THE VALUE OF LAND ARMAMENTS EXPORTED TO THE MIDDLE EAST BY THE SOVIET BLOC 1 JU

Created: 9/25/1956

OCR scan of the original document, errors are possible

BLANK PAGE

top sfXket

CONTENTS

PaE

I. Introduction

II. Armament Contracts

of Land Armaments

Egypt

Syria

Afghanistan

.

Data on Exports of Land Armaments .

75 15

16

Appendixes

Appendix C. Source References

5

Tables

1. Value of Land Armaments Exported to Egypt and

Syria by the Soviet Bloc,6 . -

xports of Land Armaments to Egypt by6

Exports of Land Armaments to Syria by6

Prices of Land Armaments Exported to the Middle

East by the Soviet Bloc,6

ORR)

THK VALUE OF LAND ARMAMENTS

EXPORTED TO THE MIDDLE EAST BY THE SOVIET 06

Summary

* The estimates and conclusions contained in this report repreaent the beet judgment of ORR a*

** All figures referring to values or price* in this reportto two significant digit* .with the exception.of thosewerein

pound* sterling.

n thia report the pound sterling is converted to US dollar* at the-official rate of exchangeequals The dollsr figures are not to be interpreted as representing the true dollar value of the item* exported by the Bloc, because the official exchange rate does not necessarily reflect an accurate ratio of the purchasing power of the two currencies, particularly when dealing with the defense The values are expressed in dollars only to assist tho reader. Because of conversion, the dollar figures may not add to the totals.

By negotiating "armsr armament contract* with Egypt and Syria, the Soviet Bloc continued its campaign of economicin the underdeveloped areas of the Middle East5 The contracts provided for the export to Egypt and Syria of armament* from the Soviet Blocprimarily from the USSR and Czechoslovakiaotal value of. The countries with which contracts forwere signed during the06 and the value of such contracts were a* follows: Egypt, nd0 million). Actual delivery of all the armament* sold under these contract* may not beuntil

Land armaments* accountedinimum of1 million) distributed as follows:illion^ and Syria,8 million). These values are considered minimal because the quantities and prices of certain items known to be included in the armament contracts are not available. The total value of the land armaments sold to Egypt and Syria is probably as high0 million).

The few instances in which it is possible to compare the prices of specific items with the estimated costs of production of the same items indicate that the prices are fair and are rather closelyto the costs of production.

In addition to armaments, large quantities of petroleum prod-

ucts also were exported to Egypt and to Syria by the Soviet Bloc.

Moreover, experts and technicians were sent by the Bloc to the Middle East to assemble the weapons and to train Egyptians and Syrians in their use and maintenance, while Egyptians: and Syrians were sent to Bloc countrieslfor training in the use of the weapons and other equipment.

The Soviet Bloc may send upillion worth of landto Afghanistan and lesser quantities to Yemen.

TOf^SbCRET

X

I. Introduction.

This report reviews the exports* of land armaments to thefrom the Soviet Bloc during the5 touneBloc countries supplying such exports are primarily theand Poland. The value of land armamentsthe "arms deals" or armament^ contracts, is derived from the quan-and prices of armaments

On thisinimum figure ol &Z9l millionj was obtained. ^_

The export of land armaments by the Soviet Bloc is of considerable valueeans of economic penetration. The recent equipping of the Soviet Army with new models of land armaments resultedizable stockpile of obsolescent weapons. It is therefore very much to the advantage of the Bloc toarket for these older weapons. In addition, the trade in arms with the Middle Eastew market for the output of munitions factories in the Bloc, particularly in the European Satellites, thus providing an economical means of maintaining the productive capacity of these factories.

II. Armament Contracts.

* The term exports as used in this report refers to those items for which contracts have been negotiated and does not infer that all-deliveries have been made.

For an explanation of the maximum figure, 0ee -methodology. Appendix A.

The Soviet Bloc exported considerable quantities of armaments to the Middle East during the second half5 and tlie first half This unprecedented action was accomplished primarily through the conclusion of armament contracts with Egypt and Syria. These contracts called for the export of armaments, principally from the USSR and Czechoslovakia,otal valuemlUon^^Tiia figure, which includes ;

the total value of land armaments, naval equipment, air equipment, and other related costs, is distributed by country as follows: illionLand Syria, 0 million).

Of the total for both countries, land armaments alone accountedinimum1 million). This figure is thevalue of the land armaments for which contracts were signed. These values sre considered minimal because the quantities and prices of certain items known to be included in the armamentare not available. The total value of the land armaments sold to Egypt and Syria is probably as high

The delivery of the armaments has not been completed andwill continue until Tablereakdown of the value of the various types of land armaments being exported to Egypt and Syria.by the Soviet Bloc.

The armaments being exported to Egypt and Syria by the Soviet Bloc include substantial amounts of air and naval equipment as well as land armsments.

* ollows on p.* For methodology, see Appendix A.

Large quantities of petroleum products alao sre being exported to Egypt and to Syria by the Soviet Bloc. Under the terms of the contracts, experts and technicians have been sent by the Bloc to the Middle East in order to assemble the equipment and to teach courses in the use and maintenance of the waapons, and Egyptian and Syrian service personnel have been sent to Bloc countries for training in tho use of the equipment and weapons. Although it was not possible to estimate all of the above costs, estimates of the values of the air and naval equipment exported by the Bloc have been made. The value of the air equipment is estimated at rf the total value of the

Value of Land Armaments Exported to Egypt and Syria by the Soviet Bloc a/

56

fighting vehicles Artillery Special weapons tTJ Small armsbombs,nd grenades

otor transport vehicles ft] Miscellaneous ordnance *H equipment

Total

armament contracts, and tho value of the naval equipment8rercent* of the total. The addition of the value of the land armamentshich account1rercentbrings the total value of known armament sales0rercent of the total value of the armament contracts. 8rercent of the total value, probably include the value of the petroleum products, training and instruction costs, and the value of land armaments which could not be estimated by the methods used in this report.

In addition to its armament treaties with Egypt and Syria, the Soviet Bloc conducted negotiations for the sale of land armaments to Afghanistan and to Yemen. The Bloc concluded armamentwith Afghanistan in the second half Yemen contacted representatives of the USSR in an effort to procure armaments. but reports that contracts were concluded have not been confirmed.

The technique employed by the Soviet Bloc in its armamentwith the Middle Eastern countries appears to follow aof the USSR contacted officials of thein securing armaments and conducted the preliminary Czechoslovakia, representing the Bloc in the final(most of which were held incted as the officialof the armaments under the contracts.

USSR would remain the senior partner in these con-races, exercising the right to make final decisions ss to the rejection or acceptance of orders placed for armaments.and the prices at which the armaments were to be sold.

Poland apparently also was involved in the armament contracts. Actually, Poland was responsible for exporting onlyetric tons of armor plate and some barbed wire to Egypt.

that Soviet-produced military vehicles unuer j'olish contracts. Poland, like Czecho-

Slovakia, probably has servedront for the USSR in thesecontracts. Poland now apparently is competing with Czechoslovakia

For methodology, see Appendix A.

for the sale of Ammunition to Syria,and has offered military,trucks of Polish manufacture for sale toontract for the export of mortars from Poland to Syria also was being

it appears probable that

land will replace Csechoslovakia as the exporter of the remainder of the armaments to be sold to Syria by the Soviet Bloc. 2/

Although the deliveries of armaments to Egypt by theare not completed, the negotiations for their sale wenroternunated in |

ontract was Signed This contract probably was the third and final one in the series. No further evidence is available to indicate that negotiations involving the export of arms to Egypt by the Bloc are still in process.

Exports of Land Armaments.

The exports of land armaments from the Soviet Blocas shown in Table* are estimated2 million). This figure is consideredEgypt has received items on which thereackconcerning type, price, or quantity. Forrequirements for military vehicles were stated,utaccount for only

* For serially numbered source references, see Appendix C.ollows onn p.

ilitaryf. arnwzedfighting vehicles are. included). Tho Bloc also has exported to Egypt unknownof such items as heavy antiaircraftm antiaircraft machine gun a. and antipersonnel mines. Egypt also has received targe amounts of miscellaneous ordnance equipment which could not be priced. This equipment included radar, radios, pontoon bridges, searchlights, and mine-clearing

Table 2

Exports of Land Armaments to Egypt by the Soviet Bloc6

* Footnotes toollow on

Value

Item

W

US $.

fighting vehicles

heavy tank

4/

600

edium tank

5/

100

oelf-propelled

6/

re cove re r

personnel

8/

d/ gun-howitzer

spares and ammuni-

9/

gun (with spares

ammunition)

10/

howitzer (with

and ammunition)

11/

antiaircraft gun

- mm antitank gun

12/

antiaircraft gun

13/

Table 2

Value y

W Thousand Thousand US $

Special weapons

ocket

RPG-2 73

Small arms

m .

m

Mines and bombs

Antipersonnel

Antitank

Exports of Land Armaments to Egypt by the Soviet Bloc6 (Continued)

Table 2

Exports of Land Armaments to Egypt by the Soviet Bloc6 (Continued)

Value */

;Thousand US $.

mmmmaliberm

rds*/

ds

ds

ds

Motor transport vehicles

SB-IB]ll

Total

Grand total

.

300

price" information in Tableelow.Because of rounding,not add to totals shown. Totals are minimal.

(unless otherwise specified).

sterling. equals.

- 10

Other significant items for which no values have beenare the ammunition and spare parts required annuallyuse and proper maintenance of the land armaments*the Soviet Bloc. In some instancesfor example, thegunmmunition and spare parts were known to bethe price of thehe ammunition involved incited wasounds with each gun, and it can bethe spare parts were concurrent spares. The spare partsannually for maintenance and any ammunition forthus left unaccounted for in the estimated value of landindicate that the Sovietis proviaing ammunition tor the British-made The value of this ammunition is unknown.

B. To Syria.

The exports of land armaments to Syria are estimated at approximately6million). Tableshows aof these armaments. As in the case of Egypt, this figure for the land armaments exported to Syria by the Soviet Bloc is considered minimal. Large quantities of miscellaneous ordnance andequipment were purchased from the Bloc, but the value of this equipment could not be estimated. For example, Syria ordered such military vehicles asll andMS frombut the number of such vehicles could not be determined. It was also impossible to determine the number of medical vehicles for surgical, dental,ay purposes. Among the ordnance equipment for which no estimate was possible are wirelessfor all types of units, radar, mine detectors, motorcycles, and field glasses. The substantial quantities of quartermasterfor which prices are not availableards of material forairs of boots,ndanker

* ollows on p.* The spare parts included replacement partsears. (Text continued on

-

Syria, like Egypt, probably imported more ammunition and spare parts for the weapons than are accounted for in Table*

Si

y, Thousand [Thousand US $!

fighting vehicles

edium tank (with

spares and0 self-propelled

gun (with spares and

m self-propelled

gun (German)ersonnel carrier

/

/

470

Artillery

gun (with spares

andowitzer (with

spares and ammunition) 38

m antiaircraft

m antiaircraft gun 48

730

Small arms

submachine gun (with spares)

41/

Footnotes forollow

-

TOP SECRET

Table 3

Exports of Land Armaments to Syria by the Soviet Bloc6 (Continued)

Value'8./

{Thousand US $. -

and grenades

rockets Hand grenades

Total

Ammunition

160

440

450

self-propelled

gunmmmmank

mmmmm small armsmm small arms

Total

Motor transport vehicles

ambulance)

T-lll

V-3MS

Total

46/

.

.

N.A.2

N.A. 42

.

34

.

.

95

Table 3

Exports of Land Armaments to Syria by the Soviet Bloc6 (Continued)

Value

(Thousand^ThousandUS$'

price information in Tableelow. Because of rounding, figuresnot add to totals shown. Totals are minimal.

(unless otherwise Pounds sterling.equals

figure is the value of the tank plus spare parts, ammunition,workshops, which were included in the contract.

tons.

-

These additional imports are indicated by the substantial quantity of spare parts and ammunition included for4 mediumnits ofnd for theighternits of fire,ounds

the Soviet Bloc may bearms of foreign manufacturemmmm guns) to

Afghanistan.

Various open sources indicate that the Soviet Bloc con-eluded two armament contracts with Afghanistan in the second half According to present estimates, the Bloc may export as muchillion worth of land armaments to Afghanistan. Negotiations for further contracts between the Bloc and Afghanistan are being continued. The armament contracts with the Bloc emphasize primarily land armaments but may also include aircraft. Among the land armaments to be exported by the Bloc are artillery,rifles, and ammunition. The information available Istoore detailed analysis of such exports. .

Yemen.

In the second half5 the USSR was contacted byof Yemen in an effort to buy armaments. en-agreement was reached whereby the USSR would exportYemen, using Czechoslovakiaront, no confirmation ofwasthe first half

nit of firenit of measure for the supply of ammunition. This measurepecified number of rounds-per weaponasupply of ammunition for one dayhich variee with the type,and individual rate of consumptioneapon.

-

6 indicated the possibility that negotiations werethe governments of Yemen andgreement with the USSR called for the export ofamounts of land armaments, including small arms,fighting vehicles, and Because thereconclusive evidenceontract was drawn up betweenBloc and Yemen, it was not considered advisable tothis report estimates of the value of the items listed in the

TV. Price Data on Exports of Land Armaments.

The known prices of land armaments exported to non-Blocby the Soviet Blocre listed in " >pply

particularly to Egypt and Syria. In some instancesfor example,4 modium tankhe price of the item sold to Egypt differs from the price of the same item sold to Syria.

It is difficult to assess most of the prices with respect to the costs of producing the items. It also ie difficult in many instances to determine tho country of originarticular item. The com-parisons which can be made indicate that the price quoted for the armamentsair price, rather closely related to the original cost of production. One of4 medium tanks received by Egypt, which can be identifiedhotographodelin the USSRs estimated to haveo produce'his tank'was'soldi to Egypt Similarly, anelf-propelled gun which leto haveoas sold to Syria

Prices were estimated in some instances when it was thought .that the information available was adequate to warrant such An explanation of these estimated prices follows.

The prices of theeavy tank andm gun-howitzer wero derived by applying to the known prices for similar items ratios which were based on weight comparisons. The price to Egypt of thoelf-propelled gun was derived by applying to tho known price paid by Syria for thisatio basedomparison of the prices paid by Egypt and by Syria for4 medium tank.

ollows on

-

Although3 rocket launcheroviet weapon usually mountedruck,3 rocket launcher purchased by Egypt was mountedzechoslovak air-cooled vehicle, probablyll. The price of3 rocket launcher used here was

based on the coet of thell truck becauseauncher itselfelatively inexpensive item to manufacture.

The prices of thernm, the submachine, gunnd thernm ammunition for these weapons were estimated prices

The price ofm gun ammunition a"

is considered exorbitant by comparison with

The prices for thendrucks are converted from ruble prices2 at the official rateubles to

Other estimated prices are based solely on US price

-

er ammunition prices quoted by the Soviet Bloc.

Prices of Land Armaments Exported to the Middle East by the Soviet Bloc

6

Item

Country of Origin

i

ghf-

US $

Comment

pi

Prices of Land Armaments Exported to the Middle East by the Soviet Bloc

6 (Continued)

Price y

of Origin

$

arms

rifle, ^ ubmachine gun 5 submachinegun (with spares)

Mines, bombs, rockets, and grenades Pi

H Napalm bombs

Aircraft rockets Antitank mines Hand grenades

USSR Czechoslovakia

Czechoslovakia Czechoslovakia Czechoslovakia Czechoslovakia

c/

/

//

6 35

0

Egypt To,eirut

To Egypt To Syria To Egypt To Syria

m

m 9

mm

m high-explosive

m armor-piercing

m high-explosive 7

m armor-piercing 6

m

m aircraft / 0

aliber (per thousand

m (per thousand

and Syria and Syria and Syria and Syria and Syria and Syria

To Syria To Syria To Syria To Egypt To Egypt To Egypt To Egypt To Egypt To Egypt To Egypt To Egypt

To Egypt and Syria

Prices of Land Armaments Exported to the Middle East by the Soviet Bloc

6 (Continued)

Price

n

of Origin

$

transport vehicles

V-3MS (withll (with spares) O ambulance) y

^ Miscellaneous ordnance equipment

Pi

ho Slovakia Czechoslovakia

USSR

USSR

/

To Syria To Syria To Syria To Egypt To Egypt

and electronic units for anti-

aircraft guns Water purificationon crane Telephone distributor Gun sights

ank tracks (per ton)

C zezechoslovakia Czechoslovakia Czechoslovakia Czechoslovakia Czechoslovakia

To Syria To Syria To Syria To Syria To Syria To Syria

the methodology used in the conversion of the prices to dollars,

sterling.equals.

price.

insurance, and

Appendix A.

TOP

APPENDIX A

METHODOLOGY

1. Total Value of Armament Contracts.

As used in this report, the total value of the armament contracts is the sum of the Egyptian and the Syrian contracts which" weregotiated by the Soviet Bloc in the second half5 and thealf The over-all WuOs werV derived by totaling'the values of the pertinent contracts In some instances, interei

inls were included in the contract values, but it could not be established that interest payments were always included in the contract values given.

Figure for Value of Land Armaments.

The maximum figure for the value of the land armamentsto the Middle East by the Soviet Bloc was derived as follows: {a) byactor for annual maintenance (spareased on US experience, to the values of the military vehicles; (b) byactorasic mad of ammunition, based on estimates of the basic load used by the USSR, to the weapons sold to Egypt and Syria; and (c) by estimating the value of items known to be exported, but for which prices were not available.

Air and Naval Equipment ia Armament Contracts.

The value of the naval equipment in the armament contracts was obtained by estimating, for the various types of vesselstoalue representing US costs of replacement5 less depreciation.

The value of the air equipment was derived by applyingto thethe various types of planes included in the contracts. actor

-

TO^ECRET

for spare parts, including both concurrent spares and annualwas then applied to the total value of the planes.

4. Price Conversion to Dollars.

of the prices 4

the exports of lana armaments by tho Soviet Bloc toEast were given in pounds sterling. These pricesat the official rate of0 to the pound). which did not specify pounds sterling but onlywere assumed to be sterling and were also converted at the

-

identity of the country in the Soviet Bloc which

produced the individual military end item.

precise identification of the model of the par-

ticular weapon exported.

The exact quantities of the land armaments exported.

The significance of prices quoted for military end

items, including the spare parts factor and delivery charges which might be involved.

quantities and types of ammunition exported.

Almost no information is available on the deliveries by the Soviet Bloc to the Middle Eastern countries of the manyitems which are considered ordnance equipment. Detailed information also is needed as to the training of personnel to operate and to maintain the armaments and whether or not the costs of this training arc included in the contracts.

-

BLANK PAGE

TOph^RET | |

TOP SECRET | |

2.

. 5.

6.

. 9.

10.

11.

12.

USARMA Bern.4. Eval.

-

TOP^SfTRET

63.

66.

67.

bid

C1A- ORR, Procurement Costa of the Soviet Armored Fighting Vehicles Program (to be pub-

TOP SECRET

Deiense. Memorandum,eacetimeMaintenance Factors and Unit Prices forEquipment. C. Eval. RR

TOP SECRET

TOP SECRET

SECRET SS.

Original document.

Comment about this article, ask questions, or add new information about this topic: