COASTAL FREIGHTS

Evening Star, Issue 18030, 26 July 1922, Page 6

COASTAL FREIGHTS

RUMORS OF DROP. [Special to the ‘ Star.’] GHR.TSTOHURCH, July 25. Rumors of pending substantial decreases on coastal freights have been gaining . ground in shipping circles during tho past few weeks. Already there has been a slight reduction on some classes of cargo, and 1 some of the smaller shipping panics are beginning to cut. The Lyttelton-' Auckland trade is particularly affected, and a considerable reduction in freight is mentioned in connection with one j steamer loading here towards the end of | the week. Keen competition is beiim ! shown between tho various companies, and ! several new coastal routes have been opened up, or rather recommenced, during the past few months.

On referring this mutter to shipping com- 1 panics trading to Dunedin it was ascertained that slight reductions have been made in the freight on two or three commodities, hut no substantial reductions can bo made in freights until the cost of running steamers and handling cargo is considerably reduced, and this cannot bo until such time as the Arbitration Court fixes the wages for wate raiders and seamen. Immediately this has been done the shipping companies will revise -the lust of freights and) make redactions wherever possible in proportion to the reduced l cost of running. With regard to the reference to one steamer loading for Auckland, this probably refers to an outside steamer which, every two or three months, makes one trip up the coast, but this isolated trip cannot by any means be termed a new service at reduced rates. There is no suggestion of companies cutting the rates, as the heavy, cost of running prevents this.