Lancaster daily intelligencer. [volume] (Lancaster, Pa.) 1864-1928, 1885-08-24
pVeteHED EVERY WEDNESDAY MoaNlNo,
\ zseo Dollars a Ysar IN Advance.
0tk fo,,fastfr 1ntflli9eafer.
LANuAsrER. AUGUST q, les.
Pig Iron Here and There.


Pig Iron Here and There.
j The Philadelphia Record reprints an ar
tfcle from the indianapolis freeman upon
the iron furnaces of Alabama, which it
says was written 'sby gentleman engaged
In the iron business In Northern state,
who has been at the pains TO visit the iron
region in Alabama and who writes what
he knows from his own observation The
Record commends his observations TO the
pig iron manufacturers of Pennsylvania
and advises them to set their houses in |
order for the coming transfer Of the pig |
iron industry to these fields where the raw |
materials are so much more abundant and |
cheap than here.
Our iron manufacturers, in our opinion, |
will have ample time TO do this thing. |
The indianapolis observer reports what has
many times before been reported, and tells
no new tale to Pennsylvania pig iron man.
ufactnrers. They have heard and they
have been there to see. They found what
he found, that Alabama has great natural
deposits of iron and coal in close proximity
and that in the future it will certainly
be great iron manufacturing district.
Many of those who have gone dcwn to see
have left their money there in a mineral
investment, against the coming time when
it may be fruitful. a number of Northern
manufacturers have even now built fur
naces there, and more will do SO from time
to time.
But there is no need for fear that cessa-
tion Of pig iron making in Pennsylvania is
coming. She, too, has abundant ore and
coal they will be brought together with
sufficient cheapness to enable them to be
utilized. At present our manufacturers
here are suffering from the unduly high
freight charges of the carrying companies
upon their raw materials. These COM
panies, under the pressure of their financial
needs and the burthen of their watered
capital, squeeze their supporting industries
N out of the last cent. But they will take
heed not to destroy them, and will before
long be compelled to treat them with
PROPER liberality.
Pennsylvania furnaces will always have
protectj9n fUom Alabama competition in
ttspsisssY SSll4llsfty 10 the home market for
pig iron. At present they have, beside
of their business and greater skill and econ
omy in working their furnaces. Iron could
be made in Alabama cheaper than it is, but
that il is anew industry there, with mainly
green hands at the work. There is but one
. furnace near Birmingham that is managed
with Northern thrift and intelligence, and
there iron is probably made for the nine
dollars per ton, at which the Indianapolis
observer thinks it is made everywhere. He
has been somewhat deceived by surface ap-
pearances. He reports that it takes two
tons of ore at ninety cents per ton, one and
six-tenths tons of coal, worth dollar
and eighty-four cents, and half-ton
of limestone, worth forty-five cents, to make
ton of iron and when he doubles this
four dollars and nine cents, to cover cost of
labor, interest and repairs, he thinks he is
making liberal allowance as he would be,
il he was considering the working of well
managed furnace at the North. His raw
materials, however, we think he makes too
cheap. The iron ore is brought distance
of anywhere fromfive to thirty miles to the
furnaces at Birmingham, and may be
mined and put there for ninety cents
per ton, probably, under favorable circum-
stances. But it is also worth something
in the ground. The furnaces all own
their ore land, and may choose, in their es-
Inmates Of cost, to put no value on the ore
in place; but in their capital account they
doubtless value it high enough. Then the
coal must be of the best quality for ton
and six-tenths to make a ton Of iron, and it
will not do to take the price Of coal generally
and put it in the cost estimate as the price of
picked and clean coal. The coal must also
be coked, which is an important element
of cost and waste. We need to add
not less than fifty per cent. to our In
diana Observers estimate of the value of
raw materials in a ton of Alabama pig iron
TO get near their probable cost to well
managed furnace. And these items of cost
will increase rather than diminish with
time. The price of ore and coal will ma
turally grow with the increasing demand for
them; and there is no likelihood that AL
ALBANIA pig iron will be made for many
year at much less than nine dol
lars per ton under the best condi-
tions and Pennsylvania furnaces will be
able to meet that price, if necessary,
through their nearness to their market and
the reduction in railway charges upon their
raw materials, made necessary by the
competition of the South. The Alabama
manufacturer Is only now able to get into
the Northern market by the low charges of
Southern railroads, greedy for bust
nsss; and the laws of trade will be
suc to SO adjust prices, in the future,
as to leave the Pennsylvania pig iron manu.
facturer in possession Of his business, so
l,ng As Pennsylvania has ore to smelt and |
coal to do il with.