OCEAN FREIGHTS.

Dominion, Volume 6, Issue 1604, 22 November 1912, Page 3

OCEAN FREIGHTS.

AN UPWARD TENDENCY, THE BOOM- IN '"TRAMPS", "Do you think tho present high rates of freight prevailing- in soino of the oversea trades are likely to continue?" was a question submitted to Sir James Mills, managing director of tlio.Union Company, in the course of an interview with a representative of The Dominion yesterday. "I am of opinion," replied Kir James Mills, "that the high rates will prevail for some time yet. Rates of freight in many of tho oversea trades have been gradually going up for the past year, until now, in many cases, especially from wheat and timber ports, they have advanced 50 per cent, within the year. This means that the profits made by tramp steamers are exceedingly good, and the selling valuo of ships of that type has increased in proportion to the increase in freights'. The cost of building ships has also increased enormously, owing to the unsatisfactory position in regard .to labour, to the advance in wages in the ship-building trades, and to the increased cost of tho production of steel. The cost of building certain classes of 6hips has advanced over 30 per cent, during tho last year, while owing to the Quantity of work offering and the difficulties ■with labour, there is great doinaud for delivery. "The. owners of tramp steamers have boon reaping a very fine, harvest," continued Sir James Mills, "and it seems likely .that they will continue to do so. Liners—steamers in regular trades—have not printed to the same extent; in many cases not at all, for, having contracts in hand for their customers, they have not been able to advance rates materially, whileon the oilier hand they are feeling the effects of the increased cost in wages, materials, and supplies. If the present state of affairs continues in regard to tho cost of building and operating ships, it will be necessary for line-owners to exact increased rates on all lines of trade in the near future."