Harrisburg telegraph. [volume] (Harrisburg, Pa.) 1879-1948, 1916-05-20
CONTROL VITAL
TO COAL TRADE
Chief Roderick Makes Some In
teresting Comments Upon
the Business

James E. Roderick. State chief OF
mines. in a review of the States coal
mining operations issued today de-
clares that ut would be a fortunate
thing for the trade IL no new opera
tions were started during the next five
years and existing corporations could
be controlled to meet the demands of
the market" This statement. which
is made in the course of 4 discussion
OF the movement now being worked
out to restrict the States biturmr ous
coal trade. the chief says would re-
move the danger of opere tion produc-
ton and breaks in prices which affect
both operators and men.
In the course OF the discussion of
the subject of control of the coal
trade Mr.. Roderick says:
The beginning of what may final
ly result in wise and beneficial re-
striction of the bituminous coal trade
is being made in some mining sections
where the operators are com bining in
such way that they may have more
control OF the output Coal opera
tions are now conducted on large
scale and in many cases there Is q ten
dency to purchase plants that are well
developed rather than make new de-
velopments. This course will finally
eliminate some of the smaller con-
Germs & I'd make it possible to control
or restrict the output. It is merely
a movement to meet more fully the
economic law of supply and demand
Another feature of this tendency is
seen in the effort to transfer the con-
troll of existing plants from weak to
strong hands. Powerful interests are
gradually reaching out and getting
control of many of the lesser opera
uons. This effort, following as it does
the effort made in recent years to con-
troll the coal bearing lands by GER
tain great interests, may lead eventu-
ally to the control OF both the lands
and the plants. It will take this and
money TO accomplish program of this
kind. but II is one of the things to
which the coal trade is tending.
The association movement. a move
ment that contemplates the creation
OF statistical organization in the
major-producing districts for the
purpose of gathering facts as to pro-
duction and sale or consumption OF
coal, is another effort in the same di-
rection. With the figures of produc-
tion in their possession, the operators
can tell to what extent there is over
production and can also tell what the
result on prices will be If the same rate
of production is continued. This or.
ganization will also complete the cost
OF production and the cost of selling
and be intelligently informed as to the
minimum selling price each producer
must get in order to avoid loss. The
originators of the movement hope tc
get the coal producers to sell their
product for not less than the actua
cost of production including all ex.
penses attending II.
1T will thus be seen that what might
be termed a practical mastery or con.
troll of the bituminous trade Is slowly
being accomplished. The coal land,
and the plants are being controlled
as well as the method and degree o.
operation, but II will no doubt be z
long time before these efforts can ac
complish very great results What
has been done, however, may be look.
ed upon as the beginning of a rationa
control OF the great industry. Il
would he a fortunate thing for the
trade II no new operations were start
ed during the next flVe years and the
existing operations could be controlled
to meet the demands of the market
It would remove the danger OF over
production and the consequent breaI
in prices that always proves ruinoui
to some of the operators just at a time
when profit seems to be in sight ant
also seriously affects the comfort and
welfare OF the employees by lowerins
their wages.