THE DIFFERENTIAL TARIFF.

North Otago Times, Volume XXVI, Issue 1886, 13 May 1878, Page 2

THE DIFFERENTIAL TARIFF.

Tho following correspondence relative to Uio grievance as to ilio South Canterbury railway tariff, han b3en handed to tlio ''Daily Times " for publication :—: — Public Works Office, Wellington, 2nd May, 1878. Sir — Referring to tho subject of tho recent correspondent- o which has taken place bctwean us relativo to tho reduction in tariff rates between Timrtru and Lyttolton, I have the honor to forward a copy of the explanation received from tho Commissioner of lliilways for the Middlo Island, from which it will bo seen that my surmise as to tho reasons which led to tho reduced tariff was correct, and that but for such reduction a. large amount of money would havo boon lost to tho railway. It wonld appear, from a return furnished by tho Department, that up to the 20th of last month the earnings received in respect of freight between Timaru and Lyttelton — which, but for tho reduced rate, would havo gono by sea — were L 1729 8s 9d, a very im» portant item in the railway receipts for the time being. While the Government have no desire to see any one port in the Colony handicapped in favor of any other, it will be manifest that wo should not be justified in foregoing such an amount as that named, and also that in the capacity of a public carrier there must arise numerous cases in which tho railway will bo compelled to compoto with vested interests. In this case I was glad to bo assured by the manager of tho Union Steam Shipping Company that tho reduced tariff has not affectod its receipts. In other words, tho increased growth of produce this year has been such as fully to OysWaftU raiui!" vi " " '' '' " Ml I would only add that tho Government concur in the concluding paragraph of the Commissioners' Report, and hope that when tho line is opened right through to Dunedin the tariff may be arranged on such a basis a3 will place all parties as much as passible on an equality, I have adressed a similar letter to tho Chairman of tho Chamber of Commerce, Timaru. — I have, &0., J. Macandhew. The Chairman of tho Chamber of Commerce, Dunedin.

Public Works Office (Constructed Railways), Christchurch r April 12, 1878. (Memo for tho Hon. Minister for Publio Works, Wellington.) Tho solo object of tho special rate gazetted on the 1 2th February last, for the carriage of grain and wool between Timaru and Lyttolton, was to secure tho traffic that would otherwise have been sea-borne between theso ports. Tho result is a very largo increase of traffic in grain and wool, with consequent benefit to tho railway. The reduced rate ha* also enabled the Christchurch grain merchants to purchase- extensively in tho Timaru district, and has no doubt diverted a deal of this traffic-, that would have gone via Oamant to Port Chalmers. Tho present rate to Oamaru is nearly the same as to Port Lyttelton, although only half tho distance This, of course, has resulted unfavorably to this department. Tho Christchuroh grain merchants having made largo purchases in th« Timaru district, mainly on the strength of tho reduced rate, I think it would bo very unjust to effect any alteration during the present season, and it is quite evident that, excepting under very special circumstances, tho rates cannot b<? reduced in ono locality without creating a strong publio feeling in other parts of tho Colony. As the lino will shortly bo opened through to Duhoriin, I would recommend that all the rates Ims reduced for long distances, to such a degreo as to secure a fair portion of tho through traffic. * (Signed) W. Conyers, Commissioner of Railways.