AUSTRALIA'S FUTURE.

Dominion, Volume 6, Issue 1614, 4 December 1912, Page 8

AUSTRALIA'S FUTURE.

EFFECT OF PANAMA CANAL. By Telegraph—Press Association-Copyright Sydney, December 3. The State Governor (Lord Chelmsford) opened the new and commodious headquarters of the Chamber of Commerce. In referring to the opening of the Panama Canal and the development of trade with the East, his Excellency Eaid that Australia, owing to its strategic position, should havo a commanding place in the commerce of the Orient aud perhaps that of the wost coast of South America.

PANAMA AND OURSELVES. A HANDICAP ON BRITISH TRADERS. The London "Times" remarked recently that tho opening of the Panama Canal for traffic will result in a shifting of trade routes comparable only with tho effect produced by. tho closing of the Eastern channels of trade by the capture of Constantinople' by tho Turks in 1453. That event was the impelling cause of the discovery of America. It led swiftly to tho decline of the Mediterranean States and to the beginnings of the rivalry for world dominion among the Atlantic Powers. The opening of the Suez Canal in 18G9 marked an important epoch ill maritime and commercial history, but its effects on trade routes, communications, and economic developments will bear 110 comparison with those, which are certain to result from, the piercing of tho "waist of the world'" at Panama. The opening of the Suez Canal was a competitive disadvantage to the United States. Tho Panama Canal will more than readjust the balance when that country acquires a mercantile marine enabling fieT to reap the benefit. The most obvious result of providing a waterway through Central America will be ■ to reduce the distance between New York on the Eastern and all ports on the Western 6eaCoard of America, north of Panama, by the pretty considerable figure of 8415 miles. The voyage between New York and the Pacific ports of America, south of Panama, is reduced by an average of 5000 miles. Substituting Liverpool for New York, the reductions in those two eases are 6016 miles and 2600. So the United States stand to gain very substantially in these respects.

Effect on Australasia. How will the new canal affect the position of Liverpool and New York with regard to the. Asiatic and Australian trade? Before the Suez Canal was opened (1869) tli© route to Asia aiid Australia both from Liverpool and New. York was via the Caps of Good Hope. This gave Liverpool an advantage of 180 miles for Asiatic, Australian, and East African ports. But ■when the Suez Canal was made this advantage, lengthened out. at once to 1924 miles, a net, competitive gain of 1444 miles, in respect of Asiatic ports. In the case of Australia, Liverpool obtained • a net advantage of 1142 miles, the voyage to Australia from New York being still made via the Cape of Good Hope. Now, what- will be the effect of the Panama Canal on this situation? So far as the Atlantic coast ,of South America, Africa, and Asiatic ports south of Shanghai are concerned, the relative distances of Liverpool and New York are unaltered. But New York is brought at once very much nearer than Liverpool to Yokohama, Sydney, Melliburne, and New Zealand. A brief table given by Dr. Vaughan Cornish in his book, "The Panama Canal and its Makers," is well worth considering by British Imperialists. Nearer to New York ; than to Liverpool by '• Yokohama. New York via Panama, San Francisco,' and ' Great Circle ■ 9,835 Liverpool, via Suez, Aden, Colombo,' Sin- 1,805 miles gapore, Hong-Kong, . . - and Shanghai- 11,640 Sydney. New York, via Panama and Tahiti 9,852 Liverpool, via Suez, Aden, Colombo, King 2,382 miles George's Sound, Adelaide, and Melbourne 12,234 Wellington, N.Z. New York, via Panama and' Tahiti 8,872 Liverpool via Panama . 2,759 miles and Tahiti 11,631 From a British Imperial point of view this, tremendous shrinkage of space between the Australasian Dominions and the great American Republic is significant and important. Eastern Canada is, of course, brought proportionately nearer the southern Dominions of the British Empire, but the cold fact remains that Australia and' New Zealand, which ara now more than 1000 miles nearer liverpool than, the Eastern seaboard of the United States, will in• a very short time be brought nearer to New York than to Liverpool by about 2500 miles.