METHODS OF PURCHASING QUARTERMASTER GOODS FROM MANUFACTURERS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP82-00047R000200420001-1
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 2
• Document Creation Date: December 27, 2016
• Document Release Date: May 17, 2013
• Sequence Number: 1
• Publication Date: January 26, 1953
• Content Type: REPORT

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Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200420001-1
CLASSIFICATION SECRET/SECURITY INF'OF;;Memznn =---
CENTRAL INTELLIGENCE AGENCY
INFORMATION REPORT
COUNTRY USSR
SUBJECT Methods of Purchasing Quartermaster Goods from
Manufacturers
PLACE
ACQUIRED
DATE
ACQUIRED
50X1
DATE DISTR. Jan 1953
DATE OF I~
01 TMI 001110 110111, 117011 101 YI{AN INO 01 TI TL1 1111 1[ CTI001 Tl1
0X0 T/4, 01 III N.O. 0001, AI 010[X010. III 100,1101111010 00 11001?
LA T10N 01 III CON T[N T1 'TO ON 1100111 1T AN ONAOTX001110 PINION"';
THIS IS UNEVALUATED INFORMATION
All the articles manufactured by military plants an factories are salpyea
directly to the quartermaster depots and arsenals of the military districts,
in accordance with plans and agreements between the Ministry of Defense and
the Ministry of National Economy. The enterprises of the Ministry of Defense
itself also send their products, according to the order of the Minister of
Defense, directly to the military districts. All I- surplus produlcti50X1
i e after the supplies of military districts have been brought up tc tY...
prescribed norm, is sent to the arsenals of the Ministry of Defense.
2. A different situation exists in regard to food provisions Which in a number
of cases'do not go directly from the supplier to the military district but
pass through some sort of-intermediate stage. For instance, kolkhozes and
sovkhozes deliver their cattle to the Zagotskot Lcattle Procurement Trust7
and only the latter supplies the Ministry of Defense; thus, an organization
like Zagotakot becomes an intermediary. Besides that, hundreds of thousands
of hogs and cattle belonging to the Ministry of Defense are kept for fattening
at the fattening bases of Zagotskot. These bogs and cattle had, formerly,
also belonged to kolkhozes and sovkhozes. consider civil or- 50X1
ganizations like Zagotskot intermediate agencies *
3. The Defense Department purchases quartermaster supplies, e g food, at a
fraction of prevailing market prices. For instance, a kolkhoz or a sovkhoz
delivers meat on the hoof to Zagotskot, by way of State obligation, at 27
kopeks per kilogram of live weight. Zagotskot, in turn, delivers this cattle
to the meat combines for preparation and supply to the population. Zagotskot
receives for its work, i e for receipt of the cattle from the kolkhozes and
sovkhozes and for its delivery to the meat combines, six rubles per ceatner
JTOO kj, to cover overhead expenses connected with their maintenance, feeding
and transport. Thus, one kilogram of meat on the hoof costs the meat, combine
33 kopeks, while meat on the market costs 18-20 and 22 rubles. This is where
the turnover tax is levied for the benefit of the State.
CLASSI5ICATIO N SECRET/SECURITY INFORMATION
DISTRIBUTION
OFD ELF
Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200420001-1
 50X1
Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200420001-1
SECR:TT/SECURITY INFORMATION
The Department of Defense, consuming hundreds of thousands of tons of meat,
does not buy it from commercial organizations because it cannot afford to
pay 20 rubles for a kilogram of meat. If it did, the upkeep of the Armed
Forces would not cost 96-100 billion rubles a year but-'maaay times more.
In order to demonstrate the Kremlin's "peaceful" disposition, the Department
of Defense buys the cattle from Zagote at at 33 kopeks'a kilogram, of which
27 kopeks goes to the kolkhoz and 6 kopeks to the Zagotskot for overhead
expenses, while a kilo of slaughtered meat thus costs the Department of
Defense 70-72 kopeks. The Department of Defense has its own slaughtering
grounds where cattle is slaughtered. for the army and for the creation of
enormous "NZ" reserves. It sells the bides to the industry, and the re-
ceipts from such sales cover the total cost of the cattle. In this instance,
the Department of Defense needs an intermediate agency. 50X1
one cannot consider as an intermediate stage such arsenals
or war uses as, for instance, those situated in Leningrad on Porokhovyye,
where tremendous stocks of air force equipment, tanks, trucks, and artillery
ar concentrated or the arsenals on Vyborgskaya Storona in Leningrad[) 50X1
because these supplies cannot be handed over to
military districts, for they would constitute tremendous surpluses over 50X1
the quota of materiel fixed for militsr7 districts. They we stoply a
tremendous surplus reserve accumulated in anticipation of war eventualities
and kept in charge of the Minister of Defense USER. As soon as they are
needed, they will be sent directly to the military districts, armies, and
divisions without any intermediary stages.
SECRET/SECURITY INFORMATION
Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200420001-1