Two basic types of agroindustrial complexes are provided for by the
regulations. The first type is a membership organization in which the
constituent farms retain their juridical identity and a certain measure
of economic independence. The second type is a centralized organization
in which the constituent farms are merged and lose their separate
identities. A further distinction is made depending upon the nature of
the constituent farms and other economic organizations. Agroindustrial
complexes composed only of collective farms and other collective
organizations are called cooperative complexes. Those constituted by
state farms and other state economic organizations are known as state
complexes. If both state and collective farms or other organizations
are members, the complex is referred to as state-cooperative. The
distinctions have both legal and economic implications.
In early 1971 the form of the 139 agroindustrial complexes established
up to that time was: collective, seventy-seven; state, seven; and
state-cooperative, fifty-five. Six complexes were created as centralized
organizations in which the constituent farms lost their legal
independence. The largest of these complexes covered an area of 145,000
acres.
Legal and Economic Aspects
The legal and economic aspects of the farm consolidation are extremely
involved, and most of the problems raised by consolidation have not been
worked out even theoretically. Activities of cooperative and
state-cooperative complexes are governed by the Provisional Regulation
issued in October 1970 and by earlier regulations concerning collective
organizations in matters not covered by the Provisional Regulation.
State agroindustrial complexes are subject to the same regulations that
apply to all state economic associations (trusts). The Ministry of
Agriculture was directed to prepare a draft statute for agroindustrial
complexes by the end of 1972, which was to be submitted at an indefinite
future date to the first agroindustrial complex conference for
discussion and adoption.
Official statements and documents have emphasized the voluntary and
democratic nature of agroindustrial complexes. Zhivkov's report to the
Central Committee plenum stated that farms would be free to opt whether
or not to join a complex and which complex to join if they decided to do
so. They were also to have freedom of decision concerning the
establishment of joint enterprises. The plenum's decision used a broader
formulation by referring only to voluntarism in the formation of
agroindustrial complexes on the basis of mutual advantage. The
Provisional Regulation contains a clause that permits farms and other
organizations to withdraw from the agroindustrial complex at their own
request.
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