USSR 2nd CA

PC Lalhruaizela
History of USSR
2nd CA: Write short notes on the Scissors Crisis and Prodrazverstka.
The policy of Prodrazverstka, or food requisitioning, was implemented
during the period of War Communism (1918–1921) to address critical food
shortages in urban areas. This measure mandated that peasant farmers provide
fixed quotas of grain to the state, effectively commandeering their agricultural
surplus. Enacted initially as a temporary measure, it became a central feature of
Lenin’s economic strategy to sustain urban workers and soldiers, particularly as
industrial production collapsed and imports dwindled due to the civil war and
international isolation.
Alec Nove highlighted how Lenin’s approach aimed to frame Prodrazverstka
within the broader class struggle, encouraging poor peasants to assist in seizing
grain from wealthier "kulak" peasants. The reason was to secure food supplies by
shifting resources from rural to urban sectors, thus ensuring loyalty from workers
essential to the revolution. However, this approach clashed directly with the
realities of peasant life. Faced with forced requisitions, many peasants concealed
their harvests, reduced the amount of land under cultivation, or participated in the
thriving black market. By 1920, black-market trade had overtaken legal food
channels, constituting up to 90% of the available food supply in cities like
Petrograd, underscoring the inability of the state to enforce total economic control.
The policy’s coercive nature provoked widespread resentment and, in some areas,
outright resistance. Many rural communities harbored deep mistrust towards state
agents, viewing them as exploitative outsiders, and uprisings, including the notable
Tambov Rebellion (1920-21) which signaled the extent of peasant opposition.
Despite the use of the Red Army and the Cheka (secret police) to enforce
compliance, the strain on peasant communities contributed to a severe agricultural
decline, leading to reduced sowing and shrinking yields year over year. The
eventual failure of Prodrazverstka influenced the shift towards the New Economic
Policy (NEP) in 1921, which eased requisitioning in favor of a tax-in-kind system
that allowed peasants to retain surplus after tax. However, the deep scars left by
Prodrazverstka lingered, as peasants remained cautious about state promises.
Scissor Crisis:
Following their effort to rebuild the economy the Bolshevik returned to the
principles of capitalism. However, it did not go as they envisioned. There were
many upsets, one of the major upsets was the Scissor Crisis – a name given by
Trotsky. The Scissors Crisis in the early 1920s represented a significant economic
challenge for the Soviet government. Named for the widening gap on a supply-
demand graph resembling open scissors, the crisis marked a significant disparity:
by 1923, industrial goods had reached 276% of their 1913 price levels, whereas
agricultural goods stagnated at 89%.
The issue stemmed from an uneven recovery under NEP. While agriculture
quickly rebounded, industrial output lagged due to high production costs and
inefficiencies within state-controlled sectors. This price gap disincentivized
peasants from trading grain for over-priced manufactured goods, leading to
hoarding and creating further urban food shortages. The Soviet government,
dependent on rural compliance to feed its urban population and stabilize the
economy, faced a direct challenge as peasants became increasingly reluctant to
engage with a market system, they deemed exploitative
Alec Nove noted, to resolve the crisis, the government sought measures to
reduce industrial prices, including pressuring state enterprises to lower costs and
adjusting wages and quotas. Although some adjustments were made, the root
causes remained unresolved due to inefficiencies and outdated technologies within
the industrial sector. Additionally, the crisis revealed a lack of alignment within the
Bolshevik leadership on market dynamics, as some advocated more forceful
intervention while others pushed for market incentives to encourage peasant
participation. The Scissors Crisis signaled a deeper contradiction within the NEP:
while its semi-market approach permitted limited capitalist practices, the state’s
heavy involvement in industrial production hindered price flexibility.

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PC Lalhruaizela

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