Iron County record. [volume] (Cedar City, Utah) 1893-1982, 1921-02-25

III ORES tOnldlHlnR Insufficient ledO 10
pay smelling charges, but high enough
I'm other metals to warrant production.
Lead is the determining factor In
most of the metal mines in Utah. This
state during the period of 1918 to 1920
has produced about one-sixth of the
production of the Uuited States and
one-twelfth OF the worlds production.
Over 30 per cent of all of the wage
earners of the state covered by the
worklngmen's compensation act are en-.
gagged In mining, milling and smelling.
Mine products supply 50 per cent Of
the railroad tonnage Of the state. Min
ing and allied industries furnish the
great market for the states agrlcultu-
raj products.
We are contendlng with high labor
and supply costs, constantly iDcreas-
ing freight and smelling charges. AS
production decreases smelling charges
rise rapidly. We anticipate In the
near future increased world production.
The Broken Hills strike has been set
tied Mexico, with the opening Of its
vast resources, will bring into the mar
kets large quantities of cheaply pro-
duced lead. Rich deposits, at compar-
atively shallow depths, efficient and
cheap labor give to Mexico an advant-
age we cannot overcome.
The mines Of Utah are expensive to
explore, to develop, and to operate.
The ore bodies, as q rule are irregular.
many of them small and often few and
far between. These mines are worked
to considerable depths, largely through
shafts with correspondlngly high costs
and often with heavy pumping charges.
Mining dividends and profits are
mlsnomer. In addition to more than
average returns which should be ex.
pected from an extra hazardous BUSH
ness, the return on the capital invested
and interest on that capital during the
period OF developing property to
paying basis must not be disregarded.
A choice must be made betweeh en-
couraging importations on the one
hand and on the other placing n duty
which will preserve this industry. The
first means the shutting down of the
lead mines of the west, taking away all
incentive to develop the mineral re-
sources of the country, the paying out
TO foreign countries large amounts of.
money. The latter means giving to
American labor opportunity to main
tain Its standard of living and to
American capital encouragement to
take the risk necessary to develop one
Of the natural resources.
A factory may be closed for a per-
iod and the owner still has factory
which he may again operate. A farm
may be left idle and the farm remain,
and at most the loss itself Is felt only
over the period of depression. Mines
must be maintained. When closed
down the cost Of reOpening is prohibit
tive, workings have caved and have be-
come flooded
After crediting precious metal values
and giving no consideration to deple-
ton, Utah's cost per pound of lead to-
day is over 6 cents. Lead is selling at
Az cents. Lead bOnanzas have been
worked out and II Is safe to predict an
decrease In cost can be expected.
We view this question not from the
point of this period of restricted de.
mand, but In relation to ordinary con-
dltions. We are not looking forward
to and do not ask for an artitciallN
high price. We do ask for a duty
which will maintain American stand
ards and provide for the difference be.
tween Mexican and American labor
costs.
Mr.. Frear-What is the cost of pro-
duction abroad?
Mr.. Bamberger-It is almost impos-
sible to determine the difference in the
costs, but as practical example, we
know that even when lead reaches 4ls
cents we have had very serious i'm
portation.
Mr.. Frear-The last speaker just be-
fore you argued that the item of
freight rates was very important be-
cause of the distance from the mines
in the west to New York.
Mr.. Bamberger-I have referred to
that.
Mr., Frear-What are the freight
| rates from Mexico to New York?
Mr.. Bamberger-Mexico to New
York? l do not know, but l am salts
fled there would be difference. We
are asking for this specific duty of =
cents pound on account of our
greater cost of production.
Mr.. Frear-I imagined that the
freight rates from Mexico TO New York
are as much as they are from Utah.
unless they are taken by vessel
Mr. Bamberger - We feel, of course,
in connection with that, even here in
our home market, If that were our only
market, we should be protected to that
extent. We feel that we should have
that protection in order to enable us TO
meet the lower cost in Mexico, and to
keep them from dumping their product
in this country.
Mr.. Frear-Have they been brought
In in the past?
Mr. Bamberger-They have been /;
yes, sir.