New-York tribune., 1908-04-10
THE OCEAN POSTAL BILL.


The failure of the House Committee on Post
offices and Post Roads to report out the Senate
ocean postal bill will not we hope, bury that
thoroughly commendable measure. 1t is clear
that the majority of the committee actuated
by that sort Of timidity which SHES at a name
or q placard without considering whether
the matter placarded is peTilouS as II is
represented TO he, fear that they will be
charged with voting Subsidies" to the mer-
chant marine If they in fact vote merely to re
adjust the rates paid by the government for
the transportation of outbound foreign mails
The law under which the Postoffce Depart
ment contracts with American steamship lines
for foreign mail service has been on the statute
book since 1890 II does not give subsidies
in any sense To the lines which have contracts
under it. since the net result of the operation
Of the ocean mail service is an annual profit
Of about S3600000 TO the government 1t is
now proposed simply TO apply this profit to the
extension and improvement Of the service, al
lowing more liberal rates where they will do
an important incidental benefit in building up
American steamship lines to ply between the
United States and ports in the Far East and in
South America.
There is no suggestion Of the old-fashiOned
subsidy theory in this legislation. The Middle
West, the Far West and the South have been
t'btI az d-iIE 10 dlN general IollCN OF NuISlltS
based on the idea that American ships carry
ING our produce overseas should receive either
tonnage or mileage allowances from the Treas
ury. The producers of the interior have felt
that ii was 10 their advantage 10 use the
cheaper foreign owned lines of transportation
and have baked at the notion of building up
an American freight carrying marine so long
as the problem Of national expansion remained
chiefly internal. We have probably not reached
that stage of industrial development at which
the creation of a freight carrying ocean marine
Of Our own is a necessity. We need not a pres
ent make the special efforts to stimulate over
sea transportation which Great Britain and
Germany have TO make.i That period Of ex-
pansion VIII come later. But there is no pur-
pose 10 apply such Il policy of general subsidy
in the modest suggestion to roarranGe our
scheme of foreign postal contracts so as to
give juSrer and more liberal rate To steam
ships which make the longer and. at present,
less profitable trips to South America and TO
Hawaii, Australia and the Philippines.
There is an evident national interest to be
served in extending our facilities of communi-
cation with the two parts of the world in which
we have assumed special political obligations.
The United States is trying TO establish the
closest relations Of amirv with the South and
Central American republics It expends money
wisely when it broadens and multipHes the
means Of intercourse with its Southern neigh
bors. For political and military as we'll as
commercial purposes it is also prudent TO main
tain American steamship lines running TO the
Far East where we have large trade interests
and an isolated insular dependency. 1t is an
utter misinterpretation of facts TO insist that
the McCreary bill commits the country TO the
general subsidy theory. On its own merits
that measure deserves the approval Of Con
amendment in the pOstoftice appropriation bill
the Senate viii make sure that il can still be
brought to a vote at this session Of the House
of Representatives