The Birmingham age-herald., 1924-08-10
GULF GIVEN SAME RATE AS ATLANTIC Open Competition Is Now Possible After Re-
 ductiOn
 ACTION OF BOARD ENABLED CHANGE Frederick |. Thompson Is Chosen To Investigate
 Discrimination MOBILE HAS CHANGE FOR PACIFIC TRADE First Cargo Under New Order Due To Arrive Sometime
 This Month
MOBILE HAS CHANGE
 FOR PACIFIC TRADE

MOBILE, Ala, Aug. 9.-(Special Leased Wire. )-With the arrival here about the middle of August of steamer of the Pacific, Caribbean and Gulf steamship line with products from the Pacific coast, Mobile enters upon new era of business with the West Coast, made possible by action of the United States Shipping Board in forcing a parity rat, for Mobile and ports of the gulf with Atlantic ports. The steam CT due here about August 15 will bring in the first cargo from the Pacific coast under the reduced ocean rates opening d, business that is expected to bring about big increase in tonnage for the port of Mobile.
 Mobile now has the same rate on this class of goods as Atlantic ports, the charge having been reduced recently as a result of a resolution adopted by the Shipping Board and subsequent negotiations between Shipping Board and Emergency Fleet Corporation of ficials with heads of the steamship lines. Prior to this time, the rate from the ? Pacific coast to the Atlantic was 40 cents, while the rate to the gulf was 45 cents.
 Discrimination Probed
 On July i, the Shipping Board atlopted a resolution requesting tie Emergency Fleet Corporation to ascef- tain if Shipping Board vessels were engaging in the inter-coastal business at these rates, anf if so to authorize persons operating the government yes sels to quote rates to the gulf the same as to ports on the Atlantic coasts. The resolution also authorized Fred erick 1. Thompson, commissioner from the gulf section, to make an inVestiga- tion after ten days had elapsed unless the practice of the steamer line had been abandoned within that time, with the view of determining if the practice did not constitute a discrimination be- tween ports, as forbidden in section 16 of the Shipping Act of 1916.
 Mir. Thompson, acting under the authority of this resolution, directed H. D. Mangnum, commerce counsel in charge of the division of regulations, to take the necessary steps to correct the discrimination against the gulf ports.
 :s Agree To Equal Rates
 Following conferences, the heads of the steamship lines agreed to put the 0 and the reduction was announced. Due to the fact that the movement of canned goods and dried fruit from the Pacific coast constitutes a very large business and that Mobile is in competition with South Atlantic ports in the handling of these cargoes for shipment inland to points in the southeast, the reduction, according to local business mene will be one of the tremendous benefits to the port.
 YlR. G. Cobb, traffic manager of the Mobile Chamber of Commerce, who has been handling the matter of the rail rates on the Pacific coast canned goods from Mobile to interior points, states that the cut in the ocean rate will give Mobile an opportunity to handle a larger tonnage which prior to this time moved through the South Atlantic ports, due to their lower steamer rate. MT. Cobb was recently successful i'll getting the railroads to give Mobile the same rate to Atlanta and other cities in that section as from the south Atlantic ports The reduction in the ocean rate means therefore, that Mobile has exactly as good chance to get tonnage destined fo Atlanta and other points in the southeast as ports on the lower At lantic seabOard.
 sThere are two steamship lines operat- ine between Mobile, and the Pacific coast, They are the Gulf, Caribbean and Gulf company and the Luekenbaeh steamship line. The cut in the rate is effective via both lines.
 Shippers in the southeast are being notified of the removal of the discrim' nation against Mobile, and it IS be lieyed that many will direct their ship 1,ssnts he routed through this port.