The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1933-10-25
BY JOSEPH III. BAIRD
United Press stan Correspondent

Copyright 1888 BY United Press
WASHINGTON, Oct 25.-Presi-
dent Roosevelt's cordial invitation TO
Soviet Russia to seek a basis for re-
newing diplomatic and strengthen
ing trade relations with America is
interpreted here as new and
vigorous drive against the world de-
preston.
Political reasons for recognition
are not lacking. But those close
to the President believe that
economic motives primarily prompt
ed him TO extend the hand OF
friendship to Moscow.
In Russia the administration sees
the worlds greatest potential mar
ket. A sample of it's capacity to
absorb American goods was given
in 1880 when the Soviet Union pur-
chased nearly $4,000, 900 worth of
the products of American factories,
mines and farms.
More People Than U. S.
Here is a birds-eye view of the
Russian market as seen by adj
rninistration economists:
Between Russia's European border
and the northeastern tip OF Siberia
1000 miles away-stretches vast
land containing 16O,ooOOOO people
Il is twice as large in area as the
United States. It contains 100000
more people. 1t is vast consumer
of goods.
Further. it is a land which, In
spired by a fanatical zeal, is seeking
in a few brief decades to bridge the
gap between agricultural feudaliSm
and modern industrialism.
The machine is Russia's god. Toy
tractors and trucks are found in
the nursery. Russias young men
dream not of romantic conqueSts,
but of bridges built. streams har-
messed by turbines, rich earth turned
by tractors. petroleum gushing from
the Russian steppes and factories
emitting a contant current Of manu-
featured goods.
Much Machinery Needed
This vast industrial program calls
for heavy imports of machinery. A
recent commerce department study
of Russian purchases here features
steam engines. locomotives, labora-
tory apparatus, latheS, drilling ma
chinery, automobiles and trucks.
Russia also needs millions OF bales
of United States cotton.
The same Litvinoff who is coming
here told the world economic con-
ference in London last summer that
his country was ready to spend
OOO,00O,000 abroad for needed
goods.
A recent state department study
made by a technician with expert
ence in Russia estimated the Soviet
unions purchases here in the event
of recognition at $350000,00O an
nually.
Jobs for 100000
These purchases he maintained,
WOULD give employment ClreCJly 10
100000 persons, indirectly to 100000
more.
But this trade, he warned, can not
be one-sided The United States
must buy as we'll as sell. Among the
products needed by America which
he listed are manganese, high grade
iron ore, furS, pulp wood and some
other grades of lumber.
To start the wheels of American
Russian trade, some financing will
be necessary. The RFC is now
considering a $75,O00O00 credit to
Russia. AS the Soviet has never de-
faulted an obligation, officials here
believe the loan will be extended.
In cementing the bonds of new
trade relationship between the
worlds two most vast industrial
countries a commercial treaty will
be needed. Observers here would
not be surprised if one emerged
from the RooSevelt-LitVinoff talks.
(NeXt-What American RecOgni-
ton Would Mean in Europe and
the Far East.l