OVERSEAS FREIGHTS

Dominion, Volume 30, Issue 174, 20 April 1937, Page 12

OVERSEAS FREIGHTS

Position in Australia Commenting on the made by the Assistant Minister, for Con tnerce (Mr. Thorby) Unit a serious bitch had occurred in the negotiations between the Commonwealth Government and °'® " seas shipping interests for freight reductions on certain primary exports, he general president of the Primary Produ. ere’ Association (Mr. J S. Teasdale) stated at Perth that Mr. 1 horby s statement was so brief and indefinite that little could be gathered from it. Negotiations had been in progress for many months with the object of laying down some general basis of Ireights on primary products shipped overseas. The excessive freight on wool, he said, cost Australia from £750.000 to £1.000.000 a year. His association, in conjunction with the Graziers’ Association of New South Wales, had been making a strenuous fight to establish the right for a shipping line owned by. the producers themselves to take an active part in shipping produce to Europe and, by so doing, provide the only safeguard against exploitations by a powerful monopoly. By reason of its power to refuse any new line admittance to the Australian Overseas Transport Association and the royalty rebate system, this monopoly had a giant’s grip'on 90 per cent, of the produce from Australia under the existing agreements. . , Realising that wool freights were too hi'di, growers’ organisations bad requested Westralian Farmers Ltd. to enter into the shipping business. During the last, wool shipping season the company had reduced freights by 10/- a bale, and was securing business right round the coast of Australia. There bad been an immediate outcry from members of the A.O.T.A. T'o assist the Government to secure favourable agreements for all lines of produce, Westtralian Farmers Ltd. had offered to limit the amount of cargo that their line would transport, provided certain reductions in rates were arranged, and to fall in with any plan of co-ordination which might be laid down. It appeared, however, that shipowners were more concerned with removing competition, and, after reductions had already been agreed upon, a request was made that the Westralian Farmers’ line should not take part in the shipping of berth cargo to Australia. The hitch in negotiations referred to by Mr. Thorby apparently arose out of this request. During recent months, Mr. Teasdale continued, endeavours had been made to induce Westralian Farmers Ltd. to withdraw’ their ships from the Australian overseas trade, and offers were made that, if they would do so, conference lines would reduce the freight on wool, chilled beef, and also make some reductions on apples and pears. It was inconceivable that Australia should allow a system whereby shipowners, sheltering behind an amendment to an Australian Act of Parliament, were permitted to dictate rates of freight, make space available in whatever ships they wished, and, at the same time, decide if other shipping companies should be allowed to enter the berth trade. Tallow and Hemp Markets The Department of Agriculture has received the following cablegram. dated April 17, from the High Commissioner for New Zealand, London:— Tallow. —Poor demand at auction; 381. casks offered, 101 sold. Present spot quotations are:-—Mutton: Fine. 30/-; fair to good, 26/6 to 28/-; dark to dull, 25/- to 25/6. Beef: Sweet and/or mixed, 29/-; fair to good, 26/- to 27/6: dark to dull. 24/- to 25/-. Mixed : Fair to good, 26/- to 27/6; dark to dull, 24/- to 25/-. Gut. etc.: 23/- to 25/-. Hemp.—Manila, sisal: Market continues firm at last rates quoted. Outp't January 1 to April 12 450,000 bale.-*. Stocks in United Kingdom nt April 12 9179 bales. Stocks in Manila at April 12 162,000 bales against 221,000 at thsame time last year. New Zealand: Supplies very restricted. Small business has been done April-June shipments, "fair” £27, "common” £25/15/-. Stocks in London on April 1 146 tons against 129 tons at the same time last year.