AUSTRALIAN MAILS.

Dominion, Volume 1, Issue 44, 15 November 1907, Page 5

AUSTRALIAN MAILS.

AGREEMENT IMMINENT. AWAITING ORIENT COMPANY'S FINAL WORD. BT TELEGRAPH—PRESS ASSOCIATION—COPYRIGHT. Melbourne, November 14. Mr. Deakin, Federal iPromier, has announced that the Government are only waiting information on one point before concluding negotiations for tho mail contract. It is understood a draft agreement has been .completed. Tho Orient Company is waiting the endorsing of a cablo message from tho directors, when the contract will bo signed. Bosidos the rate concessions for the carriago of produce tho Government have obtained improved general conditions for produco. When tho new contract comes into operation in 1909, mails will bo landed at Brindisi instead of Naples. THE ENGLISH MAIL CONTRACT. (from oub special correspondent.) Sydney, November 9. A difficulty has occurred in the negotiations between the Federal Government and the Orient Company for tho new contract for tho convoyanco of tho English mails; and though tho obstacle which ha 3 arisen is not vital, it has proved serious onough to delay the final settleinont. Tho Government wishes tho company to break away from tho agreement with tho other five ocean lines regarding the buttor rates, and tho differentiation in tho cost of freight to those who ship partly by tho Federal-Houl-derahiro line. Tho representatives of tho Orient Company could not consont to the proposal that this differentia} rato should bo abandoned, since they consider fthat that would be equivalent to a broach of faith with tho P. and 0. and othor companies 1 associated in this agreement. Henco, negotiations have boon temporarily suspended. But it is believed that ovon should the company insist upon its presont attitudo, it will still get the contract, as tho Go.vernment will givo way upon the point. Tho Orient Company, whilo retaining tho Orontos and two others of . its present boats in tho service, will build five now steamers as soon as the contract is signed. It is to have tho right to land mails at either Brindisi or Naplos for transmission to London: but it will continuo calling at Naples, ana may lator on follow tho oxamplo of tho P. and O.vCompany in organising a fast packet sorvico between Port Said and Brindisi. Tho amount of the contract will not oxcccd £175,000. Brisbano will remain ono of tho ports of call. An important dovolopment may follow tho ; signing of the contract in tho inci'easing of tho Oriont Company's capital and tho issuing of shares in Australia. This will givo Aus--1 tralians an opportunity to acquiro shares in the company, and so tho Orient will bo tho 1 first of tho big mail linos to become asso- , ciated in a proprietary sense with the Com- ! momvealth.