CANADIAN MAIL SERVICE

Taranaki Daily News, Volume LIII, Issue 205, 8 December 1910, Page 5

CANADIAN MAIL SERVICE

MELBOURNE ANTAGONISTIC TO NEW ZEALAND. By Cable—Press Association—Copyright. Melbourne, December 7. Mr. Hughes, replying to a Chamber of Commerce deputation which asked that in the new contract for the Vancouver service provision should be made for steamers to come to' Melbourne, said that the Government was very whole-heart-edly in favor of reciprocal trade with Canada. The situation was complicated by the position of New Zealand, which was also anxious to have speedy communication with Canada. New Zealand had a very satisfactory fiscal arrangement with Canada, and Australia had not. It would be an exceedingly shortsighted policy to plaes New Zealand in a much more favorable position than Australia, as she would be able, because of conditions with which Australia could not compete, to supply Canada's wants. Ships would be loaded with practically the'same class of goods from both countries. Their origin would not be distinguishable, but they would bear their different charges, and that would he a very serious bar to Melbourne. Mr. Hughes added that Mr. Fi-ber would be in London next year, and have an opportunity of meeting Sir Wilfrid Laurier and other Canadian delegates, and there would be a chance of reachins: an understanding which Mr. Hughes had no doubt would be approved by subsequent legislation. The new service, unless it was very much accelerated, could not include Auckland. It would have to be something more than a 22 clays' service to come to Melbourne, which would

mean a complete dislocation of the service. In fact, if vessels called at Honolulu, Fiji, Auckland and Brisbane, or Auckland, Brisbane, Sydney and Melbourne, it would require an entirely new service. It would be unwise to have slow steamers in order to save ,-£30,000 yearly, as the passenger trade was worth nearly as much as the freight. Auckland ought certainly not to be excluded unless her inclusion would not prejudice Australia very seriously. An eighteen days service would cost £105,000 a year, and what the Commonwealth's share would be would depend on whether New Zealand participated. Under any circumstances the present subsidy would be doubled.