The Ocala evening star. [volume] (Ocala, Fla.) 1895-1943, 1919-08-28
NO SOFT COAL
PRICE COMBINE,
SAYS WITNESS
l. D. 4. Morrow Tells Senate Committee
Such A Combination Would Be
Impossible
PRICES AT MINES LOWER THAN
LAST YEAR
Better Grades Of Coal Have AdVano'
ed, But Lower Grades Declined,
Making Average Of All
Grades Less

Making Average Of All
Grades Less
nation among bituminous coal opera
tors to maintain or fix prices does
oot exist and would be impossible il
attempted, J. d. A Morrow, vice pres
ldent of the National Coal Associa-
ton, told the senate subcommittee in
It's first days inquiry here into the
coal situation. Prices at the mine,
Mr.. Morrow added, have declined I'M
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-
larry 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
| mp little and offers a profit to them.
| Thus In 1917 coal production was re-
ported to the United States Geologi-
cal 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
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 As 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
ISOLATION 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
does 1t 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
: armist1ce, and In general are lower
than the prices fixed by the United
States Fuel Administration. He sub
, mitted charts to the committee graph
, icalIy showing the prices which btu
, minous coal sold at the mines in diff
ferent districts of the United States
from April 1 to August 1, 1919. In
! connection with these charts, Mr.. Nor
!, row explai4ed that when the price OF
restrictions Of the fuel administra
ton were removed on February 1 last
the better, more desirable Goals went
to q premium in the open competitive
market and the less desirable Goals
declined In price.
As q result, instead Of the uniform
! prices In different districts, which
were fixed by the United States Fue
Administration, prices promptly
spread out, some coal going higho1
and some lower than they had been
= Meantime" Mr.. Morrow said, "th'
!, cost Of producing bitumtnous coal II
t higher now than it was q year ago
: due to the fact that the mines theI
s were operating six days a week and II
/ many cases now are operating onl!
= four days per week, and In some casea
= only three days per week. The over
% a-s~ aSvaD
D goes On just the same, whether Goa
Is produced or not. These idle-day en-
penses have resulted I'm increased cost
r Der ton, as compared with last year
When these increased costs are con
sidered In Connection with the genera
decrease In prices, It Is clear tina
profits OF bituminous coal operator
are materially less than a year ago."
n Referring to statements by Repre-
sentative Huddleston Of Alabama, Di
rector General Hines Of the Railroad
Administration, and others, to the e1
; feet that bituminous coal prices q
the mines are unduly high, Mr.. Nor
: row said: 81 wish to deny publicl!
} and emphatically these allegations tina
bituminous coal prices are being main
: tanned In some improper manner ant
: are unduly high. l am convinced tina
5 these statements proceed simply from
q lack Of understanding of the facts.
3 Mr.. Morrow drew comparisons be
tween the prices of bituminous Goals
at the mines in the United States ant
foreign countries.
3 "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 price,
are more than three and half times
: those Of the United States. Englisl
mines prices range from 1854 to $7.1
DER ton, while bituminous coal il
!. France Is costing about $8.7S per toI
: at the mines. The average mine pric,
OF bituminous coal sold in the UniteC
States is In the neighborhood OF $2.4
| rmp tom 30