BRITISH INDUSTRIES.

Franklin Times, Volume 9, Issue 638, 3 June 1921, Page 6

BRITISH INDUSTRIES.

A tour through industrial England at the present time is not quite so depressing an experience as might be expected in view of the prevailing stagnation in trade.

During the darkest days of the war the British people never faltered in their belief that the cause for which they had given so much in blood and treasure would be carried to victory, and something of the same spirit is now dominating manufacturers whose machinery temporarily is idle and whose profit have disappeared. During the past month I have had conversations with leaders of commerce and industry in a dozen cities, and two out of every three have not only expressed, confidence that business on a remunerative scale will eventually come back to them, but have also taken the view that the lifting of the depression cannot be long delav ed.

Many people may think that the grounds for optimism concerning the immediate future are not very .substantial, but those who look for a trade improvement justify their opinion by the quality and value of the goods which they have to sell and the undoubted needs of the United Kingdom and foreign markets. In any case, the optimism exists, and has a definite influence because the first step towards any restoration of industrial activity must be the creation of confidence. It is realised that pessimism • does not pay, and that if there is to be a revival cheerful endeavour is required to give industry a fresh start. So. far as the home markets are concerned, this spirit may really go a long way towards initialing a fresh demand. Until, the middle of last year everybody was eager to buy and paid little heed to prices, which constant-

Iy rose higher. Then, with surprising suddenness, the public decided that they were paying too much and began to go without things. At the same time cancellations of foreign orders began to reach the manufacturers, and the bubble of artificial prosperity burst. Prices wavered and then toppled, but the lower they fell the more determined people became that they would not buy again until they were sure that bedrock had been reached. The winter sales of the important distributing houses seem to have provided a turningpoint.

Clothing, boots, hosiery and other articles have been sold in very considerable quantities at low rates, stocks have been reduced, and many retailers are now believed to be in need of new goods to replenish their shelves. The reaction is not yet helping manufacturers in any substantial way. but the manufacturers a-re confident that orders must soon be placed with them. It remains to be seen how far their hopes wiil be realised.