SINO-SOVIET BLOC ECONOMIC ACTIVITIES IN UNDERDEVELOPED AREAS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP92B01090R000700010102-7
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 5
• Document Creation Date: December 16, 2016
• Document Release Date: August 10, 2005
• Sequence Number: 102
• Publication Date: January 4, 1960
• Content Type: REPORT

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SECRET
BIWEEKLY REPORT
SINO - SOVIET BLOC
ECONOMIC ACTIVITIES
IN UNDERDEVELOPED AREAS
EIC-WGR 1/102
4 January 1960
PREPARED BY THE WORKING GROUP
ON SINO-SOVIET BLOC ECONOMIC ACTIVITIES
IN UNDERDEVELOPED AREAS
25X1
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WARNING
THIS MATERIAL CONTAINS INFORMATION AFFECT-
ING THE NATIONAL DEFENSE OF THE UNITED STATES
WITHIN THE MEANING OF THE ESPIONAGE LAWS,
TITLE 18, U.S.C., SECTIONS 793 AND 794, THE TRANSMIS-
SION OR REVELATION OF WHICH IN ANY MANNER TO
AN UNAUTHORIZED PERSON IS PROHIBITED BY LAW.
These biweekly reports on "Sinn-Soviet Bloc Economic Ac-
tivities in Underdeveloped Areas" are prepared and issued
by a Working Group of the Economic Intelligence Commit-
tee, including representatives of the Departments of State,
the Army, the Navy, th Air Force, Commerce, and Agricul-
ture; the International Cooperation Administration; the
Office of the Secretary of Defense; and the Central Intelli-
gence Agency. Their purpose is to provide up-to-date fac-
tual information on significant developments in the eco-
nomic relations of Sino-Soviet Bloc countries with under-
developed countries of the Free World. The EIC-R-14 series
of reports, under the same title, provide periodic summaries
and analytical interpretations of these developments.
Printed and Disseminated by
Central Intelligence Agency
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Summary of Events
18 - 31 December 1959
Although the Soviet Bloc supplied more than one-half of the materiel
for Indonesia's rearmament program, Indonesia has been turning since
mid-1958 to Free World suppliers for most of its military equipment.
This shift can be accounted for by Indonesian unwillingness to rely ex-
clusively on Bloc arms suppliers, some disillusionment about the per-
formance of Bloc equipment, and an increasing responsiveness of the
West to Indonesia's requests.
American steel experts, who recently toured the Soviet-built steel
mill at Bhilai, India, have expressed to US officials the opinion that
the mill is an impressive engineering accomplishment worthy of any
US firm.
The USSR has contracted with the government of Syria to survey
possible sites for a major dam on the Euphrates River. The contract
also provides for designing the dam after the site has been selected.
Although the chief engineer of an Egyptian textile firm has indi-
cated that Soviet textile equipment being installed at a spinning mill
in Damietta was not what was ordered, that its delivery was behind
schedule, and that unusual difficulties were encountered during in-
stallation, most Egyptian textile manufacturers are generally satis-
fied with the price and performance of Soviet textile equipment.
On 22 December, Finfiand and the USSR signed two important eco-
nomic agreements, one of which establishes a. Soviet line of credit
to Finland of $125 million and the other -- a trade protocol -- calls
for a total trade between the two countries in 1960 of $250 million.
The government of Greece has announced that an agreement has
been reached with Poland under which Poland will supply equipment
valued at $3. 8 million for a sugar refinery in Greece.
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CONTENTS
1. General (Bloc Military Aid Program in Indonesia) . . . . 1
II. South Asia (Indian Bhilai Steel Plant) . . . . . . . . . 3
III. Middle East and Africa . . . . . . . . . . ? ? . . ? 3
A. Soviet Move Toward Implementation of the Syrian
High Dam Project . . . . . . . . . . . . . . ` ` 3
B. Egyptian Comments on Soviet Textile Equipment . . . `l
IV. Europe .
A. Two New Finnish-Soviet Agreements . . . . . . . . 5
B. Polish Equipment for a Sugar Refinery in Greece . . 6
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