OVERSEA CARRIAGE

Evening Post, Volume xciv, Issue 73, 24 September 1917, Page 8

OVERSEA CARRIAGE

HIGH FREIGHTS, HIGH PRICES

The announcement by cable message that overseas outward freights to New Zealand main ports have been raised to 200s will inevitably be followed by a substantial rise in prices of imported articles of every description. The freight from the United Kingdom before the war was 42s 6d to 45s per ton of 40ft measurement. To-day is is 120s; it is now to be 200s. It is the ship that determines what is deadweight and what is measurement, but whichever it is, it is in favour of the ship. In the course of conversation on the subject with business men, to-day, a Post representative gathered that no relief from the high freights was to be looked for from America, because the same, rates applied. It costs as much to get goods from New York, Boston, or elsewhere, from the Eastern States as from the United Kingdom. In any case importing is now attended with the greatest difficulties, especially from Britain, where the prohibited export,list is now of so formidable a length and covering so many articles, so much material that is absolutely essential to New Zealand. Of course, such prohibited goods can be obtained under license, but the restrictions are such ac to considerably hamper private trade. This has to stand aside in any case for military or war business, which has priority in the matter of permits. At the same time, whatever the reason, the fact stands that a great volume of business between Britainand New Zealand is stemmed, and the former really needs every pound's worth of it for the better adjustment of the exchange position. ' i Advices have been received of huge accumulations of goods, mainly manufactures of iron and steel, and . metal generally, all awaiting shipment to New Zealand and'urgently needed here. If that is- further augmented the present shortage of so many essential lines will be greatly accentuated. Stocks in merchants' hands are greatly enhanced in value by the restricted shipments, and they will be worth still more by reason of the higher freights. In the matter of imports that sometimes come under the heading of groceries, there is already a scarcity, but what does come out and what is already |in the stores will be largely increased by the new freight rates. The importer and retailer will not be affected (except by possible curtailment of business through high cost), inasmuch as the increased freight will go on to the landed cost. For some time past most orders have been received by British manufacturers on the understanding that the freight shall be that ruling at the time of shipment. Business to'include insurance, freight, and other charges has not been taken on tlie same basis as; before the war. - ■ '. In short, the increased freight charges j will be paid by the consnmer of all imported goods, and, in a measure, that of all identical goods of local origin, inasmuch as the price-lists of the latter are usually adjusted to movements in the costs of the imported article. ■