COPPER INDUSTRY

Evening Post, Volume CXIII, Issue 112, 14 May 1927, Page 9

COPPER INDUSTRY

DECLINE IN AUSTRALIA

EFFECT OF FALL IN PRICES

(United Press Association.—Copyright.) SYDNEY, 13th May. Giving evidence before the Commonwealth Arbitration Court, Mr. Murray, general manager of the Mount Lyell Mining Company, said that since. 1921 tho copper industry in Australia had bopn in a perilous condition, owing to the serious fall in the prico of copper on.the world's markets. For tho past six years the prices had actually been lower than the^ pre-war prico, in spite of tho fact that the cost of production haa materially advanced owing to the increased cost of materials, higher wages, and shorter hours.

• But for the fact that Mount Lyell copper sold in Australia commanded a price higher than .the world's market price, the company would have been unable to continuo operations. Tho cost of production to-day was actually higher than the present market price. Tho direct effect of these adverse conditions had been that all tho principal copper producers in Australia, excepting Mount Lyell, had been obliged to go out of business. Mount Lyell had been able to survive only by tho expenditure of largo sums in introducing most up-to-dato machinery and efficient methods of mining treatment. Tho company, could not carry the burden of any further' increaso in wages or decrease in working hours, neither of which was justified or called for.