The Waterbury Democrat., 1931-09-04
BRITISH STAGE
 COMEBACK IN J SHIPBUILDINC
Industry Gradually Over- coming Effects of the
 Economic Depression
BY ARTHUR F. DEGREvE United Press Stan CorrespOndent)

London.-Shipbuild one of the five great basic industries of England, is overcoming the effects of the severe economic depression by taking drastic action in reducing capacity.
 subsequent agitation for reduction of navies and disarmament and the glut of crafts after the Armistice, brought the industry face to face with a critical situation.
 The demand, stimulated by the war, had more than doubled the shipbuilding capacity in Great Britain and other countries, the need of which suddenly was obvi- ated. Shipyards operated at only DO per cent capacity and overhead charges mounted completely out Of proportion to returns.
 Recent official statistics showed 10000 or 541 per cent of the to- tai number of insured shipworkers in 1880.
 Hit By Slump
 As Britain's foreign trade de- creased, more and more ships were taken out of service and the num- Der was augmented by the economic depression that began two years ago. In addition to the loss of freight passenger trips dropped, shipping companies cancelled cross ings and the agitation for smaller navies showed no signs of abate- ment.
 The shipbuilders devised a dras- tic plan of action. It consisted of reducing capacity by purchasing plants and scrapping them. The National Shipbuilders Security, Ltd, was formed and all members agreed to pay a one per cent levy on all contracts. The money was to be held as security for a loan to expedite work.
 The Securities Management Trust, organized under the auspices of the Bank of England to investi- gate scheme of standardization, ap- proved of the plan and early In 1881. the Bankers Investment Trust Co.,, Ltd, a sister organiza- ton fioated a loan of $5,00O,000 de- bentures to aid the shipbuilders.
 Floated Bonds in One Day
 With the approval of the Bank of England behind it, the loan was fully subscribed on the first day and one of England's most ambi- tious schemes of rationalization was underway. The early results are show in figures revealing that in May, 1881, the value of new ships and boats exported increased by approximately $3,500,00 over the value of exports in May, 1880.
 Agriculture, however, has not been as fortunate. Although it is the largest single industry in Great Britain, farming is done on a less elaborate scale than in other large agricultural countries.
 Its workers, however, have not been as hard hit as an industry. It is estimated that there are ap- proximately s57.300 persons em- ployed on English farms, but the total number of unemployed can not be estimated. The average wage of the farm hand Is $7.b0 week.
 Foreign Farm Products
 found 1t difficult to compete with nations free trade policy. Despite this handicap. agriculture held it's own until 1921 when prices slumped and labor costs increased as did production in other nations.
 Because of the lack of tariff. the farmers concentrated on dairy products and grain, although the country still Imports the bulk of the latter from Canada. South America. the United States and Australia.
 A recent attempt by agriculture to emulate Italy and have the Rovernment compel miiiers to use certain percentage Of British wheat. had little success. Only one branch Of the industry. sugar besta. is subsidized by the gov- ernmsnt.