February 22nd.
This morning I drove to the Dielovoi Dvor, the big house on the Varvarskaya Square which is occupied by the central organization of the textile industry. The head of this organization is Nogin, an extremely capable, energetic Russian, so capable, indeed, that I found it hard to believe he could really be a Russian. He is a big man, with a mass of thick brown shaggy hair, so thick that the little bald patch on the top of his head seems like an artificial tonsure. Nogin sketched the lines on which the Russian textile industry was being reorganized, and gave orders that I should be supplied with all possible printed matter in which to find the details.
The "Centro-Textile" is the actual centre of the economic life of Russia, because, since textiles are the chief materials of exchange between the towns and the villages, on its success depends the success of everything else. The textile industry is, in any case, the most important of all Russian, industries. Before the war it employed 500,000 workmen, and Nogin said that in spite of the disorganization of the war and of the revolution 400,000 are employed to-day. This may be so in the sense that 400,000 are receiving pay, but lack of fuel or of raw material must have brought many factories to a standstill.
All the big factories have been nationalized. Formerly, although in any one town there might be factories carrying out all the different processes, these factories belonged to different owners. A single firm or bank might control factories scattered over Russia and, so that the whole process should be in its hands, the raw material travelled from factory to factory through the country, instead of merely moving about a single town. Thus a roll of material might have gone through one process at Jaroslav, another at Moscow, and a third at Tula, and finally come back to Jaroslav to be finished, simply because the different factories which worked upon it, though widely scattered, happened to be under one control. Nationalization has made possible the rational regrouping of factories sothat the complete process is carried out in one place, consequently saving transport. There are twenty-three complete groups of this kind, and in the textile industry generally about fifty groups in all.
There has been a similar concentration of control. In the old days there were hundreds of different competitive firms with their buildings and offices in the Ilyinka, the Varvarka, and the Nikolskaya.* [(*)Streets and a district in Moscow] The Chinese town* [(*) See above.]was a mass of little offices of different textile firms. The whole of that mass of struggling competitive units of direction had now been concentrated in the house in which we were talking. The control of the workers had been carried through in such a way that the technical experts had proper weight. (See p. 171.) There were periodical conferences of elected representatives of all the factories, and Nogin believed that the system of combined elective workmen's and appointed experts' representation could hardly be improved upon.
Nationalization had had the effect of standardizing the output. Formerly, an infinite variety of slightly different stuffs were produced, the variations being often merely for the sake of being different in the competitive trade. Useless varieties had now been done away with, with the result of greater economy in production.