The age-herald. [volume] (Birmingham, Ala.) 1897-1902, 1899-03-01
IRON sHoRrAGE THREATENEp

From the New York Times.
The boom in the pig iron industry, which
has had it's reflection In an increased price
for the product, is attracting general at
tention. The iron market has been so act
i've during the last month that 1t Is now
feared the producers will soon encounter
record breaking shortage. With the mar
ket now almost entirely depleted. the ordi-
nary spring consumption will quickly ex-
haust the supply
Discussing the interesting features of the
iron situation, President George H. Hull, of
the American Pig Iron Storage Warrant
company, said to representative of the
New York Times:
at has been said that iron Is the Their
mometer which gives us our first correct
gauge of prosperity. Whoever originated
that observation might have gone further
and told us that the high price of pig iron
Is what stops prosperity. When pig iron
is at its highest price, 1t is safe to look for
a cessation of the activity in almost all
lines of trade. This is true, because when
consumers have to choose between paying
exorbitant prices and the stoppage, or at
least a curtalment, of opera tons, the lat
ter course is the one most likely to be pur-
sued.
"Pig iron is today about 81 a ton higher
than it was year and a half ago. Then
1t was $3.50 a ton, while now it is $3.50. The
probability is that it will go from 81 to SO
higher. When it reaches it's highest figure
the present happy situation of affairs will
have been transformed. 1t is perhaps well
to say that the selling agencies of the fur
naces are doing all they can to prevent
the Drice from ADVANCING too anidlv The
more success they have in keeping prices
down the longer prosperity will last. The
stimulating effect of good times has In
variably sent iron up from 81 to Sc a ton
That was what happened in the manipu-
lated market of 1895, but the large ad-
vance of that year on two or three months
OF apparent prosperity left things ia much
worse shape than they would have been if
prices had remained normal. This year
iron has not gone up so fast, and while
conditions are remarkable, there is no
likelihood of any phenomenal increase in
price.
ut is the custom in this country to
carry only six weeks stock ahead, while
in England the supply kept on hand in the
warrant yards varies from six to nine
months. The failure of this country to
Keep the furnace yards filled Is the factor
which contributes most to stop prosperity.
Ordinarily the sale of the Lake Su-
perior product of ore extends over several
months. This season 1t was all sold inside
of week of the time the price was an
nounced. Now the question is as to wheth-
er the producers will be able to furnish
material covered by the sales The mat
ter of transportation figures in this cal
culation. On the lakes new boats which
have been provided make the problem seem
easy. but there is fear that in so far as
rolling stock of railroads figure there will
be handicap. 1t Is therefore safe to say
that furnaces which look to the Lake Su-
perior region for ore IL they haven't
bought are out of 1t for the season.
I'm the south the entire capacity for
coke is taken up, and before they run any
more furnaces In that section more coal
mines will have to be opened and coke ovens
built. The point of this Is that the output
of iron can be increased but very little In
other words, the difficulty in the northern
states Is to procure the ore and in the
south to get the coke.
1.-THE majority of the furnaces out of
blast are either sntiquated furnaces or else
modern furnaces that can't secure the raw
material to make iron. Consequently there
is no chance of any substantial increase in
the supply. With all the strain incident to
this seasons vigorous demand there was
used in January all the iron that was made
and $4,000 tons of the reserve. AS it is impos-
sible to add much to the product and as the
consumption IN the spring is sure to IN
crease, there Is certainty of great scarcity
of iron. There is only a little over one
weeks product of coke iron on hand In the
country. On February there was of coke
iron In furnace yards 271.o00 tons, and the
weekly product Is 10000 tons.
"By the lat of May look for the scarcity
of pig Iron to become most apparent. From
all accounts the selling agencies of the
furnaces have orders for all they can make
for five and even six months to come,
where as many Of the purchasers. thinking
they had fully supplied themselves. are
already coming into the market for more
iron"