Industrial Minerals in 1949

Nonmetallic rock and mineral products are so diversified that any generalizations regarding the industries based upon them are of doubtful value and can be misleading. They are geared to every phase of the national economy and respond sensitively and immediately to any economic change, but the responses vary with the individual products. They are also affected by political and competitive factors to a degree that is disconcerting and, at times, ruinous to operators, owners, and stockholders of mineral properties. It is not unusual to find these special factors functioning in reverse of general trends insofar as individual products are concerned. As this summary is being written in the final weeks of 1949 production statistics for the year are not complete, but it is obvious that few, if any, new production records will be set, and that 1949 level, will, in general, be lower than those of 1948. The decline in output is not alarming and reflects in large part the tendency of users, who have been finding sources of supply more dependable to rely on prompt deliveries rather than on inventories to meet immediate needs. Except for the government's program of stock piling which, insofar as it has worked at all, is of more direct interest and benefit to foreign than to domestic producers, industrial inventories have been further reduced, and the neater balance between production and consumption has freed capital for the manufacturer and has cut down the serious hazard of substantial inventory losses. There are no quantity products and only a few special products that cannot be supplied in quick response to current demands. Normal development of a few nonmetallic industries has been retarded by the government's unpredictable application and irrational interpretation of antitrust laws, and by extension of preferential tariffs to new countries and new products. Synthesis is likewise a potent threat. in certain fields, but otherwise it is difficult to make a review of 1949 read much differently from a review of 1948. Changes have been qualitative rather than quantitative, except for a few operations that have been pinched out by the relentless competition that characterizes many of the industrial mineral industries.