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How successful was the reform of industry and agriculture in the Soviet…
How successful was the reform of industry and agriculture in the Soviet Union in the years 1953-64.
The promotion of light industry, chemicals and consumer goods
System faced a number of issues
A vast bureaucratic system of administrators based in Moscow stifled initiative
System was clumsy and wasteful, difficult to deal with new trends and unforseen events
To deal with issues Khrushchev pushed ahead with a series of reforms
Stalin's harsh labour laws were removed
Sovnarkhozy was set up to supervise enterprise, an attempt to move decision-making from the centre to regional bases
Managers of industrial enterprises were given more influence in their factories
Greater emphasis on vocational education to support industrial development
The Seven-Year Plan (1959-65) (Discovery of new mineral resources encouraged the government to push ahead with transforming the fuel and chemical industries. This involved a shift of emphasis from coal to oil and gas. Natural gas was cheap and available in abundant qualities but little was used. Focus on the chemical industry was linked to the increase in targets for consumer goods. Production of synthetic fibres was to increase from 166,000 tons in 1958 to 666,000 tons by 1965.
Even if goals were not met consumer goodd were more abundant and this raised the living standards for many
Although there was more choice for consumers the quality of the goods was often poor
Annual growth rate of the Soviet economy in the 1950's was 7.1 percent. Seemed impressive compared to the US growth rate of 2.9 percent, but the Soviet economy still lagged behind because its economic base was smaller.
Investment in agriculture and the Virgin Lands Scheme
Khrushchev succeeded in raising the status of agriculture in the Soviet economy, it was back in the centre of economic planning
The incomes of farmers doubled between 1952 and 1958 but still remained far below those of industrial workers
Between 1953 and 1958, food production increased by 51%,
These achivements may seem impressive, but productivity remained low, with too many people engaged in farming.
In 1959 the target for grain production in Kazakhstan failed to be met. This was a sign that the Virgin Lands Scheme was failing. The land was dry and suitable for only grazing. Successful cash crops such as cotton, were replaced by food crops, but without irrigation the plants died.
Investment had been increased, but it was not enough to remedy years of underinvestment. Poor roads and inadequate storage facilities did not help many cope with the poor harvest of 1963.
The shortage from crop harvets had an impact on supplies of animals. Millions of livestock were slaughtered as a consequence. As the ultimate sign of failure, the USSR had to import grain from North America and Australia. THis failure was a significant contributory factor to Khrushchev's dismissal in 1964.