Detailed estimates by projects of proposed program of assistance to Republic of Korea for fiscal year 1950

1 Unit cost stated as per metric ton except where otherwise noted.

? Computed as contained nitrogen.

3 Computed as ammonium nitrate.

Unit cost stated as per thousand board feet.

Unit cost stated for cement, of which the materials concerned will largely consist.
Average cost.

272,000

400,000

1,100,000

2,174,000

3,946,000

Detailed estimates by projects of proposed program of assistance to Republic of Korea for fiscal year 1950-Continued

Goods obtained on Army procurement with funds for fiscal year 1949 not to be shipped until after June . 1, 1949.

Food products.-The only food products included in the import program are vegetable oil and salt. The vegetable oil will be used in the production of soap and industrial oils. The estimated amount for import will utilize only 7 percent of existing plant capacity in this industry and is the barest minimum required. Salt imports are necessary since Korea has no natural mineral salt deposits and facilities for production by solar evaporation are limited. The salt will be used for food preservation. Provision for food imports under this program is highly selective and is restricted to items and amounts necessary to support a minimum standard of living.

Fertilizer and agricultural supplies.-Importation of $29,830,000 worth of commercial fertilizer is the minimum requirement for South Korea for fiscal year 1950 if domestic food requirements are to be met and a larger exportable surplus of rice developed. It is estimated that the 1950 crop will enable Korea to provide for its domestic needs and to export some 200,000 metric tons of rice. This contrasts with exports of 100,000 metric tons from the 1949 crop. The increased exports will contribute greatly toward improving Korea's balance of payments position. The total food and rice production of South Korea since 1946 and as projected through 1952 is indicated in a chart on page 34. Domestic manufacture of chemical fertilizer is not contemplated under the 1950 program since it depends upon prior developments in the production of coal and power. Essential foundations in coal and power production will be laid, however, so that domestic manufacture of fertilizer may be looked for in the future. The increase in recent years of insects and plant diseases in Korea, has resulted in serious damage to fruit, vegetable, and seed production. Fruits and vegetables are an important element in the Korean diet. Imports of approximately $600,000 worth of insecticides and fungicides are therefore scheduled so that the country's already low domestic dietary standard will not be further jeopardized. Petroleum and petroleum products.-Korea has no known petroleum reserves. Until such time as some are discovered, its total petroleum