The Caldwell tribune. [volume] (Caldwell, Idaho Territory [Idaho]) 1883-1928, 1915-08-13
POTASH INDUSTRY IS A
PROTECTED MONOPOLY
IN GERMANY
PRICE AND OUTPUT STRICTLY
REGULATED BY THE
GOVERNMENT
Protective Tariff Needed to Build UP
and Maintain Industry in United
States = Discovery In Owyhee
County Makes Subject More Than
of Passing Interest.

The discovery of immense deposits
IN the nclghborlng county of Owyhee
makes the potash industry Of interest
to the people of this section of the
state. Potash is used in making soft
soap and is the basis ingrediant in
commercial fertilizers AS a writer ex-
presses 1t it also strikes your match,
helps cure meat and blasts rock. There
are unlimited potash deposits in Ger
many and for a long while that coun-
try has monopolized the industry and
trade.
According to the Homedale CORES
pendent of The Tribune the company
which is operating in Owyhee coun-
ty is amply financed and proposes to
develop its holdings As there is
prospect of an immense industry be-
ing built up in this immediate section
OF Idaho, the methods of controlling
the trade in Germany become of
something more than academic in
tCrCst.
The following Washington CORES
pondent gives the reader an idea of
the way in which the industry and
trade OF Germany in potash has been
built up and is maintained. The sug-
~
are pertinent.
II he German control of the world
market in potash is a classic example
OF the manner in which foreign car
tells, "syndicates," or "get-together"
organizations operate. At one time it
was overproduced, and profits were
cut off. The Prussian government
owned several mines, other German
mt
ing was carried on by private enter
prises. Finally they all got together
and organized a FIVE year selling SYM
dictate, which has been several times
renewed, and which has formed an
export branch, a domestic distribution
bureau, and carries on an educational
advertising propaganda spending ST.
100000 annually to boost foreign
sales. 1t is headed by government
official. At the time of its organiza-
ton the syndicate put prices on a
profitable basis, where they have since
remained.
Occasionally an independent pro-
ducer would sell outside the syndicate
and then go in it. American manufac-
turers who availed themselves of such
| sales were punished by being charged
five per cent more for bagged potash
han other American buyers. They
had to have the potash the supply was
controlled by the syndicate, and there
was no alternative
In June. 1909, a new syndicate was
to be formed There was little
! squabble before they got together, and
| for two hours American buy ers took
advantage of the confusion and book
ed contracts for from two and seven
years at IS per cent reduction in
price. At the end of the two hours
the Prime Minister of Commerce had
stopped further sales The Reichstag
! then passed a law declaring potash to
be monopoly and each producer en-
titled to fixed per centage of the
total; if he sold more. the over-sale
was heavily taxed. Since that date
American buyers have been utterly at
the mercy of the German syndicate in
purchasing potash.
II, at the termination of the Europ-
can war. Germany finds that this
country is manufacturing its own pot
ash, every tactic known to the com.
mercial genius of that nation will be
directed toward killing off our indus.
try. Under free trade. there would he
| I period OF price-Cutting which might
temporarily benefit the farmer in the
price he paid for his fertilizer but
with the destruction of our domestic
industry, Germany would again adop
the old price, or doubtless increase
It in order to make up for the losse.
of the price-cutting campaign. AnC
an industry which gave promise o
freeing us from German monopoly, re
ducing the price of fertilizer, and EN-
polying American labor at wages tina
would insure large purchasing powe
of the farmers products. would. a
have many others be stiAed by tn,
Democratic pet theory of free trade
Domestic potash IS a possibility
'nd"r the Republican policy OF pro
lection to home industries. and no
otherwise.