PACIFIC SHIPPING

Waikato Times, Volume 120, Issue 19985, 8 September 1936, Page 7

PACIFIC SHIPPING

PROTECTION OF BRITISH. MEETING AMERICAN COMPETITION RECOMMENDATION BY AUSTRALIA. United Press Assir.—Elec. Tel. Copyright. SYDNEY, Sept. 7. The Canberra correspondent of the Sun states that recommendations that Australia should co-operate With the other Governments concerned in an effort to maintain British shipping lines in the Pacific in competition with American services are understood to be contained in a special report submitted to the Federal Cabinet. The report was prepared by Mr R. G. Menzies, Attorney-General, and Minister of Industries, and Dr. Earl Page, Minister of Commerce, after their conferences in London with representatives of the British, Canadian, New Zealand and Fijian Governments and the shipping interests affected. Proposals were discussed for an annual subsidy of about £250,000 to assist British ships to meet the competition of heavily-subsidised American services. It is suggested that the subsidy should be contributed on the following basis:— £ Britain 90,000 Canada 80,000 Australia 50,000 New Zealand .... 20,000 Fiji 10,000

If a general agreement is reached for the granting of the subsidy, it is suggested that subsidies should be provided in competitive zones by the respective Governments, jointly or separately, according to the nature of the services. For important services it is proposed that shipping be standardised into two classes—modern passenger liners with refrigeration space, and cargo steamers capable of steaming at a speed of 17 knots. Shipping on all branch lines would be co-ordinated and placed on the most efficient working basis possible. Obsolete and uneconomic shipping, it is suggested, would be replaced by modern vessels so that as fine a service as possible can be provided. NO DECISION IN AUSTRALIA. A REPORT DENIED. United Press assit.—Elec. Tel. Copyrlgnt. (Received Sept. 8, 11 a.m.) CANBERRA, Sept. 8. Mr J. A. Lyons stated that no decision has yet been reached on the action to be taken to meet the competition of American subsidised shipping in the Pacific. Referring to the report that Mr Menzies and Dr. Earle Page had submitted recommendations to the Cabinet, Mr Lyons said it was without foundation.