RAILWAY FREIGHT RATES

Dominion, Volume 21, Issue 124, 23 February 1928, Page 12

RAILWAY FREIGHT RATES

REDUCTION TO PALMERSTON NORTH MEETING MOTOR COMPETITION At last night's meeting of the Harbour Board, the chairman (Mr. J. G. Cobbe) said a letter had been received from the Railway Department notifying a reduction in freight rates from Wellington to Palmerston North of from 6-ls. 2d. to 425. (id. per ton for consignments of three tong or over, and to 525. 6d. for consignments of less than three tons. The Department also stated it had withdrawn the restrictions formerly imposed on carrying companies preventing consigning on one note parcels of goods for different, consignees.. The chairman said this action by the Department must bo a source of gratification to the board. Mr. G. Mitchell said it was the practice of the Railway Department to meet the competition of road traffic bv reducing freights in particular areas. It was really due to the efforts of the Wellington Harbour Board that tlie reduction in railway freight rates to Palmerston North had been made. Some time ago another considerable reduction in railway rates to another port had been made, and it was due to the board that Wellington should have the same railway facilities in regard to freight rates as was granted to that other port. Captain F. A. Maeindoe said the Railway Department should bo consistent and should grant tho same privileges of reduced freights all over New Zealand if it really wished to meet the competition of motor transport. Mr. C. IT. Chapman agreed that the question should be looked at from a national point of view. The success of any transportation system depended vrey largely on tho service given. The Railway Department must give better service than it had given in the past if it wished to keep up to date, and it must meet competition by reduced rates. He thouglit the Department had given evidence of that intention by its reduction of rates between Wellington and Palmerston North. Mr. T. Moss said the board had always tried to work with the Railway Department by offering inducements for goods to come to the port of Wellington. The board decided to send a letter of appreciation and thanks to the Railway Department.