BRITISH TRADE.

Press, Volume LXIV, Issue 19466, 13 November 1928, Page 12

BRITISH TRADE.

THE HEAVY INDUSTRIES. (WSrTTBN POE THE PBBSS.) (By a Commercial Expert of the "Economist.") With the coming of autumn increasing attention is being paid to the outlook for Britain's heavy industries —the iron and steel and coal trades. Normally the heavy industries experience a seasonal stimulus in the autumn. Interest in the present autumn trade outlook is the greater owing to the unsatisfactory state of trade so far this year. Though those interested in the heavy industries are accustomed to a certain measure of depression, the volume of trade transacted during the spring and summer months of thiß year was regarded as falling below expectations. What, therefore,, do the coming . months promise? It is necessary to speak with caution, but it would seem that there are definite signs of an. improvement. The latest report of the London Iron and Steel Exchange states: "The market is developing a distinctly healthy tone. The autumn demand has not fully matured," but the prospects are decidedly good asfar as can be judged by the increasing volume' of enquiry which has been circulated both on home and export account." This fairly summarises the situation of the whole

country. As regards coal, there is likewise a more optimistic, tone in the latest reports. The domestic demand for industrial purposes is likely to improve, while a considerable number of valuable overseas orders have been booked. In , certain quarters the improvement is attributed to the organised marketing schemes.- .Whether or not this is the case the fact of the improvement is acceptable. It by no means follows, however, that prices are satisfactory. Indeed, this is not the case, and perhaps the best that can be hoped for at present is that they will be less unsatisfactory. The question of the extent to which rationalisation is proceeding has lately been discussed and somewhat divergent views have been expressed. It will not be possible to give a final decision until adequate tatistics over a sufficient period are available. We make reference to the economic future of coal in the next paragraph. , The World Fuel Conference. -The World ,Fuel Conference, held in London, discusses many aspects of the ■fuel'problem, .but in particular it discusses the economic future of coal. At the time of writing, the proceedings of the Conference have not 'been completed. So far as can be seen, however, it would appear that there are features for the coal industry—in the long run ;if not immediately. But this sentence needs qualifying, for it assumes that: the ■best possiole use will be made of the coal. This cannot be said, for instance, of present-day 'Britain, but at least the way to the fullest use 'of our coal, has been; shown. The latter poibt was by the Conference and there seems little doubt tliat there are hopeful possibilities ahead; both from the narrow point of view of the coal industry And from the wider standpoint' of' the general consumer. ~ ■ Modern practice as elaborated in the Ruhr serves as an example. There is a remarkable, far-reaching combination, embracing coke-ovens, olast-furnaces, steel furnaceo, rolling mills, and generating stations. The coke-oven ■ gases are used in the steel furnaces and soaking pits, and in some cases-under boilers to generate steam for power and heating purposes; the , blast furnace gases drive gas-engines in the generating station and'the electrical requirements of the whole are met from the latter, with disposal of surplus energy whether to public networks or to other industrial concerns. A ■ number of the papers read at the conference supplied interesting details of thiß general picture. In particular, there is interesting information regarding low-temperature carbonisation. It has been frequently stated that low-' temperature carbonisation, while being wholly admirable in. intention, will not reach a stage of commercial application for many years to come, and this view is advancedin a number of papers submitted to the conference; but, as is shown by authoritative and closely. ; detailed monographs from' both this country and Germany, it is now, being . developed;,on,, a commercial' scale in conjunction with electricity supply. The Progress of Fuel Economy In Britain. ' The proceedings of the world -Power Conference have been supplemented by , the publication of an interesting first report of the National Fuel and Power Committee. This, of course, relates exclusively to Britain, but'it is nojie the -less' valuable on that account.' Indeed, it would be valuable if it merely served to show that Britain has made , 'some progressin recent years in fuel economy. ' For instance; approximate figures indicate that the coal consumption, per, ton of pig iron produced has fallen from 1.95 tons in *1924 to 1.84, tons in 1927, while it is estimated that, 1.1 tons* of coal per ton of steel ingots and castings produced were consumed in 1927, as compared with a consumption of 1.26 tons in 1924. _ Moreover, there has been a notable increase in the amount of electricity generated during .the past few years, the increase since 1924 being put at 50. per cent., against an increase of 22 per cent, in the total consumption of; raw coal and coke. Discussing these figures, the report observes: "In. general there has been a' distinct movement in; , the 'right' direction." It goes on to say, however, that "we think much still remains to be done."

As for the future, the report specially stresses the need for. more extensive "periled!' research in fuel technology. Itis, suggested that we should not be content to await the fruits of the more advanced.research, but should use the existing methods to the utmost possible extent. The committee is impressed by' the' great possibilities of fuel economy in : the future. In particular, they recommend closer co-oper-ation between . the metallurepcal coking and gas-producing industries with a view to establishing a network of gas mains on the lines of the electrical "grid." The committee's recommendation that the possibilities should be examined. by an expert committee has been accepted bv the Government and such a committee will be duly set up. The results of its deliberations will be awaited with' interest. LONDON PRODUCE MARKETS. The. Bank of .New Zealand has received the, following/advice from its London office 'as at the close of business last week:— Bntter—Steady; 172g to 178s per ewt. Cheese—Quiet, coloured 104s to 106s per cwt; .white.lo6s to 108s per cwt. Frozen Meal—The market for. wether mutton is., depressed. "There are as yet no prospects for'an advance for < r ewes. The maVket for lambs- is well supplied. The beef market- is inclined to become weaker. Wethers; light. 6sd. to 7d per lb. heavy 5Jd to 6Jd per.lb; ewes, 4Jd to 5Jd per lb; ' lambs, twos lOd to ICJd per lb. eights ind to IOJd per lb, fours 9Jd to" 9Jd per neeonds BJd to 9d per »h; ox hinds. 4Jd to 43d per lb; ox fores, 33d to 4d per lb; cow binds, 4Jd to 4Jd per lb; eow fores, Sid to B|d per lb. I