New-York tribune., 1909-06-06
PANAMA STEAMSHIP SERVICE.

The report that the Pacific Mail Steamship
Company is about to withdraw It's steamers
from the Panama route is not unexpected
There have been similar rumors before, which
have not been fulfilled. If the company in
question has at this time an intention OF
abandoning that part of its service and has
given notice thereof there is still a possibility
that it will reconsider the matter before the
date set which is two months hence. If not
and if the intention is fulfilled. should be
surprised if some other service were not
promptly substituted on that route
The reasons for this step. if il is taken, will
be generally comprehended. They are of a
purely business character. Down to two or
three years ago that service was believed to be
highly profitable. BY virtue of an arrange
ment with the Panama Railroad Company the
Pacific Mail Steamship Company had a virtual
monopoly of northbound traffic from Panama.
But when our government acquired possession
Of the Panama Railroad and of the steamship
line between Colon and New York that ar
rangement was cancelled. and as a result the
business of the Pacific Mail company is sup
posed TO have become less profitable. The COM
pany may think it would be advantageous now
TO discontinue that business altogether and per-
haps transfer its ships to the "ehuantepec
route If so. that is its right.
We should hope however, in that case that
some other concern would take up the work AT
Panama and conduct it without interruption. 1t
is highly desirable that all interoceanic traffic
which now gees by way of Panama shall be
kept on that route and not be diverted TO the
rival route IN Mexico We have hithero called
attention TO the formidable nature of Tehuante-
PEGS rivalry. OF course the opening of the
Panama Canal will materially change the char
acter of the contest between the two But GER
tainly il will be better 10 hold at Panama what
we now have than to let it slip away and then
try 10 win ii back
We should hope, also. that the place of the
withdrawn service would be taken by some
other private corporation rather than by the
government. The government now owns and
operates the steamship line between Colon and
New York which is entirely proper. at least
during the period of canal construction, seeing
how largely those ships are occupied with gov
ernment transportation. Practically the line is
one Of the appurtenances of the canal which the
government is building. almost much as the
steam shovels and dTedges. But when the canal
is completed and the steamship line resumes
its former character as an ordinary common car
rier the question may arise whether the gov
ernment should not dispose Of it. The line at
the Pacific side of the isthmus has no such func-
tons as a government carrier and is not likely
to have, and it would therefore seem preferable
save to believers in government ownership Of
all such things-that it should be in private
hands. If. however, during the transition
period Of canal construction II Is impracticable
TO have it thus maintained. line there under
government ownership would be preferable to
none at all Panama should certainly not he
abandoned in favor of Salina Cruz.