Comment on Jia Tuofu’s[1] Draft Report on Industrial Conditions
(May 6, 1953)

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This document[3] has been reviewed and may be used. I have made only some stylistic revisions. Please send it immediately to Jia

[1] Jia Tuofu, then Vice Chairman of the Financial and Economic Committee of the Government Administration Council.
[2] Gao Gang, then Chairman of the State Planning Commission of the Central People’s Government.
[3] Refers to the draft report on industrial conditions prepared by Jia Tuofu for the Seventh National Congress of the All-China Federation of Trade Unions. The report mainly covered three issues: (1) The recovery of the national economy. By 1952, the output of most major industrial and agricultural products in our country had surpassed the highest historical annual output, successfully fulfilling the task of achieving a fundamental turn for the better in the nation’s financial and economic situation. The proportion of modern industry in the total output value of industry and agriculture had increased. Within modern industry, the share of state-owned industry had reached about sixty percent. The above circumstances indicate that our country now not only has the necessity but also the possibility to bring the national economy onto the track of state planning. (2) New construction tasks. Beginning in 1953, our country entered the construction of the First Five-Year Plan. The basic task of the First Five-Year Plan is to concentrate efforts on developing heavy industry, laying the foundation for the country’s industrialization, and ensuring a steady increase in the proportion of the socialist sector in the national economy. Under this overall objective, correspondingly develop light industry, actively develop agriculture and handicrafts, promote their cooperativization in a planned way, correctly bring into play the role of private industry, and raise the people’s material and cultural levels on the basis of developing production. (3) Several problems in the current management of state-owned factories and mines. To raise the level of industrial management, at present special attention should be paid to establishing and strengthening planned management, establishing and perfecting responsibility systems, vigorously advocating learning from the Soviet Union and spreading advanced experience, and gradually implementing a strict system of economic accounting.