THE MERCANTILE MARINE.

Taranaki Daily News, 26 June 1917, Page 6

THE MERCANTILE MARINE.

STATEMENT BY ME. MASSEY. By Telegraph.—Press Association. Auckland, June 25. Speaking of the maintenance of our mercantile marine and the supply of shipping space to New Zealand, Mr. Massev said: "Shipping is the big trouble of the day, and the difficulty in supplying tonnage is owing to the fact that Britain's mercantile marine is doing the work it had before the war with a smaller number of ships. Trade has consequently .been cut down in all directions, and fffew Zealand suffers more than other countries because 'it is so far away from the great markets of the world. In supplying foodstuffs, etc., for the army, we are at a disadvantage when compared with other countries in that we are twice the distance away from the centre, and countries which are nearer can fill the needs of the armios.

"It is impossible for me to go into details at present in connection with shipping, but we have done all that is possible to keep trade going, and our efforts have met with a certain amount of success. Tho future depends on the submarine campaign'. Once this is overtaken neutral ships will enter the fields of trade again and help in reviving those trades which have suffered by the shipping shortage. At the present time neutral ships will not leave their ports owing to the submarine warfare. Once this is overcome a change will come. The overcoming of the submarine problem will no doubt take a little time, but the Germans cannot starve Britain and cannot keep supplies from the armies. "Matters which have engaged our attention have been the sale of New Zealand produce, such as wool, cheese, hides, meat and skins. Other questions have been thoso relating to New Zealand soldiers. The Imperial War Cabinet and tho Imperial War Conference occupied a great deal of our time." ' OPPOSING THE COMBINE. MINISTER FAVORS STATE OWNERSHIP. Wellington, June 25. Commenting on Sir James Mills' cabled statement regarding the Union Company, the Hon. G. W. Russell says lie is satisfied that, given a. satisfactory financial scheme, the people of New Zealand favor the State assuming the place of the : P. and 0. Company, and making the Union Company a national concern. The Government has not been inactive. The fusion of tlie two companies' interests. he believed, was not yet complete!!, and the full Cabinet will meet at an early date to discuss the positon. Mr. Russell said he realised that the Union Company did not carry our produce to the Mother Company, but with all its offices and equipment established, the addition of ten or twenty State-own-ed steamers would present little difficulty, and competition might be necessary to steady freights. If the control of the Union Company was allowed to pass to the P. and 0. Company Ave should have to fight that company as well as the Union Company if the State should embark in a shipping enterprise. The Minister said he wanted to emphasise that point, and also quoted the precedent of Government intervention ill the case of the Bank of New Zealand, which resulted beneficially i< ties.