WAR SUPPLIES

Evening Post, Volume CXXIX, Issue 31, 6 February 1940, Page 9

WAR SUPPLIES

MEETING THE DEMAND

BRITAIN'S GIGANTIC TASK

UNITY WITH FRANCE

(By Air Mail, from "The Post's" London Representative.)

LONDON, January 2,

Britain's gun output in 1940 will exceed the final maximum peak production attained during the last war. At the same time the quickening of the pace of the nation's war1 effort will be from three to five times faster. These facts were given by Mr. Leslie Burgin, Minister of Supply, at a Press conference last week.

Mr. Burgin emphasised that "everything is to move three, four,' or five times more quickly," and illustrated his point by saying: "Guns that fire more quickly wear out faster, so that more have to be supplied. Guns that fire more quickly consume more ammunition. Vehicles that drive more quickly depreciate faster. Vehicles that move quickly require more small parts."

Dealing with the increased potential for supplying the mounting needs, Mr. Burgin said: "Since the outbreak of war we have put in hand 20 new Government ordnance factories at a cost of £45,000,000. We have extended the factories of contractors in 300 cases at a cost of £10,000,000.

"We have doubled the output of shells since the outbreak of war, and are now making ten times as much as the figure for a comparable period in the last war.

"Since the beginning of the war gun production has increased in some cases by as much as eight times. Next year, gun for gun, our output will exceed the height of the final period of the maximum production effort ever attained during the last war."

Dealing with mechanical vehicles, Mr. Burgin said that in the Great War the total contribution from the United Kingdom in transport vehicles was something like 40,000. In the first year of the present war Great Britain's contribution alone would exceed 100,000 vehicles.

VAST EXPENDITURE.

The magnitude of the effort was underlined by details of the cost which Mr. Burgin gave. During the week ended December 19 the Ministry of Supply had placed new contracts for £9,500,000, making a total since the outbreak of war of £234,000,000. This amount excluded contracts of a continuing character for raw materials. The largest individual block in the £234,000,000 was for raw materials, metals, textiles, and leather, amounting to £73,000,000. Other items were: Guns, small arms, ammunition, £50,000,000; vehicles, £45,000,000; scheme for aiding production, £22,000,000; machine tools £13,000,000; optical and scientific instruments, £12,000,000; general stores, £10,000,000; explosives, £7,000,000. In addition, Britain had entered into long-term contracts for wool, copper, lead, zinc, aluminium, paper, timber, temp, and flax, which amounted to hundreds of millions of pounds.

In the whole field of production in Great Britain not limited to war work, there were 75,000 firms employing ten people or more. In Northern Ireland there were about 1200. Of these, there were already on the Ministry of Supply list of contractors . 15,000 firms, 2190 having been added since the outbreak of war.

CONTRIBUTION TO WAGES,

Explaining how the vast Government orders would benefit employment and bring payment of wages, he said that in the Royal Ordnance factories 60 per cent, of the total expenditure consisted of wages. It was very difficult to ascertain in any order how much would be represented by payments for labour and how much for raw materials, overhead .charges, heating, lighting, and other services, and when the Ministry placed a contract with various firms the amount which could be traced to direct vage payments per £1000 of the order varied according to the item manufactured. In general, if the wage paid by the sub-contractor was included, a £1000 contract meant a minimum' wage payment Of between £300 and £350, and a further wage payment of between £100 and £150 on the earlier processes connected* with the raw materials. In a building contract, the ratio for wages was a good deal higher, and it was calculated that in those cases it amounted to 60 per cent. Dealing with certain commodities which were being purchased' by the Government, Mj> Burgin said: "Great Britain has bought at prices ruling before the war the entire output of one producer. The producer concerned has undertaken to accept the pre-war price because he has the assurance of a solvent buyer who will take his entire output. The number of controls which have been instituted is 16, a mere handful compared with the last

war."

SERVICES OF TRADE EXPERTS

These controls had the services of experts in the various trades or commodities involved, and they had been set up to assure that supplies are forthcoming of anything which is likely to be in great demand, that prices are regulated, that there is no profiteering, and that the various materials are allocated on a carefully-prepared plan and are not merely available to whoever jumps in first or offers the highest price. On the question of the employment of small firms in fulfilling Government contracts, Mr. Burgin said that the Ministry was adding small firms to its list every day, but he pointed out that in some cases the employment of small firms might mean decrease in the rate of delivery and increase in costs. An effort, however, was being made to give an equitable share to the smaller concerns. Instancing the case of clothing, Mr. Burgin said that about 70 per cent, of the orders went to the large firms, 20 per cent, to the medium, and about 10 per cent, to the smaller companies. He thought that the best use could be made of the smaller firms in supplying a whole range of general stores which were needed, rather than munitions.

CLOSE RELATIONS WITH FRANCE,

It was impossible, he. said, to exaggerate the Importance of the closeness of the relations between this country and France in supply matters. The French Minister of Munitions would visit London shortly to confer with him in the same way as they conferred in Paris recently. At this forthcoming meeting all questions of mutual interest would be thoroughly discussed.

The French Ministry of Munitions had a delegation permanently hi Britain, with offices in the Ministry of Supply building, and there was a direct telephone line linking them to Paris, so that immediate communication could be obtained at any time.

Mr. Burgin also praised the closeness of the relations established with the Dominions and India.