PACIFIC SHIPPING

Hawke's Bay Herald-Tribune, Issue 123, 10 June 1937, Page 5

PACIFIC SHIPPING

-Press Asan.

Hope of Agreement Being Reached TWO NEW LINERS

(By Telejjraph-

— Copyright.)

(Beceivea y.au a.m.) LONDON, June 9. The committee of the Imperial Conference dealing with trans-Pacific shipping, met immediately after breakfast tp endeavour to make headway and avoid the possibility of the diseussions , extending after the termination of the Conference. There was every hope to-hight that agreement was within reach to construct two 22,000-ton liners for the trans-Paeific route, costiqg approximately £3,000,000, compared with the original esfcimate of £2,500,000. The Australian Associated Press' political correspondent understands that diseussions took a more favour'able turn after the delegates had conferred with Sir Edward Beatty. Agreement would dnvolve a compromise regarding' the British and Dominion Governments' finaneial guarantees. to shipping companies, probably necessitating in each case a somewhat higher contribution than wajj tentatively suggested in Britain 's memorandum submitted to the Pominions as the outcome of the Imperial shipping committee 's report. The new vessels would be financod by the Government the same as the Queen Mary, for which purpose a Bill would be passed at Westnnnster authorising the Treasury to advance up to £9,500,000. It as believed each Dominion will have to pass separate legislation. Sir Edward Beatty, chairman of the Canadian Paeifie Steamships, who arrived at Southampton on Monday, says that if England, Australia, Canada and New Zealand agreed to subsiidise Pacific fhipping, he would order two 22,000-ton liners, which he would have Teady for the Australia-Canada service m the winter of 1939-40. "We must build new tonnage or lose a vital lmk in Imperial trade," he added.