INDUSTRY IN LATVIA

• Document Type: FOIA
• Collection: FOIA Collection
• Document Number (FOIA) /ESDN (CREST): 05828549
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 15
• Document Creation Date: March 8, 2023
• Document Release Date: August 13, 2019
• Case Number: F-2018-00127
• Publication Date: July 10, 1953

Approved for Release: 2019/07/30 C05828549
tegeW4' 3
CENTRAL INTELLIGENCE AGENCY
INFORMATION REPORT
This Document contains information affecting the Na-
tional Defense of the United States, within the mean-
ing of Title 18, Sections 793 and 794, of the U.S. Code, as
amended. Its transmission or revelation of its cont.*/
to or receipt by an unauthorised person Is prohibited
by law. The reproduction of this form is prohibited.
/CONTROL US OFFICIALS ONLY
SECURITY INFORMATION
COUNTRY
USSR (Latvian SSR)
REPORT NO.
(b)(3)
SUBJECT
Industry in Latvia
DATE DISTR.
19 July 1953
NO. OF PAGES 14
DATE CW INFO.
Up to October 1952
REQUIREMENT NO. RD
PLACE ACQUIRED
REFERENCES
THE SOURCE EVALUATIONS IN THIS REPORT ARE DEFINITIVE.
THE APPRAISAL OF CONTENT IS TENTATIVE.
(FOR KEY SEE REVERSE)
(b)(1)
101 CRITICAL SECIRKIM1SLis
TIN REPORT IS NOT TI MIMI
TRAN$ITTEDW1TIIN TILE 0111E1
SillognIhElluTNE MINIM
mow la
MRS PERINSPINIMERELEAS-
III INCE
SOURcE:
(b)(1)
(b)(3)
The following is a general survey of the development and trends in Latvian'
industry at the present time, which aims to present an overall picture of
coniitions under the Soviet regime, rather than a,detailed or statistical
review. Opinions expreSsed are those of the source.
Industrialization
1. The basis of Soviet: economy in Latvia is industrialization, and huge sums are N
allOcated by Moscow for modernizing and erlArging factories. :Approximately
two billion rubles were devOted to restoring Latvian industry and transport
during the fi*e Years 1946-1950, and, in subsequent learns an average of
350,000,000 rubles per Year. A:whole series of new factories was built with
this money, and old factOries were considerably enlarged and equipped. with
new machinery., It is UfidAtiable that industry in Latvia is being vell.erganiaed
and developed and shows'ii$ns of becoming big industry, where conSumer goods
are being produced, and *Put is more or less evenly maintained. Aecarsling to
official figures, industry is now increasing by forty percent per annum..
2. In view Of the skill of Latvian 'workers, the soviet authorities, urdAr directives
from Moscow, are preparing to increase industry more and morel particulpi.ly
in machinery production and shipbuilding. By creatings. new industrial working
class in Latvia,,composed',Of local and imported workers, thi Communists are '
progressively consoliditin$ their political powers-. .Latvian farmers, ruined
by dispossession, find it difficult to upholdsL4stiOnal ideology of patriotic
opposition in the face oil' the foreign industrial workers to lihnitionalo....
feelings are quite straNta2_ In this way,.the.indOtrialization of Latvia serves 1
the -Soviet gutnoriIies economically and:establishes their political aims.
3. Most of the finished products of Latvian industry are destined for the Soviet
Union. According to official calculations, which �must be taken with some
reserve, productivity of Latvian industries in 1951 exceeded the 1940 figures
E ET/CONTROL US oFFIcIALs ONLY
STATE
X
ARMY
NAVY
AIR
I FBI I AEC
(Note: Washington Distribution Indicated Sy "X"; Field Diatribinion Sy "*".)
Approved for Release: 2019/07/30 C05828549
Approved for Release: 2019/07/30 C05828549
RESTRICTED
(b)(1)
(b)(3)
�
RESTRICTEb. ,
� Approved for Release: 2019/07/30 C05828549
Approved for Release: 2019/07/30 C05828549
szcaue/consaL us OFFICIALS ONLY
(b)(3)
four times, and the 1945 figures six times. The latter calculatiOnmieht per-
haps be scceptedl since in 1945 industry had. not yet recovered from the war,
nor had any new fact Ones been. built. During the last three years, Latvian
industry is reputed to have yielded an income of 1,200,000,000 rubles. The
center of Latvian industry is Riga, where the majority and the largest factories
are concentrated. Other towns which are important from, an industrial point of
view are Lepaya� Daugavpils, lelgava and Ventspils. There are 01117 leaseer
irfilistries in the provincesi e.g.,fd;d1 building materials, tieber, and peat.
early all of the machinery, metal, chemical, textile, and. rubber industries
are centered in Riga. All Latvian induatries,vith the exception of those
directly under the All-Union ministries and trusts, are administered, by eight
ministries, called Local, Light, Local Fuel, Constructionbeterials, Forestry,
Food, Meat and Dairy, and. Flab industries. The bigger metalis004-
and machine -building factories, far example, VEF� Riga Railroad Car Factory,
^ etc., are directly subordinate to the ministries in the Soviet Union, as are
also certain building material factories, plywood.,,cheicall paper, and
pharmaceutical concerns.
netal eadalgraliaeertne Fleets
A leading place in industry is taken by metal indastries and eachine.building,
which receive the grevitest attention from the Soviet authorities. 'These account
for forty percent of the total production of Latvian industry, employ the
highest number of qualifiegwarkers, and pay the highest wages to workers. These
industries were built up at high speed and received most of the capital.
Most of the machines came from the USSR during the first years after the war.
for example, daring the years 1947-1949, in addition to larger machines, 3,000
-tutting machines and 3;500 electromotors were received. ,It was only after the
metal industry had been saepliedwith the necessary tools that the other in..
duetries started to be extended, chiefly the textile industry.
VEF plant
:he biggest factory, from the point of view of production and numbers
employees, is the 'VHF. The factory has been greatly extended,and new blinding*
have been erected. Its main products are telephone exchanges, commutators, and
automatic and. long -distance'exchanges, all of which are *eat to the USSR for
the so-eaned *structutes of Communism*. Automatic exchanges are built with.
105,000 numbers. The factory also produces various types of radio receivers
and tranamitters� telePhoro apparatus, mining shaft telepkroiles, automatic re-
corder* for mobile excavators, various radiom4sehnical equipmeat, loudspeaker*,
etc. One of the Products is the Miers thirteen.tube receiver, with six wave
diapasons and two 'dynamic* loudspeakers (sic). A special recever, the Baltika,
is being built for the Soviet Propaganda building the Warsaw Palace of Cultura
Part of the equipment required for building telephone exchanges ant radio
sets cOmes to VEF from the Soviet Union, e.g., radio tubes from novoeibirsk
According to official figures which have been ma411;pdhlicl,V4F now produces
forty ties more telephone Sets than before the war. It must be 'feted, however,
that the factory did net fulfill last year's plan for the production at tele*
phone exchanges.
In Order to increase production, the factory bad already, in 1948, established
the 'conveyor belt system. The quality of the products deteriorated immediateli,
especially the radio receivers. The main reason was that, when enlarging the
factorheany unqualifiedWorkfts were employed. A coepaign.was started to mite
the genera/ level of educatiOA New workers Were enrolled in training courses
1041 Stakhanovite schoels. An electroieecbanical-tecbnical school vas' established
at the factory for new specialists. This ieproved the standard of prOductienj
but, even today, VEF it still fighting against rejects, which are a typteel
feature of Soviet methods of production. This factory, in common with most
others., *arks well during the first half of the month, and Produces geed quality
goods, but this normal ',Park does not fulfill the plan, and to do so is an iron
rule of the Communists. not to fulfill the plaaimmapa.unpleasantemas for the
sAminietrationl and lees of bOnuses to the workers. Toward the end of the month,
therefore, there is a production rush and the reeult is a high proportion of
rejects.
8NZT/Cc*QI U CillagIATA OENT
det
Approved for Release: 2019/07/30 C05828549
Approved for Release: 2019/07/30 C05828549
SECRIT/CONTROL Da OFFICIALS mu
7. The workers at WY are comparatively well off. Climlified workers receive
1,5004;000.rubles per mosth; less skilled workers 800-1,000 rubles per
month. The factory is among those specially favored an receives regular
bonuses. Big sus are paid for suggestions for rationalization. Several
4 houses have been built for the factor/ workers. One such aouse0 comprising
fifty apartments., win be handed over to the workers this year (1952). As
before the war, the factory has its awn sports ground.
(b)(3)
8. The number of Commusista among the workers is several hundred. Nearly every
vcrkshop has its Communist cell. af over 2;000 new workers, approximately
ha1f belong to the Komsomol. They; of course; receive preference as far as
work and further education are concerned. Of approximate4 600 young people
who study at the Evening Technical and Working Youths Sebeel, Itoo belong
to the lemsoaolaPana fortyasevenmenbers of the Xemsoaol vyrk as extramural
students. It is much tardier for those irboi;do not belong to the KOMPONgal
AIM** there is nobody else to work on the night shifts.
Rigs ,E;A.1lros4 Car Plant
The former iairogs factory is now named the Riga Railroad Car Factory (RVR)
and subordinated to the USSR Trassport Machine-Building Ministry. The
factory haa been greatly enlarged, and railroad car building workshops have
been erepted. The factory now also produces subway trains, electric trains,
and streetcars. Nearly all the finished products go to the USSR. Theemly
items that Riga receives frog the factory are the electric railroad ears for
the Rigaaaemeri line, and a few electric streetcars. The factory produces
approximately twentY-five electric railroad cars, and. approximately the 481N
number of streetcars per month. Lately, shortcomings have been noted in the
production in this f4tory. During the first half of this year, the State
plan was abort by twentyatwo cars. All the workshops do not work at equal
speed, thus retarding otbers. The Soviet industrial disease is also in evia
dence in this fx4ctOry, when the workers have to rush work at tae end of the
month, eveatworking on Sundays, to maka up for lost time. The yearly Pro-
ductioa plea is increased every year. This year,saplan (1952) is for
thirty percent more,than last years, and next years will be for twenty
percent more.
10. In connection with the intertiaalto bullet new type of electric train, it
is sOamred to increlse the sire of the factory and enlarge the 'output.
These electric trains are destined for traffic between various teens, will
travel.at greater speed, and have all passenger comforts. At the moment, the
facto gy produces a new type of electric railroad car, with corrugated walls, axd
is to resume production of a train with exits to low platfOrms. The electric
engines to drive the traits" and streetcars are supplied by the Riga Electric
aquiament Factory. Local industry also supplies some of the pig-iron and a
fore of steel (Latviang s) which is used instead of alumisue *vet.
There is a research laboratory at the factory where production processes are
studied. This laboratory is reputed to be one of the most modern of its kind
in Latvia. Workers' vases, as in other important metal works, are up to
10000a1,500 rubles per monthe
BEZ Plant
U. REIM is a' new factory, located on the site of the foraer Prorodniks Factory. The
main products of this factory are electric motors for the Miaow subway, electric
trains, streetcar,and also machinery and generators for the lighting of rail
road ears. According to the plan for 19500 the factory *leo mass.-produces
household machines, mostly waehing msehimes.
12. REa commenced working in 107, and at present there are 1,500 workers, most
of tbea young people. The factory still has not got all the workers it needs
and, is one of the Riga factories which is constantly looking for workers. At
resent, most of the workers are Soviets. The shortage of labor can be
explained by the fact that the factory bas not provided sufficient 'wain*,
About one-third of its workers are now living in a narrow, over-creeded hostel.
This is also the main reason 'why the factory has net fulfilled its lien.
8SCIM/CONIRO4 afFICIATA ana.
Approved for Release: 2019/07/30 005828549
Approved for Release: 2019/07/30 C05828549
�
�
SECRN/CONTROL US OFFICIALS 0111Z
4.40
442,Renair Works
(1s)1(3)
�
13. The ship repair works located in Old Nalaravia is one of the largest, Work*
in Riga. It occupies a large, hermetically seeledeoff territory. Buge sums
were spent on establishing it and it is to be even further expanded in t
connection with the new plans for shipbuilding. The factory is suOrdinate
to the USSR Ministry of the Merchant Fleet. It already has floattig docks.
Besides repair 'work, powerful deep-sea tugs and metal barges are built. For
the last year and a half, however, the factory has not fulfilled its plan
during 1951 it completed only eighty-two percent of the plan. Worker* in the
factory are mostly very young people with few qualifications; there are about
800 new workers. A, campaign has been started in this rectory to raise the
standard of education, as rAnY of the workers have had only five to aevINI Ming'
echeoling. Workers are sent to evening schools and put into training, to
raise their qualifications. If schools are some distance eleay in the tows,
workers are even provided with transport by the factory. In connection
with the extensive production plans of the factory, there in a lack of
qualified. engineers. To prepare qualified engineers, it is oposed to
open a new shiebuilding faculty at the univereity.
14. As already mentioned, these shipbuilding works are shrouded in secret.
Most of the workers and engineers are Soviets lo information an the number
of workers employed is available, but it is estimated that there are several
thousand. A nee, amen town has been built for the workers in South, or New,
Milgravis� and three more houses were to be ready this year (1952). There
is no doubt that the 'works will be further enlarged and. will become one of
the largest -installation in Latvia.
15. There is a shipbuilding yard in Mangali, subordinate to the Ministry Of the
Fish Industry, which builds fishing boats for the Latvian fishing fleet.
16. Me, ew Automobile ylectrical Apparatus Factory is located on the ealarged
site bf the former German Army aircraft factory rear Brasa railroad station.
The factory employs 1,200 *workers and is one of the largest in Riga. It
was established in 1946 and is subordinate to the USSR Ministry of &eta*
mobile and Tractor Induatry. The factory has the most modern machines, and
the most highly qualified workers are employed there. The factory produces
automobile instruments, mostly speedometers, which are sent to the autee
mobile industry in the USSR. In 1952, measuring instruments worth 200,000
rubles were sent to the Taiga-Bon Canal. Workers receive bonuses regularly
and are the best paid in Riga. The factory has been awarded the title of a
"Stalhanovite factory.'
17. There are several other metal and machinery plants in Riga which are saberdinate
to 'USSR ministries, but their produttion:is on a seeller scale. Among these
is the Machine-Building and Repair- Plant subordinate to the USSR Ministry of
the River Fleet, located on the site of the former CWT. This plant produces
floating grab.cranee for electric power station* under construction. In the
second quarter of this year (1952), the plant produced four erases for the
Volga-Don Canal and i3 now building cranes for the Turkmen Canal.
18. The Mechanical Factory subordinate to the USSR Ministry for Forest Industry
produces mobile electric power plants and electric saws, *which are used. in
local forests and also sent to the Karelo-Finnish SSR� and. woodworking
machinery, Which is used in the local wood induStry and likewise sedt to
the USSR.
19. The nydro4.1eteoro1ogicaI Apparatus Factory produces instruments and. apparatus
of various kinds, such as instruments which automaticallar record the water
level, which are sent to the so-oalledltructures of Communiees.
20. The Stalons Factory produces precision instruments for local and USSR academies
of sciences and scientific laboratories.
834CRET/CONT1tOL US 0FFICIALS any
Approved for Release: 2019/07/30 C05828549
I j
Approved for Release: 2019/07/30 C05828549
SECREVCC2414 US OliTICIALSla
5
21. The machine.Building Plant subordinate to the USSR Ministry for Meat and
Dairy Industry produces dairy equipment. One of the new products is a one
cylinder, two-stroke internal combustion engine, 1W..9, for dairies, which
is also sent to dairiei in the USSR.
22. The rekaining Latvisneetal warts and mechanical repair :works, which are
alsitigamated as industrial combines, are subordinate to local industrial
tinistries.
Sarkaux 4,14g:rote ai,od Ptef)rf
23. The largest metal plant subordinate to the Ministry for Local Industry is
the Sarkana Zvaigue Bicycle Plant. This factory was enlarged in. 1952 by
one new building. During 1950, it produced 75,000 bicycles, but in 1952 it
has produced over 8,000 bicycles per month. Part of the finisbed products
go to neighboring republics The factory employs over 1,500 workers.
RedieFaCtorYiin of A.P. POPW
24. This is the former Badlotechnicka rectory, which has expanded rapidly. A
new factory building bee been erected; the factory has been completely re
constructed and suptilied with new machinery. The radio receivers produced by
Badiotechnicta were -some of the best in the whole USSR. Lately, since conveyor.
belt production was introduced, the finished product has deteriorated in
quality. The factor/ *Splays all its former wOrkersy including the directOr,
who is the former owner, Apaitis, and the designers. Recently the factory
started producing its 1;rgest receiving sets the Riea-I0. In addition to �
radios of which the annual output is approximately 45,000 sets, the factory
also produces instruaeata for measuring the composition of alloys. These
instruments are constructed in collaboration with the Academyst Sciences.
It is also planned to produce television apparatus. -'
25. The Compressor Factory is warthnettilening. In addition to compresaors, it
also produces refrigerating machines. This factory has been enlarged by sa
new building..
26. The Imanta Agricultural Machinery FactorY Produces threshing and grading
machines; production of the latter has been especualy increased.
(b)(3)
27. The Stars Tractor Repair Factory likewise produces agricultural sochinerY.
It carries out major repairs for local motor tractor stations and. also
produces complete sets of flywheels.
28. The Riga Electro.Armature Factory produces lighting equipment and fluareseemt,
bulbs. In summer 1.9520 8,000 units of such lighting apparatus were sent to
the new university building' in Moacov. Electric lightingompparatus siedie at
bakelite is also produced by the Spoke Factory. The Elektron Electrical
Equipment Factory produce* electrical household apparatus.
29. Mention must also be made of the Spars Pig Iron Foundry; the Solent and Nut
Factory; Rigas Metalists; the Daugevpils Bicycle euviMotorcycle Chain Factory,
the Omega SicyclEinetimby; the Darba Spars Aluminumvare'FactorY; the Metal
Sieve Factory, and several artels producing consumer goods.
30. In addition to the abovt*mentioned metalwork*, there are undertakings in other
branches of industry subordinate to the Ministry of Local Industry, such as
silicate, chemicals etc., which will be reviewed in Subsequent paragraphs.
A. total of 102 undertakings is subordinate to thlis ministry, mostly teen and
rural district industrial cambiums. These ,10abinet.organizationa are eaalgena.,
tions ofsmaller undertakings-in towns and. !Minces and. include, for insole,
local weavings brickworks, flournills, sawmills, farm implements, furniture,
shoemaking, tailoring, and mechanical workshops. The aim of these local in.
dustries is to produce consumer goods for the local population i.e. foodstuffs,
furniture, woolen cloth, building materials, lathework goods, simple krat
SECRET/CONTROL US OFFICIALS ONLY
41
Approved for Release: 2019/07/30 C05828549
Approved for Release: 2019/07/30 C05828549
azautricarsoi. Tie ammo CAW
.6.
(b)(3)
equipeent, etc. Local resources of raw material and. farm produce are used..
On the whole, the finished products are of poor quality. itepair Work takes
a long :time and. is carried. out careloggsly. Little check is kept on under.
taking belonging to a Itembine.t, and wily managers are able to make A profit,
both from consumers and from workers. It is officially planned to increase
the output of furniture and building materials for collective fares.
,14.410.2:6610.14EE
31. The rubber0 leather, footweau*, and textile industries are Subordinate to the
Ministry of Light LnduetrY. Besides the building industry, this ministry and
its undertakings caused the authorities the greatest concere in 1951. The
main items were u/ipreductive outlays, deterioration in the quality of products,
non.-fulfillment of 11=0 over.expenditure on raw materials and wages causing
10aees amounting to 44,000 000 rubles. This was the reason' why the wages,
Cali was relieved of his ;oat. The situation improved in 1952, so fir all the
quality of products is concerned, but there is still some juggling; with the
percentage figures of rejects. Rejects can. scarcely be avoided, when eider.
takisge produce forty.five percent of' the plan during the last ten days of the
month. The rubber factory's Meteors, 'for example, during the period January
to July 19520 had a loss of 30000,000 rubles due to rejects and. of 175,000
rubles in excessive production expenses. In the textile induetry, it is
typical that the female workers are mainly interested in breaking all sorts
of records - tending up to sixteen looms/ tying threads quicker, etc., thut
it must be assumed that, with the eanhavie on apeed, the standard of eualit-;
must inevitgbly fall.
T,e5tile Industry'
32. The textile industry is the next largest, after the metal Industry. It must
be acknowledged that with ttk aid of Moscow, the authbrities are doing a great
deal to consolidate Las industry. The fah:ries are being reconstructed, en.
Urged, and supplied with new machinery. In spite of new elPilPsest, the "Misr
level of production has only been raised. one and a half times," with the .exception
of the production of silks, lave the prewar level bas net yet been reached.
Th s estimate is according fe afficial figures, and. it is probably rat quitc,aa
high in actual fact. Cotton materials are ,plentiful in the shells, but good
quality woolen materials and. eillts are difficult to obtain. Initwear iselentSe
Pilo. so it can be assumed that production exceeds the prewar level, certainly
not, as reported, by five times, but only by two or three times in most eases.
There is even the impreesion at times, that there is cmer9Production of knit*
wear. Compared with the itir:t years after the war, when it was very difficult
to obtain knitwear, the posit in has definitely improvet. It maybe misused that
the production of :ilks will improve shortly, 'as the Yips Audums Factory has
received sixty leoas groat Tbilisi. So far as quality is concerned, textiles
in general do not math the prewar standard. Until reeentlyi Pattern* an
materials were *till Teri 'oar, and there was no variety, but conditions
have iepraved recently. Materials for mans 1 suits are generally of peer quality,
wrinkle easily, and are not long-wearing. There are, however, goad materials.
available, but the demand is, very heavy and consequently theirare difficult to
obtain.
33. Production figures in the textile industry, of course, are never off ie.tyki y
divulged. The public is only given some overall figures concerning Over.fulfilleent
of the elan, and. percentages. The industry emeloin Ore 20,000 workers, of whom
6,000 are new Workers. The industry continues to expend, and. there is a heavy
demAt far -workers. The factories Zasulauka Manufektura and. Belsevicka have
become cootbines where new workers are being trsined. There are special technical
schools in. Riga for the light industries, which also prepare workers for the
textile industri-
34. The output o cotton materials amounts to up to approximately 1100000000 m per
year. A qu4tity of the finished, products goes to Belorussia and _other parts
of the USSR, for example, Sverdlovek. The authorities have planned to increase
the output of cotton and woolen textiles. BICIr materials for, cotton manufacture
SECRET/CONTROL us OFFICIALS ONLT
Approved for Release: 2019/07/30 C05828549
Approved for Release: 2019/07/30 C05828549
SECRET/CONTROL us OFFICIALS ONLY
(b)(3)
.7.
are imported from the republics of Turkmen, Kazakh, and Uzbek in Central Asia.
Flax is imported from Belorussia and the Kalinin area, but imports have been
reduced lately because of local flax crops. A new flax,-processing plant is
miner construction in 0 ugavpils. There are also plans for sheep-raising in
Latvia, in order to reduce the imports of wool.
35. In Riga, there are six large combines and approximately fifteen factories
working for the textile industry. A great many private spinning concerns have
been amalgamated in the combines. The only factory in Latvia producing silk
goods is Rigas Audums, which has been completely renovated and supplied with
new machinery. This combine produces several types of material: washable
silks, crepe-de-chine, a crepe material woven from a mixture of artificial
and natural silk, and also improved textiles of artificial fiber.
36. The Bolsevicka Combine, formerly Buffalo, produces woolen and cotton materials;
part of the latter is sent to the Belorussian SSR. Lately, production technique
has been improved by rapid.spooling and other machines.
37. The Zasulauka Manufaktura Factory was completely rebuilt in 1949. New machines
and new looms on the Kananina system were installed, giving up to 9,000
threads an hour (sic). One weaver operates from twelve to sixteen 100ms.
The combine has developed into the most modern textile factory in Latvia, and
the cotton yarns it produces are so far of very good quality.
38. The spinning mill of the Rigas Manufaktura is being reconstructed and supplied
with new machines. This combine aroduces the colored textiles preston and
nwamak� finished and semi .finished materials, and cotton yarns.
39. The Parizes Komuna Combine, formerly Dancigers� produces only woolen cloth and
suit and coat materials,
4o. Sarkana Tekstilniece produces cotton materials, yarn, and .cotton-wool. Although
the combine employs some 1,300 workers, its level of production is low, with
many rejecta, and output is not large.
41. There are a number of other textile factories in Riga, for example, %%glen
� lanufaktura� KUrzemes Manufaktura, Merino 8, Marts, Sarkana Baltija, Rigas
Tekstilfabrika� Lenta (knitwear goods), M;ra, Sarkanais Rite (hosiery), Aurora
(produces only kwon stockings), Maims, Kemdmijufabrika� Rigas Filca Fabrika
(felt), etc.
.2. The biggest textile factories in the provinces are the Jelgavas L1bi Verptuve,
With 10,500 spindles and 500 looms, and the Maxsalacas Tekstilfabrika. The
latter receives flax from Vidxeme and produces canvas, sacking, and toweling.
Canvas is dispatched to the USSR, especially for the "structures of Communism".
The factory equipment, except for automatic combing machines and new loom, is
old.
43. The Mara knitwear factory is at present setting up forty new machines for silk
knitwear, by which production is to be increased threefold.
Rubber IladuatrZ
44. All three rubber factories in Latvia have been working on the conveyor.belt system
for some years. The equipment has been only partly modernized. The factories
have been enlArged, and the number pe workers has also increased. For raw
material, they use natural rubber and kok Awn.
45. The biggest rubber factory is still the Sarkanais Kvadrats, and its main products
are galoshes and rubber boots. The output in comparison with 1940 is reputed
to have been doubled.. In this .tact, as in the Meteors Factory, which has a
similar type of production, there is a high percentage Of rejects, and workera,
discipline is bad. In producing rubber boots, the hot vulcanization method. is
used; this is given as one reasonwhy4mtput has risen. Production at the '
Sarkanais KVadrats is approximately 3,000,000 pairs of rubber boots a year.
SECRET/CONTROL US OFFICIALS ONLY
Approved for Release: 2019/07/30 C05828549
Approved for Release: 2019/07/30 C05828549
sEcuriccanol. us OFFICIALS OUT
-8-
46. The Yaronis Factory has a specialized type of production . rubber sheets
tubing, rubberized drums, inner tubes for bicycles, bicycle tires, trans;ission
belts; rakher soles, etc.
47. Of rubber goads, rubber shoes which have imitation leather uppers are most in
demand. Because of their price, seventy rubles, they are the people's foot.
wear.
eather and Footwear Industry
48. There are nine leather-proceasing factories in Latvia, four footwear, and two
leather goods factories. The biggest is Unaware, which processes leather.
The biggest-tortwear factory is the nmorlybalt 1. Maija, which produces
approximately 1,800,000 -pairs of footwear a year. Marked extensions of the
leather industrycammat be amticipated� since .leather is in short Supply and
allocatiOns are rationed. Such goods as suitcases, briefcases, gloves, etc.,
are being produced in email quantities. Goods of this tyPe are mostly made
of imitation leather.
Building Materials Trulnstry
49. There is a great demand for building materials, awing to the repairing of war
damage and the newindastrial-conitruction. Therefore, the building materials
industry was quickly restored and even eplarged.. The total output, however,
could satisfrtitly-the larger industries and the communal housing projects..
All other builders had to draw their materials from small producers and from
farms. As a'whalei there is a shortage of building materials, especially bricks.
Many plans, therefore, for-building-on-lolkhOsy remain on paper only, and
lately the kolkhozy-bavebeen producing bricks for their own needs. -Likewise
because of the shartage-of.bricks0.bullding�in town* are being constructed with
many interr4litions: In order to obtain an uninterrupted eupply of bricks, the
authorities have set up a brickyard in Bolderaja. The opening ceremony this
summer (1952) was attended by all the "big. comrades". This factory has the
most modern-equipmenti,all production is mechsnized0land.bricks are produced
with revolverapresees. These yards are reputed. to .produce about half the total .0.
of brick production in Latvia .(approximately 60,000,000), part of which also
goes to the USSR. All other brickyards are in production; one of the bigger
yards in-Ulaciems produces 6,0000000 bricks per year. Some factories are em-
ploying new methods in order to increase the supply of brickm..loproducing bricks
with the addition of slakod lime, after which the bricks harden without the
necessity for baking.
50. The Brace= Building Materials Combine has been considerably extended. and.
modernited. It is reputed to produce the beat cement in the Soviet Union, and
has the largest output of slates, up.to 13,000 slates per shift. A large
proportion of the finiWaed product, especially slates, Is sent to ,other
Soviet republics. The Riga Cement Factory is also vorkkng. The building
material factories in Cesis and Nigrande have been supplied. with new equip.
Bents, and the latter produces approximately:20700 tons of lime per aumma.
These factories also have a new product..-ground� unalakedlime. Slates
are also produced in the Riga and Lepaya slate factories0.and part of their
products go to the USSR, mostly to power stations under construction on the
Volga. The Riga Slate Factory produces approximately 30000,000 slates per
annum. The Riga GypsumFactory produces dry plaster, gypsum insulation
plates, and light concrete. The yearly output is approximately 1,000,000
sq m of typsum plates, which are also sent to the USSR. The Bolderaja Ceramics
Factory produces 285 tans of drainage pipee-per'eonth� approximately one-sixth
of which output consists of rejects. The gypsum plant in Seaaspils has been
supplied with modern machinery and employs Madera techniques. This plant is
producing gypsum plaster plates for the newliblkhaz Rouse in Riga. Part of
the products also are sent to Leningrad.. The Segums Factory produces roofing
felt.
SECRET/CONTROL US OFFICIALS ONLY
Approved for Release: 2019/07/30 C05828549
Approved for Release: 2019/07/30 C05828549
SECRET/CONMOL US OFFICIALS ONILT
51. In the first years after the wars before the glass factories were restored,
there was a severe shortage of glass in Latvia. Later, the so.called *record.
glases$ Produced by Stakharovite methods: came on the market, but was of 10W
quality, badly formed and containing air bubbles. Only recently has the
quality become more or less acceptable, and supply adequate. The lmrgest
glass factory is in Sarkandaugava Riga, and until recently it produeed only
window panes but has now started to produce foam and quartz glass. This
factory received the Stalin Premium for the world record for quick pulling
of glass with Furko machine. The most modern glass factory in Riga is
Komurars,' dn Laeplesa iela, which has been supplied with new machinery. It
produces bottles, vials, laboratory vessels, etc. The total output of window
panes in Latvia at present is approximately 1,800,000 aq m. per annun.
52. The Riga Porcelain and Pottery Factory, formerly Enznecoveoproducea, besides
Porcelain and crockery, high-voltage insulators for USSR power stations. The
factory- has recently been completely reconstructed and. adisplied with new
machinery. The factory cannot boast of its crockery, however, as way=
occasional dinner service is without a flaw. Because of the low quality % the
factory bake loss of 400,000 rubles during the first half of 1952.
ForeatrY and. Timber Industries
�1 4
53. Recently, the foresiry industry has received great attention. The university
ant ,forestry schools prepare an increasing number of experts whose task it
will be to carry out the official forestry policy---to plant new forests and
cultivate the old ones especially in marshy districts. Extensive drainage work
is earl...led out in marshy areas. It is felt in Latvia that-it is high time this
was done, since just after the war the Communists followed the Germans in ruth-
leasly cutting down, the forests. This redmaed the overall area under forest to
a considerable extent.
During 1950, forestry imAvement work was cartied out on an area of 174,000
ha and 600oo ha were replanted. All Latvian forests are divided into two
classes. To the first belong 154,310 ha of forest =which felling is net
allowed; all other forests belong to the second class' which it is permissible
to cut only within prescribed limits and subject to reafforestatiorn.
55. The authorities are ang to mechanize all forest work by supplying modern
equipaent--electric saws, mechanical loading machinery, trucks, and tractors.
Some success has been achieved; during 19471 140600 cu a of timber WAS
mechanically preparapin 1951, this figure was already over 300,000 bust.
Machinery, however, is not yet sufficientsand difficult forest work still rests
heavily On the manual worker, especially on the kolkhoz farmer. As in bygone
days, when every farm was expected to prepare a certain amount of timber, now
every ko114191, is expected to fulfill a. certain quota. For example, a total
of 81,000 en awns produced by the Mazsalaca forestry organization, of which 640000
cu alms for tvenstrial purposes. Of this, 30,000 en m. was prepared by the
forestry lumbermen and the rest by farm workers. Loading is more mechanised.
During 19510 the Latvian forestry industry produced 30400,000 en at of timber,
of which 1,500,000 cu alias merbaaleelly transperted. During the same year,.
the industry produced 244,000 cum of lumber.
56. The forestry indurtry0 which is subordinate to a special minietrZ, has many
shortcomings, which are also acknowledged by the amt0Orities at all their
congresses. The nackineri for preparing and. transporting timber likeeise hex
Navy shertoomings, and is thus not being utilized to fall capacity. The
floating of the timber is delayed every spring and as a, result, it has to be
transported by rail. The 400, of wages is too high:: because tha Soath Trust
and. the earth Trust beteeen them have 10041 employees more than Alava. In
consequence, the cost per cubic meter has risen, and the State has lest profits
amounting to eoMe 15,000$000 rubles.
57. A.worker 's earnings in the forestry industry are as high as those of a skilled
worker in the best metal plant, reaching 2,000 rubles a month. Many city
people who are physically velliodevelaped take up forestry work in order to
earn better pay. With increased meehanixation: forestry work has become less
arduous. The earnings of a kolkhoz farmer are on a considerably lower scale.
SZORXM/OaraMtv0 CMCIAIB ama
54.
Approved for Release: 2019/07/30 005828549
Approved for Release: 2019/07/30 C05828549
SlCRE/CONTROL US OFFICIALN aga
.10.
(b)(3)
58. In addition to timber, the forestry industry produces resin/ which is processed.
by the Jngla Chemical Mant0 Riga, into colonhony and turpentine. This factory
has recently been supplied with modern resin-processing and clarifying equip*
*tents which is reputed to speed. the process by forty percent.
59. Nearly all the timber produced far industrial purposes is processed by local
woodworking concerns m SaMaiIls0 plywood., match and furniture factories and.
the newly established shoemlast and tar factories; pit .props for the mines in
the Don basin are eakorLed. to the Soviet Unica/ as are railroad ties.
Finished. products, however, such as plywoodl,furniture� prefabricated houses,
matches woodtar, wooden parts of tools, etc., are exported. in large quantities
to the USSR. This is the reason for the considerable enlargement and. reconm
struction of the woodworking factories in Iatvial the introduction of new
A techniques, and the increase in the number of workers, especially in the ply.
Wood and furniture factories.
6o. There are four plywood factories in Latvia at present: Latvijas Beres, FUrniers0
and Lignums in Riga, anAiVbIkans in Xuldiga. The latter has been especially
enlarged and. employs approximately 1,000 'Workers. Latvijas Berms has been trans
fonoWi into a. woodworking combine; its products are sent all aver ths Soviet
Union to the furniture, railroad ear, and. shipbuilding industiee. It must be
aseumed that plywood is sent to the LrcrafVittuatrs because aviation ply*
wood is also produced. by all these factories. The four plywood factortes
between thee cannot satisfy the Aompria and are constantly raising their output.
61. There are. three match factories: Vezuvs and Kometa in Riga, ,and. Sarum
Baltija in Lepaya� and the Output of the latter has been considerably increased
62. A specialotandard prefabricated bowie industry has been established which,
in conjunction with the Spars sawmill, produces 1,000 prefabricated hews** per
year. These are exported to the Soviet Union, the projects on the V*010, and
even as far as the Georgian SM.
63. The furniture induatry has expanded rapidly. There are five furniture combine*
and two factories in Latvia where furniture is ,mass produced. Furniture is ,
sent all over the Soviet Union/ especially to Moscow and Leningrad where there
is a demand for good furniture, and craftsmen are carrying out all the order*
for the new university-building in MOscov. The largest furniture factory in
Latvia is now momr conetructian
Paper Industry
64. More or less respectable writing paper is now availables but this was not the
ease even a few years ago, 'when writing paper could scarcely have been woree.
Books were also printedllapoormqUalitY paler. Although the quality of paper
has now improved, the local leper industry is capable of producing a ilia
higher quality.
65. The Slake Paper Combine has been developed into the biggest -paper and. cellulose
undertaking in.Iatvia, which also produces most of the newsprint. This factory
also produces ethyl alcohol from paper bymproducts. An ultramstodern alcohol
factory haa been established for this purpose. Other paper 'works ta be
mentioned include those at Ligatne, %Nam, and. 41i:uncle= (which produres only
cardboard), and Staicele; There is a total of fifteen factories in the paper
industry. Fart of the output goes to the Soviet Union; mostly to neighboring
republics.
Chemical Traustry
66. The largest chemical factory in Latvia is the completely reconstructed. Riga
Superphosphates Factory, which was destroyed during the war. According to
plan, this factory was' to produce 180,000 tons during 19500 but there are
indicatiams that its productivity has increased.. The finished product is sent
to the LithuardAr SSR, Belorussian sal and the Ukrainian SSR All other
chemical factories are of secondary importance.
SECRET/CONTROL US OFFICIALS ONLY
Approved for Release: 2019/07/30 C05828549
Approved for Release: 2019/07/30 C05828549
szcaunicomat, us macula tator
(b)(3)
pharmarapit;�cal Industry
67. In recent years, a pharmaceutical industry has been established in Riga. The
few pharmaceutical laboratories prerioualy existing *ye been enlarged and
arlplied, with essential equipment, and. new factory hui.ldings have been erected.
There is a new peSiS41111, factory on *skein's isle, Riga, *kb* employs several
hundred workers. The Riga Pharmaceutical Factory, formerly BloLf, prodtrees a
new preparation, isPask't (paremamiuo�salicylic acid), froa-wisod, in accordance
with methods of Professor A. Manila and others. This preparation is Woe&
effectively against throat and. skin tuberculosis. The littcperissental vitamin,
Factory produces vitamin C from rose-hip syrup, vitamin B fron medicinal
brevervs yeasts, and, the preparatiorns histamine and. histidin.e.
.... Peat IrOustVY
68. In an endeavor to offset the funds *which are expended on the import of coal
and. the preparation of firewood, the authorities have started to step up the
� prOductiOn or peat. The Latvian peat bogs are rich in fuel, and. economist's
advoca,te that they should be developed. The production Of peat is Xattria has
now became an industry, all of which has been enlarged and supplied with �
equipse# such as peat ilaspegates", excavatersi and. other machinery. six
new factOriob bays been established. In Latvia there is now a total of 115 peat
factories, phich employ same 8,000 workers. The yearly output is 60,000 teas
of peat. There are also factories which prOdia.ce insulation plates made of
peat. In the Salon, Tirell, and. Secla marshes, there are peat briquette factories
with .a ***blued output of approximately 70,000 t,ons per annum. At present,
one-third. of all peat production is mechanized. It is planned to make peat
pgoduction completely mecollorfeal, and to raise the output considerably. The
largest poet works are in Skrwrda� Olaine, Sloka, Salaspils, Priedaine,
Rexekne, etc.
Powor Stations
69. Besides regt121!., which at the mcfment is operating with all three ttis, the
power stations in Riga, Daugavpila, Lepaya, and Ventspils have been e�argeL
.ond their output increased. In rural areas, numerous hydroelectrical "ewer
plants with an output of 50 200 kwh, have been erected to serve the kolkhoxy.
The largest of these is in 4,1021a. The total output of electrical energy in
Latvia is over 500,000 bat. This is not yet enough for the planned. eternal:y,.
and. more plants are to to constructed. It ix planned., lu..the. issartistAinturet,to
build. a thermal power station in Riga which will use peat as fuel. It is also
planned to install new turbines in Kew= and. Leloya power stations.
70. Kolkholy have started building =all electric power plants for rural requirements
with their own. building ,materials, lately it has. been planned to Wild. a new
hydroelectrie power station on the Daugave River in the Plavina area, to supply
electricity for Latga.le. This plan, hoverer, is far the future.
71. Experiments for technical improvements are being made at the legume poWor
auto.synchronizatioa of hydro-aggredetees There was a swore shortage Of
electricity in autumn 1951, because of the low water4.evel. Which prevented the
turbines at 'C.v.= from 'working to capacity. In order to tam* enougli power
for indwrtry, nearly all electric current was cut for private coniumers for'
over a week..
170041 maxiatrAr
72. The food. industry is probably the only one where the output has not changed,
except perhaps the fish industry. The authorities have seeded only in '
restoring the prewar level, though in some cases, for example, in the meat
industry, this has not hoot roisetthet; and, on the whole, production, especially
in the meat and. milk industries, has not yet been stabilised. This depends
largely on the supply of raw materials, i.e., the extent topmbich the number
of cattle breeding on the kollthozy will be increased. aAr:eordizei to the official
plan, during 1950 the food industry was to produce 28,000 tons of meat 18000
tons of butter, 34,000 toms Of aular,.and 1,700,000 decaLiteri of alcohol. Thome
figures were only achieved or sussed in the last three commodities.
1319IRVIV001120124 csinowks
Approved for Release: 2019/07/30 C05828549
Approved for Release: 2019/07/30 C05828549
,
73.
SZ'RET/COITROL US CIPTICIAIEI cm yr
The meat industry is in. a .deplorable state and, although the population
has increased, the neat products of the former Riga BekoneekSports have not
yet reached the level of prewar output.
711.. Milk products undertaking* have been restored and. output is up to prewar
level, with the exception perhaps of Vidzeme andIetgale areasorkere more
modern dairies have been bUilt and the prewar output exceeded. Butter and
other dairy produce are not up to prewar output level, the main reason being
that Latvian dairy cattle are Still in rather poor condition, but lately the
situation has shown signs of improving.
75. In the bread and flour branches of the industry, *mall bakeries have been
pmalgamatedvinto bakery...factories, and. new breatcoMbines have been establisbeW4
for example, one in the former Irolfsmit territorY, but this industry cannot
boast about its output and quality.. Rye bread is produced insufficient quantities
and is alwaoo available, but other types of bread are in short supply, especially
in the Riga area Wheat is iaparted from the Ukraine, and. upon this depends the
quality and variety of the bread. Flour products such as macaroni and-aemOlina
have only recently been firmly established. as consumer product*.
76. The local fish-processing industry two developed remarkably in connection
with increased fishing activities. The old fish-processing plants have
been enlarged and a number of new ones have been built in the provinces.
The ecabined output of the Lepaya and-irentspils tanning factories exceed*
67000,00Q cans per annum. Latvia now has nine old and. five new fish-processing
undertakings. Factories have been built in Slodlte Rojas -Merman, and Bloke.
A good market for canned fish is Modem.
Sugar was formerly in very short sulaPaYi but ,the situation has ieproved
considerably and sugar is now obtainable in any quantity at any time. The
three sugar factories in krustpils, Yblgavo and. Lepaya have been motored
and sUpplied with modern machinery. The Xrustpils factory produces a thousand
toms in. 24 hours.
(b)(3)
77.
78. The confectionery industry Pa* been enlarged.considerably , camparmd with prewar
standards. The two largest factories are Laima and 171eJUnijs (former V'. Inae),
which now exceed. their prewar output qUite considerably. Major rocOnstruetion
has been carried out at the former Geogingers Candy Factory. Candies are being
sent to the USSR and even as far as the industrial towns in. the Urals.
79. The Citric Acid. Factory is a new undertaking, producing citric acid. from
molasses. The Stalin Premium was awaraed to the factory engineer far in*
venting a new method of production.
80.
The beer and alcohol industry has, of spurse, been highly developed. This
industry must supply all the mall Uri which have sprung upon nearly every
street corner in Riga, In. Riga alone there are four breweries, all of which
have increased their output. Most of the alcoholic drinks come froe the Riga
Liquor Factory. All distilleries in the provinces have been metered and. now
ones built. The people are encouraged to drink, as such expenditure all comes
back to the State as revenue.
81. The tobacco imlustr7 has been enlarged and not only natiaftes the local market
but also permits exports to the Belorussian SSR. Raw tobacco is imparted from
southern Ukrainian SSR and. Bulgaria. The quality of tobacco products has un-
doubtedly improved. All processing of tobacco takes place in the two big
tobacco factories in Riga.
82. There are cosmetic, vegetable oil, and fodder factories in Riga. The latter
cannot satisfy the demand far cattle cake.
NOMAXIFeA Artela
83. Beatles the Indystrial undertakings referred to above, there are several
hundred Artele in Latvia in which craftsmen are amalgamate& These artel*
SBCRET/CONTRO.L US OFFICIALS COLT
Approved for Release: 2019/07/30 C05828549
Approved for Release: 2019/07/30 C05828549
�
I.
smiter/com Us anima our
413.
(b)(3)
are eUbordinated to the cooperative producer associetiens, and few private -
intarkshops are still in existence. They are not pernitted,to employ paid.
labor and are heavily taxed. Tailors, shoemaker*, painters1 joinerst etc.,
are associated into artels. All these extels have their wokshcpe AUNiabepl
for exaMple, artels;wirich repair radide and watches, do woOdwork, 'weaving,
wee's* various spices, ett. The workers in the artels are paid sixty per
cent of the income of the artelsj but, since every craftsman USup-1,17 takes us,.
officialiworh on.the side, his earnings can be quite high.
1.1.F.t.ffiria3Ak
84. Raw materials such as metals, chemicals, high.iquality clay, apatitns, coal fran
the Daubs** and Poland, oil, and. inas1ther7 from the krasnyy Proletariy
yactory in kloscalr) are *Ported trtes the u3SR., AlthoUgh the Soviet Union
boasts about its wealth in various Mete:1St it is Interesting to note that
at the =went there is an intem*Ified drive for the collection of ferrous and
nonferrous metals scrap. 'The government even awards bonuses to those collecting
the most. 4 '
Labor
4".
85. During 1948, 200,000 worker* were seeloaid-imir.suetry� transport, and building.
Is isdaste4 this was an increase of 75,000 workers above the 1945 figure*.
At the moment it is not bream. how many workers are employed In indlistry. The
authorities publish the nuihers of leading workers, shook workerstaxel
Stakbanovites0 givingva total of 122,000 in 1952. It is estimated that the
number of industrial 'workers at present is amend 250,000. _A sharp increase
in numbers took place in the metal, builmingmateriale, timber, and textile
industries.
86. During 19490 approximately 5,000 engineersvdesigners0 technicians, and.
economists arrived from the USSR and-developed.the Latvian industry according
to their views and desires. It must be asonimedthat this 'number has since
increased. It must also be taken into account that the universities are
preparing new Latvian engineers. People who are already employed are sent to
evening courses et the urdvexwities� where they are educated as engineers in
the machine4building, teals:11%y, electric power plaxt and network, and.
duetrial and civil bailding branches. The engineering faculty already has
200 students and this autumn (1952) 75 awe were accepted.. A large number of
experts are engaged in extramural studies. There is a, hoary demand for 'Over
and e1ectricAmachinery.buildingpernonnel0 *a it is planned to open a
polytechnic school in Riga.
87. /buths destined, for special industriarbranches qualify at labor ritigitrire. r:r...crve
trade schools (PRA srhnols). There are now more than twenty such schools in
Latvia. New personnel is being trained in the two.year courses. The trade
schools are well equipped; this year (1952) they have 86 specialistd/clase roams
and 800 work,.benches. As a rulertrade se onls are based on factories vtith
supply the pupils with teaching materials and. where they do practical work.
There are frequent meetings between the young specialists, at which they lexo
change experiences. There are now kor000 young people employed in late-Lan
industry, which is twice as many as two years ago. The level of eOnestias is
low and. therefore they are sent to evening *cheats of which there are 124.
During 1951, 3,363 young workers attended. such schools in Riga. In the whole
of Latvia, approximately 14,000 attended but anZy 10 000 graduated, Pram such
schools. /acing workers are participating in a caspalgn to make preductien more
economical. During 1951, young workers made 3,000 suggestions for economies which
gave a total saving of 12,000,000 rubles.
88. Education, minimum technical courses0 and. 8takhaovite schools are the communist
vogue at the moment, ii order to raise the qualifications of the personnel in
new industrie*. Secondograde specialists are prepared in various Subjects.
textiles, food, mill, etc. In Latvia, catthe republican levelp there is a
scientific enginmere and. technicians' association; in. Riga there is a
aelentistes4echnioians4 haale, slash is under the patronage .of the Academy of
Sciences and the university. /*axiom* lectures are given saW. technical problem
SIORXT/001CROL US caericIA46 ,(1141
Approved for Release: 2019/07/30 C05828549
Approved for Release: 2019/07/30 C05828549
Siguotricom concula
444
(b)(3)
and questions of economyinproduction are discussed.. Meetings are often held
in factories e5pe0l9.1-17 the natal warts, where new scientific working methods_
are discussed. Thus, the Soviet authorities try to stabi,lixe the newly created
ininshdell, to safeguard the funds and equipment, and. raise output and.
improve quality.
89. At present a campaign foreconony and. over.tu.Lfill 'tug the plan is sweentag
through Tilden industry. it has been planned. and undertaken that induitry
wifl produce, over and. above the plan� goods to the value of 300,000,000
rubles; stocitp4 ling will be carried out to the value of 60,000,00 rubles above
plans fuel viii. be saved, to the value of 250,000 rubles, 5,000,000 kith will
be saved.; and. material and, raw qaterials to the value of 8,000,000 rubles
will be economised.
90. The means to SIR,Terig the workers build, a coununist paradise are not lacking.
Propaganda (there is no allortage of agitators) is painting a colorful
picture of the dream state of the future; andorith the socialistic eanalation
competitions, the shock workers, the Stakhanovites, and. all sort* of other
organisations the workers have to work ever herder. Thle eArnos only
one aims to Produce more and cheaper goods. This is the same policy as
that tailored. everywhere else in the WEIR. The army of iltripUltp of course,
must be provided far. Wages in industry, especially the metal industry, are
kept artifically high, and suggestions for eon-rods/tic in production often
prove a boomirtuag which raises the output but, at the Same time, increases the
nom The average earnings of a worker in Latvia are approximately 800 ruble*
per month. Big factories Where there are many new worker* are even building
tons to house them. In Riga, for exavgile, such factories are the
shipbui.lding plant, VW, the railroad. car rectory, varioux textile undertakings,
and. others. All capital thus invested can, of course, be fteavered ovOte the
new workers are involved in the network of Social-1ot empostitien.
91. It is undeniable that indxottry is on a Irtgligow level, the capacity of industry
1= increased" and factories have been supplied with new mach/wiry and. tscbdqae
thus increasing the specific wage Of industry, especiAlly of the metal industry.
Yet this limiet industry IX ispruring only in quantity by bugliiiirg new Wader*
takings and enlarging the Wier force. As far as quality is c0icernii4. it will
have to struggle for a long time to *prove its production. erganisatien, and
standard. of living. The problem of quality is a long�term one which IS not
likely to be salved in a balfoccomunist Society.
azaturriccemat, ua crimms max
Approved for Release: 2019/07/30 C05828549