Evening star., 1941-06-29

-
REPRESENTATIVE FADDIS.
built py Government funds and
operated by private industry are
at best pilot plants that cannot
produce results in appreciable guam
titles for some yeaIn to come.
There has also been a neglect in
increasing the facilities for the max
ing of pig iron and steel, principal
ly because We could not or would
not give definite assurance to in
dustry as to what it might expect
from wartime expansion of its
plants. The situation in regard to
aluminium is more critical still.
The aluminium industry relies on
poWer-electrlc power. The unWill-
ingness OF s0me Government off,
cials to provide hydro-electric en-
ergy from its own dams IN such
an emergency as exists today is at
least short-s:ght d. Whatever may
be the merits of any controversy
between these so-called "monopo-
lies" and the administration, it is
the sense of this committee that a
squabble at this time on the sub
ject of monopoly is a tragic and
sorry spectacle, indeed
6. The effect of shipping short
ages in the program for the ac-
QUESTION of strategic and critical
raw materials.
A number Of the most important
strategic raw materials required by
the United States for the defense
program, as we'll as for normal ci-
william use. present a major trans
poration problem. Chrome ore,
manganese ole and crude rubber in
volve large tonnaseS and long ship
ping hauls. Practically all of the
rubber and a large part cf the
chrome and manganese ores must
move to this country from the
Far East. Tin comes largely from
this area, but presents an easier
shipping problem because of its
shipment as pig tin, a form which
has less bulk and more desirable
stowage characteristics than ether
major Stratagj raw materials.
Furthermore, the shortage of
shipping space became known to the
producers and, as might be expected,
caused a slowing up of serious pro-
portions of the delivery of rubber
ID the Far Eastern ports for ship
ment to this country.
The shipping space situation in
February worsened from day to day
and week to week, one large shipper
in Singapore being unable to book
space for half of the rubber avail
able for shipment in February and
March.
The shipping conference control
ing this traffic finally permitted the
use of some non-conference ships
IN this trade, but only under tenn
porary arrangements which dis
couraged the use of these ships by
the rubber shippers furnishing rub
Der under the intergovernmental
agreement.
1t appears also that shippers of
rubber were inclined to give prefer
ence to commercial shipments over
those for the use of this Govern
ment. These factors combined to
force an extension of the period of
delivery under the agreement. in
the face of the fact that the storage
facilities located in at least three
Far Eastern ports were full of rub
Der awaiting shipment and storage
facilities at the plantations were
being filled rapidly.
Shipping Conference Assailed,
1t is apparent that the amount of
space on American vessels in the
Far Eastern run, although increased
IN an effort to meet the situation.
was not sufficient to offset the with
draWal OF other tonnage because of
the war losses. The provision of
needed tonnage, as has been pointed
out, was held up to the detriment of
the movement Of rubber for the use
OF our Government by the refusal
OF the shipping conference to admit
non-conference tonnage except un-
der temporary month-to-month
basis, and then only after a con-
siderable delay.
The situation set forth concerning
rubber has of course affected other
strategic materials. It may be said
moreover that while there is no eyi-
dence before the committee that
other non-essential commodities
were given preference over rubber
and other essential commodities on
any given ship, it is clear that the
movement of many non-essential
commodities, even from other areas
of the world, contributed indirectly
but decisively to the shortage of
shipping space for rubber and other
strategic raw materials on the Far
Eastern runs.
1t is the opinion of the commit
tee that there has been a lack of
appreciation on the part of the
Maritime Commission, as well as
on the part of the individual ship