New York Times Current History The European War, February, 1915 Part 4

"I decided to seize this occasion for a press campaign, so far as this is a possible thing in Russia. I organized delegations to present pet.i.tions to the proper authorities for the prolonging of this new sobriety for the duration of the war. This step found favor with his Imperial Majesty, and an order was issued to that effect. Another similar campaign to remove the licenses from privileged restaurants and clubs was successful, and strong liquor is no longer available anywhere in Russia.

"The second month of abstinence made the manifold advantages so clear to everybody that when we called upon his Majesty to thank him for his orders, he promised that the vodka business of the Government would be given up forever. This promise was promulgated in a telegram to the Grand Duke Constantine.

"There remains only now to find elsewhere the revenue which up to the present time has been contributed by vodka. There has been introduced in the Duma a bill offering a solution of this question. The aim of this bill is not the creation of new taxes or an increase in the present taxes, but an effort to render the Government domains and possessions more productive."

[Ill.u.s.tration: decoration]

[Ill.u.s.tration: ADMIRAL SIR CHRISTOPHER CRADOCK,

Who Went Down with His Flags.h.i.+p, the Good Hope, in the Naval Engagement Off the Coast of Chile.

(_Photo from a Kodak Negative._)]

[Ill.u.s.tration: ADMIRAL COUNT VON SPEE,

Who Went Down with His Flags.h.i.+p, the Scharnhorst, in the Battle with the British Squadron Off the South American Coast.

(_Photo_ _by Brown Bros._)]

Influence of the War Upon Russian Industry

[From Russkia Vedomosti, No. 260, Nov. 11, (Nov. 24,) 1914, P. 3.]

_The Russian Ministry of Commerce and Industry has lately published the preliminary results of an inquiry into the changes in industry which have occurred during the first two and one-half months of the war, Aug. 1 to Oct. 14, 1914._

Altogether 8,550 of the largest industrial establishments, excepting those of Poland, have been investigated. These employ 1,602,000 workers.

Of those investigated 502 factories employing 46,586 employes had to be closed down entirely, while 1,034 establishments with 435,000 wage-earners have cut down their working force to 319,000. Thus about one-third of the total industrial wage-earning force has felt the effects of the war either through total discharge or through diminished output.

The lack of trained labor power and the failure to obtain funds have affected 222 establishments with 58,000 workers. Lack of funds has been very severely felt in the Baltic provinces, (there, especially, in the chemical industry,) affecting fourteen establishments with 15,701 workers. Altogether 132 establishments with 50,000 employes have cut down their operations, and of these 30 per cent. employing 15,000 workers belonged to the chemical industry. Also twenty establishments of the metal working (fine machinery) industry with 11,000 employes had to curtail their volume of business. In other industries the lack of labor supply has not been felt. Evidently only the industries requiring highly qualified labor have suffered from this cause. The shortage of fuel forced 108 establishments with 49,000 workers to diminish their output, and eleven establishments with 3,000 workers had to close down altogether.

The lack of fuel was very severely felt in the provinces of Petrograd and in the Baltic, owing to the stoppage of the importation of British coal. Of all establishments closed down for this reason, about 60 per cent. belong to the provinces of Petrograd, Livland, and Estland.

In other regions this want was felt less severely. The output of coal in the Donetz basin and of naphtha in the Baku region has increased, and the decreased demand for fuel owing to the diminished production has somewhat lowered the prices of naphtha. Thus in 1913 the average monthly price of light naphtha in Balakhany was 42 copecks per pood, (two-thirds of a cent per pound,) but in September, 1914, it was 36, and on Nov. 5 it fell to 25-26 copecks per pood, (13 cents per thirty-six pounds--a little over 1-3 cent per pound.)

The main difficulty in the fuel supply lies, however, in the inadequate transportation facilities.

The next obstacle in the way of normal development of industry is the lack of transportation facilities. This cause alone forced 223 factories with 128,000 workers to curtail their output, and fifty-six factories with 5,300 workers stopped production.

But the most disastrous effect upon the Russian industry has been produced by the diminished demand and by the lack of raw materials. For lack of market, 671 establishments with 219,000 workers reduced their output. The greatest sufferers have been the building trades and the industries connected therewith--structural iron, cement, (concrete,) brickmaking, &c.

The railroads have suffered greatly through the cancellation of registered orders and by the stoppage of further orders from Poland, also by the military mobilization.

During the month of August, 1914, the gross earnings of the Russian railroads, both State and private, were only half of their gross earnings for August the year before.

The unexpected prohibition of alcoholic beverages has almost ruined the liquor industry.

For lack of demand 83 textile factories with 95,000 employes have reduced their output. The lack of raw material forced 103 cotton mills with 188,000 weavers to cut down their output. This makes 40 per cent.

of the total cotton mills of Russia. Similar reductions have occurred in the silk, woolen, linen, and hemp industries.

The Ministry has withheld the data as to the exact nature of the raw materials wanting, but it may be surmised that raw cotton and dyestuffs are among the chief items.

Among the remedies suggested are better credit facilities and the resumption of interrupted intercourse with friendly and neutral powers for the securing of raw material.

Declaration of the Russian Industrial Interests

[Russkia Vedomosti, No. 217, Sept. 21, (Oct. 4,) 1914, P. 5.]

Referring to the abundance of donations forthcoming from the industrial interests for the victims of war, the Council of the Conventions of the industrial interests declares its confidence in the ability of Russian industry to bear the burden of war cheerfully and whole-heartedly.

The Council finds the proposed measures of the Government for its financing of the campaign insufficient, and promises to come forward with its own project of a special single property and personal war tax.

Then the causes of the war are summed up and the importance of the war for the industrial interests is outlined. The chief cause of the war is a.s.signed to the irreconcilable economic conflict between the German and Russian interests created by commercial treaties favorable to Germany.

Victorious Russia should dictate her own economic programme to the defeated enemy. Without such a result all sacrifices made will be in vain, and will fall as a heavy and unbearable burden upon the shattered economic organization of the country.

The industrial interests desire a war to the finish, and they say:

"Let the Government know how to cultivate in the future among the people the conviction that the war will be brought to an end, then the task of finding the means for carrying on the campaign will be greatly facilitated; for no sacrifice is too great for us for the overthrow of the economic yoke of Germany and for the conquest of economic independence. Nothing but strong will and determination are needed."

The Council of Industrial Conventions is a permanent organization corresponding roughly to the executive board of the National Manufacturers' a.s.sociation of the United States.

All big industrial interests, like the mining companies, the textile manufacturers, iron manufacturers, are represented in the council.--Translator.

A Russian Financial Authority on the War

[Russkia Vedomosti, No. 167, July 22, (Aug. 4,) 1914, P. 4.]

_Prof. Migoulin, member of the Council of the Russian Ministry of Finance and the author of several works on Russian indebtedness, in his article, published immediately after the beginning of the war and evidently written before the position of Italy had become known, thus sums up the war situation:_

The moment for the declaration of war has been well chosen and carefully planned by Germany and Austria. Russia had her hands full with the numerous labor strikes and poor crops in certain parts of the country.

England had her troubles with the Ulsterites, and the President of France was absent from his country when the Austrian ultimatum was handed to Servia.

Austria had already mobilized large numbers of her troops in Bosnia under the pretext of manoeuvres, Italy had a partial mobilization, and Germany was preparing herself for a grand army show.

The German strategists are looking for a brief campaign. But they are mistaken. Even with the capture of Petrograd the war will have barely begun, for Petrograd is only the frontier of Russia.