Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1914-10-15
PUTS EXTENSION
OF TRADE Up TO
MANU- ACTURERS
Board of Trade Hears of Pros
poets in South American
Republics.

Board of Trade last night what the
United States must do to sell more
. goods to Central and South Amer
lea. This country Is now buying
South 1925. ASS, 900 worth of goods, he
said, and is selling them only $304,-
$4,000 worth each year.
Addresses along the same line
were made by William l.. Saunders,
president of the Ingersoll-Rand
Company; Ernest G. Gardner and
. Calvin b. Brown.
Mr.. O'Brien dwelt at length upon
the fact that this country now has
reached the stage where 1t must
curtail it's exports of foodstuffs and
must look to manufacturers for in
crease in foreign trade. In review
ing the present situation, he said
"Germany's great success was
brought about by government assist
ance in providing cheap transporta-
ton, long credits, the establishment
= of banks in foreign countries and the
making of loans. by manufacturing
articles exactly as they are wanted
and ordered, packing and shipping
them promptly so they will reach
their destinations in quick time and
in perfect condition.
I'VE want quick settlements and do
not like the idea of long credits; they
nave llO pdllhlnk ldSlhitiCo AL Ava
lands and must rely upon the banks
of their competitors; they dislike
manufacturing styles and kinds of
goods not used in their regular BUSH
ness, and too often substitute their
regular lines of goods rather than
make them the way they are wanted.
'They are used to shipping long dis
fances by rail, where the handling is
nominal and where large, bulky and
oHlya ci1ita hlp ThaU
overlook the fact that shipping to
south America goods must be handled
many times and freely transported by
means which require small, strongly
put up packages; that goods are sub
ject to climatic conditions not met
with in this country; whereas the
Germans have made a study of all
these conditions and in manufacture
ing and shipping do SO with the prime
object in view of satisfactorily meet
!, ing all the difficulties likely to occur.
They use the weight and measures,
moneys and languages Of the people
to whom they are selling. Their labels
are intelligable to those people and
they make every possible effort to
please their customers. The war has
taught this country two great les
sons. We must have merchant
marine that can transport freight at
approximately the same cost as
Europe, and we must go more into
manufacturing IL we expect to secure
our legitimate share of the commerce
of the world.
Danger Of Trade Cut.
Men engaged in every line OF bnsi-
ness should realize that 90 per cent.
of the purchasing power for our
products is represented by the nations
now at war and that there is danger
nf hninu TO
that extent and we must realize that
IL this loss should result from present
day conditions, it will force upon us
loss In trade for the balance of this
year of not less than six hundred mill
lion dollars, which sum will have to
be made up in the export of our man
ufactured products, otherwise If it Is
represented and made up by the ex-
port of food products, it means an in
crease in cost upon our Own people.
ut Is not safe to anticipate that the
present war between the nations of
Europe will stop within short time'
: neither is ii safe to predict how long
the war will continue or what may be
the ultimate condition of those coun-
tries at its close. 1t is safe, however,
to anticipate that the purchasing
power of these great nations will be
seriously crippled through the destruc-
the burden of debt. which is being
imposed upon them
The committee cautions the manu-
facturers, however, from opening
business at South American points
under present conditions. and adds
THE opportunity of the hour,
therefore, in word, Is not so much
one for immediate larger sales of
United States manufactured prod
ucts as, one for cooperation and
mutual help, together with careful
investigation of commercial condi-
tons and preparation to meet future
competition successfully.
I'm the great manufacturing dis
trict comprising New Jersey, there
are so many diversified industries
capable of supporting a solid, sub
stantial movement that 1t seems
easily possible for several groups Of
manufacturers combining together 70
: finance the establishment of Trade
Depots' or Show Rooms in several
of the principal capital cities in Cen
trail and South America, and in main
tanning qualified sales force to OPP
crate and build up a profitable trade,
that we urge canvas being made to
ascertain who among our snanufac-
turers would join in such move
ment."
How to Capture the Markets.
Three principal points as the means
OF solving the question OF how to cap
ture the South American market were
outlined by Mr.. Saunders. The first
necessity is, the speaker stated, that
an export market be found for the
people of those South American coun-
tries with which the merchants of the
United States want to do business.
Owing to the war the exports of these
people were handicapped, and the re-
sultant surplus of production, he
stated. had paralyzed their purchas-
ing power. Next in line ruling
should be gotten to settle definitely
the question whether the Sherman
ANTITRUST act permits pooling If 1t Is
done for foreign trade purposes only.
The speaker held that the Sherman
act was designed for home trade only.
This pooling of kindred industries
he said would be about the only reak
effective way to achieve results on a
large scale. He pointed to England,
France and Germany, who permit
pooling for foreign trade purposes
and the governments of which coun-
tries encourage the foreign trade in
every respect. BY pooling, Mr.. Saund-
erson- went on, natural clearing
house would be established for foreign
trade the combination of which
{ would eventually succeed in captur-
ing the trade from England, Germany
and France.
Backed by detailed statistics Mr..
Gardner showed his hearers what the
opportunities were, and in connection
Herewith he gave prac' ical sug-
gestions, applying them to various in
dustries as to just what methods
might be pursued to gain foothold
in the South American market.
Commissioner Brown, in his talk.
told the audience that in his travels