§ 7. Sir Waldron Smithersasked the Minister of Transport how many Scandinavian timber carriers have been chartered by the British Government to bring timber to Britain from the Baltic; what was the cost; whether the tonnage was in excess of the demand; and in view of the fact that there is a loss between the hire terms and the freight charges if he will state the cost to the British taxpayer of the loss per day and the total loss, respectively.
§ Mr. BarnesForty-eight ships were chartered for the 1947 and 1948 timber seasons and 18 for the 1948 and 1949 seasons. The total paid in hire on these ships to date is approximately £3,275,000. All the time chartered tonnage together with all suitable British tonnage was employed in lifting the timber required in the 1947 season and was supplemented by voyage charters of further foreign tonnage on the market. The position for the 1948 season is expected to be similar. During the Baltic timber season the full cost of the ships is recoverable by my Department. Losses are incurred during the off season. The precise amount of loss cannot be computed until voyage results are received from the managers but in the period between the 1947 and 1948 seasons the loss expected was £450,000.
§ Sir W. SmithersCan the right hon. Gentleman say how long this farce of State trading is to be allowed to continue, with its consequent heavy loss to the taxpayer, and will he not give these duties to private shipping firms?
§ Mr. BarnesIf the shipping companies had been sufficiently forthcoming with the necessary amount of tonnage, this would not have been necessary. It has been owing to the shortage of coastal tonnage and the desirability of avoiding switching over deep-sea tonnage to this class of trade, which would involve the hiring of dollar freightage, that we have to carry out transactions of this kind.
§ Colonel RopnerIs the right hon. Gentleman aware that some shipping companies lost ships during the war; and is he also aware that they are unable to build new ships on account of the lack of iron and steel allowed to shipbuilding?
§ Mr. BarnesI have often stated the figures of loss of tonnage to which the hon. and gallant Gentleman has referred. On the other hand, that does not justify the allegation that this loss is due to the incapacity of State trading when, at this moment, we are bridging the gap between the two situations to which he has referred.
§ Colonel Crosthwaite-EyreThe Minister says that the full loss is recoverable by his Department. From whom is it recoverable?
§ Mr. BarnesI said that the full loss during the timber season is recoverable, and the loss in between—
§ Colonel Crosthwaite-EyreRecoverable from whom?
§ Mr. BarnesFrom the Timber Control for the carriage of the timber, as would be the case in any ships chartered for this particular purpose. The loss has been incurred when we have to carry this tonnage during the off season to make sure it is available when wanted.
Vice-Admiral TaylorCan the Minister state whether British shipping tonnage has been used to the greatest extent possible for this particular purpose?
§ Mr. BarnesYes, Sir.