
d/
7.7
d/
100.0
84.8
10.0
O.
d/
4.7
d/
100.0
a. Excluding Albania.
b. 1953 data are based on incomnlete renorts and should be considered nreliminarY and subject to change. See Ancendix A, Table 75, n. 132,
below, and sources indicated for it.
c. The percentages shown relate to total reported trade. Areas for which data are not available thus have a zero value in the percentage distributions.
d. Less than O. percent of total.
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The Near East and Africa are more important to the
Satellites as a market for exports than as a source of imports.
Ten percent or more of the non-Soviet Bloc exports of Bulgaria,
Czechoslovakia, Hungary, and Rumania went to the Near East and
Africa area in 1953. The remaining East-West trade of the Satel-
lites is scattered: among the, Far East, Latin America, Australia,
and New Zealand. The most significant changes in the percentages
for these areas from 1948 to 1953 are the increase in Czechoslovak
imports from the Far East, Australia, and Aew Zealand, and the
sharp reduction in Rumanian imports from Latin America.
3. Geographic Distribution of Trade within the Soviet
Bloc.
In 1951, the USSR was each European Satellite's leading
partner in intra-Soviet Bloc trade -- in most instances by a wide
margin over the other countries in the Bloc (see Table 50*). The
proportion of Satellite intra-Bloc imports obtained from the USSR
in 1951 ranged from 44 percent in Poland to 69 percent in Bulgaria.
The proportions of Satellite intra-Bloc exports delivered to the
USSR in 1951 were of about the same extent. (Details concerning
the geographical composition of Hungary's intra-Bloc trade in 1951
are not available, but it is very likely comparable to that indi-
cated in Table 50 for the other countries.) This distribution of
trade among the Bloc countries represents a major change from the
period 1936-38. Trade with the USSR was negligible in the case of
Hungary and Poland during this prewar period and did not exceed
about one-sixth of imports or exports for any of the other countries.
The second most important trading partners in intra-
Soviet Bloc trade in 1951 were Czechoslovakia and Bulgaria, East
Germany and Poland, and Poland and Czechoslovakia. In general,
Czechoslovakia and East Germany were less important and Poland was
more important in the trade of the Satellites in 1951 than in
1936-38. The relative importance of the various European Satellites
in the trade of Hungary and Rumania in 1951 cannot be estimated
from the available information.
* Table 50 follows on p. 89.
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Z3
<
CD
Table 50 4,-
-n
Geographic Distribution of Trade of Individual European Satellites 8/* with Other Soviet Bloc Countries b/ CD
1936-38 and 1951 -1
P:1
Percent of Total CD
(I)
A)
VI
IrliPorts (I)
Poland -%
Bulgaria Czechoslovakia East Germany Hungary Rumania CD
Exporting Country 19j6-38 1951 1936-38 1951 1936-38 1951 1936-38 1951 1936-38 1951 1936-38 1951 CID
CD
USSR 13.9 63.0 CID
8
China N.A. 17.5 55.1 0.7 N.A. 8.o 44.3 o.5
8
N.A. 68.9 6.9 48.9
Bulgaria
Czechoslovakia 4.7 3.7 8.4 2.7
221.39 N.A.
2.0 10.1
2.5
1.8
4.2 c/
0.3 c/ K3
1.6 0
..
S/ 3.6 10.9 4.3 N.A.
17.9 13.0 18.4 8.6 N.A. 27.5 15.6 414.8 N.A.
East Germany 33.7 7.0 25.7 10.5 9.3 41.8 25.0 35.9 5.4 DA'
Poland
Rumania
Residual 13.6
28.8
-0.1
0.7
6.4
30.7
16.2
0.2 N.A.
10.8
15.2
:::: 2.2 33 4197.146 1N762a.. 52.
5.4
1.6
2.3 4.1
25.1 Cl4
4.9 6
a
c.o
13
233:3 4.7 5.2 14.4 N.A. ..4
CD
Hungary 6.0 4.1 12.0 N.A. 114.5
>
a
a
Total 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 CD
03
a
a
* Footnotes for Table 50 follow on p. 90. a
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"0
"0 Table 50 13
"0 Z3
Z3Geographic Distribution of Trade of Individual European Satellites a/ with Other Soviet Bloc Countries
< 1936-38 and 1951 CD
CD 0.
0. (Continued) -n
0
CD
CD
a)
CD
Percent of Total 0-1
CD
Exports
Poland Er
Bulgaria Czechoslovakia East Germany Rumania on
111
Importing Country 1936-38 1951 1936-38- 1951 1936-38 1951 1936-38 195].1936-38 1951 1936-38 1951 (1)
-%
CD
USSR N.A. 57.2 11.2 45.9 16.7 55.2 0.8 N.A. 11.1 41.2 0.5 73.7 co
CD
Chinn N.A. c/ 11.3 7.6 17.1 2.9 0.8 N.A. 4.2 6.o 0.7 2/ Z5
Bulgaria
4.1 3.1 7.1 1.7
Czechoslovakia 21.1 18.2
16.2
11.0
240 1.6 6.9 1.7 3.2 0.5
1.7 N.A.
8
CD
K3
35.8 20.0 37.9 N.A. ..
0
East Germany 48.0 10.1 21.7 6.3 44.6 5.3 31.7 20.1 31.2 4.4
linngary
Poland
Rumania 22.6
5.3
3.0 3.8
8.4 11.3
11.0 .16.2
N.A. 13.7
13.2 22.4
4.3
2:.: 10.3 5.0 7.1 21.3 N.A. p3
5.2 6.6 13
1"
0
....4
Residual -0.7 20.9 1.4. r,
...-..... 2.2 N.A.
82.8 5.3 2.5 CD
6
3.0 9.1 N.A.
Total 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 1:401: :,
0.3 0.3 1.4
CD
CD
a. Lxcluding Albania. a
b. Computed from data in Tables 48 and 49, pp. 85 and 87, respectively, above. a
c. Negligible. co
a
a
a
-7U - a)
a
a
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Table 50 shows that the proportions of Czechoslovak and
Polish imports from China and of Polish exports to China were some-
what higher in 1951 than in 1936-38, although they still made up
only a minor part of the 1951 totals. A substantial reduction from
1936-38 to 1951 in the proportion of intra-Soviet Bloc trade carried
on with China is indicated for East Germaly? which is the only Satd-
lite country with a sizable proportion of trade with China in the
prewar period.
D. Commodity Composition of Trade.
1. Composition of Trade with Soviet Bloc Countries.
Quantitative estimates of the commodity composition of
Satellite trade with other countries of the Soviet Bloc are not
available. Table 51* shows the principal kinds of products exported
and imported by each Satellite by major area. Most of the Satellites
export agricultural, wood, and mineral products, either raw or in
first stages of processing. Except for the USSR, Czechoslovakia is
the principal source of manufactures and industrial machinery and
equipment. Hungary also produces certain types of intricate equip-
ment and machinery, and Last Germany and Poland furnish heavy en-
gineering equipment. The less developed Satellites, like Bulgaria
and Albania, depend heavily on the USSR for machinery and equipment.
The chief contributors among the Satellites of essential
raw materials and semimanufactured basic materials to the combined
Bloc economy may be listed as follows: coal, Poland; coke, Poland
and Czechoslovakia; petroleum and petroleum products, Rumania and,
to a smaller extent, Hungary; pyrites, Rumania and Bulgaria; bauxite,
Hungary; uranium, East Germany and Czechoslovakia; pig iron and iron
and steel products, Czechoslovakia, Hungary, and Poland; nitrogen or
potash fertilizer, East Germany; chemicals, Poland, Czechoslovakia,
Hungary, and Rumania; glass, Czechoslovakia and Poland; lumber and
wood products, Poland, Last Germany, and Rumania; agricultural pro-
ducts (except livestock products), Bulgaria, Rumania, and Hungary;
meat, Poland, Hungary, and Rumania; and tobacco, Bulgaria.**
* Table 51 follows on p. 92.
** Continued on p. 96.
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Table 51
Commodity Composition of European Satellite Trade 111/
Major Exports
Bulgaria
To the USSR
Ores and concentrates, including pyrites;
agricultural products, including tobacco;
other raw materials
To Other Soviet Bloc Countries
Agricultural products, including tobacco;
minerals; other raw materials
To the West
Agricultural products, including tobacco;
wood and lumber; clays, stones, said and
gravel; essential oils and perfumes
Czechoslovakia
To the USSR
Metallurgical products, machinery and
equipment, textiles, leather goods,
chemicals, and glass, uranium Ore
To Other Soviet Bloc Countries
Machinery and industrial equipment,
chemicals, coke, machine tools and
transport equipment
Major Imports
From the USSR
Industrial equipment, agricultural machinery,
cotton, petroleum, and chemicals
From Other Soviet Bloc Countries
Agricultural machinery, precision instru-
ments, freight cars, other manufactured
products
From the West
Textile fibers and manufactures, chemicals,
machinery, and iron and steel manufactures
From the USSR
Grain, cotton, wool, flax, petroleum prod-
ducts, agricultural machinery, manganese ore,
pig iron, and iron ore and other minerals
From Other Soviet Bloc Countries
Pyrites, precision instruments, agricultural
machinery, crude oil, petroleum products,
hard coal, lignite, agricultural products
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Table 51
Commodity Composition of European Satellite Trade 171/
(Continued)
Major Exports
Major Imports
Czechoslovakia (Continued)
To the West
Sugar; clay, stone, and other non-
metallic minerals; coal and coke; paper
and paper manufactures; iron and steel
manufactures; mad motor vehicles and
parts; cotton yarn, fabrics, and
manufactures
East Germany
To the USSR
Machinery, electrical equipment, equip-
ment for the mining and metal industry,
synthetic fibers, merchant ships, chem-
icals, potatoes, sugar, and uranium ore
To Other Soviet Bloc Countries
Industrial machinery (chemical, elec-
trical, textile, and food and beverage
machinery); machine tools, chemicals,
including nitrogen and potash fertili-
zers; and wood products
To the West
Fertilizers; coal and related fuels;
sugar, nonelectrical machinery; glass,
ceramics, and cement; textile fibers
and manufactures,,
From the West
Raw cotton, chemicals, iron and steel,
crude rubber, foodstuffs, raw wool, and
electrical machinery and parts
From the USSR
Grains, other food, nonferrous and ferrous
ores and metals, cotton, raw materials for
the chemical industry, and agricultural
equipment
From Other Soviet Bloc Countries
Pyrites, crude oil, hard coal, lignite,
and ajricultural products
From the West
Foodstuffs (dairy products, meat, fish,
fruits, and vegetables), iron and steel
manufactures, fertilizers, and coal
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Table 51
Commodity Composition of European Satellite Trade 171/
(Continued)
Major Exports
Major Imports
Hungary
To the USSR
Bauxite and aluminum products:, manu-
factured metal products, textiles,
petroleum products, and foodstuffs
To Other Soviet BlocCountries
Agricultural products, bauxite, drugs
and chemical products, iron and steel
products, transport equipment, and
other industrial products
To the West
Foodstuffs (meat, dairy products,
sugar, and preparations), wine, and
tobacco; fats and oils; cotton yarn
and fabrics; electrical apparatus
Poland
To the USSR
Coal, coke, merchant vessels, rolling
stock, zinc, metal manufactures, glass,
cement, textiles and food products
(meat and sugar)
From the USSR
Cotton, iron ore, agricultural machinery,
coke, lumber, textile machinery, machine
tools, bearings,1 and lumber
From Other Soviet 3loc Countries
Pyrites, precision instruments, crude oil,
petroleum products, hard coal, and manu-
factured products
From the West
Textile fibers aid manufactures; iron and
steel manufactures; chemicals; machinery
From the USSR
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Agricultural machinery, cotton, petroleum
products, various ores, bearings, auto-
mobiles and trucks, and other machinery
and equipment
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Table 51
Commodity Composition of European Satellite Trade
(Continued)
Major Exports
Major Imports
Poland (Continued)
To Other Soviet Bloc Countries
Coal, coke, nonferrous metals, rolling
mill products, pig iron, lumber and
wood products, chemicals, and food.
To the West
Coal and coke, meat, and meat products
Rumania
To the USSR
Petroleum products, food (meat and gain),
lumber and wood products, chemicals, tex-
tiles, and locomotives
To Other Soviet Bloc Countries
Petroleum and petroleum products, agri-
cultural products, lumber and wood pro-
ducts, chemicals, pyrites
To the West
Grains, wood, and lumber.
From Other Soviet Bloc Countries
Pyrites, precision instruments, crude oil,
petroleum products, and chemicals and
other manufactures.
From the West
Machinery, raw wool, cotton, rubber, wood-
pulp, and paper base stock.
From the USSR
Iron and steel, metal products, induStrial
equipment, machine tools, transport and agri-
cultural machinery, cotton and bearings.
From Other Soviet Bloc Countries
Precision instruments, agricultural machin-
ery, coal, and manufactured products.
From the West
Textile fibers aid manufactures, iron aid
steel manufactures, machinery and chemicals.
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The chief Satellite contributors of manufactured products
are as follows: machinery and industrial equipment, Czechoslovakia,
East Germany, and Hungary; machine tools, Czechoslovakia and East
Germany; transport equipment such as locomotives and freight and
passenger cars, Czechoslovakia, Hungary, Poland, and Rumania; mer-
chant ships, East Germany; textiles, Czechoslovakia, Hungary, Poland,
and Rumania.
The principal contributions of the USSR to the economy
of the Satellites include cotton, wool, and flax fibers, iron ore
and some other ores and minerals, agricultural machinery, industrial
equipment, and automobiles and trucks. Machine tools and bearings,
pig iron, and petroleum are also exported to some of the Satellites.
Grain and other food products are exported to East Germany and grain
to Czechoslovakia, the two more industrialized Satellites.
2. 22mposition of Trade with the West.*
Imports and exports of the Satellite countries with the
West for 1952 are shown in. Figures 14 and 15** based on Tables 76
to 81*** in Appendix A. This is the latest year for which complete
data are available. Percentages are based on the value of the
principal product classes.
E. Foreign Trade Administration and Policies.
1. Administration and Coordination of Trade Policies.
The Ministry of Foreign Trade in each Satellite has the
function of planning and supervising foreign trade activities. It
conducts trade negotiations with foreign countries and administers
the state foreign trade monopolies, which conduct trade in particu-
lar commodities and also maintain liaison with the production
ministries. 1E/ The foreign trade of each Satellite is conducted
within the framework of a plan coordinated at the national level by
the State Planning Commission. 173/
* Based on data from Western sources which are not comparable
with Bloc statistics.
** Following p. 96.
*** Pp. 134, 135, 142, 147, 151, and 153, respectively, below.
-.96-
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ro 4.1 ? s go " II* III; Ili
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co tn
-6 cv-,
en
co
r--.
co
_c
Iron & Steel Mfrs.
13%
al
a u,
C., ,.
co
en
,...
a,
-CC,,
.., -.
0.) - no
?
IP ozi
co
I?
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$15,817
(Total Value
206,457 $120,205
952
In Thousand LIS DoIla
$71,852
4,
27,670
Other
21%
Other
30%
Other
32%
Other
29%
Sand & Gravel 2%
Wood & Lumber 3%
Essential Oils &
Perfumes
Foodstuffs
69%
Other
47%
Other
46%
Road Motor Vehicles 3%
Iron & Steel 2%
Paper 2%
Road Motor Vehicles
5%
Cotton & Wool Yarns,
Fabrics, etc. 5%
Coal & Related Fuels
7%
Clay, Stone, etc.
8%
Chemicals
5%
Beverages & Tobacco 3
Electric Machinery 2%
Textile Fiber & Mfrs.
6%
Clay, Stone, Sand,
& Gravel
7%
Foodstuffs
8%
Machinery?all types
10%
Fats & Oils
5%
Cotton yarn,
Fabrics,& Mfrs.
12%
Meat &
Meat Products
16%
Wood & Lumber
(unmanufactured)
13%
Coal
Coal & Related Fuels
10%
Foodstuffs
47%
55%
C0
a
C0
Foodstuffs
41%
Foodstuffs
24%
Fertilizers
21%
SUGAR
CZECHOSLOVAKIA
AST GER
HtiNG'Ak);'..
POLAND
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International coordination of Satellite foreign trade
plans is effected through three major mechanisms, all of which are
subject to some degree of control by the USSR. The first of these
is CIA, discussed in Section I, above. Control is also accomplished
throu;h cooperative councils and inter-Satellite enterprises. An
example of the former is the Polish-Czechoslovak Council of Economic
Collaboration, which includes subcommissions for negotiating bi-
lateral trade agreements between the two countries and a Subcommission
for Foreign Trade with Capitalist Countries. 171/ Inter-Satellite
agreements to undertake joint projects, including capital goods ship-
ments, have been carried out. Soviet government representatives
assigned to the Satellites to carry out specific trade or production-
control functions are the third means of effecting over-all coordina-
tion. Centralized planning of inter-Satellite trade seems to have
been rather general in nature through 1951, but there are indications
that central control in this sphere has been strengthened since
then.12,5/
2. Revision of Trade Policies.
Information on Satellite trade policy toward the West
since the "new course" was inaugurated is confined largely to pub-
lished accounts of recent trade agreements. Agreements negotiated
in the latter part of 1953 and in the first 2 months of 1954 in-
dicate that the Satellites are generally following the policy of
increased procurement of consumer goods from the West initiated
by the USSR in August 1953. It must be stressed, however, that
this policy is not equally important among the Satellites because
of varying conditions. It is pursued only to the extent that
needs require and ability permits. This policy has necessitated
less emphasis by the Satellites on the import of strategic raw
materials and "hard good" as was evident, for example, in Czecho-
slovakia's negotiations with the Netherlands, Austria, and Norway
in the first 2 months of 1954. Similarly, the 1954 East German-
Greek agreement provided for the export to Greece of such goods as
chemical fertilizers, textile machinery, and chemicals, and for
the importation of more Greek tobacco and other consumer goods. 176/
The 1954 trade agreement between East and West Germany concluded on
19 December 1953 provided for a considerable increase in imports
of West German agricultural products. 122/ A barter agreement
between East Germany and Italy which was in the planning state in
June 1953 indicated that Italy was to deliver large quantities
of foodstuffs in return for fertilizers, chemicals, and finished
industrial goods. 178/
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Poland has traditionally relied upon the export of agri-
cultural products to the West to obtain industrial goods. Poor harvests
during the past 3 years have prevented the export of agricultural pro-
ducts contracted for in trade agreements. This, coupled with the de-
crease in Western demand for Polish coal, has reduced Poland's exports
and limited its ability to import necessary industrial materials. In
a trade agreement Poland signed with France in October 19S3, there was
a reduction from the l952-53 agreement of 6 billion francs. 179/
In August 1953 Hungary signed a 3-year trade agreement
with Argentina after a prolonged period of negotiations. Hungary
will export mainly machinery, chemicals and drugs, and electrical
goods in exchange for wool and cotton, hides, and other agricultural
commodities. 180/ In December 1953 it was reported that Hungary
had contracterto buy 100,000 tons of barley and rye from Argentina,
probably for use as fodder. 181/ Bulgaria has recently increased
its trade with the West, as has Albania, but their predominantly
agricultural economies still play small roles in East-West trade.
The general effect of these agreements, if fully carried
out, will be a further departure from the prewar pattern of trade
between the Satellites and the West. By and large, before the war,
Poland, Hungary, and Bulgaria exported food and certain raw materials
and imported manufactures. Albania eNported mostly raw materials
and imported manufactures and some foods. East Germany and Czecho-
slovakia, being considerably more industrialized, had a more complex
trade structure. Both were on balance self-sufficient in food, ex-
porting some foods (sugar, grains and potatoes, and malt and hops)
in return for others (meat, dairy products, and fruits and vegetables).
The bulk of their imports consisted of raw materials and heavy
machinery.
Expansion of Satellite exports of manufactures to the
West faces several difficulties. The first is that since the war
almost all of their high-quality manufactures have been evorted
to the USSR. Unless production can be increased substantially,
a portion of production will have to be diverted from the USSR.
If the prices offered by the USSR are below comparable Western
prices, as some evidence indicates, the Satellites would benefit
from more favorable terms of trade. But it is a real question
whether the USSR will permit a major shift in Satellite trade
toward the West. It seems doubtful that the USSR would allow
a serious weakening of its trade ties with the Satellites.
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The second difficulty faced by the Satellites in in-
creasing exports to the West is that some of the fabricating indus-
tries in which the Satellites specialize have been expanded in the
West since the war. This is particularly true of the East German
textile, electrical goods, and precision and optical instrument
industries, which face greater competition from Western firms than
ever before. A third factor, the importance of which is exceedingly
hard to judge, is the reported deterioration of the quality of
Satellite manufactures. For fairly complex products like type-
writers, a noticeable difference in quality might exclude the Satel-
lite products from Western markets altogether, whereas in the case
of textiles or pots and pans, quality differences might merely be
reflected in prices.
In the announcements of the "new course" policies, one
of the criticisms made of the previous policy was that each Satel-
lite had aimed at too great a degree of autarky. One of the ob-
jectives of the new policy is consequently to expand trade among
the 3loc countries. This process is far from new, however; it has
been developing since the end of the war and especially since 1948.
One recent example of this tendency is East Germany's signing of
supplementary trade agreements with the ussn, China, Bulgaria, and
Hungary in the fall of 1953.
3. Price Policy in Soviet-Satellite Trade.
Intra-Bloc trade is conducted on the basis of ruble
prices, but it is not clear how the prices are determined. It is
by no means certain that they correspond to internal prices in the
USSR, and they do not bear any consistent relationship to internal
Satellite prices. Moreover, for many kinds of manufactured goods,
a world market price can hardly be said to exist, and there is
evidence that the prices of such goods are set by the Russians to
suit their own convenience.
Many instances have been reported of discrepancies
between the price that certain Satellites could obtain from non-
Soviet sources for their exports and the price received from the
USSR and/or the other Satellites. The Satellites have sold goods
to the USSR at below average world prices aid have paid higher prices
for Soviet exports than they would have had to pay for the same goods
in the West. In addition, there are reports that the USSR has at
times acted as a middleman in inter-Satellite trade; that is, it has
sold to one Satellite goods obtained from another and taken a net
gain in the transaction.
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APPENDIX A
STATISTICAL TAUES
Table 52
Extent of Socialized Sectors of Agriculture, European Satellites a/*
Selected Years, 1949-54
Arable Land in
Socialized Sector
(Thousand
Hectares 10
Albania
Socialized Sector as Percent of
Total Arable Land
Total
State Socialized
Collectives c/ Farms Sector
December 1949
16.7
3.7
1.8
5.5
December 1950
N.A.
N. A.
6.6
N.A.
December 1951
0.0
4.9
8.3
13.2
April 1953
N.A.
9.1
N.A.
N.A.
Bulgaria 2/
December 1949
636.0
11.2
1.7
12.9
December 1950
2,155.0
42.2
1.7
43.9
December 1951
2,392.9
47.3
3.1
50.4
December 1952
2,672.5
51.3
3.3
5L1.6
December 1953
2,672.5
51.3
3.3
54.6
March 1954
2,672.5
51.3
3.3
54.6
Czechoslovakia
December 1949
1,425.7
19.0
7.9
26.9
September 1951
1,990.0
27.2
8.5
35.7
December 1952
2,410.0
37.0
8.5
45.5
June 1953
N.A.
44.o
N.A.
N.A.
December 1953
N.A.
411,0
N.A.
N.A.
* Footnotes for
Table 52 follow on p.
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Table 52
Extent of Socialized Sectors of Agriculture,
Selected Years, 1949-54
(Continued)
European Satellites pi
East Germany
December 1951
Arable Land in
Socialized Sector
(Thousand
Hectares b/
Socialized Sector as Percent of
Total Arable Land
Total
State Socialized
Collectives 2/ Farms Sector
212.0
N.A.
December 1952
352.0
2.7
4.1
6.8
June 1953
1,010.2
15.7
4.1
19.8
December 1953
926.2
14.0
4.1
18.1
March 1954
926.2
14.0
4.1
18.1
Hungary
September 1950
748.2
7.0
6.0
13.0
November 1951
1,415.7
15.6
9.0
24.6
December 1952
2,146.6
24.6
12.7
37.3
March 1953
2,256.o
26.0
13.2
39.2
Lecember 1953
1,910.8
20.0
13.2
33.2
Poland
December 1949
1,469.0
0.3
8.6
8.9
December 1950
2,153.5
2.2
10.8
13.0
December 1951
2,132.9
3.2
9.7
12.9
December 1952
2,800.0
6.1
10.9
17.0
June 1953
N.A.
8.5
N.A.
N.A.
December 1953
3,900.0
8.5
11.9
20.4
Aarch 1954
4l000.o
9.1
11.9
21.0
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_ _ _ _ _ _
Table 52
Extent of Socialized Sectors of Agriculture, Zuropean Satellites
Selected Years, 1949-54
(Continued)
Arable Land in
Socialized Sector
(Thousand
Hectares b/
Rumania e/
Socialized Sector as Percent of
Total Arable Land
Total
State Socialized
Collectives c/ Farms Sector
December 1951
1,175.1
5.3
6.7
12.0
December 1952
2,076.0
9.5
11.7
21.2
June 1953
N.A.
10.0
N.A.
N.A.
December 1953
2,448.1
10.7
14.3
25.0
a. Estimated.
b. One hectare equals 2.471 acres.
c. "Collectives," as used here, is synonomous with agricultural pro-
ducer's cooperatives. These collectives (or cooperatives) vary from
country to country and within countries in the degree of state control
of their operations and in the extent to which the members' property
(land, equipment, livestock) is pooled.
d. In Bulgaria, agricultural land is used as the basis of comparison
instead of arable land. Agricultural land includes arable land,
pasture, and land used for fruit and bush crops.
e. "Collectives" includes "agricultural associations," which
accounted for 0.6 percent of total arable land in December 1951,
2.2 percent in December 1952, 2.5 percent in June 1953, and 2.7
percent in December 1953.
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Table 53
Gross National Product of the European Satellites 2/
1938 and 1948-53
Year
:European
Satellites
Bulgaria
Czecho-
slovakia Germany
East
Hungary
Poland
Rumania
Billion 1951 US $
1938
44.5
1.0
7.3
16.1
2.5
14.6
3.0
1948
33.2
1.1
7.1
8.5
2.3
11.7
2.5
1949
35.8
1.1
7.6
9.3
2.6
12.7
2.5
1950
38.8
1.2
7.9
10.6
2.8
13.7
2.6
1951
41.1
1.3
8.0
11.9
3.1
13.9
2.9
1952
42.7
1.3
8.2
13.0
3.2
14.2
2.8
1953
44.8
1.4
8.4
14.0
3.4
14.7
2.9
Percent
1938
100
2.2
16.4
36.3
5.6
32.8
6.7
1948
100
3.3
21.4
25.6
6.9
35.2
7.5
1949
100
3.1
21.2
26.0
7.3
35.5
7.0
1950
100
3.1
20.4
27.3
7.2
35.3
6.7
1951
100
3.2
19.5
29.0
7.5
33.8
7.0
1952
100
3.0
19.2
30.4
7.5
33.3
6.6
1953
loo
3.1
18.7
31.2
7.6
32.9
6.5
Albania.a711-61-"IiiaTiarlI
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Table 54
Distribution of Gross National Product of the European Satellites
by Sector of Origin .a./ *
1938 and 1948-53
Percent
All Satellites
1938
1948
1949
1950
1951
1952
1953
Industry
35.1
31.2
33.9
36.0
38.4
41.6
43.2
Agriculture
25.1
24.1
23.8
24.4
23.4
20.8
19.6
Transport and Comunications
5.2
5.6
5.9
6.0
6.3
6.6
7.0
Construction
4.1
3.5
3.8
4.0
4.2
4.3
4.6
Services
14.7
17.9
16.7
15.5
14.6
14.2
13.6
Trade
15.8
17.7
15.9
14.1
13.1
12.5
12.0
Total
100.0
100.0
100.0
100.0
100.0
100.0
100.0
Bulgaria
Industry
19.6
18.5
21.7
23.3
26.4
33.8
35.1
Agriculture
50.5
48.8
45.9
44.4
43.3
37.0
26.5
Transport and Communications
2.7
3.9
4.1
4.5
4.6
4.8
4.9
Construction
.3
.7
*9
.8
.9
.9
1.0
Services
14.6
14.7
14.4
14.3
13.1
12.5
12.0
Trade
12.3
13.4
13.0
12.7
11.7
11.0
10.5
Total
100.0
100.0
100.0
100.0
100.0
100.0
100.0
Czechoslovakia
Industry
30.4
38.8
40.7
40.8
42.4
43.7
44.1
Agriculture
21.8
17.0
17.5
18.3
18.0
16.8
16.3
Transport and Communications
5.7
9.0
7.9
8.1
8.3
8.7
9.2
Construction
5.3
3.3
4.6
4.8
4.8
4.9
4.8
Services
18.8
16.1
15.1
14.7
14.6
14.3
14.2
Trade
18.0
15.8
14.2
13.3
11.9
11.6
11.4
Total
100,0
100.0
100.0
100.0
-...--
100.0
100 0
100.0
* The footnote for Table 54 follows on p.107.
S-E-C-R-E-T
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Approved For Release 1999/09/02 : CIA-RDP79-01093A000800060001-4
S-E-C-R-E-T
- - - -
Table 54
Distribution of Gross National Product of the European Satellites
by Sector of Original
1938 and 1948-53
(Continued)
Percent
East Germany
1938
1948
1949
1950_
1951
1952
1953
Industry
52.14
34.3
38.6
43.1
4T.8
51.8
54.1
Agriculture
12.3
15.5
14.9
15.6
15.0
13.4
11.7
Transport and Communications
6.5
4.9
5.9
6.1
6.0
6.1
6.3
Construction
5.0
5.1
4.8
5.3
Services
9.3
20.3
18.5
16.0
13.9
12.5
11.5
Trade
14.5
19.9
17.3
13.9
12.2
11.3
10.9
Total
100.0
100.0
100.0
300.0
100.0
100.0
100.0
Hungary
Industry
33.5
35.3
38.7
41.7
43.7
48.3
49.9
Agriculture
30.8
28.4
27.5
25.2
25.5
20.6
19.9
Transport and Communications
3.2
3.0
2.9
3.1
2.9
3.1
3.1
Construction
3.7
3.3
4.3
5.6
5.6
6.4
6.6
Services
17.0
18.2
16.4
15.2
13.9
13.5
12.8
Trade
11.8
11.8
10.2
9.2
8.4
8.1
7.7
Total
100.0
100.0
100.0
100.0
100.0
100.0
100.0
Poland
Industry
22.3
27.1
28.2
29.5
30.6
32.8
34.0
Agriculture
34.1
29.0
29.4
30.3
27.6
25.3
24.5
Transport and Communications
4.2
5.1
5.5
5.6
6.6
7.2
7.6
Construction
3.2
3.1
3.1
3.0
3.4
3.4
3.7
Services
18.8
17.7
16.7
15.8
15.9
15.9
15.6
Trade
17.4
18.0
17.1
15.8
15.9
15.4
14.6
Total
100.0
100.0
100.0
100.0
100.0
100.0
100.0
- 106 -
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Table 54
Distribution of Gross National Product of the European Satellites
by Sector of Origin W
1938 and 1948-i3
(Continued)
Percent
1938
1948
1949
1950
1951
1952
1953
Rumania
Industry
24.7
22.4
24.5
26.4
27.3
31.4
32.3
Agriculture
41.1
40.8
38.3
37.5
38.7
33.2
32.5
Transport and Communications
4.3
3.5
4.5
5.o
5.1
5.8
6.2
Construction
2.3
1.5
1.6
1.9
2.2
2.9
3.2
Services
12.7
15.4
15.5
15.0
13.8
14.3
14.1
Trade
14.9
16.4
15.6
14.2
12.9
12.4
11.7
Total
100.0
100.0
100.0
100.0
100.0
100.0
100.0
a. Not including Albania.
Table 55
Indexes of Industry Subsectors of the European Satellites
1938 and 1948-53
1950
= 100
1938
1948
1949
1950
1951
1952
1953
Country
Energy
Bulgaria
34.4
72.9
89.4
100.0
117.8
145.1
157.9
Czechoslovakia
63.5
88.4
93.5
100.0
105.2
116.7
123.3
East Germany
94.4
74.7
83.7
100.0
112.3
120.2
128.6
Hungary
66.4
76.9
95.0
100.0
114.4
139.4
158.8
Poland
03.4
88.4
93.1
100.0
108.3
116.0
124.9
Rumania
92.9
83.9
90.9
100.0
124.5
136.5
171.8
- 107
-
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Approved For Release 1999/09/02 : CIA-RDP79-01093A000800060001-4
t"E"T
55
_GYPIAXY
de es of Industry SubEectors of the European Satellites
19.S and 1948-53
(.ontiAued)
1938 1948 1949 1950
Metals
1951
1952
95C - 100
1953.
3u;garia
Negligible Negligible
89.0
100.0
121.0
233.0
417.5
Ouichoslovakia
67.6
96.5
96.6
100.0
107.6
116.1
121.0
East Germany
239.6
43.2
65.6
100.0
116.8
183.9
224.2
gungary
58.2
95.4
93.8
100.0
108.7
126.2
135.3
Poland
62.2
73.5
84.3
100.0
103.6
117.9
125.1
Rumania
100.1
83.8
94.4
100.0
107.5
123.5
136.4
Machinery and Equipment
garia
41.9
64.1
100.0
252.7
347.2
370.2
41,cLlos1.oyakia
43.9
81.2
93.0
100.0
112.1
120.5
129.5
!vit Germany
279.4
51.6
73.9
100.0
141.5
183.5
211.2
Zfungary
45.0
46.6
78.4
100.0
138.3
163.5
177.7
'q1 rd
30.1
68.3
80.3
100.0
107.3
130.6
144.4
uaLania
62.5
76.6
100.0
123.5
146.7
158.5
Chemicals
o
48
72
100
123
693
987
17zechoslovakia
74
75
88
100
111
120
126
East Germany
96
63
81
100
121
137
149
Hungary
97
59
70
100
95
131
171
t'oJ.and
52
78
87
100
109
118
132
.11mania
79
79
91
100
108
170
181
Building Materials
Albania
39
69
103
100
100
111
127
aulgaria
45
95
117
100
115
118
136
Czechoslovakia
80
9
90
100
112
121
130
gac, Germany
1.83
48
73
100
113
123
161
? o8 -
Approved For Release 1999/09/02 : CIA-RDP79-01093A000800060001-4
own pesimml mmeopeomreepowirw wownotemorme RI.MMRIMINNOPIIRMOOMOIAIN 1***11,4* OMNI 4111110 I 4 MIN 11111191.11MMINIO It,* 11f411 OIMWINSINIAIMPIPINIMPOWNIIMINNIIIIMONNIMC 40111111/0110104)10 111.1111, nmwa rr
Approved For Release 1999/09/02 : CIA-RDP79-01093A000800060001-4
S-E-C-R-E-T
Table 55
Indexes of Industry Subsectors of the European Satellites
1938 and 1948-53
(Continued)
1950
. 100
1938
1948
1949
1950
1951
1952
1953
Country
Building Materials
(Continued)
Hungary
62
32
57
100
116
138
153
Poland
118
69
89
100
118
131
150
Rumania
69
70
81
100
132
177
203
Forest Products
Albania
55
75
85
100
102
98
94
Bulgaria
49
74
75
100
99
115
125
Czechoslovakia
109
87
97
100
98
97
93
East Germany
104
126
95
100
100
97
98
Hungary
119
104
100
100
100
96
95
Poland
194
88
94
100
104
104
101
Rumania
150
104
110
100
102
99
101
Processed roods
Albania
73
98
98
100
122
125
123
Bulgaria
111
96
95
100
102
103
99
Czechoslovakia
99
77
83
100
94
108
81
East Germany
124
77
77
100
108
117
105
Hungary
118
81
94
100
106
105
101
Poland
113
70
76
100
98
85
75
Rumania
116
93
96
100
102
107
98
Light and Textile
Albania
0
0
91
100
118
164
202
Bulgaria
113
85
99
100
113
120
131
Czechoslovakia
85
105
112
100
101
99
99
East Germany
173
62
88
100
128
137
152
Hungary
78
76
89
100
102
106
108
Poland
85
79
94
100
104
104
103
Rumania
119
73
82
100
114
126
136
- 109 -
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? ???
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Approved For Release 1999/09/02 : CIA-RDP79-01093A000800060001-4
s-E-C-R-E-T
?
Table 56
Production of jelected Energy Products in the European Satellites in 199.)
and Percenta7e Increases in Production
1953 over 1952
All
European Czecho-ast
Satellites Albania Julgaria slovak:La Germany Hungary Poland Rumania
Electric Power
Billion KWH
Percent Increase
over 1952
62.68
11
0.06
43
1.55
15
12.70
10
25.60
9
5.01
19
14.35
13
3.41
18
Lignite and drown Coal
iAllion Metric Tons
245.9
03.
7.5
34.3
173.1
19.2
6.0
5.7
Percent Increase
over 1952
3
35
4
3
0
lb
26
51
Hard Coal
Million Metric Tons
115.3
o
0.5
20.3
3.1
2.1
89.0
0.3
Percent Increase
over 1952
5
a/
27
0.2
9
9
5
14
Synthetic Petroleum
Thousand i'letric Tons
1,837
0
0
400
1,373
0
64
0
Percent Increase
over 1952
9
a/
2/
13
7
2,./
23
2/
Crude Oil
Thousand Metric Tons
9,195
270
35
75
0
625
190
8,000
Percent Increase
2/
4
2
11
over 1952
11
8
75
25
2/
4
2
11
a. No production.
- 110 -
S-E-C-R-E-T
0q,t, 01 ROWE, It 1144 44 4,11 I 441414 414 i1414 t 4 i4 144Thk i COI N 01611gtiftinAtititigibti 660004.4 ,
Approved For Release 1999/09/02 : C
Approved For Release 1999/09/02 : CIA-RDP79-01093A000800060001-4
S-E-C-R-E-T
Table 57
Comparison of 1953 Production of Selected Energy Products
in the European Satellites and the USSR
Commodity
Production
All
European European Satellites
Units Satellites USSR as Percent of USSR
Electric Power
Billion KWH
63
133
47
Lignite and Brown Coal
Thousand Metric Tons
245,982
92,000
267
Hard Coal
Thousand Metric Tons
115,296
228,000
51
Synthetic Petroleum
Thousand Metric Tons
1,837
300
612
Crude Oil
Thousand Metric Tons
9,195
48,000
19
Table 58
Production of Metals in the European Satellites in 1953
and Percentage Increases in Production
1953 over 1952
Commodity
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Finished Steel
Thousand Metric Tons
Percent Increase
6,699
0
18
2,300
1,556
625
1,950
250
over 1952
5.6
e*
y
2.2
10.9
5.0
4.3
11.1
Pig Iron
Thousand Metric Tons
6,200
o
o
2,300
1,100
500
2,000
300
Percent Increase
Over 1952
17
2/
1/
9.5
68.5
5.2
11.1
9.1
* Footnotes for Table 58 follow on p. 112.
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Approved For Release 1999/09/02 : CIA-RDP79-01093A000800060001-4
S-E- C-R-E-T
Table 58
Production of Metals in the European Satellites in 1953
and Percentage Increases in Production
? 1953 over 1952
(Continued)
Commodity
Primary Copper
Metric Tons
Percent Increase
over 1952
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germaly. Hungary Poland Rumania
32,600 1,000 2,000 Negli- 13,600 Negli- 15,000 1,000
gible gible
39 0 33 N.A. 34 N.A. 50 25
Aluminum Ingot
Metric Tons 57,500 0 0 3,000 16,500 30,000 0 3,000
Percent Increase
over 1952 55 1/ 2/ h/ 134 15 1/ N.A.
Refined Lead
Metric Tons
Percent Increase
over 1952
a. No production.
b. No 1952 production.
90,200 0 27,500 9,200 15,500 Negli- 30,000 8,000
gible
7 2/ 0 6 -11 N.A. 20 33
- 112 -
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Approved For Release 1999/09/02: CIA-RDP79-01093A000800060001-4
S-E-C-R-E-T
Table 59
Comparison of 1953 Production of Selected Metals
in the European Satellites and the USSR
Commodity
Units
Production
European Satellites
as Percent of USSR
All
European -
Satellites
USSR
Finished Steel
Thousand Metric
6,699
27,600
24
Tone
Fig Iron
Thousand Metric
6,200
27,400
23
Tons
Primary Copper
Metric Tons
32,600
310,000
11
Aluminum Ingot
Metric Tons
57,500
310,000
19
Refined Lead
Metric Tons
90,200
168,000
54
Antimony
Metric Tons
2,450
5,000
49
Mercury
Metric Tons
52
1,035
5
Tin
Metric Tons
590
11,000
5
Table 60
Production of Selected Machinery and Equipment Products in the European Satellites
in 1953 and Percentage Increases in Production
1953 over 1952
Commodity
All
European Czecho- East
Satellites Albania Bulgaria slovakia 5ermany Hungary Poland Rumania
Machine Tools
Units
Percent Increase
over 1952
Metalworking Machinery
Units
Percent Increase
over 1952
46,000814
10
6,690
10
2/
2/
2/
2/
2/
a/
2/
16,500
10
2,900
9
20,200
13
2,850
14
2,900
21
290
21
6,300
-3
650
-7
400
33
1/
2./
* Footnotes tor Table 60 follow on p. 115.
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Approved For Release 1999/09/02 : CIA-RDP79-01093A000800060001-4
S-E-C-R-E-T
Table 60
Production ot Selected Machinery and Equipment Products in the European Satellites
in 1953 and Percentage Increases in Production
1953 over 1952
(Continued)
Commodity
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Trucks
Units
Percent Increase
over 1952
Tractors
Thousands
Percent Increase
40,l00
33
36.2
0
2/
0.0
0
2/
0.0
12,000
20
13.0
11,100
52
8.1
6,000
0
4.4
11,000
59
6.7
0
pj
4.0
over 1952
6
W
W
4
13
5
16
-11
Passenger Cara
Units
37,600
o
o
20,000
15,100
0
2,500
Percent Increase
over 1952
-2
A/
A/
0
-8
A/
67
1/
Bearings
Millions
20.4
0
o
10.1
8.7
0.0
1.1
0.5
Percent Increase
over 1952
25
2/
2/
22
27
2/
38
25
Steam Locomotives
Units
1,135
o
o
48o
0
220
300
135
Percent Increase
over 1952
5
2/
2/
9
2/
5
o
4
Freight Cars
Two-Axle Units
59,700
0
1,300
18,000
11,400
8,200
16,400
4,400
Percent Increase
over 1952
82/
12/
o
lo
26
0
10
- 13.4 -
S-E-C-R-E-T
Approved For Release 199271J9/02- LIA-11Ur /4'd -u I uU,OHL/UliOUULTUI:rwRIPlik
Approved For Release 1999/09/02 : CIA-RDP79-01093A000800060001-4
S-E-C-R-E-T
?=11 IMMO MOO Mim. MM.
Table 60
Production of Selected Machinery and Equipment Products in the European Satellites
in 1953 and Percentage Increases in Production
1953 over 1952
(Continued)
? Commodity
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Turbines
Million Rubles
421
2/
2/
270
100
25
5
(1950 value)
Percent Increase
over 1952
6
11/
!V
o
10
19
62
25
Electric Motors
Million Rubles
2,405
45
85
5oo
1,000
500
190
85
(195o value)
Percent Increase
over 1952
11
13
9
11
10
11
12
9
Radio and Television
Equipment
Million Rubles
400
0
25
70
260
30
5
10
(1950 value)
Percent Increase
over 1952
34
i/
25
27
37
20
67
67
Telephone and
Telegraph Equipment
Million Rubles
232
0
0
33
37
62
0
0
(1950 value)
.
Percent Increase
over 1952
6
10
6
3
a/
2.,/
a. No or negligible production.
b. No 1952 production.
? 115 ?
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Table 61
Comparison of 1953 Production of Selected Machinery and Equipment
in the European Satellites and in the USSR
Commodity
Units
Production
European Satellites
as Percent of USSR
All
European
Satellites
USSR
Bearings
Millions
20
135
15
Tractors
.Thousands
36
103
35
Trucks
Units
40,100
346,000
12
Passenger Cars
Units
37,600
73,000
52
Steam Locomotives
Units
1,135
2,310
49
Freight Cars
2-Axle Units
59,700
1140,1400
43
Machine Tools
Units
46,300 I/
88,000
53 1/
Metalworking Machinery
Units
6,690
10,500
64
Electric Motors
Million 1950 rubles
2,405
2,740
88
Telephone and Tele-
graph Equipment
Million 1950 rubles
132
14,186
3
a. Bulgaria not
unimportant.
included, Froduction-Eg not
available. However, output is relatively
Table 62
Production of Selected Chemicals in the European Satellites in 1953
and Percentage Increases in Production
1953 over 1952
Chemicals
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Sulfuric Acid
Thousand Metric Tons
1,211.0
o
10.5
256.0
400.0
114.0
376.0
54.2
Percent Increase -
over 1952
12
li*
30
0
11
81
9
6
* Footnote for Table 62 follows on p. 119.
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ease
? VIP
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Table 62
Production of Selected Chemicals in the European Satellites in 1953
and Percentage Increases in Production
1953 over 1952
(Continued)
Chemicals
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Caustic Soda
Thousand Metric Tons
Percent Increase
over 1952
Chlorine
403.0
9
0
1/
043
A/
0
228
9
12
20
80.5
15
40
1
Thousand Metric Tons
294
0
0
36.
219
9
22
8
Percent Increase
over 1952
9
a/
2/
0
9
29
10
33
Nitric Acid
Thousand Aetric To
433.2
0
38
46.5
254
10
55.1
29.6
Percent Increase
over 1952
6
2/
46
3
3
4
7
Synthetic Ammonia
Thousand Metric To
461.6
0
22.7
54.4
285
21
68
lo.5
Percent Increase
over 1952
7
2/
49
41
2
04
Calcium Carbide
Thousand Metric To
1,c15.5
0
4.0
74.5
715
20.5
195
6.5
Percent Increase
over 1952
8
2/
33
15
4
141
18
5
Refined Benzol
Thousand Metric Tons
Percent Increase
over 1952
142.8 0 0.160 60.5 10.9 3.2 67 1.1
6 a/ 7 10 6 19 2 69
S?E?C?R?E?T
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Approved For Release 1999/09/02 : CIA-RDP79-01093A000800060001-4
S-E-C-R-E-T
Table 62
Production of Selected Chemicals in the European Satellites in 1953
and Percentage Increases in Production
1953 over 1952
(Continued)
Chemicals
All
European Czecho- East
Satellites Albania 3ulgaria slovakia Germany Hungary Poland Rumania
Toluol
Thousand Metric Tons
Percent Increase
22.4
0
Negli-
gible
9.4
3.8
0.460
8.5
0.270
over 1952
9
2/
4/
4
10
12
13
80
Refined Phenol
Thousand Metric Tons
Percent Increase
21.2
0
Negli-
gible
3.7
11.4
0.100
5.9
0.050
over 1952
43
i/
A/
6
23
2/
195
4/
Cresols
Thousand Metric Tons
Percent Increase
20.8
0
Negli-
gible
1.9
15.6
0.800
2.5
Negli-
gible
over 1952
23
2/
2/
6
23
540
9
Sf
Xylol
Thousand Metric Tons
4.9
0
0
1.9
0.880
0.090
2.0
0.050
Percent Increase
over 1952
6
4/
4/
4
4
13
5
2/
Naphthalene
Thousand Metric Tons
45.2
0
0.050
20.1
5.6
1.2
18.0
0.260
Percent Increase
over 1952
9
4/-
82
12
19
10
3
73
Rubber Tires
Thousands
Percent Increase
3,500
0
90 1,860
880
175
360
135
over 1952
13
S/
13 12
14
9
16
8
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Table 62
Production of Selected Chemicals in the European Satellites in 1953
and Percentage Increases in Production
1953 over 1952
(Continued)
Chemicals
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary
Poland
Rumania
Synthetic Rubber
Thousand Metric Tons
67.7
0
0
1.7
62.0
0
4.0
0
Percent Increase
over 1952
17
2/
2/
13
16
2/
21
2/
Reclaimed Rubber
Thousand Metric Tons
N.A.
0
0.200
9.0
5.0
N.A.
5.2
N.A.
Percent Increase
over 1952
15
il
33
13
19
N.A.
16
N.A.
a. No or negligible production.
Table 63
Comparison of 1953 Production of Selected Chemicals
in the European Satellites and in the USSR
Chemicals
Units
Production
European Satellites
as Percent of USSR
European
Satellites
USSR
Sulfuric Acid
Metric Tons
1,210,700
2,750,000
44
Caustic Soda
Metric Tons
403,500
387,000
104
Chlorine
Metric Tons
294,000
295,000
100
Nitric Acid
Metric Tons
433,200
1,195,000
36
Synthetic Ammonia
Metric Tons
461,600
638,000
72
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INIMI NM OMB =la ??=1 ???=,
Table 63
Comparison of 1953 Production of Selected Chemicals
in the European Satellites and in the USSR
(Continued)
Chemicals
Units
Production
European Satellites
as Percent of USSR
European
Satellites
USSR
Calcium Carbide
Metric Tons
1,015,500
340,000
299
Refined Benzol
Metric Tons
142,800
271,000
53
Refined Phenol
Metric Tons
21,150
12,500
169
Rubber Tires
Units
3,500,000
10,500,000
32
Synthetic Rubber
Metric Tons
67,700
206,000
33
Reclaimed Rubber
Metric Tons
19,400
2/
61,000
32
2/
a. Does not include Hungary. Production data not available,
Table 64
Production of Selected Building Materials in the European Satellites in 1953
and Percentage Increases in Production, 1953 over 1952 2/
Canmodity
All
European
Satellites Albania
pulgaria
Czecho- East
slovalcia Germany
Hungary
Poland Rumania
Bricks
Millions
9,757 2/
N.A.
560
1,845
2,462
1,240
2,800
850
Percent Increase
over 1952
17
N.A.
12
7
18
17
20
26
Cement
Thousands
11,146
46
650
2,620
2,377
815
3,340
1,300
Percent Increase
over 1952
21
15
18
32
47
2
11
8
? ea no .e A
a it ose output s a negligible part of the total.
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Table 65
Production of Selected Forest Products in the European Satellites in 1953
and Percentage Increases in Production, 1953 over 1952
Commodity
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germaly Hungary Poland Rumania
Fuelwood
Million Cubic Meters
27.40
1.60
7.50
2.75
3.25
2.05
2.75
7.50
Percent Increase
over 1952
-1
-6
9
-8
-7
-2
-8
0
Industrial Wood
Million Cubic Meters
40.30
0.50
3.00
8.25
8.25
0.95
10.75
8.30
Percent Increase
over 1952
6
33
11
-3
3
6
8
15
Table 66
Production of Selected Processed Foods in the European Satellites in 1953
and Percentage Increases in Production, 1953 over 1952
Commo4ty
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Flour
Thousand Metric Ions
11,682
60
1,309
1,715
1,949
1,459
3,775
1,415
Percent Increase
over 1952
-0.2
78
2
9
-0.4
-4
-1
-2
Animal Fats
Thousand Metric Tons
554
1
21
92
151
73
182
32
Percent Increase
over 1952
-23
,.50
-16
-24
-23
-9
-27
-24
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Table 66
Production of Selected Processed Foods in the European Satellites in 1953
and Percentage Increases in Production, 1953 over 1952
(Continued)
Commodity
Al].
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Vegetable Oils
Thousand Metric Tons
Percent Increase
319.8 .
5.0 37.8
12.8
56.4
73.0
68.1
66.7
over 1952
36
92 31
2
8
86
35
37
Raw Sugar
Thousand Metric To
2,716
6 65
700
700
256
850
130
Percent Increase
over 1952
41
25 62
61
37
35
29
58
Meat
Thousand Metric Tons
1,714
9 101
311
464
185
461
183
Percent Increase
over 1952
-30
0 -21
-42
-25
-25
-30
-24
Table 67
Comparison of 1953 Production of Selected Processed Foods
in the European Satellites and in the USSR
Production
Commodity
Units
All European
Satellites
USSR
European Satellites
as Percent of USSR
Flour
Thousand Metric Tons
11,642
41,880
28
Animal Fats
Thousand Metric Tons
554
858
65
Vegetable Oil
Thousaad Metric Tons
320
950
34
Raw Sugar
Thousand Metric Tons
2,716
3,000
91
Total Meat
Thousand Metric Tons
1,714
3,460
50
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Table 68
Production of Selected Light and Textile Industry Products
in the European Satellites in 1953 and Percentage Increases in Production, 1953 over 1952
Commodit4y
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Boots and Shoes
Million Pairs
Percent Increase
110.4
0.4
2.4
54.0
26.0
7.5
12.8
7.3
over 1952
4
33
9
o
8
6
7
12
Synthetic Production (Rayon)
Thousand Aetric Tons
154.4
o
o
30.0
107.5
1.9
13.5
1.5
Percent Increase
over 1952
8
o
lo
12
12
o
Wool Yarn
Thousand Metric Tons
92.8
o
5.0
27.0
8.0
11.0
36.0
5.8
Percent Increase
over 1952
-3
11
o
7
0
-10
12
Cotton Yarn
Thousand Metric Tons
271.8
1.0
16.0-
75.0
43.0
27.7
92.1
17.0
Percent Increase
over 1952
4
43
- 7
o
27
o
o
3
? 123 ?
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? V V
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S-E-C-R-E-T
Table 69
Comparison of Production of Selected Light and Textile Industries
in the European Satellites and the USSR
1953
Production
Cormodity
Units
All European
Satellites
USSR
European Satellites
as Percent of USSR
Soots and Shoes
Million Pairs
110
395
28
Synthetic Products
(Rayon)
Thousand Metric Tons
154
45
342
Wool Yarn
Thousand Metric Tons
93
125
74
Cotton Yarn
Thousand Metric Tons
272
691
39
Table 70
Indexes of Agricultural Production
of the European Satellites
1938 and 1948-53
1950 = 100
Country
1938 2/
1948
1949
1950
1951
1952
1953
Albania
92
99
98
100
107
98
101
Bulgaria
99
L04
101
100
106
96
100
Czechoslovakia
110
83
92
100
100
96
95
East Germany
120
80
84
100
108
106
99
Hungary
108
93
101
100
112
94
95
Poland
119
80
89
100
92
86
86
Rumania
126
104
98
100
114
95
96
a. 1935-39 witerage.
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Table 71
Livestock Numbers and Production of Selected Agricultural Crops
in the European Satellites in 1953 and Percentage Changes
in Production al *
1953 over 1952 and 1938
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Cattle
Numbers (Thousands)
Percept Increase
21,080
380
1,700
4,000
3,740
1,750
6,180 3,330
over 1952
-5.3
-8.4
-5.6
-5.1
-0.3
-7.9
-4.9 -10.0
Percent Increase
over 1938
-18
-6
15
-15
5
-8
-38 -10
Sheep and Goats
Numbers (Thousands)
31,000
2,540
8,900
1,480
2,530
950
3,100 11,500
Percent Increase
over 1952
-4.2
-5.1
-5.3
-4.8
0.0
-5.0
0.0 -4.8
Percent Increase
over 1938
2
1
-7
-3
3
-48
14 13
Hogb
Numbers (Thousands)
21,292
20
800
3,712
5,250
3,040
6,820 1,650
Percent Increase
over 1952
-17.8
-20.0
-15.8
-20.0
-20.0
-20.0
-10.0 -30.1
Percent Increase
over 1938
-15
-5
-5
14
-9
-1
-30 -32
Horses
Numbers (Thousands)
6,382
52
525
620
765
620
2,900 900
Bercent Increase
over 1952
0.03
0.0
0.0
-1.6
0.0
0.0
1.3 -2.7
Percent Increase
over 1933
-16
-19
1
-10
-6
-25
.4 -40
* Footnotes forTable 71 follow on p. 128.
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1 1 ?
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Table 71
'Livestock Numbers and Production of Selected Agricultural Crops
in the European Satellites in 1953 and Percentage Changes
in Production a/
1953 over 1952 and 1938
(Continued)
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Breadgrains
Output
(Million Metric Tons)
Percent Increase
over 1952
Percent Increase
19.25
-3.4
.10
42.9
2.16
8.5
2.50
-2.0
2.59
-21.0
2.64
1.5
6.94
-5.7
2.32
12.1
over 1938
-22
150
0.0
-20
-30
-18
-25
-30
Coarse Grains
Output
(Million. Metric Tons)
15.66
.14
1.33
2.36
2.18
2.67
3.56
3.42
Percent Increase
over 1952
10.1
27.3
41.5
4.9
-0.5
24.8
-8.7
27.1
Percent Increase
over 1938
-26
0.0
-14
-11
-21
-19
-31
-39
Rice (Rough)
Output
(Thousand Metric Tons)
109.9
4.0
24.0
0
55.9
0
26.0
Percent Increase
over 1952
25.4
33.3
4.3
41.2
18.2
Percent Increase
over 1938
378
300
14
12/
2,500.
Potatoes
Output
(Thousand Metric Tons)
?46,194.0
4.o
90.0
6,500.0
10,400.0
1,400.0
27,000.0
900.0
Percent Increase
over 1952
Percent Increase
15.4
60.0
45.9
-44.3
2.4
42.6
14.1
22.6
Over 1938
-29
82
-20
-35
-24
-35
-29
-39
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- - - - -
Table 71
Livestock Numbers and Production of Selected Agricultural Crops
in the European Satellites In 1953 ana Percentage Changes
in Production 2/
1953 over 1952 and 1938
(Continued)
All
European Czecho- East
Satellites Albania aulgaria slovakia Germany Hungary Poland Rumania
Cotton (Uinned)
Output
(Thousand Metric Tons)
Percent Increase
over 1952
Percent Increase
27.7
62.9
1.1
57.1
14.0
40.0
0
0
3.0
275.0
0 9.6
74.5
over 1938
260
y
10012/
1,271
Wool (Grease)
Output
(Thousand Metric Tons)
53.03
2.50
13.50
' 1.18
4.12
4.46
3.70 23.57
Percent Increase
over 1952
5.2
4.2
0.7
0.9
11.7
20.9
15.6 3.1
Percent Increase
over 1938
9
25
2
195
-22
-28
19 27
Flax (Scutched)
Output
(Thousand Metric Tons)
69.7
0
0.7
12.6
8.0
3.9
38.1 6.4
Percent Increase
over 1952
1.6
0.0
3.3
0.0
0.0
0.0 12.3
Percent Increase
over 1938
-18
133
-33
-52
11
-14 2
Hemp
Output
(Thousand Metric Tons)
65.3
0
5.2
4.1
1.9
16.7
6.0 31.4
Percent Increase
over 1952
5.2
4.0
10,8
11.8
0.0
7.1 6.8
Percent Increase
over 1938
-13
27
-18
-81
22
100 4
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S-E-C-R-E-T
Table 71
Livestock Numbers and Production of Selected Agricultural Crops
in the European Satellites in 1953 and Percentage Changes
in Production A/
1953 over 1952 and 1938
(Continued)
Commodity
All
European Czecho- East
Satellites Albania Bulgaria slovakia Germany Hungary Poland Rumania
Sugar Beets
Output
(Thousand Metric Tons)
18,148.3
50.0
.433.3
4,242.4
5,109.5
1,866.2
5,493.9
936.0
Percent Increase
over 1952
31.5
35.5
61:7
28.9
34.9
33.1
25.2
51.9
Percent Increase
over 1938
4
y
108
5
-16
111
-3
71
a. 1935-39 average.
b. Prewar production not available.
Table 72
Comparison of Livestock Numbers and Output of Selected Agricultural Crops
in the European Satellites and in the USSR
1953
All European
European Satellites
__ Commodity
Units
Satellites
USSR
as Percent of USSR.
,
Cattle
Thousands
21,080
59,400
35
Sheep and Goats
Thousands
31,000
131,300
24
Hogs
Thousands
21,292
38,500
55
Horses
Thousands
6,382
17,900
36
Breadgrains
Thousand Metric Tom
19,250
59,030
33
Coarse Grains
Thousand Metric Tons
15,660
27,616
57
Rice
Thousand Metric Tons
110
390
28
Potatoes
Thousand Metric Tons
46,194
74,800
62
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Table 72
Comparison of Livestock Numbers and Output of Selected Agricultural Crops
In the European Satellites and in the USSR
1953
(Continued)
Commodity
Units
All European
Satellites
USSR
European Satellites
as Percent of USSR
Cotton (Ginned)
Thousand Metric Tons
28
972
3
Wool (Grease)
Thousand Metric Tons
53
170
31
Flax (Scutched)
Thousand Metric Tons
70
576
12
Hemp
Thousand Cietric Tons
65
178
37
Sugar Beets
Thousand Metric Tons
18,148
22,300
81
?
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?
>
-0
"0 Table 73
i3
4C Geographic Distribution of Imports of the European Satellites a/ 11./
CD 1936-38 Average and 1951
a
-n Million Current US $
0
-.1 B Czechoslovakia East Germany Hungary Poland Rumania
Importing Area
1936-38 1936-38
1936-38 1.936-38 1936-36 1936r.38 -1936-38--
G) or Country Average 1951 Imam 1951 Average 1951 Average 1951 Average 1951 Average 1951
G)
A) World 55.5 135.0 329.0 963.0 443.0 482.8 130.7 385.0 226.9 924.2 126.2 296.0
C,)
(1) West 37.1 10.0 274.1 389.1 366.5 101.0 100.1 131.7 196.3 381.1 87.2 74.0
Bloc 18.4 125.0 54.9 573.9 76.5 381.8 30.6 253.3 27.6 543.2 39.0 222.0
USSR N.A. 86.0 3.8 280.0 10.6 210.4 0.2 N.A. 2.2 241.2 0.2 140.0
China N.A. .2/ 2.0 62.5 13.4 16.4 N.A. N.A. 0.7- 22.7
Bulgaria 2.6 21.3 6.4 10.3 0.7 5.1 2.8 9.8 0.1 3.5
Czechoslovakia 3.3 16.3 14.1 32.8 J6.7 N.A. 7.6 84.5 17.5 N.A.
East Germany 6.2 8.8 14.1 60.4 12.0 23.5 U.S 135.6 14.0 12.0
? Hungary 1.1 5.1 6.6 N.A. 11.1 14.5 1.3 28.0 5.6 N.A.
Poland 2.5 8.0 8.9 87.5 8.3 89.0 1.4 30.9 1.6 10.8
Rumania 5.3 0.9 16.8 N.A. 12.6 8.4 9.6 N.A. 1.5 12.5
? Residual -0.1 0.1 62.2 193.8 8.9 55.7
a. See Appendix B, paragraph 2, a, for statement on methodology and sources.
b. Not including Albania.
c. Less than $100,000.
- 330 -
D.
-a
-a
3 -a
< "0
G)
7:1)
a <
-n Table 74 G)
O 0.
-1 Geographic Distribution of Exports of the European Satellites yy -n
P3 1936-38 Average and 1951 C)
(I) -,
ar Million Cxrrreirt DS $ X
A) (I)
Cl) Bulgaria Czechoslovakia East Germany Poland Rumania
(I) 1956
.H.37ary ac
Importing Area 1936-38 1936-38 1936-38 1936-38 1936-38 A)
or Country Average 1951 AMSESCE 1951 Allan_! 1951 Average 1951 Average 1951 Average 1951 cn
"
CO (I)
OD
OD World 184.5 128.0 363.3 852.0 568.0 659.8 158.6 397.0 214.4 761.6 182.8 227.0
..... OD
o OD
OD West 171.2 11.0 298.1 328.9 480.7 113.0 133.7 124.3 188.2 323.9 142.4 37.0 OD
..... .....
Is3 Bloc 13.3 117.0 65.2 523.1 87.3 546.8 24.9 272.7 26.2 437.7 40.4 190.0 OD
.....
..
() USSR N.A. 67.0 7.3 240.0 14.6 301.8 0.2 N.A. 2.9 180.4 0.2 140.0 K)
China N.A. 2/ 7.4 40.0 14.9 15.9 0.2 N.A. 1.1 26.1 0.3 Si ..
*1 0
C3 Bulgaria 2.7 16.3 6.2 9.3 1.0 4.4 1.8 7.6 1.3 0.9 ,,
13 i3
-.4 Czechoslovakia 2.8 21.3 14.1 60.2 5.4 N.A. 9.4 87.5 15.3 N.A.
OD C3
CD East Germany 6.4 11.8 14.1 33.0 11.1 14.5 8.3 88.1 12.6 8.4 13
-.4
-% CO
0 Hungary 0.7 4.4 7.4 N.A. 12.0 23.5 1.3 30.9 8.6 N.A. CD
OD
CA) Poland 3.0 9.8 7.2 64.5 11.5 122.5 1.4 28.0 2.1 12.5 -%
> 0
0 C0
0 Rumania o.4 3.5 18.9 N.A. 14.0 12.0 5.6 N.A. 1.4 10.8 CA3
0 >
CO Residual -0.8 0.2 109.3 1.6 225.8 6.3 28.2 CD
CD CD
CD CD
CD CO
CD a. See Appendix B, paragraph 2, a, for statement on nethodology and sources. CD
CD b. Not including Albania. CD
CD C. Less than $100,000. CD
CD CD
-.% CD
0
0
-%
.11.
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S-E-C-R-E-T
Table 75
Trade of the European Satellites I/ with the West12/
1948 and 1953
Thousand US $
3ulgaria
Imports
Exports
1
1953
1948
1953
US and Canada
2,429
10
3,040
335
Western Europe
15,455
26,692
17,726
24,005
Latin America
22
N.A.
25
N.A.
Near East and Africa
16
2,533
2,801
3,511
c?ar East
214
1,317
N.A.
7
Australia and New Zealand
, 12
N.A.
238
1
Czechoslovakia
US and Canada
36,070
170
27,988
5,144
Western Europe
300,182
63,544
322,745
134,498
Latin America
26,578
7,888
20,463
14,529
Near Last and Africa
22,354
10,189
34,157
20,640
Far East
17,377
15,994
15,516
11,255
Australia and New Zealand
3,425
10,029
15,250
3,943
East Germany
US and Canada
N.A.
856
N.A.
7,400
Western Europe
12,170
126,626
33,667
142,495
Latin America
N.A.
N.A.
N.A.
N.A.
Near East and Africa
N.A.
324
N.A.
111
Far East
N.A.
692
N.A.
6,656
Australia and New Zealand
N.A.
1
N.A.
1,163
Hungary
US and Canada
9,734
64
1,725
2,006
Western Europe
81,304
66,676
83,643
37,844
Latin America
906
1,668
461
112
Near East and Africa
5,082
9,923
6,546
6,973
Far East
1,432
1,028
466
4,00.7
Australia and New Zealand
72
464
307
462
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Table 75
Trade of the European Satellites 2/ with the West y
1948 and 1?53
(Continued)
Thousand US $
Imports
Exports
1948
1953
1948
1953
Poland
US and Canada
67,454
474
1,294
15,250
Western Europe
218,391
154,628
330,067
227,675
Latin America
28,198
17,088
4,712
5,014
Near East and Africa
7,810
7,658
3,500
8,747
Far East
14,847
11,230
3,179
2,398
Australia and New Zealand
5,049
14,609
359
88
Rumania
US and Canada
8,780
122
504
369
Western Europe
22,087
64,718
35,340
61,521
Latin America
17,455
4,o7o
3,445
3,446
Near East and Africa
1,073
1,801
5,07o
7,235
Far East
1,277
92
166
8
Australia and New Zealand
6
811
7
3
a. Excluding Albania.
b. 1953 data are based on incomplete reports and should be considered preliminary and
subject to change. See Appendix B, paragraph 20 b, for statement on methodology and sources.
-. 133 -
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Table 76
Commodity Trade of Bulgaria with the West/*
195].
1951 and. 1952
Thousand US $
Comnodity
1951
Value
1952
Value
Imports (FOB)
Textile Fibers and Manufactures
Wool Tarns and Fabrics
187
2,241
Cotton Yarns and Fabrics
177
1,538
Synthetic Fibers
333
1,003
827
---
S315
Iron and Steel Manufactures
214
1,493
Chemicals
Dyeing and Tanning Materials
1,029
1,492
11227
2,8314
Machinery
2 113
2,6514
Total Imports
6 543
15,519
Exports (CIF)
Foodstuffs
Dairy Products, Eggs, and Honey
1,073
2,526
Fruits and Vegetables
2,012
2,451
Cereals and Preparations
523
5,319
4 0025
10,889
Tobacco and Manufactures
2,.220
231
Unmanufactured Wood and Lumber
711
447
* Footnote for Table 76 follows on p. 135.
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Table 76
Commodity Trade of Bulgaria with the West 2/
1951 and 1952
(Continued)
Thousaad US $
Commodity
1951 1952
Value Value
Clays, Stones, Sand, and Gravel
507
222
Essential Oils and Perfumes
1,2S3
732
Total Exports
11 477
]5817
a. See Appendix B, paragraph 2, c, for statement on methodology and sources.
Table 77
Commodity Trade of Czechoslovakia with the West /V
1951 and 1952
1951 1952
Value el Value si
Quantity, (Thousand Quantity , (Thousand
Commodity by Principal Country (Metric Tons )10/ US $) (Metric Tons & US $)
Imports (FOB) y
Butter
Sweden
4,985
5,090
499
529
Denmark
0
0
304
380
5,107
1h&23
* Footnotes for Table 77 follow on p. 141.
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Table 77
Commodity Trade of Czechoslovakia with the West 2/
1951 and 1952
(Continued)
1951 1952
Value g Value
Quantity, (Thousand Quantity , (Thousand
Commodity by Principal Country Metric Tons 124 us 0 (Metric Tons )/ US 1)
Fish and Products
Denmark
4,061
664
1,888
281
Iceland
2,997
945
2,730
968
Netherlands
1,495
143
4,372
495
Sweden
3,971
451
2,731
355
Total
3,160
2,7
Fruits and Vegetables
Italy
13,626
2,149
14,278
2.,533
Netherlands
10,150
825
19,082
802
Total
3 876
4 922
Crude Rubber
Malaya (Long Tons), 9,522
10,351
17,206
11,814
Nigeria (Thousand Pounds) 3,517
1,945
N.A.
N.A.
Total
12 612
12 743
Raw Wool Tops, Noils, and Hair
Australia (Thousand
4,360
7,282
3,167
2,616
Pounds)
New &Aland (Thousand
1,551
2,138
4,187
1,687
Pounds)
Belgium - Luxembourg
698
3,206
151
368
UK
2,370
3,008
1,025
904
France
606
1,864
437
550
Total
18 797
6,638
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Table 77
Commodity Trade of Czechoslovaia with the West/
191
1951 and 1952
(Continued)
Commodity by Principal Country
1951
1952
Value 2/
Quantity, (Thousand
(Metric Tons)12( US $)
Value 2/
Quantity , (Thousand
(Metric Tons)/ US $)
Raw Cotton
Turkey
5,243
8,100
4,709
4,972
Egypt
12,576
27,147
1?,954
20,403
Pakistan (Bales)
8,630
2,268
N.A.
2,059
Brazil
1,863
3,164
Total
42,022
28,678
Iron and 6-tea1
Austria
34,509
9,765
10,306
4,398
Gerlaany
39,706
4,o98
10,972
2,272
Belgium - Luxembourg
16,948
2,265
6,415
1,363
Italy
2,819
829
5,333
1,600
Total
19,893
11,6142
Electric Machinery and Parts
Austria
N.A.
1,255
368
1,587
Belgium - Luxembourg
N.A.
1,065
426
992
Germany
N.A.
1,258
159
919
Sweden
N.A.
1,707
260
1,139
Italy
N.A.
1,845
85
231
Total
11,166
7,554
Zinc, Scrap, and Semimanufactures
7,718
327
Chemicals
Coal Tar Dyestuffp and Paints
Germany
276
2,041
43
269
Other OEEC
N.A.
3,682
2,032
Subtotal
5 826
2,301
137 ."
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Table 77
Commodity Trade of Czechoslovakia with the West 2/
1951 and 1952
(Continued)
Commodity by Principal Country
1951
Value c7
Quantity (Thouealia
SMe_Lris:onsb US 0)
1952
Value c /
Quantity, (Thousand(Metric, Tons )12/ US 3) ,
Chemicals (continued)
Medicinal and Pharmaceutical
Products
Belgium - Luxembourg
Denmark
Germany
Netherlands
UK
Subtotal
Total
Ball, Needle, and Roller Bearings
Italy
Switzerland
Austria
Total
Total Imports (FOB)
32
27
46
30
N.A.
478
N.A.
160
528
547
793
566
185
4 830
14
25
6
34
N.A.
411
74
188
224
434
292
398
146
3,173
ss
12,800
1,529
N.A.
196
3,757
---
1,907
309
861
3,655
257,717,
161,239
Exports (CIF)
Foodstuffs
Sugar and Preparations
UK
Germany
Norway
Sweden
N.A.
34,361
13,090
44,818
3,714
7,009
2,537
6,829
2,070
25,725
12,702
32,385
782
4,493
2,257
5,936
- 3,38 -
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Table 77
Commodity Trade of Czechoslovakia with the West 1/
1951 and 1952
(Continued)
1951
1952
Value 2/
Quantity, (Thousand
Commodity-by Principal Country (Metric Tons )/ US $)
Value 2/
Quantity , (Thousand
(Metric Tons)12/ US -$)
Foodstuffs (continued)
Austria
Denmark
Subtotal
Cereals and Preparations
Switzerland
Lielgium - Luxembourg
Austria
Germany
Italy
Subtotal
Fruits and Vegetables
Belgium - Luxembourg
France
Austria
Total
Paper, Paperboard, and Manufactures
Italy (1951 - Thousand
Pounds)
Netherlands
Brazil
Indonesia
France4,216
Total
22:11:99
20,793
,5
6624
0
13,261
7,222-
1,163
7,691
1,562
6,4491,310
1,529
2,456
2,622
4 ,808
274
2,171
12,290
0
30,06
12,104
6,728
20,470
11,755
1 PIJ
897
1,278
870
528
470
2,765
0
23I17
2,937
872
0
1,903
1,065
8,116
1114:175?2!
2,857
15140
54 893
:94:
Total
1,160
839
340
7 504
1,232
742
1, 14
7,1].
525
699.
1,028
1,405
7,457
129
249
315
831
125
4,903
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Table 77
Commodity Trade of Czechoslovakia with the West 2/
1951 and 1952
(Continued)
1951 1952
Value F Value 2/
Quantity, (Thousand Quantity , (Thousand
Commodity bz_frincipal Cduntry (Metric Tons)12( US $2_ (Metric Tons)121 , US I) ,
Cotton Yarn, Fabrics, and
Manu!'actures
Turley 1,202 4,691 841 2,682
Total 10 967 9,136
Wool Yarn, Fabrics, and Other
7,122 k878
55363:23
Coal and Related Fuels
10,485: 8,1133
Austria
U299'
Germany 710,142
392,949
Italy (Short Tons) 84,670 61,071
Total 16,183 'P,3g
15 190
1,150
837
1,281
1,616
1,584
680
1,068
17,111
Clay, Store, and Other Nonmetallic
Rdnerals
Turkey
Netherlands
Italy (1951, Thousand
Pounds)
Germany
Brazil
Austria
UK
Total
11,926
21,621
46,419
44,003
9,354
38,347
N.A.
1,614
2,196
2,081
1 ,246
1:2
1,206
19,890
8,249
6,670
7,296
$2,176
5111,16g
N.A.
3.40 -
pprove or e
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Table 77
?Commodity Trade of Czechoslovakia with the West .a./
1951 and 1952
(Continued)
1951 1952
Ccemnodity by Principal Country
Quantity, (Thousand
(Metric Tons)?./
Value 2/
US *0,
Value 2/
Quantity , (Thousand
(Metric Tons)1/ US $)
Iron and Steel Manufactures
Sweden
14,719
3,098
7,302
1,532
Switzerland
4,061
851
1,254
314
Netherlands
2,562
1,285
52
14
Brazil
4,318
800
211
90
Total
11 341--L-
-..- ,
3,334
Road Motor Vehicles and Parts
Austria
1,029
1,260
720
1,055
Aetherlands
1,292
1,490
734
724
Sweden
N.A.
1,419
N.A.
1,908
Australia (Units)
2,040
1,985
N.A.
N.A.
Brazil
833
1,627
371
717
Total
11,205.
9,76b
Total Exports (CIF)
272,950
206,b57
a. Eiee Append2x B, paragraph 2, c, for statement on methodology and sources.
b. Unless otherwise specified.
c. Totals include amounts imported or exported from countries other than those listed.
d. Free on board.
e. Cost, insurance, and freight.
S?E?C?R?E?T
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Table 7.
78
Commodity Trade of East Germany with the West 2/*
1951 and 1952
Commodity by Principal Country
1951
1952
Value 2./
Quantity, (Thousand
(Metric Tons)1/ US S)
Value 2/
Quantity, (Thousand
(Metric Tons)/12 US $)
Imports (FOB) .q/
Foodstuffs
Dairy Products
Sweden
N.A.
3,135
4,260
4,323
Denmark (1951, Thousand
4,793
1,778
3,774
3,650
Pounds)
Netherlands
4,024
4,194
1,733
1,774
Subtotal
9,752
11,19
Live Animals and vleat Products
Denmark
26,118
10,201
8,240
2,794
Subtotal
10,910
3,S22
Fish and Products
West Germany
18,449
5,368
166
31
Norway
73,497
3,262
42,847
4,504
Sweden
N.A.
3,000
o
o
Subtotal
13 153
12,388
Fruits and Vegetables
Denmark
LA.
1,292
14,631
1,760
Subtotal
2,010
6,300
Total
----
I2,366
141,181
* -Footnotes or Table 78 follow on p. 146.
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Table 78
Commodity Trade oC East Germany with the West La/
1951 and 1952
(Continued)
Commodity by Principal Country
1951
1952
Value 2/
Quantity (Thousand
(Metric Tons)/ US $)
Value 21
Quantity, (Thousand
(Metric Tons)V US $)
Wbodpulp, Waste Paper, Paper
Base Stock
Sweden
West Germany
N. It.
723
1,685
479
1,839
N. A.
553
N. A.
Total
2,186
1,613
Fertilizers
Belgium - Luxembourg
131,692
3,076
89,411
2,267
Total
3,077,
L,013
Coal
West Germany
371,101
3,796
0
0
Total
3,796
Iron and Steel Manufactures
West Germany
42,749
4,796
30,234
4,810
Sweden
4,834
1,452
4,919
2,303
Total
8 461
9,56)4
Total Imports (FOB)
94,585
114 146
343 -
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Table 78
Commodity Trade of East Germany with the West .a../
1951 and 1952
(Continued)
Commodity by Principal Country
1951
.1952
Quantity
(MetricTons)12/
Value e7
(Thousand
us
Value 2/
Quantity, (Thousand
(Metric Tons)12/ US )
ixports (CIF) e/
? Foodstuffs
Cereals and Preparations
(Wheat and Flour Mill Products)
Sweden
14,965
1,572
0
0
West Germany
5,243
365
780
472
Total
2,170
970
Paper and Paperboard Manufactures,
Netherlands
2,236
475
566
161
West Germany
1,745
458
2,610
443
Total
1,209
1,336
Fertilizers
Sweden
115,112
3,099
81,216
2,076
Netherlands
111,701
2,373
112,115
2,247
UK
N.A.
5,895
80,147
2,946
Belgium - Luxembourg
120,654
2,041
92,468
1,795
Denmark
113,602
2,870
210,943
5,837
Norway
75,132
2,132
99,040
2,623
Japan
32,583
1,698
35,012
1,653
Total
20 321
2t,628
Coal and Related Fuels
Austria
313,010
3,145
166,505
2,657
Sweden
N.A.
7,197
509,444
6,882
Total
11 801
12484
144441.
A rt " Far 1111190140M .-01-.-'Ur ,b-v luvomuuutyur.Mbucrui -4
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5-E-C-R-E-T
Table 78
Commodity Trade of East Germany with the West 2/
1951 and 1952
(Continued)
1
1951 952
Value of Value 2/
Quantity (Thousand Quantity, Crhousand
Commodity by Principal Country (Metric Tons)/ LILLL (Metric Tons )/ DS $) ,
Petroleum and Products
West Germany
25,145
3,310
Total
3 510
Clay, Stones, Sand and Gravel,
and Manufactures
(Glass, ceramics, cement, etc.)
West Germany
Denmark
g:;14-(!)
2,526
2,700
Netherlands,467
5
1,003
Total
10,101
--
Chemicals
West Germany
13,885
2,976
Sweden
N.A.
1,315
Denmark
N.A.
789
Total
7,1423
Textile Fiber and Manufactures
West Germany
1,452
5,987
Denmark
714
1,698
Total
10 588
611
4,T9
1,339
2,941
160 3
8,)410
4,793 1,962
27,018 839
2,122 358
6,374
2,130 5,487
294 483
7,303
Machinery (Electric)
West Germany 647 686 46 97
Total 1,8I2 1 158
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Table 78
CommOdity Trade of East Germany with the West 2/
1951 and 1952
(Continued)
1951 1952
Value E7 Value 2/
1 (Thousand Quantity i (Thousand
Commodity by Princlpal Country iMeCt.11-ainIA/ US $)_ (Metric Tons)/ US 1)
Nonelectric Machinery,
,977
West Germany 1 637 1,997
Austria 611 P,IliT9 y
584 1,016
Denmark N. A. 852 356 538
Total11 201
_-.2.?
22112
Road Motor Vehicles and Parts
Austria 216 339 302 198
Sweden 467 279 242
Total 1,150 L5214
Clothing
Netherlands N.A. 834 44 241
Sweden 133 343 304
Total l,1].1 818
_
Total Exports (CIF) 101,403, 120,205
7.7"?NorAppeWnonmethoctoiogy ?4 sources.
b. Unless otherwise specified.
c. Totals include amounts imported or exported from countries other than those listed.
d. Free on board.
a. Cost, freight, and insurance.
f. $992.000 for office machinery.
S?E?C?R?E ?T
pp rove
or
e ease
? ?0 le
I IIIIIIII.
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_ _ _ _
Table 79
Commodity Trade of Hungary with the West 2/*
1951 and 1952
1951
1952
Quantity,
Commodity by Principal Country pMetric Tons)12/
Value s(
(Thousand
US $)
Value 2/
Quantity (Thousand
(Metric Tons)bJ US $)
Imports (FOB) (2/
Textile Fibers and Manufactures
Wool and Animal Hair
UK (Thousand Pounds)
674
1,672
203
316
Belgium - Luxembourg
1465
3,081
388
1,270
Subtotal
6473
1728
Raw Cotton
Turkey
1,858
3,249
4,600
5,072
Egypt
N.A.
6,072
4,415
6,073
Subtotal
9,554
12,415
Synthetic Fibers and Manufactures
Germany
519
847
378
395
Italy
2,148
2,504
645
946
Switzerland
251
755
211
603
Subtotal
4,765
14,366
Total
25,7014
23,821
Iron and Steel Manufactures
Austria
4,388
1,065
6,580
3,128
Belgium - Luxembourg
19,892
2,021
11,606
1,660
Germany
22,496
4,458
13,295
3,559
Total
9,862
2L2
* footnotes for Table 79 follow on p.150.
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Table 79
Commodity Trade of Hungary with the West/
1951
1951 and 1952
(Continued)
Commodity by Principal Country
1951
1952
IT?
Quantity, (Thousand
(Metric Tons)b US
- Quantity
(Metric Tons)'
Value 2/
(Thousand
US
Copper and Manufactures
Turkey
Total
823
796
2 365
10
Chemicals
Germany
3,869
2,235
3,889
2,375
Switzerland
551
1,314
277
828
Total
5,604
5630
Machinery (including electrical
machinery)
Italy
1,103
2,582
353
1,488
Switzerland
749
2,916,
491
1,585
Germany
3,621
4,581
N.A.
4,795
Total
13,806
11 157
Total Imports (FOB)
80,966
760141
Exports (CIF)
Foodstuffs
Live Animals and Aeat and Meat
Products
West Germany
5,955
2,754
4,108
619
Switzerland
N.A.
1,916
N.A.
626
Italy
N.A.
2,713
N.A.
3,278
Subtotal
83614
6111
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Table 79
Commodity Trade of Hungary with the West 2/
1951 and 1952
(Continued)
Commodity by Principal Country
1951'
1952
Quantity,
(Metric Tons)1/
Value 2./
(Thousand
US $)
Value 27
Quantity , (Thousand
(Metric Tons)li US $)
Foodstuffs (continued)
Dairy Products
Austria
1,022
830
946
810
West Germany
1,677
1,244
N.A.
917
Italy
4,158
1,311
3,595
2,578
Subtotal
3 662
5,718
Cereals and and Preparations
Austria
21,690
2,852 ?
31,675
3,930
West Germany
52,569
6,942
37,555
4,518
Switzerland
12,802
1,304
15,602
1,678
Subtotal
14,214
12,331
Sugar and Sugar Preparations
Austria ?
3,823
846
6,525
1,500
West Germany
14,656
2,869
25,979
4,251
Subtotal
3,917
6,h3
Total
34,075
33,851
Beverages and Tobacco
Wine
West Germany
- 5,334
882
2,205
421
Subtotal
1,137
Tobacco
Austria
682
536
Subtotal
-L2.912
491
Total
2,145
1,223
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Table 79
Commodity Trade of Hungary with the West a/
1951 and 1952
(Continued)
Commodity by Principal Country
1951
1952
Quantity
i/i?tricarma
Value 2/
(Thousand
US$)
Value 2/
Quantity ,(Thousand
(Metric Tons )12/ US $)
Fats and Oils
Austria
4,135
1,900
1,371
786
West Germany
2,787
1,410
736
257
Switzerland
1,494
685
127
54
Total
6 857
3,S60
Hides and Skins
Austria
58
335
Total
122.22
152
Cotton Yarn and Fabrics and
Manufactures
Turkey
1,229
3,974
1,652
4,390
Total
5 511
8,636
Medicinal and Pharmaceutical
Products
1,073
1,071
--
Electrical Machinery Apparatuses
and Appliances
West GermanY
209
1,598
N.A.
131
Total
1669
1537
Total Exports (CIF)
60,131i 71 852
Leepp?Sr?a?aiWenanenonrnethodology and sources.
b. Unless otherwise specified.
e. Totals include amounts imported or exports from countries other than those listed.
d. Free on board.
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Table 80
Commodity Trade of Poland with the West 2/*
1951 and 1952
1951
1952
Quantity,
Commodity by Principal Country (Metric Tons)/
Value 2/
(Thousand
us 8)
Value il
Quantity u, (Thousand
(Metric Tons)./ US 3)
Imports (FOB) y
Rubber
Malays (Long Tons) 9,409
Ceylon (Thousand Pounds) 1,488
Indonesia 1,066
Total
11,507
875
191
13,73
6,040
3,698
17,094
3,782
1,595
9,786
1,19
Raw Wool
Austria (Thousand Pounds) 21,952
32,010
6,604
5,533
New Zealand (Thousand
Pounds) 15,693
20,315
12,290
8,092
Total
57 453
17 554
Raw Cotton
Pakistan (1951 - Bales,
1952 - long tons) 38,536
10,342
10,600
12,835
Brazil 386
542
380
634
Turkey 295
468
599
540
Syria - 1951 200
546
o
o
Egypt - 1952 N.A.
N.A.
3,583
5,441
Total
15 114
780
192.-
Woodpulp and Paper Base Stock
Norway (Short Tons) 3,289
5oo
0
Sweden N.A.
10,865
8,415
3,044
Finland N.A.
N.A.
29,389
7,150
Total
11,8814
10,194
Footnotes for Table 80 follow on p. 152.
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Table 80
Commodity Trade of Poland with the West a/
1951 and 1952
(Continued)
Commodity by Princiral Country
1951
1952
Value g
Quantity , (Thousand
ijetric Tons,l/L US $L
Value c/
Quantity ,, (Thousand
(Zetric Tons)/ US $)
Machinery - all types
Sweden
N.A.
16,230
13,693
France
N.A.
11,080
6,934
UK
N.A.
8,777
6,-089
Austria
N.A.
4,522
7,338
Total
63,667
57 497
--
29L,3
229,937
Total Imports (FOB)
Exports
(cm')
Meat and Meat Products
UK (Thousand Pounds)
US
Total
213,371
2,335
38,049
3,959
43966
98,326
4,252
34,500
7,244
43257
Coal
Austria
1,051
21,600
940
20,480
Denmark
1,757
34,302
478
7,773
France
947
21,380
755
17,280
Sweden
N.A.
66,226
N.A.
46,768
Italy (1951-Thousand Short Tons
1952-Thousand Metric Tons) 1,169
22,217
836
15,146
Norway 139
2,709
142
2,766
Total
179 517
1O,19
Total Exports (CIF)
309,309
274 885
a. See Appendix B for statement on methodology and sources.
b. Unless otherwise specified.
c. Totals include imports and exports from countries other than those listed.
d. Free on board.
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Table 81
Commodity Trade of Rumania with the West
1951 and 1952
Thousand US $
1951
Value
1952
Value
Imports (FOB) 22/
Textile Fibers and Manufactures
Raw Wool, Tops, and Noils
Austria
995
N.A.
Subtotal
3,382
2,703
Raw Cotton, Linters and Waste
Egypt
9,933
1,284
Subtotal
9952
1,859
Cotton Yarns and Fabrics
Italy
855
0
Subtotal
1,181
424
Synthetic Fibers
Austria
546
276
Belgium - Luxembourg
167
0
France
1,202
200
Germany
Italy
709
170
551
19
Subtotal
2,923
1 286
Total
20 541
8 741
Iron and Steel Manufactures
Belgium - Luxembourg
Total
228 10,215
1,911 1,6o2
* Footnotes for Table 81 follow on p. 154.
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Table 81
Commodity Trade of Rumania with the West a/
1951 and 1952
(Continued)
Thousand US $
Commodity by Princinal Country _____
Zinc and Manufactures (Mostly Scrap)
Chemicals
Medicinal and Pharmaceutical Products
West Germany
1951
Value
1 011
-2---
316
1952
Value
679
Subtotal 597 1,396
Dyeing, Tanning, Coloring Materials
1,123
763
Fertilizers
713
954
Total
2 469
5 118
Machinery
Power-Generating.Machints and Parts
Machine Tools and Metalworking Machinery
Mining and Construction Machinery
Electric Machinery and Parts
Total
Total Imports (FOB)
Exports (CIF)
Foodstuffs
Cereals and Preparations
Total
3,878
1,954
118
1,844
10 724
2,052
730
2,542
4,916
12 333
--L---
51 057
45,964
7,966
11L--- 038
--
10,280
11--2---_ 298
Fats and oils
Unmanufactured Wood and Lumber
Total Ekports (CIF)
7141
1,191
lo
3,32
26,76
--
27,679
a. See Appendix B, paragraph 2, c, for statement on methodology and sources.
b. Free on board.
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APPENDIX B
METHODOLOGY
1. Sections III and IV.
The method of computing GNP and production indexes is the same
as that used in ORB Project 13.117, European Satellite National
Accounts (to be published). In this instance, the prices that
were used in constructing production indexes were as follows:
(a) For Czechoslovakia the prices are average prices, as of
1 January 1948, used for planning purposes; (b) for *East Germany,
Also, planning prices are used which, while effective as of
1 January 1953, are based on 1950 prices. They are average,
wholesale prices and do not necessarily represent actual prices
received; (c) for Hungary the planning prices used are as of
1949; (d) Hungarian planning prices are used also to compute
production indexes for Bulgaria, Poland, and Rumania.
The projections of Satellite GNP to 1956 have been made by
taking the following into consideration: (a) the yearly growth
of GNP in recent years, (b) ORR production estimates, and (c)
revised economic plans of the Satellites.
The computation of absolute GNP (in 1951 US dollars) for the
European Satellites rests on estimates of prewar (1938* GNP for
the samecountries which were developed using the prewar currency
of each nation. These estimates were then adjusted to secure
international comparability of GNP concepts and to allow for
boundary changes. The resulting data were converted to US dollars
employing the purchasing power exchange rates between the local
currency and US dollars of 1925-34 purchasing power in the
US.** The general price index was used in converting from
Clark's International 'Unita or from 1938 to 1951 prices. Here a
* In the case of Humania, paucity of data required
of a 1929 estimate which was adjusted to 1938 on the
capita GNP.
** See Colin Clark, Conditions of Economic Progress
Editions, "International Units."
the employment
basis of per
lst and 2nd
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simple average of the US wholesale price index and the consumers
price index was employed.
The resulting GNP estimates are subject to a range of error
estimated at plus or minus 10 percent, with the exception of the
Rumanian estimates which would have a slightly larger range of error.
This range increases somewhat for the components of GNP, which are
probably subject to a range of error of plus or minus 10 to 15 per-
cent. In general, the narrower range of error applies to estimates
for the commoglity production sectors, for transport and communication,
and for construction, and the wider range to estimates for trade and
services.
2. Section VII.
a. Tables 73 and 74.
Data on the over-all foreign trade of' the European Satellites
for the period 1936-38 are from the Foreign Commerce Yearbook for
1939. The following two adjustments have, however, been made in the
data for the purposes of this report:
(1) Soviet figures for 1936-38 include the trade of Estonia,
Latvia and Lithuania.
(2) Trade applicable to what is now East Germany and to the
Soviet sector of Berlin is derived from the Foreign Commerce Yearbook
figures for the Germany of 1936-38. In 1936, 26 percent of German
imports were destined for and 21 percent of German exports originated
in the present areas of East Germany and the Soviet sector of Berlin,
according to estimates in United Nations, Economic Bulletin for
Purope, Vol. 1, No. 3, third quarter 1949,7716-(Table 1). These
percentages are applied to German trade statistics for 1937 and
1938 as well.
Most of the data for 1951 are from CIA documents and reports
based on Communist sources. The amount of trade with the West it
computed as the difference between reported figures for total trade
and for intra-Bloc trade. In some instances, reported trade between
individual countries adds up to less than the independently reported
intra-Bloc totals for the respective countries, leaving the un-
classifiable residuals shown in the tables. To some extent the
residuals are the result of known gaps in information. Reports of
two countries of their trade with each other sometimes are not in
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agreement. No effort has been made to reconcile such differences.
East German trade with the West in 1951 is taken from US Department
of Comnerce compilations. Certain other data are from UN publi-
cations.
b. Table 75.
Trade with the West of each Satellite except East Germany
is compiled for 1948 from CIA estimates. 1.?2/ East Germany's trade
with the West in 1948 is compiled from unadjusted trade statistics
prepared by the International Economic Analysis Division, Bureau
of Foreign Commerce, US Department of Commerce.
The 1953 data are derived from unadjusted Commerce figures
for the part of the year for which information is .available. Pro-
jections have been on a proportional basis to obtain the approximate
total trade of the European Satellites with the West for the entire
year 19534 The extent of these projections varies from country to
country. In some cases, reported data cover only 6 to 9 months of
1953. However, figures are available in most instances for ten to
11 months.
c. Tables 76 to 81.
The data on the commodity composition of Satellite trade
with the West are from tables prepared by the International Economic
Analysis Division, Bureau of Foreign Commerce, US Department of
Commerce, from official Western sources. This is a different, more
limited set of data thah that used for Table 75. The trade totals
in the commodity tables are therefore not comparable with the figures
on East-West trade in Tables 73 and 74 or, with the data in CIA files
for 1951 and 1952 which correspond to the information presented in
Table 75. This disparity is due to the fact that some countries
reporting trade with the European Satellites have not provided com-
modity breakdowns of their trade. For example, of 65 western coun-
tries reporting imports from the Satellites, only 35 provided a
commodity breakdown of the.total, and of 57 countries reporting
exports to the Satellites in 1952 only 35 provided a commodity
breakdown.
In calculating the amount of trade in certain commodities
where only the percentage of total trade represented by the
commodity is available, the percentage has been applied to the
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commodity totals. rather than to the more inclusive trade totals
obtained from other sources. This is done to give a more represen-
tative picture of the commodity trade pattern. In Tables 77 to
81, the commodity figures are brolen dawn further to indicate the
principal sources of imports and the principal destinations of the
exports.
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APPENDIX C
GAPS IN INTELLIGENCE
1. Section I.
Mau of the details of Soviet control over Satellite economies
are not very well known. For instance, Some mystery still surrounds
the operation of CL. The relationship between control as exercised
through the. Satellite governments and control as exercised by Soviet
personnel stationed in the Satellites has not been adequately estab-
lished.
2. Section II.
Gaps in official statistics exist even in measures usuallypre-
pared by Satellite government statistical offices, since there are
frequent changes in reporting from year to year in the same country
and differences among the Satellites in emphasis. In budget reports,
the amount allocated for the national economy is often not broken
down to show allocations to: (a) the rural economy by investment
and current expenditures; (b) heavy industry and light industry, by
investment and current expenditure. Investments not made by the
state but by the industrial enterprises and the agricultural pro-
ducers cooperatives are not always published.
The national income is frequently used as a base from which to
measure state investment, consumption, and so on. This base, however,
is seldom quantified, and its major sources are rarely specified
except for parts of the state revenue.
Exact production goals are seldom given; instead plans are in
terms of percentage increase over previous production. Where per-
centages are specified the areas included are not defined and are
sometimes doubtful.
3. Sections III and IV.
The commodity reporting base of the production indexes on the
basis of which GNP indexes are calculated should be broadened.
Additional information is needed on the trade and services sectors
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of the economy to add precision to estimates in this area of economic
activity. Additional research is needed on prices. At present there
are no usable lists of local prices for Bulgaria, Poland, and Rumania,
and the prices that are available for Czechoslovakia, East Germany,
and Hungary need further refinement and research. Productivity es-
timates await the collection of the necessary data. Additional
research is needed in order to break down GNP by uses.
4. Section V.
The quantification of changes in consumer welfare through the
estimation of the availability of various categories of consumer
goods requires estimates not only of domestic production but also
of imports and/or exports of such goods and of changes in stocks.
Detailed information on the commodity composition of trade and on
stocks, including state reserves, is lacking in many instances. The
measurement of consumer welfare according to the relationship be-
tween consumer goods prices and workers' wages, is not yet possible
owing to the lack of data in both categories -- wages and prices.
5. Section VI.
Additional information is needed on the disposition of the work
force, by industry, and by occupation.
6. Section VII.
A major gap in foreign trade intelligence is lack of data on
commodity composition of intra-Soviet Bloc trade. The available
data on trade in general are difficult to handle because, coming
both from Western and aloe sources, they are in many cases ir-
reconcilable. Also, since the data are in terms of current prices
It would be desirable to deflate the statistics by use of a n-ice
index to convert the figures into real terms. A suitable price
index is not availablehowever.
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APPENDIX D
SOURCES AND EVALUATION OF SOURCES
1. Evaluation of Sources.
Sections III, IV, NI, and most of Section VII, together with the
related appendix tables, are not documented. Detailed sources for
these parts of the report are available in ORR files. The GNP and
production indexes in Sections III and IV are computed from CIA
estimates of production of goods and services, using the methodology
described in Appendix B. The population and labor force statistics
in Chapter VI are CIA estimates based on various sources. A general
description of the sources of the basic foreign trade data in Section
VII and Tables 73 to 81 is included in the statement on methodology
In Appendix B.
2. Sources.
Evaluations, following the classification entry and designated
"EVal.," have the following significance:
Source of information Information
Doc. - Documentary
A - Completely reliable
B - Usually reliable
C - Fairly reliable
D - Not usually reliable
E - Not reliable
F - Cannot be judged
1
2
3
4
5
6
- Confirmed by other sources
- Probably true
Possibly true
- Doubtful
- Probably false
- Cannot be judged
"Documentary" refers to original documents of foreign governments
and organizations; copies or translations of such documents by a staff
officer; or information extracted from such documents by a staff
officer, all of which may carry the field evaluation "Documentary."
Evaluations not otherwise designated are those appearing on the
cited document; those designated "RR" are by the author of this
report. No "RR" evaluation is given when the author agrees with
the evaluation on the cited document.
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2. CIA/RR PR-48, Probable Economic Developments in East Germany
Through 19551-13 Feb 195Li., 1-12. Ss US OFFICIALS
ONLY.
3. CIA, Situation Report, No. 112, 16 Mier 1954,
p. 2. S.
4. State, OIR Report No. 48o0.49, Soviet Affairs, Jan 1953. S.
Eval. RR 3.
5. Stella Margold, "Economic Life in Russia's Orbit," Harvard
Business Review, Sep to Nov 1950. U. Eval. RR 3.
Howard J. Hinton, Jr., "Hungary: A Case Study of Soviet
Economic Imperialism," De artment of State Bulletin,
2
25X1A6-
7.
8.
STATSPEC2.
State,
Eval
pes Despatch No. 19, 9 Jan 19 2. C. Eval. RR 3.
Budapest Despatch No. 401, 22 Dec 1952.
RR
C.
10. State, Bucharest Despatch No. 99, 23 Feb 1949,
S. Eval. RR 3,
New York Times, 4 Jun 1949. Eval. RR 3.
U. fbid.
12. TETU.
Encl. 1.
13.
25X1A.,
14.
15. State, Prague Despatch No. 527, 25 Aug. 1949.
C.
Eval. RR 3.
State, Prague Despatch No. 155, 22 Jan 1954.
S.
Eval. RR 3.
16.
25X1A
17.
State, HICOG, Frankfurt Despatch No. 2350, 20 Mar 1953. C.
Eval
18. State, Bucharest
S. Eval. RR 3.
19. State, HICOG, Frankfurt Despatch No. 670, 31 Aug 1951. S.
-Eval. RR 3.
Despatch No. 99, 23 Feb 1949, Encl. 1.
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20.
STATS P EC
21.
22.
25X1A 23.
24.
25.
26.
25X1A
27.
28.
29.
30.
STATSPE
31.
32.
33.
STATSPE
34.
S-E-C-R-E-T
CIA, Situation Report, No. 77, 7 Jul 1953. S
Eval. BR 3.
Interro?ation of DFS- 2 J
tate, HICOG, Frankfurt Despatch No. 670, 31
Eval. RR 3.
State, Prague Despatch No. 654, 25 Oct 1949.
Czechoslovak Economic Bulletin, 15 Jan 1952,
15 Ma 1952. U. Eval.
Aug 1951. S.
S. Eval. RR 3.
1 Apr 1952,
3? P ? ov ? va . 3.
CIA/RR IP-350, 19 Nov 1953, p. 21. S. VS OFFICIALS ONLY.
State, Budapest Despatch No. 84, 10 Aug 1953, p. 7. C.
Eval. RR 3.
Czechoslovak Economic Bulletin 15 Feb 1953. U. Eval. RR 3.
35.
36.
37.
25X1 C
38,
STATSPE
40.
41.
42.
43.
39.
e Nagy, speech before the National Assembly as broadcast
over Radio Kossuth, 4 Jul 1953, National Committee for a
Free Europe, pp. 3-4. U. Eval. RR 3.
OIR Report No. 4800.62, Soviet Affairs, Mar 1954,
p. 26. S. Eval. RR 3.
Ibid.
.11111111=11111MMEM
Ibid.
State, Prague, Press Review /No. 26, 31 Jan 1954, pp. 29-30.
U. Eval. RR 3.
Czechoslovak Economic Bulletin, 22. 211.
Ibid.
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44. State, Prague, Press Review No. 20, 24 Jan 1954, PP. 45-48.
U. Eval. RR 3.
45. Statistische Praxis Berlin Oct 1953. U. Eval. RR 3.
46.
STATSPEC
47.
48.
STATSPEC
49. Hungarian News and I .orma on ervice,an osuc o
Results for 19S2,Jan 1953. U. Eval. lt1.g
.
is ne
a. C ?
STATSHEC;
Si.
61
52. 7
?
53. 777gospodarcze, Warsaw
p. 121. U. Eval. RR 3,
54. Thid
55.
STATSPE
56. Viata.sinbicala, Bucharest (English translation), 23 Jan 1953.
57sommimm....wie Eva'. 3.
STATSPE
58. State, OIR Report No. 4800.62, Soviet Affairs, Mar 19 $
26. S. Eval. RR 3.
59.
STATSPE3
(English translation), 21 Feb 1954,
?
25X1061.
62.
63.
STATSPEC
64.
65.
952.
PIM V7N110111;11;11?
66. Ibid.
67. Ma.
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68. Ibid.
69. TEM
70. Tura.
71. Tura.
72. TEM
73. TEra.
74. Thi.
75. TEM
76.
SIWTSPED3
77. Ibid.
78. Ma.
79. Tura:
80. TEM
Tura.
81.
82.
83
STATSPE
84
85
86
87.
88.
89.
90.
91.
92.
93.
94.
STATSPEC
95.
96.
97.
zec os av con c u e n, al. RR
Ibid.
State, Prague, Press Review, NO. 26, 31 Jan 1954 pp. 29-30.
U. Eval. RR 3,,
State, Prague, Press Review, NO. 20, 24 Jan 1954, PP. 45-48.
Eval. RR 3.
Ibid.
Tsra.
77Te Prague Telegram No. 358, 10 Mar 1954. C. Eva'.
RR 3.
State Prague, Press Review No. 20, 24 Jan 1954, pp. 45-48.
U. toval. RR 3.
CIA FDD, Special Translation No. 31, The GDR Five Year Plan,
1951-55, 3 Aug 1953. SI US OFFICIALS ONLY.
State, VICOG, Berlin Despatch No. 134, 27 Aug 1953. C.
Eval. RR 3.
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Statistische Praxis op. cit.
State, HICOGI Berlin Despatch No. 5L2, Jan IY5Li. U.
Eval. RR 3.
Ibid.
gare0 HICOGI Berlin Despatch No. 134, 27 Aug 1953. C. Ewa. RR 3.
Ibid.
98.
99
STATSP E
100.
101.
102.
103.
104.
2 5X 1A1?5 ?
106.
107.
STATSP E
108.
109.
no.
in.
STATSP E
31.2
113 ?
114.
2 5X1A115
116.
STATSP E
117. State Buda. st Telegram No, 459, 23 Jan 1954. C. Eval. RR 3.
118.
STATSP EC
119, Ibid.
120.
STATSP E
121.- Zycie gospodarcze, Warsaw(English rans a on e $
p. . Ev? RR 3.
Hungarian News and Information 5ervice, arian Production
Results for 1952, Jan 1953. U. Eval. nn-3
State, Budapest Telegram No. 459,
Eval. RR 3.
23 Jan 1954. C.
Ibid.
rare, Budapest Despatch No. 419, 9 Jan 1952. C. Eval. RR 3.
State, Budapest Despatch No. 401, 22 Dec 1952. C.
Eval RR 3.
1.22.
123.
STATSP EC
124.
U. ?
Eval. RR .
Ibid.
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125. Gazeta Pamorska Bydgoszcz
Mar 19 ? U
126
STATSPE
127. Ibid.
128. Tb-Ta.
129. TEL
130.
STATSPE
131. Nowe drogi1, Warsaw English translation), Oct 1553, p. 54.
Eval. RR 3.
132. Ibid., p. 40. U. Eval. RR 3.
133. lrreodro , Warsaw (English translation), Oct 1953, pp. 30,
P 5i, 55, 62. U. Eval. RR 3.
134. Zycie Apspoaarcze, Warsaw, (English translation), 21 Feb 1954,
D. 121. IT. Eval. RR 3.
135. Ibid.
336. M.
137. lEra
138. 117redro . Warsaw (English translation), PP. 30, 47$ 54,
$ D. Eval. RR 3.
139. Ibid.
140. 2Freflospodarczel (English Warsaw (Engsh translation), 21 Feb 1954,
p. 121. U. Eval. RR 3.
141. Nowe (frOgj Warsaw (English translation), pp. 30, 47, 5144
, b2. Eval. RR 3.
142. Zycilgosodarczes Warsaw (English translation), 21 Feb 1554,
p. 1. U. Eval. RR 3.
143. Ibid.
144. SEM
W. MN. drogis Warsaw (English translation), pp. 30$ 47$ 54$
55,Zr, D. Eval. RR 3.
146. Ibid.
147. 2;;Tegasrodarcze, Warsaw (English translation) 21 Feb 1954$
p. 171. U. -Eval. RR 3.
148. Ibid.
349. TE11
150. Ma.
151. 770.
152. WareTdroql. Warsaw (English translation), pp. 30$ 47, 544
55, bE. O. Eval. RR 3.
153. Ibid.
Poland (English translation),
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3514.
STATSPEL
155. Ibid.
156. RaWdro Warsaw (English translation), Oct 1953, pp. 30,
U Eval RR .
157.
STATSPEC
1$
8.54 arsaw
$ 62. D.
ng
Eval. RR 3.
159.
STATSPEC
160. Viata sinbicalat Buchares
U Eval. RR 3.
s rans on
STAT%EGIMEMIPIWIPIPPIN
1 . States Bucharest Despatch.o.p.c),
pp. 6-7. U. Eval. RR 3,
?
161,
163.
S TAT S P E
164.
165.
166.
167.
168.
169.
170.
171.
25X1 A
Ibid.
Efr7RR IP-334, Extent and Effects of 1952 Crop Failures
in Eastern EurcOe? 10 Apr 1953. S.
CIA/RR Project 'go. 21.147, 'TJ J.93 Food Situation in the
? S.
C RR EM-32, Availability of Consumers' Goods in the
European satellites, 15 Dec 1953, p. 14. S.
p.5.
Ibid., pp. 57.
rrx7hR IP-332, Probable Economic Developplents within the Satellites,
7 Apr 1953. Sp US OFFICIALS ONLY.
CIA/RR IM-383, The Implications of the New Soviet Economic
30 Dec 1953. S.
CIA/RR IM-375, Flow of Petroleum Products in the Soviet
Bloc: European TateA11224.12E, 13 Ail 3333. S,
ItS OFFICIALS ONLY.
?
172. CIA, SIC-P-1 (draft Jan 1 pp. 9
173. Ibid.
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174.
25X1A
175
176.
177.
25X1A178.
179.
180.
STATSPE
181.
182.
Ibid
CIA,
State, Athens Despatch No. 724: 1 Feb 1954. U. Eval. RR 3.
State, HICOG, Bonn Despatch No. 1849, 30 Dec 1953. U.
OFFICIALS ONLY.
State, Budapest Despatch No. ee p
Eval. RR 3.
CIA CCI, Current Intelligence Digest, 15 Dec 1953. S, US
OFFICIALS ONLY.
CIA ORR Project 18-51 (di'), Soviet Bloc Total Trade with
Non-Bloc Countries, 1948-51. S.
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ONFIDENTIAL
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