8332
INDUSTRIAL AND ENGINEERING CHEMISTRY
Table V. Inoqaniic Chemicab Purchased by the Three Major Industry RMhauing Groups (3)
Table VI. Seven Major Chemicals Puxhased in Tristate
Ana,lssD
(Amounti a10 dollsrs of pumhaaaa f.0.h. plant) Millions of A~pmtimute Dolhra Thouand Tom Titsnium diotide 54.8 80 SuUurio acid 28.0 1800 Cautio sods 25.6 490 20.5 m 80d.d Sodium phasphatos 18.5 125 Ammonia 18.7 170 9.4 m Cblorintl
(ChemiaaL liatad form 80% or mors of total dollsr purahsssa)
Chemicals and Allied Products Ammonia, ammoniating aolutions, smmonium nitrate (indudes ferWLer grade). -onium d a t e , m n i e oompounds, calcium compounds, aaustio potsah, asustia soda, chlorine and chlorine bleaohing aompounds, Dhrome pigments, copper sulfate, elemental pbwphom, ferroun and ferric oompounds, hydmohlorio acid. iodine. iron oxide pigments, litharge, litbopone. magmaium compounds, mixed soids, nitrio aoid, soda aah. sodium bichromate and chromste. sodium borate, aodium hydrodfids, sodium phosphatsa, sodium silicates, d f u r i c acid, titanium dioxide. sina oxide. d n o sulfate Primary Metals Induntry Aluminum oxide, ammonium ohloride, ferrous sulfate, ferric compounds. hydrochloric acid, msgnesium compounds. phosphoric acid, soda ash. sodium hichromate and chromate, sodium borate, sulfuris soid Stone. Cby. and Glass Produota Aluminum oxide, antimony compounds. arsenic compunda, bismuth nubnitrate. boric acid. aalaium carbonste, ahrome colors, litharge. lithium compounds,magnesium compounds. potassium carbonste. soda seh, sodium hiahromate and ohromte, sodium borate, aadium ailioates, sodium silicofluoride, sodium d a t e , zinc oxide
vidual inorganic chemicals used in the area are shown in Table VI. These estimates do not include captive use. Prior to the accessibility of the data in thia interindustry study, to determine the consumption of an individual chemical in a particular area it waa necessary generally t o determine: (1) the industries using the chemical, (2) the amount of chemical used by the industry, and (3)the concentration of industry within the area under consideration, The results of such a study on one particular chemical-mda aah-have been compared with the resulk obtained by the techniques used in thia paper; the former method indicates purchaeee of about 870,000 tom in the triatate area and the latter method, purchases of 900,000 tons in 1950.
Vol. 45, No. 3
.
The agreement between these two estimates, which employ W e r e n t fundamental approaches, is remarkable. Both estimates may be 15 t o 20% low for the year 1950, compared t o a normal year, because of the strikes that occurred in the alkali industry. The total consumption of soda ash within the area, including captive me, may have been on the order of 1,000,000 tons in 1950. The exclusion of captive use in the interindustry study really has no commercial significance, as captive markets are not normally available to competitive produeem. For the purpaes of this paper only the manufacturing induatries have been considered, which, aa &own in Table I, purchaeed about 72.5% of the UNted States supply of inorganics. In Table 111, thia industry group in the triatate area waa shown t o have purchased (323,900,000 worth of inorganics, which would seem to indicate tbat the tristate area's total inorganic chemical purchases were on the order of $450,000,000 in 1950.
LITERATURE CITED (1) Bureau of the Census,
U. 8. Dept. of Commerce, "Annual Survey of Manufactures." 1949 and 1950. (2) Bureau of the C y w , U. 8. Dept. bf Commerae. "Cennun of Manufaotures, 1947. (3) Evan., W. D.. snd Ho5enberp, M.. Division of Interindwtw Emnomica, U. 5. Bureau of Labor Statistics. "Interindustry Relstion Study for 1947." for rsvier ootober 24, 1852.
A~~~~~
bar
ao. 1952.
Consumption of Organic Chemicals V. H.BODEN AND H.D. HUGHES CAP5IDE AND CN!3ON cHIo(IcIIIsCO.. DIVISION O? UNION CAPSDK AND CARBON COW., NEW ¶OR& N. Y
T h e Middle Atlantic (New York. New J~rmy.and Pennsylvania) -presents 3.446 of the area of the United States. It has about 20% of the population, 24% of th. purOna income, and 26% of the manufacturing (m measured by "value added"). In value added L v mMufacturing chemic& and allied products, it accounts for aS% of the nation's total. It M estimated that about 28% of the orgemic chemic& produced in the United States am connrmd in the Middls Atlantic area and that this -taw in 1950 amounted to 51.940,OW.ooO. Indications am that the gmwth in the chemical consumption of the Middle Atlantic states will continue h a u s e of tha -'a varied - o m . stratwic l a t i o n , and large population. &meica's growing dep+ndence on international trade should exert a strong pull on industry to locate near the great ports and the gmat markets.
B
Y ANY means of meaaurement, the Middle Atlantic statas
reprenent a great industrial wncentration and, cone+ quently, a d i v d e d cbemical wnnuming area. A few general economic influence are explored here, followed by some pertinent data on the chemical wnsuming industriea in thia area.
IMPORTANT ECONOMIC FACTORS Tables I and I1 compare important economic factors in thk tristate area (New Jersey, New York,and Pennsylvania). It can be readily ~ e e nthat this is a progreseive area. Manufacturing, aa mwured by value added by manufacture, is a high 26.2% of national production. Expenditures for plant and equipment are %.a%, retsil d e a are 21.6%. Personal income is 24.3% and population ia 20.0%. The fact tbat this area represents but 3.4% of the total area of the nation makea the picture even more striking.
*
March 1953
533
INDUSTRIAL AND ENGINEERING CHEMISTRY
A breakdown of them 6gum (Table 11) rev& a relatively high income and sales figure in New York Bbte, and a compam tively strong trend toward investment in New Jersey and Pennsylvania. With 9.8% of the national population, New York State han 13.4% of the personal income and 11.2% of the retail sales. With about 3.2 and 7.0% of the population, New Jersey and Pennsylvania have 5.0 and 8.8% of the inv&ment expenditures, respectively.
INDUSTRIAL CROSS 8EcTION
000 represents the value added to chemical and allied products in the c o m e of their manufacture. The chemical and allied products category encompasses Bome chemical-consuming industries, hut by no means includes all of them. The range of chemical-coneumingindustries is broader in Table V. The Sgum in Table V are, of course, estimates and should not be relied upon without independentaubatantiation. It is difficult to obtain firm figurea on this subject. The-Middle Atlantic states offer Bome notable differences from the national chemical consumption pattern. Consumption by the rubber, agricultural, and mining and smelting industries is relatively low; and the relative importance of the industries di5em considerably. Textiles is still the leading consumer and acrounts for 5310,000,000 but it is followed by surfwe rostings at S190,000,000, pbarmaceuticals at 1140,000,000, and plastics fabricating at Sl36,000,000. The next step might logically be to spell out what chomicala are consumed by them dxcrent industries, and in what amount+ That approach, howcvcr, would require extensive statietical work
In Table 111is shown a crow section of industry in the Middle Atlantic area, which points up the concentration of a .variety of industry in thin area. In preparing this table, the 194460 Annual Survey of Manufactures ( 7 ) haa been drawn upon. Once again the value-added figure is used because it approximates the value created in the proceas of manufacture and provides the most satisfactory measure 9f the relative economic importance of the different industries. Only industries in thb area that account for more than 20% of the national production me linted. The compariaon with the relative population (20%) wan felt to be the most feaeible approach. There iano important industrial claesification that doee not 888 this triatate area producing more than 3.4%, the amount to be expected if all industry were apread uniformly acroea the'land. In mineral production, the biehlv indu6trialised Middle Atlantic states account for 11%. ~ v e n agriculture, these states account for 6.6%, or a $2 billion sbare of the nationsl total, a &re that r e p m t s the Tab10 I. Irnuortant Economic Factom in Middle Atlantic State6 proportion of cash income from farm Value Added by marketinga of 1960. Maoufaoturing Expenditurea fer Retail Pernod Population. Apparel and related products, printing Opentiona. Phnt anbEguipment. E&. Inoome. 1950 1950 1947 1950 1949 Millioh. and publishing industries, and electrical machinery manufacturing are heavily NewJarssy 4.88'1 3ao 4,479 7,018 4.84 concentrated in the tristate area. Thia 5s7 14 627 26 340 14.83 New York 10 506 Pe,ylvS&s & 581 9:069 14:468 1O.M) area dominates, too, in such great chem14@4 28.175 47.8ae a0.i~ Total Middle Athntio 23 497 ical-conauming industries as leather and TotalUnited S t a t u m:676 lw.70 6627 130,521 197,531 leather products, textile mill products, Middle Atkntio. % of Unitedktee 26.2 a2.a 21.6 24.3 20.0 petroleum and coal products, paper and allied products, and food and kindred Table 11. Irnuortant !&onomic Factom in Middle Atlantic State6 products. The manufmture of chemical and allied Pemsntaw Breakdown by Statas* Value added by products in 1950 created over $2 billion Retril Personal -ufwtExwnditvlsafor in this area-28% of the national total oweratiom. phnt aod e uipment, sales, inaomo, Population. 19w 194? 1960 1949 1950 in this category. It in not surpriaing,then, New Jersey 5.4 5.0 3.4 3.6 3.2 that this area represents the greateat couNew York 11.7 8.4 11.2 13.4 9.8 Pemaylvenb 9.1 8.8 7.0 7.3 7.0 centration of chemical production in Middle Athtiis, % of America. From the standpoint of value United Statea 26.2 22.2 21.6 24.3 20.0 Total United Etatu 100.0 100.0 100.0 100.0 100.0 added, New Jeraey, New York, Illinois, a BaaedwdetafmmTabhL Ohio, and Pennsylvania are, in that order, the leading chemical manufacturing
io
-- -
I
-
Ebtes. A further breakdown of the chemical and allied products group reveals (Table IV) that the Middle Atlantic area in, in important categories, a large consumer of baric chemicals. I t produces 60% of the toilet preparations, 55% of the plastic materials, 54% ofthe explosives, 45% of the printing inks, 44% of the iaaecticides and fungicidee, and 44% of the pharmaceuticsle. Add to this the fact that the Middle Atlantic states account for 30% of the plastics
- -
Table 111. Concentration of Major Industriw in t h o Mid& Atlantia States. ISM) Value Added by Manufsoture ~ lnduatriw
fabricating and 17% of the automotive product d e s , and we hegin to have a picture of what organic chemicals we consumed.
CHEMICAL-CONSUMINGINDUSTRIES Table V indicates the general chemical consumption by the legding chemical-cnnauming industries; it overlaps Table I V to 8ome extent. Table V in based upon the work of Ewell (5). The $1,540,000,000 6gtm M e r a from the $2,054,000,000 ligure mentioned earlier because S1,540,000,000 reprwents the value of chemicals consumed outside the chemical induatry; S2,,OW,OOO,-
-
Popule.tbn Area, 8qwx-a milea
i
DOM ~ Middle Atkntic
United atate states 4 174 2 303 1'750 4'w3 13686 4:794 933 3.138 1 499 442 7:951 2 302 2*0M 7 237 1:538 5:624 537 a 188 814 3343a 1,445 6 211 363 1 'e07 2 144 10:085 8.7U 1:w 150,697,000 80,1e4.000 103.000 8,022,000
vni,Middle a7~of
i
Athtio #tatel 55.2
36.6 35.2 29.8
28.4 28.8
a8.s 27.8 25.2 a8.8
23.3 21.8 21.3 2i.a 20.0
8.4
~
534
INDUSTRIAL AND ENGINEERING CHEMISTRY
Table IV.
Production of Chemical and Allied Products in the Middle Atlantic States
(Percentage breakdown of pertinent statistics expressed as % of United States production, 1947) Toilet preparations Plastic materials Explosives Printing inks Insecticides and fungicides Pharmaceutic ala Surface coatings Glue and gelatin
Table V.
60 55
54 45 44
44 32
Soap and cleanser& Soap a n d glycerol Cleaning and polishing preparations Sulfonated oils and asairtnnts F a t t y acids Synthetic fibers , Fertilizers
29 22 30 72 28 15 7
31
Chemical Consumption by Major ChemicalConsuming Industries, 1950 United stateAIilllons of Dollar.
Aliddle Atlantic hIllllons of ”; dollais
Textiles Rubber Surface coatings Agriculture Plastics fabricating Petroleum Pharmaceuticals Food nrocessinlr
90 80 (i0
24 17 30
5.500
2s
20,i -
Total chemical consumption by all industries
20 15 20
3%
1540
and the h a t m e n t should be lengthy to be of much value. Furthermore, when all is said and done, the results 1%-ouldstill be estimates that contained many qualifications and omissions. However, some of these conclusions can be spot-checked by estimating the tristate consumption of a fem- chemicals. I
