Commodity Inventories, Planned

Commodity Inventories, Planned

 

the part of commodity resources in a socialist economy that enters circulation in a centralized, planned fashion through organized marketing. Planned commodity inventories can be sold to consumers, further processed, stockpiled, or exported. However, the largest part of the inventories ultimately reaches consumers through state and cooperative trade outlets. Planned commodity inventories form the material base for commodity turnover at the retail level.

Planners make a distinction between inventories formed from state-owned resources and those created from local resources. For a number of food products (animal products, potatoes, vegetables, fruits), the size of the commodity inventories is determined locally, that is, at the republic or oblast level. Only food products that are imported, set aside for all-Union stockpiles, or intended for trade between the Union republics are governed by central planning. Other important consumer goods are included in centralized plans and are allocated by category and by area. In this manner, the planned movement of commodities is ensured.

Commodities intended for retail sale are distributed by the Ministry of Trade of the USSR, by the trade ministries of the Union republics and autonomous republics, and by local organs. The range of products in the inventories depends on the orders placed by trade organizations and other consumers and on the terms of existing contracts. The continuing development of consumer goods production leads to a steady growth of inventories and of the main part of the inventories—the goods intended for retail sale. Inventories of food products available for sale in 1974 were greater than those in 1940 by a factor of 8.4; for nonfood products, the factor was 11.9.

B. I. GOGOL

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