RAILWAY FREIGHTS.

Otago Daily Times, Issue 20959, 24 February 1930, Page 13

RAILWAY FREIGHTS.

OBJECTION TO NEW POLICY. SCOT GOOD BUSINESS. (Per United Press Association.! '.HAMILTON, February 22. Perturbation is felt by traders doing business in a variety of lines requiring road or rail carriage over Mr Sterlings declared change in policy regarding railway freights. Mr Walter Seavill, chairman of the Farmers’ Auctioneering Company, which has large ramifications throughout South Auckland, says that what Mr Sterling advocates is not equitable, notwithstanding his assertions to the contrary, in that the policy he is adopting is frankly (vide his second paragraph) one of robbing Peter to pay Paul. Neither is,it good business. If the Government engages in commercial pursuits it should do so on a competitive basi, and not take advantage of its unique position to ride roughshod over private enterprise.

“ If the railways are rendering a good national service,” he , added, "by carrying manure, etc., at. below cost, and 1 think they are, the department concerned should be recompensed by the ■ departments of land and agriculture. i believe this is being done up to a certain amount, and this principle might be given further effect to. This would be equitable, and would be an example of the Government’s ability to take r a long-sighted view of the matter. To try and make up the leeway lost on the transport of one class of goods by taking advantage of their position b, extracting it from the pockets of those who are affected by the rates ruling on other classes is obviously unfair on the part of the department. The freights have to be reflected in the retail price charged, and what hope would certain companies have of successfully conducting that' part of their business coming under classifications A, B, or C, with firms dealing in these goods only, and who, ■ carrying them by lorries at a cheaper rate than the railways will do the work, can consequently snap their fingers at the Railways Department, seeing that the department has no way of successfully retaliating by Senalieing them on goods classified under • or E?”