THE MORNING OREGONIAN, THURSDAY, JANUARY 1, 1920.
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PORT OF PORTLAND ACTIVITIES EXTEND TO DEVELOPMENT OF SHIPPING LINES
Commission Has Authority to Invest $15 ,000,000 in Ocean and Inland Systems and $3,000 J000 as Bonuses Community-Owned Company With Numerous Stockholders Is Urged as Means to Solve Problems
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L r&L- j ( COLUMBIA AND WILLAMETTE RIVERS
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M. If. Hon.er, Chairman Tort ol II - - '- - i 'I - . , Vt&'M n 'I I
Portlu.dComnl.alo.. S3 ' W 3 '.- lV i - , I I
THE functions and activities of tha J , I- 1 W , NX I - , - . ' !
Port of Portland commission In I I s - , A, Kta- ? 1 - ,f , - s - - II I
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By
the past have been confined more
particularly to the physical accom
modation of shipping the matter of
towage and providing: a water way
for Portland shipping:, working: in
conjunction with the United States
engineers. As a result of this joint
effort the channel between Portland
and the sea has certainly been 1
proved tenfold, having been increased
from a depth In many places of 12
feet to a depth of 28 to 30 feet and
the bar at the mouth of the Colum
bia river from 19 to 42 feet, or. a
depth that Is equal and superior to
the foremost and leading harbors of
the world.
On the completion of the north
Jetty, with the assistance of the
dredge "Chinook," there was an un
usual improvement to the bar and the
Conditions there are continually
growing better. It would seem with
the wonderful improvements made
that the work and activities of the
commission in that direction were
practically finished. This no doubt
would be true were it not for the
fact that the size and draft of the
world's ships have increased to a
considerable extent In the meantime.
Therefore today, the entire commis
sion is of one mind, namely, that the
channel between Portland and the sea
should be materially increased in
oom uepm ana wiam to accommoaate
the larger ships In the world's com
merce. We have all read Colonel Slattery's
remarks on his report to the board
of United States engineers, recom
mending a 30-foot channel, 600 feet
' In width. This is a step in the right
direction, but should by no means be
final. It is the aim and ambition of
the entire commission that when the
600-foot channel is obtained, we must
continue to work for the 35-foot
channel for at least a width of 300
feet, as we feel that with a 35-foot
channel, regardless of the usual shoal
ing due to the spring freshets, we
will at all times have at least 32 to
S3 feet, and we feel that with the as
surance of this depth we can always
accommodate steamers drawing 30 to
81.8 feet and thus accommodate prac
tically all shipping of the world's
commerce with a very few if any ex
ceptions.
Commission Will Aid.
Co assist in bringing about these
renditions It is the aim of the com
mission to improve the Willamette
i on Its own account from Portland to
lite confluence with the Columbia,
along similar lines and then if need
JJrefye Willamette at North Portland JJarbor
Portland Built Steel , Steamer in ardor
Th1 A-frJut S'udie
liave ample water depth for eight
months of the year and in the days of
the "tramp." present conditions served
well enough, but as the commission
forecasts the future shipping, it is
going to go more and more toward
established liners and it is needless
to say that the channel and harbor
conditions must be uniformly good
for the entire 12 months In order to
accommodate this class of shipping.
During the past years the port
inaugurated a plan of co-operation
with the United States engineers,
which is now in operation of mass
ing both the government and the
. port's dredges w h e n necessary
promptly to reduce shoals. The com
bined capacities of these plants is
really enormous, being about 90.000
cubic yards in an ordinary working
day. To state this in another way,
this fleet of dredges is able to remove
a shoal of five feet 300 feet wide and
1700 feet long in a single day or
nearly two miles per week.
It can readily be seen and under-
' stood that a 500-foot channel of 30
feet depth with 300 feet of it to 35
feet -depth at the time of dredging
seems reasonable, practical and well
founded, for, on following the chan
nel map from Portland to the. sea, it
is apparent that three-fourths of the
distance of the channel already has a
depth of 3o feet and over, leaving only
continuing the towage service be
tween Portland and the sea, carrying
of pilots to and from vessels out
side of the river's entrance and this
work will be continued and added to
as the requirements call for it.
It has also operated a 10,000-ton
dry-dock at Portland for the past
15 years. The vessels requiring dry
dock facilities have been promptly
taken care of. During the past year
there has been some congestion, due
to a large number of new vessels
that were constructed in the Portland
yards being docked for various pur
poses before delivery. This work for
the time being is practically finished
thus making facilities ample for
with the exception of four or five,
which have been allocated on a
rather Indifferent oriental service. It
will be some time at least before they
are again seen in our harbor.
Therefore, It becomes necessary
and imperative that the citizens of
Portland meet this situation In the
same spirit 'as they met our govern
ment's call in the war and liberty
loan, as the needs of our. local ship
ping conditions are almost. If not
quite, as serious as those of our coun
try at the time we entered the war,
and unless we. ourselves, or some
one, makes use of the facilities al
ready created and which have cost
millions, the money will have been
ready $1,000,000 has been voted for
this purpose. .
A well organized and equipped
steamship line, adequately financed,
could be successful here as well as
elsewhere. Conditions for progress
and activity in trlis line have been
uncertain to say the least, and It Is
to be hoped that the definite policy
of the shipping board will soon be
settled, for while these unsettled con
ditions exist, it is perplexing to all
shipping people as ta just what move
to make. But," in the meantime, it
would seem the logical thing to do
would be to create a local company
and five times the pre-war basis of
valuation. It is quite another matter
and entitled to the most serious con
sideration. Recently there has been in the har
bor what Is known as a fabricated
ship, which was lately purchased by
anteed price, which Is based on a fS lines that are asking and exacting
freight rate from here to the At- what appears to be extraordinary
lantlc. This condition will soon ter- hiffh freight rates.
minate during the coming May or The world's commerce for the pre
June. It then becomes necessary for ceding 20 years before the commence
the forwarding of our various prod- ment of the great war had increased
ucts. including wheat, flour, lumber.
the owner at something like $105 per fruits, etc., that there should be es-
ton dead weight. This by no means tabllshed in the meantime ample
could or should be taken as a market shipping facilities.
value of ships; but. at the same time. Unless these are provided, we will
It points out clearly a possibility. If have to depend on railroad service
not a probability. across the continent that almost rom-
... ' . , pletely broke down during 'IS anil '17
Allocation I. Solution. .hen calIed upo to mov6 tnls
Therefore for the present emer- unusual amount of freight. re-
hy leaps and bounds, largely on ac
count of the cheaper and more rea
sonable freight rates. Therefore if
the Port of Portland should commit
Itself to jl policy of guaranteeing
bonuses to the various lines that are
asking or exacting unreasonable
freight rates, we would only be lend
ing our resources towards perpetuat
ing a condition that will sooner or
say with a capital of at .least ency. as stated before, and until the suiting in almost complete stagnation later stifle the world's commerce, as
. F.wV,, . aS8,8t and' co- one-fourth of the distance requiring
- " w.,...0u substantial improvement
neers on the Columbia In addition to the river improve-
- v. i...,. .1 me presem we ment work mentioned., the port is
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$5,000,000. fully subscribed, but i!i ia .,i,.i., of the lumber and other industries
present needs. The construction of expended in vain, if not dissipated, which, for the time being, need not ,,. QtMihrt H n a and- ln many instances, reducing the
another drydock by the dock' com- 11 wouia seem, iouy to continue tnese all be paid In, so as to be ready for " . " price of wheat to the grower from
mission will undoubtedly take care of expenditures unless something is done any condition of emergency that may more stable basis, with the formation 10 to 15 centB per bushel on account
future drydock needs for some time l" ul iiibih. ii e uepena arise.
to come entirely upon-others, we will have to We have read and heard a great
await such time as ships again are deal of various ideas as to how the
Kew Era at Hand. .seeking the cargo. In the meantime shipping board may and should dis-
We hare come to what might be we w111 continue, to lose our prestige pose of Its some 1500 seagoing ships,
termed a new era In oort work The by the diversion of shipments to and and there is a serious doubt In the
termed a new era in port work. The throwfrh other ports which wlu bo mlnd3 of many shipping and financial
Fort of Portland and the city, doubly hard to regain. - - men as to th nosalhllltv of Hsr.nt.ine-
legislation during tne past two
years has authorized the Port of
Portland to undertake large actlvl-
Notwithstanding the work done and tles in the building up of our ship-
... ping. The Port of Portland Is tu-
the money expended, we are confront- thorized. If need be. to Invest $15,000,-
ed with almost an entire absence of 000 in ocean and inland water lines,
shipping. , On the completion of ships It has also been authorized to expend
which have been constructed on the un to $3,000,000 In bonuses and truar-
Willamette and Columbia rivers, they antees of certain kinds to encourage pre-war values and I think in many
have been forwarded with cargoes to and assist in the establishment and lines this is a fair and conservative
the Atlantic and distant seas; and. maintenance of shipping lines. A1-. estimate. But when It comes to four
through the dock commission, have
expended millions in equipment and
the creation of shipping facilities.
of a local company, as stated, (Bay
having, thousands of shareholders
representing the entire community)
we should be in position to go to the
shipping board for a proper and rea
sonable allocation of ships, either by
chartering outright on dead weight,
or allocation for operation as is now
being done, with enough ships to es
tablish and maintain a reasonable
service to. various parts of the world
on which we could demonstrate be-
of by selling, even on deferred pay
ments, the larger part of this vast
fleet.
There is also much variation of
opinion as to the exact valuation of a
dead weight ton of shipping. In theyond a reasonable degree of success
measurements of valuation, we have
become accustomed to easily adding
100 per cent in many instances to
and fair returns.
Development in this particular line
has been considerably interfered
with on account of the shipping
board's rate on our wheat and flour
products, reflecting the $2.20 guar-
of this congestion. This same ratio
undoubtedly held good in all farm
products and manufactured articles.
Therefore, the matter of maintain
ing ample shipping facilities Is as
vital to the grain, fruit and livestock
grower, as it is to the manufacturer
and merchant. In fact, in one way
or another, transportation stagnation
will paralyze to some degree the in
dustries of the entire northwest.
Extreme Care Keesaary.
As pointed out. extreme care murt
be exercised to avoid the purchase of
an undue amount of ships until we
have some assurance as to Just what
is a fair and staple price. I wish fur
ther to point out the danger ii. guar
antees and bonuses to various foreign
it Is beyond economic conception how
we can again continue and increase
'the worlds commerce at four and
five times the pre-war freight rates.
Today, at least, many of these
problems are beyond the layman. In
the meantime, as stated before, to
meet the emergency and the necessity
for ships, something must be -done.
The commission feels that with the
creation of a local organization, hav
ing the support of the entire com
munity, by using due precaution In
its activities, under an experienced,
operator, it can consistently commit
the Port of Portland to grant during
the early or pioneering stages, a
bonus or guarantee to , the stock
holders of an amount that would pre
clude the possibility of any financial
loss. With this co-operation there
should be o hesitancy in subscribing
the amount needed towards solving;
our shipping problems.
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TRADE
j Figures Given Out by Chamber of Commerce Department Discloses Rapid Development and Prediction Made Is That by Next June City's Export Business Will Have Reached Total of From $60,000,000 to $75,000,000 I
FOREIGN trade is to a struggling the war, are the figures of the port's
port what blood transfusion -s foreign trade exports for the years
to the Invalid. Under ordinary embracing the nerlnrl of wnriA
I
circumstances the port might loiter
along In commercial convalescence
for an indefinite period, ere the needs
of the world actually forced its ac
ceptance of an export business. But
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the allies, foreign trade was dead as fallen off and when the antipodes, prospective Importers or exporters ln and we render to our members the north European ports London, Liver-
the proverbial door nail. the orient. South America Or Australia touch with these markets as they ap- identical service that this Important pool, Edtnborough, Bordeaux, Havre,
"But the interval gave us oppor- are producing what we need. pear. bureau renders in Washington. - Rotterdam, Copenhagen and others,
tunlty to realize what we had lost "In our files, from abattoir to lino "When we discover a market we "Through close attention and co- At present' this line affords us a 21-
and to teach local industry what for- dust, and from Abyssinia to Jugo- notify 'our manufacturers who are operation our foreign trade has day service that Is, one of Its ships
eign trade means. For the prosperity Slavia, we have, lists of all foreign concerned in. the product needed, and grown slnfce the war to such an extent touches at this port for export cargo
of the district that la tributary to manufacturers and local, and of all place them In touch with the foreign that our percentage of gain exceeds every .three weeks.
the Port of Portland, and the pros- the trade markets ot the world. It Is purchaser. Our office Is a co-oper- that of any other Pacific coast port "And we have also the Pacific
perity of the port itself, depend upon the province of this department of atlve. branch of the federal burnau
the establishment of trade - relations the Chamber of Commerce to place of foreign and domest'c commerce.
flict. For the fiscal year ending
June 30, 1915, the exports of the local
port were I20.40S.266. By June SO,
1916. they had fallen to $10,654,491.
During the ensuing year they dropped
given foreign trade as an Immediate even more alarmingly, and in June
tonic and the port perks up with 1917. reached the low water mark of
alacrity. . $4,190,695.
From the end of 1914 until the Reaction Seta ln.
opening of 1919. through cond-tlons Tho upward reaction then set ln,
brought about by the war, the foreign and ftt the end of the 191g flacal vear
trade business of Portland, both ex--forelg.n exports had recovered to $10,-
port and import, dropped to a mini- 205.445. In June. 1919. tha renort of
mum that was represented by zero
How the port has regained Its feet,
and is doing a larger export business
than ever, with still wider fields
At the close of the pesent fiscal
year, in June, 1920, Secretary Weln
baum confidently predicts that Port
land's export business will have
reached the healthy total of $60,000,
000 to $75,000,000, possibly more. And
exports aggregated by Portias:! firms
was $30,618,519 and the road to com
mercial health was fairly blazed.
a f r a a th aaa 'lonAa M K a .
1 ahead, is the narrative of E. N. Wein. - ... ' , ,. .-'
I . business of the present fiscal vear.
I baum. foreign trade secretary of the ... . ... , . - '
1 ,, . ,. . . predicts Secretary Weinbaum, will
Portland Chamber of Commerce. ,
W nrnoHfiallv flnnhla that r tv..
"At the end of 1914 until the begin
ning of this year." said Mr. Wein
baum, in review, "our foreign traOe
had fallen off to sucn an extent that
we were ashamed of It. At the op.-n-
with other countries. We must send
them our raw or manufactured ma
terials for barter or sale, and If we
are paid in commercial paper we must
exchange it for import goods in for
eign ports.
"The effect of such a trade and we
have the trada new fairly established
and flourishing Is to banish the'
ghost of overproduction by broad
ening the market. Invading other
fields with our canned croods. our
fruits, lumber, wool, dairy nroducts,
salmon and manufactured articles wo
not only insure a fair and profltaale
price-to the producer, but we main
tain Industries at a working strength
that would be impossible under mere
domestic trade relations.
Exchange Mutually Beneficial
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we do not vet exceed them in tonnage Steamship company. sailing with
or aggregate value, but the records Portland goods to the orient and un
show that we are growing at a more , loading for import cargoes at Kobe,
"In return for this foreign trade we i
ing of the war we had beer, negotlat-
thls is the leap that the port's foreign Ing with big steamship lines, but the
X-trade has taken since the war dogs conflict effectually closed these deals receive the goods of the world go?ds I
eased to grumble. without consummation, and during and products that are needed here i
Indicative of the perilous nltua- the war period Portland was a port during the opposite seasons that is S
Ion ln which Portlands foreign without shipping. Save for the lum- the seasons when our crnnn m- rnt I
trari TirnnnPfl. WArA nlarari Hlirlnrt. Tni nnrl u-h(it that wa orn..-( a,1 tn ... i l , . . S
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STEAMSHIP LINES WHICH HANDLE PORTLAND'S FOREIGN
TRADE.
Destination. Line. Dock.
Kobe Pacific Steamship Co St. Johns (Portland) Terminal
Yokohama Pacific Steamship Co St. Johns (Portland) Terminal
Manila Pacific Steamship Co St. Johns (Portland) Terminal
Manila Pacific Steamship Co St. Johns (Portland) Terminal
Shanghai. ... Pacific Steamship Co St. Johns (Portland) Terminal
Hongkong Pacific Steamship Co St. Johns (Portland) Terminal
' Singapore. .. Pacific Steamship Co St. Johns (Portland) Terminal
Marseilles. . . Societe Generate deTran . . .Fif teen th-St. Portland) Terminal
- Genoa Sports Marl times a Vapeur. Fif teen th-St. Portland) Terminal
West Indies. .SportsMaritlmeaVapeur. .Fifteenth-Si.(Portland) Terminal
London Williams, Dlmond & Co Flfteenth-St.(Portiand) Terminal
Liverpool . . . .Williams, Dlmond & Co.
Bordeaux. . . .Williams. Dlmond & Co.
Havre Williams, Dlmond & Co.
Antwerp Williams, Dimond & Co.
Amsterdam. .Williams, Dlmond & Co.
Rotterdam Williams, Dimond A Co.
Copenhagen. Williams, Dlmond & Co.
Gothenberg. .Williams, Dimond & Co.
' Chrlstlania. . Williams, Dimond & Co.
. Fifteenth-St.(Portland) Terminal
. Fif teenth-St. Portland) Terminal
. Fif teenth-St.(Portland) Terminal
. Fifteenth-St. (Portland) Terminal
. Fifteenth-St-(Portland) Terminal
. Fif teenth-St.(Portland) Terminal
. Fif teenth-St.(Portland) Terminal
. Flfteenth-St.(Portland) Terminal.
. Fifteenth-St.(Portland) Terminal
mil
lusty pace.
"Over 100 Portland firms are now
engaged in the export and import
trade from the Port of Portland. We
have every reason conservatively to .
estimate that the growth of this
trade has brought about an Increase
of at least 60 per cent ln the number
of employes engaged by these firms
and the Industries that contribute to
them, while it has assured steady and
profitable prices to the original pro
ducer of the raw material.
Portland Ships turd.
'At -present the greater part of our'
foreign trade is taken care of ln tran
sit by tramp steamer service, the ves
sels being chartered by individual
Portland firms. These ships, laden
with Portland and northwestern prod
ucts, raw and manufactured, reach
every port In the world from the far
east to the near east.
"In regularly-established service we
have . the Columbia-Pacific Shipping
company, which dispatches vessels
regularly to the United Kingdom and
Yokamaha, Manila, Shanghai, Hong
kong and Singapore. And the French
line, the Societe Generate de Trans
ports Maritimes a Vapeur, sairlng for
Mediterranean port. Marseilles, Gen
oa and the West Indies.
"A typical instance of the inter
change of trade is that of tile recent
arrival in this port of the Falls of
Clyde, laden with 10.000 barrels of
molasses from Hawaii. We use the
molasses for the manufacture of stock
food an industry in which this dis
trict is gaining the upper hand and
the Falls of Clyde returned to the
islands with a full cargo of our prod
ucts. "The port-Is being built up, but
much remains to be done. Our local
business men who buy goods from
eastern houses should insist that
these houses shall reciprocate by im
porting from the orient through the
Port of Portland. If the eastern im
porters ask why Portland should be
given preference over San Francisco
or Seattle, tell them that we have the
most modern port facilities as we
have that we have no port conges
tion, nor would have even if we took
rank as one of the first ports of the
world: and that we can guarantee
dispatch ln transshipment by reason
of the fact that we are the terminus
of transcontinental railroad lines.
Trade Representatives Active.
"Another factor in the building up
of the port is the sending of trade
representatives to foreign countries
by local exporters and Importers. Sev
eral of our larger firms already have
taken this step with excellent results,
and more should follow their lead.
With trade representatives ln the
orient, in Europe, and In South and
Central America, local exporters and
manufacturers could be plced Im
mediately in touch with markets and.
through the use of the cable, could
give prompt service. t
"And when these markets are
found, again and again, wiien a just
proportion of the trade of the world
turns to Portland, then foreign
steamship lines will begin to see the
advantage of establishing regular
service to this port and will so es
tablish them. Portland harbor will
hold a score of ships where it holds
one today, a score or more. There is
no limit to the possibilities and tha
future of this port save in the en
thusiasm, faith and co-operation of
Portland business men and manufacturers."