Evening star., 1946-01-27
Furben Plants Goino
But Shares Still Rise
Observer Sees Chemical Industry
An Imperative Need
By Raymond MoIeu

By Raymond Moley
While Gen. w. H. Draper of the Of
fee of Military Government was an
nouncing that the United States had
wiped out 81 plants of the l. G. Farben
chemical trust, the shares of that COM
pany still were rising in Germanys most
dignifled stock exchange, at Hamburg.
A few months ago. I. G. Farben was
selling at rs. 1t is now nearly twice
that. Who is fooling whom? Do the
spectators believe that this great but
badly battered enterprise will again be-
long to its shareholders?
Apparently the German businessmen
who are buying Farben stock believe
that the company is essential to Ger
man economy even after its plants are
gone. 1t apparently is assumed that
there are values which cannot be Sc
questered and which will remain in a
skeleton company. This assumption is
based on the fact that there are thous-
ands of chemical processes which can
not be protected by patents and which
cannot be seized. 1t seems also to be
assumed that the four occupying pow
ers ultimately will find that this great
industry must remain in the form of a
private corporation.
1t may be that these assumptions will
prove to be correct
If German economic life is to be re-
established on a peacetime basis, the
chemical industry. under such form of
supervision, viii be essential. It must
produce synthetic fertilizers, if 95 per
cent of the former German population
Is to live on rs per cent of the land.
This production must not only be larger
than ever before, but new techniques
must be found. And the secrets of know
how are in the brains of l. G. Farben
scientists.
The fuel supply of Germany, espe-
cially coal, will be curtaled by Russian
seizures in Upper Silesia and French
ineficiency in the Saar Basin. Chem
istry must produce great quantities of
synthetic oil and alcohol.
Aspirin, phenacetin and other medical
products must be produced German
medical products are sought not only
for Germany, but for many other Eu-
ropean countries. Here the past expe-
rience of German chemists will be
needed.
Moreover, there will be needed vast
quantities and varieties of ersatz ma
terials. since raw materials will be scarce
for years. Dye-stuffs will be indis-
pensable.
When this is added up, the case is
/ clear.
| But the question which will remain
will be how the German chemical in
/ dustry is to be run 1t would be a
tragedy if each of the four zones of
occupation should set up it's own policy.
| Chemistry is indivisible. The Farben
plants are interdependent. And central
I research is essential
Since the best method of running such
an industry is in the form of a private
corporation or corporations, the old
| method of one combine of some hundred
subcorporations or a new successor
corporation should be provided.
/
But the decisive vote in such a COM
pany or companies must be in inter-
Allied hands, for it is clearly impossible
to permit this business, which is so
dangerous in war production, to remain
in German hands alone. And the Inter-
Allied body which succeeds present mil
itary governors should be thoroughly
equipped with flrst-rate experts for
supervision and inspection. Such a pat
tern, first designed for I. G. Farben,
| might then be applied to other German
industries.
The present danger is that political
arrangements among the Allies will
proceed so slowly that necessary
economic planning will be disastrously
delayed. This is another of the many
reasons why Messrs. Byrnes, Bevin,
Molotoff and whoever it may be in
France should revise the Potsdam plans
soon.