San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-03-11
PRODUCTION IN
UNITED STATES
At HIGH POINT
Manufacturers Write Prof
its on Right Side Of
Ledger.
WORK NEAR CAPACITY
Orders Result in Turnover
Becoming Veritable
Roll.
WORK NEAR CAPACITY
By j. c. ROYLE.


Copyright by The San Antonio Light.
New York, March 10.-Production
is writing profits on the right side
of the ledger for the manufacturers,
distributors and retailers today.
Prices of finished products to retailer
and ultimate consumer have not adj
yanced in equal ratio TO the increase
in the cost of raw materials. Ne'-
ertheless. the net income of makers
and merchndisers are increasing to a
point of prosperity equaled only IN
the boom times of 1870. The answer
is capacity production.
Practically every big basic indus
try in the United States today is oper-
ating as near to capacity as short
age of labor, skilled and unskilled,
and the delays to shipments due to
inadequate transportation facilities
will permit. Production costs are
three times greater when plants are
manufacturing at % per cent of ca
pacity than when they are running at
100 per cent. Therefore. in spite OF
increased costs of material and labor,
finished goods yield no less profits at
present prices than they did six or
eight months ago.
Textiles Production Active.
Nowhere is this tendency so evil
dent as in the textile trades. Raw
wool prices are up TO a point high
above the top of 1922. Yet WOODEN
goods prices showed an increase OF
less than half the advance in raw
wool in most lines. Manufacturers,
however, are sold up well into next
fall and undoubtedly their season will
net profit higher than in 1922. when
the leading interest made astonishing
strides.
Advertisements in the newspapers
throughout the country show that
clothing for men for spring is on about
the same price level as for the spring
of 1922, although goods prices and la
Dor are higher. Yet profits has not
decreased, for buying power and de-
mand have jumped ahead as fast as
costs. r-r'
Turnovers Becoming Roll.
Cotton cloths advanced this week,
but not to point which 31-cent cot
ton would seem to warrant. Nine dol
lars and twenty cents pound raw
silk brought talk of $40 silk, but no
talk of similar increase in finished
silk prices. But neither retailers
nor manufacturers are worrying for
the buying power is there aud goods
are moving into consumption SO fast
that turnover is becoming q roll.
Steel Wage Advance.
Steel prices advanced materially this
week and further advances seem in-
evitable The steel trade now gener-
ally admits that the long-predicted
advance in wages of steel workers is
coming. Some declare that its an-
nouncement will await the return OF
Judge Gary, chairman of the board
of the United States Steel Corpora
ton, from Europe, but it may not
wait that long. A 10 per cent in
crease at the American Steel and
Wire Company's plant at Worcester is
expected at any moment.
Steadying of Commodity Prices.
Many of the basic commodities have
steadied from the active fluctuations
of week ago. Wool and rubber have
shown an easier tendency in foreign
markets, although both have been fair
ly firm here. Silk receded frac-
ton from the ton levels reached Nom
day and advances in cotton have
grown harder to maintain. Cotton is
quivering around ~ cents a pound.
although the export price is above that
figure. Lead, zinc and tin have main
tanned their advances and their sta
tistical position has not been weak
ened. White lead is up, as are other
paint materials. but demand for April
deliveries of paints is keeping factor
les at the peak Of production.
Record Shoe Production.
The Endicott-Johnson shoe factories
are turning out 10000 pairs a dag
with orders running ahead of output.
The Midwest factories are crowded
to the limit, while New England and
Philadelphia are not far behind. a..
A stream of orders for new cars and
locomotives continues to flow from the
railroads into the offices Of the equip
ment manufacturers and in turn are
being reflected in increased demand
on the production of the steel mills.
Cement plants are raising production
closer to capacity as spring approaches
and brickmasons are preparing for
tremendous demand with the advent
of war weather.