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cents per man per day while on a British vessel the subsistence cost will be about 40 cents per man per day. Ona basis of an eleven-month year, this will result in an annual subsistence differential of $2310. A Substantial Cost Handicap On this basis the differentials for wages and subsistence for this type of vessel will amount to a total excess operating cost annually of $14,345 to be borne by the United States ship. This amounts to $1.75 per deadweight ton per year for the 8000 deadweight ton ship. Adding together the construction cost or capital charge differential of $3.33 per deadweight ton and the operating differential of $1.75 for S. 8. Pennsyl-anvia 20526 gross tons—Speed, 18 knots—Completed, Oct. 10. 1929— Sisterships, two—Sce MARINE REviEW for November, 1929, and April, 1930 S. S. Hxecalibur—9350 gross tons—Speed, the typical cargo ship under consid- eration, the total amount will be $5.80 per deadweight ton per year. This is the handicap with its nearest competitor under foreign registry which an American vessel of this type must meet. Conclusion of British Committee The conclusions of the British na- tional committee on the mercantile shipping crisis are as follows: 12 “To develop...and prosper,. in- ternational trade and commerce in all countries must have at its dis- posal the best possible ocean carry- ing power. represented by safe, effi- cient, regular, frequent and economic shipping services. : 2. “Such services can only be as- sured to international trade and commerce in a freight market, open to ships under all flags, that is free from the disturbing influences inher- ent to.. limitations or restrictions framed: to promote the interests of vessels under particular flags. 3. “For more than 50 years pre- ceding the war the accepted policy of all maritime nations was to leave to individual .enterprises the provi- sion, generally, of such international ocean transport service, and to lim- it grants in aid out of national funds 16 knots—Completed, Dec. 15, 1930— Sisterships, three—See Marine Review for February, 1931 to the maintenance of sea communi- eations on particular routes, the pro- motion of particular trade in which the nation had special interests, and to the provision of the particular types of vessels which would be of value to the nation in time of war. ‘Under that policy needs of the world’s international trade, through- out a period of vast developments and extensions in both commerce and shipping, were met and_ satisfied without imposing any burden on na- tional exchequers. ae ' 4. “Sinee the war it has been the policy of some of the maritime na- tions, at the cost of the state, to build and run ships under their own flags to compete with and displace ships under other flags in internation- al trade generally, and not merely to provide ships under their own flag for the particular needs of the na- tion. ‘Under that policy there has been brought into existence, at prodigious cost to national exchequers, a mass of shipping tonnage far in excess of traffic requirements. This dispro- portion is so great and has lasted for so long, as to render impossible the operation of the international freight market on economic basis. “Tt has, moreover, in great meas- MARINE REVIEW—July, 1933 ure, paralyzed the shipbuilding and ship owning industry under all flags. 5. “Shipbuilding is progressive, and international trade and com- merce to develop must be kept sup- plied with the most efficient carrying power that can be produced. Before the war, improved types of ships were constantly displacing, as welt as replacing old types, and the need for such process is now greater than ever before in view of the mass of shipping tonnage that was built in haste immediately after the war. 6. “So long as shipbuilding ship- Owning under all flags are left to la- bor under conditions that make their economic continuance an impossi- bility, the future of international sea transport is in peril. | “Those conditions are, in the main, the creation of direct and indirect subsidies granted to national ship- ping, and to premiums granted to national shipbuilding to enable na- tional ships to be built and run on an uneconomic )basis. 7. ‘There can be no return to sound conditions in the shipping in- dustry, and the future of internation- al sea transport can never be assured, so long as the uneconomic policies of government subsidies continue.” Wants Return to Pre-War Status From. these . carefully prepared conculsions, it is evident that the British national committee would welcome the return to the status quo in world shipping which prevailed prior to the war. It would like to have the rest of the world realize that allowing nature, more or less, to take its course is the best of all ways for the development of the shipping and commerce of the world, confi- dent that under the operation of such natural laws Great .Britain will be un- disturbed: as the great carrier na- tion of the world, Also that the rest of the world may depend on her un- selfishness and fairness to all com petitors in carrying their goods and nationals. in world commerce and have complete faith in the effective- ness.of the genius and initiative of 13