RECEIVING AND DELIVERING

Evening Star, Issue 18339, 28 July 1923, Page 8

RECEIVING AND DELIVERING

POSITION AT PORT OP OTAGO. COMPARISON WITH OTHER PORTS. A report dealing with the receiving and delivering of cargo at Dunedin and the other main New Zealand ports was submitted to last night's meeting of tho Otago Harbor Board by tho secretary (Mr J. W. Bardsley). The report was the outcome of tho proposals of the deputation from the Otago Importers and Shippers’ Association which waited on tho Standing Committee of tho board at its meeting on June 25. In compliance with direction, tho secretary reported as follows: Auckland.—No receiving and delivery charge. There has never been a direct receiving and delivery charge by this board, the ships carrying out the necessary work connected with the handling of cargo. I assume that tho board derives the required revenue for the maintenance of sheds, with necessary depreciation, from its wharfage rates. So far as my knowledge goes', Auckland is the only port which has no direct receiving and delivery charges. For your information I may say that, while we do not charge storage on unbonded goods until after fortv-eight hours after tho vessel has put tho last of her cargo out —(Note : Tho vessel may bo several days doing this.) —Auckland charges storage after twenty-four hours from the actual time of discharge. Tho storage revenue at that port for 1922 is not available yet, but for 1921 the total storage revenue was £30,851, and for 1920 £31,752.

Wellington.—This board handles tho goods to and from tho ships’ slings, but does not make a specific receiving and delivery charge. This is incorporated in tho general wharfage charge. 1 think it may be taken for granted tihat if the ships handled the goods themselves their wharfage charge would be less than it is.

Dunedin.—Tho deputation, in addressing members, urged that tho charge for receiving and delivery should be abolished altogether. While I understand that tho original idea was that tho ships should do all the necessary work, it was not so stated ; but in a memo. (Juno 28) from the secretary of the Otago Importers and Slip pens’ Association lie says, with respect to their desire : “ . . . and tho delivery

of imoclfl to consignees left to be performed by the chips’ own officers.” T replied to this memo., and asked if they had made any overtures to the shipping companies, hut so far I have no reply. I suggest that it is out of our province to make such a suggestion to the shipping companies. During the ten years 1894-1 SAL when the board carried on its own receiving and delivery, the surplus for the whole period was £1,725. During the Inst nineteen years the work has been contracted out, an average surplus of £I,OOO per year resulting. If this revenue ceases, then it will need to bo found, either by increasing the dues on goods—mid (his is not desiraid o—or on the ships. So that yon may he seized of the revenue from goods and shins, at our own and the other three main ports, I submit the following return of revenue for 1920 and 1921—1922 not being available :

(*) Did not respond to request for information. Under the 1922 Harbors Amendment Art we have power to increase the charges lo ships, but whether we should do away with the receiving and delivery charge ami get (ho required revenue by increasing the dues on overseas steamers is a. matter of “ policy,” especially seeing that, we have oilier ports in such close proximity. The same remark does not, however, apply lo coastal steamers, as the figures which I give Inter will show. It cannot bo denied Ihat, for all the benefits that (he port affords, the coastal steamers made us very modest payments. The overseas steamers during 1922 paid us at the rate of from 2s to 13s per ton on the cargo handled. I suggest that it is particularly necessary that we should not diminish our revenue; in fact, if it were practicable, wo ought to have more, so that wo might be in n. position lo place amounts aside for “rainy days,” also towards the payment of nnr very heavy debenture liabilities—and in tin’s connection permit me to remind you that our interest bill is over ill,ooo per week. It has been suggested that the hoard should undertake the handling of I lie whole of the cargo at the Dunedin wharves; but I submit, sir, that there is at once a. fatal factor against this, in that hv so doing the board would simply bo adding 2s 7d to every ton of coastal cargo handled, and by this amount would bn penalising the consignees and consignors—-in other words, (he general Tbo cost of receiving and delivery in connection with the Union Steam Ship Company and other coastal vessels is included in the freight they charge, a.ml 1 venture to suggest that it is not very probable that, relieved of tins work, they would reduce their freights. If wo eliminate this class of cargo we require to consider the overseas cargo only. The taking ■over of the work by the board and its profitable handling would depend entirely on the immunity from pillaging and other claims, the efficiency of the staff engaged, combined with absolute control of same, untrammelled bv any internal or external influences. _ Permanent appointments would require to be made, mid it is needful to point out that the work appertaining to oversea cargo would not bo sufficient to take up the whole of their services; consequently there would be a certain amount of"wastage. If you decide that we cannot lose the receiving and delivery revenues, and the ships will not perform the work, then I am of the opinion that, viewing the position from all with particular regard to the “risks” attending cargo handled by a corporate body, it would bo wise to continue to contract the work out. If (his is approved, I suggest that fresh tenders be called, and, as ilmcontract price would more than probablv be influenced by the length of_ the term, that this should bo for a period of five vears.

The Secretary of the Ota so Importer? and Shippers’ Association (Mr W. How) writ-in" in connection with the subject, made the following comments :—“ The board’s secretary has stated that Auckland is tiho only port, so far as lie knew which has no direct receiving and delivering charge. It would he more correct to say that Dunedin was the only port which has such a charge. The association did not think it at ail probable that any of the ports would lower dues if such a charge was imposed. As to Auckland’s earnings for storage, the board overlooked the fact that Auckland carried on a regular business of ware housing goods, both import and export and had stores for the purpose. If analy sis was made, of storage earnings it would be found that the portion arising from what might be termed the penalty for delay in taking delivery was but trifling as compared with tho total. The large sums earned in 1920 and 1921 were a consequence of tho congestion, which aro.se awing to financial difficulties. In 1922 the association ascertained that the earnings were only £15,033 18s 3d. The association is of the opinion that the board is wrong in saying that the deputation did not express tho view that delivering should bo a responsibility of the ship. On the contrary, the association thought that that was made quite clear, although the point may have been overlooked or submerged under tho idea that tho association only sought the removal of tho special charge. As for consultation with the shipping companies, tho association’s opinion is, if that is necessary, tho duty should not bo imposed upon the association. Whether 'the board will continue its present arrangement or adopt tho Auckland practice is a matter which it must itself decide, in the light of the expressed wish of the deputation, and after giving due consideration to all questions hivolvcd. It appears to the association that tho cost to ships would be much less on goods discharged at Dunedin than that which it now voluntarily pays for railage when necessary to discharge at Port Chalmers. It is not suggested by anyone, so far as tho association is aware, that coastal

steamers should ho relieved from the responsibility of looking after their own cargo. On the contrary, that is ns_ it should bo. and the association’s contention is that oversea ships should bo placed in exactly the same position. As lor Iho hoard itself taking over the work, the association can see no good purpose to be served. If the work lias to bo paid for hy the consignee, then it is likely to be done more cheaply by a contractor than by the .'board. The association would only remark that the service rendered is by no means commensurate with iho charge made, and why should the board seek to make on largo a profit out of it ! The association can understand a safe margin for contingencies, but not an exploitation of the importer to <«ccuro revenue by means of a ‘side wind.’ ”

Mr M'Donald said tho deputation had asked tho board to reconstruct the business of handling goods, and tho ontcouio was tho letter from tho Importers arid Shippers’ Association. This "'as a most important matter to the board, and the proper course was for the board to instruct tho secretary to write another minute to the association on the matter. TT-3 would move a resolution in that direction. It was hardly fair to ask the secretary to reply to such matters verbally. Mr Campbell seconded the motion. Tic -aid ho quite agreed with what Mr M'Donald had. Raid to a certain extent. They did not want to come to a hasty conclusion. Ho thought that the matter should bo deferred for at least a month, then the board could co more fully into if, They wanted to do everything possible in the interests of the community. Air Walker suggested that Air Campbell or’ la bo rate with the secretary; but this was objected to by Air M'Donald on the ground that what was wanted was a ■ninuto direct from the responsible officer. Th ■; board could set up a sub-committee if : t wished. The secretary had gone to considerable trouble to get tho correct figures reeding to tho other ports. Air 'Ramsey said that the Importers’ Association had not, to his mind, considered what the oversea chipping companies would do if they had to pay the receiving and delivering charges. In hi 3 opinion these companies would simply increase their rates of freight, and the importers would have to pay just the same. The coastal shipping companies received and delivered all the cargo the hosts carried, the coat of same having no doubt been taken into considcration when rate? of freight were fixed. The motion was agreed to. Air Cable suggesting that the Secretary should malm inquiries as to the venous rates charged at Lyttelton and Bluff. The Secretary replied that lie had the figures by him.

1920. . 1921. Goods. Ships. Goods. Ships. Port. p.o, o.o. 0,0. p.o. OtiUTf) 55 '22 55 25 .Anrkburl .. . 40 28 44 25 Wellington 48 45 * * Lyttelton . .. 42 41 44 33