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VOL. XV MAY, 1937 NO.I

VOL. XV MAY, 1937 NOportarchive.com/1937/1937 May Volume.15 No.1 Page 1 to 20... · 2015-07-03 · May, 1937 Hottslott PORT BOOK 7 Port Director’s Page The Rail-Water Terminal Problem

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VOL. XV MAY, 1937 NO.I

General American’s Houston, Texas, Terminal

GENERAL AMERICAN’S Houston Terminal is

yours to use as your very own. Newly completedit is the finest public terminal in the Southwest. Modern, efficientfacilities for any bulk liquid. At Houston, as at all other General

American Terminals, you save through careful handling, minimumevaporation, lowest insurance rates. Direct pipe line connectionsfronl East Texas fields. You have all of the advantages of your owntcrminalmwith no investment on your part.

TANK STORAGE TERMINALSA DIVISION OF GENERAL AMERICAN TRANSPORTATION CORP.,

TERMINALS: GOODHOPE, LA., WESTWEGO, LA., CORPUS CHRISTI AND HOUSTON, TEXAS, CARTERET, N. J.

OFFICE: 135 SOUTH LASALLE STREET, CHICAGO, ILLINOIS.

May, 1937 Houston PORT BOOK 1

ANDERSON. OAYTON

Cotton Merchants

HOUSTONATLANTA

NEW ORLEANSMEMPHISLOS ANGELES

MOBILESAVANNAH

BOSTONPROVIDENCENEW BEDFORD

CHARLOTTEGASTONIA

GREENVILLEDALLAS

--AND--

Anderson, Clayton & Co. (Egypt) ............................... ALEXANDRIAAnderson, Clayton & Co. (India) ............................... BOMBAYAnderson, Clayton & Co., S.A. (Mexico) .......................... MEXICO CITY and TORREONAnderson, Clayton & Co., Ltda. (Brazil) ......................... SAO PAULO and RECIFEAnderson, Clayton & Co., S.A. (Argentina) ....................... BUENOS AIRESAnderson, Clayton & Co., S.A. (Peru) ........................... LIMAAlgodones, S. A. (Paraguay) ................................... ASUNCION

Represented abroad by

Austria ................ Dr. Ludwig Nettel ......................................... ViennaBelgium ............... Edmond Veesaert ........................................... Ghent

Canada ................ Anderson, Clayton & Co .................................. Montreal

Chbza ................. Anderson, Clayton & Co .................................. ShanghaiEngland ............... D. F. Pennefather & Co .................................. Liverpool

France ................ Anderson, Clayton & Co .................................. Le HavreGermany .............. Clason, Burger & Co ...................................... Bremen

Holland ............... Herbert Stroink .......................................... Enschede

Italy .................. Lamar Fleming & Co ........................................ MilanJapan ................. Anderson, Clayton & Co.’s Agency ........................... Osaka

Poland ................ G. A. Sebastian ............................................. LodzPortugal ............... A. Algodoeira W. Stam .................................... Oporto

Spain ................. F. Muste Ballester ...................................... BarcelonaSweden ................ F. Corin & Co ......................................... GothenburgSwitzerland ............ Gysi & Co ................................................. Zurich

Correspondents

ANDERSON, CLAYTON & FLEMINGNEW YORK

Members New York Cotton Exchange

D. F. PENNEFATHER & CO.LIVERPOOL

Members Liverpool C(,tton Assoeiati¢,n

Houslo,n PORT BOOK May, 1937

Fully Equipped to

Import and Export

Ha ndle a 11

CommodiNes

The Long Reach Shipside Terminal

is fully equipped to handle your ship-

ments. Warehouses, which include aU. S. Customs Bonded Warehouse tar

importers, are modern; personnel is

experienced. The Long Reach Wharf has

berthing space for eight ships. Rates arereasonable; insurance low.

For quick, efficient, economical hand-

ling through the finest port on the gulf,

route your shipments via Long Reach

Shipside Terminal, Houston.

LONG REACHSHIPSIDE TERMINALof HOUSTON COMPRESS COMPANY

([NCORPORATED)

HOUSTON, TEXAS

HOUSTON

Situated in a section of great natural

resources, through its network of

waterways and railways, has quick

contact with the commercial centers

of the world. In your plans for the

expansion of your Southwestern

business, let

HOUSTON

play its part.

SOUTH TEXAS COMMERCIALNATIONAL BANK

HOUSTON, TEXAS

Member Federal Deposit Insurance Corporation

LAYNE TEXAS COMPANY

WATER WELLDRILLING CONTRACTORS

--e--

GRAVEL WALL WELLS

LAYNEDEEP WELL TURBINE PUMPS

6931 Harrisburg Boulevard PhoneW-2141

HOUSTON, TEXAS

May, 1937 Houston PORT BOOK 3

BUNKER "C"and

DIESEL FUELAvailable at

HOUSTON - GALVESTON

HEL

ALL GRADESMARINE OIL

Available at

HOUSTON- GALVESTON

BEAUMONT

Complete line of Bunker Fuels and Marine Lubricants available at other Gulf Ports .....

SHELL PETROLEUM CORPORATIONSHELL BUILDING - HOUSTON

~/z/zQ1 ¯ ¯ ¯ ¯ ¯

,~,~:.:~-~ONE OF THE NATION’S

~~~,n~ MOST MODERN AND BEST-,,,"’ EQUIPPED FLOUR MILLS...

, [3.J~~’~ Bakers all over the Southwest are benefiting from

the thoroughness of our service as well as the ex-cellent quality of our flours. Nothing has been over-

~.~

~’,~’"looked in our physical equipment to provide the

,;-’ finest grades--and a grade for your every need.,~ .... Direct rail and water connections insure quick de-

liveries. May we have the privilege of serving YOU?

HOUSTON MILLING0 HOUSTON, TEXAS Q

l

CO.

4 Houslolz PORT BOOK May, 1937

Between

HOUSTONMOBILENEW ORLEANS

andLOS ANGELES

SAN FRANCISCOOAKLANDPORTLANDSEATTLE

TACOMA

Gulf Offices

Houston, Texas

804 First National Bank Bldg.

Mobile, Ala.707 Merchants National Bank Bldg.

Phone Belmont 716

Phone Preston 5218

New Orleans, La.301 Board of Trade Bldg.

phone Raymond 0311

General Office120 Wall Street

New York

TURNING BASIN COMPRESSCOMPANY

HOUSTON ..... TEXAS

Equipped with two High DensityCompresses, seventeen railroadsserve this plant through the PublicBelt Line arrangement.

In close proximity are Wharves7 and 8, where steamships can dockto pick up and discharge cargoes.

The storage capacity of this plantaccommodates between 50,000 and60,000 bales of compressed cotton.

Office Located at Plant Telephone Wayside 4101

EXPERIENCE in the application of HARD.FACING METALS to DREDGE CUTTERBLADES shows real ECONOMIES andimportant ADVANTAGES to theDREDGING INDUSTRY

ADVANTAGES . . .

].

2,3.

t-Ia~d-Facing metals welded on cutter bladesserve as a cutting medium and keep theblades sharp as long as the facing materialremains, thereby

Cutting the hardest formationsGiving a greater ratio of solids pumpedCutting roots to small enough bits to pass with-without trouble.

ECONOMIES ....

].2.

3.

Hard-Facing plays three important parts i~tlowering over-all costs of dredging.

Prolongs life of cutter two to five timesEliminates expensive changes and the cost ofadditional bladesLess power is required to drive a sharp cutter.

CONSULT OUR APPLIED ENGINEERING DEPARTMENT

Magnolia Airco Gas Products CompanyHOUSTON, TEXAS

May, 1937 Hottsloll PORT BOOK 5

INTRACOASTALAND

TRANSPORTATIONCable Address PETANK

TUG CALL

TOWING

COMPANY

GENERAL HARBORAND

COASTWISE TOWI NG

TelephonePreston 2181Preston 2799

504 Petroleum BuildingHOUSTON, TEXAS

LIGHTERING AND COASTWISEOIL TOWING A

SPECIALTY

Night Wayside 3416--Lehigh 8780-4954

SOUTHERN STEAMSHIP COMPANYHOUSTON’S

"Pioneer Steamship Line"

Sailings Between

........PHILADELPHIA, PA.,

and HOUSTON, TEXAS.

From Philadelphia, Pa., Pier 46, South WharvesEvery Wednesday and Saturday

From Houston, Texas, Pier No. 3Every Monday and Thursday

Seven Fast Steamers Serving Texas and the Southwest,TWENTY-TWO YEARS OF TRANSPORTATION ACHIEVEMENT

General Offices: 1360 Broad Street Station Building, Philadelphia, Pa.Address Southern Steamship C’o., Offices in Norfolk, Boston, Buffalo, Chicago, Pittsburgh, Philadelphia, New York, Dallas, El Paso, Fort Worth, and San Antonio

W. M. Vaughn, CA., Dallas; E. M. Sones, CA., Fort Worth; W. A. Bielstein, CA., San Antonio; R. T. Eatman, CA., E1 Paso;W. F. Land, CA., Houston; A. S. Baker, Jr., TFA., San Angelo

T. A. O’BRIEN, GENERAL FREIGHT AGENT, 1360 BROAD STREET STATION BLDG., PHILADELPHIA, PA.H. T. LINDSEY, GENERAL AGENT, 409 COTTON EXCHANGE BLDG., HOUSTON, TEXAS

6 Hottslott PORT BOOK May, 1937

GALVESTON--DALLAS--HOUSTON

FOWLER & McVITIESTEAMSHIP AGENTS

REGULAR LINER SERVICEto

Liverpool, Manchester, HavreGhent, Antwerp, Bremen

Hamburq, Dunkirk, GdyniaAll Scandinavian and

Danish PortsJapan and China

CORPUS CHRISTI--BROWNSVILLE

SOUTHERN STEVEDORING& CONTRACTING CO.

CHAS. EIKEL

Contracting Stevedore

HOUSTON

GALVESTON BEAUMONT COR PUS CHRISTI

SHIPSIDE WAREHOUSEPATRICK TRANSFER & STORAGE COMPANY

Operators ¯ HOUSTON DIVISION ¯ LONE STAR PACKAGE CAR CO.

Specializing in General Commodity Storageand Handling

250,000 SQUARE FEET STORAGE SPACE

FIREPROOF REINFORCED CONCRETE WAREHOUSE

EQUIPPED WITH AUTOMATIC SPRINKLER

LOCATED AT SHIP SIDE

Electric ConveyorsLeading To and From

Ship’s Berth

Usual Handling ChargesApply

No Extra Cost BetweenShips and Warehouse

Floor Level 35 Feet Above Mean Low Tide

TRACKAGE CAPACITY 84 CARSAll Railroads serve our Shipside Warehouse through

the Port Terminal Railroad

Phone connection to all ships berthed atour dock

Import and ExportShipments Handled

Free or Bonded

P. O. Box 1682

Uptown Phone Preston 0111

Shipside Phone Wayside 1869

May, 1937 Hottslott PORT BOOK 7

Port Director’s Page

The Rail-Water Terminal Problem

I N MARCH hearings were scheduled in Wash-ington on the so-called wharfinger and ship-ping bill. This bill contained provisions cov-

ering wharfingers, coastwise steamship operationsand deep sea steamship operations.

When the Houston representatives reachedWashington they learned for the first time thatthis bill had been abandoned and two new billsintroduced--S. 1400, called the water carriersact of 1937, and H. R. 5527, called the wharfin-ger act of 1937.

A hasty study of the bills revealed the factthat reference to deep sea steamship operationhad been dropped and that hearings were to beheld only on the coastwise steamship bill. Hear-ings.on the wharfinger bill, H. R. 5527, were in-definitely postponed.

The water carriers bill, S. 1400, on whichhearings were held, contained so many ambiguousterms as to make it very doubtful as to its true in-tent. For example, whether it regulated bargetraffic was not clear and the Houston representa-tives were instructed to oppose it because of theambiguous provisions which were in the originalbill and which appeared in the rewritten watercarriers bill.

Hearings have not yet been held on thewharfinger bill and it is noted that this bill, asproposed, makes the erroneous assumption thatrailroad terminal facilities are now regulated. Thebill provides the most drastic regulation for allothers and yet leaves out existing railroad facili-ties in operation under the assumption that pres-ent regulations are satisfactory. Nothing can befurther from the truth.

It is unfortunate these wharfinger bills andshipping bills continue to make this assumption,because it is now notorious that railroads do notcharge dockage nor do they have any uniformrules as to wharf and dock practice. Similarly,the accounting and other important details of thewharf and dock operation are not regulated asthis bill proposes to regulate those of us not nowincluded.

What we need on the coasts of the UnitedStates is Interstate Commerce Commission scru-tiny of railroad relations at the ports with thethree types of terminal facilities. There are somany diverse and discriminatory practices in thisfield as to warrant a bill in Congress which shallplace all three types of terminals under identicalcontrol and regulation.

The theory advocated by the writer is thatall relations as to switching, carloading and caragency work and all relations with the vessel mustbe identical at all three terminals. We will have alot of opposition from our railroad friends on thistheory, but there can be no reason why railroadsshould continue to give good switching contractsand good agency contracts to some terminalswhile at others they maintain such relations as toimpose extremely heavy burdens on the termi-nals. It is hoped that some giant in Congress willsee the opportunity for public service and give usthe bill that the terminal industry requires.

(

II

8 Houston PORT Book May, 1937

NATURAL GAS-fuel for the fires of Texas Industry

The importance of natural qas in the industrial

scheme of thinqs can scarcely be overestimated, and

the availability of natural qas in unlimited quantities

has been, is, and will be a decisive factor in the lo-

cation of new industry on the Texas coast. For nat-

ural qas is a Texas resource upon which rests the

industrial utilization of numerous others: petroleum

and its by-products; oyster shell (lime and cement);

sulphur; cattle; cotton and cotton linters; timber" salt;

wool and mohair; clays and ores.

Natural qas is the most efficient of fuels. Its use

eliminates the necessity of investinq in expensive

handlinq machinery and storaqe space. It is deliv-

ered to the consumer in a pipe and a valve controls

its flow to the furnace; it is cleaner to handle and

burn than any other fuel*; its combustion is more

easily controlled by automatic control devices; and

its use materially reduces the cost of furnace main-

tenance.

Natural qas from our system of pipelines is fur-

nishinq the heat energy for a wide variety of estab-

lished industries. Combined with other resources,

with markets at home and abroad, with exceptional

rail, hiqhway and water transportation facilities, nat-

ural qas qives these industries indubitable advan-

taqes over less fortunately situated competitors.

Your own company cannot afford to overlook such

advantaqes. Let us assist you in an investicjation.

Without cost or obliqation, our Research Department

will qladly prepare your company a survey of the

Texas Coast Country, individualized to your needs.

You will find the survey an enqineer’s report, compre-

hensive, accurate, reliable .... Your request will be

kept in strictest confidence. Address Houston Pipe

Line Company, Petroleum Buildinq, Houston, Texas°

HOUSTON PIPE LINIE CO.Wholesalers of ~.L"~A 4RI

Natural ~~* Visitors to the Texas Coast Country inv’lriably comment on the smoke-

less cleanliness of its industrial centers.

"Advertising Houston to the World"

Houston

PORT BOOKOfficial Pubfication of the Houston Port Commission

HOUSTON, TEXAS

VOLUME FIFTEEN MAY, 1937 NUMBER ONE

FOREWORDThrough the co-operation of the ship-

ping and industrial interests of Houston,the Port Commission has been enabled toarrange for the publication of this booktwice annually.

Its purpose is to inform shippers andall others interested in the Port of Hous-ton of its development, charges and othermatters of interest, and inquiries will atall times be welcome.

Address the Director of the Port, CivilCourts Building, Houston, Texas.

THE HOUSTON PORT BOOK is pub-lished in May and November of each yearunder contract and authority of theNavigation and Canal Commission.

As the official magazine of the Hous-ton Port Commission, this publication isintended to carry authoritative descrip-tions, notices and articles in regard to theactivities of the Port Commission and theport development. However, the Com-missioners cannot be responsible in allrespects for the contents thereof, or forthe opinions of writers to which expres-sion is given.

The publication is distributed free tomaritime, transportation and industrialinterests in the United States and foreigncountries.

Additional copies of this publicationmay be had upon application to the Di-rector of the Port, Civil Courts Building,Houston, Texas, or to any of the adver-tisers.

TABLE OF CONTENTS

PAGE

~The Port Director’s Page--The Rail-Water Terminal Problem ................................ 7

Map of Turning Basin, Showing Location of Public Wharves and Elevator ............ 10Directory of Port Officials ......................................................................................... 11

Administration of the Port ......................................................................................... 11Directory of Maritime Interests and Foreign Consulates .......................................... 12A Brief History of the Construction and Development of the Port of Houston ...... 13Houston’s Relationship to the Cities of the Great Southwest--Amarillo, Texas ...... 16Scrap Iron and Steel--An Article by J. RUSSELL WAIT, Director of the Port .......... 17The Houston Chamber of Commerce--A Directory of Departments and Officials .... 18The Industrial Development for 1936 Houston Ship Channel Area .......................... 19

Factors Affecting U. S. Cotton Exports--A Paper by LAMAK FLEMING .................. 20Tariff of the Port of Houston .................................................................................... 24

/ Port Notes--News Items of the Port and Its Activities ............................................ 25

Map---Showing Port of Houston Industrial District .............................................. 26-27Privately Owned Terminal and Industrial Facilitie~ .................................................. 35A Detailed Description of the Port ............................................................................ 39Business Barometer of Houston--1936 and First Four Months of 1937 .................. 43

State Building Permits ............................................................................................... 43Houston Ranks as a Major Port of the United States--Statistics ...................... 44Port of Houston--Commercial Statistics .................................................................. 45

Comparative Standing of Texas Ports--1935 and 1936 ........................................... 46

Public Wharves--A Description of ......................................................................... 47

Private Wharves--A Description of ......................................................................... 47Houston Steamship Service--A Table Showing Steamship Lines, Ports of Call and

Agents or Operators ............................................................................................ 48

-Tanker Lines--A Table Showing Tanker Lines, Ports of Call and Agents orOperators ............................................................................................................ 49

Channel Pilotage and Charges .................................................................................. 50

Tug Boat Tariff for Houston Ship Channel .............................................................. ~ 0

Charges for Mooring and Unmooring Vessels ........................................................... 50

Index to Advertisements ............................................................................................ 52

lO Houston PORT BOOK May, 1937

May, 1937 Houston PORT BOOK 11

Directory of Port Officials

Board of Commissioners

J. W. EVANS, ChairmanR. J. CUMMINS, Vice ChairmanK. E. WOMACK, Commissioner

W. A. SHERMAN, Vice ChairmanH. C. COCKBURN, Commissioner

J. RUSSELL WAIT, Director of the PortCHARLES CROTTY, Assistant

EXECUTIVE OFFICERS

J. L. ARCHER, AccountantJ. T. HANWAY, Supt. WharvesGEO. S. COLBY, Supt. Grain Elevator Dept.

OFFIcE--FIFTH FLOOR CIVIL COURTS BUILDING, HOUSTON, TEXASTelephone Preston 3241

D. A. SIMMONS, CounselH. L. WASHBURN, Auditor

Port OfficialsDIRECTOR OF THE PORT ................ J. RUSSELL WAIT

Executive Office: Civil Courts Bldg .... Preston 3241Residence Telephone Hadley 9457

ASSISTANT ............................. CHARLES CROTTYResidence Telephone Hadley 7239

SUPERINTENDENT OF WHARVES .......... J. T. HANWAYGeneral Office: Wharf 14 Telephone Wayside 7174

Residence Telephone Hadley 8651

ASSISTANT ................................ A. B. LANDRAM

Residence Telephone Wayside 8917

SUPT. GRAIN ELEVATOR DEPT .............. Geo. S. COLBYGeneral Office: Wharf 14 ........... Wayside 7174

HARBOR PATROL OFFICER ................ RAYMOND CAGE5607 Broadway ........... Phone Wydown 9-1209Assistant ........................ R. E. SHOOK8005 ]unius ......... Telephone Woodcrest 6-1151

FIRE BOAT "PORT HOUSTON"Phone Preston 2323 Sta. 2I

HOUSTON PORT AND TRAFFIC BUREAUH. B. CUMMINS, General ManagerJ. L. READ, Assistant

1507 Cotton Exchange Building, Houston, Tex.Telephone Preston 0552

Administration of the PortT HE PORT OF HOUSTON is operated by the Navigation and Canal Commission of five members, serving without pay, who are ap-

pointed two by the City and two by County Commissioners and the Chairman by the City and County Commissioners in jointsession. These Port Commissioners serve for a period of two years, the terms expiring alternate years. Under this Board the affairs

are handled by the Director of the Port. The Navigation District includes all of Harris County.

The Board controls the commercial activities of the Port and the construction and maintenance of the terminal facilities, andthrough co-operation with the Federal Government the construction and improvement of the waterway.

The wharves and railroad facilities constructed and operated by the City of Houston in 1915 and 1918 were transferred under alease agreement to the Port Commission on October 1st, 1922, for a period of thirty years, the City to be paid the net revenue after opera-tion and maintenance charges were deducted from the gross receipts. All further construction will be under the direction of theNavigation District.

12 Houston PORT Book May, 1937

Directory of Maritime Interests andForeign Consulates

FOR THE CONVENIENCE OF THOSE WISHING TO COMMUNICATE BY TELEPHONE WITH VARIOUSHARBOR INTERESTS THE FOLLOWING DIRECTORY IS FURNISHED:

United States ServicesENGINEERING DEPARTMENTEngineer Officials in Charge of the Construction of the Houston

Ship Channel:LIEUT.-CoL EDWIN H. MARKS,

Corps of Engineers, District Engineer, Galveston . Tel. 8200LIEUT.-CoL. FRANK S. BESSON,

After August 1, 1937JOHN EHRHARDT, U. S. Asst. Engineer,in charge of field office, Houston ............ Wayside 1583

LIGHTHOUSE SERVICEg. S. LANPHIER, Superintendent, Eighth District,

U. S. Lighthouse Service, New Orleans, La.

COLLECTOR OF CUSTOMS ............... FRED C. PABSTOffice: Federal Building, Galveston, Texas ....... Tel. 5254

Houston Office: Old Federal Bui!ding ....... capitol 7296DEPUTY COLLECTOR .................. G.J. GEYER

O~ce: Old Federal Building ........... Capitol 7296BARGE OFFmE: 121 Broadway ............ Wayside 3435

BAYTOWN OFFICE, Baytown ........... CHARLES R. FoxCUSTOM APPRAISER’S STORE ............. H. L. BOWER121 BROADWAY ......................... Wayside 2297

DEPUTY SHIPPING COMMISSIONER ........ H. J. CANNON

Office: 1214 75th Street ................ Wayside 5000BUREAU OF MARINE INSPECTION AND NAVIGATION

J. B. CARSKADON, ManagerOffice: I214 75th Street .............. Wayside 5000

U. S. COAST GUARDBERGER BENSON, Commander, Eighth DistrictOffice: American National Insurance Building,

Galveston, Texas .......................... Tel. 1585Cutter SARANAC, Pier 20 ..................... Tel. 1721

.PUBLIC HEALTH SERVICE, RELIEF STATIONSIMM H. MOORE, M. D.

Office: 416-17 Medical Arts Building ........ Fairfax 5232

WEATHER BUREAU ....................... C. E. NORQUESTOffice: Shell Building ..................... Capitol 6919

DEPARTMENT OF COMMERCEBureau of Foreign and Domestic Commerce, CHESTER BRYAN,

District Manager, Office Chamber of Commerce Bldg.Capitol 6271

U. S. COAST AND GEODETIC SURVEYLT. COMMANDER G. C. MATTISON

Room 314, Customhouse, 425 Canal Street

MiscellaneousHOUSTON PILOTS, 1312 Petroleum Building ...... Preston 7615

MARITIME COMMITTEE OF THE HOUSTON COTTONEXCHANGE AND BOARD OF TRADES. A. DUNLAP, Chairman FRANCES DALEY, Sec’ y.

1507 Cotton Exchange Building .......... Preston 5517

SEAMEN’S CHURCH INSTITUTE, 1. L. Taylor, Manager75th and Beaumont Streets ............... Wayside 0391

UNITED STATES SALVAGE ASSOCIATIONCHARLES MALLYN, Surveyor

Petroleum Building ..................... Capitol 6912

Foreign ConsulatesARGENTINA: W. A. Evans, Vice Consul

Chamber of Commerce Building ............ Preston 5111

BELGIUM: R. C. Patterson, Hun. Consul1109 Second National Banh Building ........ Preston 1454

CHILE: T. L. Evans, Consular AgentChamber of Commerce Building ............ Preston 5111

CHINA: Tsin Lon Ouang, Vice Consul714 Richmond Road ...................... Lehigh 8295

COLOMBIA: H. E. del Castillo, Vice Consul710 Sterling Building ..................... capitol 5256

COSTA RICA: C. A. Miller, Hun. Consul512 First National Bank Building ......... Capitol 5811

CZECHOSLOVAKIA: Dr. Charles ]. Hollub, Consul711 Medical Arts Building ............... Preston 2555

DENMARK: Edmund Pincoffs, Vice ConsulNo. 1 Main Street .. ............... Preston 8191

DOMINICAN REPUBLIC: Rafael A. Espaillat, Consul215 Marine Bank Building ................ Fairfax 0644

T. L. Evans, Vice ConsulChamber of Commerce Building ........... . Preston 5111

FRANCE: G. P. F. ]ouine, Hon. Consul928 Shell Building ...................... Preston 5600

GUATEMALA: T. L. Evans, ConsulChamber of Commerce Building .......... Preston 5111

HAITI: T. L. Evans, ConsulChamber of Commerce Building ........ Preston 5111

HONDURAS: T. L. Evans, Vice ConsulChamber of Commerce Building ........... Preston 5111

ITALY: Dr. Luigi G. Nassano, Acting Vice Consul407 Shell Building .......... Capitol 0751

New Orleans, La.JAPAN: Nobuzo Kawai, Commercial Agent, The Ministry

1 of Commerce and Industry of Japanese Government.U. S. HYDROGRAPHICLIEUT. C. L. WALToNOFFICE

J Cotton Exchange Building ................. Preston 9751

2519 Avenue F, Galveston .Phone 2404 MEXICO: Luis L. Duplan, Consul................. 212 Marine Banl~ Building ........... Fairfax 1700

IMMIGRATION AND NATURALIZATION SERVICEL. D. CROSSMAN, Inspector in ChargeOffice: 522 Federal Building .............. P)’eston 2426

DEPARTMENT OF AGRICULTUREBUREAU OF ANIMAL HUSBANDRY ...... DON B. STRICKLER

Office: 317 Federal Building .......... Fairfax 3000BUREAU OF ENTOMOLOGY AND PLANT QUARANTINE t

H. C. MILLENDER, Inspector in Charge. JO. D. MORRIS, Inspector.Office: 121 Broadway ................. Wayside 5455

NICARAGUA: T. L. Evans, Vice ConsulChamber of Commerce Building ............ Preston 5111

NORWAY: J. Newton Rayzor, Vice ConsulCotton Exchange Building ................ Capitol 6371

PANAMA: Samuel W. Heald, Honorary Consul512 West Main ......................... .Hadley 8292

PERU: C. A. Miller, Consul ad honorem512 First National Bank Building ......... Capitol 5811

SPAIN: W. A. Combs, Vice Consul417 Shell Building ....................... Capitol 5249

May, 1937 Houslon PORT BOOK 13

A Brief History of the Construction andDevelopment of the Port of Houston

T HE STOr, Y of the development of the Houston Ship Channelis a most interesting one that if written in detail wouldrequire several volumes to enumerate the various steps taken,

and to set forth the part that many Houston citizens have playedin making the port a reality and factor in world trade. It isproposed in this article to merely give a resume, or brief outline ofthe progress made in the various steps toward making Houston thegreatest port in the South, and one of the foremost in the nation.

Water transportation, the cheapest yet devised by man, wasthe prime factor that induced the Allen Brothers in 1837 to seeka location on the banks of Buffalo Bayou, a sluggish tidewaterstream, or estuary, entering the Gulf of Mexico through GalvestonBay. This stream had a natural depth of 10 to 20 feet, which wasas much as prevailed over the Bar between Galveston Island andBolivar Peninsula, and across Galveston Bay. ~. :

Few vessels in use in that day required more than 10 or 12feet for safe navigation. Therefore, the location for a city fiftymiles inland, on the northwest curve of the Gulf, nearest point tothe great stock and farming country now called the ’Great South-west, seemed very desirable and time has demonstrated the wisdomof this choice.

In the days of the early settlers trains of oxwagons broughtin cotton, timber and other farm products to the little city onBuffalo and White Oak Bayous, and they were then loaded onbarges and flat bottomed river boats for reshipment to Galvestonand New Orleans. A return cargo of supplies and tools was thenpicked up and carried back to the farms and ranches. ,

Commerce soon developed to the extent that a large numberof boats of various kinds were busily engaged in carrying freightand passengers to Galveston and New Orleans, and as ocean vesselsincreased in size they were forced to anchor outside the Bar andfreight transferred to and from the ships by lighters or barges.

Thus was shipping handled through to 1890, with only a smallamount of work done in improving the waterway, such as trim-ming trees from banks, removing snags and shoals. Most of thiswork had been done by local interests and those operating on thechannel, except for some dredging of Redfish Bar Cut by theFederal Government in 1872, and the cut through Morgans Point orPeninsula by Commodore Charles Morgan in 1872-75. Thisshortened the distance about three miles and avoided the dangerousClopper’s Bar east of the point.

A Board of Engineers, designated by Congress to select a deepwater port on the Coast of Texas as an outlet for the huge volumeof cotton and other products of the state, in 1886 recommendedthe port of Galveston for immediate improvement by constructionof stone jetties from Galveston Island and Bolivar Peninsula out intothe Gulf across the shallow bar. These jetties to act as trainingwalls to confine the flow and wash out the "sand of the bar.This current action supplemented by dredging soon provided adeeper channel into the wharves at Galveston, with the result thatHouston could no longer compete in the overseas trade, but hadto send its cargoes down in barges to be loaded on ships at Gal-veston.

The forward looking citizens of Houston, however, neverlost sight of their plans to make this city a world port and toprovide a waterway deep enough for cargo ships:to.reach its doors.Finally, after strenuous efforts by local enthusiasts and our repre-sentatives in Congress, a project was approved March 3, 1899, fora channel 25 feet deep and 100 to 150 feet wide. However, onlyenough funds were appropriated to dig a channel 18½ feet deep;deeper than necessary for barges and still n9t deep enough forocean vessels. - .

. This .181/2 foot channel was dredged intermittently from1903 tt3 1909, making cutoffs at Irish Bend, Clinton and Harris-

burg where sharp bends made it impracticable to follow old bedof stream. The turning basin 600 feet in diameter was dredgedat head of Long Reach, and the City of Houston cut two slipsinto the north bank as part of the program for providing PublicTerminals. In the meantime, the Bay Section of the channel hadshoaled to about 12 feet and Houston still had to confine its trafficto barges.

Realizing that a full depth of 25 feet was necessary beforeships could be induced to come to Houston, a delegation, orDeepwater Committee, of about twenty-five prominent citizensheaded by Mayor H. B. Rice, went to Washington early in 1910to urge completion of project as authorized in 1899. This beingin the days when river and harbor improvements were consideredin the "Pork Barrel" class, and the South not in very high favor,the Committee met a rather cool reception as advocating a projectwith little merit, and were told they should be content with abarge channel. After much discussion, the Committee told Con-gress that they believed so strongly in the need for the Houstonproject that they would agree to pay half its cost, if Congresswould proceed immediately to construct a 25 foot channel fromBolivar Roads to Houston. Such an offer had never been madebefore and so surprised the Rivers and Harbors Committee thatthey at once accepted it on the basis of Engineer’s estimate of acost of $2,500,000.00, and revised project was approved by Con-gress June 25, 1910.

It was necessary for Harris County to secure an enabling actfrom the Texas Legislature to create a navigation district takingin the whole county, and then to vote a bond issue of $1,250,000.00to provide its share of the dredging funds. This issue carried atratio of 16 to 1.

The Engineers of the War Department awarded contract andwork started early in 1912, six large dredges being occupied mostof the time, completing the channel full depth and width its en-tire length in September, 1914. A total of twenty-two millioncubic yards was excavated at a cost of $2,412,595.66, slightly belowthe original estimates, the Navigation District paying one-half.

In order to insure having suitable plant available at all timesfor maintenance of the channel, the Navigation District con-tributed $200,000 toward the cost of two hydraulic pipe line

Top: Traffic on Houston Ship Channel, Sinclair Refinery andterminal. Bottom: Loaded tanker outbound.

14 Houston PORT BOOK May, 1937

dredges, the San Jacinto and Sam Houston, as authorized underAct of March 4, 1913.

With the completion of the waterway about one year beforethe time specified in the contract, Houston found itself withoutadequate wharves and terminal facilities to berth, load and unloadvessels, as the delays incident to making plans, securing a bondissue of $3,000,000.00, dredging and building a wharf had takenmuch more time than was anticipated, so it was August, 1915,before the first unit, Wharf No. 1, was completed. However, sometraffic had been developed by private industry, which was quickto see the possibilities for industrial and terminal development ondeepwater. A shipload of coal was brought in from Norfolk, crudeoil from Tampico, bananas from Honduras and phosphate rockfrom Tampa.

The Navigation District (full legal title of "Harris CountyHouston Ship Channel Navigation District") was organized in1911 with three commissioners to secure funds and co-operatewith the United States Government in the construction and main-tenance of the channel, but these commissioners had no authorityto build and operate the terminals, arrange for steamship service,pilotage, loading and unloading, secure proper steamship and railrates, switching and to do the thousands of other things requiredin administering a modern port. This the City of Houston under-took, appointing in 1913 a Harbor Board to act in an advisorycapacity to City Council.

This Board, with the Chamber of Commerce, negotiated forand secured a monthly service between Houston and New Yorkby the Southern Steamship Line, the first vessel, the "Satilla,"reaching Houston a few days after the tropical hurricane in August,1915. (It is interesting to note that this service, now operatingto Philadelphia, is on a twice a week schedule, with several otherlines in competition to North Atlantic ports.)

During the war period, 1917-1919, additional wharves werebuilt by the city and the Public Belt Railroad extended fromwharves down south side of channel as far as Pasadena. Newindustries were constructed on the waterway, such as ArmourFertilizer Works, Texas (Lone Star) Cement Company, SinclairRefining Company, Galena (Texas Company) Signal Oil Company,Gulf Pipe Line Company and Humble Oil & Refining Company.War time shipyards were also built, the Midland and Universal,where ten wooden vessels were launched before work was suspendedafter the armistice.

Even though much of the shipping of the Gulf was diverted

Right : Ten-ton tractors loading for South America. Left: Han-dling heavy lifts with two cranes on the Houston Ship Channel.

to war service overseas, it soon became apparent that a channeldeeper than 25 feet was required to meet the increasing demandsof commerce and the larger type vessels being built each year.

The Navigation District Commissioners and Harbor Boardbacked by the broad visioned business men of Houston again wentto Congress and asked for a 30 foot channel. This was approvedby Act of March 2, 1919, and Harris County again contributed tothe cost of this work to the extent of $1,365,000.00 or about one-third of the cost.

Work under this project began in May, 1920, and was com-pleted in September, 1925, during which time traffic increasedfrom 1,210,204 tons valued at $82,301,162.00 for 1920 to 9,747,-122 tons valued at $490,006,292.00 and number of vessels travers-ing the channel from 326 to 2,376.

It became apparent that the City of Houston could not carryon and keep up with the rapidly growing needs of the port as amunicipal enterprise in which all of Harris County, the State ofTexas and Southwest was so vitally interested, so in August, 1921,the State Legislature amended the enabling act to enlarge thepowers and functions of the Navigation District Commissionersto cover the complete control and operation of the port and allits terminal facilities and to act as a Pilot Board to pass on qualifica-tions of pilots and recommend their commissioning by the Gov-ernor.

A new board of five members was created to take the place offormer Navigation Commissioners and Harbor Board. Two mem-bers were appointed by County Commissioners’ Court, two by CityCouncil and the Chairman by both bodies in joint session. Allmembers serve for periods of two years, without pay, and devotemuch time and thought to the affairs of the port.

The active management is by the Director of the Port andhis various assistants, who supervise all construction, maintenanceand operation of public terminal facilities, berthing of vessels, col-lection of charges, policing, etc.

Under the new unified management of the Navigation Dis-trict the existing City facilities were taken over on a thirty-yearlease with net revenue, after operating and maintenance expenseswere paid, going to the City as rental, thus assuring the Cityof all income that could possibly accrue to it and relieving it ofresponsibility of management.

Comprehensive plans for new and larger wharves, grain elevator,belt railroad extension and classification storage yards were soonworked out, and with proceeds of Navigation bond issues con-struction started in 1924 on the north side wharves 10 to 15.Extensions and enlargements were necessary from time to time untilthe system now provides berths for 18 vessels, 1,261,512 squarefeet of covered area of transit shed and warehouse space; 353,996square feet of open area; railroad trackage at wharves for 902 cars(exclusive of adjacent yards with storage capacity of about 1,350cars); 23 miles of main line tracks, 11 miles on north side and 12miles on south side of channel; a grain elevator of 3,500,000bushels capacity; vegetable oil tanks and pumps: locomotivecranes and all kinds of car~o handling equipment for the rapidloading and discharge of vessels.

Private enterprise had continued the industrial developmentalong the channel, constructing large cotton and general cargoterminals, cement and chemical plants, grain elevator and flour mill,steel assembly and storage plants, power plant, huge oil refineriesand terminals with pipe lines radiating to all major fields of theMidwest. Natural gas and power lines extended along each sideof waterway to provide for fuel and power requirements.

All this development rapidly increased the traffic on the chan-nel to 4,223 vessels in 1930, carrying 13,076,494 tons of cargo,valued at $506,898,443.00, nearly double the volume carried in1925.

The population of Houston, which was 138,276 in 1920, in-creased to 292,352 in 1930, or 111.4 per cent, while the populationof the county was practically doubled.

The estimates of 1937 give Houston about 400,000 and nearlya half million for the county.

The huge volume of oil, in crude and refined state; the mil-lions of bales of cotton (2,655,094 in 1931-32 season); ship loads

May, 1937 Houston PORT BOOK 15

of wheat, scrap iron and general cargo handled through the portrequired more and larger vessels that were taxing the capacity ofthe channel to the utmost. In response to the appeal of Houston’sshipping and business interests, backed by the figures of commercepassing through the port, Congress again approved a project fordeepening and widening the waterway to 32 feet usable depthand 400 feet across Galveston Bay, 200 feet to Baytown and 150feet to basin. By the time this work was completed still moreimprovement was necessary, so Congress in August, 1935, authorizedincrease of depth to 34-36 feet and widening 300 feet to Baytown;250 feet thence to Norsworthy and 200 on up to turning basin.

This latter project is now under construction, the full depthbeing completed from Gulf to Morgans Point on April 15th, 1937.Specifications have been prepared for other sections and work willprogress rapidly to the basin as funds are appropriated therefor.

The construction and maintenance costs for the differentstages of the channel development are shown in the followingtable, as compiled from report of the United States Army Engineers:

Federal Government Funds Contributed FundsNew Work Maintenance New Work Maintenance

To and including 181/2foot project 1911 ......... $1,960,842.72 $ 242,285.26 $ ............... $ ................

25 foot project to 1920 .... 1,232,647.86 1,324,555.58 1,209,178.78 200,000.0~*( Dredges

30 foot project to 1925 .... 4,254,512.40 1,339,984.88 1,365,000.00 ......................32 foot project to 1935 .... 4,286,132.30 4,371,135.44 ........................................34 foot project under

construction .................. 171,891.38 429,529.15 ...................................

Total to June 30, 1936.._._$11,906,026.66 $7,707,489.76 $2,574,178.78 $ 200,000.00Grand Total: Dredging--New Work ............................................................ 14,480,205.44Maintenance ..................................................... 7.707,489.76

22,187,695.20Dredging Eqquipment .............................................. 1,048,765.00

$23,236,460.20* Dr~ges "Sanl Houston" and "San Jacinto."

In addition to the local contribution toward channel construc-tion and for dredges, the rights of way for widening and cutoffswere in large part donated by property owners, and privilege grantedfor the deposit of spoil on adjacent low lands. Permanent depositareas of about 3,000 acres have been provided by the NavigationDistrict at a cost of $1,200,000.00, which makes the local publicfinancial interest in the project well over $16,000,000.00.

Considering the present and future needs of commerce; howdeep and wide should the Houston Ship Channel be? The Naviga-tion District has made its plans to ultimately secure a full 36 feetusable depth (actual 38-39 feet), a width of not less than 600feet across Galveston Bay, 450 feet to Lynchburg, 350 feet toGreen’s Bayou and 250 feet on bottom thence to turning basin.

What has been accomplished by bringing the sea 50 milesinland? Briefly this: a saving of millions to the citizens of Texas andadjoining western and northern states, as all freight rates are basedon Houston the shortest possible haul--with a low and competitivesteamship rate to all ports of the world.

Created a vast industrial district on and adjacent to the water-way, involving capital investment of more than $250,000,000.00and employing thousands of workers, directly and indirectly.

Afforded a local market for, and greatly facilitated the move-ment to foreign countries of the Southwest’s cotton, corn, wheat,oats, rice and flour, oil, gas and carbon black, cattle, horses, mules,sheep, wool and mohair, meats and packing house products, vegetableoils and thousands of other items.

It has provided a distribution center for import of coffee,sugar, bags and bagging, canned goods, chemicals, creosote, mo-lasses, iron and steel articles, pipe, machinery, newsprint paper,lumber and shingles, fertilizer, etc., etc.

Through conservative and consistent publicity has advertised(Continued on page 38)

The scenes show various Port Activities. Top : Public Terminals.Second: Four cranes handling cargo on the public wharves. Third:Ships moored at public wharves. Fourth: Houston Public Elevator.Fifth: UnloadinK Peat Moss from Sweden. Bottom: Down thehatch aboard the "Tillie Lykes."

\

16 Houston PoRT Book May, 1937

Sky scrapers in West Texas. The thriving city of Amarillo.

Houston’s Relationship to the Cities of theGreat Southwest

AMARILLO, TEXAS

The ninth o~ a series o~ articles showing Houston’s relationship to other cities of the Great Southwest.

Some other city will be covered in the next issue oJ the Houston Port Book.

A MARILLO, the heart of an empire, is the cross roads of theGreat Plains. Here, where less than half a century agoIndians were still hunting buffalo, stands a city as new

and as fresh as tomorrow’s sunrise. But much remains to give itthe flavor of the old west.

Just a few years ago this land was one of endless prairi. ~, g.~ntlyrolling in swells and hollows in places, in others no slight inclinevaried its flatness. Grass and heat, ceaseless winds and passionatestorm made its rythm.

Now its tempo is the throb of industry, the whir of com-bines, the roar of flowing gold, and its pulse is the city of Amarillo,reigning queen city of the plains.

It is the gateway to one of the nation’s major oil fields and iswithin a few miles of the world’s largest gas field. This proximityto the natural gas affords the city an abundance of cheap fuel,which has proven the basis for a rapid industrial development.

With excellent rail and transportation facilities Amarillo isan important wholesale distributing center, and dominates a whole-sale area with a population in excess of 650,000. Its trade terri-tory is in the nation’s ~’bread belt," and an average crop is 30,000,-000 bushels. Also within a radius of 150 miles of Amarillo thereare more purebred Hereford cattle than in any similar area ’in theworld, proving the fact that cattle raising in the Panhandle isstill an !mP0rtant industry here.

Within an hour’s drive of Amarillo is beautiful Palo Duro StatePark, a spectacular canyon cut deep in the bosom of the plainswhich conquistadors centuries ago named E1 Llano Estacado--TheStaked Plains. Here tourists can now enjoy a treasure that theSpaniards left. They probably won’t find gold, but they willgather more beauty and pleasure than they suspected could havebeen hidden for so long from all except the Red Men.

Refined sugar handled ~tom ship to warehouse by PatrickTrans/er & storage Company, Housion public what~ NO. 4.

May, 1937 Houston PORT BOOK 17

Scrap Iron and SteelBy J. RUSSELL WAIT

Director o~ the Port

F OR SEVERAL MONTHS we have witnessed a boom in the move-ment of scrap iron and steel to the ports of this country andthrough the ports to the world markets. The movement has

been exceptional and the prices obtained have been very attractive,and this article is prompted with a view of setting forth some factswhich will answer questions of interested parties.

As this article goes to press, there must be a quarter of a milliontons of scrap iron and steel at the ports in this port district andthe movement by boat reached close to I00,000 tons in April.

Where does this scrap iron and steel go and is it intended forwarfare purposes are questions often asked, and by way of answer-ing the first portion of the question, the following table is sub-mitted:

steel rails, boiler plates, forgings, heavy springs, shafting, chain andcast steel parts, all cut to convenient size.

No. 2 steel scrap has always covered all other steel scrap, suchas automobile frames, light steel from cars and tanks, farm tools,and similar steel articles. However, now we see a class of scrapwhich must be Nos. 3 and 4. It consists of light strap iron, bedframes and many parts approaching paper in thinness.

Cast IronCast iron is the product of the foundry and cast iron scrap in

all instances consists of such products which have served their use-

(Continued on page 51)

1936 1937 (4 Mos.)Country Tons Tons

Belgium .......................... 222.7China ............................ 1,635.4France ........................ 697.1England ...................... 1,700.2Germany ....................... 10.8Ireland ........................... 8,786.5Italy ............................. 29,389.5Japan ............................ 71,055.9Poland .......................... 12,851.2Scotland ......................... 40,067.8Yugoslavia ...................... 552.8

1,718.78,273.7

5,492.21,733.7

16,603.179,725.615,057.4

A study of this listing will show that many countries are ac-tive in securing scrap iron and steel and many of these countries,as we watch the daily news, do not seem to have much ambition toenter wars. The most notable thing about this list is the fact thatpractically all of the countries taking United States scrap iron andsteel at this time do not have iron ore reserves of their own. Hencethey are forced to purchase iron and steel scrap from industrialAmerica.

Scrap iron and steel is the by-product of industry. This isespecially true in our country. The statistics reveal that last yearscrap iron and steel exports were about 2,000,000 tons and 15,000,-000 tons were domestically consumed by the iron and steel industryof this country. Therefore, the total iron and steel scrap movementlast year was 17,000,000 tons and only 125/~ of it was exported.However, this export quota has a tendency to fix at higher levelsthe domestic prices.

American industry is progressing so rapidly that new processesfollow one another and daily require new machinery for production.This is especially true of the oil industry, steel industry, automobileindustry, engine and boiler industry and railroad industry. Fromthese industries, and many others, come the millions of tons of scrapiron and steel, a small percentage of which we are now handling atthe ports.

Watching these tonnages go into the boats for foreign lands,we see how. wide a range in quality is in this export iron and steelscrap. There are great fly-wheels, cylinders and boilers cut to con-venient size, and we see wheels from toys, from sewing machines,and we now have witnessed iron beds and discarded household tools.This indicates that agricultural owners and others are taking ad-vantage of the high prices to turn their scrap iron into cash.

Scrap iron and steel, a very much sought raw material of thesteel industry, must be carefully selected and classed in order tomeet the requirements of the steel makers. No. 1 heavy meltingsteel scrap includes pieces of heavy steel parts. Among these are Loading Scrap Iron at Houston

18 Houston PORT BOOK May, 1937

The Houston Chamber of CommerceMany persons and firms located far from Houston desire

service and information with reference to their various interestsfor which the Houston Chamber of Commerce is always glad tobe called upon:

The following is the executive committee:

JAMES ANDERSON ............................. President

L. S. ADAMS ............................. Vice-President

H. O. CLARKE, JR ......................... Vice-President

W. L. CHILDS ............................ Vice PresidentJ. VIRGIL SCOTT ............................... Treasurer

R. D. ERNST ....................... Secretary of the Board

J. M. LYKES ........................... Member at Large

W. N. BLANTON ......... Vice-President ~q General Manager

The service rendered by the Chamber of Commerce is dividedinto several departments of which the following is an outline andthey at all times welcome inquiries from those desiring theirassistance:

EXECUTIVE DEPARTMENTW. N. BLANTON, Vice President ~ General Manager

TRANSPORTATIONC. E. HOLLOMAN, Manager

Rate quotations--Readjustments of rate situations--Publica-tion of rate changes--Preparation of statistical information indefense of rate adjustments--Analysis of transportation problems--Dissemination of information on the car situation and any othertransportational subjects of interest to shippers.

INDUSTRIALR. A. LAIRD, Manager

SitesmWarehouses--Retail locations--Labor situation--Statis-tical information on industrial subjects--Business conditions (cityand state)--Present and future industrial possibilities.

FOREIGN TRADE AND PORT ACTIVITIEST. L. EVANS, Manager

Foreign Trade problems--information on Houston, Trade pos-sibilities with special reference to Mexico, Central and SouthAmerica and the West Indies. Spanish translations: information onCustoms Regulations; Tariffs, etc.--Domestic trade; Local con-ditions of trade with special reference to wholesalers and jobbers--Classified list of Houston concerns--Present and future possibilitiesof specific trade propositions. Port activities and improvements.

PUBLIC RELATIONSNORMAN H. BEARD, Manager

Deals with a variety of Chamber of Commerce activitieswhich do not center in any division under the direction of adepartment head, including inter-organization activities. Partici-pates in the welcoming and entertaining of distinguished visitorsand arranges details for a variety of meetings and conferences heldby local agencies.

MEMBERSHIP DEPARTMENTH. E. DANNER, Manager

Establishes friendly contacts between members, prospectivemembers, new citizens and visitors through confidence in theChamber of Commerce.

RESEARCH AND STATISTICSGEORGE F. FINDLAY, Manager, Research

Maintains a file of approximately 1,500 items on subjectsof informational value with reference to Houston, its trade terri-tory and Texas. This information is available to anyone anywhere.

JOBBERS AND MANUFACTURERST. W. ARCHER, Manager

Contact Houston trade territory and assist jobbers and mann-facturers to develop new business.

AGRICULTURAL DEPARTMENTW. O. Cox, Manager, Agricultural

Agricultural conditions in Harris County and adjoining coun-ties-Specific information to individuals on farming problems---Boys’ and girls’ rural club work Information from specialistsemployed in the department of livestock and dairying, home dem-onstration and field crop subjects--County agent work--Informa-tion available through direct contact with the Extension Serviceof the State Agricultural and Mechanical College.

HIGHWAYHAYGOOD ASHBURN, Manager

Provides comprehensive service for motorists and tourists andassists in the planning of new or improved highway construction.Assists in planning new highways that directly or indirectly benefitHouston.

SAFETYNORMAN H. BEAVm, Manager

Advocates and promotes the observance of approved safetymeasures both with reference to the individual and to groupemployes. The department regularly carries a message of safetythrough every publicity medium and interests itself in the adoptionof legislation to enforce worthwhile safety methods.

PUBLICITYBORT RULE, Manager

National and local distribution of civic advertising includingnews publicity on Houston development--Pictures and cuts ofHouston’s commercial and civic life for the use of visitors andfor loan to interested individuals--General information regardingthe city--Direct contact with local newspapers which makesavailable assistance for those desiring that character of publicityservice---Advice and counsel in the preparation of publicity matterwhich has a bearing on Houston publicity--File of newspaper clip-pings on stories of interest.

CONVENTION AND TOURIST BUREAUHAYGOOD ASHBURN, Director

Promotes the holding of conventions at Houston; arrangesfor conventions and other conferences and stimulates the holdingof sales conferences at Houston.

AVIATION DEPARTMENTR. A. LAIRD, Manager

Stimulates the establishment of new airmail and passengerservices at Houston; inaugurates statewide movements for thebetterment of commercial flying in Texas and fosters the im-provement of air ports in Houston and generally throughout Texas.

HOUSTON MAGAZINEBURT RULE, Editor

C. E. GILBERT, JR., Manager, Houston Magazine

A monthly business journal, combined with the Port Register.

JUNIOR CHAMBER OF COMMERCENORMAN H. BEARD, Director

An organization of young business men of Houston but adistinct division of the Chamber of Commerce operating undertile latter’s supervision. Promotes the general civic welfare of

Houston through a great variety of activities.

May, 1937 Houston PORT BOOK 19

Pipe Storage Plant o~ the Bethlehem Supply Company.

The Industrial Development for 1936Houston Ship Channel Area

T HE MOST outstanding item of new construction is that ofthe plant of Champion Paper & Fibre Company, which ac-quired a site of about 160 acres on south side of ship channel

at Pasadena and has just about completed a large paper pulp millwith all auxiliary equipment to handle about 400 cords of pinewood per day, producing about 200 tons of pulp. The plant willcost about $3,500,000.00 and will employ 300 to 500 men. Theproperty has about 3,000 feet of frontage on the ship channel. Abarge wharf for handling of wood in and pulp out has beencompleted.

The Consolidated Oil Company leased space from NavigationDistrict in rear of Manchester Wharf and has installed an oil dis-tribution service, receiving oil products by barge and loading outfrom storage tanks to trucks and tank cars.

The Navigation District has constructed a bulk commodityloading plant over the old Channel Fuel Wharf at Manchester,equipped with hopper under railroad tracks where dump bottomcars can be unloaded, the commodities such as sulphur, coal, coke,phosphates, etc., being carried to vessel on belt conveyor andchuted into hold of ship.

On the main channel the various existing plants have mademany improvements, additions and betterments to bring each upto its utmost efficiency. In the case of refineries this meant over-hauling of all old equipment, modernizing or installing new stills,erecting new tanks, laying pipe lines, etc. The major items in thiswork are as follows:

Shell Petroleum Corporation extending of slip 600 feet andconstructing new oil dock, making a total of four ship berths.During the year this firm purchased 116 acres of land adjoining theirtract on the west. Ten or twelve new 80,000 barrel storage tankswere erected, new stills installed and all equipment overhauled. Alarge laboratory has been built in southwest section of city.

American Petroleum Company: Plant overhauled, new waterintake constructed, etc.

Phillips Petroleum Company: New spherical tanks built andplant overhauled.

Crown Central Petroleum Corporation: New atmospheric andvacuum two stage unit, rebuilt acid recovery system and mademany minor improvements and betterments to plant. Bulkhead onwaterfront has been reinforced with steel sheet piling for about250 feet.

Houston Lighting & Power Company: Many improvementsand betterments were made in main plant and service lines ex-tended, transformers and meters installed and distribution linesand facilities placed in excellent condition.

Houston Milling Company: This company during the yeartook over the American Maid Flour Mill and Elevator plant andinstalled on Manchester Wharf a modern suction grain unloaderto remove grain from vessels to better handle grain imported and

the movement of wheat from Pacific Coast ports to Houston. Anew feed mill and a corn mill with degermination system, a drierand additional warehouse space has also been provided.

The Eastern States Oil Company (formerly Deepwater OilRefineries) has been engaged throughout the year constructing newtanks, stills, pipe lines, pumping plants, settling tanks, etc.

The many other industrial plants all report improvements, andthe shell producers and towing companies state that their floatingplants have all been overhauled and renewed, new tugs and bargesconstructed at cost of many thousands of dollars.

From the reports received and surveys made it is estimatedthat over Thirteen Million Dollars have been expended during 1936in the improvements and betterments noted.

Within the industrial area, but not directly on the waterfront,a large number of new plants have been built or enlarged, withseveral under construction at beginning of the year.

Among these are noted:

The Bethlehem Supply CompanyRheem Manufacturing CompanyThe Bama CompanyOil Center Tool CompanyAtlas-Imperial Engine Ci3mpanyBennett Refining CompanyBaker Oil Tools CompanyBaash-Ross Tool Company--enlargement.American Can Company just starting on $1,000,000 can

manufacturing plant.

Some 40 other industries are listed as either new plants orwith enlargements during the year, involving a total estimatedexpenditure of about $3,000,000.00.

Not included in above but now under construction is theSan Jacinto Battleground Park improvemer~ts and memorial shaftinvolving an expenditure of about $1,300,000.00.

Only recently is the fact being stressed that the City ofHouston includes practically all the industrial section along theship channel through the extension of the City Limits in 1913 fora distance of 20 miles and a distance of 2,500 feet each side of thethread of the stream. This area extends to Morgans Point andprovides for police protection and regulation, but not assessablefor city taxes.

It is estimated that some 16 to 17 million dollars have beenexpended in improvements within this area during the Calendar year,while the city proper shows building permits for the year at$18,416,966.00, most of which was for residential construction,deducting about $2,000,000.00 for possible duplication, the totalexpenditures in Houston’s Metropolitan area is about $33,000,000.00for 1936.

20 Houston PORT BOOK May, 1937

Factors Affecting U. S. Cotton Exports(A paper read before the Houston Foreign Trade Association, Feb. 26, 1937)

By LAMAR FLEMINGMember of firm, Anderson, Clayton & Co.

I DON’T know what competence I have to discuss foreign trade,and I will not attempt to discuss it except within the limitsof the foreign trade aspect of cotton.When I got my first job in 1911, to go into the cotton busi-

ness in Texas or Oklahoma really meant to go into foreign trade.That year the U. S. cotton crop was 15,693,000 bales, of which4,921,000 were spun in the United States. Therefore 10,772,000bales, or 69~ of the crop was available for export. That was arecord, exceeded since then only in the record-crop year of 1926,when production exceeded domestic consumption by 11,097,000b/c. This current season, U. S. production is in the neighborhoodof 12¼ million; U. S. consumption of American cotton, frompresent indications, in the neighborhood of 7Y2 million; and so thesurplus available for export is in the neighborhood of 4~ million,or 39~ of the crop. The surplus available for export from the1936 crop therefore is some six million bales less than the corre-sponding surplus from the 1911 crop.

This change is due to two things: First, the consumption ofcotton goods in this country increases from decade to decade withincreased population and buying power; Second, the U. S. cottonproduction, after recovering from the post-war boll-weevil years torecord heights in 1926 and 1931, has declined for reasons that Iwill touch upon later.

If these two trends continue, the importance of Americancotton in foreign trade, already greatly diminished, will sink tomodest proportions. It therefore is worth while to study themattentively and see if we can form an opinion whether and howfar they will continue.

Left: U. S. Destroyer "Moffett," President Rooseveit’s fshlngcraft in Gulf of Mexico, May, 1937. Right: Jesse H. Jones layingcorner stone, San Jacinto Memorial Monument, April 21, 1937.

First Let Us Look at Domestic Consumption ofCotton Goods

In 1911 the population of the United States was 93,000,000, in1936 128,000,000, almost 38% more. In these 25 years, theper capita buying power has increased tremendously. Althoughnew inventions have given us substitutes for cotton in some uses, thespread of other inventions has created new uses for it. For instancethe automobile, now almost every man’s necessity instead of therich man’s luxury, uses great quantities of cotton in upholstery,rugs, headcloths, etc., and in tire fabrics. Modern building formulasuse quantities of cotton, and so does the furnishing of every newbuilding. A great deal of it goes into industrial equipment, belt-ings, filtre cloths for the oil industry, press cloths for the paperindustry, and countless articles that most of us never hear of.

It seems to me that these reasons for increased old uses andfor new uses explain the increase of 52% that has occurred in U. S.consumption of American cotton in these 25 years.

As to whether there will be a continuing increase from now on,I think we must inquire; First, will the population continue toincrease? Second, will per capita buying power continue to in-crease? Third, will new uses for cotton continue to provide moreoutlet for it than the invention of substitute materials fills up?

While the upward trend of population in this country hasslowed down in recent years, I see no reason to doubt that the trendwill continue upward for many years to come. While the presentinflation of per capita buying power may trip itself sooner or laterinto another depression, I do not believe it is reasonable to expectmore than temporary interruptions in the increasing desire for andability to buy useful things, which always comes with increase inthe eflqciency of general production. As for new uses, for whichthe greatest fields are industry and new building, I think it isreasonable to look for a considerable expansion in the years beforeus, bearing in mind that the normal building of new industrialplants and the modernization of old ones and the construction ofcommercial buildings, hotels, and almost every type of non-resi-dential structure, have been at a standstill for the last several yearsinsofar as private initiative is concerned. This work will have tobe resumed in due course, or else our industrial, commercial, andsocial equipment will sink into obsolescence.

I believe that the long-time trend is upward in all these threefactors that determine our domestic cotton consumption, hencethat the domestic cotton consumption will continue to increase.

Next, Let Us Examine the Probabilities Affecting theFuture Trend of U. S. Cotton Production

The factor that jumps to the fore here is the comparison be-tween crops produced in the U. S. and those produced abroad forthe last 25 years. I give these figures for the season 1911-12 andeach fifth season thereafter.

1911-12 U. S. Crop 15,656,000 b/e, Foreign Crop 7,007,000 b/e, Total 22.663.000

1916-17 .... 11,559,000 ...... 7,444,000 .... 19,003,000

1921-22 8,285,000 ...... 6,955,000 15,240,000

1926-27 18,162,000 ...... 9,808.000 27,970,000

1931-32 16,877,000 ...... 9,587,000 " 26,464,000

1936-37 12,250,000 ...... 17,250,000 "’ 29,500,000

The 36-37 figures are estimates, since the season does not end until July.

It will be seen from these figures that American cotton was69% of the world crop in 1911-12 and 42% in 1936-37; that,