The Washington times., 1919-07-08
u. S. Facing a Loss of
$780, 100000 Spent
For Merchant Marine

The United States will have to
write on on its books a loss of ap-
proximately $500. 100000 on. account
of its merchant ship building pro-
gram.
This estimate Of loss is made by
Congressman familiar with the mer-
chant marine problems that confront
ed this country at the beginning OF
the war, and the herculean efforts
made by the Government during inc
war to supply the needed ships.
Had the war lasted another year
the advantages and benefits of this
wonderful effort and vast outlay Of
money would have been clearly ap-
parent to ALL" commented Congress-
man Alexander, former chairman OF
the House Merchant Marine Commit
tee. But prolongation Of the " ar
meant the loss of thousands of yourg
American lives in addition to those
that were lost, and the country Is
immensely a winner through cesse-
tion of the war no matter what may
be its loss in dollars" .-,..
Mr.. Alexander Is assisting in the
work of shaping e permanent mer-
chant shipping policy for this coua-
try, and in fashioning legislation that
will guide the country. in its future
treatment of the great feet Of mer-
chant ships that it now owns and
may continue to own for some years
to come. II will be months before
the House Merchant Marine Commit
tee will complete its draft OF tais
legislation. It is awaiting now q pre-
liminary draft Of the legislation thar
will embody the views Of the United
States Shipping Board and which VIII
be used by the committee as a foun-
dalton on and from which to work Ia
perfecting a national shipping policy.
Opposes Government OwneFship.
In approaching its important taSk
the committee is opposed to Govern
ment ownership and operation Of Ar
American merchant marine, and is In
favor Of the sale Of the Government
built merchant ships to private
American ship owners or to American
ship-operating corporations at a price
as, near as possible to construction
cost, in order that the loss to the
Government may be minimized while
the purchaser will obtain his vessel
at q cost that will enable him to COM
pete with foreign-built ships OF q
similar class.
It is realized that such sales can
not be made by the Shipping Board
or by the Government within one or
even two years. At the end of the
present year the Shipping Board will
own 1924 vessels of the first class,
many OF them Of from 10000 to $4,000
tons register. Within two years, it
is expected. ocean freight rates will
drop nearly to a pre-war basis. While
ships built under war costs may OPP
crate now with profit on war freight
charges they can not operate with
profit under rates lowered to a pre-
war basis. So the prices Of the ships
must be cut by the Government IL
chasers.
should MaIntaIn Ships.
Pending their sale it is the view
Of Alexander and others of the Mer-
chant Marine Committee that the
Government should keep all the ships
still owned by it in commission, run
ming them on old and established
trade routes where needed and in
opening up new trade routes that
and Central America and the Pacific
ocean islands offer opportunities, It
is believed, for new trade routes that
should prove profitable.
So operated and controlled by the
Shipping Board, or, by a Shipping
Commission as successor to the Ship
ping Board, the American merchant
ships would be manned and Differed
by Americans and kept from unfair
competition with American register
ed ships on similar trade routes, but
free to compete with foreign ships
for all trade. Such revenues as might
be derived from the ships so operated
would go into the Treasury and be an
Offset against the merchant marine
cost and loss. With paying new
trade routes established sale OF ships
TO private interests for continuance
in such routes will be encouraged.
Pending the sale OF the ships, the
Government, it is urged, should offer
them for charter at reasonable rates
to American individuals or corpora
ton desiring their use. But where
such charters are made. il is the opin-
ion of members of the committee, the
ships should go to the charter parties
stripped. leaving to the latter the re-
sponsibiIity for securing the crew and
officers necessary to man the ship.
Shortage of Seamen.
This plan is suggested not because
of dispute or conflict over wage or
pay for American officers and crews
as compared with foreign officers and
crews, but because OF the shortage in
numbers OF American seamen. There
is at present no pressure for modihca-
tions OF the La Toilette seaman's act
II has been reported to the COM
mittee on good authority that the
American seaman's wage OF about SIS
a month Is equaled by that OF the
English and Norwegian sailor; the
Italian sailor gets $65 a month. and
the French sailor. called to colors dur
ing the war, still draws his soldiers
pay and has not got back on a sea-
mans wage
With these general plans for a ship