Arizona republican., 1915-02-25
SAY P0TTERS D0 KN0W THE COST
 0F PRODUCTION
Secretary Redefield Makes Public of Investigation By Department of Com merce Into Pottery In dustry of Country
ASSOCIATED PRESS DIsPATCHl

ASSOCIATED PRESS DIsPATCHl
 WASHINGTON, Feb. 24.-Secretary Redfield today made public the re- port of the investigation by the de- partment of commerce into the pot tery industry, begun co-incidentally with the enactment of the present tariff law and an announcement by the United States Potters' Associa- ton that any reductions in selling prices resulting from reduced duties must be followed by corresponding reduction in wages
 The tariff reduced duties from 55 to 35 per cent and from 60 to 40 per cent on undecorated and decorated earthenWare, respectively. The re- port says the imports of pottery: for the first twelve months of the tariff law increased less than half mil i lion dollars over the last twelve | months of the old law.
 The following conclusions are given as genera statements of fact: q. The potters of the United States are without adequate knowledge of | the costs of production in their own | industry. -, 70 Extreme costs of production l were found in the different potteries 1 of the United States. There were also large variations in earnings and profits.
 B. Large differences in the cost of
 production between the potteries of l the United States and those of
 Europe were found to exist. The general level of costs was consider ably higher in the United States. In 1 fact, the lowest cost of production in any American pottery exceeded that
 of the highest cost of production in
 any European pottery, except one l establishment in Austria.
 "A. Competive prices of American
 and foreign ware in the United States
 are not determined solely by the diff
 ference in cost of production at home
 and abroad. Other factors. including
 customs duties, transportation
 charges, and incidental expenses are
 sufficient as shown in the report to
 offset the difference in cost of produc-
 tion.
 5. Many of the American pottries
 are poorly situated and ,he plants
 are badly arranged, owing to the haphazard character of their develop ment. There are few American pot
 teries that have thoroughly modern
 plants equipped throughout With up
 to date machinery.
 "6. In spite of the fact that the
 average wages paid in American pot
 teries in the different occupations are higher than those paid in European potteries by from 90 to over 600 per cent, the labor cost per unit of pro-
 duct never shows so great a differ
 ence as S2 per cent (except in Ger
 man china plants). This indicates the greater efficiency of American
 workmen.
 v. The standard list upon which price is obsolete. It establishes fol American potters base their selling different articles selling prices that
 vary widely from the relative costs of production. Complete revision is necessary before American potters
 can intelligently sell their ware IS. There is a distinct need fol more scientific methods of production which can be brought about only b, highly skilled instruction and nor, scientific research work
 "9. Finally this report has aimed to be constructive in it's analysis o the pottery industry. There are means and these have been pointed out bN which the cost of production may be materially reduced. And these cost. ! must be reduced, not only that tho , American industry may compete witt l foreign products brought into tni. market but in order that American products may compete in foreigr markets"
 The investigation was made in thu potteries of England, Germany ant Austria, and in the United States, 1T AS establishments in New Jersey , Ohio, West Virginia, New York, Penn. sylvania, Indiana and Maryland The
 report deals exhaustively with ths
 mechanical. scientific, labor and mar.
 keting processes connected with tho | industry