Kansas City daily journal., 1896-07-24
NO CHEAP COAL THIS SUMMER.
TIE USUAL Low PRICES NOT LIKE
LY TO PREVAIL.
As There Is No Reduction in Freight
Hates, Rctniicrs Are withhold
ing Their Orders for the
Anthracite Iro,luct.

It is practically assured that prices or
anthracite coal will he higher than usual
during the summer and fall in this city
There has been thus far no cut in the
freight rates between Chicago and Mis-
souri, river points and the price of hard
coal at Chicago continues steady at $3.50
As the freight is now n per ton and as
there is no probability OF this rate being
| lowered. hard coal cannot sell here for
less than $3.50 to $3.50, at a time when under
usual conditions 1t sells for $3.50 to $3.50.
| LEGAL dealers have deferred their pur-
chases and will continue to withhold orders
during tho entire summer. orders will he
deferred for at feast sixty days beyond the
usual time when they are placed by the
heaviest operators. This Will, of course.
| result in n curtailment OF the local supply,
| which Will In turn cause prices TO remain
higher than usual, II not actually ad-
vanced.
While no concerted action has been taken
by local operators. yet 1t is the well de-
, fined and well understood policy of ndi-
vidual dealers to withhold their orders.
Whether this will cause the anthracite coal
| trust to make any concessions or not is a
question. Nor do the local operators cx-
press the belief that their action will bring
such result nbout. The fact that the
entire Missouri river hard coal trade Is only
per cent of the total output of the Penn
sylvania mines would argue against the
action Of local dealers having any effect
upon the policy of the coal trust.
| that they would not place their orders for
some time to come. Richard II. Keith,
Company. which is the largest operator in
the local market voiced the general opin-
ion among dealers when he said;
among the dealers to defer placing their
orders. But It is the we'll settled policy Of
the dealers as individuals to do NO, Orders
a,iI,. Anh nj
our purchases for the fall trade will not be
made until the season is actually opened
and there will thus be prac,iealiy no sum,
in II position to maintain prices. and they
are doing So The railroads are maintaining
rates and the two together control tho sit
now when We do not get the advantnse OF
summer prices and cannot Therefore Rlve
rates in order to dispose OF our stock"
MIR. John Perry. general manager OF the
Central Coal and Coke Company, discussed
the situation in greater detail
on hard coal from Chicago to Missouri
river points was reduced 9 81 per on ton rhn hns
coal could be retailei here for s. per ton,
as the bargain to the retailer Is always
the fact that the Eastern miners have
cu,tailed the production OF hard coal, they
thus control the supply and can mnn'9r main 1ar
anrounced no reduction from the usual t3
rate from Chicago to Missouri river points.
The inevitable result is that the supply is
limited and prices Will he much higher
than usual. A considerable summer trade
is carried on under normal conditions but
tho current and prospective prices viii re-
ducs this trade to n minimum. The East
ern miners do not care anything for the
Western trade as long as they can hold
OF their output Is placed. Only per cont
of the output is sold In the entire Missouri
river section of the country. The miners
will make no concessions to enlarge, this
trade II by SO doing they have to lower
prices in the sections where they place
almost their entire output.
"Aobut 5000 tons of hard conl are sold and
distributed from here every year. But this
year only those who will have the luxury
of hard coal ut almost any price can afford
to use 1t; Prices VIII bc higher than usual
For this reason tho local dealers will not
place their orders for SIX weeks or more
to come. This Is not done in orler to
force the trust to lower prices. for We
know that the trust has limited the out
put and Is in u position to demand higher
prices. The usual Inducements 70 get rid
of large stocks will, "ot be possible. The
trust is master Of the situation"