The semi-weekly miner. [volume] (Butte, Mont.) 1882-1886, 1885-02-28
THE LAKE. COPPER MONOPOLY.

the resent deprts sed condition OF
the copper market: The protection
: afforded by a high taft to the Lake
COZ per mines for so long q period
gave them an immense impetus, and
under their con- bination the Lake
companies have virtually ruled the
markets of the United States, dic:at-
J ing their cwn terms and prices, and
compelling manufacturers and cal
| ers tosubmit to terms which have
each year become o tyrannical.
"GraduallY the production OF Lake
copper, thus stimulated, became
larger than the consumption OF the
country required, and the Lake COM
bination then adopted the plan OF
selling the surplus 10 Europe at prices
considerably less than those made to
the home trade !; thus, after the: sea-
board smelters were driven QUE OF
existence, owing to the tariff on tor-
ejgn ores, reguIus and black copper,
essential to flux the domestic ores,
| the Lake companies, with this pre-
lection, enabling them to get a CON-
paratIvely high price from the home
consumer, sold for export at. such
low prices as to enable the EUROPEAN
manufacturer to take away. from the
limited states. among other valuable
interests, the manufacture OF ear
tridges, thereby closing the large
factories engaged in that industry In
New York, Connecticut and Rhode
Island, for the European manufac
turer, seeing the low price at Which
Lake copper could be obtained In
Europe, bought the requisite ma
cninery in the United States, where
it was invented. and, taking out a
few skil,e1 hands from this country,
started works which now supply all
the cartridge demand of Europe b,
"The system, long established by
| the Lake combination, of four to Six
months contracts with their custom
ers in the United States enabled them
to insure themselves at the expense
of home buyers against all market
fluctuations during the period. OF such
contracts; manufacturers therefore
by these contracts, insured the Lake
comnanies a steadiness of price which
tney were unable to control for their
own products made from the copper
"During the past three years the
rich discoveries in Arizona, New
Mexico and Montana have revived
the copper smelling interests OF the
sea board, and their product has, since
The commencement Of that PERIOD,
met with a rapidly increasing de-
mand from the consumers Of. the
country, and tended year by year. t"
check the hitherto constantly IT,
creas,pg encroachments Of the Lake
monopoly.
"With the end of compelling the
mines of the far west to close our, or
if unable to accomplish thi-, to COM
| pei them to ship all their furnace ma
terial to Europe for smelling. the
Lake companies have: made, tier
/ contracts for this season, and W their
agents, so 1t is alleged, declare that
# ia their intention to shut up mines
or seahoard smelters entirely, and so
resume their old monopoly and
power in the markets of the country.
"Toe importance Of the Western
| mines is shown in the fact that their
production during the past year
| amounted to about 10000 tons. Tae
The labor employed therein, the
| settlement and the development of
the Territories in which they are To-
Gated, the Vast quantity of freight
which inures to the railway system
of the country the great industries
which have sprung up from the diff
ftrent seaooard smelling works, the
supply to the railways and to other
consumers of a cheaper copper, equal
Iy as good as the Lake, breaking up
the odious monopoly of the Lake
combinations,-are all subjects of the
most vital Importance to manu-
features, commerce and to the nation
at large.
"The arbitrary position recently
taken by the combination has created
great dissatisfaction in the trade.
Manufacturers having bound them
selves by the peculiar contracts re-
quired by the Lake companies. in
which the price Of each delivery Is
based on a speculative price of Chill
bars in the London market, are en-
barrassed by the impossibility Of cal
cuIating ahead with any degree of
certainty on the cost a material for
their manufactured goods; for while
the price for this 'uonth's delivery
no. &c., seems low, the speculative
movement in Chill bars in the Lon
don market for the past week or two
will considerably increase the cost Of
next months delivery.
"Tne fact that the price of so much
copper depends on the price of Chilli
bars in the London market between
the 10th and 25th of each month may
cause an artificial advance in value
bstween those dates; at any rate, a
good deal of manipulation 10 proba-
tle. The manufa -turer is prevented
from protecting himself, by resale,
against such manipulation. His con-
tract not only prohibits HIM from;
selling for export on his own account.
but he cannot sell to any one who
will not accept the same terms that
he himself is bound BY"
The Inter Mountain throws up the