PRICE OF COAL.

Otago Daily Times, Issue 11798, 30 July 1900, Page 8

PRICE OF COAL.

TO THE EDITOR.

Sir, —A letter by "Coal " on the above subject in your paper this morning bears evidence of animus against the Union Company, as lie makes statements calculated to prejudice them, without having acquainted himself with the facts; He asks who gets the apparently .high pr-ofit -on the retail price of coal. 1 would refer him to a statement by Mr Joachim, the manager of the Westport Coal Company, in the Times of May 22, where the matter, to my mind, is made clear to any unprejudiced person. No argument will convince a.- prejudiced person. Mr Joachim states that the average price realised for the whole of their output f.o.b. does not exceed 10s 6d per ton. The reason for 'die high price of their coal retail' is that only 25 per cent, of their output is suitable for household

purposes. This has to be screened, when.4o per cent, of slack is taken out of it. The remainder is then sent forward, .when it has to be screened again before being sent to consumers, so that even at the price named —(35s) —there, is a.very modest profit to the retailer after paying dues, cartage, labour, and.the loss through final screening. . Mr Joachim points out that if the consumers would be content to take the coal a3 it comes from the mine—i.e., very largely composed of dross, —it would cost them much less and bo quite ai good value, as the company contends that their coal, being absolutely pure, the dross and small coal is as good value as the round coal—in fact, better, seeing that

it lies closer and therefore does not burn so fiercely.—l am, etc..

SHAHEHOLnEn Wkstport Coal Company Dunedin, July 28.