The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1900-03-02
THE SHIP suBsrDEY BILL.
The Report Prepared BY Senator Frye
Made Public.

pared by Senator Frye upon the Ship
ping Bill reported by the Committee on
Commerce of the Senate, was made pub
lie to-day
The report begins by asserting 1.-THE
self evident value of a national mer'
chant marine, explains and deplo1es our
almost entire dependence upon foreign
shipping for our ocean carrying, sug
gests the danger of reliance upon the
merchant ships Of other nations which
may become involved in war. the posi-
bic complete exclusion of American ex-
ports from their regular foreign mark
cts III such contingency and points
out that the wholesale transfer OF the
tonnage OF belligerent nation to q
neutral flag would unqueSrionably an
vove such shipping in difficulties, seiz-
ures. and detention. The BrHish-Boer
war has materially reduced our means
Of transportation and embarrassed our
ocean mail service. The humiliation OF
our reliance upon foreign vessels bought
and chartered during our war with
Spain is referred TO, and the broad
grou1gi is taken that under those see
tons of the Constitution which empower
Congress to provide for the common de-
fense and general welfare is found the
highest authority for the promotion OF
our merchant marine"
Three prime reasons are given for the
decline OF the American shipping in the
foreign trade, namely. !. The greater
cost of building ships in the United
States than elsewhere; .. The greater
cost OF operating American as compared
with foreign, ships. and 3. Causes based
on foreign legislative encouragement. -
The suggestion that this situation may
be- overcome by the free admission OF
foreign built ships 10 American register
is nsf by pointing out that If such adj
mission were unconditional, ii would re-
suit in destroying existing American
shipyards on the Atlantic and PaChc
coasts.
The passage Of the bill, it is claimed,
would probably effect a reduction OF
500. 100000 a year in ocean rates on
American commerce, through the addi-
tional shipping and the competition that
would be created.
Foreign opposition" the report says,
sis being concentrated upon the bill, be-
cause foreign shipping interests clearly
see that they will be seriously injured
by the replacing of American for the
foreign vessels now in our foreign trade.
."The maximum annual expenditures
are fixed at $9.OO00O0 in the bill.
About 81, 100000 is now being paid 10
American ships under normal conditions
for carrying our mails; sum which
should be deducted from the addltion;ia
EXPENSE of the operation Of the bill.
4. f.nn al tnn lf
shipping. costing approximately S4O,-
100000, and occupying several years IN
its construction would have to be built
in the United States if this bill is passed,
before the maximum expenditure OF SS,-
100000 could be reached
The special higher compensation Tor
teamships Of IL knots speed and over
is deliberately explained. There are but
361 sea going screw steamships in the
world today that come within the size
and speed conditions that higher COM
pensation is fixed for, and of those y
are protected by the coasting laws Of the
United States, while the balance receive
from their respective Covenants up
ward of S2O,OO0,00O annually.
1T equalizes the advantages enjoyed
by the foreign rivals Of prospective
high-speed American vessels. Ii is ex-
pccted that some 100000 tons Of for
egn-buit vessels now owned or build
ing for American citizens will be adj
mitted to American register under the
terms Of this bill, their owners being re-
nuired 10 build equal tonnage in the
United States before receiving any
The committee states "that when ship
building yards have been sufficiently de-
velopod and have work enough to keep
them going all the time, the cost of con-
structng ships in the United States viii
he reduced. The growth of shipbuild
ing in the United States would give EN-
ployment TO vast army Of men in the
shiryards and in the iron. steel and 9TH
or industries connected with shipbuild-
ing"
The report also states:
las the NEST promising field for the
future development OF our markets for
agricultural products is northern and
temperate Asia, the committee believes
that our grain fields and cotton planta-
tions will gain IN greater proportion
from the enactment Of the law than the
seaboard shipbuildins and ship-owuIns
States"