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This item is filmed at the reduction ratio checked below/ Ca document est filme au taux de reduction Indiqui ci-dessous. 10X 14X 18X 22X 26X 30X y 12X 16X 20X 24X 28X 32X Th« copy filmad h«r« has bvan raproduead thanks to tha ganarosity of: Library of ParliaiiMnt and the NatiomI Library of Canada. L'axamplaira filmA fut raproduit grica i la gAnAroaiti da: La Bibilothlqua du Parlatnant at la Bibliothtqua nationaia du Canada. Tha imagaa appaaring hara ara tha boat quality poaalbia conaldaring tha condition and lagibiilty of tha original copy and in Icaaping with tha filming contract spacifieationa. Laa imagaa auivantaa ont At* raproduitaa avac la plua grand aoln, ccmpta tanu da la condition at do la nattati da I'axampiaira flImA, at it conformitil avac laa condMona du contrat da fUmaga. Original eopiaa in printod papar eovars ara fllmad baginning with tha front oovar and anding on tha laat paga with a printad or illustratod impraa* sion. or tha baeic eovar whan appropriata. 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Mapa. plataa, charts, ate., may bo fllmad at diffarant raduetion ratioa. Thoaa too larga to ba sntiroly ineludod In ono axpoaura ara fllmad baginning in tha uppar laft hand eomor. loft to right and top to bottom, aa many framaa aa raquirad. Tha following diagrama iliuatrata tha mathod: Laa cartaa. planehaa. tablaaux. ate., pauvant Atra fllmda A daa taux da rAduetion diff Arants. Loraqua la dooumant aat trap grand pour Atre raproduit mt un saul clichA, il aat flimA A partir da I'angla supAriaur gaueha, da gaucha A droito, at da haut an baa. an pranant la nombro dimagaa nAeaasaira. Laa diagrammas suivants illuatrant la mAthodo. 1 2 3 1 2 3 4 5 6 With the Compliments of C. MARTIN, C.E., Toronto. THE IRON TRADE IN RELATION TO CANADIAN INTERESTS. BY CHARLES MARTIN, C. E. TORONTO : Printed at The National. 1878. .( \ ;:':>; !'!\ .t,\ ,' i f :., '■;) -'^i; ■■'■■■• ,'1;m 'ir^ '■.;.'; 'i' ■': ii:r/i. '•; r ,' .!•. ,/ , .;,■•; ;■' ;,;. f;''fi:',/ ■•ic:! ,iu':';U \'-y/''-'\ '>(•)•//■ ;lc:'''! ^'.W-'.: .ih.-'.i! :.•.:'■'] ■.:.\',\:} '-^lU IV ifCJii} I PREFACE. V i..U'-.n(iiU'M\n to piL .! ''.ii-K;;:! j:' !ii( ; '■) 'v ; ! •.) /;; It seems that, as a matter of course, the most humble literary effort must have a preface ; the author's avowal of the cause for the production, he launches forth for criticism, albeit adverse or otherwise. In this ins^pnce the authpr was disappointed in his expectations of being able to express his views on the Iron Manufacture of Canada, at the meet- ing called by the Mayor on Tuesday, the 3rd inst., but he deems it of importance to publish the remarks he then in- tended to make, containing as they do, many features not touched upon by any of the many speakers' who addressed the audience ; who, stirred by the earnest and judicious re- marks of Jas. Beaty.Esq., expressed their unanimous feeling in favor of Toronto making a move to start this industry. This was to him, after his many exertions during the past three years, privately and in the public press, to arouse our citizens to its importance, most gratifying. Prominent among those present, were the Hon. J. B. Robinson, M.P., Robert Hay, Esq., M.P., ex-Mayor Medcalf (in the chair); Alder- men Withrow, McGee, Sykes, Ritchie and others ; Messrs. Jas. Beaty, jr., J. Gillespie, N. Dickey, G. Laidlaw, Pres. of Credit Valley R. R., H. P. Savigny, Campbell of Port Perry, and many others, who he had not the pleasure of knowing. W. H. Frazer of the Manufacturers' and Industrial Asso- ciation acted as Secretary. Singularly, this meeting was brought about almost accidentally by Mr. W. Wrigley, a long resident here in the scrap iron trade, who, having friends in England engaged in the iron industry, he, by his represen- tations, induced them to agree that, if liberal encouragement 4 PREFACE. were given them, they would start works here in Toronto ; and Canadian capitalists, if they chose to do so, might join them in the enterprise upon equal terms. A fair proposition, and so far, by the expression of the meeting, was approved of unanimously, let us hope to uee its very speedy realization to Mr. V/rigley, whom we must give the credit of calling into existence, this important industry in our midst. To our Municipal Council he would respectfully suggest, now that this unproductive marsh is likely to become valu-. able city property, be liberal to these gentlemen who give to it a value; but, have the whole carefully surveyed and laid out on a large scale, showing the railroad connections for switch approaches to them and the most desirable plan for lot- ting it out for manufacturing purposes ; for, be assured, when once a portion is utilized for works, others will follow, let us hope at no very distant day. In fact, it is but reason- able to suppose that, under the avowed policy of the govern- ment, another company will be formed in Toronto for start- ing a blast furnace and a rolling mill ; so, that, in the laying out ot these at present unproductive marsh lands proper plans should be prepared, that all may have free ingress and egress with rail and water communications. Charles Martin, C. £. Toronto, Dec. 5th, 1878. TO THE PEOPLE OF TORONTO. Canada far excels any other country in all that ensures a nation's greatness. The resources she commands form the basis of that industry which is the mother and mistress of all other industries. The true source of Canada's prosperity must be her immense and unlimited mineral wealth ; her beds of Iron ore, extending from Cape Breton in the east to Vancouviers Island in the west ; in Ontario, its entire length in the Laurentian formation, where hematite and magnetic ores abound in rich abundance. The latter in appearance of soil and climate, and by analysis proven to be the very counterpart of the celebrated Dannemora mine of Sweden, and blended with crystalline limestone to such an extent, that it is nearly self fluxing. Though as pure, the Canadian ore is richer, the Dannemora yielding 48 per cent, of metal while the Canadian yields from 54 to 60 per cent. The Swedish mine is that from which the Swedish bars are pro- duced, making the fine'^ .rucible steel in the world ; and, as may be supposed fron these Canadian ores, the finest Bessemer pig can be manufactured, and iron not surpassed by either Leeds, Lowmoor or Bowling. Perhaps you are ready to say, how about fuel ? We can command plenty. Not like the Swedes who now have to bring theirs (charcoal), across country from 50 to 100 miles to the furnace. We have a never-failing supply across the Lake from our neighbour, who fortunately cannot according to the constitution of the United States shut down upon us. Article, i section 9 of that constitution provides that no tax or duty shall be laid on articles exported from any State. We are therefore sure of anthracite coal. From Nova Scotia we can command an unlimited supply of soft coal, which when coked is the best of fuel. Next we have our vast forests in the north, for char- coal ; and to the struggling settler what glorious news is the starting of blast furnaces, instead of heavy toil and labor THE IRON TRADE. in clearing his lot of timber and burning it, costing him 25 dollars an acre lor the clearing. He puts it into clamps and makes it into charcoal, the yield being about 1,500 bus- hels to the acre, worth at the furnace $50; a handsome har- vest instead of an outlay of $25. Again, we have immense peat beds which can be converted to the use of a specific gra- vity, equal to anthracite coal, quite as good for smelting, as pure as charcoal, and can be delivered on the Lake Shore at a cost not exceeding $4 per ton. Liquid Fuel. — Petroleum. — Ten years since, I saw a plate furnace in the Royal Dockyard at Woolwich, and another at Messrs. Camroux & Co., boiler makers, ot Deptford, heated by it, with the most satisfactory results, both as to economy and efficiency ; also, a trial of H. M. S. Retriever, of 500 tons, and 90 horse-power, Oct. 23rd, 1868, which made the run from Deptford to Coal House Point and back, in four hours and thirty-five minutes, giving equal satisfaction. In the Brooklyn Navy Yard, recently, experiments have been carried out under Salisbury's invention, as applicable for all purposes of melting steel and lor puddling furnaces, &c., producing most extraordinary results, which the inventor maintains will be equally verified when applied to smelting ore. Eames's invention also claims to give equally good results, and from recent experiments carried out in Canada, at Marmora, upon an improved system of Field and Aydon's patent, a most beautiful specimen of semi-steel was produced. It could be forged, welded, and tempered like shear or puddled steel, the fracture being very similar, and if equally successful on a large scale in casting ingots from the size of the ordinary wire billet to that for rails, the results will be similar to the Bessimer process ; but, divested of that very expensive plant, the proprietors are full of confidence, and predict very great success. It would cer- tainly make things lively in Petrolia. I have never been engaged in any of these smeltmg experiments, and, therefore cannot express an opinion, and the conservative tendency of English smelters make them very slow to accept such com- plete revolutionary ideas ; but we live in extraordinary times, (Edison and others) and must not be surprised at anything f i THE IRON TRADE. < i this inventive age produces. Those who have been engaged in the experiments at Marmora claim that a very superior quality of iron is produced (and what I saw verifies this) and at less cost than by any other description of fuel, and as the supply of crude petroleum is unlimited, increase in cost need not be anticipated. Flux (Limestone) we have any quantity of ; then comes the question with all the requisites at command why have not you Canadians utilized these vast stores of God-given wealth ? It is easily answered. We had several obstacles ; want of means of transport, capital, and technical skill. But these have been removed and we have supplied our neighbours of late years with thousands of tons of our rich ore. Every line of railroad running north from the Grand Trunk, either pierce or run into close proximity of our immense deposits of iron ore. The increased population has provided capital and skill. Only one obstacle remains, the most formidable one though, but which the recent vote of the Canadian people has said shall be removed, the want of a protective tariff. The next question that has been asked is, are the wants of the Dominion large enough to warrant the investment of capi- tal in blast furnaces, rolling mills, &c., for the supply on Canadian soil from Canadian ores of iron and steel. Look to the official returns, see what they say. During the past five years, we have imported of the output of the furnace and the forge " free " $37,000,000, and $24,000,000 at 5 and 10 percent, duty ; in all upwards of $60,000,000, at invoice pri- ces, the average yearly revenue from which, has been only $244,000 in duty paid by Canadians, and we may fairly assume that of our imports $35,000,000 has been spent in labor ; a clear gain to the working classes of the exporter ; a clear loss to this country ; an average yearly loss of $7,000,000 in wages that would have been received by our working men, if we had utilized the resources which God has placed at our dis- posal ; and this sum spent among us would have yielded in the consumption of duty paid articles three times the amount of revenue that has been received. Next comes that important of all important questions in mercantile matters, " tdll it pay our capitalists, ? " Certainly 8 THE IRON TRADE. without a doubt, reckoning the cost of labor the same as in the states, fuel, coal at the same rates which can be as- sured, the ore costs at their furnaces from eight to ten cents a unit, that is ore yielding 50 per cent, oi metal costs from $4 to $5 a ton, and as it takes two tons of ore to make one ton of iron, it is evident that the ore costs them not less than $8 per ton of iron made. Ore can be laid down here at Toronto or on the Lake Shore from a dozen mines not ex- ceeding $1. 75 a ton ; so that without reckoning ireight, im- porter's profit, &c., we can supply pig iron $4 a ton cheap- er than our neighbours. But were we to attempt to make pig iron under existing circumstance, with our free ports, we should be swamped at the birth ot our enterprise. We can make pig iron in Toronto at a cost not exceeding $13.75 a ton ; the lowest figures I have had furnished to me from the States are those of Shawnee : Coal i< $3- 00 Ore «( 6. 70 Limestone <( I. 50 Labor " <( 3. 50 Wear and Tear 2. 00 per ton of pig iron. $16. 70 Here it will be seen they get coal very low, ore at a medium rate for the States, and limestone high. In the manufacture of charcoal pig iron in Canada, from the close proximity of the forests to the iron ore deposits,the cost per ton of metal will not exceed that made from coal say $14 a ton ; charcoal being made at a cost not exceeding 3^ cents a bushel, and from the product of our charcoal furnaces, smelting magnetic ore, carwheels can be made, having half-inch depth of chill, far superior in tensile and transverse strength to any now in use for $6.50 a wheel ; the present price is $13 a wheel. The consumption of charcoal pig iron in Canada is from 5,000 to 7,000 tons a year ; the present prices in the States of cold blast charcoal pig iron : Hanging Rocks $28 to $33 per ton, other makes $25 to $30 per ton. And there is no doubt but that Canada could command the English market or both the bar and pig which is now supplied from t .^ i t Ji THE IRON TRADE. .^ i Sweden. All bar iron, plates, angle iron hoops, and sheets, wages and fuel being the same as in the States, could be made in Canada, the less by the difference in the first cost of the pig. Bessemer steel, scrap bar iron, blooms and billets at an equal reduction. All this would be felt as soon as work in different localities got into operation. But why we have not had a scrap forge working up the wrought iron scrap that is constantly accumulating, is to every one acquainted with the trade a mystery. At the present price in the States, $15 a ton, we cannot export it paying $7 a ton duty, but if we worked it up ourselves into bars, blooms and billets, we could supply our own market several dollars a ton cheaper than our neighbours supply us, besides making our own wire, and thus starting another industry — one which does not require costly plant. The official returns of 1877-8 show that we imported for rigging $80,330 worth of wire, and for other purposes $164,794 in value. Our total imports were, free, $3,639,531 ; paying 5 per cent. $2,194,274 ; paying 10 per cent., $208,054 ; of machinery, farm implements, axes, hoes, saws, cutlery, &c., $1,456,409 ; no small items in these dull times. The last items show conclusively, under the present system how much we are in the hands of our neighbours ; they are producers consequently, having everything at first hand free of freight and importers' profit ; can come into the midst of our works and sell their hoes, saws, axes, shovels and other goods at prices we cannot make them for. Recent reports of American trade state, " That prices in general of manu- factured iron have been firmer this past few weeks than for several months past. Steel forks, hoes, and rakes have been largely exported lately, the demand for these articles from Sheffield has been most remarkable, and they are sold in every town in the United Kingdom, and re-exported with other English wares, table cutlery exported to every part of the world, nails and spikes in large quantities to South America and the West Indies ; for bolts, nuts, and rivets they have a large demand in all parts of England, the Con- tinent and Australia ; hoop, sheet, and plate mills are very busy, and every variety of manufacture are increasing their 10 THE IRON TRADE. operations. Stephenson, of New York, coach and car builder, is furnishing the outfit for the tramway between Calais and Sc. Pierre in France. They are furnishing the locks for the New Post Office at Bremen ; dispatched twelve carloads of machinery to Australia and New Zealand , locomotives for Russia and South America ; recently they sent scissors and other cutlery to Sheffield, England, and sold them from 20 to 40 per cent, below the Sheffield price list ; in fact the list of their exports is as immense as their capacity to turn out work. Sept. ist last they had 698 annual capacity, tons 5,868,000 " 4,461,000 1,9 2,000 7 0,000 2 . ,000 6 000 6 000 << (( Blast Furnaces Pig Iron Finished Bar Iron Rails . . . - Bessemer Steel Other Steel - Catalin forges, blooms and billets Bloomaries — blooms All at prices that are able to compete with any :her country. Does this state of things show that a prohi' tory tariff causes high prices in its own country ? cer linly not ; but a revenue tariff would, without affording an , ^ ro- tection. At the World's Fair at Paris, Canadian exhibits held their own against older and wealthier countries. At our recent Exhibition our steam-engines and machinery, I say without fear of contradiction, as an expert, in style and finish are not to be surpassed, but we cannot be export- ers without we are producers and we cannot be producers with free ports. Let us profit by the example set us by England, and it was the basis of her wealth and prosperity, she protected her industry for 147 years ; in 1679 it levied a duty of ten shilling a ton, which it gradually increased up to 1813, when it was £^ 9s. lod., which was maintained till 1825, and in 1826 it was taken off altogether. England could then manufacture iron 30 per cent, cheaper than any other country, protection had done its duty and was no longer needed — the United States has t THE IRON TRADE. II and is now following the same course. Another instance of fostering care ; the State of Missouri had a clause inserted in all its contracts by which all rails, fishplates rolling stock for her railways; or iron for other public works, should be of home manufacture. Let our Government do the same thing and we will soon make our steel-rails ; the locomotive works at Kingston, their part, the car works at London, theirs; but Canadians up to the present time seem to have a listless apathy for all that pertains to their own welfare. You give large bonuses to the different railways, but in no way con- trol its expenditure; instead of encouraging your own works you let all that is possible for cars and rolling stock go to our neighbours, and your own works standing idle, workmen starving and taxes in Toronto 26 mills in the dollar, when will you awaken from this sleepy indolence, and exhibit a little energy like your neighbours ? Ottawa iron works are getting more capital ; Port Hope is applying for a charter to erect blast furnaces; Hamilton roUing mills are getting ready; Belleville is stirring; Lindsay talks of a furnace. A Detroit stove manufactory is about to have a branch at Windsor. What will the Queen City do ? No bonus will be required to start this industry, only a small portion of un- productive marsh land upon liberal terms to a company whose bona fides shall be assured, will, I think be all that is required for these investors to provide capital and start iron works ; and, be it a blast furnace or a scrap forge to begin with, it will be the brightest day that ever dawned to Toronto and Canada. Without a doubt Canada can make a superior iron &1 a cheaper cost and be subsequently the largest iron making country in the world, and those who start this industry are sure of a large return, and long period of prosperity ; for until the out-put of the furnace and forge exceeds the home consumption and export trade, which will be continually increasing, the iron trade must of neces- sity be busy if other industries be slack or dull ; and our friends in the Maritime Provinces may be assured of this, that all the friends of the iron industry will not support any other than a/r^e list for anchors, chain cables, rigging and other ships' requirements. Knowing their ability when they f I- 12 THE IRON TRADE. have been able to get iron works in full swing that they will be able to successfully compete for the supply of their wants* Some one had certainly been hoaxing the Mail a short me since, for it stated that the Londonderry works em- ployed 1,500 men, and had a capacity of 250,000 tons of iron output annually — wheras it has but two 35 ton furnaces, yielding at most 22,000 tons a year and about 140 men, all told. It would take twenty furnaces of their capacity to turn out as much ; I presume it meant what they would do m the far off future. It must be apparent to every one that iron manufacture is our future prosperity, our best emigration agent, our farmers best protector, the keystone of prosperity to all, and God grant the day is not far distant. CHARLES MARTIN, C. E. ■ will nts> lort em- iron ces, all to 'do ron :ion rity E.