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goods and services would also be fostered and the U.S.S.R. would 
gain cargoes for its rapidly expanding merchant fleet. The United 
States realized a shipping agreement would facilitate the export of 
surplus grain crops to a new market, and that these sales would 
contribute to the U.S. balance-of-payments position, as would the 
sale of the broader range of commodities that would be exported 
to the U.S.S.R. in the future. In addition, the use of U.S.-flag ships 
rather than third-flag vessels would reduce the outflow of U.S. dollars 
and the development of a new market would increase job opportunities 
in shipping and agriculture as well as in other sectors of the economy.” 
(Blackwell, p. 369.) 
7. How have investments, the fishing catch, and the size of the 
Soviet fishing fleet changed in recent years? 
“During the last 25 years, Soviet fishermen have been remarkably 
successful in adding to the country’s fisheries catch. Increasing at 
an average annual rate of about 18 percent, the 1974 total Soviet 
catch of fish, shellfish, marine mammals, and other aquatic animals 
and plants amounted to 9.6 million metric tons (11.1 billion pounds), 
or 450 percent more than the 1.8 million tons which were harvested 
in 1950. This large increase was made possible ‘by a spectacular 
buildup of the Soviet fishery fleet, which includes now over 850 
vessels supporting far-flung harvesting operations conducted by almost 
3,500 fishing vessels throughout the world’s oceans. . . 
A dramatic switch occurred in the mid-1950’s in the type of pro- 
grams financed by fishery investments. Until then about half of the 
total annual investment was spent on building the fleet; the other 
half was used to build “shore plants” (ports, cold-storage, processing 
plants, etc.). During the subsequent 10 years (1956-65), investments 
allocated for the buildup of the fishing fleet amounted to 78 percent 
of total fishery investments. These large sums were spent on the 
design and development of several new classes of fishing vessels, in- 
cluding the large and medium stern factory trawlers and, more 
recently, the catamaran fishing trawler. It was during these 10 years 
that the U.S.S.R. more than doubled the tonnage of her fishery fleet, 
entered most major distant-water fisheries, including the grounds off 
the United States, and became a major fishery power with worldwide 
interests. 
Since 1966, this one-sided investment policy has changed, 
somewhat, although 69 percent of all investments continued to be 
spent for fishing and fishery support vessels during the 1966-70 
period. It is expected that during the 1970’s the Soviets will switch 
their priorities once again and increase investment capital for programs 
aimed at perfecting the “‘shore facilities.”” Several new fishing ports 
were constructed in the early 1970’s, and modernization of cold- 
storage plants and automation of processing plants are becoming major 
investment objectives.” (Kravanja, pp. 391, 393.) 
8. What are the policies, problems, and prospects for Soviet offshore 
oil and gas development? What are comparable policies, problems, 
and prospects in exploitation of ocean mineral resources? 
‘For the past few years the Soviet Union has been attempting 
revive its long neglected offshore petroleum industry. In spite of ap- 
parently vast reserves, Soviet offshore production slumped to a 10- 
year low in 1974 and has been falling since 1970. Offshore natural 
