The Washington herald., 1921-02-25
Unsettled Conditions Pre-.
vail, Says Sec'y Mere
dith's Statement.
I POTASH DECLINES
Great Fluctuation in Fertilizer
Material Prices During 1920.
Phosphate Monopoly Exists.

a statement forwarded to the United
States senate by the Secretary oil
Agriculture, in response 10 reso
luton asking for information on
four points: ~ The amount OF
commercial potash, nitrogen ana
phosphoric acid available for fer-
tilizer purposes; CD the prices Tor
each in 1920 as compared with 1913;
CD suggestions as to relief II the
amount Is insufficient or the price
is prohibitive; CD a report on IN
vestigations made and results OBJ
tanned since the publication of Sen
ate Document 262. Sixty-fourtn
Congress, first session, January 20
1916.
The report shows that according
TO best estimates the total amount
of potash imported and produced
in the United States for fertilizer
purposes in 1920 was 100000 tons.
~as against 237.437 tons in 1918, and
predict that because Of present
subnormal buying power large
stocks of potash salts will be car
ried over beyond the spring season
of 1891.
No Funds for Investigation.
As to nitrogen, the department
Is without specific Information, due
to lack of funds for gathering data.
but figures of the Bureau of For
, eign and Domestic Commerce show
imports in 1920 of 1,4S0,503 short
tons of nitrate of soda and a rela-
lively small amount of nitrate of
potash as against 659.6O0 short tons
of nitrate of soda in 1913. In view
OF the subnormal buying power for
the spring season of 1921. the stocks
on hand are believed sufficient for
deliveries and contracts for the en-
tire year. The imports are con-
tinuing. Sulphate of ammonia pro-
duction is estimated at $4,000 tons.
1t Is estimated that $4,000 tons are
now in the hands of producers, and
about an equal amount in the hands
of fertilizer manufacturers. No def
mite estimate can be made of the
amount in storage or Of resale ma
terial.
The stocks of cottonseed meal and
other organic ammoniates are be-
lieved to be larger than usual
Statistics of the actual production
of acid phosphates in 1920 are not
available because of the same lack
of funds for gathering data: but
tion of phosphate rock places the
figure at 4.500.OO0 tons of acid phos-
phate, as against 1000, 900 tons in
1918. Under usual conditions this
would have been considered a nor
NAL supply of acid phosphate. the
report states, and the industry
could readily have absorbed it,
With the subnormal buying power,
however. that developed in the fall
OF 1920 and the anticipated smaller
sales of commercial fertilizers in
the spring of 1921. large stocks have
accumulated in the last two months.
and some Of the acid plants have
actually closed because their stor-
age capacity has been reached.
Price Fluctuations in 1870.
Comparing the prices of fertilizer
materials in 1920 and in 1913. the
report states that prices fiuctuated
greatly in 1890. The price of Flor
ida pebble phosphate rock, for IN
:. stance. varied from s6,s5 T. o. b.
Tampa, in February, to S1l f. o. b.
mines, in the summer and fail. and
back to 50 and $3.50 in January.
1921. The quotation at the mines
involves an additional cost of about
$3.50 for transportation to an ocean
port. Bulk acid phosphate varied
from S1s.75 in New York in Jam
nary, 1920, to SCI in the fall, and
dropped to SIS in January. 1921.
Farmers straight acid phosphate in
bags was quoted at S24 a ton at
Northern ports in January, 1920; $40
in the summer and fall, and dropped
to SIS to s29 beginning with Octo-
Der. In 1918 pebble phosphate rock
sold from So to S3.70 a ton at
Tampa; bulk acid phosphate was
from $3.50 to IS a ton in New York;
and farmers straight acid phos-
phate was from 1881 to 1894 a ton
at Norfolk.
Potash muriate was quoted from
s2.75 to 50 per unit in New York
at the beginning of 1920, but began
TO drop in May, and touched $3.50
in January. 1921. Potassium sui
phate dropped from "a to s215 per
unit. In 1918 potassium n1uriate
sold at 76 and a cents per unit,
and potassium sulphate at "a cents
While the fertilizer statistics for
1890 have not been complied. in a
general way the report states IL
may be said that spring sales were
unusually large. The fall sales, on
the other hand, were scarcely NOR,
than so or so per cent of normal.
1t may be fairly said that the sales
of fertilizers in 1920 when finally
compiled will show somewhere
around 100000 tons
Reference is made to the peculiar
conditions existing in the Florida
phosphate rock industry, where il
Is said the larger fertilizer manu-
facturers have secured contract
rock at not to exceed $6 a ton, max
ing the cost of the material in bulk
acid phosphate s12 or $13 a ton,
while manufacturers not holding
contracts have been obliged to pay
siI and S12 a ton for rock, and the
noncontract sales of bulk acid phos-
phate ran from $50 to ss2 a ton.
Phosphate Monopoly Exists.
@,The smaller manufacturers ana
d. mixers are entirely dependent
unon their larger competitors for
the acid phosphate or the rock
nhosphate they need. . They enter
into competition in the sale Of fer
tiIizers with their larger competi--
tors. who own and control the phos-
phat. ield and who sell the phos-
pfate to them on their own terms.
n Is a matter for serious considera-
ton that one group of fertilizer
manufacturers having large capital
should be permitted to exercise con-
troll Of a natural deposit, and the
manufacture of acid phosphate
therefrom as against the interests
~ a Large number of smaller manu-
facturers who have been compelled |
10 pay excessive prices for acid |
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