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arnd" exper(-itures for each of the Laender for
the fiscal. Vear 1 April 1946 to, 31 March
1947:
IBavaria: revenue, RM 3,372 million; ex-
penditures, RM 3,388.6 Million; deficit, RM
16.6 million.
Hesse: revenue, RM  1,576 million; ex-
penditures, RM 1,597 million; deficit, RM
21 million.
Wuerttemberg-Baden: revenue, RM 1,500
million; expenditures, RM 1,500 million.
Bremen: revenue, RM 388.3 million; ex-
penditures, RM 367.4 million; balance, RM
20.9 million.
Industry Output To Rise
The peak levels in industrial production
attained during the fall of 1946 should be
'ecovered by late April or early May, ac-
cording to a statement issued by the
Economics Division, OMGUS. February
marked the low point of the cold-weather
industrial recession but the change in climatic
conditions heralded reopening of factories, a
rise in hydrogeneration, the opening of ice-
bound inland waterways and a break in the
transportation bottleneck. These measures,
buttressed by an increasingly favorable coal
position, point to a new period of industrial
development and expansion.
During February, the US Zone index of
industrial production declined to 29 percent
of the 1936 average as compared with 32
percent in January. The decline affected
almost all major industry groups. Brick and
cement production and vehicle output fell to
only seven percent of the 1936 base period.
The optics and precision instruments manu-
facture slumped to the lowest point since
August 1915. Output of gas and electricity
dropped sharply as streams remained frozen
and as some gas plants closed to conserve
critically low stocks of coal. Reductions of
10 to 20 percent took place in the production
of iron and steel, machinery, electrical equip-
ment, chemicals, and paper and pulp.
As in January, a few industries managed
to resist the general downtrend. With Deut-
sche Tafelglas at Weiden recovering rapidly
from its earlier shutdown, production of flat
glass doubled to 520,000 square meters, thus
approximating the 1936 monthly average.
The rubber products industry expanded
about one-fifth, to 26 percent of the 1936
base, as a result of the reopening of Con-
tinentale Gummiwerke at Korbach. This
plant had been idle since December 1946 and
resumed operations during the month with
the aid of a special allocation of coal. Total
production of textiles held at about even with
the low level reached in January. Over-all
output in the ceramics industry declined only
slightly.
More Tobacco Planned
Sufficient tobacco to provide each German
in the US Zone with slightly more than half
a kilo during the coming year is envisioned
in the plan of the Industry Branch, Eco-
nomics Division, OMGUS, for doubling the
tobacco production for 1947. Although this
per capita yield will be less than a third of
the 1936 average, this increased Zone pro-
duction for cigars, cigarettes, smoking and
chewing tobacco, and snuff is important for
its morale value and as a source of revenue.
The plan is estimated to produce during
the coming year 9,200 tons of raw tobacco,
expected to yield 6,360 tons of cured tobacco.
The total production from the 1946 crop
was 4,250 tons of raw tobacco, with an
estimated yield of 3,400 tons of cured to-
bacco. This doubling of production is ex-
pected to be accomplished through an in-
crease in the 1946 acreage of 4,800 to 5,400
this year.
The total per-capita consumption of to-
bacco in 1936 was 1.79 kilos, of with .49 kilo
was home-grown and 1.3 kilos imported. The
consumption based on the 1946 crop amount-
ed to .24 kilo of domestic tobacco, the only
type available through official channels. It
is anticipated that .52 kilo per head will be
available from domestic sources in 1947.
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