C. They planned the permanent destruction of all industry in the northern area of the Soviet Union in order that the remnants of the Russian population would be completely dependent upon Germany for consumer goods.
D. They planned to incorporate a part of Galicia and all of the Baltic countries into Germany and to convert the Crimea, an area north of the Crimea, the Volga territory, and the district around Baku, into German colonies.
By a directive issued by Goering’s office for “The Operation of the Economy in the newly-occupied Eastern Territories,” there was established the Economic Executive Staff, East, which was directly responsible to Goering, under which was created the Economic Staff, East. The Economic Staff, East, in turn was subdivided into four groups: the Chief of the Economic Staff, Group LA, Group W, and Group M. The functions of Group LA were stated to be as follows:
“Group LA. (Functions: nutrition and agriculture, the economy of all agricultural products, provision of supplies for the Army, in cooperation with the Army groups concerned.)” (EC-472)
A report was made on 23 May 1941 (which was before the invasion of the Soviet Union) on the subject, “Economic Policy Directives for Economic Organization, East, Agricultural Group.” (EC-126). It was prepared by the Economic Staff, East, Group LA, the Agricultural Group, which (as shown by EC-472) was an important part of the organization which Goering had established to formulate plans for the economic administration of Russia. The report begins by a recitation of figures pertaining to the production of agricultural products in the Soviet Union. It states that the grain surplus of Russia is determined by the level of domestic consumption and that this fact affords the basis upon which the planners must predicate their actions and economic policy. The report continues:
“The surplus territories are situated in the black soil district (that is in the south and southeast) and in the Caucasus. The deficit areas are principally located in the forest zone of the north. Therefore, an isolation of the black soil areas must, in any case, place greater or lesser surpluses in these regions at our disposal. The consequences will be cessation of supplies to the entire forest zone, including the essential industrial centers of Moscow and St. Petersburg.”
* * * * * *
“This (the cessation of supplies) means:
“1. All industry in the deficit area, particularly the manufacturing industries in the Moscow and Petersburg regions as well as the Ural industrial regions will be abandoned. It may be assumed that these regions today absorb an annual five to ten million tons from the food production zone.
“2. The Trans-Caucasian oil district will have to be excepted, although it is a deficit area. This source of oil, cotton, manganese, copper, silk, and tea must continue to be supplied with food in any case, for special political and economic reasons.