the volume of the product. The raw materials, at least the prussiate, are very expensive. Because of the slow progress of the product through the plant, the interest charges on material in process of manufacture form a fairly large item. Considerable capital is necessary, therefore, not only for original plant but also for working capital. Localities of production in the United States. The census reports 15 establishments for the manufacture of Prussian blue in 1914. Six of these establishments were in New York, four were located in New Jersey (most of them near New York City), and four in Illinois. The location of the other establishment is not specified. The establishments located in the State of New York furnished 71 per cent of the value of the total domestic output in that year and, if the factories located in New Jersey are also assumed to lie in the New York district, nearly 95 per cent of the 1914 output was produced in the vicinity of New York. Domestic production and consumption.-Prior to 1914 the domestic production furnished over 75 per cent of the total consumption of Prussian blue in the United States. IMPORTS. General. Following the increase in the duty from 6 to 8 cents in the tariff act of 1897, the imports decreased steadily from over 212,000 pounds in 18971 to 132,000 in 1903. A short but rapid increase beginning in the next year brought the imports to 246,260 pounds in 1906. After this record importation the annual imports fluctuated more or less, but ranged generally somewhat more than 190,000 pounds until the tariff act of 1913, when a marked increase is noted. The imports in 1915 were the largest in the history of the industry, amounting to 547,229 pounds, valued at $112,904. This value, however, was greatly exceeded in 1917, because of the enormous increase in prices of this product. The imports in that year amounted to 375,074 pounds, with a value of $209,524. Countries. The countries of origin of the imports of Prussian blue are not given in Commerce and Navigation. The only data at present available are for the year 1914. These show that prior to the outbreak of the war Germany furnished practically all the imported supply. Only very small amounts were imported from England, France, Belgium, and Norway. Revenue. The maximum revenue collected on imports of ferrocyanide blues was $41,904.80. This amount was received in 1917 under the tariff act of 1913 (20 per cent ad valorem duty). Previous to 1915 the largest revenue was that collected in 1906, under the 8-cent duty of the act of 1897. The duties collected in that year amounted to $19,700, but the average revenue under the 8-cent duty was only about $15,000 annually. PRICES. There is little difference in price between the various shades of iron blues. The prewar average of these grades was a little less 1 The references under this topic are to fiscal years. 2 The declaration value per unit of quantity for that year was only $0.176, as compared with $0.224 in 1903 and $0.32 in 1894. In 1907 the value was $0.205. 3 Department of Commerce, Miscellaneous Series No. 82. than 30 cents per pound, with Prussian selling a trifle lower than Chinese, Milori, etc. Celestial blue, which is highly adulterated, was obtainable at around 5 cents. The war-time fluctuations, as shown on page 22, followed rather closely the price of ferrocyanide. At the midyear, 1919, the prices of these articles stand a little more than double prewar levels, all the iron blues, including Prussian, being quoted at 60 and 70 cents. Celestial increased 200 per cent and more, selling at 12 and 25 cents in July, 1919. TARIFF HISTORY. Prussian blue was first specifically mentioned in the tariff in the act of 1890, which provided for a specific duty of 6 cents per pound on this commodity. The same rate was continued in the act of 1894. In 1897 the rate was increased to 8 cents. As noted above, this increase had a very marked effect in reducing the amount of the imports. The duty on ferrocyanide blues was not changed in the act of 1909, but in 1913 these blues, in conformity with the tariff policy with respect to all pigments, were placed on an ad valorem basis. The rate of 20 per cent was equivalent to a reduction of more than 50 per cent in the protection, as for more than 10 years the declaration values of the imports had averaged less than 20 cents per pound. The effect on the quantities imported was almost instantaneous. The effect, however, during the later years of the war period was to largely increase the protection of the domestic manufacturer. During the fiscal year 1918 the average duty collected was 12.6 cents per pound. COMPETITIVE CONDITIONS. The most important feature of the competitive condition of the domestic Prussian-blue industry is the cost and availability of the prussiate supply necessary to the manufacture. It takes at least 120 pounds of yellow prussiate of potash to make 100 pounds of high-grade Prussian blue. The prewar price data indicate that in the United States the price of Prussian blue was from 50 to 75 per cent higher than that of this important raw material-a not very large margin. Prior to the war the potash salt was used almost exclusively as the raw material. Since the United States was dependent upon Germany for some 50 per cent of its consumption of yellow prussiate of potash, which was imported over a tariff barrier of 2 cents per pound in the act of 1913, it is evident that the American manufacturer was at a decided disadvantage. The war wrought a marked change in the situation, due to the extended use of prussiate of soda in place of the potash salt. The price of the latter rose from about 13 cents in 1914 to $1.80 in 1916, and later dropped to a little more than $1 per pound. These prices made the cost of the potash salt practically prohibitive for color manufacture. Attention was therefore directed toward the use of the sodium compound, which before the war had been selling at less than 10 cents per pound. It had not been used in color manufacture to any large extent, probably because it could not be secured in as pure condition as the more easily purified potash salt. The theoretical quantity required to make 100 pounds of product is somewhat less than in the case of prussiate of potash, but apparently, in spite of the lower cost of raw material, it was not profitable for the manufacturer to use the soda salt until the differential was increased to an enormous extent. The position of the domestic producer with reference to supplies of the sodium salt is much better than in the case of the potash compound. During the war period it is probable also that considerable progress was made in cheapening the domestic supplies of all compounds containing fixed nitrogen, including both the prussiates, as compared to the former relative costs in this country and in Europe. It is doubtful, however, if domestic blue manufacturers can meet foreign competition on equal terms. Prussian blue-Production in United States. 1 1899, 1904, 1909 the pigments lithopone, chrome yellow, orange or green, Prussian blue, ultramarine and other dry colors were grouped into one class. Blues, such as Berlin, Prussian, Chinese, and all others containing ferrocyanide of iron---Imports for consumption-Revenue. IN PULP, DRY OR GROUND IN OR MIXED WITH OIL OR WATER. IN PULP, DRY OR GROUND IN OR MIXED WITH WATER.2 Blues-Dry colors, prices (wholesale or retail) per pound, 500-pound lots. Blues, in oil, prives (wholesale or retail) per pound, in 1-pound and 5-pound cans. [From Oil, Paint, and Drug Reporter.] Blues, dry colors-Prices (wholesale or retail) per pound, 500-pound lots (1920). [From Oil, Paint, and Drug Reporter.] Kind or grade. Prussian. Celestial. Chinese. Soluble UltraMilori. (250-pound marine lots). (barrels). Bronze (tin). January Act of Par. 1883 1890 .90 .90 1.00 .95- 1.00 12- 25 .25 .90 90- 1.00 .95-1.00 $0.80-$0.85 $0.12-$0.25 $0.80 $0.85 $0.80 $0.85 $0.85-$0.90 $0.35-$0.50 $0.80 $0.85 .90 90- 1.00 .95- 1.00 50 Blues, such as Berlin, Prussian, Chinese, and all others containing 6 cents per pound. ferrocyanide of iron, dry, or ground in or mixed with oil. Blues, such as Berlin, Prussian, Chinese, and all others, containing 8 cents per pound. ferrocyanide of iron, in pulp, dry or ground in or mixed with oil or 1894 38 1897 45 1909 1913 |