Created: 4/9/1981

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Poet military activity in and around Poland apparently remains at the tone level of recent daye. The domestic political situation remains calm. Polish media have praised Brezhnev 'e "foresighted" speech in Prague, and some Polish officials believe it means that the Kania regime has been given more time to deal with the country1 problems, meanwhile, the government has indicated that politically sensitive retail price increases may be implemented this summer.

arsaw announced on Monday tnat prices paid by tbe state for meat and milk will be Increased by more thanercent this month to stimulate food production. procurement price hikes--for grain, potatoes, and otherbeen scheduled since last fall and will take effect in July.

The Polish news agency said thatonsequence, retail food prices might increase after July. Thepromised last year to freeze meat prices until thist will now strive to convince the populace and the unionsecall price rise will be necessary to pay for the higher cost of obtaining agricultural production.

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