Page 13 Advertisements Column 1

Press, Volume XCVI, Issue 28473, 31 December 1957, Page 13

f or y° u p a y 1W wl c fff / Vk\\. That is the classic test of value, but it can’t be applied without a knowledge of the facts. //I/ w\\ So we turn the spotlight on.. .freight rates. VL * \ // 9 £ \ The money which a shipper pays to send a consignment overseas is, in fact, a calculated Wbk, . *7/ ft 9 9 f B \ V proportion of the cost of operating the ship and this in turn is the total of many different 9 y _#s* •’ 9 9 9 \ items. Jr ** w “''* /Bk < JBs^'W*’ ' 9 9 9 '’W V Some of these will be obvious to anyone whois familiar with ships. There are, to begin with, Jt .'" ' / U / ’ 'K * 9 9 f jlßl \ the 'daily costs” of the ship’s voyage, which are continuous whether she has cargo on / [ '9 9 B board or not. Clearly these include the wages of the crew, the stores and provisions 9 1 Bl? '“y 'Mr 9 9 9 £ required to maintain them and the ship, and the cost of fuel. Also under this head are I tLipMwßlßj ■ 9 ’’ 1 9 9 3 included the dues which must be paid at each port visited and each canal traversed, J> (?•>£' E#” » JBJ B Jr* 9 together with the cost of insurance against loss or damage of vessel, crew and cargo. ’■b’ Less obvious perhaps is a group of items which is not directly related to any particular fe Bftft voyage. Nevertheless, each trip must bear its proportion of these expenses, which include £&&&■ tl?ff ft fjwwMMwMa Bb t * lc cost serv * c ' n g an d repairs, including dry-docking. Also under this head comes a ~proportion of the cost of the survey which, under British Ministry of Transport regulation*, X l Next come the “cargo costs” which arise from the loading and discharging of cargo and I jB ‘'B jf elk ,C transhipment charges which must be paid at the ports of loading and discharge. 1B And finally there are the normal overhead expenses common to every large-scale organisaJ ' ;8? BB*B W*A t ’ on administration expenses, office salaries, cost of maintaining shore establishments 'g Majh ‘ "’JSk via iß* »BI Add these things together and you have the shipowner’s outgoings; and what does it all i 1 SBKBk ''' 9k' come to, in terms of actual cash ? i Today, a round trip (New Zealand London New Zealand) costs ree//oeeryi>ur timer as 9 BBBMm Imuch as it did before the war; and even then the comparison incomplete, for no account - I A. > las been taken of Depreciation, charge which on a new ship today is running I at a level of aioul tix Zirner as much as it did in pre-war years. y f <r -' Increases of such magnitude are matters of grave concern to the shipowner, but they are ’ k H E ,c not automatically passed on to the shipper. Everything possible is done to offset them, ' wit b the result that the average of freight rates today is only just over three times as much Issued in the interests of mutual understanding by NEW ZEALAND OVERSEAS SHIPPING LINES SHAW SAVILL & ALBION CO. LTD • THE NEW ZEALAND SHIPPING CO. LTD • PORT LINE LIMITED • BLUE STAR LINE LIMITED ■ 7 B