SHIPPING PROFITS IN WARTIME.
c— — Tke great profits made, by shipowners'are best shown by a comparison -between the original value of the ship and its earning capacity at the present time. A member of a leading; firm of . : -' shipbrokers stated -recently: '■' "From 30s to 32s 6d per month on the dead 'weight has been paid • for large steamers.' Small boats, says 1500 to 2000 tons dead weight, are offered at 37s 6d to 40s per month for six or twelve months. These rates are seven to ten times the rates in force before the war." The exact significance of these
figures can be seen by taking two vessels now available for immediate use. A is a Norwegian ship with a cargo-carrying capacity of 6000 tons. It is offered by the owners at 30s per ton per month, for twelve months. The charterers must pay £9000 a month and all. coal and port charges. The owners will pay insurance and wages. This ship will therefore earn a gross sum of £108,000 this year. Her actual cost in 1900 was £48,000.
B is a British owned ship with a carrying capacity of 6500 tons. Built in 1908 at a cost of £39,000, this vessel is now offered at 32s 6d per ton dead weight per
month for the next twelve months. As the hire is based on her cargo-carrying capacity she will earn a gross sum offcl2MsU, a remarkable return, even when wages and insurances are deducted, for an original investment of less than £40,000 eight years ago. ~.■•« Charter prices determine freights, and the man who pays £120,000 for the use of a vessel during the next twelve months expects to get it back out of the freights likely to rule during that period. That the rates are not expected to fall is shown by the fact that the owners of the Swedish vessel, having a deadweight cargo and bunker capacity of 1000 tons, asked 10s 6d [per ton per month'for the use of j the ship during the next six or nine months.
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SHIPPING PROFITS IN WARTIME., Akaroa Mail and Banks Peninsula Advertiser, Volume LXXV, Issue 3528, 17 March 1916