Americus times-recorder. [volume] (Americus, Ga.) 1891-current, 1919-09-03
NO SOFT COAL
PRICE COMBINE
SAYS WITNESS

Washington Special "A combi-
nation among bituminous coal opera
tors to maintain or fix prices does
not exist and would be impossible If
attempted, ]. D. A. Morrow, vice pres
ident Of the National Coal Associa-
ton, told the senate subcommittee in
its first days inquiry here into the
coal situation. Prices at the mine,
Mr.. Morrow added, have declined un-
der the competition which prevails
and are lower now than they were
year ago.
There are about 5000 separate
commercial producers operating ap-
proximately seven thousand mines,
from which bituminous coal is regu-
Iarly shipped" Mr.. Morrow said. In
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 profit to them.
Thus in 1917 coal production was re-
ported to the United States Geologi-
cal Survey from 1864 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
disposed.
Such a condition obviously does
not lend itself to restrictive combina-
tons among producers. In addition
the operators of each mining field are
subject to competition from the pro-
ducers of other fields, SO that buyers
have many different sources of sup
ply available to them.
"Of the five thousand separate BIZ
luminous coal producers in the United
States, 1924, approximately 45 per
cent, hold membership in the National
Coal Association. They produce about
sixty per cent of the total output of
bituminous coal in the country.
Charges that the National Coal AS
sociation is a combination to maintain
prices are without foundation in fact;
they doubtless proceed simply from
ignorance of its purposes and activi-
ties The National Coal Association
neither buys nor sells coal; neither
does it have anything whatever to do
: with the prices which it membe s
ask or sell at, 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
ically showing the prices which btu
minous coal sold at the mines in diff
ferent districts of the United States
: from April l to August l. 1919. In
connection with these charts, Mr.. Nor
row explai-.ed that when the price OF
[ restrictions OF the fuel administrd-
S ton were removed on February 1 last,
= the better. more desirable Goals went
! 10 a premium in the open competitive
l market and the less desirable Goals
( declined in price.
: AS a result, instead of the uniform
! prices in different districts, which
were fixed by the United States Fuel
Administration, prices promptly
spread out some coal going hight
and some lower than they had been
Meantime" Mr. Morrow said, "the
cost of producing bituminous coal is
, higher now than it was 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 per week. and in some cases
u only three days per week. The over
head expense of maintaining mines
goes on lust the same, whether coal
u is produced or not. These idle-day ex.
}, penses have resulted in increased costs
+ per ton, as compared with last year
e When these increased costs are con
sidered in connection with the general
: decrease in prices, it is clear that
t profits of bituminous coal operators
/ are materially less than year ago.
t Referring to statements by Repre-
a sentative Huddleston of Alabama, Di
r rector General Hines of the Railroad
y Administration, and others to the eff
feet that bituminous coal prices at
e the mines are unduly hlgh, MT. MOT
= row said: Il wish to deny publicly
a and emphatically these allegations that
k bituminous coal prices are being main
= tanned in some improper manner and
l. are unduly high. | am convinced that
G these statements proceed simply from
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
II foreign countries.
i prices at the mines in Great Brit
ain" he said are about three times
the mine prices prevalent in the Unit
ed States; in France the mine prices
are more than three and half times
\ those of the United States English
mines prices range from 1894 to $7.14
f per ton, while bituminous coal II
France is costing about $8.76 per tor