The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1937-12-30
E:98!P|;|&{|j''|||||I
III IGz!al Izaiklal:ss Sff666REGfNI

ent policies distinctly do not do that.
Political and economic views pre-
vent it.
Let us examine this situation in
more detail. The great source of
manganese at the moment is Soviet
Russia. Fifty per cent of all we use
is imported from Russia. 1t is a
fact that this is the finest manga
nese to be found, and it is further
fact that American steel companies
sell vast quantities of steel to Rus
STA because they buy manganese
there. On the other hand, I believe
it is inevitable that Japan and Rus
STA will have to fight it out sooner
or later. If they go to war, there
is not chance that we can buy any
manganese from that quarter.
Now, I included Cuba as a
source of supply. 1t is only because
American capital
Cuod has persevered in
Shut Out making available
the Cuban manga
nese deposit. The Cuban-American
Manganese corporation has expend-
ed large sums for establishing the
beneficiation process on permanent
basis. The bureau of mines tells
me that corporation has succeed
ed, but due to Secretary Hull's
reciprocal trade policies, even that
company can hardly get into the
American market. You see, Secre-
tary Hull made a trade treaty with
Brazil that reduced the tariff duty
by so per cent. When that was
done, the reduction in duty immedi-
ately became available to all ma
tons since we must treat all of
them alike. The treaty by Secre-
tary Hull which was approved
by President Roosevelt, therefore,
spelled death for the chances of de-
velopment of the manganese mines
within our own borders.
To show further how these recip-
rocal trade policies have ruined our
own chances, let me call attention
to the fact that the government it.
self has developed an electrolytic
process at the great Boulder dam
that will make high grade manga
nese from the ore in this country.
So here we have a government
owned project and a great reserve
from Cuba available and nothing
can be done about it simply be-
cause they can not compete with
the cheaper ore from abroad
cheaper because of cheap or forced
labor and Secretary Hull's unex-
plainable cut in tariff duties. Our
national policy always insisted on
an American standard of living for
Americans. That means higher
wages. 1t is a correct policy. But
why, I ask, does Secretary Hull
destroy home industry on the one
hand and provide for profits of for
eigners on the other when we cling
to policy of the kind mentioned?
It is rather ridiculous, it seems to
me, that an administration will try
to force legislation for shorter hours
and higher wages and won't give in
dustry here an opportunity to de-
velop new jobs.
The point of all of this is that
the policy which Secretary Hull has
adopted, with the approval of a rub
Der stamp congress, has caused
American capital to shrink from in
vestment in manganese mines. Mel
Their you nor / will put any money
into a thing that will cause us to
lose our dollars. My thought is,
therefore, that the government
ought to look into the future some
what; it ought to prepare for the
time when foreign sources may not
be available either on the basis of
a high price or inability to trans
port the ore, and it certainly should
consider that this nation is designed
to live through centuries of the fu-
ture under conditions we may not
now conceive.
OF immediate urgency, however,
is a supply on hand. Congress
~, passed legislation
StocR-FIie to provide for a
Needed stock pile, a re-
serve on hand un-
der ownership of the government
itself. That law provided for in
vestment of $40, 900, 900 which would
acquire approximately 1000, 900 tons
of manganese. The War department
called for bids. Americans, of
course, could not compete with for
eigners. Even the Cuban company
could not make an offer within
reach. Something has held up the
contract award, however, and there
has been delay. I am fearful that
some of our steel companies have
urged War department specifca-
tons that would not permit Ameri-
cans to participate in the contract
because of the low grade ore in
this country, but in any event the
Hull tariff reduction would hold our
mines outside.
/ am all for that stock-pile idea.
1t would be one foundation stone in
the wall of defense which I believe
the nation ought to have. But that
alone would not solve our general
problem. We can not continue for
ever with the present policies. Some
time in the future, there will be a
war in which this nation will have a
part. There can be no doubt of
fbot Co xUhi1o all Of tho uorio,,c