Evening star., 1951-05-18
Makers Of Newsprint
Hard-Pressed 10 Meet
Increasing Demand
BY the Associated Press

BY the Associated Press
NEW YORK, May 18.-UnitedI
States publishers are being
squeezed by tighter newSprint|
supplies and increasing costs. But
newsprint manufacturers are hav-
ing their troubles, too.
The American Newspaper Pub
lishers' Association summed upI
the supply situation in its annual
report:
publishers getting as much
newsprint in 1851 as in 1850 will
be fortunate"
Some newspapers already have
allocated advertising space from
time to time to stretch out their
stocks of newsprint.
Some have had to increase cir-I
culation rates to keep abreast of
rising prices.
Demand Exceeds Supply.
Many of the big newsprint mills
of Canada and the United States
have announced expansion plans.
But demand continues to exceed
supply.
United States consumption for
the first quarter this year totaled
1,407.199 tons, compared with
1,405,458 tons for the March quar-
ter of 1850.
United States publishers get sol
per cent of their supply of news
print from Canadian mills and
the entire production of both
United States and the DominionI
was 1,622,166 tons in the first
quarter this year against 1,491 1881
tons year ago.
On the surface that doesn'tI
look too bad. But not all of that
production went to United States
publishers. Some of it was for|
Canada; some went abroad. The
exact breakdown is not available.
Recently R. M. Fowler, presi-
dent of the Newsprint Association
of Canada. estimated the United
States would get very close to"
100000 tons of newsprint this
year-1,010,000 tons from United
States mills, 4,775,000 tons from
Canada and 100000 tons from
overseas.
Circulation Increases.
The consumption of United
States publishers last year totaled
5,936,941 tons and estimates of
1851 consumption in this country
have reached as high as 6,100,000I
tons.
The American Newspaper Pub
fishers Association showed how
daily newspaper circulation in
both United States and Canada
has grown through the years.
This growth, which naturally
means more newsprint used. has
taken place despite increased SUBJ
scription and newsstand prices.
The ANPA figures showed the
average circulation in the two
countries was 100000 copies a
day for the six-month period
C1lOCO 4dOU OCpGCl11HC1 OU.
This was a gain of more than
100000 copies day over 1949I
and of more than 27,500,000 cop
les a day over 1920.
Costs S106 a Ton.
The second major problem in
the newsprint field is price. Prices
vary according to location but
the New York tag is $106 a ton.
This is the highest in almost 80
years and compares with an all
time top of $120 in the 2O's and a
low of about $40 in the depression
years.
The price was increased gen.
orally $6 a ton in late 1850 and
there have been reports in Wash
ington recently that another SO
boost is in the wind.
Newsprint prices of United
States producers have been frozen
since the general freeze order jan
uary 26. But Canadian-made
paper is not subject to price reg
ulations since it is sold in most
cases directly to American con-
sumerS under contract terms.
In the grey market prices of as
high as $500 a ton have been re-
ported.
More Sulpher Needed.
The $6 increase in newSprint
prices already has meant another
1854 million added to the cost
of publishing newspapers in the
United States on the basis Of an
annual consumption last year of
So million.
Newsprint manufacturers COM
plain that their costs are rising
too.
They have a tight situation on
raw materials also. Mr.. Fowler
said the best analysis of the pulp
wood situation over the next IL
months is that I'VE will have a
very tight fit
He added if greater supplies of
sulphur, an essential material ir
making newsprint, cannot be OBJ
tanned, capacity production can
not be maintained.
John H. Hinman, president OF
International Paper Co., said OF
the sulphur shortage:
80 far our companies have
maintained their production by
drawing on reserve stocks but new
sources of supply must be devel-
oped if the demand for pulp and
paper is to be met"
%L-L R.>l.G Mace