SHIPPING COSTS

Otago Daily Times, Issue 23109, 8 February 1937, Page 10

SHIPPING COSTS

A MAJOR PROBLEM

LABOUR ON WATERFRONT

THE CONSEQUENCES OF DELAY

“ Waterside labour provides one of the major problems for solution in the maintenance of economic shipping services between Britain and New Zealand,” said Mr John Macmillan, managing director of the Shaw, Savill and Albion Company, Ltd., and the Aberdeen and Commonwealth Line, Ltd., discussing Dominion shipping services in an interview last night. Mr Macmillan, who is at present on a visit to New Zealand, arrived in Dunedin on Saturday afternoon. He is accompanied by his son, Mr D. Macmillan, and Mr W. E. Keville, secretary and assistant manager of the two companies with which Mr Macmillan is associated.

It was his experience, said Mr Macmillan, that the problem was far more acute in New Zealand than in Australia, and that any intensification of it would have the most serious effects. The cost of work done ‘on the waterfront of New Zealand ports was disproportionately high, and the slow handling of cargoes cost shipping companies huge sums. When it was realised that the delay of a vessel in port for one day cost from £l5O to £2OO, the need for willing, efficient waterside labour could be appreciated. NEW ZEALAND WELL SERVED Mr Macmillan was of the opinion that New Zealand was remarkably well served with fast, modern ships. “After all,” he said, “there is no other cargo service in the world that runs its ships at 17 or 18 knots.” He foresaw no further speeding up ot the service in the near future, and no great advance in the design of shins’ refrigerating machinery or storage space. Present design, he said, was adequate to land cargoes in perfect condition. Regarding his own company s plans, Mr Macmillan said it was intended in the near future to build a new steamer of more than 20.000 tons for operation on the New Zealand run, via South African and Australian ports, but beyond the fact that she would be the last word in design for the particular trade Mr Macmillan had no further information to offer. SYSTEM OF MEAT EXPORT Commenting on problems of cargo despatch from New Zealand ports. Mr Macmillan said shipping companies were not so gravely concerned by the despatch of dairy produce from numerous ports as by the present system of meat export. It seems,” he said, “as if every port in New Zealand has its fieezing works.” _ _ Generally speaking, the New Zealand shipping trade was a good one, but its operating costs were high, particularly when it was necessary to send out a dozen ship 3 in ballast in the course of a year, and six weeks was spent loading at ports round the coast. The really urgent matter for consideration, however, was the labour situation. Mr Macmillan said he was studying at first hand the problems connected with shipment overseas ot New Zealand produce. “ The shipping industry is vitally linked the welfare and development of the Dominion,” he added, “ and it is essential for those in Britain and in the dominions to realise that, not only in the interests of the development of Imperial trade but also tor use in national emergency, it is imperative that Great Britain shall maintain a thoroughly efficient and up-to-date merchant navy. “The shipping industry has been suffering from the effects of the economic nationalism so prevalent throughout the world to-day, coupled with exchange and other restrictions which have in such large measure reduced the yolume of international trade. Shipping is dependent for its prosperity upon an uninterrupted exchange of goods between nations. . “ It has always been the aim ot the British shipowners engaged in the trade between the United Kingdom and New Zealand to provide modern, fast vessels capable of carrying the many diverse products of New Zealand at stable rates of freight. During the past few years large sums lave been expended by shipowners on new and up-to-date tonnage, embodying all the latest im provements in refrigeration and provided with specially-fitted chambers for the carriage f chilled beef, which is a new development and, I hope, will ultimately prove successful.”