Shipping Lines War With Lower Rates

Sun (Auckland), Volume II, Issue 442, 25 August 1928, Page 9

Shipping Lines War With Lower Rates

CANADA TO N.Z, BIG FREIGHT REDUCTION (United P.A.—By Telegraph — Copyright) (Australian and N.Z. Press Association) (Received 9.5 a.m.) MONTREAL, Friday. With the departure on Thursday of the steamer Baron luchcape to New Zealand ports under charter to the New Zealand Shipping Company, and the Canadian Conqueror, one of the Canadian National steamships, new freight rates representing a big reduc tion to shippers will be in force. There will he a general rate of five dollars a ton for first-class cargo. The New Zealand Shipping Company formerly charged as high as 25 dollars a ton. Though the amount carried between the Dominions is relatively small, the change is virtually a rate war. The Baron Inchcape is a steamer of 7,005 tons gross register. She was built in 1917, and her owners are the Hogarth Shipping Company. Limited. Representatives of the Canadian National Steamships said this morning that it was the intention of the Canadian Government to meet whatever rates are charged by the New Zealand Shipping Company. The rates were decided upon in Canada, and the Auckland office could say little other than the cabled facts. For the last eight years the Canadian Government had maintained a monthly service to New Zealand and Australia. This would be continued regardless of competition. It was not thought likely, however, that the drastic cut of 20 dollars would be maintained. The New Zealand Shipping Company expressed the view that the new rale concerned only the two vessels named. It was pointed out that this company was not alone in previously charging 25 dollars. This was also the rate required by the Canadian ships.