The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-11-28

over an ONlSdtlSIaCtOf SITUATION. iiieSc
men feel that our shipping will never
be IA success until it is possible to
operate it as a commercial enterprise
with profit.
1t may be some time before under
favorable laws ships can be operated
to South America n the Far East at
a profit. There can be very little
question that this country needs these
connections and will have to do m
thing substantial in securing them.
We spent a large sum of money on
the Panama Canal. and we are con-
~tinually spending a large amount Of
money on harbors II n~avigable
streams. II is perfectly logical for MS
TO spend something fairly substantial
in putting shipping on its feet. There
is very little opposition at this time
TO this principle. There il, however,
a great deal of disagreement upon the
best method TO be pursued. Unless
we can come To some conclusion fairly
soon and commit ourselves to a def
mite constructive policy this country
is going forward unde a serious
handicap.
We are, in the third place. at n dis
duN dilldSc III mail VAiiS
London has been for many generations
n primary market for many lines.
Commodities Of all sorts flow TO the
warehouses in London. where they are
sold and redistributed 20 other coun-
tries. London has been able 10 main
tain this position for three reasons.
In the first place, the marketing or
ganization has long been located there.
In the second place, within n last
few years excellent terminal facilities
have been offered. In the third place,
England II a free trade country. This
last is important because goods do not
have to be locked up In bonded ware
houses when they arrive.
Hamburg has become a great pri-
mary market since the establishment
OF a free port twenty-five years ago.
The grip which the Germans have
had. for instance. upon the Russian
market. has been enhanced by this
free port. Although Germany is a
high tariff country like our own. goods
have come within the guarded zone OF
the free port and have been as freely
stored and shown as in the free trade
port OF London. These goods have been
marketed from the Hamburg free port
and then have been sent out to Russia
and other central European countries
with no Inconvenience.
Where there Is a primary market
such ms hat In London or Hamburg
with goods coming from an over the
world to be redistributed. two effects
follow. The first is that local prices
are the prices OF the primary market
second. this transit trade with other
countries makes n commission for the
merchants located in the primar,
market n II provides additional
cargo for various lines of communica,
ton.
New York does only a small volum,
OF transit traffic. Even commoditie,
!, which we buy In this country we pur
/, chase frequently round about via Lon
don. There is no fundamental rea
son why New York annot become Z
primary market except that at pres
ent we are not furnishing the facili
ties.
New York harbor has no special are,
, for transit TRAFFIC. Goods which com,
! here to be stored for a while are locke,
I'D In bonded warehouses, where the,
cannot be displayed to advantage. Tn
; foreign traffic OF the harbor IL ais
congested because Of a vast amour
of domestic trafric. II New York is I
become IA primary market It is essen
/, tial that n zone be established in tn
harbor where transit foreign trafYi
4 may be handled quickly and onven
I iently.
We ought logically to have a FIRE
: port built on the German model. ]
o has been found as the result Of prac
tical experience IN other countries tina
a a free port is advisable at any com
$ mercial market In a high tariff coun
Y try. With our high tarir We canno
expect to furnish the facilities for
I primary market unless We have a FIRE
: port.
81 A tree port, even YER the necessar