Behind the Markets - C&EN Global Enterprise (ACS Publications)

IN ADDITION to cool nights and colored foliage, autumn also ushers in the contracting period in chemicals for the year ahead, and some of our large ma...
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Behind the Markets ADDITION to cool nights and colored I Nfoliage, autumn also ushers in the con­ tracting period in chemicals for the year ahead, and some of our large manufacturers are a little earlier than usual this timo in offering contract renewals to consumers of large tonnage chemicals. But before signing up for monthly ship­ ments next year of such essentials as alkalies, acetic and sulfuric acid, insecticide and ferti­ lizer materials, solvents, coal-tar derivatives, the buyer probably is seeking answers to a number of questions: (1) When will the European phase of the war terminate and the intensified drive in the Far East begin? (2) To what extent will industry be per­ mitted to reconvert to civilian goods produc­ tion, and when? And the final interrogation is even more difficult; (3) What revisions are contemplated in price control during 1945, and how will they affect production costs and markets? The chemical manufacturer would welcome enlightenment on these points as well as the consumer, with the result that we have had little forward booking of chemicals as far as next year is concerned. The national elec­ tion next month, some believe, might clarify

the picture for both; for the time being the political campaign is just another element of uncertainty. There have been sonne interesting chemi­ cal price developments over the past fort­ night or so,· but they are not to be taken as indicative of any general trend for the in­ dustry. Prices have t>een slashed for men­ thol, which is now imported from Brazil; for quicksilver (a further reduction), and for cinnamic aldehyde, necessary in the manufac­ ture of certain perfumes. Citroneila oil, which has other important uses in addition to its reputation as a mosquito repellent, was one of the few materials to advance in price. The price for menthol has been the special concern of the ΟΡΛ and importers of the product in this country· The margin as be­ tween shipment costs in Brazil and the per­ mitted ceiling price here in the past has been either nonexistent or thinner than the butter on drug store toast. Offerings of menthol are now made at $15.50 t o $15.75 per pound, it is reported, against the previous ΟΡΑ maxi­ mums of $16.50 t o $16.90 per pound. The new crop is understood to be> available at $12 per pound, duty paid, for January shipment, or approximately equal to $24 per kilo a t Santos.

Twin-Arc

WEATHER - OMETER T e s t Results Twice As Fast The n e w Atlas Twin-Arc "Weather-Ometer h a s been developed t o save time w h e r e speed in testing is ess-entialWhere Federal Specifications c a l l for a definite number of testing liours in t h · Atlas single arc Weather-Ometer, t h i · time can be cut in iiali in t h e Atlas Twin-Arc. Exclusive Ailas Twin-Arc

Weather-Ometer

features:

1. Temperature control. 2. Unlimited r a n g e a n d control of Light a n d Water Spray Periods.

6. Carbon cost 28c p e r day. 7. Full automatic—Safe to op­ e r a t e u n a t t e n d e d overnight. t . Control p a n e l contains Volt a n d Ammeters—Time Meter 3 . Adjustable a n d automatic —Light a n d Water Cycle timing. switch — Automatic time cut off switch — Voltage 4. Insulated test chamber. adjusting switch — Direct r e a d i n g thermal regulator 5. O p e r a t e s c o n t i n u o u s l y 24 —Reactance Coil (cut pow­ hours without m a n u a l atten­ e r cost in half). tion. The Single Arc Model is a popular ma­ chine w h e r e high s p e e d is not required.

FADE-OMETER The recognized s t a n d a r d machine of the textile trade for determining t h e light-fastness of materials. Speci­ m e n s a r e rotated a r o u n d the Atlas Enclosed Violet Carbon Arc — the closest approach * n a t u r a l sun­ light. Temperature ot the filtered air is automatically controlled. Proper humidity is furnished b y evapora­ tion from a constant-level water reservoir. Available with a wide va­ riety of specimen holders a n d ex­ posure m a s k s .

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~a-> ATLAS ELECTRIC DEVICES CO., 361 West Saperior St., Chicago 10, III. 1798

CHEMICAL

The latest cut in quicksilver brings the quotation for that product down to $105 per flask, and the trend of the market appears to be determined by consumption and the offer­ ings of We$t Coast and Mexican sellera rather than by what is transpiring abroad. Italian quicksilver mines which have fallen into Allied hands are being kept in an in­ active state, as the trade here understands that situation. The drug, pharmaceutical, and proprietary trades meanwhile are the beneficiaries of more liberal supply rulings on the part of the War Production Board. No one will say that its Chemicals Bureau is not alert to supply changes, or that it hesitates to adjust its regulatory orders accordingly. In grant­ ing the drug manufacturers more ethyl alco­ hol and sugar, however, one cannot help but conclude that the board is desirous of avoid­ ing the complaints heard last winter and spring over insufficient allocations of alcohol and sugar. Drug and cosmetic manufacturers, start­ ing Oct. 1, were given an increase of 25% in the use of alcohol over the fourth quarter, and those within the classification of pharma­ ceutical and proprietary remedies have been accorded an alcohol quota of 125% of their base period consumption, instead of 100%. Some of the consuming lines which have had to take their place in line for alcohol, the manufacturers of oral antiseptics, will now get 75% of their alcohol needs instead of 60%, while cosmetics and hair preparations are be­ ing accorded 62.5% in place of 50% for­ merly. ' The drugs and cosmetics branch, feels that the alcohol increases should be par­ ticularly helpful in permitting manufacturers to meet the impending seasonal demand for cough and cold remedies. Sugar again has become a conversation piece and the special concern of every house­ holder in the land. Sugar is also a prime raw material in the manufacture of many solvents and chemicals; hence, there is more than ordinary interest in the action of the agencies in upping the sugar allotment to the pharma­ ceutical industry to 125% of their base period during the fourth quarter. We all know that quinine has been one of the real strategic materials of this war, and that Japanese occupation of the Dutch East Indies has removed it from the civilian scene. The statement of a WPB official, therefore, that the quinine supply position "is not critical" will surprise many who felt that we were down to a dangerously low stock total for this much-needed antimalarial. Quinine processed from Netherlands Indies cinchona, of course, is not yet available to noncombatants, who are being taken care of with our more than ample production of quinacrine, or Atabrine, and with the natural antima­ larials like totaquine and quinidine. Quinidine is not plentiful; the stock posi-^ tion, in fact, is officially described as critical*" and its distribution will have to remain sub­ ject to continued government control. As regards other antimalarials processed from

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ENGINEERING

NEWS

BEHIND THE MARKETS South American bark, we now learn from Fred J. Stock, WPB, who spoke before the National Wholesale Druggists meeting in New York recently· that totaquine stocks are increasing and that all domestic and export demands can be met. Totaquine is a mixture of the total alkaloids of cinchona, and it is entering the manufacture of liquid antimalarials, tablets, capsules, and pills. Sulfa compounds and penicillin are moving into channels of distribution on an expanding scale, the former against expected seasonal requirements, while penicillin has attained a "carload shipment" basis as monthly production of the much-publicized antibacterial nears the 200-billion unit mark. The sulfonamides are deemed sufficient to meet all demands as the industry's productive capacity in 1944 was increased to more than 10,000,000 pounds, compared with something over 9,000,000 pounds in 1943. The corn crop will be watched by chemical companies this year as well as by food, liquor, and feedstuffs manufacturers. If the crop justifies (it has been estimated at 3,100,000,000 bushels) we may be able to restore the use of corn as a major material in the war alcohol program, and also to assure the fermentation acetone—butyl alcohol producers, and other processors, of adequate supplies. Some of these plants, it will be remembered, were forced to curtail or suspend entirely some time ago as the result of the squeeze in corn supplies. Negotiations for the purchase of Cuba's 1945 production of sugar, invert sugar, and molasses have yet to be concluded. Thus far, it is determined unofficially, the proposed purchase terms b y the U. S. have followed the pattern of previous years. We will again agree to take a certain quantity of Cubandistilled alcohol, although it is learned that this time the alcohol will be held down to 12,500,000 gallons instead of the 20,000,000 imported annually in previous years. In one reliable trade quarter it is contended that no offer whatever has been made for Cuba's invert sugar, also that the alcohol, basis 190proof, may be bought at 50 cents a gallon this year instead of 65 cents as in 1943. The contemplated blackstrap acquisition is but a fraction of what the industrial alcohol industry here used prior to the war, and will involve only 80,000,000 gallons. The raw materials outlook for alcohol in 1945, it might toe concluded, is highly uncertain at the moment» but one which could be cleared up toy a more definite idea of the domestic crops. The paint manufacturer's raw material «needs these days cut through both severe shortages and products which more recently have become plentiful. In the latter category are shellac and carbon black, while in the more unfavorable group we find such greatly needed materials as chemically derived colors, pigments, toluol, and xylol. The outlook for chrome pigments is exceedingly uncertain, and may become even more difficult over the remainder of the current quarter. The situation probably will not find alleviation until early in 1945 when chrome chemical production is expected to show some expansion. Plans have been discussed for bringing in more varnish gums over next year, but transportation problems in connection witp. the

VOLUME

importation of copal gum loom as a formidable barrier. Coal tar and coke-oven chemicals remain in small supply despite wartime expansion in the number of byproduct ovens and record production. Some trade factors are of the opinion that the basic products benzol, toluol, xylol, pyridine, and naphthalene will continue insufficient even following the conclusion of the European phase of the war. The completion of new phenol manufacturing capacity has brought about a corresponding heavier demand for benzol necessary in the conversion, yet this trend has had to be checked in order to assure sufficient benzol for ethyl-benzene-styrene processes and for certain aviation fuel blends. Some nonmilitary requirements in benzol have been curtailed drastically in order to meet more essential uses, and in the current month restricted quantities were earmarked for aniline, nitrobenzene (other than for phenol or aniline), trichlorobenzene, anthraquinone, and diphenyls. Rubber chemicals are now getting less than 50,000 gallons of benzol monthly. The shortage of aniline in turn, has compelled revision of quantities available for the manufacture of diphenylamine, and only 75% of the available capacity in the latter can be utilized for the time being. Meanwhile substantial withdrawals will have t o be made from the inventories of suppliers and customers.

War's dependency upon t h e colce oven is shown in the latest, summary of colce production i n this country for 1943 issimed by t h e United States Sureau of Mines. Total consumption of coke w a s 71,636,836 short tons, including imports which is an increase of 2*% over 1942, and a gain of 2 5 % over t h e pre-war coke output in 1940. The beehrve o~ven, which produces no chemicals, accounted for 11% o»f all coke deliveries las* year, the same ass in 1942, and for 5% in 1940. A point o f interest in the statistical compilation for coke is an increase of 1.7% as compeared with 1942, for the» quantity of coke tmsed m the manufacture of water gas. This is mainly because of th-e increased doraand f o r tlio fuel in domestic and industrial heatimg, and for ammonia synthesis.

Potash in 1943 New reconds im production amd sales of domestic pots^shum salts were again made in 1943. Nearly a million and a half short tons of marketable potassium sadts (1,428,840 short tooas) containing 739,1.41 tons of equivalent potasti (KjO) were produced. A somewhat, smzaller quantity (1,401,271 tons) was sold, according t o reports to the Bureau of Nffines,. U. S. Department of the Interior. This contained 732.L51 tons of equivalent potasbL.

Purity M e t e r The BARNSTtAD Purityr As easy t o operate as tuning a radio. ITn n a few seconds rt i t gi\^es you o f yov*r the measurements of the impurity content οΓ yoixr distilled water, wrater, A find. pl«enty o f new, handy, electrically operated instrument thai: can find usé in laboratories where distilled water is being used- WE-ite for bulletin describing completely this low cost, fcielp£ul instriaxnemt — o r ask your laboratory supply dealer*

2S, N O . 1 9 . - O C T O B E R

Wafnstead MML0

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STILL & STERILIZERCO.IsfcC

STILL & L A N I S V MMLJ I L L E TERRACE · STERILIZERCO.IKC Λ O S T O N , M A S S AC HU5 1TTS* L A N I S V I L L E TERRACE · Β OST O N , Jtt AS 5 AC HU5 ETTS 1944

17ίΦ

Barge Transportation of Liquid Chlorine

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\l lilll I! Large stocks carried ai all t i m e s , p e r m i t t i n g prompt s h i p m e n t s . . . Uniformly h i g h p u r i t y of 99V2% or better . . . Free of arsenic, s e l e n i u m and tellurium.

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EXAS GuLI§§TJXPHUR/3. 73 E.45- Street