New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1882-12-28
TIE PEpORT on SHIPPING.

TIE REPORT on SHIPPING.
The majority of the Select Committee on
Shipping are 10 be congratulated on having
presented an ample ana able report. The sug-
geston of THE TRIBUNE that the experience
of England should be embraced in the inquiry
has been adopted and the causes which have
transferred the Carrying trade from American
to English bottoms are fully discussed. The
committee point out that the foreign shipping
trade being on the highway of the ocean Is
open to all the world, and discuss how lar the
State can legitimatey support and foster an in
dustry which it cannot protect. They are
unanimous in declaring that shipbuilding Is as
important as shipownng and that no nation
"can gain, or long hold, IA strong position on the
aocean unless it builds it's own ships" The re-
port contrasts the comparative cost of con-
strlction on the Clyde and Delaware rivers,
and finds that from causes at present existing
shipbuilding costs about Onc-third more III
this country than in Scotland. In other words,
steamers which cost 500 a ton there cost 1874
here. They therefore propose to equaize the
difference by allowing drawback" on Amer
lean materials used in shpbuilding equal to
the tariff on the same if imported.
With all due respect to the committee, this is
proposing one expedient and calling 1t by ano ther
name. 1t is, in fact a bounty, though called
drawback. The difference is considerable A
draw back ia the recovery of amounts already
paid a bounty is gratuity paid out OF the
National funds for work from which future
advantage ia anticipated. The proposal is
formulated in clause Is of the bill, which pro-
vides that vessels built here for the foreign
trade, including that between the Atlantic and
Pacific coasts, are to be entitled to a drawback
on all American materials used equal to that on
the foreign material. The clause was sug-
gested by the San Francisco Board of Trade.
The objection is that it not only establishes
system of bOunties, but has the further disad-
vantage of uncertainty as 70 the amount. It
involves IN many il stances the calculation both
as to quantity and quality of articles in posi-
ton which cannot be removed and weighed, and
the exact gauge of which it may he difficult to
ascertain. Such drawbacks would be very in
tricate to calculate and afford great oppOrtu-
mites for fraud. If Congress decides on
adopting a System of bOunties, it would he well
to consider the plan adopted 10y the French,
who fix a scale of allowance at so much per
ton. Clause 81 of the bill provides that where
vessels are built for foreign account and of
foreign materials drawback Is to be allow ID
equal to the amount OF the tariff less 10 per
cent. Here again a similar difficulty will arise
in calculating the amount. Another clause
admits all stores, cOrdage and other materials
consumed on board free of duty. The distinc-
ton between bounties and subsidies is one
tnat the committee have referred to but have
not adopted. Subsidies have fallen into dis
repute in this country on account of the job
berry which existed with regard to the Pacific
Mail. But postal contract granted on strict
conditions and under severe penalties is diff
ferent thing from a subsidy granted with only
few conditions and those conditions unen-
forced. The committee point to the policy OF
England in this matter, and refer to the fact
that she paid SO, 100000 in single year for
mail matter which returned little more than
IA half of that amount.
1t was not to be expected that so moderate
a bill should satisfy adventurous spirits like
Mr.. S. s. Cox. This gentleman and Messrs.
Vest and McLane have sent in minority re-
port and formulated amendments which pro-
vide for the admission of all shipping materials
free. and also granting the right to purchase
ships to citizens of this country, wherever
said vessels may he built in other words,
free ships. The clause as it stands would en-
able foreign ships to be purchased as well for
the home as the foreign trade. 1t would bring
foreign shipbuders into immediate compe
tition with our own yards and would treat
American shpbuilders in way that no other
industry has been dealt with in this country.
Still Mr.. Cox is nothing if not original SO after
signing report in favor of American ship
builders he proposes a clause which would
close nearly every yard in the country.