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Military government weekly information bulletin
Number 87 (April 1947)

Press and radio comments,   pp. 24-31 PDF (4.3 MB)

Page 27

Nz) new-loconioti'ves until 1949,
Somne "light industries" were also to be
Textiles to be 77 percent of 1936
Paper to be 65 percent of 1936
Boots and shoes to be 70 percent of 1936
Precision instruments and optics to be 70
percent of 1936
Miscellaneous chemnicals to be 70 percent
of 1936
Pharmaceuticals to be 80 percent of 1936
Dyestuffs (export) to be 58 percent of
The consequence to food supply.
We may first examine what has happened,
and what will happen, to the German food
supply under all the circumstances of an-
nexation and industrial controls.
Germany in 1936 was, by most intensive
cultivation, able to produce about 85 percent
of her food supply. This 85 percent has now
been reduced by 25 percent through the Rus-
sian and Polish annexations, or is down to
about 64 percent because even a larger popu-
lation is to be concentrated in the new Ger-
11er production however, was greatly
dependent upon intensive use of fertilizers.
The new   Germany will require at least
500,000 metric tons of nitrogen and 650,000
tonls of phosphoric anhydride, she having
sufficient potash.
Under the Level of Industry Agreement
the domestic production of nitrogen eventual-
ly would be reduced to under 200,000 tons;
the production of phosphoric anhydridde
would be reduced to about 200,000 tons. A
larger production of nitrogen is allowed
pending an opportunity to import; Part of
this reduction is due to the "Le'vel of In-
dustry" steel reduction from which some
nitrogen and a- large percentage of phos-
phoric anhydride requirements were obtain-
ed as by-products.
From these figures it is -obvious that a
great discrepancy exists between minimum
agricultural needs and the possible fertilizer
production under the: "Level of Industry"
plan. If we persist in these policies, unless
the're, are large iUports of fertilizer, Ger-
many's food production is likely to drop
under 60 percent of her requirements even
with-an austere diet.
New Germany, if there is to be a will to
work, to maintain order and to aspire to
peace, must have an average food supply of
at least 2,600 calories per person per day,
with adequate fats and protein content. (The
British average being 2,800-2,900 calories
at present and pre-war Germany about 3,000
Taking the above limitations into con-
sideration and based upon actual experience
in the American and British Zones, and ex-
tending that experience with adaptations lo
the Russian and French Zones, the indica-
tions are that new Germany would need, at
present prices, to import over 1,250,000,000
dollars annually in food and aninal feed.
At the end of the war Germany had a
very large nitrogen capacity. Despite losses
from war destruction, its potential produc-
tion was still about 700,000 tons per annum.
This capacity, if it had. been preserved,
would have supplied not only her own needs
but large exports to neighboring countries
as well. Fertilizers are now sorely needed
all over Europe for crop restoration. There-
fores through the fertilizer reduction Ger,
many not only loses in her own food pro-
duction but her export potential to pay for
food, and the crops elsewhere in Europe are
Consequences upon "heavy industry."
The effect -of the agreed "Level of In-
dustry" is stated in American official reports
that "the 'heavy industry' products for
which Germany was noted will virtuall'
disappear from her exports."
-I have exhaustively examined the product
tion and exports of Germany over some
years in' the light of this "ILevel of Industry"
and they amply    confirm  this statement.
What the result may be is indicated by the
fact that her exports during peace from now-
restricted "heavy industries" comprised be-
tween 60 percent and' 70 percent of the total
German exports   In 1936, for instance, a

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