New-York tribune., 1921-05-02
WI tate News
Construction
Here Faces
Brick Famine
Hudson River Inflow of Ma
terial Halts, Owing 10
Barge Captains' Strike;
Many Plants Are Closed

(. Precauticnary brakes are beginning
to grind upon tho wheels Of building
construction progress in this and neigh
norine markets., says the current Dow
Service Daily Building Report.
nesctson has becn cxused by lack Of
and by the apparent inability Of ,ho
prospective building investor to under
stand why New York wage scales arc
seii At the peak levels when elsewhere
IN the state and In many parts of the
country wage reductions have been
made, in some cases, voluntarily.
THOSE who have taken this attitude
with feference to New York ware scales
are, OF course unaware Of the extent
OF the numerical erosion that the build
ing trades has suffered, AZ a body. Dur
ing and since the war, supe rinduced
~ the dearth Of apprentices entering
the crafts to take the places Of skilled
workmen leaving their trades by acct
dent. death or more steady employ
ment in other industries, such as the
automobile or furniture mills. The
shtpbuildins plants in other days also
weaned away many Of New York's best
nuiidinS mechanics and artisans. New
YORK, In even normal building move
ment, would experience q lack Of skilled
labor.
The fact is that the building con-
struction industry, a. far as present
actual building construction is con-
cerned in this market, is again danger
ously near to complete stoppage. It Is
the natural result Of . woeful absence
OF general building material price
stability at the cru :ial time when the
building construction movement of a
lew lew weeks ago was getting under way
Ihe adage that buying Is never active in
falling market has held xigidly true
Cement Takes Another Drop
Steel represented the moral backbone
Of the market, but its price collapse
was the signal for general pandemo-
mum, especially in the New York mar
ket. Since then cement manufacturers
shifted their bag rebates from 25 cents
to 10 cents, and this week the dealers
cut off another 80 cents from the de-
livcred price, making the quotation TO
consumers 1920 a barrel, less 10 cents
good condition. This MAKES q net price
to the consumer Of $3.50 q barrel The
sand market has collapsed, with prices
current at anywhere from $1.6o to 81 a
cubic yard. Common and finishing lime
prices are OF 80 cents Current hollow
tile prices are merely nominal. Com
| mon brick has dropped to $14 to SIS a
thousand In the Wholesale market. For
delivered prices add handling and haul
age at 10 per cent. Asphaltum is 50
lower. Oak and maple flooring has
dropped S. and SO. North Carolina
pine roofers are quoted now at $40 and
Much of this price decline is due to
sitting Of the building material supply
market by strike of the brick barge
captains against wage reduction. The
entire Hudson River inflow Of common
brick has stopped. Rather than run the
risk Of harges being cut adrift with
their csrxoes some manufacturers have
| towed their loaded barTes Of brick back
up the river to their plants rather than
leave them here during hostilities.
Where there should normally be about
100000 brick in this market only
one barge load Of $4,000 renained in
the wholesale market at the weekend.
There are little or no dealer stocks.
When brick stops coming into the
market other basic building material
sales slow down. Hence, the building
situation in New York to-day is as
acute as it ever has been. Brick plant
activities are normally resumed at this
| time Of the year. As brick manufac-
ture can proceed only six months in
the year there is growing possibility
tnAt the INDUSTRY mas Dcen paraiyzed
for the larger part Of the season. Many
plants have been closed definitely for
the year
"Tne blunt fact is that New York
| is facing brick famine. In the trail
ef such conditions in the past building
stagnation has followed. As final
bid for sustaining business, building
material prices are being unconserva-
lively ,slsshed. In many departments
che selling price to-day is actually be-
low production cost. II price cuts will
not revive building the next alterna-
tive is to cut down production ca
pacity. When production capacity is
diminished production cost is in
creased, and with prices at their lowest
levels consumers are purchasing below
margin Of profit. Such q condition can
not long prevzil.
| Reductions Prove Futile
| Building material price reductions
have proved futile In stimulating
| building construction activity this
spring, although they have been in ac-
tive progress in varying degrees of vi
vacity since last August When prices
seemed to have reached safe bottom
q few weeks ago definite signs Of a
sizable resumption Of building were
10 LET FoH BUSINESS PURPOSES