FREIGHT SERVICES BY ROAD

Wanganui Chronicle, Volume 84, Issue 180, 2 August 1940, Page 6

FREIGHT SERVICES BY ROAD

POLICY OF GOVERNMENT MERGERS SUGGESTED [ Per Press Association. ] WELLINGTON, Aug. 1. Future policy toward public road freight transport in the Dominion was dealt with in a statement by the Minister of Transport. Hon. R. Semple. The Minister emphasised the need for conserving every gallon of petrol because of the uncertainty of future supplies. The Government's policy, he said, was to have goods carried by the railways in preference to motor’ trucks where this could be done without seriously interfering with national production. As already announced, steps had been taken to eliminate wasteful competition with the railways overdistances of more than 30 miles, and steps were also being taken to eliminate wasteful duplication and overlapping among privately owned trucks. Owners of many of these trucks had co-operated by zoning and adjusting their delivery services, and substantial savings in petrol had been made. The Government now asked that public carriers reorganise themselves to overcome the obvious disadvantages of many small independent units. So I hat a general policy of large scale operation might be developed, the Government suggesting zoning of operations, formation of central depots. and formation of merger companies. Concerning mergers it might be found undesirable in some cases to embrace the whole of the carriers in any given area in one single company, but satisfactory results might be obtained by mergers of specialised operators, such as shingle and gravel carriers.