AUSTRALIAN COAL

Hokitika Guardian, 15 September 1921, Page 1

AUSTRALIAN COAL

FORMIDABLE OAERSEAS CO.MI’EiTTK )N. SYDNEY. Sept. o. Dilamir troubles, restrict ions on export, a formidable eompotition from Japan and England, have prav'.L'aHy sus|»ended the. lluurisbing export trade in coal for the East that had been built up in Australia. For years Newcastle coal lias been ill great and constant demand for export, but whorl it became no longer possible to supply this demand foreign buyers bail to leak elsewhere lor supplies, and airangements were entered into which Slave rendered Australian competition very diflieuit.

According to recent reports ieec*i.vd in Melbourne Irem .lava. British firms have entered into eoiitraets t" supply AA'elsh coil (here at ."it's a toll. Coal can l'.e ianight in England .at 3fls a ton. and freight can be contracted for at •JOs a ten. Australian coal cannot I.e sold in .lava below about 7>7s a cm. or i

7" abovu the price at which AA’elsh coal call be obtained. The price to-day at Newcastle is -21 s9d a toil, and tbe market, rain of freight to Java is 3As a ton. hi addition there has to te included in the cost 2d a ton for harbour dues. Tbe cost price of coat Zis 9d, freight Inrbour dues 2d. added together. bring the landed price ill Java tn oils ltd per toil. Consequently all hope for renewing former transactions with Java lias disappeared for the present.

These figures rule as far as competition with AA'elsh coal is concerned, and there is another serious obstacle. Japan is producing coal very cheaply; tbe minors arc earning relatively low wages, and there is abundance of cheap freight available. Considerable quantities ,of Japanese coal have- of late hreii sold at very low rates ill China and Singapore.