The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1904-04-29


coming season and that of last year
and year before is enormous, as 1902
put out 27.571, 121 tons and last year
"a, 2S1, 595 tons, so if only 100000
tons are produced this year it will
mean falling off against last year of
about one-third.k
The fact that at the ore pool meet
ing last week the price was reduced
from 81 to $3.50. the Independents
claim, is no victory for them as ag-
ainst the United States Steel corpora
ton, as, according to their own as
sertion, they are losing money by it.
They claim that the corporation, be-
ing its own producer and consumer,
does not need to sell ore, and that
they do, and that it makes no differ
ence to the United States Steel cor
poration one way or another what the
price is, unless it should get low
enough to make it pay the corpora
ton to buy ore instead of producing
it.
In other words, the market price
would have to get below the cost that
the corporation pays to produce the
ore. This cost is probably less than
the cost to any other producer, as the
corporation produces much more than
the other fellows together and natur-
ally at less cost.
'It is true that the corporations
stock piles are low this year, but only
in comparison with previous years
when the use of ore was greater. much
greater, than it will be this year."
said an interested man this morning.
"But in comparison with the
amount of ore that is likely to be
used this year the stock piles are high
and there is going be be no worry on
the part of the corporation to get ore,
and it is certainly not going to have
to buy it. The corporation could pro-
duce from $4,000, 900 to 10000, 900 tons
this year if it was necessary, enough
70 supply all the furnaces that use
Lake Superior ores. With the stocks
it has on hand it looks very much as
if it would have to produce very little
to keep up with its needs this season.
But as to any advantage to be de-
rived by the lower price in opposition
to the corporation, I fail to see it.
Such people as Jones & Laughlins and
the Cambria Steel company have to
have ore and they've got to buy it
somewhere. If they are going to get
it cheaper then they have been L think
they are the people who will reap the
benefit.
THE lower price has Teen brought
about by the anxiety of the producers
of old range ores to get some of their
stuff on the market off their hands.
Lately the ores that have been used
have gone into non-Bessemer metal
so that old range ore has had practi-
cally no show to get into use. Lots
of producers of the better ores have
been carrying them over as long as
they care to, and they are willing to
let them go at a lower price, get their
stock piles cleared away and mine
some more ore.
"Take the Cleveland Cliffs company
for instance, which moved 100000
tons of ore in 1902, and only moved
1000, 900 last year. 1t lost the haul of
10000 tons on the railroad, as well
as the marketing Of 100000 tons.
Something has to be done to relieve
these condi tions, and even If the pro-
ducers dete: mined to restrict produc-
tion in such a way as to force the cor
poration to produce less ore this sea-
son than it can use, it is equipped to
defeat such proposition owing to
what it has on hand. The indepen-
dent producers are really the people
who are making the sacrifice, if any
thing, for a man who has better
grade OF ore than someone else likes |
to get more money for it.
"Nothing can stimulate the ore
market excepting the unforeseen, un-
less lower price induces some people
to put in large stocks. The navigation
is late and the outlook for a lively |
market is decidedly dim. Of course
a revival of pig iron would help the
situation immensely"
The Worlds Iron.
Cbortc bava haap iccuod chOyyipO /