The San Francisco call., 1904-08-10
The Merchant Marine.
OAKLAND. Cal. A

OAKLAND, Cal, Aug. 5.
Editor Call-Dear Sir: Is Govern
ment aid what is needed to develop the
American merchant marine?
AS long as present conditions prevail
Government aid, whether in the shape
of subsidies, export or import bounties,
will prevent rather than foster any de-
velopment, because such assistance will
only tend to give an additional asset to
such companies as exist to-day, which,
firmly established already, control the
| trade of the east and of the south, and
make rivalry out of the question.
No Government aid or bounty what
ever could have given life to any Of the
steamship lines which attempted to OBJ
tain a share of the traffic Of the south
ern countries. Freight rates have been
cut down from 500 to S4 and the vic
tory has always been for the subsidized
line. Nor have vessels sailing under
foreign flags, British, Mexican, Chilean
vessels of cheaper construction, man
ned by sailors and officers earning one
third Of the salaries paid to American
officers and men-been able to over
come the conditions composed by estab-
lished lines.
Government has rightly fomented
American industry and brought it up
to condition where 1t can flood Euro
pean markets. 1t would seem about
time to try and let such industries fight
their own battles. Mr.. George w.
Dickie tells us that American industry
makes Americans pay $50 per ton for
steel and he is content to let European
shipbuilders pay $35 per ton.
Would it not be possible to foster new
lines Of vessels in such a way that
there would be chance of success?
Permit me to offer a suggestion,
crude enough no doubt, but which may
perchance offer an opening.
If it be lawful to limit the amount a
transportation company may charge
for freight and passenger traffic in one
direction, why not may it be lawful to
impose certain restrictions in the con-
trary sense?
A certain company charges the high
est rate for it's service. Another COM
pany enters the field, at the same rate
or perhaps a trifie less. the first imme-
diately brings its charges down to
point where business can no longer be
carried on by the opposition. and the
subsidized line helps to sweep the
American flag from the ocean"
Now If the TRANSPORTATION company
had to fix its rate for the year, like the
water companies, for instance, or make
a declaration to the Government that it
| intended to reduce or increase its rate
for a given reason and for a stated
time, thus covering cases for legitimate
reductions for excursions, etc, then
there would be a possibility for other
lines to venture into the field. 1t is but
a few weeks since that we witnessed a
war between steamship lines sailing on
this coast, where one line was COM
PEELED to forego carrying passengers
and confine itself to lumber. Why
should transportation companies be
permitted to state that their rates shall
be increased or diminished at their own
will? If an established line charges $40.
| for example, a competing line would
charge the same. or say IS; the first
company would then declare its inten-
! ton of making the same rate or less, if
| it liked, but it would be compelled to
stand by it's new rate for one year. BY
that time If both companies were use
full they would work in harmony and
the public would profit and new fields
would have to be developed.
| z. H. COFFEY