568

A—s

Mr. DEAKIN : May I add that at present our connection with this country is by the alternative routes round the Cape or through the Suez Canal ? These are our principal routes and must always remain our great cargo routes because there is no transhipment. Mr. LLOYD GEORGE : And, from the point of view of developing trade, they are much more important. Mr. DEAKIN : Yes, much more important, except so far as our trade can be assisted by quicker mail and passenger communication. Our principal routes must remain in the other direction. We also are even at this moment endeavouring to obtain a swifter means of communication through the Canal, and swifter transit around the Cape. It will be, I presume, a part of the policy of the British Government, sp far as financial considerations permit and business opportunities justify, to encourage an all-round route —the half which goes through America and the other half which goes either round the Cape or through the Canal. As the Antipodes are reached whether you go east or west, we are interested in the development of this proposal made to you by Sir Wilfrid Laurier. We are also interested in the development of our existing means of communication which go east instead of west, and trust that practicable projects relating to both of them will be submitted by and to His Majesty's Government in due course. Sir WILLIAM LYNE : My Lord and gentlemen, this route has been advocated very often in Australia. It is known to us as "the all-red route " being through British territory all the way, and it is very much desired that we should get it, but I am afraid, with my Prime Minister, that the subsidy would have to be very large I have had the matter submitted to me, and have made .calculations, and, as far as I can gather with the stoppages that would be necessary, you could not reach Australia with an 18-knot service under 30 days, that is, if you go via New Zealand. That is a consideration, because, of course, New Zealand would be expected and asked to add to the subsidy, and I think Sir Joseph Ward would like the service to go via New Zealand. It is roundly 8,000 knots from Vancouver via, New Zealand to Sydney, and the distance was given just now of 6,800 knots if you leave New Zealand out. I look at it from a practical standpoint. I think eight days from Liverpool to Vancouver is a short time. Four days by water from here and four days by rail. I am not a judge of that, but it strikes me as being short. When you leave Vancouver you have to call about four times, I think, before you get to Sydney, and you cannot stop without wasting time or losing time. Tf you take the distance direct you could do it via New Zealand in 27 days. To be of service it should not take much more than three weeks. Tt is just a question as to how much money would be required to enable a company to do it, The trade is not great at present. I hope it will grow. When the line was first started between Sydney and Vancouver the trade was nothing. That has grown considerably, but not as much as we could wish, and though I am satisfied with the Prime Minister that the Commonwealth Parliament would look favourably at this question, it is all a matter of practical results. As far as T can o-ather from the resolution proposed by Sir Wilfrid Laurier, T cannot see any harm in it, because it is a matter to be desired and a question to be inouired into. Of course, Canada would receive the greater benefit by getting a fast service from Liverpool, and would be prepared, I suppose. toTpav a lare;er.proportion of subsidy. T just wish to put clearly before the Conference, that 30 days at IS knots is about what it would take to go via New Zealand. T had a letter from one of the leading companies

Fifteenth Day. 14 May 1907.

Mail Servicf to Australia and New Zealand via Canada.