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 done recklessly and without consideration of the results to the commerce of the country. The number of ships taken up on the outbreak of War was so enormous, the requirements were so varied, and the need so urgent, that every ship or vessel in port at the moment was taken. Discrimination, save in isolated instances, was therefore impossible.

It may be said that discrimination could have been exercised later. So far as possible this has been, and is being done; but it must be remembered first, that it is generally less disturbing to commerce to retain vessels to whose absence business conditions have been adjusted, than to return these to their owners and take up fresh ships. Secondly, many vessels have been specially fitted for their work by the Government, and to fit others to replace them means delay, and further congestion of docks and works. Also, while substitutes are being fitted, as the first ship cannot be released until the substitute is ready, two ships will be off the market during the period of refitting. Thirdly, it is militarily inconvenient to dispose of ships which the naval and military services have become used to handle, and whose officers and crews have learnt to do this special work.

I can well understand that there may be some discontent among shipowners at present in consequence of Admiralty requisitions. Complaints are made that these requisitions are not fair as between shipowner and shipowner, and that all the tonnage of one line is taken and all the tonnage of another is left alone, and it is held to be a grievance when the Admiralty take the tonnage. But in other wars Admiralty business has been keenly sought after by shipowners. At the beginning of this War shipowners were only too glad to get their ships taken by the Government, owing to the uncertainty of the naval situation and the possibility that ordinary cargoes would not be forthcoming. But now a change has taken place.

The naval situation is assured for the present, and the requisitioning powers exercised under the Royal Proclamation have enabled the Admiralty to insist on rates of hire which, though they give a handsome profit to the shipowner, are very much less than can now be gained in the open market.

The Admiralty rates are now a half or a third below the market rates, and cannot, of course, be expected to be popular with shipowners, although the market rates are enormously higher than they were at the time of the South African War. We are now paying 13s. to 17s. per gross ton per month,