igg IRON AND STEEL IN BRITAIN
Iron was the lowest recorded. From 1890 to 1913, however, the price
of British Foundry Iron No. Ill was the lowest in the world.
Comparing Cleveland No. Ill with the nearest Continental grades,
prices before 1914 were from ss. to los. lower in this country. West
Coast hematite was also somewhat lower than German hematite.
One of the reasons for British pig iron prices comparing favourably
with German was the lower overheads of our pure works relative
to the German mixed works. While prices in Europe had showed a
steady upward tendency from the nineties, there was a downward
trend in the U.S.A. after the turn of the century, and before 1914
American prices had approached those in this country and were,
in fact, lower than for some Continental grades. This suggests that
technical efficiency was increasing at a faster rate in America than in
Europe.
The rapid fall in prices after 1920 necessitates some latitude in
estimating average yearly figures, but during the decade 1920-30
prices of French and Belgian pig iron were less than British, whilst
American and German irons were dearer. French and Belgian pig
iron prices were the lowest in the world, with the possible exception
of Indian pig iron, and their export prices were considerably lower
than domestic (about 8s. 2d. in 1930).
(c) PIG IRON EXPORTS
Though our price advantage continually decreased from 1870 to
the outbreak of the European War, Britain maintained a large
export trade in pig iron, having a mean of between i and ij million
tons per annum, with a noticeable upward trend after 1892. The
narrowing margin between British and German prices (influenced,
no doubt, by the German rebate system and special export arrange-
ments) accounted for the increase in German pig iron exports after
the turn of the century up to r million tons in 1913.
After 1920 the situation changed and French* and Belgian prices
governed the world market. French exports of pig iron became the
largest in the world and German exports equalled the reduced
British figure of approximately half a million tons annually. This
was due to the better export organization of the Continental indus-
tries, together with their system of rebates, differential export prices
and favourable freight rates. Other factors must have been involved,
kwever, as whilst British production fell and exports decreased,
worid production expanded steadily and imports into this country
increased*