New-York tribune., 1920-11-01
Faith Broken by
Shipping | e gBoard,
Lines Declare
Atlantic Conference Sends
Benson Protest Against.
His Action IN Reducing
Rates Without Warnin"
Heavy Losses 'nvolved
Foreign Companies Ask for
Assurances o, Co.opera-
ton; Freight " War Likely

the foreign trans Atlantic lines in the
matter of freight rares Will probably
be determined by the answer of Ad-
riral Benson, chairman OF the board,
to d telegram OF protest addressed to
hin by ,ac North Atlantic United King
don Freight Conference, after meet
ng held here
The stand 'aken by the conference is
that the Shipping Board. after entering
upon an agreement at Its own request
with tho conference regarding the stab
ilization of rates, has without previous
announcement to the board cut the
export rates on flour to be carried by
government vessels to point at which
losses must be made and an uNsettling
influence eNerted on rates for other
commodities.
That the spirit Of the boards under
standing with the conference has been
violated IS declared ia the message to
Admiral Benson. and assurances are
are skca shat in future there Will be
"a rate changes except in accordance
witt the Arrangement made between
the board and the conference.
Failure on the part of Admiral Ben
son to give such assurances, shipping
men believe. VII lead to severance
Of relations with an extension of the
Line having broken con e.ence rates. ,
is meeting tie combined competition Of
the conference and the alqping Board
In the new war, hoWeNcr the Shipping
Bo~-c VIII have the conference lines, /
no' as cocpcrators. olt a5 competitors. /
Benson for Conferences
Admiral Benson mas been a strong
advocate of conferences and has con-
stan.y urged operators Of Shipping
Board vessels TO cooperate with them +
1t has teeu pointed out that confer
ences not ONLY stabilize rates ut a
poirl fair 10 both shippers and on-
orators but by preventing demoraliza-
ton Of rates benefit general CONNER
cial conditions. They also serve to
improve tha nature of shipping ser
wees ana ssure regular dispatch of
goods
Tho recent Shipping Board announce
men Of reduction from 50 cents to
10 cents per 1860 pounds 20 all United
Mngdom Nof.s. effective Novcmb Der /,
cam w1'Heu. amy intiuation to con-
ference lines chat eacn 4 step was con-
-empi iatod. 1t is Said and is therefore,
regarded as 81 breach Of faith This
action resulted FROM tire protests Of
Anercaa nt.crs re-arding the great
mere n whoat exports and is said
10 have followed the visit Of delepa-
ton U t'e White House The reduc-
tion Of the rates on Hour has already
Deen followed by q demand from ship
per OF oth.r commodities for like
reduction al tacir goods To concede
this. sh.un me- mcN point out would
mean tle cargo would have to be
eafiiei a. loss. which would fall on
both the Shipping Board and private
operators
p.f-..-
adoptel hy ,ro nited Kingdom sec
ton Of tie Gulf Shlunine Conference
Tic declare that such action as the
Sh hlpNlur Board has taken is contrary
to the conference agreement, which
pro- unaniMoas action by the
>hipprg BOARD and fhe fore; gn lines
on berth bu ness. The diferential Of
I'VE cents hundred pounds. it is said,
does not COVER tte extra cost of the
stetcla.e for loading and dis
charging aaI makes no allowance
Whatever foi tte time always lost in
handing flour compared with Grain.
Protest Made by Conference
Furthermore. f. j. pointed out. the
move Viii le'e.t the object OF the
miilers as no lime will book -four when
1t can ret nr ia1 five cents less
The Nutta Atlantic Conference in its
message to Admiral Benson states:
"ln our opinion the action on the
part cf the anlNs Board constitutes
q crave ln Justice to the members of
'niS onferenee, lnasmuch ass they were
ne' consulted Nor given an opportunity
Of expressing their opinion on so I'M
poi amt matter OF Hch flr" ..lr .ng
consequences
iou will recall 't., al your earnest
request working nrran eement was
entered mta betwcaa conferences of
liprins Board operators and CON
ietences lenlescntlng foreign lines
with view ta stA5iliziu~ and creating
rates on all export commodities that
would he fair go shippers and carriers
a4lke, and tai. has been emphasized hy
| lhe carr 5ines with which YOU have
urged conferences amon9 all operators,
4hc'udias those ouc'atiur i'm French.
N'iglan lntcn arl German ports, but
must be ohNiols go You that the very
OBJ of those conferences is defeated /
oy 'He summary action taken by you
Reduction Means Losses
| "The rednc,ion OF the wheat -four
rate to A5 cents a hundred pounds is.
we believe you viii find less than II
actually costs to lransuoft the com
modify, ~ other words. = will not
pay the cost OF operation Of the steam
srs trading the north Atlantic. .
ereforc stes'oeis carrying flour MT
'Se rates will make loss ON .e
sNSac''on. This rate reduction fur
"ss cannot ial TO exert a downward /.
| N'nce on rates ON ether commodities (
[ extent O. which cannot be immedi- /
/ @'ey detesmiaed
NV N consider that the spirit Of our
shaerslanding. which we have scrupu-
.sssiy adhered to even though some
5ac'ihces were involved, has been vio-
o'eo' and that without any opportunity
- present our views we have been
fsoieed into a position where material
4 'Aancial losses are inevitable TO steam
80 - OF both the Shipping Board and the
| 'oreign lines.
| masmuch as We are firmly OF the
4 ,p'hlon tina. your action IN reducing
ue rate on -four is economically un-
seuhd, We ask YOU to give Us some
.as;s,urance shat in future rate changes
";I ;li not hc made except in accordance
IN mi'h conferences arrangements to
mnlcn the Shipping Board and their
'pera'ors are parties
French Deputy for Freedom
OF Imports and Exports
IAklS. Oct