Evening star., 1933-07-16
COAL CODE
TO BOOST PRICES
BY END Of MONTH
Anthracite Quotations Are
Expected to Go Up rs
Cents a Ton.
BY JOHN A. CRONE.
Special Dispatch to The Star.


NEW YORK, July 15-Coal prices
both anthracite and bituminous, are to
be increased around the month end,
the trade reported here today. as de-
tails came from Washington about the
coal codes being submitted under the
national industrial recovery act.
Anthracite quotations will be up 25
cents ton August l on crate, egg. stove
and chestnut sizes, while pea will be up
20 cents ton. Various grades OF
bituminous coal are to be revised within
the next fortnight. Only last week coke
prices hardened.
Contributing Factors.
The pickup in railroad traffic. the
expansion in general industrial produc-
tion, but especially in steel and iron,
and the gain in exports to Canada and
the West Indies. resulting from the
depreciation of the dollar, have con-
tributed toward the higher rate OF coal
consumption, production and shipments
this year:
Railroads in May. according to Inter-
state Commerce Commission reports,
used 5133.24s tons of coal. which cost
them gross (including direct freight
charges, S189 a ton, or net (exclud-
ing direct freight charges, $1.5l ton.
In April these same roads burned only
4.999,575 tons at s1.82 a ton gross or
Sl53 net. The increase is greater than
appears on the surface because the cleo
trification of the Pennsylvania Railroad
in the East has materially reduced coal
use.
The broadened call from industries is
indicated by f1rming of steam coal quo
q handlpd
through the Cincinnati gateway, which
are about even with those of year
ago, despite the low volume the first
quarter Of this year, and the heavy
lake loadings, which up to the end Of
June were about 100000 tons over
the same 1882 period and about even
with those of 1891.
Increased Production.
The steel and iron industries, for
example, are now operating at more
than double their rate at the end Of
the first quarter. The automotive in
dustry indirectly. through its use of
iron and steel, is one of the biggest
bituminous coal customers.
Recovery of bituminous coal has been
fastened by the formation of Smoke
less Goals, Inc, patterned after North
e-n Goals, Inc, and Appalachian Goals,
Inc. the selling agency, which won Of
fetal court recognition long before the
new deal and the industrial recovery
act were publicly proclaimed, and is
especially welcomed because of the very
dismal showing made in 1882 by that
industry.
Coal last year furnished 44.7 per cent
of the employed energy of the country.
~
members of the National Coal Associa-
ton concede has been caused by lack
of collective business policy. But last
year the bituminous coal industry lost
the equivalent of 70 per cent of its ma
tional output to competing products,
such as oil. natural gas, electricity and
hydro power.
Perhaps it is last years poor show
ing that is bringing the trade to CO.
operate with the industrial recovery
program. At any rate, it is trying out
new ideas as never before. For example,
in Ohio fields it is experimenting with
the stripper mining method, which pro-
duces coal by removing the overburden
with large electric shovels and loading
coal directly in cars with other electric
shovel equipment. OF course, coal can
be so mined only when deposits lie near
the surface. The trade is also expert
menting with numerous machines.
Early this year it was said that a
ship loaded with coal would hardly know
its way from Hampton Roads up the
I coast and down the st. Lawrence River.
Canada, through the Ottawa tariff pact,
banned Soviet coal and shut out Amer
ican in favor of the Welsh product.
Many Complaints.
Excessive degradation of anthracite
bound to Canada from Wales brought
many complaints to the loading port Of
Bristol Dominion coal buyers charged
that deterioration In transportation was
so great that there was large appreci-
| alton in cost from the time coal left
the pit in Wales until it was landed in
| Canada. Nevertheless Welsh anthracite
| unloaded at Montreal six week after
navigation opened amounted to 359, ITO
, tens, gain CT 1877, ,140 over the same
period year ago.
the decline in the pound sterling up
, to a few months ago caused so much
British coal to be poured into Canada
that Nova Scotia complained and a
dumping duty was placed on such i'm
ports. These factors, which tend to
work also against Scottish coal i'm
ports, will benefit American coal. which
just now is also moving more freely tc
the West Indies.