OUR SHIPPING TRADE.

Auckland Star, Volume XXXVI, Issue 206, 29 August 1905, Page 4

OUR SHIPPING TRADE.

Sir Joseph Ward's report on the industries and commerce of the colonies contains some interesting information as to our oversea trade and the at tempts made by the Department tr. extend and enlarge it. The Minister speaks encouragingly of the work done by the subsidised service to South Africa; but be admits that this colony is at a grave disadvantage in respect to freights. It seems that New Zealund is paying i"roui 25 to 50 per cent, more freight on pro duce than the Australian States, a difference which appears to be due to the absence of effective competition. Tints certainly a serious question; and important as it is for the colony that new markets should be found for our produce, we must not sacrifice our pecuniary interests too readily to our ambitious. As to this South African trade tho committee appointed by the A.g_\cu\tuta\ Conference to go into this matter lately reported that the twelve contract steam ers of the Federal line during tbe twelve months ending February last carried only 8500 tons weight of earge from New Zealand to South Africa —that is, enough to load onl3 - one steamer. On this the colony paid a subsidy of £30.----000, or ,3 10/ per ton. in addition to the current heavy freights. Under the circumstances the committee strongly recommended that the Federal line contract—which terminates in October- — should not be renewed; and while giving Sir Joseph Ward every credit for his exertions in expanding cur export trade we are inclined to think that th-> basis of this South African service needs to be radically altered. Similar difficulties have arisen in connection with the West of England service. The contract steamers have ■ crtainly done a great deal to extend our British trade. There seems a possi- ■ bility of arranging for direct service with tbe West of England ports, ins cad :of by Soutii Africa; and in that case the question of direct shipment to Manchester which is being advocated in these colonies by a representative of mc Manchester Ship Canal Company should ;iaim a considerable amount of aten- fion. Sir Jo eph Ward stales that he has persuaded the West of England boats to reduce their freight on butter; nd small as the reduction per lb. seems, it would ultima ely make a d 'Terence of about £(50,000 per annum to the •olony's dairy produce account. As to the West of England service the contract holds till \rune, 1907. and the freights were fixed for the period a: the .ates ruling in 190-J. The Agricultural I; oufprenrc Committee ha_ protested i against the renewal of the contrae; unI tier existing terms: and recommends a j iirect service via Cape Horn, wi h fixed i dates of sailing and lower freights, i There -eems to be no sort of doubt that he excessive freights charged on dairy produce from Xew Zealand are due to the lack of competition or to a tuch, if not an explicit, agreement between the parties intere ted in keeping up the transit charges. Two mon hs ago the National Dairy Association succeeded in persuading the direct shipping companies to reduce their freights on buUer from id. to |d- per lb. with a further vedue ion to 9-lCd. after two years; and on cheese a reduction was made from 9-16 d. to jd. per lb. calculated on nctt. instead of gro s weight. These I alterations according to the "Otago I Daily Times," will make a difference of | not less than £50,000 a year to the j butter and cheese bill: and the Dairy Association deserves the thanks of the j whole colony for taking this step on its I own initiative. We hope that the | Government will make every pos ib'e ! effort to grapple with this freight difficulty; for as we have previously shewn lit not only acts as a bar to the developI ment of our own industries, but inter- ; feres directly with the growth of trade | between Britain and the colonies. Now I that this country has declared for I preferential trade, we should all symI pathi-e with Sir Joseph Ward's attempts to encourage trade between New |Zealand and Canada; and we hope that our record next year in this direction will be more encouraging than that of 'he year which has just closed.