VANCOUVER SERVICE

Dominion, Volume 1, Issue 69, 14 December 1907, Page 5

VANCOUVER SERVICE

CANADA WITHDRAWS.

SERIOUS LOSS OF SUBSIDY. ACT OF RETALIATION. BT TELEGBArH—FKESS ASSOCIATION—COPTBIGHT. (Roo. Dec. 13, 9.48 p.m.) Ottawa, Decombor 13. The Canadian subsidy of 180,000 dollars (about £36,000) paid since 1891 to tho steam lino from Vancouver to Australia has been discontinued. This is regarded in Ottawa as Canada's reply to tho Commonwealth's hostile tariff.

The lines on which Canada vainly asked the Commonwealth for profcreneo wore :— Bicycles, timber, furniture, lcntlior, boots, shoes, chairs, agricultural implements, harvesters, apparel, and cotton piece goods. According to figures lately published in Australia, the present subsidy to tho Vancouver service is XfiG.OOO a year, divided as follows:— l ' Canada J837.090 1!) 8 Commonwealth „. ... 26,620 16 0 Fiji ... , ... 2,282 5' i Total ... .£66,000 0 0 In June last tho Commonwealth PostraasterGon'cral announced a renewal of the contract on these torras, for two years, with the Union Company; but the contract could be terminated at the ond of tho first year at the option of, tho Commonwealth Government if tho latttfr gave four months' notice of exercise of that option. It is not clear at what date Canada's discontinuance will take effect: nor what relation this action bears to Canada's advocacy of a very much faster aud more costly All lied routo.