SUPPLEMENT TO THE ECONOMIC BALANCE SHEET
 
The Food Situation
 
     The economic situation was discussed in special memo-
 
randums of January-March of this year, the following fields 
 
being covered:
     1.   Reich finances;
     2.   Situation with respect to raw materials;
     3.   Labor;
     4.   Establishment of the "new order" in Europe;
 
     The developments show further aggravation of the situation
 
 in all fields.  In detail:
 
     1.  Diminishing supplies of industrial raw materials for
 
military equipment or supply and for the supplying of the
 
civilian population;
 
     2. Unavoidable shortage of trained male workers in
 
industrial plants and farm operations; an unsyatematic organ-
 
isation of the plants by the use of foreign labor;
 
     3. Stringencies in the financial position; deficiencies
 
in taxes in consequence of restriction of consumption by the 
 
population; further credit inflation of the Reich add acceler-
 
ated and constantly greater immobilization of the credit system
 
( banks, savings institutions, insuranoe companies, etc.)
 
2.
 
The Balance of Foodstuffs and Feeding Stuffs