--- Notes

Comments on the Joint Directive of the CPC Central Committee and the State Council on Running Cooperatives Economically and Frugally (March 30, 1956)

After Liu, Zhou, and Peng Zhen[1] had reviewed it, it was returned to Deng Xiaoping[2] for implementation as directed.

Mao Zedong’s Spring Ploughing Directive of the State Council[3] (which has already been returned to Xi[4] for handling) appeared in the newspapers on April 1. This document[ ] should be held for a day or two and could be published on April 3 or 4.

Printed from the manuscript. Notes [ ] Liu refers to Liu Shaoqi. Zhou refers to Zhou Enlai. Peng Zhen was then an alternate member of the Secretariat of the CPC Central Committee.

[2] Deng Xiaoping was at that time Secretary-General of the CPC Central Committee and Vice Premier of the State Council.

[3] Refers to the State Council’s directive of March 27, 1956, on spring ploughing production, which was published in the People’s Daily on April 1, 1956.

[4] Xi refers to Xi Zhongxun, who was then Secretary-General of the State Council.

[ ] Refers to the Joint Directive of the CPC Central Committee and the State Council on Running Cooperatives Economically and Frugally. The directive pointed out that, with agricultural production cooperatives developing rapidly and the enthusiasm of the peasant masses running high, certain cooperatives had begun to exhibit extravagance and waste, as well as the misuse of labor. In response, it first required Party and government leadership organs at all levels to carry out extensive and in-depth publicity of the policy of running cooperatives economically and frugally, so that every cadre and all members of each agricultural production cooperative would truly understand and resolutely implement this policy. Productive infrastructure construction by agricultural production cooperatives must be based on actual production needs, prioritizing tasks according to their urgency and importance, and undertaken within the limits of the cooperative’s capacity, taking into account both the level of production development and its ability to invest in expanded reproduction. Cultural and welfare projects of the cooperatives may only be initiated gradually as production expands, and they should be conducted with maximum economy and simplicity, with expenses covered by the public welfare fund. Financial regulations must be strictly enforced: the cooperative’s financial plan and any expenditures outside the plan must be submitted to the general meeting of members or the congress of member representatives for discussion and approval, as stipulated in the cooperative’s articles of association. The disbursement of agricultural loans should be improved; the Agricultural Bank should, on the one hand, make good use of substantial loan funds to support agricultural production cooperatives and overall agricultural production, while, on the other hand, strengthening scrutiny over how these loans are used. Opening up new avenues of production, developing sideline activities, and engaging in diversified economic endeavors are among the important components of running cooperatives economically and frugally. This directive was published in the People’s Daily on April 4, 1956.