PANAMA CANAL TRADE.

Dominion, Volume 6, Issue 1604, 22 November 1912, Page 8

PANAMA CANAL TRADE.

■■■"— ' VIEWS OF:- SIR- JAMES MILLS. Tho rapid growth and increasing prosperity of the western'parts of Canada and the tfuitcd States greatly impressed Sir James Mills'..(managing director of tho Union Steam Ship Company), who passed .through Wellington yesterday, on his re-, turn, home from a trip to' England. Ho spent some time in the two countries, and noted that the development of .-the whole of the "Pacific slope" was very remarkable. Vancouver ,was growing very fast, and San. Francisco'.was, looking forward -to a great iboom in.-, shipping, as a result of the'opening of the Panama Canal., The territories in the western parts of both Canada and the United States .were generally looking across tho Pacific with a, view to the extension of their trade interests. , With regard to the effect' of tho canal upon Australasian trade, Sir James said it was early yet to express any definite opinion. The canal would certainly lead to' a groat development of • the trade 'of the' Eastern States of America, especially with.the Orient. There was little reason' to suppose that the trade between European ports and Australia would be much .affected, for the mileago would not bematerially reduced, and the canal would bo heavy. New Zealand was in a somewhat different position, because the distance would be -more markedly reduced. It was still -to be ascertained, however, whether the dues and other charges on trade through the canal would not counterbalance any saving owing to reduction in distance: The charges, under the Act governing tho canal, might bo from 3s. to ss. per gross toil; and if all coastwise trade was to bo free of dues it was brobable that foreign-going steamers would have to pay the maximum or -thereabouts.'.. Undsr tb« definition of coastwise trade, America treated Honolulu traffic as .coastwise; and Hie Coastwise Navigation Act also provided for the inclusion of 'ths. Philippines under the .*amo heading. At present, the operation of the 'clause was snsprndod, as far as the Philippines w:ere concerned, as there was not sufficient tonna-"* under th-S American flas available, and the tr?.d; was carried on by British .ships. There is nrovision in the American law providing that foreign ships.may be purcha«d and placed upon the- American register fcr the purposes of trading from American ports, through the canal to foreign ports, the Philippines. Saiiio'a, and other places. It is-expecW that this privilege will be made use of so that in time there will be enoujh ships on the American register to overtake the trade to the Philippines, when the Coastwise Navigation Act will be brought into force with regard to the islands.