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ENE Spa OR a OTR TT Oe aS a ET might take jurisdiction of the rates of the Morgan Line, for example, it clearly has no jurisdiction over the strictly water rates of the Mallory Line, the Morgan’s competitor. “Unless some clear agreement is reached at once, we will drift into the same complexities as have for years been painfully present in the conflict between the state and inter- state authority. The board cannot shirk the duty clearly lodged with it to take regulation of these matters, both coastwise and by lake, but it will necessarily want to minimize the points of conflict with the commission. “There has got to be some imme- diate thought on the part of the board for the protection of coastwise shipping from the aggression of rail carriers. coastwise lines have been brought under railroad ownership or control as a protective measure. This was inevitable under existing law. With- out some protection from their rail competitors they would have died. Long and Short Haul Principle ‘“One of the first things the ship- ping board will have forced upon it, as soon as the transcontinental ship- ping is resumed through the Panama canal, will be the necessity, by friend- ly conference, if possible, of defining some very clear limitations of the ex- ercise, given by the law to the com- mission, of the right to relieve the railroads of compliance with the long- and-short-haul principle in ‘meeting water competition’. The commission has permitted the Southern Pacific to meet water competition and to carry heavy commodities from San Francisco to the Atlantic ports for 40 cents per 100 pounds, while charg- ing 75 and 86 cents to nearer points intermediate. “The Southern Pacific said it had felt the water competition at Boston, New York, Baltimore, Philadelphia and Charleston and the permission was granted to make the low rates to those cities. It said it had not felt the competition at Galveston, Mo- bile, New Orleans, Jacksonville or Savannah, and the high rates still exist by rail to these intermediate southern cities, whose merchants have had to see their business in these commodities slip away from them. “What steamship line would pio- neer a service to any of these south- ern ports in the face of the certain knowledge that its trade would im- mediately be absorbed by the rail- roads meeting its rates? Yet the service iS as imperative to these as to the Atlantic ports, and under nor- mal conditions we would probably The vast majority of -the 42 , THE MARINE REVIEW have seen it established. The attitude of the transcontinental rail lines has just been boldly stated to the com- mission.” Mr. Brent quoted suggestions made by the transcontinental rail lines to the interstate commerce commission and said they simply mean the roads demand the unrestricted right to make rates which shall insure them against a resumption of water service through the canal. Why They ‘Don’t Compete “Ts it any wonder that our coast- wise steamship lines only run as con- nections, not as competitors of the railroads?” Mr. Brent asked. “How can the shipping board escape the necessity of working for a modifica- Yates Will Help Secretary of Commerce Redfield has assigned Captain Charles C. Yates, of the coast and geodetic survey, to assist in preliminary or- ganization of the new shipping board. Captain Yates has assisted in out- lining an organization plan and his whole time will be given to the work. Captain Yates comes from Cleveland and is said to be thor- oughly versed regarding transporta- tion problems on the Great Lakes. It is hoped that his appointment will recompense in a measure for the failure of the President to name a representative from the Great Lakes region as a member of the board. tion of this principle of permanent right, the moment the Graces, or Luckenbachs or the Dearborns or Captain Dollar attempt to resume their service through the canal? “The question will be forced to the attention of the board immediate- ly on the~Great Lakes, where condi- tions are ripe for the carriers inde- pendent of the railroads, the com- mission having required the railroads _to part with their lake lines.” Referring to the needs of the gulf coast, Mr. Brent said that perhaps its most pressing need is service to South America. For years, he said, there has been an agreement between the conference lines and coffee im- porters to make the same rates from the coffee ports of Brazil to New York and New Orleans. This, it was added, has been abrogated, and the coffee trade was divided evenly be- tween the two ports. But, Mr. Brent asserted, neither the Lamport & Holt nor the Prince line would give south- bound service from the gulf. . “Until the Steel Corporation began to send its boats to South American ports and the war disrupted ordinary February, 1917 shipping, these lines would not give a southbound service from any Amer- ican port. They insisted on three leg trips, the outward being always from England, with British merchandise. War conditions changed this arbitrary program somewhat. All Lamport & Holt boats have been withdrawn from the gulf service. Those which have not been commandeered are running on a straight two leg course between New York and Argentina. “The Brazilian Lloyds have fol- lowed with exclusive southbound service from New York, and now the Companio Commercia y Navigacao™ have been sending a part of their fleet to this country, keeping the cof- fee moving. All these lines say they must go to New York for return cargo. This is not true, in any real sense. At the present time it is easier to go to New York for return cargo, because there is no_ south- bound service from the gulf. Neces- sarily, therefore, all exportations are being directed to New York and the steamship men say they must go where the freight is tendered to them.” Building Six Big Ships The American Ship Building Co., Cleveland, is building six big bulk freighters for delivery this year. Five of these vessels are for the Lake Su- perior iron ore trade while the sixth will carry limestone. The first of the six to be launched will be the steamer Eucene W. Parc- NY, which will enter the water at Lo- rain, -O., on Jan: 20 The’ vessel is ready now for the launching, but the date was advanced two weeks in order to permit the launching party to be assembled. This will be the first Janu- ary launching of a bulk freighter in a number of years. The big freighter is named in honor of the president of the American Sheet & Tin Plate Co., and is being. built for the Pittsburgh Steam- ship Co. She is 600 feet long, 60 foot beam and 32 feet deep. She will be de- livered in April. The other bulk freighters now under construction at the Lorain yard are the steamers CarL D. BrapLEy and AvucGust ZiESING. The former is practically a duplicate of the self-unloader W. F. Wuite. The latter is being built for the Pittsburgh Steamship Co., and is a duplicate of Parcny. Cart D. BrapLrey will be equipped with electrical equip- ment for operating the unloading ma- chinery. Both of these ships will be de- livered in May. The three other bulk freighters now under order will be built for M. A. Hanna & Co. They are 545 feet in length. They will be delivered during the summer of 1917.