AND SHIP NEWS Chairman O'Connor Explains Scrapping Plan Chairman O'Connor, when asked about the scrapping of vessels in its relation to maintaining a sufficient reserve for national defense and for commercial purposes, made the following statement: In April of last year a Committee of experts representing the War Department, Navy Department, Department of Commerce, together with representatives of the Shipping Board and the Emergency Fleet Corporation, after a survey of the government fleet, made to me the following report concerning this phase of the question, which corroborates my estimate of 400 vessels in operation; 400 in reserve, and 400 to be scrapped as useless: Active and spot ships First reserve Second reserve Surplus Cargo Vessels 360 187 112 521 Under the conditions outlined above, the following cargo vessels are in excess of the commercial needs and are not required in connection with the military services: Cargo vessels 10,000 DWT and above.. Cargo vessels 9,000 to 10,000 DWT. 3 27 Cargo vessels 8,000 to 9,000 DWT. 55 U. S. Beats The World in Tankers A recent survey of the tanker ships engaged in, or available for, handling the world trade in petroleum and other oils, and molasses, made by the Bureau of Research, United States Shipping Board, indicates that on June 1, 1925, the United States ranked first in ownership of this class of vessels, with 45 per cent of the gross tonnage and 39 per cent of the total ships. Great Britain was a close second, however, with 36 per cent of the gross tonnage and 38 per cent of the ships. The next countries in point of ownership were Holland and Norway with about 4 per cent each of the total number of tankers, followed by France and Italy with 3 per cent each, while Argentine, Germany and Japan each own approximately 1 per cent of these ships. Ownership of the remaining 6 per cent of the tanker ships was participated in by sixteen other countries. A list of the tanker ships and tonnage owned in the more important maritime countries follows: Under the assumed conditions this number of vessels represents a clear surplus which are not required for either the national or commercial needs of the county, which are expensive to maintain, which are continually detriorating and which should, therefore, be disposed of as early as practicable under whatever general policy may be adopted. A certain number of these vessels may be converted to Diesel drive but in such case the vessels so converted will replace others in the active or reserve fleets and therefore will not affect the total available for disposal. Old Dominion Line Booming The Old Dominion Steamship Company has announced that a second additional freight steamship would be put on the New York-Norfolk run. Last month it was found necessary to put the Jamestown on the run to handle the immense quantity of freight being shipping from Norfolk to New York. On June 23 the Hamilton was added to the run, and both ships will be operated as long as their services are necessary. With the Jamestown and Hamilton again in commission, the Old Dominion will have four ships on the New York-Norfolk run. The Robert E. Lee and George Washington will continue to handle as much freight as possible and will take care of passenger travel between Norfolk and New York. Aorangi Cuts Shedule 13 Hours Norton, Lilly & Co. announced last month that advices received from the Pacific Coast stated that the Diesel liner Aorangi, of the Canadian Australasian Royal Mail Line, on her recent trip northward from Sydney, Australia, arrived at Victoria, B. C., about thirteen hours ahead of schedule, notwithstanding the fact that she was delayed at Auckland for twenty-eight hours. The liner, therefore, made up forty-one hours between Auckland and Vancouver, averaging more than seventeen knots, which is considered an excellent performance over such a long voyage. Spain Belgium Cuba Other Countries Total All Export Vessels Carry Mail It was recently announced by American Export Lines, operated by Export Steamship Corporation, that all vessels of the line will carry United States mails to ports of the Mediterranean, Adriatic, Levant, Black Sea and Near East. An official of Export Steamship Corporation declared this is the first time that an American steam ship service operating to Italy has been named as a carrier of mails. The entire fleet of American Export Lines, this officer of Export declared, has been designated to carry mails to all ports served by the line. On the homeward voyages the vessels carry mail from Constantinople. The sailing dates of the various services operated by American Export Lines have been arranged for the fifth, tenth, fifteenth, twentieth, twenty-fifth and thirtieth of each month. McAllister Disagrees With Hoover Local steamship men, in commenting on the report from Washington that President Coolidge is considering placing the governments hips now operated by the Shipping Board, under control of the Department of Commerce, said that they were against such a move. Captain C. A. McAllister, vice-president of the American Bureau of Shipping, said recently that such a plan would be unwise. "It would be a fatal mistake to transfer the ships to the Department of Commerce," said Mr. McAllister. "It would mean the end of all constructive efforts in behalf of the American merchant marine. The Shipping Board, with all its shortcomings, is devoting its attention specifically to the interests of the merchant marine. This is a function which could not be performed by a subordinate of any government department." Elected First Vice-President of the National Association By electing Harrison S. Colburn, New York, as first vice-president at the annual convention last month, at Detroit, Mich., the National Association of Real Estate Boards showed excellent judgment. It has secured a ripe scholar, an experienced financier, an engineer, and an expert in real estate values. Mr. Colburn is well known over a wide area. His business ability, and identification with the progressive ideals of men in his profession have won for him deserved prominence, born of a confidence in his sound judgment and unusual clear-headedness. There are leaders and there are followers. Among the former Mr. Colburn has long been conspicuous, Ready For Belt Line No. 13 Through the passage of ordinances by the City Commission of Jersey City the last legal obstacles in the way of the physical unification and co-ordination of what is known as Belt Line No. 13, an integral part of the comprehensive plan of the Port of New York Authority, have been removed, according to a statement by the Port Authority. The ordinances give the consent of Jersey City to the crossing of streets south of Hoboken avenue, so as to permit of the laying of new tracks, allowing a more effective operation of the middle section of Belt Line No. 13, and a better interchange between the Pennsylvania and West Shore railroads. John Milton, of Jersey City, as special counsel represented the Port Authority in appearances before the Jersey City Commission. The physical work which has been held up, pending the passage of the ordinances, will now, it is expected, be rushed to completion with the result that in a short time Belt Line No. 13 will be operated as a complete entity, serving the manufacturing, warehousing and commercial establishments which have multiplied on the west bank of the Hudson in New Jersey for a distance of sixteen miles, and interchanging freight by direct connection with all the trunk lines whose tracks it crosses and touches. Would Abolish Shipping Board A movement to abolish the Shipping Board and transfer the Emergency Fleet Corporation to the Department of Commerce will be launched at the coming session of Congress. Representative Robert L. Bacon, Republican, of Long Island, who is a member of the House Merchant Marine Committee, announced in Washington on June 30 that he will introduce a measure having these objectives. The Shipping Board with its "politics and sectional jealousies" is one of the principal obstacles in the way of execution of the government's shipping policy, said Mr. Bacon, and the abolition of it will speed "the day when the government will be out of the shipping business." Before leaving Washington for a fourmonths' tour of the Orient to study Pacific shiping conditions, he said: "I am heartily in accord with the President's recent suggestion to the Shipping Board that the conduct of all negotiations for sale of government-owned vessels be conducted by the President of the Emergency Fleet especially in his chosen line--waterfront and industrial Corporation. This is a step in the right direction." Harrison S. Colburn, First Vice-President Elect of the National Assn. of Real Estate Boards real estate-where he has achieved an enviable success with a clientele that includes many of the largest industrial and railroad corporations of the country. A year ago Mr. Colburn was chosen as Chairman of the Industrial Division of the National Association of Real Estate Boards, which has just elected him as its first vice-president; for some years he has been a special lecturer at the Harvard Post Graduate School of Business Administration. Mr. Colburn's technical training and his experience as a banker and engineer especially qualify him as an industrial real estate specialist. Gracious Act of French Line Among those sailing on the French liner La Savoie leaving on July 2 for Havre, were 130 boys and twenty teachers selected as members of the French Government educational tour of France. The liner was convoyed down the bay by the municipal steamer Macon, with Pierre de Malglaive, general manager of the French Line; Capt. Joseph Perret, director of the French Tourist Bureau; seceral city officials and others on board. AND SHIP NEWS PLANTS Robins Dry Dock & Erie Basin, Brooklyn, N. Y. Tietjen & Lang Dry Dock Co. Hoboken, N. J. Tebo Yacht Basin Cc. Clinton Dry Docks, Inc. Todd Engineering, Todd Dry Dock & Tacoma, Wash. Todd Dry Docks, Inc. Todd Oil Burners, Ltd. THE HE value of shipyard service to you depends upon experience and location of plants. Todd experience covers all phases of building, repair, and conversion of ships; Diesel Engine work and Electric Drive installations; all problems of oil burning. Todd plants are all along the United States coastline. Todd engineers are in principal ports of the world ready to render the Todd standard of service TODD SHIPYARDS CORPORATION Ship Builders and Repairers-Engineers-Boiler Makers-Parsons Turbines Twenty-Two Floating Dry Docks Two Graving Docks Twelve Shipways TODD NEW YORK,U.S.A. THE AND SHIP NEWS PORT OF NEW YORK AND SHIP NEWS Published Monthly by THE PORT OF NEW YORK PUBLICITY CO. at 5 Beekman Street, New York ALEXANDER R. SMITH A. RICHARD AARNHAM Editor Advertising Rates on Application. Subscription $3.00 per Year in the Will Motor Trucks Solve the Freight Terminal Automobile Delivery and the Exporter Dry Docking in the Port of New York Unremunerative Skeleton Programme of 14th Annual Convention of Obsolete Ships as Breakwaters No. 7 3-7 8 9 10 11 12 12 12 14 14 Pennsylvania R.R. Orders Barges and Tugs New Clyde Liner Cherokee in Commission. 13 Aorangi Cuts Schedule 13 Hours U. S. Beats the World in Tankers Freight Transportation By Motor Trucks The feature article of this issue of THE PORT OF NEW YORK AND SHIP NEWS deals with the growing usefulness of motor trucks as a new unit for the transportation of freight. The speeches of Messrs. Lyford and Brosseau, experts in this line, and that of Secretary of Agriculture Jardine, last month at Chicago, bring out different features of this subject, and its relation to our highways, most interestingly. The general opinion at present seems to be that motor trucks are not and need not be rivals of the railroads and waterborne carriers, but are an aid, instead, in doing a large part of the short-hauling which is now done by railroads at a loss to themselves as well as shippers and receivers of freight. For the work of distributing freight in great cities motor trucks seem to be especially well adapted, because they can do it more expeditiously and economically than the railroads can. In fact, for several years the Erie Railroad has been doing its distribution. locally with motor trucks, and most satisfactorily from the point of efficiency and economy. So effective is it that other railroads are turning to motor trucks to relieve them of a part of the enormous cost of transshipping and distributing freight within the boundaries of the Port of New York. Mr. Lyford thinks the Port of New York Authority has devised the best plan yet presented in dealing with the matter in this country, through a series of inland warehouses with truck service to and from traders within zones tributary to the warehouses. The railroads have found that the use of motor trucks has minimimized the problem of transshipping and distributing freight within great centers of population in Great Britain, with reductions in cost almost unbelieveable. It should be possible to adopt methods here through separate motor truck companies that would solve our problem. The motor truck, like the automobile, is here to stay, and the very uttermost should be made of it in order vastly to reduce the cost of transshipping and distribu17-18 ting freight, which in the Port of New York is one of the greatest obstacles to the more rapid growth of its ship19 ping and commerce. 18 Admiral Palmer's Seattle Speech President Leigh C. Palmer, of the Fleet Corporation, made a most notable address last month at the annual session of the Foreign Trade Council, and shed a bright light on the processes of economy and efficiency now going on steadily in respect to Shipping Board ships. President Palmer claims to have effected reductions in the losses sustained in the operation of Government merchant ships in one year from $42,000,000 to $30,000,000, the next year to $24,000,000, and he predicts that during the fiscal year ending June 30, 1927, the annual loss will be further reduced to $18,000,000. He shows, too, that the consolidation of lines of freight steamships under a smaller 30 number of operators that were in competition with each other, or overlapping, has enabled him to dispense with 30 32 32 AND SHIP NEWS 20 ships without reducing the number of voyages through quicker turn-around in ports, and that 300 ships now actually carry more freight than 320 formally did. In the last 18 months President Palmer says he has effected reductions in the personnel of the Emergency Fleet Corporation with a saving of $2,000,000 and he expects to make still further reductions without impairing efficiency. "A little more than a year ago," said Mr. Palmer, "320 cargo ships were operated at a loss of $25,000 a voyage, last July the loss was cut to $20,000 a voyage and shortly after reaching below $17,000." He is confident "that the voyage loss can be reduced to $8,500 a voyage," and he adds: If and when this figure is reached the total operating loss of the cargo fleet may be set at $10,000,000 a year, exclusive of interest and depreciation charges. These last two items, which must be included of proper comparison is to be made with private interests, would increase the prospective voyage loss to about $13,500 a vessel. He refers to the growing age of our ships and the more and more pressing need of giving thought to replacement, in respect to which he says: Unless the Government can find a way to transfer the fleet to private ownership, the Fleet Corporation faces the prospect of having to spend about $30,000,000 a year continuously for replacement alone. Senator W. L. Jones, Chairman of the Senate Commerce Committee, lately has been having much to say about the need of considering the replacement of our ageing fleet. Mr. Palmer contines: To summarize, the United States faces three alternatives in respect to the merchant marine in foreign trade-first, continued Government operation costing ultimately $40,000,000 a year; second, Government aid to private shipping amounting to about $15,000,000 a year, or, third, the gradual but certain disappearance of our flag from the seas and a return to pre-war conditions, when less than 10 per cent of our foreign trade was carried in American ships. The voyage loss when the Government reaches bed-rock in saving costs Mr. Palmer places at $13,500 for cargo ships, including interest and depreciation, and he declares that private operation can bring this loss down to $4,500 a saving per voyage of $9,000. That is what it costs our Government--$9,000 a voyage on its cargo shipsbecause it lacks the courage to adopt a protective policy for the ships under our flag that engage in foreign trade. Mr. Palmer should have added a fourth to his three alternatives, that of discriminating import duties and tonnage dues, the policy that was in vogue in this country for 61 years, from 1789 to 1850, when American shipping in foreign trade was rapidly achieving the full mastery of the seas, and when more than 80 per cent of our foreign commerce was carried in our own ships without a dollar's expense to the Government-with substantial revenue to the Government, instead-just as comes from the operation of our tariff in respect to other American products protected against foreign competition. The country seems to be deadlocked on the METHOD or the POLICY of protecting our shipping in foreign trade. Congress refuses subsidies, and the executive branch of the Government refuses tariff protection. During the last thirty years Congress has scored three runs on discriminating duties, only to be put out at the home base. Our Polluted Harbor If every teacher in every class in every school in Greater New York were required to read to the pupils the statement of Mr. E. P. Morse, Vice President of the Morse Dry Dock & Repair Company, of Brooklyn, published elsewhere in this issue, and if every officer of the municipal government were also required to read it, maybe the Board of Estimate and Apportionment, with the aid of the State and the Federal Government, would put an end, and forever, to the pollution of our great harbor. That the sewage of from eight to ten million people should constantly pour into the Upper Bay of New York is a municipal outrage and an ever-growing menace to health. Will it be necessary for some great epidemic to decimate our vast population, because of this filth in our harbor, before the proper authorities take steps to remove it? that of Northern New Jersey as well, pours constantly Not alone all of the sewage of Greater New York, but into our Upper Bay. Add to that the flushing of our streets into our sewers and the filth becomes still more menacing. It seems as if the municipal authorities were bent upon getting as much filth into our magnificent harbor as they can-instead of keeping all of it out, as they should. What Mr. Morse says about the actual cost of drydocking ships here is worthy of attention. He says it costs 14 cents a ton, to dock a ship, whose owners pay 5 cents a ton for her docking. This is due to one drydock company seeking to ruin others by putting the cost of drydocking so ridiculously low. Think of all vessels being docked in this harbor for 9 cents a ton below the actual cost, because of difference between drydock owners! Because of the filth constantly pouring into our harbor, making it one gigantic cesspool as Mr. Moorse very accurately describes it, more frequent dredging of slips between piers and under drydocks becomes necessary, and so piles up the expense of drydocking still higher, besides forcing ships, occasionally, to go elsewhere for docking. So, the sewage and other filth constantly pouring into the Upper Bay not only menaces our health but our commerce. The Board of Estimate and Apportionment should give this great ulcer its immediate attention and the remedy for it should be applied at the earliest possible moment. Hog Island Ship Yard to Be Sold The Shipping Board on June 3 directed the Emergency Fleet Corporation to advertise the Hog Island Ship Yard for sale. No date has been set as yet for receiving bids for the property. The sale is to include the real estate and whatever equipment is attached to it. Hog Island cost the Government about $66,000,000 and originally covered more than 900 acres. The board's action is understood to be in line with the general policy of liquidating Shipping Board property as rapidly as possible. |