COAL TRADE SLUMP

Evening Post, Volume CV, Issue 127, 31 May 1928, Page 10

COAL TRADE SLUMP

POSITION IN NEW SOUTH VVAUES SACRIFICES NECESSARY Mr. John Brown, wealthy Newcastle coal ownor, very rarely talks freely on any subject, but when he does he has the facility of making himself very well understood. An interview he gave the other day was typical of the man. He quite bluntly told the minera that if they wanted the industry to continue they would have to accept lower wages. Of epurse, there has boon an outcry, and ,references. to Mr. Brown's own wealth and comfort. But Mr. Brown is not the sort of man to be worried by personal references to himself. His latest utterance has called to mind an interview he' had with his strikers some five years ago. He told them that if they wished %a stay out pii strike, they cuuld do so, but they would hurt only themselves, He. personally would not have a bite less to eat, or misa any little thing that he wanted. If thoy wished to be fools, all right. He is in the same position noW, and his latest , interview was | equally direct. The men had, to face the position, and reduce the costs of production, or the- industry would pass from the Newcastle and . Maitland fields. Mr. Brown's mines would, be closed and all his ships would] be tied up, but he would still be able to race his thoroughbreds—he paid 4000 guineas for a yearling less than a month ago—and have'a shilling for a picture show when he wanted a little* enjoy^ lnent. ' ,'. Mr. Brown showed how ISfew^ South Wales had lost a valuable market ow-> ing to tho development of the brown coal industry in Victoria. But the coal owners have not only lost, a big Vietoria.n market, but their export trade has beou almost extinguished. High production costs and handling charges have made it ■ almost impossible to, compete with the rest of the world, It is shown that Japanese and South J trican coal, subsidised by the- respec* tive Governments, have made a mockory .of Australia's attempts, at competition. The coal owners have been asked why they are not extracting petrol from the. coal instead of closing the pits for want of trade. They reply that surely the public will give the .directors credit for. possessing a little business acumen.. Were they able to make a commercial success of the scientific treatment of coal they would have been doing so long ago. The quality of the coal bad been prov* ed by experts in England, but they have been unable to show the companies an economical marketing scheme for the petrol derived. The coal owners say that they realise that sacrifices must not be all on one side. They are prepared to, do their part. But what aro they prepared to do, and what is their part! This they leave, in doubt, when a frank statement on their part may go a long way towards clearing the air, and putting the miners in a better; frame of mind to receive suggestions for lower wages. Instead, the, only practical suggestions that the owners have made so far are that, the miners should be prepared to work for, • less and that the Government should subsidise, tho industry. After that much is accomplished, no doubt the owners would bo prepared to lower the prices for coal. But where would be the sacrifice, in such an .action? The owners are- concentrating on the; need for Government assistance. They state that the coal'tra«e everywhere is in a state, of economic, transition. Swedish, French, Belgian, and German proprietors complain that British owners are undej-selling them, and the British miners' complain that they aro not being paid living rates. In the circumstances the New South .Wales owners find themselves in an almost impossible position. The time for a trial of strength has arrived, but the. arrival is being ignored by both sides.