The Brattleboro daily reformer. (Brattleboro, Vt.) 1913-1955, 1919-09-03
NO SOFT COAL |
PRICE COMBINE,
SAYS WITNESS
J. D. A. Morrow Tells Senate
Committee Such a Copbina-
ton Would be Impossible
PRICES At MINES LOWER
THAN LAST YEAR
Better Grades Of Coal Have Advanced
But Lower Grades Declined,
Making Average Of All es: :s--ss--
Grades Less

Washington. (SpeciaD A combin- |
alton among bituminous coal opera |
tors to maintain or fix prices does |
not exist and would be impossible If |
attempted, J. D. A Morrow, vice pres
ident of the National Coal Association |
told the Senate subcommittee in its |
first days inquiry here into the coal |
situation Prices at the mine, Mr. |
Morrow added. have declined under |
the competition, which prevails and
are lower now than they were year
ago.
commercial producers operating APP
proximately seven thousand mines,
from which bituminous coal is reg
ularly shipped" Mr.. Morrow said I'm
addition there are some two thou
sand operators with about three thou
sand mines, who begin producing and
selling coal whenever the price goes
up little and offers a profit to them.
Thus, In 1917, coal production was re-
ported to the United States Geologic
al Survey from 1854 mines. More
over, there are hundreds of thousands
of acres of coal lands along railroads
on which new mines can be readily
and quickly opened by any one so dis
posed.
Such a condition obviously does
not lend Itself to restrictive combina-
ton among producers. In addition,
the operators of each mining field are
subject to competition from the pro-
ducers of other fields, 50 that buyers
have many different sources of sup
ply available to them
ANY one who alleges that there is
nation wide combinatio ton among BIZ
luminous coal producers when these
are the conditions of bituminous coal
production and distribution, merely
advertises his own ignorance or con-
yicts himself of deliberate and vicious
misstatements.
"Of the five thousand separate BIZ
luminous coal producers in the United
States. 1924, approximately As per
cent, hold membership in the National
Coal Association. They produce about
sixty percent Of the total output of
bituminous coal in the country.
Charges that the National Coal
Association is combination to main
tain prices are without foundation in
fact They doubtless proceed from ig-
norHnce of its purposes and activities.
The National local association neither
buys nor sells coal; neither does it
have anything whatever to do with
the prices which its members ask or
sell it, nor with the territory into
which they ship their coal. nor the
quantity which they produce
Mr.. Morrow stated that bituminous
coal prices have declined since the
armistiee, and in general are lower
than the price fixed by the United
States Fuel administration.
He submitted charts to the COM
mittee graphically showing the
/ prices which bituminous coal sold at
the mines in different districts of the
United States from April / to Au-
gust l, 1919, in connection with these
charts, Mr.. Morrow explained that
when the price restrictions of the
fuel administration were removed on
February l last the better, more de-
sirable Goals went to a premium in
the open competitive market, and
the less desirable Goals declined in
price.
This was the action to be expected.
he said, in market where the buyer
exercises his choice and can obtain
the kind he prefers. AS a result, IN
stead of the uniform prices in differ
ent districts, which were fixed BY
the United States Fuel Administra-
ton, prices promptly spread out
some coal going higher and some
lower than they had been.
| Meantime" Mr.. Morrow said, "the
| cost of producing bituminous coal is
| higher now than it was a year ago
due to the fact that the mines then
| were operating six days a week and
| in many cases now are operating only
| four days week, and in some cases
| only three days per week. The over
| head expense of maintaining mines
| goes on just the same whether coal is
| produced or not. These idle day ex-
| penses have resulted in the increased
! costs per ton as compared with last
/ year When these increased costs
| are considered in connection with the
general decrease in prices, it is clear
! that profits of Bituminous coal opar-
ators are materially less than a year
| ago"
Referring to statements by repre-
sentative Huddleston of Alabama
Director General Hines Of the Rail-
road Administration and Others to
the effect that Bituminous coal prices
at the mines are unduly high, Mr..
Morrow said: s..'s = - s.l ls3
/; Il wish to deny publically and en-
phatically these allegations that
BitumiEous coal prices are being
maintained in some improper manner
and are unduly high. am convinced
| that these statements proceed simply
| from a lack of understanding of the
! facts,
Mr.. Morrow drew comparisons be-
tween the prices of Bituminous Goals
| at the mines in the United States and
foreign countries.
! Prices at the mines in Great Brit.
/ ain" he said, ARE about three times
the mine prices prevalent in the Uni
! ted States; in France the mine prices
! are more than three and half times
those of the United States. English
mine prices range from 1854 to STA
per ton while Bituminous coal in
France is costing about $S.7S per ton
/ at the mines. The average mine
/ price of Bituminous coal sold in the