Show t t T T T PREDICT REFORMS REFORMS- IN COMMERCE I Address of Homer L. L Ferguson Ferguson Fer guson President of the Chamber of Commerce Before the great war war our interest in foreign trade was limited During the war however that trade not only expanded ex exp expanded ex- ex p to unheard of or proportions in goods and commodities but in addition addition addition addi addi- tion we exported soldiers During the past twelve months our ex- ex reached the stupendous total of ot over while our Imports were only Notwithstanding ing the fact that we raised army an-army an army of ot men production all over the United States increased during the war and It is that our stream of exports must be kept up to a considerable considerable considerable consider consider- able extent if the country is to continue continue continue con con- to prosper Probably our first duty at the present time is through extension extension extension ex ex- tension of credits purchase of foreign securities or other proper means demonstrating demonstrating demonstrating dem dem- our confidence in the basic conditions of business the world over overto overto overto to restore normal times as soon as possible possible possible pos pos- sible in Europe We Ve have become a a. creditor nation and must continue to expand and extent th those s' s credits which were of necessity extended by the gOvernment government government gov gOv- during the war Our present prosperity rity which is likely to continue as long as the foreign demands can be satisfied Is due to these thes demands for forthe forthe forthe the necessities of life Therefore every farmer and business man is to today today today to- to day vitally interested In foreign trade TRADE EXPANDED DURING WAR How was our enormous foreign trade expanded and carried on during the war Prior to the war we hardly carried 10 per cent of or our oui exports In our own vessels When the war came cameon cameon cameon on we found ourselves without ships to either carry our troops or goods abroad In sufficient quantities and our trade with neutral countries suffered most severely Ve We started on an enormous enormous enor enor- I shipbuilding program which was wasI not however more more than one-fourth one I completed at the end of the war The I ships of other countries particularly England carried the bulk of our troops troop I to Europe while the British fleet stood I guard over the German high seas fleet and made this carriage possible Our own navy too did splendid work particularly particularly par par- in suppressing the submarine and operating a convoy system which was well nigh perfect Of the I soldiers sent to Europe only about were carried in our ships a similar number in internee German ships Continued on page 4 4 FERGUSONS FERGUSON'S ADDRESS Continued from page 1 1 which we had repaired and nearly allor all 1 of or the remainder in British ships The Th e way in which our soldiers have come home from Europe is as well known t to o you as it is to me Many Man of or the foreign ships were taken off to transport their own soldiers and answer their own necessities while our boys have ha come home lome in every conceivable way which they hey were willing to do in order to get here lere but which experiences have probably given ghen them some very definite definite nite Ideas regarding the desirability of laving having passenger ships Instead of cattle cattle cat cat- tle boats to tra el in FLEET SOON TO BE COMPLETE The fleet of merchant vessels aggregating aggregating aggregating gating about tons which we started at the beginning of the war will vill be completed within completed within the next year and although this fleet is an ill III balanced balanced balanced bal bal- one consisting in large part of freight vessels of specific types still it will be useful and under present conditions conditions condi- condi ions of or high prices and high ocean rates can be operated profitably It Jt will have cost us considerably over 4 a 3 considerable amount of which should be charged against the war as a war cost Th The entire merchant merchant merchant mer mer- chant marine of the world before the war cost and Great Britain's Britain's Bri- Bri tain's ain s cost about 1 The United States will own about third one of the available t tonnage of ot the war when the ships are completed The price we wo paid for not having a marine of if some importance and shipbuilding facilities of considerable capacity has been een enormous and the price will have to o be paid by the taxpayers of or this and the next generation a MERCHANT MARINE VITAL It has been conclusively demonstrated demonstrated demon- demon to our people that a merchant marine Is not only vitally necessary when this country may be engaged In war var but Is also vital when other countries countries coun- coun tries ries wh who may may be doing our carrying f for or r us shall be engaged in ii war In I other ither words our freedom of action and therefore independence is jeopardized I when we lack the Instruments necessary arv sarv sary to independent action before the war and during the pas past 00 years our people have been busy I I developing a great country and have found an outlet for or th their lr energies at I home lome Other countries being primar- primar ily ly dependent upon foreign trade trace have had ad to have that trade and the I merchant mer mer- chant nant marines that go with it to maintain maintain main main- tain ain national existence and to grow We Ve Ve did have an excellent marine over j jVe 00 years ago when we discriminated in n favor of ot our own vessels engaged In n our our own trade We 6 lost that maIne ma- ma ma 1 nine Ine when we gave e away that right i and with it we have lost lot to a large extent extent ex- ex I tent ent the habit of the sea and the know knowl- edge and experience so essential i m ir n operating shipping It will be man many y years under any circumstance circumstances before we have acquired that knowledge knowledg e again The government owns the bulk buU of our big fleet today The disposition n of that fleet which business men general generally gen I eral believe should be operated under unde private initiative and ownership is on one e of the big questions which demands a ea I solution certainly by the time that tha t ocean freight rates drop to normal o or r near normal levels HIGH WAGES PROBLEM Our ideas of operating a Iea seagoing fleet on a purely free trade basis built and owned in a protected country ant and which proved a failure as an Idea for tor fora tora a hundred years is likely when normal normal normal nor nor- mal conditions return to prove a failure failure failure fail fail- ure again Higher wages and higher operating costs In this country make malte it difficult to start the shipping business business business busi- busi ness without any assistance although when that business is once established it may get along We have been told I for many years that American ship ship- should build I ships hips as cheaply as they are built bunt abroad which he could not and did not do During the I war as you rou were frequently told bythe by bythe bythe the papers new methods of ot manufacturing manufacturing turing ships would build cheap and excellent ex excellent ex- ex vessels Some of the greatest captains of in the country I at attempted this feat and the result has Jias been the ships they have built are arc not I as good as those built b by the old fashioned shipbuilders and the costs i are from 20 0 to 40 per cent greater In ship operation we have havo surrounded surrounded surrounded sur sur- rounded our pe people with laws to enforce en enforce en- en I force fOlce American standards of or living and wages so that their operating costs are necessarily higher than foreign costs COlts Ship operating and ship building buildIng building build build- ing are two of the main mam factors In Inthe Inthe inthe the merchant marine but not the only ones The establishment of agences agencies abroad banking finance insurance of bo both h ships and cargoes establishment of new trade routes are all of almost equal importance Our fleets are arc being be beIng being be- be ing operated now for the relief of EuI Europe Europe Eu Eu- rope and to carry carr on most urgent work I in our own trade with neutrals These TheS ships should be used during their lives and such replacements made possible as to keep the trade created going j instead of giving it away as we have hav heretofore To carry on a great for for- for 1 feign II trade particularly in manufactured manufactured I articles and to stabilize and I i I make permanent this trade Is js probably probably ably Impossible except with your Our own vessels ve sels The owner of a department II store might as well trust the erty of his hIli goods and the advertising of his wares to his own customers to another stores store's wagons There is no salesman In inthe the foreign market as eloquent eloquent eloquent elo elo- quent a avid and d Influential as as an Amer American c n ship manned b by Americans interested 1 themselves in seeing the customer customers s satisfied and difficulties explained instead Instead in S stead of Trade and magnified commerce commerce com com- merce are the great civilizing agent agents of the world and we are whether w weI we I will or no one of the greatest agents agent of civilization DOMINATION NOT DESIR DESIRED D. D O or Of course we do not want to domi domi- dominate I 1 nate the trade of the world or to take anything which may rightfully or morally morally morally mor mor- ally belong to another country but we do fe feel l that thai it is necessary to our prosperity and peace and independence ence that we have control of the In Instruments Instruments instruments In- In of ot our own commerce with our own customers In such measure as asto asto asto to render us fairl fairly Independent of ot other countries What should be done by the government and by the people people people peo peo- I to render it possible for us to have and operate a and thus control our own foreign trade I Ido Ido Ido do not intend to discuss but I do do b believe that after the staggering failure failure failure fail fail- ure of our former policy the people will be willing to do what whit is fair If they know the facts and that they will appreciate that our laws and conditions condItions conditions con con- of operation must be so stabilized stabilized stabilized sta sta- as to invite American capital capital capital capi capi- tal and Americans to engage In this business permanently because In no other way can we have a marine To my mind if the freedom of the theseas the seas means anything it means the In Inherent Inherent inherent In- In herent right of every country to control control control con con- In decent measure the sources of ot its own communication and thereby i retain a decent measure of or independence 1 ence in trade and commerce If this great enterprise of rounding together I the na nations of the world to preserve the peace of the world Is to succeed I it Is certainly necessary that so important Im im- Important a member of or that association I as the United States shall hot b be Unduly unduly unduly un un- unI I duly dependent upon its partners be because because because be- be cause otherwise the partnership cannot cannot can can- not be a lasting one and cannot be one that our people will Indefinitely live under and it is to the advantage antage of the other major partner in this association asso asso- also 1 I Great Groat Britain that the entire I burden of policing the seas and carrYing carrying carrying car car- I the commerce of the world shall not be placed on our shoulders I |