CONDITIONS IN PARTICULAR INDUSTRIES, 299

American pebble phosphate shipped abroad comes from three companies.

In France and Belgium the acid-phosphate industry is in the hands
of the St. Gobain concern (see pp. 293-294), which holds important
deposits of phosphates in France, Belgium, and Italy and controls
more than three-fourths of the chemical fertilizer production of
France. The largest miner of phosphate rock in the world is the
Gafsa Co., with headquarters at Paris. Its mines at Gafsa, Tunis,
have an annual output of about 2,000,000 tons.
The Algerian and Tunisian phosphate beds have lower ocean
freight rates to the European markets than do the Florida fields, the
normal rate being about 5 shillings 6 pence as against 14 shillings from
Florida. Phosphate rock exported from the United States, especially
 the high grade land pebble rock, is used to a considerable extent
for mixing with the lower grade Tunisian rock to bring the latter up
to 68 per cent, making it equal to low grade Florida pebble.
The method of selling phosphate rock for export has worked to the
creat disadvantage of the American producers. The bulk of the sales
are made through three or four foreign brokers who quote one producer
 against another so effectively, it is said, that the price level has
been reduced to a point where there is little or no profit. It is stated
that in some cases export rock has even been sold at or below the
cost of production.
Exports are all made in tramp steamers, the charters for which
are arranged by London brokers. Terms are sight draft with documents
 attached for three-fourths the estimated value of the shipment,
 the balance to be settled on a basis of weights and analyses
made by the buyers. Drafts are drawn for English pounds.
An export combination of Florida phosphate producers has been
discussed frequently by a number of mine owners as a means of
relieving the present depressed condition of the industry. One suggestion
 is that a corporation be formed with shares apportioned on a
basis of productive capacity. All phosphate companies so desiring
would be admitted, including those now owned by foreign interests.
The corporation: would apportion shipments and fix export prices
for various grades of rock from time to time. All contracts would
be made with the corporation and all records would be open to Government
 inspection. The number of new mines to be opened would be
restricted. Another proposition is that the producers agree to have
one foreign agent to handle the trade of all of them, the prices, terms
of sale, and quotas to be determined by the parties to the agreement.
The chief advantage of a combination for export as given by
advocates of the plan would lie in the ability to regulate prices
directly or through control over production. At present, it is said,

LI The Americas. June. 1916. D. 3.