GIPE-PUNE-OIIOI2 - DSpace@GIPE

RATIO:'IIAU,ZATION IN INDIAN BUSINI;:SS ENTERPRISE 233
installatione at the blooming mill and the rail mill were
likewise 'Complete. New John Thompson boiler .. were
in operation as well as the new Es~ber W y$S blower
foundations were ready.
Along with all these techni::::al alterations and
enlargements has to be noted the fact that since 1928 the
fuel departmen.t has been under the charge of an expert
.in fuel economy who for several years was responsible for
similar work with one of the large steel companies in
Germany. It is in the milieu of these reconstructions and
expansions that the chairman for 1928 felt inspired to
refer several times in his speech to the •• steady improvernent
of this great industry of ours." And he explained
the trend as follows: •• This substantial improvement
made by the works is of course due to the increase of output
and to the fall in costs. The latter is partly due to
the fall in the pri~e of coal, but about half of it or more
is due to improved results at tbe works, improved efficiency,
increased economy and a steadily increasing check
on the quality of the materials which we buy and the
price we pay for them. We are constantly trying
to improve the quality and to reduce the price. "11
A most important aspect of rationalization such as
. is being han.dled by international cartels has reference
to output and control over the quota of production. It
.is interesting to observe that the Tata .Iron and Steel Co .
. has been pursuing a policy which is calculated to prevent
ovemroduction. The reduction of stocks is a mention-
II Chairman'. Speech (fata), Bombay, 1921:1; Sarkar: 'Cartels in Japan'
'and 'Internati~nal Cartels' in the Journal of the Bengal National Chamber 0/
Commerce (1931.32),