Tonopah daily bonanza. [volume] (Tonopah, Nev.) 1906-1929, 1912-05-28
PANAMA CoAsTwIsE TRAFFIC.

Free passage through the Panama Canal for
American vessels engaged in coastwise traffic is
now squarely before Congress and the only OBJ
lection to it seems to be the academic question
whether it is not tantamOunt to a ship subsidy.
Some Democrats in the House are opposed to
the principle of granting subsidies but this seems
to be a narrow view to take of this important
quc ton.
To grant this assistance to our coastwise traf
fc does not violate the treaties bearing on the
use of the canal without discrimination by YES
sells of all nations, including the United States
American vessels engaged in foreign trade would
have to pay the same tolls as those owned
abroad No foreign vessels can engage in coast
wise traffic now and il makes absolutely no
difference to them whether such American YES
sells pay polls not
Our shipping interests need assistance
The interests of our vessel owners and builders
are not the only consideration. Our navy is
greatly handicapped by lack of transports and
golfers. and we have no sufficient merchant ma
rine on which to draw in of Steamers
suited for Panama Canal traffic would be
staunch enough for any voyage, and with suf-
ficent encouragement they would probably be
built in sufficient numbers to supply the needs
of the War Department 1t is little to build
a great fleet of war ships if they cannot leave
port for lack of golfers, If troops cannot be
transported to the Of overseas hostilities
for lack of suitable vessels.
One of the chief reasons for building the canal
was to reduce the freight rates between Atlantic
and Pacific Coast points If tolls amounting to
dollar or more ton imposed coast
wise shipping, the reduction in these rates will
amount to little nothing. and the volume of
such traffic through the canal will be small Such
tolls will leave most of the business in the hands
of transcontinenta railroads. BY charging such
tolls the revenue collected from coastwise traffic
will not amount to enough to be worth collecting
BY granting such vessels freedom from tolls the
country will lose very little but the grant should
produce great results
1t is generally conceded that American yes
sells will make little use of the canal if they have
to pay tolls, and in that case the railroads will
most of them because they are the only YES
sci owners of Importance in the field today as
far as this coastwise traffic is concerned Low
freight rates will build up industries on the Pa
cific coast and increase the population of all tn,
states west of the Rocky mountains This will
compensate the railroads for the loss of som,
of their heavy, low class freight and will bene
tit the entire country.
II is said that Chicago interests are on
posed to free canal for coastwise traffic be
cause they fear it will defect some business from
that center This comes with i'll grace from tina
city. There would be no Chicago were it no
for the water traffic of the great lakes and TIN
free canals that link them together The cite
on the great lakes the best proofs that cai
be cited of the benefits that result from untram
meled coastwise traffic The stimulus of the Pan
anna Canal free to such trade. should be still
greater, for no ice will close it for several month
OF the year. Chicago is asking for a free water
way three thousand miles long to the Gulf o
Mexico which free tolls ON the Panama Cana
would benefit Ii is hard to see where Chicago
would lose anything, but that city might gail
much through free canal
II is idle to discuss the academic question
whether free canal would or would not b.
equivalent TO a subsidy If there is anythn,
in that argument. coastwse vessels now enjoy
tremendous subsidy through the navigation law
which exclude all foreign vessels from port 4
port trade along our coast They have so mue
now that il can do no harm 10 give them
little more which would help them greatly an,
would not entail the loss of any revenue wortl
mentioning