The Daily bulletin. [volume] (Honolulu [Hawaii]) 1882-1895, 1890-07-05
The OCEANIC CONTRACT.
Great value oG the gan Ernncisco
Route 10 New Zealand,

Route 10 NEW GehlnnO,
"Our Letter Home in the New
Zealand Herald of June lG contains
the following comparison Of the rival
English mail routes 10 which New !!
Zealand contributes. 1t shows q
profit from the service done by the
Oceanic Steamship Co., as against
loss from the direct service of the
New Zealand Shipping Co..:
The working of the San Francisco
Service, and its benefits TO the col
ony of New Zealand, were shown by
the results of the operations fol the
year ending on 5lst December last.
The full original subsidy was paid to
the end Of November, as the new
arrangement did not take effect till
then. Yet the years returns Show
receipts to the amount of f30,307
% sd against an expenditure of f27,-
394 S., thus exhibiting surplus of
f29l2 las Sd in aid of the general
revenue of the colony. This is sa-
tisfactory enough, but the new ar
rangement, il it had been in opera:
ton during the whole year, would have
shown far larger surplus of fS527.
The subsidy would only have been
eli $50 and the other charges f5,-
SIS, in all fl6,7 Against this
the hostages posted in New Zealand
(f16,050) and the share received
from London (f9245) make up the
surplus above noted. Contrast
these figures with those of the direct
service of the New Zealand Shipping
Company. The company received
| lin payment by weight for the mails
carried) flO,667 IS 4d, and Gin
bonuses) f5577 13s 4d. The inter-
provincial distribution and other
charges were $4,000, bringing up the
total cost TO ego, $50 les Sd. The
receipts were only f15,lS0 0s I'd,
leaving deficiency of 1921 1Gs Sd
to he borne by the consolidated re-
venue,
Thus the San Francisco line Is
carried on at large profit, while
the direct line entails large loss,
AS mail service there can he nc
comparison between the two lines.
No one has ever pretended that any
possible service can, in this respect
beat that via San Francisco. The
only plea for n subsidy to the dlrec,
line was its usefulness in carrying
frozen meat and other produce Il
London. The subsidy now received
by this line is by payment pei
pound weigbtsfor all mail matter
which lit conveys. To attempt, by
the tliscontinuance of the American
,, line, to force greater weight o
i 1iau matter for carriage by the di
rect hne would be injurious to al
and must lead to q very consider
able, portion of our letters coming
by way ofAustralia. The Victoral
or New South Wales Government
would in that case receive the larg
est share of the Ocean postage. w
should be cut off from America, or
what is most likely, have to be con
!, tent with branch line either frou
Samoa or Sydney. Oar outla
y would be less, but our income woul
= suffer in more than the same pre-
portion. New Zealanders would sti
pay the postage, but it would 90 {
other Governments instead of /
} their own. The whole question
', to be brought up for considerable
= in the approaching session. lib
. light thrown upon 1t by the la
u year, returns cannot fail fayorabl
u to affect the continuance Of the Sa
:. Francisco service as by farShe be
" and cheapest mail line for the co
70 ony. This, too, apart from the III
doubted benefit, present and pro
r pective, of being in continued dire
d communication with the Unit,
States. and, through Them, hayiI
ain alternative line with the who
y world.