The Western Star. (PUBLISHED 81-WEEKLY.) SATURDAY, SEPT, 7, 1889.
There cannot be much doubt but that competition in every trade is desirable as a safeguard and benefit to the public. The latest instance of real sound competition brought immediately under the eye of the public at large has been the inauguration, or attempted inauguration, of a steam service between Australia and New Zealand in opposition to the Union Steam Ship Company. Mr Ellis, of Sydney, who sought, and is seeking, to break down the monopoly enjoyed by the steamship line which is the pride of New Zealanders but to which they hare to pay heavy tribute, put on two steamers, not at all grand boats in comparison to the ones they had to run against, hut comfortable and in every way suited for the requirements of the trade they took up. The owner of these unpretentious steamers did not wish, or perhaps was not able to make a great display—he wanted to do business in an unostentatious way and had no desire to bring down on his head the wrath of anyone. To all appearances he merely wanted to deal fairly all round, and get a moderate return for the capital invested. When the announcement was made that Mr Ellis intended to run his steamers in the New Zealand trade the Union Company pooh-poohed the idea altogether, and gave out that if the steamers did come it would not make the slightest difference to the company who would keep on in the even tenor pf tbeir way and would in !
no way concede in the matter of fares or freights or retire from the position they had taken up. Besides the steamers that the opposition proposed to run were such that they were not likely to receive much patronage from passengers; indeed, one of them, the old Albion, was a cast-off of their own that had become obsolete years since. The threatened opposition, however, did come, and notwithstanding the protestations made has been met in very different fashion to what might hav® boem expected. The game does not suit the Union Company, who allow no poaching on their preserves if they can help it. It would seem the Union Company consider they have a vested right to the trade of the colony and that the waters of New Zealand should not be disturbed by any but their own line of steamers—save and only except a few direct liners who, to be sure, do not interfere, hut rather help to promote trade. The tactics that have been adopted to crush the opposition from the Ellis line (which has now been running some months) favored by the fates, will in all likelihood very shortly leave the Union Company in full possession of the field again. It is feared that might in this instance, even if not right, will prevail. The enterprise of endeavoring to cope with the Union Company has been fraud with misfortune. The steamers that entered on tins hazardous mission must have run from the first at heavy loss to the owner ; and then the captain of one of them met with an untimely death while the second steamer has been totally wrecked through collision. The process adopted by the U.S.S Co. tojfreeze out the opposition was in running one of their steamers alongside the rival at cutting prices. When one of the interloping boats (the interloping hoar, n vr for fc here is only one) wakes its appearance in our sacred waters, one of our big company’s vessels—always a superior steamer in speed and other respects—is detailed to shepherd her and start from every port at the same time, invariably passing the slower boat at sea, but waiting at the next port touched at to start fair and again pass. If the Ellis steamer takes passengers at, say, £5, the Union boat (that is the shepherding boat—none other) will go one better and take passengers at £4. The same with freight. It does not matter how much the Union Company lose by cutting prices with the steamers detailed for this special service; they seem determined to run the opposition off at any price. The Union Co.’s s.s. Ringarooma on her last trip to Sydney from Auckland took away fifty saloon and one hundred and fifteen steerage passengers, the fares charged being only £3 saloon and £1 steerage. The ill-fated Centennial, late Albion, which it was the rooma’s special mission to shadow, loft the same day and naturally had to take any passengers that offered; (and she se®nr®d ninety-nine of all classes) at equally low rates. When it is remembered that the passage from Auckland to Sydney occupies about a week and the price of a chief cabin ticket amounted to very little more than would be charged at a first-class hotel for the same length of time, it is obvious that it must be a losing game for the steamer. Cutting of prices so much the better for the public some would argue, and we would join with those that think thus were prices not cut too fine. But there is not the slightest chance of the rates just quoted being maintained, and therefore we think it is rather a pity that the cut-throat business is being carried on. As we before said wc are very much afraid that what with the misfortunes that have attended the venture and the bitter hostility of the mighty Union Company the Ellis line will he driven out of our waters, but there is not the slightest doubt the opposition shown has taught, and is teaching, the Union Company a lesson that will not he thrown away.
Sib Harry Atkinson’s Cabinet is becoming smaller and by degrees beautifully less, Mr Hislop has not only ceased to be a member of the Minis-tx-y, but has resigned his seat in the House. There is a general feeling, too, that the Minister of Justice, Mr Fergus, should be removed. He is certainly equally culpable with the cx-Colonial Secretaxy in connection with the Ward-Chxnstie affair, and in some other respects has even shown leas aptitude for office than his late colleague. Should Mr Fergus retire, which would appear likely, his loss would not in any way weaken, jbut
would rather strengthen the Premier’s hands. The vacancies could be filled by members of his own party in every way more fitted than the Ministers named have proved. Meantime Sir Harry may be said to be running the ship of state single-handed, and indeed it would have been better for him had some of his meddlesome colleagues made themselves scarce months ago—they have been of no assistance to but a positive drag on him.
Permanent link to this item
https://paperspast.natlib.govt.nz/newspapers/WSTAR18890907.2.11
Bibliographic details
Western Star, Issue 1387, 7 September 1889, Page 2
Word Count
1,115The Western Star. (PUBLISHED BI-WEEKLY.) SATURDAY, SEPT, 7, 1889. Western Star, Issue 1387, 7 September 1889, Page 2
Using This Item
No known copyright (New Zealand)
To the best of the National Library of New Zealand’s knowledge, under New Zealand law, there is no copyright in this item in New Zealand.
You can copy this item, share it, and post it on a blog or website. It can be modified, remixed and built upon. It can be used commercially. If reproducing this item, it is helpful to include the source.
For further information please refer to the Copyright guide.