Omaha daily bee. (Omaha [Neb.]) 187?-1922, August 14, 1910, HALF-TONE, Page 2, Image 21
i . . Tin: Omaha srxn.w hkk: august u, ioio. n Carnegies of India and the Great Steel Industry They Are Developing: Ir-Y-r- ....-- - P . . . , si l ,-. ..:- 71-, r ' -.T: 1 T " ulloefo Hauling (ittoD I V'H . l . : ... ' ' ' rm. ..J )r,, : I:- - :- -j ,;,,a J:S:;j?PWfi:: 1 1 ML OMBAT, 1H10. (Special Corres- wj I pondence to The Bee I have I liud a chat with one of the most I i ... ti ti ...... i .... . ..... lnuKirnMM in i iiiuiinu oi inc Asiatic continent. I refer to V. J. Tata, the heart of the rich Tata family, which ownsthe Taj Mahal at Bombay, the biggest hotel of the. fur east; Which holds the majority of stock In the largest cotton mills of India, and which la about starting a steel and Iron Industry here In Hindustan which may make them the Carncgles of Asia. ' 1 Have you ever heurd of the Tatas? Their family is to Hindustan what the Mttsuis are to Japan, the Rothschilds to Kurope r the Vanrierbiltn and Asiorn to the United lutes. It is a family of millionaires which makes its money breed like Australian rab klia and whose every touch turns all things to gold. It is one of the oldest families of history. It comes from the rich sect of fire wor hlpeiB known as Parsees. Its uneestors vine priests of that religion and they are tuppoBcd to have descended from the kings of 1'ersla. The Tatas were, driven out of I'ersla with the other i'arsees and they settled on the coast above Bombay. By ami Ly Uiey drifted away from the priest-' hood and went into trade. The great grandfather of the present heads of the family was a government contractor at the tlie of tiur civil war. He made and lost several fortunes and gave hundreds of thousands of rupees to the support of his faith. Jamsetjoe Nusserwanjee Tata, this man's on, cume to Bombay as a boy and engaged In general trading. He. made money and Invested In cotton mills and later on es tablished a spinning and weaving Industry which has revolutionized that business In India. Ho established mills not only at Bombay, ' but in different parts of the In terior, and handled them so Well that the stockholders got on the average 20 per cent a year as well as stock dividends worth millions. In one mill he paid back In profits more - than thirteen times the original capital and he founded other en terprises equally as good. The man be came a multimillionaire and when he died tie had Interests In all parts of India as 'well as In England and In China, Japa and other countries of the far east. J. N. Tata Introduced all sorts of mod ern Inventions into the cotton Industry. He believed In throwing old machinery on the scrap heap, and he had everything up-to-date. It was to benefit Indian travelers that he founded the Taj Mahal hotel at a cost of one or two millions, and he had his own steamers to fight the grgat liners, which were charging high freight rates. He was a charitable millionaire. He gave away great vums to the church and he es tablished the Tata ltesearch institute at Bangalore, for the education of Parse young men. One of the big schemes of this man was to utilize the rivers of the hills back, of . Bombay to generate electricity for the Cot ton niills. Thky is now being done by th building of great dams across the necks ' of three valleys, thus making reservoirs with a surface area of 5,000 acres, and a storage capacity of 8.000,003,000 cubic feet. The power will be conducted to Bombay, a' distance of forly-three miles, by over bead wires. More Important than all the above are the pWns of the elder Tata for a steel and lion Industry for Hindustan. I first he.trd of them through the viceroy's min ister of commerce and Industry at Calcutta, and 1 have learned more from 1). J. Tata, the son of J. N. Tata, here at Bombay. I met Mr. Tata In his office and we talked tor an hour about these steel works. They have be-n st tried with a capital of $S.CO0. W0, and are already well under way. They are situated about V0 miles from Calcutta and not far front great Ix-ds of iron and. coal. American managers, metallurgists and engineers have been employed, and the enterprise Is being pushed for all It is worth. The company has made a contract with the government to take -O.OtH) tons of steel rails per annum for a term of teh years, and the officials have also agreed to build a railroad for them at a cost of tli.COO.U). to carry their ore to the mills. Mr. Tata says that the company will prob ably pay dividends within four or five years. He thinks the profits will be at least lj per cent and that the business will steadily grow. He tells me the plant will consist of ttyo blast furnaces, six open hearth basic steel furnaces of forty tons each, three merchant bar ni.lls and bloom ing end rail mills. It will produce IJOIJO tuns of pig Iron and T-,000 tons of finished steel per year. If these works succeed they will be the btttlnnlng of an Industry which may run high Into the millions. India Is- ulieady Importing something like JiYOvM.Ol'O worth of fron and steel. It annually takes KO. OoO.OOO worth of railway steel and rolling stork, as well us machinery and hardware to the amount of Ko.lHW.iXW more. The gov ernment demands are enormous. Its rail ways are longer than those of the Un.tcd Kingdom, and It has eighty-seven railway shops, whose average force Is 1.000 hands. It has arsenals anh dockyards employing 2,lXM men, and It Imports great quantities of uch materials as thc-te works demand. In addition to this, factories and mills are now springing up over India, and they all need machinery. There are almost l.uio cotton mills, as well as Jute mills, suar mills and foundries -making iron and brass. At present Oieat Biitulu Is monopollxinK the Importations. It snips about ail the machinery and mill work, the most of the lullway materials and the greater part of the Iron and steel. If India tan make Its own goods of this kind it will result In Uie eniulo) tuviit of millions of the SatUves and will Increase the wealth and prosperity of the country. Dining n.y talk with. Mr. Ta-ta I asked him to tell me ahout the mineral resources of India. He said: "We had to study them before planning the stei I works. My father, you rihiw, originated the Idea. He took It up twenty five years ago with the hope of making this a great manufacturing nation. He had made some study of England and believed that its greatness came from Its Iron and 'coal. He wanted to see whether India had similar possibilities and hired prospectors to go over the peninsula. He finally found certain deposits which he thought might be used for pig metal. The coal, however, was of a low grade and It needed special pro cesses to fit it for cooking. He offered 1 rizes for the Invention of such processes, und when they were discovered he pro posed to the government that it should grant him concessions for starting the in diitry. but he could get no satisfaction. He wus thin forced to drop the mirtter. Twenty years later lie UKalt took ll up with Lord Hamilton, the secretary of state for India, und interested him. Loid Ham ilton told him that the government would be glad to aid him In such an undertaking, and as. a result he again began Ids Investi gations, spending $100,000 or so upon them in the last years of his Ufa. We have con tinued his investigations." "What did you find?" I usked. "Much that no one Imagined existed," was the reply. "The geological survey had mentioned several Iron deposits. We reprospected them and finally thought we had some large enough for our pur pose. We sent to the United States for experts, and among others secured Charles Page Perin to tell us whether It would pay to work the mines,. The first deposits we examined were not far from Nagpur, and upon our, arrival at that place we went into the Mineral Museum. As we looked at ItMr. Weld, one of uor American mining engineers, . observed some fine ore labeled with the location of the deposit. We looked It up In the geo logical survey and found the ore was de scribed In three lines of print. "We went to the place and discovered there two great hills of almost solid Iron. The ore was 70 per cent pure and superior to the best of your ores. It was the equal of almost any ore bf the world. In testing it we used a diamond drill, sinking it into the ore bodies to a depth of 100 feet. We assayed the bor- TXs ".Mahal Hotel at ombay A W rl. V my Y' U . . YlP is" Ings and found the ore good throughout. We reported this to the geological survey, but they claimed there must be u mistake. They sent out their own Investigators, and they reported that the Iron was even bet- and Japan?" ter than we had represented. "At the Bame time," continued Mr. Tata, "we found deposits of good coking coal not far away, and also limestone and the other necessary conditions ' for iron manufacturers. We were granted conces sions for these various deposits, and as a result our steel plant Is now going up. We have coke ovens, which -will turn out 600 tons per day, and our blast furnaces will have a capacity of 200 tons every twenty-four hours." "Your works should succeed the better on account of the Swadeshi movement,' said I. "They will be favored by the t'ast locomotives, bridges and steel materials. If we get only a small percentage of this tiade ve shall have more than we can do." 'Will InMIa ever export steel to China v , 1ml """ny - " i Y V In- "I doubt it," was the reply. "China has already started a big steel works of Its own at Han-Yang. It lias far greater mineral deposits than we have, and It might supply Japan, although that coun try has' already established an extensive steel Industry. Our home market will take all that we or any native institution can make for generations to cpme." "But has India the money to establish, such Institutions?" "There Is no doubt of that fact," replied the Parsee capitalist. "There are mil lions In India awaiting investment if the people can be sure tnat the money will pay dividends without danger of loss. I don't know that you have heard of In dia's buried wealth. It is enormous. I have seen estimates that gold to the amount of three billion dollars Is burlart Mrtslde for canltal " ..Taia-'Qsade of fhe Steel Worlds.. V 4 dtans on that account," was the reply. "Our people will patronize home Industry and Swadeshi goods or goods made by sucH industries will undoubtedly be pur chased' in preference to imports from abroad of the same quality and of the same price. When our works begin oper ation, India will be taking about 400,000 small sums. We want to get this money Into tons of foundry iron, 200,000 tons of steel citf uiation and we how to do so some day. rails and 190,000 tons of bars and plates. At the same time we have many rich men; It will have to Increase Its Imports of and there Is no reason why we should go A cSamseLw HusserwaBAee Tata Indian Tliltipijairc.TfiilaiiQiropisb under the ' pround. There are million, which are hoarded in the shape of jeweliy, and a great amount is hidden away In The conversation here turned to the cot ton mills In which the Tatas afe so largely Interested and which the father of U. J. Tata huiit up. I asked Mr. Tata as to the condition of the husiness. "It Is rapidly growing," said he. "We now have here in India over 200 mills, and 200 more could be established and run at a pioflt. Most of our mills work day and night, and we cannot supply the demand. Our home market Is enormous. We have 300,000,000 people, and they all dress In cot tons. Just over the way is China, which Is waking tip to the western civilization and Increasing its wants. There are 400,- uifve Omaha Knights Templar on Their Way to Conclave If r !'''i'STTTTi?Ti,i'r ""'?grSl?srwWn'' 1,1111 '" "' T y iiiawVCe .yr mreT f.gr"v O -- S Y; j i t 111 U . tV -.'JklZf t -.1 ? T .a jj i-.,. - , EH? - jP YYlE-: v?. -' AxiU iZYiX C Y; , r'fy V ama: r. ( ill Y VSj v' V". fj. ,,w- ' t.:.,y, : - -, -..., ,.-, ,-. . v .. '"--jJ, .-- J MEMBERS Or m. CALVARY CQMM&NDERY OF OUAHA . sZJ 95. 83 SHE,INCf THEM. OIF . & & GB, BOl'T 10 men, many of them ac- several baggage anq express cars. It was A I companled by their wives and A '' I members of their family, de- I'ki iru iroin Finaiia on a special train funday afternoon hound for the great thirty-first trien nial conclave of the Knights Templar at Chicago. In-legates from a half doaen towns outside of Omaha were In the dele gation. The special ti J n was a kplendidly lux urious one composed of tlt;ht pullmans and manned by a crew of Knights Templar, chosen especially for the duty. It was promised by most of the Uappy delegati who b parted, that they would remain away on their vacations In parts of the country after the conclave had come to an end. Those who had charge of the delegation were Kmlnent Commander Richard C. Jor dan. John Kelly, entTulltmo, and the following ol'f.cers of tho Mount Calvary SKEIRCr THEM. OFF Commadery conclave dub; President. Charles II. Shook; Zora 11. Clark. secr .ary, :.:id Victor White, treasurer. J. W. May nard. ii!t cominamler and J'nlon Pacific agent, and Oioiite Weht, city agent of the Northwestern, 0. reeled thu nianaKomeiu of tin" train as fjr as Boone. Ainom? the out-of-town delejrates In tho purty Were Janus Howard of Benson, i.. I), lllchards and J. H. K'ecne of Kreinont and Henry Gibbons and Cnaiies Ki.ieii of Kearney. The special made a three-hour stop at Boone, la., and its pan-eiiiirs enjoyed a gorgeous lime- us quests of the Boone Knights Templar. A big banquet was served und a number of automobiles were then pressed Into sen Ire In taking the l.-li.!ng dt legates 0:1 a tlghtseelng tour of the little city. f'evcral of the lo- al delegates Were named on the staff of directors In charge'of vari ous paits of the' conclave program. The local men ugrtcd before departing that' they would make no utiempt to (jet the nert coiu-laie. Inasmuch as the stupendous event possibly could not be curried , out lore, and because two other cities were to make an overpowering effort In thut dire-lion. When tho votes were counted and It wus found that l'envtr hud secund the next '.'ouelave, there was rejoicing amongst the innaha delegation as the members would rather seti it helil in tiio west than go east. 000,000 there who wear cottons. There Is a Mg market In Farther India, an'tn tha west of us as well as In AfrleddIurieed the markets for the cotton mills of this part of the world are so great that wo do not Yieed those of either Kurope or America." "Your father established rame of the first spinning mills, did he not?" "Not the first. There was a cotton mill at Calcutta In IMS, und the first at Bom buy was established In 1S0I. My father established his orlgiulal mill much later. lie was one of the first to Mart mills In the interior. He founded one at Nagpur In 174, and, when lie died, he waa inter ested In many, not only here, but in other parts of the country. He was then em ploying altogether In his cotton mills alone about 8,000 hands. These mills are atlll working and are doing well. My father waa the first to Introduce ring spinning Into India, and in this he revolutionised, the) Industry." "Tell me something about vour lahnr aim W ment, Mr. Tata. Can the Hindoos handl machinery?" "Yes. They are excellent factory hands. Our boys are especially good. We hav many little children of 10 or 12 in the mills whoe supple fingers can do quite as well as those of the full-grown women employed at Manchester. Indeed, 1 think they do better." "Wliat are the wages paid In the mills?" 'The average Is 15 rupees a month. that means about or over 15 cents a day. inat Is good wages for India. A al can H- 1 ... I ...v n umn w a month, iu iivtt?N over liar tm r um ....fi, -" " 1 ftjiuiii. vur cnlef trouble is ihnt h k..j. ...m ..w ' ' .1 u l 111 lUf work if they get money ahead.' They will labor for two or three months and then lay off and spend what they have saved. If a man has 100 rupees ($33) ahead, he will, like as not, leave the mills and go back to his native village and spend a year or more In riotous living. When he has spent all he has, and all ho can borrow, he will come back half ttarving- and ask for a place. We do what we can to keep our hands and to educate them for, their work ' We have a pension fund and also a sav ings fund, to which the men can con tribute a certain percentage of their .In comes, the company paying them dlvldiuda upon their savings." A Coining back from my Interview wltfjAjr Tata to the Taj Mahal hotel, 1 passed long lines of bullock carts carrying cotton inrougn the city. A continuous procession of these may be seen here at all hours of the day throughout the yoar. Bombay's prosperity is founded upon cotton, ll has an enormous market, and its shipments of raw cottons and cotton goods approximate $;0,0Cv,lW a year. It has cotton mills hole and there throughout the city, and their smokestacks ure to be seen everywhere. This province is one of the largest of the cotton producers, and It does more spin ning and weaving than any other. There are about ninety mills in Bombay alone, or more than one-third of all the cotton mills of tiie country. The largest mill owners are the Tatas, the Sassoons and other mil lionaire Parsees. The capital Invested in the business all told amounts to J'iO.OOo.OO), or more. The cotton Industry of India was muds by our civil war. They were growing coi ton long before that, but the exports never averaged more than ?lu,0on,oo0 a year. When Hie war ln-Kaii und our cottons were shut out of i:i,;,and, th.iau of India leaped to the front, and the year the war closed they had rt ached the enormous total of lsj, Oio.OM,. That was me booming time for Bombay. The people lhoj.;ht there would be no end to llieir prosperity. Land went up several hundred per tent, and every one thought that tnis would be the great port of the world. Then Came the sur lendir ol lee, and to. toll dropped like a shot. it was 10 cunts a pound, and 11 went down 10 -' uiiu lontinucd to drop This made a panic In Bombay. The Paieto hanks iaiUil for m.llioiis, and thousands Were bankrupt. The cotlou exports steadily liil, and in li.'O tin y aii.oun.ed to only 1IJ- Ojj.i,.;. Kuu'i. tnat time most of the present Jiii.ls have been buill, und the exports ol taw lot. 011 iia.e tise.i. The laltei aio now raim.n at sometnh.g like Jvi.io.j.oO'I a year, wii le lite exports of manufactured goods are ;;;5.ou0,0W. .h.n the Industry needs is a protective taint', and especially so against Kng.snd. Tho Minciittter mill men, however, will nut allow Parliament lo grant this, and by so doilia they are keeping India back. If the British would give the country the same rilus that we of the United Stales have us to such matters, India could noil' only make nil tho cotton goods used ifX bur 3o0.0u0.0u0, but could export goods China and tho other countries of Asia A protect, ve tariff would turn Hindustan Into a beehive, and would make It one of the lichtst Instead of, as It Is-now, one of l" poorest of luiids. 1'HAMC G. CA KI'tNTWIi i