JPRS ID: 9854 USSR REPORT AGRICULTURE

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• Document Creation Date: November 1, 2016
• Sequence Number: 35
• Content Type: REPORTS

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JPRS L/9854
17 July 1981
USSR Re ort
p
AGRICULTURE
(FOUO 4/81)
FBIS FOREIGN BROADCAST INFORMA~'ION SERVICE
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JPRS L/9854
17 July 1981
USSR REPORT
AGRICULTURE
(FOUO 4/81)
CONTENTS
AGRO-ECONONIICS AND ORGANIZATION
Interrelationships of Private F7.ots ~Fith Public Sector I}iscussed
(G. I. Shmelev; VOPROSY EKONOM[KI, May 81) 1
Long 'Term Credit for Agriculture Advocated
(V. V. Kochkaxev; VOPROSY EKONOMIKI~ Apr 81) 12
TII,LING AND CROPPING TECHNOZOGY
- Chemical Applications in Agriculture During Eleventh F`ive-Year Plan
(V. G. Mineyev; DOKLADY VASK~INIZ, May 81) 21
_ a _ [III - USSR - 7 FOUO]
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AGRO-L~CONO~MICS AND ORGANIZATION
INTSRREIATIONSHIPS OF PRIVATE PLOTS WITH PUBLIC SECTOR DISCUSSED
Moscow VOPROSY ERONOMIKI in Russian No 5, May 81 pp 66-74
[Article by G.I. Shmelev, doctor of economic sciences and head of a sector at the
Institute of Economics of the World Socialist Syarem of the USSR Academy of
~ Sciencea: "Public Production and the Private Sector"]
[Text] Under aocf.aliem, a cloae link exiats between public and private ownerat~~ip.
Socialiat ownership of the meana of production and tae nature of aesociating a
worker with the meana of production determine the relationehipe in diatribution,
production, exchange and conaumption at all levels in the reproduction procesa in
the national economy. Public ownerahip of the principal means of production under
socialism, through the diatribution syetem, forma private ownerahip of consumer
goods. The LPKh [lichnoye podzobnoye khozyaystvo; private aectorJ ie a componeat
element aYid a apecial type of privete ownerahip under socialism. The eocialiet
nature of the LPKh is determined by the socialiet praduction relationshipe and by
the participation of the LPKh in the reproduction of vital reeourcea and the income
of workera in public production and in the creation of an all-state fund for food
products.
In connection with the entrance of our country int~ the period of a developed
socialist society and the convereion of a ntember of Buropean countries SEMA.
member states over to the construction of developed eocialism raiaes the need
for a theoretical interpretation and evaluation of the conformit~? of these and
other categories and forms of production to the new historic conditions. This
applies fully to the private sector. 1'he experience of the Soviet Union and other
socialist countries reveals that, during the atagQ of conetructing a developed
socialist socfety and in addition to atrengthening the logietical base of the public
aector of agriculture, an active program should be carried out eimed at eupporting
the private plots and increasi~cg their production. If the public sector of
production in agriculture in a partic~lar country ie well developed, it will be
better able to furnish assistance to the LPRh a~nd exert influence upon it. The
LPKh supplements the public aector of production. The agricultural productive fixed
capital of the LPRh, at the beginning of 1980, amounte~3 to 4.9 percent of all
agricultural productiv~ fixed capiCal (in canparable pricea of 1973).
In delivering his report before the 26th CP3U Congress, L.I. Brezhnev noted: "The
kolkhozes and sovkhozea have been and continue to be the foundation for socialist
agriculture. But by no meane is thie meant to imply that the potential of the
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private plots is to be neglect.d. Experience testifies to the fact that such
plots can provide substantial ass+.stance in the production of ineat, milk and
certain other products. The orchards, gardens, poultry and livestock which belong
- to the workers represent a portion of our overall wealti?." During this particular
stage in the development of the procluctive forcea of society, the establishment of
large-scale national economic complexes and the studying of the interrelationships
existing within these comple~ea require that the LPKh be viewed as a necessary
part of the country's agroindustrial complex. The country's food program, w~ich
was developed based upon a decision handed down by the Politburo of the CC CPSU add
which must place in action all of the reserves available for improving food
security, must necessarily include the LPKh.
The relationahips between the public and private sectors is dependent upon the
development of the productive forces of agriculture. A considerable proportion of
products is produced in the LPKh, the production of which is more labor-consuming
and mechanized to a lesser degree. During the post-war period, the production of
_ grain on the private plots almost ceased (in 1940, theae plots accounted for 12
percent of the overall grain production). ~n field crop husbandry, a considerable
contribution was made by the I~ith in fruit production, potato production and in the
- production of vegetables (in 1979, approximately 60 percent of the potatoes and
42 percent of the fruit and berries were produced in the LPKh). In animal
husbandry, a substantial proportion was contribuCed by the LP'Kh in swine production,
poultry production, goat raising and rabbit breeding. In 197:' the LPKh accounted
for approximately 96 percent of the rabbit meat, roughly 40 pei�cent of the pork,
mutton, goat's meat and poultry me~t, 33 percent of the horse m~iat, 27 percent of
the reindeer and camel meat and 17 percent of the beef and v~al.
It is from a regional atandpoint that the dffferences in the production atructure
between the public sector and the LPKh stand uut most clearly. Thus, in Eatonia
approximately 94 percent of all of the wool is produced in the LPKh and only 6
percent by the kolkhozes and sovkhozes. In Belorussia the LPKh accounts for
roughly 4 percent of the wool produced in the republic and Che remainder in the
public aectnr. In Moldavia, Azerbaijar~ and Armenia republics having large
~ specialized farms for intensive highly co~norical horticulture the kolkhozes and
sovkhozes account for 70-75 percent of the groae yield of fruits and berries. The
situation is just tho opposite in Belorussia and the Baltic republics. Here the
larger portion of these products (85-90 percent) ia produced on Che private plots of
the population. The state procurementa of aurplus fruita and berries grown in the
LPKh of these republics exceeds to a considerable degree their production volume in
- the public sector: in Beloruss~,a by a factor of 4, in Lithuania 5.5 and in
Latvia by a factor of 3.5. The private plots serve as the principal source for
supplying the local population with such products, the production of which in the
public aector in these or other rayone is liroited by the natural-climaCic and other
conditions.
The output of products per unit of space in the LPRh, owing to great labor
expenditures, is subetantially h:~gher in a number of instancesroximatelth45puercent
sector. For example, in Belorussia the LPKh accounted for app y P
- of all of the fruit and berry plantations in the republic and yet in 1977 their
gross yield of fruit and berries exceeded by ~ factor of 12 Che amounta obtained in
the public sector; the LPRh in Latvia ~bCained a fruit and berry harvest that
exceeded by roughly a factor of 10 the amount obtained from the same area at
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ko~khozes and sovkhozes. Subatantial differences in the p�roduction structure for
the LPKh, cau8ed by natural-climatic conditions, professional skills and national
traditions in nutrition, have been noted for individual republics and regions. For
- example, in the case of ineat production, the largest proportion of beef and veal in
the private aector is produced in the Uzbek and Turkmen SSR's (approxiaiately 73 and
59 percent respectively and for the country as a whole roughly 26 percent),
mutton in the Tadzhik SSR (41 percent, for the cour,try 7.4 percent), pork
in the BSSR (roughly 80 percent and for the country 46 percent).
- The accounting in agrarian policies of the proportiona existing i~~ production
between the public sector and the LPKh promotea improvements in Che aupply of food
goods and the achievement of a balance in the population's nutrition. Production
- in the LPKh is less commerical than in the public aector~and the fo~d products are
more adaptable to the personal requirements of the owners and to the national
traditions of the local population.
The social structure of the owners of private plots is complicated. They consist
_ mainly of kolkhoz membera and sovkhoz workera; individual private plots are also ~
operated by the manual and office workers of non-agricultural enterprisea and
institutes ia citiea and villages and eleo by penaionere; manual and office worker~
engaging iii horticulture and gardening conatitute a large and special group. The
dynamics of those engaged in the LPKh, in terma of their social affiliation, che~~;.
in conformity with a change taking place in the social atructure of society and in
_ the agrarian policies of the atate. In recent yeara, among thoee persona opexat-ing
- private plots, a decrease hae taken place ~n the numbe~ of kolkhoz membera while the
number of manual and office workere has increased. Thia ie partly associated with
the tranaformation of a number of kolkhozea and eovkhozes, with the creation of
interfarm and agroindustrial formatione and also with the transfer of many kolkhoz
membera over to working in other branchea of the national economy. In addition, it
is associated with an expanaion in collective horticulture and gardening by manual
and office workera, ae a uaeful activity encouraged by the 8tate.
Whereas prior to the war the majority of the private plota were operated by kolkhoz
members, today manuel and office workers and other population groupa predoIDinate
as operators ~f private plota. Thi~ circumstance has been taken into account in
the new USSR Conatitution. In the 1Q36 USSR Constitution, use was made of the term
"private plot of a kolkhoz meober" and in the present USSR Conetitution
"private plot of a citizen." The latter reflecte the actual chaiiges in the social
structure of private plot ownera.
In the USSR at the presen.t time, the private plote are operated by 13 million
familiea of kolkhoz members, more than 10 million familiea of sovkhoz workera and
roughly by the same number of faanilies of manuel and office workera of other
branches of the national economy. The advances ac6levad in the social atructure of
private plot owners have brought about cbangea in the proportion of individual.
groups of the population in the production of groee agricultural output. The
proportion of manual and office workers associated with euch output is on the order
of 50 percent and for eome products it even exceeds thie level. The proportion of
_ manual and office worker private plots amounta to approximately 52 percent in the
production of fruits and berries and approximately 56 percent in the production of
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' sheep and goa[ raising produc[s . In tbe RSFSR. F~zal~l~st~�. A.pc:~xt ix~~, l.xt. ta,
A r.n~nia and Bstonia tha proportion oi kolkhoa members oparatiug private plots ia
less than the proportion of manual and of�ice warkers and other groups of the
population.
The maximum norms for the private plota and the production volumea for the private
plots of kolkhoz members are higher than those for eovkhaz workers~and they differ
in particular when compared te the production volume and atructure of the private
~ plots city residents (per yard or family). At the present time, the average size
of a private plot of a kolkhoz member is 0.31 hectares, of roanual and office
workers in rural areas 0.17 hectares (including sovkhoz workers 0.21
hectares and manual and office ~iorkers in cities 0.07 hectares). However, Che
sverage size and the number of li~vestuck for the private plots of kolkhoz membera
are lagging substantially behind the maximum permissible norms established in the
Mode~ Regulations for a Kolkhoz.
Differences also exist between the public and private sectors in connection with
the age and sex structure of the workers. For ~xample, in 1978, the number of males
of able-bodied age at kolkho~es accounted for one half of all labor expenditures
and in the private sector only approximately 20 percent. The proportion of
labor expenditures for �~aomen of pension s~ge at kolkhozes did not reach 3 percent and
in the private economy it amounted to almoat one fourt~i of all labor expenditurea.
A considerable proportion of the labor expenditures in the prieate economy wera
accounted for by those who, because of family circumstances or reasons of health
(mothers ~n familiea of rural workere having young cbildren and invalids) or age
(juveniles, elderly people), are unable to participate in public production and also
by those for whom the private plota serve ae a m~ans for continuing work at the
end of the working day in tha public sector. Thus the private sector ia expanding
the sphere of participation by the population in productiv~ labor and in the
creation of a national economic fund for agricultural products. The ratio for the
praduction of agricultural products in the public and private sectors does not
remain stationary.
Ra~io for Production of Agricultural Producta in Public and Private Sectors
(in comparable prices of 1973; for country as e whole; in
Output of Output of
Public Farms Private Plots
1960 64.4 35.6
1965 67.5 32.5
_ 1910 70.3 29.7
1975 71.7 28.3
1979 73.5 26.5
It is apparent from Che cited data that the proportion of private plot output is
constantly decreasing (in 1960 it exceeded by one third Che gross output of
agriculture and in 1979 it already amounted to roughly one fourth). However, this
is not meant to imply that the private plota cannot keep the population supplied
with food producta, since notwithstanding the reduction in the proportion
contributed by such farms to grosa agricultural output, their output volum~ has on
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~
the whole increased. In 1978 and compared to the 1961-1965 period, production on
the private plots (in comparable prices) increased by 13.7 percent, including crop
husbandry output by 26.5 and animal husbandry output by 8 percent. Moreover,
the amount of land assigned for use by the population changed very little over the
past 20 years. The reduction in the proportion contributed by the private plots to
groas agricultural output occurred as a reault of higher rates of growth for
kolkhoz snd sovkhoz production (compared to private plot production) and not sa a
result of a reduction in the volume of production on farms of the population.
Kolkhoz members, sovkhoz workers an~i rural pensioners obtain the principal bulic _f
such vitally important food products as meat, milk, eggs, fruit, berries, vegetables
and potatoes from the private plots. In particular, a high proportion of auch
products is obtained from the private plots of kolkhoz members. In 1977, the
private plots (not counting the pr~+ducts purchased on the k~lkhoz markets) supplied
them with 72 percent of the meat consumed, 76 percent of the milk and almost all of
- the potatoes and eggs. Moreover, it should be borne in mind that the system of
public catering in the rural are8s, which functiong within the framework of
- consumer cooperation, is supported almost exclusively by means of procurements from
private plots. The kolkhoz roarket and intra-village trade, where the products of
private plota are also sold for the most part, Flay an impor^ant role wlth regard to
supplying in the rural areas with food gooda.
- The development of specialization in publlc production is promoting an increase in
the importance of the private sector for supplying diverae food producta for the
familiea of rural residents. As a result of the increasing level of specialization
in public production, almost one fourth of the country's kolkhozes did not maintain
- swine during 1980, more than 50 percent of the kolkhozes did not have sheep or
goats (in Belorussia, Lithuania and Estonia, awine were lacking on 90 percent of the
farms), 64 percent of all of tha kolkhozea did not breed poultry (in the
nonchernozem zone of the RSFSR, Belorusaia, Georgia and Lithuania, 30-97 percent of
the kolkhozes did not breed poultry). Thus the private plots continue to be the
principal aource for supplying kolkhoz membere with the products of these branches
of animal husbandry. While supplying the rural population with food products, rhe
private plots are at the aame time creating the conditions required for maintaining
a high proportion of sales to the state of producte produced in the public eector
(at kolkhozes, sovkhozes and so forth). The private sector participates diractly
in the reproduction of agricultural output, in the public sector through the eale of
a considerable number of young livestock to the kolkhoaes and sovkhozes for
subsequent fattening and also a portion of ita eeed potatoea and vegetables.
The private sector repreaenCs an important source for delivering preducta to the
country's food fund through the kolkhoz market and conaumer cooperation. The
proportion of marketable producta comp~red to the overall ~olume of production ~n
farms of the population is indeed conaiderable. In 1979 thie proportion amounted to
34 percent for vegetables, 37 for meat, approximately 17 for potatoes and 14 percenC
for eggs and milk. Moreover, 47 percent of the potatoea, 43 percent of the
vegetables , 42 percent of the meat, approximately 80 percent of the milk, 40
percent of the eggs and more than 90 percent of the wool eold by farms of the
~opulation were sold as state procurements and not on the kolkhoz market. State
procurements constitute a considerable proportion of the gross output of the
private sector.
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Proportion of State Procurements of Overall Output Produced on
Private Plots (in
1940 1950 1960 1965 1970 1975 1979
Potatoes 6.9 4.1 3.2 4.8 2.9 4.8 8.0
Vegetables 1.6 2.4 5.5 6.9 8.6 8.8 15.0
~at 14.7 12.1 19.4 20.0 32.6 30.4 15.7
riiik 8.9 14.0 ~.5 6.0 5.0 10.0 10.0
gggs 21.7 10.6 10.9 13.8 9.4 8.9 5.7
Based upon the above table, it is apparent that a reduction took place during the
1960-1979 period in state procureme~ts of animal huabandry products from private
plots (with the exception of milk) an~l that an increase took place in the
procurements of vegetables and potatoes,. These changes occurred owing to the
_ improvements realized in the branch structture of the private sector. For example,
duri:~g the Seventh Five-Year P1$n the propa.rtion of animal husbandry products in the
private sector amounted to 69.2 percent, during the Ninth Five-Year Plan 66.5
and during the Tenth Five-Year Plan it decreased Co 65.8 percent. This trend came
about owing to improvements in the culture of farming on the privste plota and a
substantial increase in the number of manual and office workera engaged in
collective horticulture and gardening and also by a reduction in the number of
animals being maintained by the population.
Special importance is attached to the kolkhoz market with regard to supplying the
population with food gooda and developing the private sector. More than 5,900
municipal k~lkhoz markets, numbering almoat 1.5 million trade poinCs, are in
operation throughout the country. In addition, there are a large number of
_ temporarily active markets whir_h have not been registered officially and an intra-
village market, where a considerable proportion af the output is sold (in a number
- of republics, the sales for some products at theae markets at times exceed the
sales volume at municipal markets). In 1980, 7.4 billion rubles worth of products
(in 1975 5.2 billion rubles worth) were sold on the kolkhoz (non-village)
market. Its proportion in the sale of food gooda to the population, in identical
prices for all types of trade, amounts to approximately 5 percent.
The diviaion of labor between the public and private sectors in the sphere of
production is supplemented by the division of labor in the sphere of circulation.
The kolkhoz market is a component part of the national ecanomic food agroinduatrial
complex and is a necessary partner in the public sector, since the latter, owing to
an insufficiently developed logistical base for the procurement, storage,
processing and sale of food products, cannot aell all of its output to the private
sector. The variety of producta available on the kolkhoz market supplements
substantially the product s~ructure of state trade. F~r example, in 1978 cabbage
constitutad 41 percent of the vegetable sales in state and cooperative trade and on
the kolkhoz market only 13 percent.
At the present time, the public sector is incapable of expanding the production of
all typea of agric~altural products, especially the labor-consuming crops which
require great expenditures for mechanization, to the scalea capable of satisfying
the requirements of the population. Thus support is required for all types of
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- agricultural production. The functioning of the private sector involves achieving
solutions not only for problems of a production-organizational, economic and legal
nature but also for socio-psychological and cultural-domestic problema which go
beyond the limits of this sector.
The normal development of the private sector requires that it receive support from
the kolkhozes, sovkhozes and state on the whole. Thus the agrarian policies of the
CPSU are aimed at further developing and strengthening the linlcs between public
production and the private sector and establiahing effective forms for interaction
between them. In the process, it should be borne in mind that tlie private sector
will retain for many more years its important role of supplying food gooda. The
imp~rtance of the private sector is mentioned in the USSR Constitution. It was
also stressed during the November (1g78) Plenum of the CC CPSU. "The potential of
the subaidiary farms of nlants and factories and also of the private plots of the
rural population is still being used to only a weak degree" emphasized L.I.
Brezhnev in a speecE~ delivered before the November (1978) Plenum of the CC CPSU,
"We have adopted decreea dealing with these mattera a~d yet they are atill being
carried out only slowly. More asaiatance muat be furnished to these farms in
acquiring milk and in supplying feed. A requirement also exists for creating a
- definite social climate in which the kolkhoz membera and sovkhoz workera would
feel that they are performing useful etate work by raising liveetock and poultry at
home."
The difference exiating between the public and private sectors assumes an expansi.on
and strengthening of mutually advantageoua relationshipa between them. In recent
years, new and effective forma have been developed for produ~tion-trade cooperation
and integration among all types of farma. In the fra~ernal socialist countries,
particularly in the VNR [Hungarian People's RepubllcJ, cooperative contacta between
the public and private sectors are being expanded on a contractual (multi-year)
basis.
Special interest is being diaplayed in their higheat forme, in which the long-term
contractual links embrace not only the sphere of production supply for the private
farms and the marketing of their products, but are also extended for production
purposes, thus defining a change in the technology for and the organization of lebox
on the private farma. Theae contacts, by bringing together in the reproduction
process the public and privaCe meana of production, are prcmoting an improvement in
the level of socialization of production and labor on the private plota.
In the VNR, the peasant farma, based upon contractual arrangemente between them and
SRhPK's [agricultural producers' cooperative], are being aupplied with young stock
for fattening, feed, bedding and veterinary servicea. The cooperative guarantees
a market for their producta, defines the production technology and the achedulea for
delivering the products and it promotes high quality and greater production volumes.
The SKhPK computea for the members the number of working days completed on the
private plots based upon the contracte. They are presented with preferential credit
for production purpoaea. Private plot comaitteea function wititin the cooperative~
for the purpose of coordinating all aolutiona for problems associated with the
activities of the pr:.vate plots. In many of the Hungarian cooperatives, a private
plot is managed as a separate, specialized subunit (branch) of the public sector of
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the cooperative. This subunit (which specislizes, for example, in swine raising
or vegetable production) has its own management snd its own agricultural machines,
transport vehic~eg and implements. The branch develops on a pla