Coal prices in Shanghai have increased by from 80 to 100 per cent. during the past year or so, it was learned yesterday by the "North-China Daily News" from reliable sources, All qualities of coal have been affected by this phenomenal rise in prices, which has given rise to charges of profiteering against local coal dealers. It was pointed out yesterday that the price of fuel of has shown an increase of only 10 per cent, during the same period, "which left an increase of about 70 per cent. to be accounted for by Shanghai coal merchants.
Several reasons for the heavy rise in prices were put forward by local coal firms yesterday when questioned on the subject by the "North-China Daily News" The manager of one coal company pointed out that freight charges had increased by over 100 per cent, and in addition it was difficult to obtain wharfage accommodation. The practice before the local "war" was to land the coal on the Pootung side, store it there, and then to bring it over to the Shanghai side as required. In view of the fact that the Japanese are in occupation of Pootung, it is now necessary to land the coal at a wharf on the Shanghai side, transport it in lorries to a coal yard in the Settlement, and then deliver it as required, which means using more lorries. Charges for the hire of lorries have increased, and an extra charge is the maintenance of a coal yard in Shanghai. Charges for cocle hire have also increased, the daily wage being one dollar as against 30 cents before the "war"
There definitely is a coal shortage in Shanghai, the coal merchant interviewed emphatically stated. The majority of the coal mines in the Yangtze Valley have been closed up "s a result of the hostilities, and the quantities of coal brought in from other sources do not cover the demand. The coal merchant, who stated that he supplied 50 per cent, of the demand from the Shanghai market, pointed out that the anthracite coal sold by his firm was the only anthracite obtainable in Shanghai.
Contributing to the coal shortage, he stated, was the fact that about 120,000 tons of coal were stored over in Pootung, and could net be brought over to Shanghai by the owners, consisting mostly' of Chinese companies. The Japanese, said the merchant. refused to give their permission for the coal to be removed. The con! had been stored over in Pootung before the war, and only small quantities had been "rescued" by the coal firms since the outbreak of hostilities, The merchant denied that the shortage of coal was responsible for the heavy increase in prices, which, he claimed, was solely on account of heavier freight charges and other drawbacks, Due to the failure of a large number of coal mines in the Yangtze "Valley and in the North, the entire output of one local coal dealer was being used by the Shanghai Power Company, leaving a shortage in coal available for the general public.
"Racket" in Pootung Sinister rumours of a "coal racket," which had been functioning until about two weeks ago, ere imparted to the "North-China Daily News" by another coal dealer who was interviewed with regard to the rise in prices. Stolen coal was being brought over the Whangpoo and landed on the French Bund, to be distributed on the next day at cut-Tate prices by a Sino-Japanese "syndicate," according to the dealer, The coal, he stated, almost cert ly came from the large stock which is lying over in Pootung, and which cannot be touched by the rightful owners. Those responsible for the "racket," he stated, were probably Japanese and Chinese hooligans, who manage to evade the authorities and Jand the coal in Shanghai under the cover of darkness, When the Chinese were in occupation of Pootung, the dealer stated, it was necessary to pay a substantial "squeeze" before coal could be brought across to Shanghai, With the Japanese in occupation, the coal cannot be brought across at all. The original reason given by the Japanese was that the Nantao boom prevented ships from coming down river, and, the coal being stored at a point above the boom, it could not be landed at Shanghai With the removal'of the boom, the Japanese are still refusing to allow the coal to be moved, as they will not permit ships carrying the coal to pass.
As a result of the refusal to allow the coal to be removed, Shanghai is putting up with quite a serious coal shortage, made worse by the fact that increased expenses have sent the price of coal to a high level. Meanwhile, it is rumoured that coal is being sold over in Pootung for a: low as seven dollars per ton, This coal is also, presumably. taken from the large stocks which are stored on the Pootung side.
Text read from the printed page and cleaned; old type leaves the occasional error.