The Daily News. TUESDAY, MARCH 1. THE PANAMA CANAL.

Taranaki Daily News, Volume LII, Issue 327, 1 March 1910, Page 4

The Daily News. TUESDAY, MARCH 1. THE PANAMA CANAL.

There are many speculations as to the changes that will follow the completion of the Panama Canal, work on which is being energetically pushed forward. It is expected (says an exchange) that five years will see tills great enterprise completed, and a new •waterway between "the Atlantic and Pacific Oceans will be available ior shipping. The result must inevitably he an alteration in the balance of commerce, but it is extremely doubtful whether the South Pacific will receive any great or immediate benefit from the opening of the canal. From the point of view of the United States the work is one of stupendous importance. The easy means of communication between the East and the West coasts and the shorter route from the Eastern ports to the Philippines and the Far East must be of incalculable assistance to American trade and commerce. So far as New Zealand is concerned, however, the benefits are problematical. Mr John Duthie, when in Parliament, secured the preparation oi a return giving the distances from Great Britain :o New Zealand, via Suez, Capetown and the Panama Canal. That showed that there was no advantage in the Panama route after the heavy dues involved had been paid. With regard to this latter poftit a Wellington merchant, Mr. Harold Beauchamp, who has made a study of the probable results, says that the cost of the canal, at four per cent, per annum, would mean an annual interest charge of £3,200,000. It is, therefore,

quite probable that for some years the canal will only earn working expenses, and the burden of the interest payments will have "to be met. Mr. Beauchamp says that so far as we in Australia and New Zealand are concerned, and Australia in particular, the difference in the distance, via Suez and Panama, and the consequent saving of coal, puts the Panama route entirely out of the question. As to New Zealand, the difference in the distance between the two routes is only about 1500 miles in favor of Panama. That is only equal to about three daj s' steaming, but ships will have to pay more for their coal and they will also lose a considerable amount of valuable cargo, and a great number of passenger? whom they pick up at the way ports. In travelling from Europe to Australia and New Zealand these boats pick up a large quantity of cargo in the Mediterranean and other ports, and this would be completely lost if vessels went via Panama. For many years, therefore, passenger steamers, will probably prefer to go via Suez rather than through the canal. Thus it does not appear that New Zealand is going to gam very muc9i in the immediate future, taut, of course, there may be some benefit in trade with the East Coast of the United States.