October 30, 1914.

THE COLLIERY GUARDIAN.

925

TRADE AND THE WAR.

Aniline Dye Manufacture in the Doncaster Coalfield—Code
Cablegrams—Coaling the German Cruisers—A Disputed
Cargo—Trading with the Enemy—Industrial Alcohol
—The United States Coal Trade.

We last week referred to the fact that Doncaster was felt
to be a likely place for a factory for the manufacture of
aniline dyes. Our correspondent has since been informed
that a company is to be organised with this object in view.
It is pointed out that the best situation for such a factory
would undoubtedly be in a district from which a plentiful
supply of tar, from which the dyes are made, could be
obtained, and that Doncaster, with its ring of collieries,
would be eminently suitable, if it were possible to carbonise
sufficient coal to obtain an adequate supply of tar. The
objects of the new company will be the home production of
oil, motor spirit (petrol), and smokeless fuel. Coal from
practically every colliery in the South Yorks district has
been carbonised with satisfactory results. It is reported
that works capable of dealing with l.,000 tons of coal per
week are to be erected, and that the company propose to
take over and to erect machinery and plant at a cost of
between =£25,000 and <£30,000.

The Postmaster-General announces that the Army
Council, who control the arrangements for the censorship
of submarine cablegrams throughout the Empire, have
relaxed as from November 1 the prohibition against the
use of codes, subject to certain regulations : The use of
code will only be permitted in telegrams passing between
the United Kingdom on the one hand and British
possessions and allied or neutral countries outside the
European telegraph system on the other. The use of code
is at present prohibited by the following extra European
Administrations : Argentina Republic, Brazil, Danish
possessions, Dutch East Indies, French possessions, Italian
possessions, and Angola (Portuguese). Only four specified
Codes will be allowed.

With regard to the circumstances in which the steamer
“Lowther Range,” bound with coal from Newcastle, New
South Wales, to Guaymas, Mexico, has arrived at Esqui-
malt, British Columbia, the owners of the vessel state that
she was stopped in the Pacific by a British cruiser which,
after replenishing her bunkers from the “ Lowther Range's ”
cargo, ordered the vessel to proceed to Esquimalt, where
the remainder of her coal would be at the disposal of the
Admiralty, if required. There would, therefore, appear to
be nothing in the circumstances to bear out a previous
suggestion, that the “Lowther Range” was stopped on
suspicion of carrying coals intended for German cruisers.

The Gibraltar Chronicle reports the capture by a British
cruiser of the Hamburg-Amerika liner “Graecian,” with
4,000 tons of coal on board, apparently for the use of the
German warships in the Atlantic. The “ Grsecian ” has
been taken into Gibraltar.

It is stated that the Cardiff-owned steamer “Exford,^
captured and detained by the German cruiser “Emden,’’
left Cardiff during the latter part of September with a
cargo of best Welsh steam coal under an Admiralty charter
for the Far East. She carried approximately 7,000 tons.
The fact that she' had not been sunk with the other
captured British vessels seems to indicate that the “Emden”
had detained her in order to replenish her own bunkers
from the “ Exford’s ” precious cargo and possibly also to
use her as a store ship till the latter’s supplies run out.

A British captain, whose ship has just arrived from
Mexico, throws an interesting light on the manner in which
the wandering German cruisers renew their supplies of
coal. “While I was at Vera Cruz,” says the captain, “I
noticed six colliers laden to the bulwarks with coal.
Presently a wireless message arrived, giving simply a
latitude and longitude. Instantly the six colliers put to
sea, making for the point indicated. The message was to
let them know that the cruiser or cruisers were waiting to
replenish their supply of fuel. The colliers flew the
Norwegian flag.”

The Advisory Committee of Newcastle Chamber of
Commerce states that there is no reason to believe that any
part of the increased shipments of coal to Denmark,
Sweden, Norway and Holland in September was sent to
Germany.

It is reported that the coal situation in Austria is
becoming alarming. The wholesale dealers’ reserve stocks
are entirely depleted, and are scarcely able to meet the
demands of customers from day to day. Ninety-five per
cent, of household coal comes from Upper Silesia. Large
stocks are there, but there are no railway wagons to
transport them. All efforts to obtain coal from Western
Bohemia and Moravia have failed. Mine owners have
already sold their output in advance, and refuse to make
new contracts. The municipality of Vienna had planned to
create a reserve stock of 30,000 tons, but is unable to collect
a single thousand, and has been compelled to abandon the
attempt. The coal shortage will be severely felt when
really cold weather begins.

Sir Samuel Evans, in the Prize Court on Monday, heard
the application by the Crown for the condemnation of the
proceeds of the sale of 1,210 tons of coal seized on board
the “Aidworth,” of Sunderland, at Cardiff Docks. Mr.
Bevan, for the Crown, said that the coal was sold by
Messrs. George Insole and Company, of Cardiff,- to the
Austrian Lloyd Steamship Company, but had not been
paid for when it was seized on August 21. After seizure
the coal was sold by order of the Court. Mr. Ballock, for
Messrs. G. Insole and Company, claimed the proceeds. He
explained that, although the coal was sold to the Austrian
Lloyd Company, it had never been paid for ; in fact, events
had shown that his clients were still the owners. The coal
was shipped in July, and as soon as the war broke out
Messrs. Insole gave notice to the ship owners that they had
a lien on the coal as sellers who had not been paid, and
they entered into a contract with another firm, Messrs.
Proxey and Company, to sell it to them, receiving the
sanction of the Procurator-General. In those circumstances
they were the owners of the coal when it was seized. His
lordship said the cargo was properly seized, and the
Crown was entitled to the proceeds. He made an order
accordingly.

Writing to the Morning Post, Mr. Leslie Scott, K.C.,
asks; “What L the justification for the general licence to
trade with the enemy so long as you do it through a
branch ? ” Commercial credit, he adds, is the mother of
war loans, and commercial credit is international in

operation. It is like water that finds its own level. If
German merchants have no cash in Germany, but have
money to their credit at ‘branches' all over the world, it
is as good as cash in Germany. So it does not matter
whether the money is paid to the German merchants in
Germany or not; it will serve German purposes almost
as well if it stays in England to the credit of their agents
in England or France or America. A public prohibition of
direct trading is almost a superfluity. The interruption of
oversea commerce has put a practical stop to most of it.
Therefore, if you expressly authorise indirect trading you
undermine the whole of our national attack on the financial
resources of Germany.” Mr. Scott’s and our own remedy is
that all enemy trading should be forbidden, as it is by our
law. Germans in British, allied or neutral territory should
not be treated as friends, unless, at any rate, they have a
perfectly separate commercial establishment quite uncon-
nected with any house in Germany; and he doubts whether
even so they ought to be treated on the same footing as our
own subjects, though that is our English law. The provision
about “ branches ” should be completely rescinded. Then
when, on the merits of any particular case, permission is
sought to trade, an individual licence can be granted by
the Board of Trade on the merits of that case. The principle
should be not general permission—as it is—but general
prohibition subject to particular exception by special
licence.

In the trades compulsorily insured against unemployment
the percentage of unemployment at October 23 was 4*31, as
compared with 4’50 in the previous week, and 5’41 a month
ago. As regards the uninsured trades, the number of men
and women on the registers of the labour exchanges at
October 23 are practically the same as the figures for the
previous week, being 61,525, as compared with 60,402.

The Egyptian Government is taking steps to remove
from the Suez Canal all enemy ships which have been long
enough in the Canal ports to show clearly that they have
no intention of departing in the ordinary way.

A Lloyd’s message from Rio de Janeiro states that the
Hamburg-South American Company's steamer “ Santa
Catharina ” is reported to have sunk at Abrolhos through
bunker fire. It is understood that the “ Santa Catharina ”
was sheltering at Abrolhos (an island off the Brazilian
coast), and the point is therefore raised whether she was
lost owing to an ordinary peril or whether she was lost as
the consequence of the war. The risk of bunker fires in
the large number of German liners which have been
sheltering for weeks in neutral ports is a serious one.

A telegram from Berlin says that the Reichsgesetzblatt
has published an order extending the prohibition of pay-
ments to England and the British Dominions to France
and the French Colonies. .

During the first half of the present month, according to
the Black Diamond, the loading of cargoes for export had
not progressed so rapidly as was the case in September,
when a total of 624,933 tons was shipped from the three
Atlantic ports, Hampton Roads, Baltimore and Philadelphia,
and the tonnage shipped for the month will not be any-
where as large as the September exports. Hampton Roads
exports for last month, reaching 432,865 tons, was an
increase of 239,956 tons over September 1913. Baltimore
exported in September 133,613 tons and Philadelphia
58,455 tons. Baltimore showed very substantial increase.
There is some enquiry in the market for export coals, some
of these enquiries having to do with contracts for a 12
months period. Quotations on Pocahontas and New
River at Hampton Roads run from 2*85 dols. to 2 90 dols.,
but it is evident that due to the very heavy supply of these
coals, these prices may be shaded 5 c. per ton where a
shipper has more coal at the piers than he has steamers
engaged for. A statement of the distribution of the coal
exported in September, from the ports above named, is as
follows :—

Country. Tonnage.

Italy ............. 157,224

Cuba ............. 95,772

Argentine ........ 52,604

Greece ........... 48,167

Brazil ........... 41,602

Mexico ........... 21,607

Panama............ 22,166

Egypt ............ 20,917

Norway ........... 14,165

Curacao .......... 14,008

Jamaica .......... 12,463

Trinidad ......... 12,045

Sweden............ 11,625

Barbados........... 8,944

Philippines.......	7,006

Sicily............. 6,747

Gibraltar.........	6,000

Country. Tonnage-

French West Africa 5,162

Chile ........... 6,011

Spain............ 5,161

French West Indies 5,025

St. Thomas.......	4,545

Uruguay ......... 4,929

Costa Rico ...... 4,191

Porto Rico ...... 4,329

Honduras......... 3,500

Liberia.......... 3,036

Congo............ 3,742

Guatamala ....... 2,322

Demerara......... 1,988

Newfoundland .... 1,833

Canada........... 2,100

Colombia......... 1,200

By direction of Sir Edward Grey, Sir Cecil Spring Rice,
the British Ambassador, has addressed two notes to the
State Department at Washington. In regard to mineral
oils and other articles listed as contraband, the notes state
that Great Britain will seize no cargoes if the ships' papers
show the destination to be a neutral one, and only where
goods are consigned to order will Great Britain exercise
scrutiny. At the same time, warning is conveyed to
American shippers to consign to neutral Governments or to
some other specific consignee. One of the notes calls
attention to the marked increase in the export of American
mineral oils in the last few weeks. Evidence in possession
of Great Britain, the note continues, shows that a large
proportion of the oil exported to neutral ports has been
transmitted thence to belligerent countries. Arrangements
are, however, now being made according to which articles
capable of use for war purposes shall not be re-exported
from neutral countries.

The French Cabinet Council have signed a Decree dealing
with commercial drafts which have fallen due, and with
the withdrawal of money on deposit or on current account
at the banks. The effect of the Decree is to partially
abolish the moratorium in France.

It is reported that an alliance between Liverpool and
New York shipowners has been formed for the capture of
Germany's carrying trade, especially with South America,
by means of a large fleet of cargo steamers flying the
American flag. The company is to be managed by a joint
board of directors with offices in Liverpool and New York,
and will start with a nucleus of at least 20 ships, ranging
from 6,000 to 11,000 tons. The intention is to operate the
new freight service from New York to Australia, India,
China, and South American ports.

The Russian Commission for the Purchase of Supplies
informs manufacturers, merchants and shippers executing
orders for the Russian Government, that application for
permission to export to Russia any articles for the use of.
that Government, the export of which from the United
Kingdom is prohibited, should be made, through the
Commission, 192, Cromwell-road, S.W. Manufacturers,
merchants and shippers, in asking the Russian Coxnniission,
to obtain permission to export, must state:—(1) Nature
and quantity of goods to be exported; (2) name and
address of consignor; (3) name and address of consignee;
(4) port and date of shipment; (5) ship or line by which,
shipment is to be made; (6) port of discharge ; (7) marks
on passages, if any.

The Board of Trade, replying to the Liverpool Chamber
of Commerce regarding the proposed arbitration court on
questions arising out of contracts made before the war,
state that, in view of the great and apparently insuperable
difficulties of statutory intervention, every effort should be
made to dispose of outstanding questions by arrangement.

The Foreign Office has issued a circular to shippers and
others dealing with the question of ships and cargoes in
enemy ports. The circular says it is not possible in present
circumstances to render assistance to British subjects who
possess interests in such vessels or their cargoes. Article 2
of The Hague Convention of 1907 relative to the status of
enemy merchant ships at the outbreak of hostilities pro-
vides :—“ A merchant ship which, owing to circumstances
beyond its control, may have been unable to leave the
enemy port within the period contemplated in the preceding
article, or which was not allowed to leave, may not be
confiscated.” The belligerent may possibly detain it on
condition of restoring it after the war without payment of
compensation, or he may requisition it on condition of
paying compensation. Article 4 (1) of the same Convention
provides that “ enemy cargo on board these vessels is like-
wise liable to be detained and restored after the war
without payment of compensation, or to be requisitioned on
payment of compensation with or without the ship.” This
Convention was signed and ratified by Germany.

A supplement to. the London Gazette contains two pro-
clamations, one furnishing revised schedules of absolute and
conditional contraband, and the other setting out certain
further modifications in the Declaration of London. Amongst
articles now made absolute contraband are : Powder and
explosives specially prepared for use in war; sulphuric acid;
armour plates; haematite iron ore and haematite pig iron;
iron pyrites; nickel ore and nickel; ferro-chrome and chrome
ore; copper, unwrought; aluminium; ferro-silica; barbed
wire, and implements for fixing and cutting the same;
mineral oils and motor spirit, except lubricating oils. The
following, inter alia, are made conditional contraband :—
Railway materials, both fixed and rolling stock, and
materials for telegraphs, wireless telegraphs, and telephones ;
fuel, other than mineral oils; lubricants; powder and explo-
sives not specially prepared for use in .war; sulphur;
glycerine.

The second proclamation re-enacts the Order in Council
dated August 20 last, adopting the Declaration of London,
with certain modifications. Further amendments are now
made in order to minimise, as far as possible, the inter-
ference with innocent and neutral trade occasioned by the
war. Subject to the exclusion of lists of contraband and
non-contraband, it is provided that a neutral vessel, with
papers indicating a neutral destination, which, notwithstand-
ing the destination shown on the papers, proceeds to an
enemy port, shall be liable to capture and condemnation
if she is encountered before the end of her next voyage.
The destination shall be presumed to exist if the goods are
consigned to or for an agent of the enemy State. Condi-
tional contraband shall be liable to capture on board a
vessel bound for a neutral port if the goods are consigned
“ to order,” or if the ship’s papers do not show who is the
consignee of the goods, or if they show a consignee of'the
goods in territory belonging to or occupied by the enemy,
and in such cases it shall lie upon the owners of the goods to
prove that their destination was innocent. Where it is
shown to the satisfaction of one of his Majesty’s principal
Secretaries of State that the enemy Government is drawing
supplies for its armed forces from or through a neutral
country, he may direct that in respect of ships bound for a
port in that country, Article 35 of the Declaration shall not
apply. So long as such direction is in force, a vessel which
is carrying conditional contraband to a port in that country
shall not be immune from capture. It was provided in
Article 35 that conditional contraband was not liable to
capture, except when found on board a vessel bound for
territory belonging to or occupied by the enemy or for the
armed forces of the enemy, and when it was not to be dis-
charged in an intervening neutral port. The ship’s papers
were stated to be conclusive proof both as to the voyage on
which the vessel was engaged, and as to the port of dis-
charge of the goods, unless she was found clearly out of the
course indicated by her papers and unable to give adequate
reasons to justify such deviation.

The French State Railways announce that the necessary
measures are being taken to ensure the transport of coal
from Rouen to Paris, in accordance with the conditions
necessitated by the military authorities. The regulations
imposed do not allow, in a general way, the acceptation
on this line of more than one wagon per day and per ship-
ment, but this regulation is subject to derogations, especially
when complete train loads can be formed. It is understood,
however, that the number of trains run will not exceed the
number of daily trains allowed by the military authorities.

The Kolnische Zeitung of September 23 reports that the
coal production of the Rhenish-estphalian Coal Syndicate
only amounted to 4,623.000 metric tons in August 1914, as
compared with 8,855,000 metric tons in July, and 8,670,000
metric tons in August 1913. This output in August only
amounted to about one-third of the authorised output. The
output of coke amounted to only 1,390,022 metric tons in
August 1914, as compared with 1,787,077 metric tons during
the corresponding month of last year. The production of
briquettes, on the other hand. ros*e to 401,389 metric tons,
a^ compared with 390,402 metric tons during August 1913.

H.M. Consul at Amsterdam reports that an agent in
Amsterdam, who states that he could sell large quantities
of gas and steam coal for use in the Netherlands, wishes to
get into touch with United Kingdom exporters. The United
Kingdom manufacturers of the articles mentioned may
obtain the names and addresses of the enquirers on appli-
cation to the Commercial Intelligence Branch of the Board
of Trade, 73, Basinghall-street, London, E.C.