Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1916-05-18
SHIPPING BILL
IS INADEQUATE,
SAYS COUNCIL
National Foreign Trade Body
Reports That Proposed Bond
Issue Covers but One tenth
of Needs.

effective merchant marine, the Ma
tional Foreign Trade council. in re-
port submitted today to congress, de-
clared that the proposed $50,O00.000
| bond isue for a fleet of ships TO make
| this country's trade Independent Of
/ foreign shipping would be far too
small and that from $520,000,000 to
81, 040, 100000 would be nearer the
mark
The report further held that until
definite federal shipping policy was
adopted much like that in force in
England, investors would he disin-
clned to embark in such a venture.
The main proposal advanced by the
council advocates the creation of a
partisan shipping board COM
brised Of men experienced in shipping
and foreign trade and unclaimed to
any policy seeking government own
ership or operation. or any wholesale
regulation Of ocean freight rates.
Thorough Investigation.
The council says its report is based
on q thorough investigation of exist
ing conditions directed by the coun-
ellis merchant marine committee,
comprised Of James A. Farrell presi-
dent Of the t. s. Steel corporations
Robert Dollar, export merchant and
shipowner Of san Francisco, and p. A.
s. Franklin, vice president of the IN
ternarional Mercantile Marine COM
pany.
The three chief objects of & truly
national shipping policy, says the re-
port. SHOULD permit and encourage
the development of merchant fleet
diseharging the following functions:
first, to increase the national income
and domestic prosperity through
greater facilities for the sale abroad
of products of the soil and industry
of the United States, through the inn
portation Of materials Indispensable
To life and industry, and through the
freights collected from world COM
merCe; second, TO maintain under the
flag communication with distant pos
sessions; and, third. to aid the ma
tional defense and maintain COM
merce during the war whether the
United States be belligerent or neu-
trail"
Proposed Measure INADEQUATE.
After an analysis Of the 1nount
and character of tonnage necessary tc
serve American foreign commerce be-
fore the European war, the council,
in its report, reaches the conclusion
that with the S50000.000 derived
from the proposed bond issue not
more than 100000 gross tons of ship
ping can be provided AT existing
prices or less than one-tenth Of the
minimum amount necessary to estab-
lish the United States in the position
sought. Nothing like 10000 gross
tons is available from the few ma
tons which during the war permit
alienation Of their merchantmen YES
sells. American shipyards will not
guarantee deliveries of new construc-
tion within two years. Rear Admiral
Benson has testified that the utmost
the navy yards can guarantee, If as
sured prompt deliveries of materials
i ssix 10,000-ton ships in two years"
ON tho assumption that the carri- !
age of 60 per cent Of American for
eign commerce in American vessels
would render this country independ- |
ent and in view of the fact that in
1915. 1,811,543 tons of American ship !
ping carried 4.3 per cent of the total !
foreign commerce, the committee es-
Inmates that between 100000 and |
10, 10000 gross tons Of shipping !
would be required. And at the pre- /
the war of $50 ton and of 500 !
ton, the present rate. it was found |
the final costs would lie between |
$500, 900, 900 and $1,04O,000.0O0
No Definite Shipping Policy.
"In what situation" asks the re-
port, does capital find itself when |
urged gradually to finance, mt a cost |
Of between one-half billion and
billion dollars, the construction of g.
900 GOO TO 10. 900 GOO tons of steam
ships? First of all, it finds this coun- !
try without a definite shipping policy. /
Whereas in England all policy, gov
ernmental and commercial, has long
leaned toward shipping, American
policy has ignored it. The seamen's
act Is declared to impose certain re-
on American vessels which
do not apply to certain other nations
and the pending shipping bill is held
TO be barren of encouragement for
owned shipping" The coun-
I'll adds. 1T Is not vet apparent
whether the legislative mind desired
TO consider shipping as an industry
which when properly developed. will
render economical service to Ameri-
ran foreign trade, or az a service
which should be so regulated as bare
" - exist
The report finds that the seamen's
act assumed to preclude discrimna-
ion between American and foreign
'essels is only operative where those
ships sail from American ports, and
POINTS out that the great number of
'oreign ships not touching our ports
viii have a distinct ADVANTAGE over
american ships forced by the nature
" trade conditions 20 live on the
nd legs of the circuitous voyage ,
Necessary to avoid return i'm ballast.
To Depend on Tramp Steamers.
the report finds that the greater
american marine win te dependent I
lpon tramp steamers because the =
onnage Of exports is about double
hat of imports necessitating the man
uNering OF cargo vessels "au over
he map in order to obtain return
argoes
In favoring the creation If a nom 7
artisan shipping board. the council ! !
opposed to that board being I
to any predetermined Dol
y OF government ownership or oper- Il
ton of vessels or the wholesale reg-
iatlon Of ocean freight rates. IT urges {
nat the shipping board re free com 4
IructVeW to recommend to congress
he measures necessary to the main. "
nance of American shipping upon !!
7 equitable competitive basis With $
Their nations.
p