SOUTH AFRICAN MAILS.

Dominion, Volume 4, Issue 1224, 5 September 1911, Page 7

SOUTH AFRICAN MAILS.

$ LEADING LINE EEFUSES TO T.UiNDEB. Bj Telcsraph-Prcss Assocration-Copyrisht London, September 3. It is understood the Union Castle Lino has declined to tender for tho carriago of tho South African mails owing to tho clause in tho IS'ew Post Office Act against rebates. REBATES TO BE BLOCKED. The legislation passed by the Union Parliament last session prevents the South African Government from entering into any contracts whatever, either for mails or freights, with any member of a shipping conference or with lines grating deferred rebates. The position of t'ho Union Government, it is pointed out, which has been clearly laid dowu in that Bill, has undergono no change. It will bo remembered that a South African resolution brought beforo the Imperial Conference proposed that concerted action should be taken by the various Governments of tho Empire to discourage shipping conferences or combines for tho control of freight rates, and that this resolution was carried with an amendment proposed by tho Imperial Government that this course should bo adopted if tho oneraiions of the Conference were prejudicial to trade. Tho Union Government, stated a recent dispatch, strongly adheres to the view that they are prejudicial, but at the same time it desires to mako it quite clear that t'li-ere is no hostile feeling agninst tho Union Castle Company or other lines, and that General Botha's Government is quite willing to enter into some arrangement with tho companies, nrovided the latter will agree to the abolition of rebates, a course which, it is felt; will involve no hardship on tho .financial interests concerned. It is on these lines that the Union Government intends proceeding with the negotiations which have begun, and which, it is hoped, will result in a satisfactory'solution of the question. Tho mail steamers, of the Union-Castle Company aro dispatched from Southampton for Cape Town every Saturday, and numerous other wrvicra are run to South African ports. The lino has U steamers, negregatimr 319,333 tons, the largest vessel being the Balmoral Castle, 1.1,3G1 tons. IV Union Line, founded in 1853. dispatched tho first steamers to South Africa, and hold a monopoly of the mails until 1573. In that year the Castle Company secured a share of the service, nnd from 1876, until tho amalgamation of the two companies in 1900, the mail contract was divided equally between tho two lines.