CHEMICAL & ENGINEERING
NEWS VOLUME
38,
NUMBER
47
The Chemical W o r l d This W e e k
NOVEMBER
21, i960
EFTA Proposes Tariff Abolition in Five Years London conference recommends faster tariff reduction and British Commonwealth-EFTA link-up The European Free Trade Association looks as if it's moving ahead with more bounce and enthusiasm than most member countries could have expected. Such was the general feeling at the close of the EFTA conference held in London under the auspices of the United Kingdom Council of the European Movement (an organization that campaigns for a united Europe). After three days of lively closed and open sessions, delegates came up with some forward looking ideas. One was to abolish all tariffs among EFTA members (Great Britain, Sweden, Norway, Denmark, Switzerland, Austria, and Portugal) within five years instead of the planned 10, putting EFTA's tariff reduction way ahead of the Common Market's. Another idea was to have Britain
extend Imperial Preference to EFTA members. This would strengthen EFTA's bargaining power for future negotiations with the ECM. Yet another suggestion was that the ECM as a unit should join EFTA. Fact is, delegates were almost tripping over each other with suggestions for making EFTA a vigorous and buoyant entity. Political Importance. Selwyn Lloyd, Britain's Chancellor of the Exchequer, set a political tone for the EFTA conference in his opening speech. Emphasizing the need to relate EFTA objectives to western objectives in the world as a whole, he said, "The first and by far the most important of these wider objectives is to maintain the freedom of that part of the world which is not communist." The British government joined and supported
EFTA because "it is an essential element in our search for European unity." On the economic side, Mr. Lloyd said that if opportunities offered by an EFTA market of 90 million people without tariff barriers were to be grasped, business would have to adjust its sights to wider horizons and adapt its ideas on manufacturing, advertising, distributing, and selling. The total imports of EFTA members exceed $21 billion. "Our group includes countries with some of the highest standards in the world." The Six-Seven Split. The problem of linking the Common Market's Six with EFTA's Seven got plenty of attention at the conference. Edward Heath, Britain's Minister in Charge of European Affairs, told the conference that the Six-Seven relationship had
Dr. Reinhard Kamitz Move toward full convertibility
Sir Edward Beddington-Behrens A need for full mobility of labor
Dr. Walter Boveri Promote a favorable image of EFTA NOV.
2 1 , 1960
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definitely changed. "The times for recrimination are passed." Practical and flexible approaches to the problem were now being made through diplomatic and official channels, he said. But by the time the conference closed it was apparent that delegates were not anticipating an early solution to the problems of uniting the Six and Seven. Plans and Problems. The important work of the conference was done by four appointed commissions which worked in closed session. But later the findings of the commissions were made public. The first, on relations of EFTA with the ECM and the rest of the world, was led by Per Federspiel, member of the Danish parliament and president of the Consultative Assembly of the Council of Europe. His rapporteur, Prof. Gunnar Heckscher, a Swedish MP and chairman of the economic committee of the European consultative assembly, told the conference what conclusions had been made by the commission. They were: First, EFTA must not be an end in itself; an attempt must be made to solve the wider problems of economic integration. Second, at the moment there is little chance of a wider European solution's being reached until some considerable time has passed. This is due to a lack of political will "in some quarters." Third, acceleration of tariff reductions within the Seven would facilitate future negotiations with the ECM. Fourth, an over-all solution of the SixSeven split will be possible only on the basis of some measure of harmonization of tariffs in conformity with the rules of the General Agreement on Tariffs and Trade. The findings of the second commission, on "commercial and economic development within EFTA," were revealed by its chairman, Dr. Walter Boveri, chairman of Brown Boveri, Switzerland. He elaborated on the reasons for wishing to speed EFTA's tariff reduction rate from 10 to five years. Faster reduction would be a dramatic move, he said, stressing the desire of the Seven "to arrive at the shortest possible moment to the point when trade between EFTA and the Six would be completely free." It was also felt that this more rapid reduction would open the door to many traders in EFTA to the possi24
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bilities of increased inter-EFTA trade. "We are endeavoring to compensate at least to some small degree for the loss of business with the Six," said Dr. Boveri. It was Dr. Boveri's commission which suggested closer links between EFTA and the British Commonwealth. Extension of Imperial Preference to all EFTA member countries would greatly increase EFTA bargaining power in relation to the Six or any other trading group, he said. This commission also suggested more publicity and public relations for EFTA. It was necessary, concluded the commission, "to promote a precise and favorable image of EFTA in the countries outside." EFTA had suffered substantially from failing to take the same energetic measures as had been taken by the ECM. The third commission, under the chairmanship of Dr. Reinhard Kamitz, chairman of the Austrian National Bank and former Austrian Minister of Finance, came up with suggestions for increased coordination and cooperation in finance. The idea, discussed at the conference's first day, that an EFTA development fund should be set up, was turned down by Dr. Kamitz's commission. As he saw it, there was "danger of over-organization in the field of development finance." This commission also recommended that EFTA governments should move toward full convertibility of currencies as a group. Full convertibility could help the U.S. dollar drain, since the number of currencies in which drawings from the International Monetary Fund could be repaid would be widened. Governments seeking IMF assistance could draw on currencies other than the U.S. dollar. No report was available from the fourth commission, on labor and social problems, but Sir Edward Beddington-Behrens, chairman of the United Kingdom Council of the European Movement, was able to state that. the fourth commission had agreed on the need for full mobility of labor within EFTA and a desire for greater productivity. Among other suggestions that came out of the EFTA conference were standardization of markings and packages to show EFTA origin, a common policy on patents, and increasing trade missions. An EFTA "action committee" has been set up as a result of the London
conference. It will publicize EFTA activities, consider recommendations made at the conference, and prepare them for submission to EFTA member governments.
New Jersey Chemical Complex Takes Shape Monsanto will add benzyl chloride and plasticizer units to its phthalic anhydride plant Monsanto Chemical has unveiled more plans for its new chemical complex in New Jersey. The site is the company's recently acquired 650-acre tract on the Delaware River in Gloucester County south of Camden. In September Monsanto disclosed it was building a big phthalic anhydride plant on this site (C&EN, Sept. 12, page 2 9 ) . Now it has decided to add a production unit for butyl benzyl phthalate, which is sold by Monsanto under the brand name Santicizer 160. Capacity of this unit: 50 million pounds per year. Also under construction at the same location is a plant to turn out 20 million pounds of benzyl chloride for use as an intermediate in making Santicizer 160. All three new plants are slated to begin operation in early 1962. The new complex provides Monsanto with something of an integrated operation for its plasticizers. Monsanto also makes phthalic anhydride and phthalate esters at Everett, Mass., and St. Louis, Mo. The New Jersey plant will supplement output from these plants. Biggest use of Santicizer 160 is in polyvinyl chloride for floor tile. Monsanto says vinyl tile production in 1959 hit close to 1 billion square feet—some 50% of all floor tile made in the U.S. Other vinyl outlets, nitrocellulose lacquers, and plasticized acrylic coatings also use up considerable quantities of the plasticizer. With demand for butyl benzyl phthalate expected to remain strong, Monsanto expects much of the new phthalic anhydride and benzyl chloride production will be captive. Phthalic anhydride production at the plant also will supply material for outside sale, however, company officials say, as well as for making Santicizer 160 and other phthalate esters which Monsanto expects to make later at its New Jersey site.
3M Offers Nuclear Fuel In Microspheres Microparticles of uranium dicarbide increase efficiency of fuel elements
NEW CHAIRMAN. Dr. Carl Gerstacker Is Dow's new chairman
NEW PRESIDENT. Harold E. Thayer now heads Mallinckrodt Chemical
Chemical Firms Make Management Changes Dow Chemical selects new board chairman, Mallinckrodt Chemical Works gets new president Changes in top executive positions have been made at Dow Chemical and Mallinckrodt Chemical Works. Three positions changed hands at Dow in Midland. Dr. Carl A. Gerstacker, vice president and chairman of the finance committee, succeeds Dr. Earl W. Bennett as chairman of the board of directors. Dr. Bennett has retired as chairman but will continue to function on the board and on the finance committee. Herbert D. Doan, manager of the chemicals department, has been appointed executive vice president of Dow. He succeeds Dr. Mark E. Putnam, who died November 6. To fill the position vacated by Mr. Doan, John M. Henske, manager of product services for Dow's Midland division, was named chemicals department manager. Dr. Gerstacker joined Dow in 1938, served as treasurer for 10 years, and as a member of the board since 1948. He was elected chairman of the finance committee in 1959 (succeeding Dr. Bennett) and, in addition to his new duties, will continue in this capacity. Mr. Doan came to Dow in 1949. He was elected to the board in 1953, became manager of the chemicals de-
partment in 1956. Mr. Henske joined the company in 1948 and became manager of production coordination for the Midland division and a member of its operating board in 1955. In 1959, he was appointed manager of product services. At Mallinckrodt, Mallinckrodt's new president is Harold E. Thayer. He received his bachelor's degree in chemical engineering administration from MIT, began his career at Mallinckrodt at 1939 in the sales department. From 1943 until 1950, when he was appointed a vice president, Mr. Thayer was project manager of the company's uranium division. He was elected to the board of directors in 1956 and appointed executive vice president last year. Mr. Thayer succeeds Joseph Fistere as Mallinckrodt's new president. Mr. Fistere, who has been president for the last eleven years, retired at the age of 65, the statutory age under the company's retirement program. Mallinckrodt also elected two new vice presidents—Dr. Charles Harrington and Frederick M. Belmore. Dr. Harrington is general manager of the company's nuclear division; Mr. Belmore is general manager of the company's industrial chemicals division.
A new nuclear fuel is now being marketed by Minnesota Mining & Mfg. The fuel: microspherical particles of uranium dicarbide. The particles are stronger, contain more uranium for their surface area, and disperse better in fuel element matrices than uranium dicarbide in nonspherical, blocklike particles, 3M says. The tiny particles, called 3M Fueled Micro-Spheres, were developed in 3M's nuclear research labs. The company recently introduced its 3M Radiating Micro-Spheres—radioisotopes "caged" in spheres made of a special ceramic material (C&EN, Oct. 3, page 20). The company claims it can control the size and shape of the microspheres as well as the grain size of the fuel within them. Thus it can supply the fuel in diameters from 50 to 400 microns. Makeup of the spheres: "The uranium dicarbide fuel is essentially stoichiometric, with theoretical proportions of uranium and carbon, and the spheres approach theoretical density/' according to a company spokesman. According to 3M, the new fuel contains a greater concentration of uranium, conducts heat and resists reaction with some fuel element matrices better than the more commonly used uranium oxide fuel particles. Minnesota Mining also supplies the spheres with a pyrolytic carbon coating. Such a coating, according to the company, helps to: • Retain the fission products in the fuel particles. • Extend fuel element life by giving additional protection against damage from reaction between fuel particles and some fuel element matrices. • Protect the particles from reacting with the environment during handling and fabricating of fuel elements. Similarly, 3M is supplying fueled microspheres containing thorium. All of these spheres can be made with either natural or enriched uranium. "Cost projections indicate the uranium dicarbide particles will be competitive with uranium oxide particles," the company says. NOV.
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