The Washington herald., 1916-05-18
billion NEEDED
TO BOOST TRADE
Experts Say 100000 Ad-
ditional Gross Tons of Ships
Will Be Required.
REPORT TO CONGRESS
Declare Against Predetermined Policy
Of Government Ownership and
Operation of Vessels.

After extended investigation the
National Foreign Trade Council. in
statement submitted yesterday to
Congress, says that to increase the
l4.3 per cent of American foreign
commerce carried by American ships
in 1915 to so per cent ten or fifteen
years hence. rendering the trade rea-
sOnably independent OF foreign ship
ping, will require somewhere between
5000, 900 and 100000 gross tons of
steamers worth from 10000, 900 to
5000, 900, 900 according to values at
time Of purchase or construction.
The creation Of this greater mer-
chant fleet is declared by the Council
TO require the development of a sound
national shipping policy which will en-
courage the investment Of private
capital. for it is pointed out that such
fleet to he sound investment
should return an average s per cent
dividend, after depreciation. which
would amount to from S3l. .oOO,o00 to
$50 O00,O0O per annum.
The statement was formulated under
direction Of the Councils Merchant
Marine Committee. consisting OF
James 4 Farrell. president Of the tni-
ted states Steel Corporation. Robert
Dollar. expert merchant and ship
owner. of san Francisco. and =. A. ;.
Franklin. vice president of the In
wa then approved in referendum by
the Council which has an authorized
membership of fifty manufacturers.
merchants. farmers. railroad ana
steamship men and bankers I'm all
parts Of the United States. and is de-
voted TO the economic investigation
Of foreign trade problems.
against Federal OwnrrshiP.
Asking whether thu pending shipping
bill rcnresented by its advocates as a
frst step i'm marine development Will lead
10 or permit the further steps necessary.
the council SAYS. with the &NCO.@D
deri> ed from the proposed bond issue rot
more than $4,000 gross tons OF shipping
can he provided At eNiSt'r- prices. or
less than one-tCnIh Of the minimum
amount necessary to esabhsh the | nited
States in the shipping position above de-
scribcd Nothing like 6"nm gross tons
Is ayaila bic from the few nations which.
durirE thu VA. permit alienation Of their
merchant vessels American shiDyards
Will not guarantee deliveries Of new con-
strurtion within two wears. Rear Admiral
Benson has testified that the utmost the
navy Yards can guarantee. II assured
prompt deliveries of materials, is six lo.-
cotton ships m TWO years.
The general trend Of the report is that
unless privately owned shipping can he
enabled TO rOmpete with that NJ other
nations. the American marine is unlike
lt to attain large proportions through
any government ownership policy.
The council ravors the creation Of
nonnartisan shipping board composed OF
men experienced In shipping and foreign
trade. but declares against ChHining such
n board to a Predetermined policy Of
government ownership and operation Of
vessels or To- wholesale regulation Ot
ocean freight rates. although il docs not
uppu.u the amendment to IN" admins
trati0u shiDpin- hN PROV idnE for the
r--uIatior of conferences abolition or de
f,rrcd rebates the uso OF fighting ships.
and other abuses.