Agriculture
I have already dealt briefly in the chapter on Economics with the agricultural
problem, but it is so important, being the foundation on which everything rests,
that I propose to discuss it here in more detail. It is also of interest as showing the
way in which the National Socialist Government approaches an economic
problem. They begin by approaching it as a social problem, the well-being of the
agriculturist and his family and their recognition as a living and essential part of
the community being the first question to be considered. In no case do they
indulge in revolutionary economics. They have not only accepted the existing
economic structure in Germany, but they go further than that and search into the
past history to find a solid foundation on which to build. Germany has her big
land owners but she also has her peasant proprietors amounting to more than
500,000 families among whom the custom of inheritance from father to son is
very largely prevalent.
The Bauer, the Peasant Proprietor is the solid foundation, Hitler says, on
which to build a state, and he must be established and protected by law so as to
form a Peasant Aristocracy, proud of their position in the commonwealth and
recognition by the State. It is a class alas absent in this country except where a
county council has established small holdings. The English yeoman and peasant
farmer was destroyed by the robbery of the commons and the enclosure act.
In France, in Germany and in Austria, the farm house of the peasant is familiar in
the landscape, sometimes clustered in villages, in other places far apart. Under
one roof is the family house, and storage for hay, and room for all the pigs and
cattle during the hard continental winter, when everything must be gathered under
one roof. The peasant is an interesting feature of most continental countries. In
Italy he scorns to marry a townsman and it is among them that you find purity of
race and handsome men and beautiful girls. The castle on the mountain side has
long been a ruin. The peasant's home continues from one generation to
another.
In Spain the population of the cities have no national characteristics or race
features, and are poor undergrown specimens of humanity. I have never forgotten
seeing the peasants riding into Toledo in their picturesque costumes. These were
the men who had conquered Mexico and Peru and showed race in every
feature.
Hitler is right, therefore, when he builds the German State on the peasant, a race
which we destroyed in the 18th century to satisfy the greed of our land
owners.
While in Russia the Soviet have been striving to destroy the peasant and convert
him into a communal wage slave, a struggle in which millions have died of
starvation, Hitler has built his State on the peasant as its foundation.
The contrast between Communism and National Socialism could not be more
marked. The National Socialist builds on a long tried system of land ownership;
Communism sweeps it all away in the name of an untried economic theory.
Under the law establishing the peasant it has been made illegal to lend money on
the security of the house and land and they cannot be sold in payment of
debts.
Another interesting provision is that any destitute member of the family has the
right to claim the shelter of the ancestral home.
We shall never solve our agricultural difficulties in this country until the man
who tills the soil owns the soil or has it in perpetual lease direct from the
State.
Another important principle established in Germany is that the land yields its best
return to the intense cultivation of the small unit of land. The application of mass
production ideas to the land has already in the U.S.A. and in Australia converted
millions of acres into a desert. The small economic unit is the right principle for
cultivation but it is at a disadvantage in selling the product, and this is where the
second part of the organisation comes in.
On the 13th September, 1933, the German Government enacted as the basic law
for agriculture, the National Food Corporation Act which decided the provisional
constitution of this organisation. Thus the Corporation was lifted from the level
of a voluntary organisation to the position of a public body. The National Food
Corporation became a compulsory institution for the persons affected, and is
subject to official supervision. Therefore the National Food Corporation includes
not only the productive
group - that is agriculture itself - but also all those groups which are in any way
concerned with providing the German nation with food. They comprise the
groups engaged in the manufacture of various commodities out of these products
as well as those concerned with the distribution to the consumer. By reason of
this co-operation, the National Food Corporation forms a body consisting of
producers, manufacturers and distributors all of whom are of equal importance
within this organisation.
The following is a rough outline of the organisation of the National Food
Corporation.
At the head of the whole organisation of the National Food Corporation is the
National Peasants Führer R. Walther Darré with his deputy.
To assist him the Peasants Führer has an advisory body, the
Reichsbauernrat (National Peasants Council), membership of which is
purely honorary. Its members are nominated by the Peasants Führer.
In the Stabsamt (Planning Dept.) the Peasants Führer has created an
institution where the work is planned for many years ahead by several main
sections which deal with questions of trade and industry, law, comparative
agriculture, training in agricultural practice and theory, the introduction
of up-to-date working methods, peasant customs and racial matters.
In the Verwaltungsamt (Executive Department) the plans already decided
on by the Stabsamt are put into operation.
Section I of the Verwaltungsamt is concerned with the welfare of the
individual, be he the owner of an agricultural estate, that is to say peasant or
agriculturist, tenant farmer or agricultural labourer. All questions bearing on the
rural population are treated here.
Section II of the Verwaltungsamt deals with all questions of rural
economy, with the homestead, with the estate, in short with everything connected
with the peasant's calling. It comprises, besides the technical side, all matters
connected with soil, crops, and plant life, training, forestry, agricultural
implements and machinery as well as with domestic economy.
Section III of the Verwaltungsamt is responsible for the organisation of
the market, e.g. for questions of the distribution of supplies for the utilization or
processing of agricultural produce. The economic bodies concerned are grouped
in eighteen associations
which - under their own administration - have been assigned special duties to the
community but are under the direction of Section III. The following are the most
important organisations:
Hauptvereinigung der Deutschen Getreidewirtschaft.
(National Union of Corn [actually: Grain; Scriptorium]
Producers and Distributors).
Hauptvereinigung der Deutschen Viehwirtschaft.
(National Union of Live-stock Breeders and Dealers).
Hauptvereinigung der Deutschen Milchwirtschaft.
(National Union of Milk Producers and Distributors).
Hauptvereinigung der Deutschen Eierwirtschaft.
(National Union of Egg Producers and Distributors).
Hauptvereinigung der Deutschen Gartenbauwirtschaft.
(National Union of Market Gardeners).
Reichsverband Deutscher landwirtschaftlicher Genossenschaften.
(National Union of German Agricultural Co-operative Societies).
Hauptvereinigung der Deutschen Brauwirtschaft.
(National Union of the German Brewing Industry).
Wirtschaftliche Vereinigung der Deutschen
Süsswarenwirtschaft.
(Economical Union of Confectioneries).
Hauptvereinigung der Deutschen Fischwirtschaft.
(National Union of the Fishing Trade).
Wirtschaftliche Vereinigung der Margarine- und
Kunstspeisefettindustrie.
(Union of the Margarine and Artificial Fat Industry).
Hauptvereinigung der Deutschen Kartoffelwirtschaft.
(National Union of Potato Growers and Distributors).
In addition to the sections enumerated, the Verwaltungsamt has three more
sections. Two of these are concerned with financial matters and questions of
personnel while the section "Public Enlightenment" is responsible for the press,
broadcasting, the organisation of exhibitions, films, lectures, agricultural market
information, advertising, literature, publishing, archives, and libraries.
An Inspector-General has been appointed to superintend the setting into operation
of special schemes and to control the offices of
the Landes- und Kreisbauernschaften (Regional and District Peasant
Associations).
The National Food Corporation is subdivided into Landesbauernschaften
(Regional Peasant Associations) whose area generally coincides with that of the
various German Federal States or the Prussian provinces. The
Landesbauernführer (Regional Peasants Führer) and his
deputy are responsible for the work of the Regional Associations. The
organisation is similar to that of the Verwaltungsamt for the whole of the
Reich, though on a smaller scale. There are in all twenty Regional Associations
which are in turn subdivided
into Kreis- and Ortsbauernschaften (District and Local Peasant
Associations).
The Districts Association are, in the main, in close touch with the peasants and
land owners and supply them with such advice as cannot be supplied by the Local
Associations.
Each District Association is headed by a District Association Führer who
holds an honorary position.
The administration of the Local Associations is also an honorary function. The
Führer of the Local Association is in uninterrupted touch with each peasant
and thus holds a particularly responsible office.
Finally, it should be mentioned that the National Food Corporation also
supervises the peasants' schools, the agricultural schools and colleges, and the
stock breeding boards, so that it includes in its sphere of activity everything
connected with the task for which it is competent.
Marketing regulations
It has already been intimated that the National Socialist agrarian policy has
abandoned (in the case of particularly important food products) the capitalistic
maxim that the price is dependent on supply and demand. In this way not only the
distributors and manufacturers but also the producers of our food supplies are no
longer forced to go in for financial speculation. In this respect, the poorer classes
were at the greatest disadvantage; for, lacking the necessary capital to await
favourable times, they had to sell their goods prematurely in order to obtain ready
money. The peasant, as a rule, belonged to the class of speculators with limited
capital, for he can generally turn over his capital only once a year. The same
applied to
the middle-sized industries immediately connected with agricultural produce,
such as flour mills and breweries. As a result, many of the small
and middle-sized concerns were taken over by larger firms with considerable
capital, a development unfavourable to national economy. The harmful influence
of this speculation was counteracted by the marketing regulations laid down by
the National Socialist agrarian policy which introduced fixed prices, and fixed
prices means fair prices.
A fair price must fulfil the double condition of protecting both the producer and
the consumer. The peasant and the agriculturist must be protected against the
necessity of having to sell their products at cut prices if they are to sell them at
all; whereas the consumer's interests must be guarded against being robbed at
times when, owing to seasonal changes, production falls off. The fixed price
should be high enough to cover the cost of production and to guarantee the proper
continuance of agricultural work. On the other hand, it must be low enough to
exclude the possibility of the consumer's being robbed; the consumer, in fact,
should always be able to rely on stable prices which are in proportion to his
income. In this way the prices of bread, milk and butter, for example, have
remained stationary for years, though, from a speculative point of view, price
fluctuations would have been technically justified by the variation in the yield of
the annual crops etc. The fixing of the prices has, however, prevented this to the
benefit of both parties. With regard to the necessities of daily life, the prices have
also been fixed, generally speaking, for the dealers' trade as well as for the trader
utilizing or processing agricultural produce. In fixing the rate of the middleman's
margin it was not intended to kill this trade since it has long shown its value as a
machinery for private distribution. The idea was simply to remove any possibility
of financial speculation on the part of anyone concerned.
But the marketing regulations have other important functions apart from mere
price regulation. In the first place they regulate the functioning of the entire
system of manufacture and distribution. Furthermore, by means of the marketing
regulations a systematic organisation of the sale of agricultural products is
secured. This shall hereunder be demonstrated by an example taken from the
dairy business.
Before the agricultural marketing regulations were introduced, the milk market
was in a chaotic state. Obviously, everyone wished to share in supplying milk to
the big towns, because the best prices were to be obtained there. The milk
supplied to Berlin, for instance, did not all come from the surrounding districts,
but was in part sent hundreds of miles, even from the Allgäu, a district
situated in the extreme south of Germany. This is explained by the fact that the
Allgäu peasant received locally for his home made butter and cheese such
a poor return that he found it a better paying proposition to send his milk to
Berlin, in spite of the distance. Apart from the middleman's profit there was the
enormous cost of haulage over some 435 miles to be paid. Things went from bad
to worse, and no solution appeared possible. At the same time it was found
impossible to lower the retail price because the unproductive middleman's
charges prevented any reduction. When marketing regulations were introduced,
the dairy business throughout Germany was divided into certain milk supply
regions, an arrangement which has proved extremely beneficial to the entire dairy
trade.
Similar arrangements have been made for the supply of other commodities.
The marketing regulations also endeavour to improve the quality of all products
of German soil. The price of superior qualities cannot be demanded for inferior
qualities; the idea of improving the quality is therefore not penalized but
encouraged. For purposes of research in the direction of the improvement of
quality the National Food Corporation is provided with all manner of research
and teaching institutions. Hence marketing regulations imply not stagnation but
increased efficiency.
Where necessary, the marketing regulations also help to secure order and
discipline in the market. The problem of food supplies cannot be allowed to
depend on the arbitrary action of individuals to the extent of affecting the
common interest. The private individual's initiative is in no way restricted, but
competition must be kept within bounds, so as not to become harmful to the
national economy. In cases of harmful and unnecessary competition the National
Food Corporation can take decisive action by licensing only such a number of
businesses in any locality or districts as may be reasonably expected to make a
living.
It may be pointed out once more that marketing regulations are not identical with
"planned economy". Nobody intends to limit the area under the plough or to
enforce certain rules concerning cultivation. There is a fundamental difference
between marketing regulations and "planned economy".
To sum up, the following are the functions assigned to the marketing
regulations:
I. Protection of the producer.
Fair, fixed prices.
Assured sales.
II. Protection of the consumer.
Fair and stable prices for the consumer.
Fair supply even in case of scarcity.
Guaranty of quality.
Control of supplies.
III. Organised movement of goods, organised manufacture.
Compulsory Pools (Andienungspflicht).
Sensible distribution of goods.
Fixing of quotas.
Fixing of a fair margin of profit.
Principle of efficiency.
Establishing a New German
Peasantry
The term ländliche Siedlung (rural settlement) is more generally
used than Neubildung Deutschen Bauerntums (Establishing a New
German Peasantry); the latter, however, gives a clearer idea of the actual facts.
Miniature and suburban settlements will not be considered here, nor for that
matter cottage settlements which, from small beginnings, develop into peasant
holdings.
It is the aim of the National Food Corporation to create as many new peasants'
estates as possible, particularly in thinly populated districts. They must have the
size of at least one Ackernahrung (i.e. sustaining a man, his wife and two
children), thus guaranteeing a livelihood from the soil worked.
The success hitherto attained in establishing a new German peasantry is, strange
to say, hard to express in figures. Thus, not much is gained by stating that, in
1934, nearly 5,000 new estates were set up. Neither can a clear idea of the
development in this direction be gathered from the fact that 144,617 hectares
(approximately 357,000 acres) of land in all parts of Germany were provided for
purposes of internal colonisation in 1934. But in comparison with the fact that,
during the years 1919 to 1932, on the average only 67,184 hectares
(approximately 165,000 acres) per year were provided for the same purpose, it
will easily be seen that the establishment of new peasants' estates is proceeding
rapidly.
There are three ways for providing land for this purpose.
A certain acreage will be provided out of the large landed estates. It should,
however, be made clear that this does not mean any compulsory expropriation of
large properties, but that the owners will be compensated for the land acquired
for this purpose. Besides privately owned land, government property also will be
utilized for internal colonization, as far as technical conditions permit. The
Reichssiedlungsgesetz (Reich Act to make provision for Internal Colonization)
provides the possibility of obtaining from private and public estates in the manner
described an acreage of nearly 1.7 million hectares (approximately 4.2 million
acres) with a view to creating new agricultural land. It is, however, not yet
possible to say when the whole of this land will be available.
A second possibility of providing land for agricultural purposes is the cultivation
of waste land, bogs, fens and swamps. This method of obtaining arable soil is
particularly important since in this way useless land is turned into useful land. In
contrast to the cultivation of bogs we cannot base exaggerated hopes on the
cultivation of waste land, because there is only a limited quantity of the latter
available. It must also be borne in mind that certain stretches of waste land can
never be made productive owing to peculiarities of conditions such as climate,
altitude, nature of the soil, etc., which cannot very well be changed. The total area
in Germany utilisable from an agrarian point of view is about 30 million hectares
(approximately 73 million acres). It would be unlike the German peasant to have
allowed millions of hectares of waste land to lie idle beside his good fields. In the
case of bogs and swamps, the conditions, as already pointed out, are entirely
different. Here, in contrast to the case of waste land, the individual has generally
no possibility of undertaking by himself any successful and comprehensive
reclamation. Results can only be realised when a large part or the entire area of
the bog is tackled at the same time. For this reason it has been advisable to make
use of the Arbeitsdienst (Labour Service) for the cultivation of waste land.
We may estimate the area of bog and waste land capable of being cultivated at
about 2 million hectares (approximately 5 million acres). It is, of course,
impossible to achieve great results at short notice. Nevertheless, extensive
reclamation of bog and waste land, amounting to over 200,000 hectares
(approximately 500,000 acres) has already begun. This land is situated in all parts
of Germany. The most important reclamation would appear to be the Rhin and
Havel swamps near Berlin, the Sprotte fens in Silesia, the Ried marshes in Hesse,
the Chiemgau bog and the Danube marshes in Bavaria and the swamps on the left
bank of the river Ems in North West Germany. In the Labour Service young
Germans of all classes have an opportunity of becoming acquainted with and
acquiring respect for the work involved in the reclamation of the German bogs
and marshes.
Unfailing energy and tenacity have been and will be called for in order to make
use of this possibility of obtaining new land, namely by reclamation from the sea.
Extensive dykes are required. Since the German nation, the "People without
Space", needs new land, they will not shrink even from the most difficult tasks.
Within
a 50-year programme, the North Sea on the West coast
of Schleswig-Holstein alone is to yield up 100,000 hectares (approximately
250,000 acres) of new land. Good results have already been obtained. In 1935 the
Adolf Hitler polder, 1,334 hectares (approximately 3,300 acres) in area, and the
Hermann Göring polder, 550 hectares (approximately 1,300 acres) in area,
were inaugurated. In this way land for nearly one hundred peasant estates under
the new Act has been provided. A considerably greater number of
handcraftsmen's settlements have also been formed here.
The selection of new peasants depends on certain conditions. It goes without
saying that they must be of German descent. The peasant and his wife must be
valuable individuals from a racial point of view and come from healthy stock, so
that a guaranty is provided for healthy offspring. Families with many children are
given preference when new land is being distributed. It is also of primary
importance that the applicant should be able to prove that he himself as well as
his family are suited to the life. These new peasant estates must not be regarded
as a practising ground for all and anyone to try their hands at experimenting, nor
as an instructional institution for those who consider themselves fitted for
agricultural work. Technical qualifications are therefore required under all
circumstances. Only where these primary conditions are satisfied the financial
situation of the applicant is considered. For financing these undertakings definite
rules have been drawn up on lines which make it possible even for persons of
moderate means to take over one of those new estates.
The establishment of these new peasant estates is undertaken by estate companies
under the supervision of competent authorities, an arrangement which guarantees
close co-operation with the National Food Corporation. The new agricultural
estates are got ready up to a point from which it is possible to begin to work them
properly whereafter every peasant is free to make the best use possible of the
opportunity afforded him for improving his position according to his personal
energy and for endeavouring to do his best for his own welfare and that of his
descendants. Only by struggling to succeed will he become attached to the soil.
Not only younger sons of peasants are to be provided with a new estate, but
everyone capable of fulfilling the required conditions, particularly agricultural
labourers. Since these latter cannot, as a rule, compete with the others financially,
especially favourable conditions will apply in their case, and they will thus be
provided with the possibility of rising in the social scale.
Besides these fundamental matters a certain number of other points have to be
considered in connection with the planning of houses, schools, and with similar
questions. Their solution will, as a rule, be arrived at in practice. As a result of the
close co-operation between the competent authorities, the National Food
Corporation and the estate companies, the conditions laid down by the National
Food Corporation will always be carefully observed.
This great work of settlement and internal colonization going on in Germany
serves the end of national reconstruction. Where reconstruction is taking place,
peace must prevail. Hence Germany too needs peace for her work.
The Case for Germany
A Study of Modern Germany
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