[2.4. The importation of yarn to Russia by the
Agro-Joint in 1929]
[1929: Importation of 20 tons
of yarn for Jewish small businesses]
One of the more interesting ventures in this connection, one
with as wry aspect to it, was the importation of yarn. Yarn -
cotton yarn mainly - was in very short supply, and this fact
caused great suffering to the large number of Jewish artisans
who were engaged in knitting and other allied occupations. It
was simply impossible to obtain Russian yarn. Rosen together
with ORT, the vocational training organization partly
subsidized by JDC, imported 20 tons of yarn in 1929.
The 69 cooperatives that bought the yarn had to pay high
government prices for it. As a result, each of the two
organizations reluctantly had to make 83,000 rubles' profit on
the transaction, quite apart from providing 3,000 Jewish
kustars with raw
material. This venture was repeated in 1930. In 1930 and 1931
Agro-Joint realized a profit of 309,000 and 325,000 rubles
respectively on these imports; they invested part of the money
in loans and advances to the societies and used the other part
of the profit to cover administrative expenses.
[1929: Five-year plan: Rosen
is skeptical]
In 1929, with the start of the five-year plan, the whole
situation changed. At first Rosen did not believe that the
government would succeed in its program of investment. He
talked of "a tremendously overstrained investment in
development of industries", and said that "the government is
doing it on a much larger scale than actual conditions
permit."
(End note 23: AJ 2, 2/13/30 [13th February 1930], p.3)
[Nov 1931: Five-year plan:
Rosen foresees delayed plan - Rosen plans help for Jewish
artisans]
In November 1931 Rosen actually believed that Soviet economic
development would be at least temporarily retarded. "With
industrial development retarded", he said, "a great many of
the working people will have to get out and the Jews will be
the first to go, as they were the last to join the ranks." He
added, "Naturally they will have to return to the farm for a
while."
(End note 24: AJ 2, 11/12/31 [11th February 1931] (press
conference)]
He and his associates believed in the continued necessity to
provide for the Jewish artisan and to expand his
possibilities. Even (p.78)
if the industrialization drive succeeded in part, the artisan
would still be needed, and any industrialization plan to
parallel the government effort would have to organize
small-scale production. This did not mean that some Jewish
artisans should not be retrained and absorbed into government
industries. Such training would certainly be desirable, but
the mass of Jewish artisans would have to be helped to
establish themselves in their present occupation.
It is of interest to note that some Soviet officials
apparently encouraged Rosen in this view.
[13th Nov 1929: Rosen
suggests industrialization project for Jewish artisans - no
yarn import any more - plan for a yarn production with
spinneries in Russia itself]
On November 13, 1929, he suggested an industrialization
project that was to establish the Jewish artisan in Russia on
a solid, self-supporting basis, whatever the outcome of the
five-year plan. The two major aims of the program were:
1. Placement of several thousand young Jewish workingmen in
government factories in cooperation with the Supreme Economic
Council, along the lines of their five-year plan.
2. Provision of bases for the production of raw materials for
Jewish artisans - members of the Jewish Cooperative Credit
societies - independent of imports and independent of
government supplies.
As to point 2, which was the major issue, three trades were
"Jewish" at that time: knitting, weaving, and woodworking. The
idea of repeating the yarn import attempt was abandoned.
Dollars would have to be spent on the import of raw materials
and then changed into rubles, which could not be reconverted
into dollars to provide a revolving fund.It was suggested
therefore that three factories for the production of raw
materials be established:
-- an artificial silk yarn spinnery in Kiev, for which the raw
material (cellulose) was available;
-- a wool yarn spinnery at Simferopol,
-- and a cotton yarn spinnery at Kharkov.
Together these three factories would supply raw materials for
an estimated 10,500 artisans out of 260,000 Jewish artisans
then in Russia. The financing was to be done by JDC like the
financing for AMSOJEFS: by private subscription. The first
phase would have as its goal $ 1.5 million, spread over three
years, and the subscribers would be given government (p.79)
bonds bearing 5 % interest. Part of the money would still be
invested in imports, such as needles and some machinery, and
the ruble proceeds of these would finance the training of
skilled workmen and artisans.
(End note 25: AJ 58)
The plan created enthusiasm among many AMSOJEFS subscribers.
It was, after all, logical to supplement the agricultural
settlement by a parallel industrialization plan that would
help solve the Jewish problem - so they thought - by turning
the Jews into an equal and integrated part of the Soviet
society. Subscriptions were solicited, and Rosenwald again
agreed that any sum collected would be considered to be
three-eighths of the collection; he himself would supply the
other five-eighths.
