The Stourbridge Observer, Cradley Heath, Halesowen & District Chronicle.
Stourbridge, West Midlands, England, 1875-01-09 00:00:00

TitE STOIIIII3IIIDGE OBSERVER.

THE IRON TRADE.

Not a little surprise was expressed at the meet-
ing of irontnasters on 'Change at Wolverhamp-
ton, on Wednesday, at the outcome of the ex-
amiaation of the books of the twelve selected
bar firms of South 'Staffordshire. Considering
that the maximum price for the ordinary marked
bars of the best makers has been £ll all the
quarter, and that the twelve firms comprise a
fair average of low and high priced firms, the
average of £lO 16s 3d as the net selling price of
the bars made by the firms is certainly surpris-
ing. The low-priced firms must have done but
little business in the three months, and it would
seem as though the high-priced firms must have
carried over some considerable orders from the
previous quarter, when bars were £l2 per ton,
before such an average could be possible. The
fact, however, remains; and it is conclusive as
to the reputation in the market of really good
South Staffordshire finished iron. If orders
were carried over from last to this quarter there
can be no doubt that there are only few avail-
able for carrying over from this to next quarter.
Very much diligence was displayed before the
Christmas holidays began in an effort to finish
all the work at that time in head; and the effort
was largely successful. Few mills only are on
this week in any part of the district. Where
customers cannot wait for the iron they are dis-
tributing their specifications, subject to the
prices which may be declared at the
quuterly meetings, which begin at Wolverhamp-
ton next Wednesday. Nor would they on Wed-
nesday last depart from that practice, though
there were makers of second and third class iron
who would have booked orders on very low
terms. Tube-strip, for instance, might have
been had at as low a minimum figure as ..t9 2s 6d
per ton. No difficulty, therefore, would have
been found in getting bars at £9, though not
from firms of conspicuous standing even among
the list of well-known low-price houses. Such
a difference as £2 between the maximum and the
minimum quotations cannot, it was argued, con-
tinue without an alteration in the maximum.

However weak inferior finished iron might
have been on Wednesday, good pig-iron showed
no sign at all of weakness. On the contrary, it
was remarkably strong; and it should not be
cause for surprise if the all-mine iron, that may
now be bought at £5, should be procurable at the
close of next week at nothing under five guineas.
In other than rare instances, no profit is gained
at £5. Under these circumstances, any benefit
pigmakers may derive from a possible reduction
in coal they will need for a profit; and that they
will be able to at least uphold their present
quotations, even though best bars should be de-
clared down 20s a ton, may be assumed as prob-
able from the fact that neither in Shropshire,nor
Staffordshire, nor Warwickshire are there stocks
either at the furnaces or the forges.
Shropshire finished iron firms intimated that
if at quarter-day Staffordshire makers reduced
their prices £1 per ton, then they should reduce
their prices lOs per ton. Shropshire fencing
wire rods were firm to-day, at £ll.
A rumour was afloat that a reduction was con-
templated in the wages of blast-furnacemen. No
definite step has yet been taken, but if notice
is given for a reduction, it will probably be to
the extent of 10 per cent.
As to the high railway rates for the carrying
of goods from this district to London and to
Liverpool, some amount of satisfaction was ex-
pressed: that the chairman of the London and
North-Western Railway should have asked to
receive a deputation. It was not, however, for-
gotten that a perhaps more important interview
than Is now probable took place when the ques-
tion was last earnestly debated, with a result, so
far as this.district is concerned, altogether a dis-
appointment, for the impositions were, of the
two, heavier after the interview than they had
been before.

Uuncertainty as to the course of prices is still
seriously restricting business in the local iron
trade. Although the expectation of an early
reduction is very general, neither merchants
nor makers can pretend to forecast it time or
extent, and the prospect is, if anything, more
clouded now than it was a month ago. It is true
that wages are reduced 10 per cent.; but this re-
duction would not represent, at the outside, more
than ss. per ton, whilst, on the other hand, the
value of ironstone, and consequently of pigiron
has increased. Coal, too, though not quotably
higher, is in such improved demand, since the
reopening of the canals after the frost, that the
chances ol a fall in-fuel by quarter-day are very
much diminished, and without such fall any re-
duction in iron is declared to be out of question.
Under these circumstances, buyers are naturally
averse to enter into contracts subject to quarter-
day prices, more especially as everything points
to the probability of a reduction both in coal
and iron at DO very remote period after that date
It is greatly to be desired, for their own sakes as
well as for those of iron consumers, that coal-
owners and ironmasters would come tO some
understanding at once as to the course they in-
tend to pursue, for the present suspense is injuri-
ous to all parties. Coalowners must be well
aware that the activity of demand they are at
present experiencing is only temporary, and tha'
as the future of their trade is dependent on the
revival of the iron trade, it is to their interest
the long run to make any concession that may
b 3 needed to bring about that revival. By re-
ducing prices at once, coal and iron masters
would give stability to the market, and reap the
full advantage of the spring trade ; whereas, by
deferring the inevitable concession until the
quarter is more advanced, they would be not
only wasting valuable time, but imperilling the
recovery of trade in time for spring ship!nent.
Meanwhile transactions are on the most limited
scale, alike for raw and finished iron. Of the
latter, the commoner qualities are a shade easier
unmarked bars being readily obtainable now at
£9- Branded iron is steady, at late quotations,
ranging from £lO 10s. to £ll. 12s. 6d., but with
little business stirring. Pig-iron is rather higher
as regards the better qualities produced from
native ore, owing not so much to any improve-
ment in the demand as to the increasing scarcity
and dearness of Staffordshire ironstone. In
cinder-pig there is no change.