Nikita

Changing Economic Priorities 2.3 1953-1991

  • Virgin Lands Scheme

    Wanted to introduce new farms in Northern Caucasus, Kazakhstan and Western Siberia. Investment in Agriculture as percentage of GDP grew from 3% in 1953 to 12.8% in 1964
  • Period: to

    From the death of Joseph Stalin to the dissolution of the Soviet Union by Mikhail Gorbachev

  • Investment in Agriculture 1953-64

    Khrushchev encouraged collective farms in 1954 by offering farmer higher prices for their produce, reduces the quota and increases the prices on everything that was produced in addition to the quota. In 1955 there was a 30% increase in tractors, fertilisers produced 40% increase.
  • The Corn Campaign

    Its aim was to increase production of maize in traditional farms like in Ukraine, and transform wheat production into Virgin Lands, to increase the production of meat as maize is used to feed animals. It was based on the US, so when comparing the USSR could only produce 50% of the corn per hectare, and lower labour productivity, inferiority of tractors and fertilisers meant that the the corn produced would cancel out the hay that would usually be produced so animals in conclusion were fed less
  • Improvement of soviet agriculture form 1954-58

    Was due to the early impact of the Virgin Land Schemes, Grain harvests, meat and milk production rose significantly
    agricultural production rose by 35.3%
    Led to greater availability of food in shops+better living standards
    Led to 400% increase in farm workers’ income
  • Industrial modernisation 1953-64

    Light Industry, production of more high-tech and consumer goods. SEVEN-YEAR PLAN introduced in Jan 1959, the boosting of agricultural production + production of consumer goods by investing in light industry. Economic reorganisation reforms were counter productive. check ---> Feb 1957 sovnarkhoz
  • Problems in agriculture 1954-1964

    Virgin Land Schemes were too expensive- land in Kazakhstan was dry and inadequate for farming which wasted a lot of resources to try and produce goods. Soviet Labour in comaparison to the US was wasteful as less % of population of US worked on Farms & produced more.
    - Khrushchev cut investment into agriculture from 13% in 1958 to 2% in 60s.
    - Machinery was unavailable and fertilisers were delivered late or wrong ones.
    - Inappropriate maize farming, due to conditions,thus waste of everything