The Hawaiian gazette., 1908-01-17
COLONIAL LINE
MAY WITHDRAW

According TO the newspapers receiv-
ed on the last steamer from Australia
there is some likelihood OF discontin-
uanoe OF the steamship service OF the
OBSERVATION-DISCLOSURES Royal Mail line.
which touches here. No rumor to this
effect has been heard In Honolulu and
the vessels have been carrying pas
sengers to the full limit of their ac-
Communications since the Oceanic yes
sells stopped running. Their freight
has been heavy. though the. larger
part of their cargoes on the trip 10
the north is picked up at Suva. con-
sisiing Of raw sugar for the Vancouver
refinery. The following article in the
sydney Herald shows the feeling in
that city. caused by the refusal of the
Canadian government to continue the
mail subsidy:
THE disquieting news. practically
confirmed by our cable messages OF
yesterday. that there is a grave pos
sibility of steamship communication
between the Commonwealth and Can
ada being abandoned. has created
profound feeling of uneasiness and
anxiety. not alone among the CONNER
cial men of this city but among prac-
tically all classes of the Community.
1t is less than a year since the line of
mail and passenger steamships be-
L~rav Nic
ceased to run, and the stoppage of the
Vancouver service would be the re-
moval of the last link that binds US to
the continent Of America. 1t Is diff
cult to conceive a period in our history
when communication across the Pa
cific will be a thing of the past, but
there is a very serious possibility OF
such a state of affairs being realized.
unless prompt steps are taken.
1T is generally known that q fleet
OF steamships running between Sydney
and Canada could not possibly be
maintained without very substantial
subsidies. The existing service is a
monthly one. and the total subsidy
paid amounts to e66.O00. contributed
as follows:-Canada eS7,095. Austria
ia e26.62O. and Fiji cess. The exist
ing contract has some months to run.
but, although the agreement is for two
years duration. the contracting gov
ernments have reserved to themselves
the right TO terminate the contract at
the expiration of the first year. The /
renewal of the old agreement specified I
the withdrawal OF the Miowera and /
the substitution OF a better class of
steamer, and this has already been :
carried into effect.
While it is perfectly true that dur
ing the seasOu-about three months in |
the year-large numbers of passengers !
are carried from Australia to Canada /
and vice versa. taking the year as a |
whole the tourist traffic is not very /
large, while the cargo trade is almost /
As purely commercial
enterprise the line would have failed
years ago; but. stimulated by subsidies.
the Union s. s. Company of New Zea-
and, which acts as the Australian
agents, has from time to time fostered
and encouraged the service BY placing
vessels on the line.
The view that the Australian tariff
s responsible for the contemplated
action Of the Canadian autho. tiles is
not supported here The Federal
Treasurer last night remarked. I do
lot for a moment think that IL Is on
account OF our tariff that the subsidy
'or the Vancouver service has been
united from the Canadian estimates
When in London 1 NET both Sir VIII
rid Laurier and Mr. Fielding, and 1
lad conversations with them on the
subject OF reciprocal trade relations
With the Commonwealth. As a matter
4 fact, communications have been pro-
eeding since the Introduction OF our
ariff. but We told the representatives.
II Canada that We could not negotiate
or preferential trade until the tariff
lad been finally disposed Of. We were
compelled TO halt for TWO reasons. In
he first place We do not know with
ny degree OF certainty what the Aus
ralian tariff win ultimately be: and,
eeOndly. until the question has been
determined we viii not know what
POSITION We win be in 70 enter into
eciproeal trade relations with Canada
he negotiations have certainly not
zen broken on. and as soon as the
ariff Is completed they viii probably
{ renewed Canadians must not for
ct the fact Sir william added sig
ificantIy in conclusion. that their
arir as it stands now is as high and
erhaps higher than ours"