The International Tin Cartel (review)

Professor Hillman needs no introduction. He has been working on the history of the tin industry for over twenty years, and has published extensively on the topic. Indeed, many of the findings of this book have already been published as articles in international academic journals. His authority is undisputed. This is, therefore, a very welcome contribution to the existing literature on the history of the tin industry (mining, processing, and marketing). But Hillman also covers a wide range of related topics, such as cartelization (the tin cartel was followed by many other products), the impact of the Great Depression on a particular industry, British imperialism, international relations during the twentieth century, and the economic history of Bolivia, Malaya, and many other countries.

It is curious that this book's title does not give details of the period under consideration. This remarkable monograph covers the period from very early times to 1985, when the tin market crashed following increased production from Brazil and China. Yet, Hillman stresses the importance of the period 1931-1946 and the International Tin Restrictions Agreements operating during that comparatively short period (eleven of sixteen chapters are devoted to this topic).

The range of sources used (both primary and secondary) is truly enviable. Hillman reads in English, Spanish, Portuguese, German, Dutch, and French. He is therefore able to build the necessary bridges between scholars working in different countries on a given topic, which is particularly valuable in the context of global industry. Hillman visited archives in England (Kew in particular, for the Colonial Office papers, his key source), Nigeria, South Africa, the Netherlands, Australia, Burma, Portugal, Bolivia, Belgium, France, Thailand, United States, and Malaysia. Such thorough research is essential for the understanding of global industry.

The book is divided into nineteen chapters. Chapters 2 and 3 cover the period from many thousand years ago until the end of the First World War, with special attention given to the aftermath of the Napoleonic Wars. These two chapters are particularly enjoyable. Hillman's astonishing expertise ranges from very technical metallurgical issues and the origins of canned food to the ancient history of Asia. His reconsideration of the role played by both old and new tin producing countries, as well as the importance of London as a source of credit, is particularly useful.

Chapters 4 and 5 cover the period 1919-1930, including all the problems faced by the industry during the 1920s. Special attention is given to the impact of the Great Depression (tin prices dropped in twenty-four months from £223 to £112 per ton) and the industry's subsequent response. These chapters also deal with the process of modernization and mechanization undertaken by the industry, the problems of overcapacity, and the reasons why a cartel was necessary (in the eyes of the producing countries). Particularly interesting are the sections on the expansion of Patiño's activities. Chapters 6 to 8 deal with the creation of the International Tin Committee (ITC), "the first intergovernmental agreement which gave . . . . . the power to control production" (2). These chapters effectively illustrate how the international control of this industry was shaped. Hillman examines the many coalitions formed (including the creation of the Tin Producers Association in 1929), the difficulties of complex international negotiations about levels of production and stocks, and the essential role played by John Howeson from as early as 1927, before the crash of 1929.

Chapters 9 to 12 are concerned with the early modus operandi of the cartel, from 1933 to 1939. These chapters show the difficulties of balancing production, consumption, and stocks, in particular when production capacity was higher than demand. Hillman's analysis of all the links between production, consumption, stocks, and prices is masterly. The richness of data for all these variables is remarkable. This was also a period in which the ITC expanded and the regulation of production and the setting of quotas became more complex. Other interesting topics covered here include the ITC's dealings with producers outside the...