AUSTRALIAN MAIL CONTRACT.

Dominion, Volume 1, Issue 50, 22 November 1907, Page 6

AUSTRALIAN MAIL CONTRACT.

The new mail contract between tlie Orient Company and the Commonwealth Government, which is to-day reported to , have been ratified by the Federal Senate, marks a very important departure in the relations between a Government and its ocean mail-car-rier. The contract is notable, not so much by reason of any special improvement in the matter, either of terms or of speed of transit, as on account of the conditions laid down. The new arrangement, providing, for a seryico flf ten years from February, 1910,

will effect a saving of two days and a half on the present twenty-nine days' run between Brindisi and Adelaide, hut it involves an expenditure of £170,000 per annum in place of the £146,000 now paid. For this extra expenditure the Commonwealth Government has secured a very ample return in the shape of desirable, conditions. The service is to be supplied by new steamers of improved design, of large tonnage, and ample insulated accommodation for perishable cargo; the vessels are to be manned by white labour: the rates for perishable freight are not to exceed fixed limits; the vessels are not to be allied with any illegal combination; and, last and most important of all, the Commonwealth Government is to have the power of purchasing the steamers. In every way a highly advantageous bargain has been made by the Commonwealth, and one which means that the credit of Australia is high and the prospects of its commercial progress bright. The immediate interest of the arrangement to this country is the shortening of the mail-journey home. But in another way the contract is of even greater interest to New Zealand. While Australia is committed to such a heavy expenditure, it cannot be expected that she can contribute as heavily as is expected to the "All-Red" service which Imperialists everywhere are hopeful of seeing established before very long. The contract does not, however, put the "All-Red" route out of court, for it is easily conceivable that the Federal Government may use its option of purchase as one way of taking part in an "All-Red" project.