EVILS OF MONOPOLY

Evening Post, Volume XCIV, Issue 9, 11 July 1917, Page 7

EVILS OF MONOPOLY

Strong criticism of the shipping merger WHB v<iiwJ in the House of Kepi'e«e«tntiveo yesttrday afternoon by Dr. A. X,

Newman, who said it- -was absolutely shocking in the history of this country, and he regretted that the Government had dono nothing to prevent it. The whole of the overseas trade was in the hands of two companies, the Americans and the P. and O. Company. They could put up freight's by simply eaying the word and bo obtain a million a year extra. As a 'matter of fact the wholft overseas trade of this Dominion was in the grip of a few directors, and a few people who had no interests in New 1 Zealand controlled the whole of th« trade. The Meat Trust and the Shipping Trust together could practically strangle the whole of the produce trade in New Zealand. '

10 TIW BDIIOIt. . I Sir, —I have read with interest Sir Joseph' Ward's remarks - regarding the U.S.S. Co., and would like to test the accuracy of some of his statements. The first .one is : Do the U.S.S. Co pay for the coal burnt by the transports ? The second one is with regard to the Government being able to provide sufficient tonnage for New; Zealand's coastal requirements for half a million ? Can Sir Joseph Ward say where he can get this tonnage in the next five years?' In a report sent out by your London correspondent, Sir Joseph Ward stated that high prices would rule for shipping for the next five years.. Seeing that the U.S.S. Co. employ about one-third of their fleet in New Zealand waters— with trips made by other vessels of .the line intermittently—or, say, 75,000 tons gross, where can Sir Joseph Ward buy at, say,' £6.10s per ton, seeing that other companies are paying up to £43 per ton—and this is not Government but 'shrewd shipping people? The U.S.S. Co. themselves paid for the Waitotara at the rate of about £32 per ton on her gross register. Kegarding the spending of one million on'the intercolonial trade, is.not this absurd, as the Government can buy tjfte ships under charter at present at considerably less money ? ■ Kegarding depreciation, the price the New Zealand Government is paying for the transports more than covers all this. The Hon. -Mr. Russell is quite right. We want a Eoyal Commission to go into the whole business. New Zealand will not take holus bolus any ex parte statements made about "old ships," etc. Even "old ships" are worth money, and I guarantee that at the price the Government can buy now they be as good as an investment as"" buying the original shares in the Bank of New Zealand. I would ask the' forty odd members who waited on the three membere of the Cabinet to force the matter to an' absolute issue and get the Commission, and they will then be able to collate some evidence that will be of value both to them and the country.—l am, etc., . ' ■ " ' ■ VERITAS. 11th July. ■"