WORLD MOVEMENT OF MINERALS

Of the annual world production of minerals about two-thirds are used within the countries where the minerals are produced and one-third is shipped to other countries. In this chapter we are concerned primarily with the part which moves between countries. It may be assumed that the consumption within the countries of origin is a matter of national rather than international concern.

In pre-war times minerals constituted about 33 per cent[58] of the value of the total foreign trade of the United States, and 28 per cent of the foreign trade of Germany. Figures are not available to show the proportion of mineral tonnage to that of other commodities.

One of the several interesting facts in this world movement of minerals is that the movement of most of them shows a rather remarkable concentration. For instance, manganese moves from three principal sources to four or five consuming centers. Chromite moves from two principal sources; tungsten also from two. Even for certain commodities which are widely distributed and move in large amounts, the concentration of movement is rather marked; for instance, the world movement of coal is controlled by England, the United States, and Germany. In other words, although the world movement of mineral commodities is widespread and exhibits many complex features, most of the individual minerals follow two or three salient lines of movement. This means in general that for each mineral there are certain sources of limited geographic extent, which, because of location, grade, relation to transportation, cost—in short, all the factors that enter into availability—are drawn upon heavily for the world's chief demands. The convergence of these materials toward a few consuming centers indicates generally concentration of coal production necessary to smelting, high development of manufacturing, large per capita use, concentration of facilities, strong financial control, and, not least, a large element of enterprise which has taken advantage of more or less favorable conditions.

If a nation were fully supplied with mineral resources, without excess, the mineral problem might be almost exclusively domestic in its nature. But no country is so situated. For most of the mineral products the dominant supply is likely to be controlled by one or two nations, the other nations being correspondingly deficient and dependent. Even the United States, which is more nearly self-sustaining in mineral resources than any other country, is almost wholly dependent on other countries for certain mineral supplies; and in the case of minerals of which it has an excess it is dependent on other countries for markets. The view that the mineral resource problem is solely a local and national one, of no concern to outsiders, ignores this fundamental fact of distribution of raw materials.

Control of smelting facilities makes it possible for certain countries to exercise considerable influence over the production and distribution of minerals in other countries, and thus presents many difficult international questions. Even more difficult are the international problems created by the commercial ownership and control of minerals in the ground by nationals of other countries.

The national and international aspects of mineral resources are difficult to separate, so intimately do they react on each other. To some extent there may be conflict of interest between the two, but in the main the international questions may be logically approached from the standpoint of national self-interest; for, in the conduct of the national industry along broad and enlightened lines, world conditions must necessarily be considered. A clearer comprehension of the world mineral relations, and an understanding of our own opportunities and limitations in comparison with those of our neighbors, cannot but eliminate some of the unnecessary handicaps to the best use of the world mineral resources, and result in a lessening of causes of international discord.

A brief survey of the mineral conditions preceding, during, and following the war may serve as a convenient means of approach to a study of the present international aspects of the mineral problem.