DIFFICULTIES EXPERIENCED BY PROPERTY OWNERS/CONDITIONS ON FARM/FARM STATISTICS

Document Type: 
Collection: 
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP82-00047R000200430009-2
Release Decision: 
RIPPUB
Original Classification: 
C
Document Page Count: 
6
Document Creation Date: 
December 27, 2016
Document Release Date: 
May 17, 2013
Sequence Number: 
9
Case Number: 
Publication Date: 
January 30, 1953
Content Type: 
REPORT
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PDF icon CIA-RDP82-00047R000200430009-2.pdf639.4 KB
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50X1 e /!j Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200430009-2 'Nit CLASS iFI0,00] ON COPJFTOENT-I L-Security In-Pnrma+inn CENTRAL INTELLIGENCU AGENCY INFORMATION REPORT COUNTRY Germany (Sawiet Zone) SUBJECT Difficulties Experienced by Property Owners/ Conditions on Farm/Pair, Statistics PLACE ACQUIRED DATE ACQUIRE INFORMATION TNIS DOCUY[NT CONTAINS I THNFO RYATION AFFECTING TNf NATIONAL OLFLN S! OF THE UNITF0 STA TL S~ SIIN TNf YEAH INS OF TITLE IS, SECTIONS 1.7 AND 754. OF THE U.S. CODE? AS AMENDED. ITS TRANSMISSION OR AEV!? LOTION OF ITS CONTENTS TO OR RECEIIT SV AN UNAUT NONIEED ICRSON IS ?SONISITEO SV LAN. TOE AEIRODUI:TION CF THIN FORTS IS PROMISIT[D. DATE DISTR. 30 Jan 53 NO. OF PAGES NO. OF ENCLS. (LISTED BELOW) SUPPLEMENT TO REPORT NO. THIS IS UNEVALUATED INFORMATION 50X1 1. The following deals not with people in particularly bad condition (seen from the Soviet Zone viewpoint); to the contrary, they belong to the "possessing" who still own some private propet.y - moreover., they have the bad reputation of formerly having been "capitalists", "exploiters" and"profiteerss" of their employees. 2. The.owners of the property to be discussed here are a married couple: :nuaband, 68 - wife,, 66. To be correct there are two properties, the one in the city of Neubrandenburg and the other in the country. The former does not yield any profits but carries the burden of taxation. It was the main soiwce of the couple's income until 1945? It was valued at 52 thousand marks and con- sisted of (a)'home and storage buildings and (b) a somewhat larger building for' a' Drell-e-quipped cabinetmaker- ? s shop. Part of the furniture sold was manufactured in the shop. A motor truck business so called "licensed goods transportation" was attached. It operated a three-ton truck and two trailers which were lost without conpensation to the "Wehrmacht" and also a new "Wanderer" passenger car. All of the buildings burned down to the ground. The complete loss included valuable home furnishings. Tne.property on which the couple is living now was originally only a week-end lot, which, however, on account of a well-kept lake V.th good fishing and also some hunting, did not require any expenses. To the contrary, it brought some profit from the sale of fish and lobster. This property called Hartwigsdorf am Kreuzsee was valued at three thousand marks. After the property in the city had been lost, the couple naturally tried to use their country property for both a home and a source of income. 4N There is one morgen (0.63 acre) under cultivation and also an area not under cultivation, like roads and a yard. The house has a reed roof and no basement. It contains a three square yard porch, one heated bedroom, one unheated room, kitchen and toolroom. There is no bath, no toilet, no electricity, no gas, no sewage disposal. The toilet is in the stable CLASSIFICATION COaYF'IOFSjTIJL - Security Information Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200430009-2 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200430009-2 lrfoZ mation enclosed by walls. When the authori_aes conducted a hygienic checkup, they ccdmrmented favorably beeaa.se it h.:.c a iii. - The stable i op_)ositc the living quarters and has room for two large animals (horse or cattle), -which however are not kept at the time beia3_ They have now two goats, five pigs, 24 chickens and two geese. The stable has a partial one-third basement. for :storage of feed. This building d _. . not, exist in 1945 but was financed i aediately thereafter from the sale of a diamond. 6. Like elsewhere, considerable looting by Soviet soldiers took place but they did not find buried valuables like jewe l.ry, silver and furs. 7. There are the following dogs: one watch og and three cocker spaniels one of them male) All dogs are very alert. Up to a year ago the cocker span:.e' s were bred. However, this was discontinued partly because the breeding pair became too old and partly because of thy:: change of conditions 8. Nourishing medicines for puppies are la,-..king and so is a market for good dogs. They are no more allowed to be exported from the Soviet Zone. in- side the zone there is no demand because of lack of money and because hcmnt- ing is prohibited by the authorities. Formerly, feeding for a three-mouth old dog amounted to 50 marks at the most and it sold for 500 marks, conee- uently a breeding pair could bring as much as 1500 marks a year. Today Lecember 19527 costs are higher than income because the ceiling is 50 marks according to the motto "Dog is dog". The village curs can easily meet the demands of the entire zone. More likely than not anyone wanting a dog can get him for free. 9. The reasons for the continued keeping of the cockers are not only humane- but also the alertness of these dogs. The farm is .very l ans o e the next village is over one kilometer away. Registration of dog breeding has, therefore, not been cancelled. For this reason four dogs cost as much in taxes as one because of the taxation laws. 10. Eight years ago an orchard was sto-rted with approximately 100 trees yielding now a relatively good and valuablf crop, but the famous "Dog is dog" translated into "Fruit is fruit" prevents a fair return. There is a ceiling pr-ice or. fruit which must not be overstepped in any case; as a result the most tI'ey can get is 35 marks for 100 pounds. The state-owned stores sell much higher. The state is the only one who may profiteer. 11. As mentioned before the lake bro?qg-ht considerable income until 19k5. It had an abundance of lobsters which were in good demand, and paid for as a luxury 30 pfennigs a piece. In addition, the following kind of fish were found: pike, tench and carp. 12. The lake was well-kept; it has a good hard rocky bottom, good water and good vegetation. In 1941 a n d 1942, o and two year old tenches were put in, also carp and one thousand trout. If this is done every four or five years, uniform yield can be expected (warp need not be put in this frequently). But in 1945 and 1946, the Soviets by means of bombs, bazookas and cluster charges, made an end to the fishez in the lake, including the young ones and the lobsters. To bring the lake back to product; ion it would be necessary to (a) stop fishing entirely for some time, and (b) put in new fish again and let the lake get enough time to get well,. However, means to buy young fish are lacking, the bucks, bogs and large nets have been. stolen and replacements of these tools is impossible and besides it would not make sense to catch a young fish if there were any. 13. Disregarding the actual condition of the lake (counting on the size of the lake only) the owners must deliver 10 owt of fish per year for which 20 pfennigs a pound is paid; 20 marks for a hundredweight. If the obligation is not fulfilled, expropriat.on is threatened, not of the momentarily worthless lake but of the whole property. Of course, the owners tried to CONFIDENTIAL Security information Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200430009-2 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200430009-2 CONFIDENTIAL - icciv,Jty Information 3.4 point out to the authorities the eo.idition the lake is in, but were told "bombs in the lake" was a lie,. The : rner because of lack of tools cannot do fishin, ? +..imseif, if there was anything to be fished out of the lake, but he can let somebody e3_se do the fishing for a wage which would be higher than the yield. Consequently, the oni;r thing he can do is to buy the fishes at, 30 marks per cwt and sell them for 20 marks. The master fisher has refused to do the fishing for 300 marks wage because of the lake' s rocky bottom which would tear up his large net valued at four thousand marks. Regarding deliveries of fishes to the state stores, the same motto "Dog is dog" or "Fruit is fruit" appears as "Fish is fish", except for the fact that the state stores know luxury fish when selling them at a price of six to ten marks a kilo (two pounds) for which they pay a maximxm c=? 40 pfennigs'per kilo. To-the topic of putting in young fish, this might be added: One hurdredweight of one-year old tench is priced at 110 marks; two-year old ones are corres- pondingly higher. Transportation is 10% of the price on the averae, but only the 'higher priced luxury fishes are actually available. Even if one assumes that conditions will be better after five or six years, it would still be impossible to restore the lake with fish because nobody in the Soviet Zone can afford to tie down money without interest for five or six years. Of course, the age of the earners has also something to do with this. They will probably be unable to do the hard work five or six years from now and will have to go to a home for the aged. 1;5. The following figures for expenses and income are of the last year (1951) (first column) (second column,, green in German original is West Germany). They are, therefore, partially incomplete for the year 1952 but prices have remained unchanged. They should, therefore, represent a true picture of this year provided no losses from diseases of the animals occur. Expenses Yearly property taxes Yearly taxes - dogs Feed to be bought: a) 80 cwt potatoes (black market 6 per cwt) b) 30 cwt hay(Open market - per cvt) c) Rent from meadow - mowing, handling and transporta- tion of hay, vehicle to be rented d) Chicken feed (black market 85 cwt at 20 each) Pig feed (85 cwt at 20 each) Purchase of seven farrows - 40 marks each Repair material: nails, wi.re, boards, window glass (mostly through black market) Kerosene for lamps - home and stable Expenses for soap, washing powAer, groceries (bread and noodles are no mor. rationed) Loss from delivery of fishes Expenses for apparel - the most vital necessities can be taken care of by the wife through mending salable - no buyer with money for reconstruction is found yet - practically no one would. take for free) Property tax 72 Liability and street cleaning 92 East West (in m x - 100 100 50 50 480 24 0 120 120 10 10 35 3:5 160 4O 1700 400 350 175 500 100 240 100 1+50 1450 100 and fixing garments given to them mostly from the US - Expense for underwear - two paar-s of socks for the man jr, 2 pairs of stockings for the women. 8 Expense for shoes - one pair for the man - Iselite ersatz 80 No shoes bought for the wife, here came also from the US Expense for the Neubrandenburg property )(property is un- Interest on mortgage TOTAL CONFIDENTIAL - Security Information 100 4 6 40 leather 5, 662 2,A370 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200430009-2 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200430009-2 50X1 Eaa! isosite is income as follows Disability premium (for Instance for 70% disabled man) 90 0 Sales: 6 pigs at 600 marks each after transportation 3600 1500 Fish 200 :;_000 Fruit (delivered to state doors) 1t0 500 Fruit (private sales) 150 Private sale of one gold and diamond ring 1200 GROSS INCOME 771-1-50 350 Consequently, it almost looks like a profit of 6 2 ~'r? 16. Under normal conditions the hard work done by these two old people would even today bring its just reward. The property would be profitable since tie animal s fed with normally priced feed provide good profits. Of Course . the orchard was also started with gains from the sale of high quality fruit in mind. The same could have been expected from the sale of lobsters and fishes from a well-kept lake. If this property were located in Ttern Germany all of the factors reducing its value would disappear. The had work done is also very inconvenient in another respect. The next towns where bustriess can be transacted are 10 and 12 kilometers from the property and unfortunate- ly can be visited only by bicycle. Other occasional transportation being a lucky exception. 17. Theoretically speaking, the couple ought to give up this tremendously hard work without profit but there is no way for them to do so because they sm- ply would not know where to go and disregarding the fact that they would not get a permit to live in any of the cities of the Soviet Zone, they would even less be able to cover the expenses of living in a city. For tizii; reason, they try to keep their property by an occasional sale of their few remaining pieces of Jewelry for another few years. of course, this :idea of "holding out" is closely connected with their hope that one day this will get better also in Eastern Germany. They hope that Soviet influence will disappear and a free economy will automatically bring normal prices into being. 18. Following are some prevailing pr-e.ces in the Soviet Za-s oppos. to the Federal Republic of Germane; East AR F=t in rak::~.~ 1 pair of leather shoes Butter (one kilogram) Rice (inferior quality) (1 kilogram) Oats (1 kilogram) 120 20 360 106 t 7 l 1 Noodles (1 kilogram) 2,4o 100 Coffee (not sold in the Soviet Zone) (1 kilogram) 'to Tea (bad) (50 grams) 1.38 io kg Cocoa (not sold in Soviet Zone) 8 kg J?aWer(not sold in Soviet Zone) Vegetables (hard to get in Soviet zone, easily in Western io kg Germany at varying prices) Flour (1 kilogram) 1.60 .80 Margarine (1 kilogram) 14 2.40 Work pants - men 44 25 Work dress - women 50 20 Fabric for overcoat - men 18 to 30 8 (approx) Knitting wool (unavailable in Soviet Zone) io kg 19.. A great r-a?t,~;f the food, especially the food under rationing is of inferior quality. Textiles and leather goods or substitutes for the latter are al- ways of inferior fast outwearing quality. 20. It must not remain unmentioned that some items do not appear at all - for instance, the important question of heating fuel. The embankment of the lake, .a partly narrow and partly wide strip of land, is part of the property and CONFIDENTIAL - Security Information Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200430009-2 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200430009-2 i? ?NFIDENTXAL - 4 curity Information contains a fair: 1,y large numb -ar of :6j-aes, some of which are cup, every year. Expenses from cutting, transportati,?.;;m , splitting are mostly covered. wi thout money, either by giving part of the mod, or by rendering other services. 50X1 which the couple is able to furnish. (a kind of mutual neighborly help) e 21. Expenses for medicine for man and, animal or other smaller items are covered by earnings for carpenter work 22. Regarding income from the property, it might be added that income from farm animals is a safe one as long as the animals remain healthy and usab .. The small,size of the property is an advantage because no obligation to deli7er meat is connected with it. This would be the case if there were only a few 50X1 more square meters of productive area. 23. not in Berlin and the Soviet Zone-) me ey could be taken from private aa,c- 50X1 counts in banks and other monetary institutions. The limit was 300 marks per month. Nobody who had savings needed to sell his last belongings if he had no current earnings. In Eastern Germany all private accounts are still looked today. There are no reports whatsoever that allied soldiers of the West ever maliciously destroyed the fish life of a valuable lake. Even if this had happened, the German owner would have been able to restock the lake. According to this the lake would have been back to normal and nobody in the West would have asked for impossible deliveries (in addition damage caused by the occupation ~,,recognized and reimbursed) though not by the occupying powers, but by the German authorities. Consequently after 1950 considerable income from thx lake could have been had. Quality fish command a good price just as before the war. 2I. Taxes in the West are the same a.,, in the East but pensions are much higher than in the East and partially a:'-so in Berlin. The average is 50% zmciri . The Neubrandenburg property coul:t have been rebuilt or, at leant, sold. There heavy private construction.; in the West, while the East the st;ai.e i the only builder. In any case, it would have been possible to get rid of any obligations from this property. 25. Construction of the stable from the sale of property would have been pos- sible In the West after 1945 under approximately the same conditions as in the East. Breeding of dogs is still profitable in the West, although the prices for puppies are no more quite so high. 26. It had been planned formerly to convert part of the lake into a beaver farm. Expenses for the plant are high, but so are profits. Credit is available in the West in cases like this, but the couple would not have needed any because they could have used the money from the sale of their jewelry for this purpose. 27. Quality fruit: has its proper price in the West. At this time one kilogram of good apples costs 1.20 marks to 1.50 masks. 28. Finally, regarding animals, farmers and breeders themselves are interested to sell, their products in the West. They sell and buy3and prices for the most part are determined by market conditions which in itself is sound. Of course also in the West the last war is strongly felt by everybody and nobody can accumulate sufficient working capital quickly due to the eager- ness and tenacity of the tax collecting office. 29. Prices of hogs are lower in the West than in the East, but actual gains are higher in the West because feed doe not cost black market prices. Also CONFIDENTIAL - Security Information Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047R000200430009-2 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047ROO0200430009-2 O . 1F:IDENT.UL Security Xnformatl '7 ~r 50X1 al legal trade and not the black market is res onsibl p e for supplying nails, wire and other repair material. The gain-and-loss sheet would, therefore, show an entirely different picture. Expenses would be lower and gains hi her g . 30. For this reason =have put the column "WPst 1t r original.) besides the colulm "East". It shows a nice surplus. ~Of course, one could lightheartedly dispense with primitive discomforts and have higher expenses. again. 50X1 31? this comparison is not just pla it i i y, s ntended to shc,r why people over there hold on.fi. Hope is too great th t a one day the German East will find contact again with culture and civilization. 32. Note: No gains are shown from the kee the following: ping of chickens. This is e p:ai+ed by a) The larger part of the chickens are too young. b) Eggs obtained from laying hens are either used in the householt, given instead of money for help received. Too few are sold for pfennigs to play a role in the entire financial picture. Assuming that dogs could be bred profitably in the West, the following wound have to be added: Expenses: Breeding of three puppies 2870 150 Sale of three puppies 3020 k650 71.Q 00 Minus expenses of 3020 Profit 2380 Assuming and deducting 25% profit taxes 755 Would still leave profit of (without sale of jewelry) CONFIDENTIAL - Security Information lb2'7, Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr2013/05/17 : CIA-RDP82-00047ROO0200430009-2