Probability of continued Soviet mineral self-sufficiency

The USSR ranks as a major producer of virtually all energy and non-fuel minerals. Soviet minerals policy, a key component of national economic development, is based primarily on an unprecedented level of self-sufficiency. The author explains how recent changes in historical export-import patterns, decreasing ore grades, rising consumption, limitations imposed by the Soviet economic system, and depletion of easily accessible deposits could signify a future inability to sustain its supply independence. The apparent existence of vast, remote mineralized areas in Asia suggests self-sufficiency could remain an option available to Soviet leaders, but it would be even more expensive to maintain.     

The role of the CMEA's foreign trade monopolies in mineral markets

The business rationality of the CMEA mineral traders is bound by several characteristics of mineral production under central planning and by the mechanics of foreign trade monopoly. These characteristics include aspects such as: priority of national economic goals over trading strategies of the Foreign Trade Organisations (FTOs) in Eastern Europe; balance-of-payment problems; the organizational complexities and the weakness of the incentive mechanism, as well as the lack of an appropriate performance criterion. It is suggested that the 30 mineral trading FTOs in the CMEA tend to perform in a manner comparable to marketing departments of the Western mineral industries but are at a clear disadvantage when compared with ‘stand alone’ Western intermediaries making profits through risk taking and abhoring bureaucracy and rigidity in management.