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Mr. Penny. You mention that the farmer organization is evident 

 in every region of the country. 



Mr. Evans. Yes. 



Mr. Penny. Is that an organization that represents only the 

 emerging private sector farmers or is that a long-estabhshed orga- 

 nization for the farm constituency? 



Mr. Evans. No, my reference really was to Russia and to an or- 

 ganization called AKKOR. It is a national farmers' organization 

 that sprung up just spontaneously over the last several years. It 

 has roughly 200,000 members, maybe that is a bit high, but that — 

 essentially all of the private farmers in the Soviet Union are mem- 

 bers of AKKOR. 



Now, you know farmers and I know farmers and they don't al- 

 ways agree and it is not the smoothest running organization in the 

 world, but the network exists and there would be no disagreement 

 on the matter of distributing documents to the private farmers. 



Mr. Penny. In your testimony you also mentioned that aside 

 from these farmers that are setting out on their own in somewhat 

 the American model or the small — at least the original American 

 model, a small-scale diversified farm operation, that there is some 

 degree of — pardon me if I don't phrase this correctly — some degree 

 of individualization or privatization that is going on even on the 

 corporate — or even at the corporate farm, the collective farms? 



Mr. Evans. Yes, and I think this is of great interest and should 

 be given a lot of attention. Here and there there will be an occa- 

 sional mass conversion, if you will, of a whole operation. I will give 

 you what I think is one of the best examples, if I may take a 

 minute to do this. 



Mr. Penny. Please do. 



Mr. Evans. Something more than a year ago, we had a seminar 

 in Yalta for people from all over the Soviet Union who were inter- 

 ested in this sort of thing. There was attending that meeting a 

 state farm director chairman who was looking for new ideas on 

 what he ought to do to make these adjustments. He listened, he 

 went home to Moldova and he has come up with the neatest exam- 

 ple of an indigenous model farm that I have seen. 



The property was distributed to each and every member. Their 

 income was dependent on what that plot produced or what rentals 

 came from that plot if it was rented. The central facilities and the 

 tractors were put in a cooperative that was managed for the benefit 

 of all of these individuals. He went to the most successful bank in 

 the country in Moldova, said I want a branch bank on this farm. 

 The bank came. The bank does all the bookkeeping. There is an ac- 

 count for every one of these farmers. 



When the income from the sales are in, it is deposited in their 

 accounts. It is a terrific example. He had 600 people last year. The 

 income of those people was 1 Vi to 2 times the income that had pre- 

 viously gone to an individual. This year he thinks he will have 900 

 people. That is the kind of a model farm that I think we need to 

 really push and make sure that it has the support to succeed. 



Mr. Penny. It really takes a cooperative model a couple steps 

 further than we have ever gone in this country in terms of actually 

 sharing the equipment and the rest. 



Mr. Evans. Exactly. 



