WOOL FREIGHTS.

Press, Volume LII, Issue 15707, 28 September 1916, Page 4

WOOL FREIGHTS.

REPORTED INCREASE IS BATES

The Sydney cable mcssago stating that it Is reported that the shipping companies have decided to iucrease the freight on wool by one penny per pound is taken. locally, as an indication of the increase that w ill be made, in all probability, on wool freights from New Zealand. To dato nothing definite has been ascertainable locally regarding the ex pectcil increase** in oversea freights, Gut?an announcement is expected about tbc end of tho week. It was stated in connexion with the Freights' Conference, held in Christchurch recently, that the New Zealand rates would bo based largely on the rates fixed in Australia. Assuming that the freight on wool from New Zealand is raised by Id per lb, aud taking the total amount of wool exported from the Dominion during the first seven mouths of tho present year as a basis, the increase will represent a total extra charge of over £<300,000 as compared with tho £2,000,000 additonaf cost to Australian producers. From what a representative of "The Press" learned on seeing some gentlemen interested in the subject, it appears that increases on rates are looked upon as inevitable, although tho increase mentioned in tho cable messago was rather sensational.

Ono of those seen, who took a wellbalanced view of the matter, remarked that it ought to be borne in mind, and emphasised, that in the past New Zealand producers had been iu the fortunate position of having obtained very easy rates as compared with Australia — —easy rates that represented some hundreds of thousands of pounds in reduced rates from New Zealand. All knew of the unprecedented demand for tonnage arising out of war Condi- ; tions, and everyone knew that New j Zealand, like Australia, was in these I matters in the hands of those controlling shipping interests in Europe aud America. Again, tiie and Now Zealand rates were affected by rates obtaining, or offering, in the L'nitedvStates. It would be perfectly easy i'or the tonnage under British control, for instance, to bo transferred to the. American trade., which would, probably, pay British shipowners better from a purely monetary point of view. That was not, however, likely to be done. The necessity for increasing freight rates was one of those unfortunate factors arising out of war conditions, aud one of those factors that producers must i Personally, bo was one of j those who had a considerable amount, i of sympathy with the views expressed | bv Mr J. A. Pannctt, in that portion I of his address at the annual meeting of the Farmers' Co-operative Association of Canterbury last Saturday dealing with oversea freights. As against those views, however, consideration had to bo given to those things which, in theso war timc.s, arc saving Great Britain. As was the caso during the Peninsular War, so to-day. Great Britain's position was strengthened by tho leading position sho holds in tho matter of her mercantile marine. "And/' he added, "if tho British Enipire begins to r>lay the fool with what is really tho backbone of Great Britain's commercial supremacy, then it will mean, probably, that her mercantile. supremacy will pass to tho United States, and tho hist condition of the British Empire will be. worse than the jcondition arising from high freights. Wc ! have to trust tho British leaders. No doubt wo liavo tho brat brains of tho Rmpiro governing things. Wo havo only to take into consideration what has been dono in tho matter of 'carrying oil' financially, in tho matter of munition output, in the matter of our Navy and Army, to admit that wo cannot bo otherwise than satisfied with tho way things have been managed. Even though hardship is involved, wo must trust theso leaders who have, so far proved equal to tho unprecedented emergencies that have arisen. Then, it must bo remembered, that though freights on wool may bo increased by Id per lb, tho phenomenal prices of Is 9d and 2s per lb are being obtained for greasy wool—prices that, to some extent, justify a considerable advanco on freight rates, an advance that, in tho circumstances, no one should complain, about."

FARMERS' INDIGNATION. A CONFERENCE SUGGESTED. The North Canterbury Executive of the Farmers' Union, at its meeting yesterday afternoon, dealt at some length and with some warmth with the increased oversea freights on wool. It was definitely stated by Mr Geo. Gardner that tho freight rates had been increased from ljfd to 2Jd. Mr llichard Evans asked : "Aro we going to sit down and take it quietly?" Threo years ago, lie pointed out, the rato.for wool was cither id per lb or a*l yer lb. The president '(Mr D. J ones) : What do you suggest ? Mr Evans: Well, I can't- charter a ship—that's a certainty. I think the Government should be approached. If tho Australian Government cau get ships, surely our own Government cau do something?

Mr G. Gardner said that he had made it his business to seo two prominent men in shipping and mercantile circles m CJiristehurch, and _ both lolt very strongly on the subject. It was nothing but robbery. The lines on which the executive should proceed were oimilar to those outlined bv Mr J. A. Pannott at the annual meeting of tho Farmers' Co-operative Association —the amalgamation of all companies and firms interested in shipping produce. Ho thought there was design in the manner in which freights were feed. Tho shipping companies took caro that contracts with the freezing companies did not expire simultaneously, and thus prevented the freezing companies combining for _ tho purpose of controlling freights, it might so happen that one gentle-

man v>*as on the directorate of a frocziii.ji; company and also on that of a shipping company, an;] so the oracle was worked. Ho moved :—"That the provincial executive of the Xew Zenland "Farmers' Union at once communicate with the Advisory Board in "Wellington suggesting thai, it is imperative in the interests of primary producers in the Dominion that step? bo taken to combat the extortionate rates to which freights have now risen. '»s witness, wool from -12d last year to 2«d this year, and that dairy associations, meat companies, and wool exporters bo ;s«Uod to meet m conference with a view to immediate action being taken, and that failing a conference before the middle of October tiic Dominion president communicate with the Primo Minister in regard to tonnage." ; Mr R. Evans secondcrl the motion. 1 Mr G. "W. Lcadlev feared that the matter would er.d in discussion. Eighteen months ago lie had talked with Sir J. G. "Wilson and Mr G. H. Scales, of "Wellington, on tiic subject*, and ail the- light he cott'd get on tlio question was that owing to the congestion of*, shipping there was no possiblo chance of doing anything. Referring to the manner in which the Imperial Shipping Commission was managing things he designated some of the Com~ mission's doings as "an egregious mess"—especially the bottlin<j-up of SO ships at Archangol. He didSiot think there was mnch chance of any alteration in the matter of freights till the war was ove r and things "returned to normal. They might ask Mr Massey to send out three or four ships for. the Dominion's wool. . The motion was agreed to.