Bonners Ferry herald. [volume] (Bonners Ferry, Idaho) 1904-current, 1919-09-09
NO SOFT COAL
PRICE COMBINE,
SAYS WITNESS
]. U. A. Morrow Tells Senate
Committee Such a Combina-
ton Would Be impossible
PRICES AT The MINE
LOWER THAN LAST YEAR
Setter Grades Of Coal Have Advanced
sut Lower Grades Declined, Max
Ing Average Market Price
Of All Grades Less

Washington. D. c. (SpeciaD A COM
hination among bituminous coal opera
tors to maintain or fix prices does not
exist and would be impossible II at
tempted, j. n. A. Morrow. vice presi-
dent of the National Coal association.
told the senate subcommittee in its
first days inquiry here into the coal
situation. Prices at the mine. Mr.. Nor
row added, have declined under the
competition which prevails and are
lower now than they were a year ago.
There are about 5000 separate
commercial producers operating ap-
proXimately 1000 mines. from which
OltuminOus coal is regularly shipped"
MIR Morrow said an addition there
are some 1000 operators with about
5000 mines, who begin producing and
selling coal whenever the price goes up
a little and offers profit to them.
IhuS In 1917 coal production was re-
ported to the United States geological
survey from 1864 mines. Moreover.
there are hundreds of thousands Of
acres OF coal lands along railroads on
which new mines can be readily and
quickly opened by anyone so disposed
such a condition obviously does not
lend itself to restrictive combinations
among producers. In addition the op-
orators of each mining field are sub
ject to competition from the producers
of other fields, so that buyers have
many different sources of supply avail
able to them.
Anyone who alleges that there Is a
nationwide combination among btu
minous coal producers when these are
the conditions Of bituminOus coal pro
ductiOn and distribution, merely ad-
vertiSes his own ignorance or convicts
himself of deliberate and vicious mis-
statements.
"Of the 5000 separate bituminous
coal producers in the United States.
2294. approximately As per cent, hold
membership in the National Coal as
ISOLATION. They produce about 60 per
cent of the total output of bituminous
coal in the country.
"Charges that the National Coal as
ISOLATION is q combination to maintain
prices are without foundation; in fact
they doubtless proceed simply from ig-
nOrance of its purposes and activities.
The National Coal association neither
buys nor sells coal ; neither does it have
anything whatever to do with the
prices which its members ask or sell
att 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
armistice, and in general are lower
than the prices fixed by the United
States fuel administration. He sub
mitted charts to the committee graph
cally showing the prices at which btu
/ minOus coal sold at the mines in diff
ferent districts of the United States
/ from April l to August l, 1919. Ir
connection with these charts. Mr. Nor
row explained that when the price re
strictions of the fuel administration
were removed Oh February l, last, the
better, more desirable Goals went tC
premium in the open competitive
market. and the less desirable coal:
declined in price.
This was the action to be expected
he said, in a market where the buyel
exercises his choice and can obtain tn,
kind he prefers. As a result, instead
of the uniform prices in different dis
] IIlclS, WHICH were ilAtb ny llic Onilct
/ Suites fuel administration, prices
! promptly spread out, some coal goinl
higher and some lower than they hat
been.
Meantime" Mr.. Morrow said, 9TH
cost of producing bituminous coal Il
higher now than it was a year ago
due TO the fact that the mines thel
were operating six days week and II
many cases now are operating onl.
four days per week, and in SOM
cases only two days per week. TIL
overhead expense of maintaining mine
goes on Just the same whether coal 1
produced or not The idle day ex
peuses have resulted in increased cost
per ton rs compared with last year
When these increased costs are con
sidersd in connection with the genera
decrease in prices, II is clear that prof
its of bituminous coal operators ar
materially less than a year ago"
Referring TO statements by Repre-
sentative Huddleston Of Alabama, ID
rector General Hines of the railroa
administration. and others to the effec
that bituminous coal prices at tn
mines are unduly high, Mr.. Morrow
said:
~ wish TO deny publicly and en-
phatically these allegations that bitr
minous coal prices are being maintain
ed In some improper manner and ar
unduly high. / am convinced ths
these statements proceed simply fror
q lack of understanding of the facts.
Mr.. Morrow drew comparisons b'
tween the prices Of bituminous coal
I AT the mines in the United States an
foreign countries.
prices at the mines in Great Bri
! ain" he said. ARE about three time
the mine prices prevalent in the Unite
States: In France the mine prices ar
more than three and half times thos
of the United States. English min
prices range from 1924 to s7.14 pc
ton. while bituminous coal in France
II 1919 about IS I6 ner ton nj th