The San Juan islander. [volume] (Friday Harbor, Wash.) 1898-1914, 1904-05-28
EXPORT BOUNTY
J. }. HILL GIVES OPINION TO MA.
RINE COMMISSION.
Direct Subsidy by Government vii,
Not Accomplish the Desired
End, but Export Bounty Would
Do Much to Encourage Ameri.
can Merchant Marine.

New York, May 25.-President ]. J
Hill of the Great Northern appeared
before the merchant marine commits
sion which is investigating the cause
of the alleged decline of American
shipping in order to suggest measures
for remedial legislation.
1.-The first thing necessary" said
Mr. Hill, 'is to create desire in the
people of this country to own ships.
1t is a purely commercial question
If there is profit in it people will en-
gage in it; if loss it is question of
how long people will stick. Our con.
ditions on the high seas as nation
seem hard to meet. On land, in spite
of high rates of labor, the United
States has been able to work out sys-
tenn without an equal.
why we are not able to do this ON
the high seas is not clear to me, and
as far as l have Investigated it 1 be-
lieve that no amount of direct bonuses
will build it into life worth living.
Country Needs a Market.
What the country needs is mar
ket. Outside of our agricultural pro-
ducts, cotton, grain, oil, there are very
few tqings we can export because cost
Of production is so high. We canot sell
them. If we would carry those prod
ucts in our own bottoms it would be
a source of great profit.
They can build ships in England
much cheaper than here. Citizens OF
other countries have owned ships for
the last forty years to greater extent
than we.
II have had experience in building
two ships-the largest freight carriers
in the world-and l don't want any
more. would rather undertake to
build 900 miles of railroad than two
ships. 1t has taken four years instead
of two.
If we are going to buy merchant
marine out of the treasury of the coun-
try it won't last long. We must give
people confidence to invest.
I'm Japan they have built up large
marine. They have protected tonnage,
but do not remember the details.
Our business on the Pacific is hard,
|
and they are fighting very hard for the
Oriental trade. And think we have
placed distractions in the way of this
trade. We cannot comply with the
regulations placed on us and compete
with ships of other nations. We have
been forced out.
II don't think you will make much
of success of buying merchant ma
rine; it won't stay with you. You
must get people interested, but there
does not seem to be much disposition
on the part of the people to 60 into
shipping"
Mr.. McDermott of the commission
pressed the question of government aid
But is the government able to go
far enough?" asked Mr. Hill. eff you
will admit foreign ships free" said he,
"you will get merchant marine
quickly"
How are we going to get back
merchant mariner" asked Mr.. McDer-
mott.
. If you are willing to put tonnage
tax on all that goes to foreign mar
ket, everything that goes out Of the
country, even to the new markets,
think you would get the ships. That
would come out of the people.
Favors Export Bounty.
Then your remedy" asked Mr.. Nc
Dermott, sis an export bounty?"
eyes, that is it,"
You seem to be very pessimistic
over the outlook" said Senator Gal
linger.
THAT is because have looked at it
from purely business standpoint.
built those two ships simply as a regu-
lator to try the experiment. There are
only two courses open-either an ex-
port bounty or government assistance.
which would rise into very large fig
ures."
Then you are convinced that We
shall have to give some sort of govern
ment aid or go out of business2" asked
Senator Lodge.
Exactly. If you fix limit of ten
years on subsidies the favored party
must make the cost of his plant in ten
years. Otherwise he Will sell out to
the other fellow"
That Japanese line you spoke OF,
asked Senator Lodge, lis very skill
fully subsidized, is it not?"
Il talked to Ito about this; he was
with me two or three days and is very
capable. If there is bounty for the
line it is so skillfully covered up that
l was not able to discover it"
Russian Cruiser Blown Up.