The Washington times., 1911-01-08
FREE CANAL MEANS
Low FREIGHT RATE
Opening of Channel Will
Build Up Great Mer-
chant Fleet.
WOULD MEAN END
OF RAIL MONOPOLY
Senators Who Study Question De-
clare They See, Enormous Mari
time Advantage.

Senator'S who have been studying the
Panama canal problems are convinced
they are about to pave the way for
making the canal of tremendous COM
mercial Importance to the United States
and that as the result of the untram-
meled use Of the canal by American
vessels in the coastwise trade, this
country is once more going to take rank
as one of the leading maritime coun-
tries.
Members of the Interoceanic Canals
Committee of the Senate have been CIV
ing much thought to the question Of
how to make the canal useful. Senator
Flint as chairman, Senator Bristow
and others on the committee have
thought much over this problem. They
believe the Flint amendment to the
Mann canal government bill, which the
committee has just ordered reported, Is
the biggest thing for the advancement
of American shipping interests that has
been done by this country for genera
tions.
Effects of Amendment.
The details of this amendment have
been printed, but the effects of it in all
their ramifications have not been clearly
exploited. The amendment provides
that the canal shall be free of tolls for
vessels of the United States in the
coastwise trade, unless they are owned
by railroad company or a railroad or
some of it's stockholders have an inter
est in them.
The President can regulate the tolls
within the range of so cents aud $50
per ton and any vessel that uses the
canal free of tolls will be usable by the
Government the instant the nation
needs it IN case of war or some such
contingency. This is intended to give
the United States a great fleet of col
Iiers and auxiliaries without the expen-
diture of a cent.
The Mann bill has passed the House.
1t will be reported with the Flint
amendment to the Senate. Indications
are there will be powerful opposition to
the Flint amendment. 1t is recognized
that the amendment would break the
gnp OF the great transcOntinental rail-
roads On the country and would bring
about real competition between these
roads and the independent steamship
lines.
Would Aid Shipping.
Some of the Senators who believe In
the Flint amendment unhesitatingIy say
that If this legislation goes through 1t
will mean that a feet of hundreds OF
American vessels will engage in the
traffic between the Atlantic and Gulf
ports, on the one hand, and the Pacific
coast on the other. Now, with the rail-
roads controlling many of the coast
wise shipping lines, there is little real
competition between the roads and the
steamship lines. But this proposed leg
islation is expected TO enable the inde-
pendent shipping lines TO flourish.
One of the things considered in the
committee was the question of how long
II would take vessels to go from New
York to San Francisco. 1t is calculated
the trip can be made in three weeks.
Fruit from California can go by the
steamship route, once the canal is opea-
ed. And large share of the articles
now sent by rail can be shipped by
boat.
What this will mean in saving of
freight rates can only be estimated,
Among other things it is calculated that
the use of the canal toll free will be
the means of developing greatly the
ports all along the Gulf and south At
lantic coast, and also New Orleans and
ports on the Mississippi. II Is pointed
out that it will be feasible for freight
boats to go from st. Louis to San Fran
cisco via the canal and to give low
freight rates.
Railroads May Oppose.
Under the circumstances, it Is gen
orally expected about the Senate that
adverse railroad influence will be ex-
erted. But railroad influence is not as
potent about the Senate as 1t once was.
Southern Senators cannot we'll refuse
to support the proposed legislation, be-
cause 1t is insisted by its advocates
that when the canal is opened It will
be the making of the Southern ports.
Another phase of the matter is that
while the transcontinental roads are sx-
pected to be averse to the legislation,
railroads running from Gulf ports to the
interior of the country are expected to
be for 1t.
One ,of the interesting facts about the
legislation proposed is that the author
of it is Senator Flint, who formerly was
an attorney for the Southern Pacific.
This fact has not prevented Senator
Flint from bringing forth a piece OF
proposed legislation that II enacted, Il
is declared, woufS do more to break
the grip Of the Southern Pacific on the
Pacific coast than anything that could
be done.
On the theory that the building up Of
| an enormous business in coastwise
| SUlDplnR WOulu lcuu W ICAluOAAlNdIC IAO
! American merchant marine generally,
| this amendment to make the canal toll
| free may have an influence broader than
on coastwise shipping alone. Talk al
ready Is heard that a great merchant
marine can be built up without sub
sidies and this amendment will not tend
| to strengthen the proposed subsidy leg
| islation. OF course, friends OF subsidies
will argue that subsidies are needed
regardless of any action benehting the
coastwise shipping.
What Free Tolls Mean.
What 1t means to vessel to be able
to go through the canal free of tolls
NAV easily be calculated. For instance,
at 80 per ton, a 5000 ton vessel would
have to pay $500 for going through the
canal II subject to tolls. A vessel not
paying tolls would be that much ahead,
in other words. The reduction 1t could
make on freight rates obviously would
be considerable.
| The Navy Department now has u
keep UP Golfers and there is a cry
] for more eOlliers for use in war time
In the last war the Government took
(, over nsany vessels but paid extravagant
sums for them. 1t would not get caught
| in such a position again If the Film
amendment were to go through, say the
| Senators who are urging the legisla.
ton. Nor would there be need of the
expense of building and maintaining q
| great fleet of auxfliaries ..