The Coal That Changed Seattle: How an Australian Strike Starved the Lumber Trade

POUR TOWNSMAN FEB. 19.

The scarcity of tonnage to load foreign noted in the Sunday papers appears to be only temporary, and indications point to a supply equal to the demand before the middle of April. Freight rates, however, are very high at prices largely in excess of rates for a corresponding period last year.

Quotations today on lumber freight rates are as follows: To Melbourne wharf, 8s 6d per ton, against 4s 6d per ton in February, 1905. To Hobson's Bay, 7s 6d per ton, against the rate of 3s 6d. To Sydney, 7s against 3s 6d per ton in February. To Valparaiso, 8s 6d, against 4s 6d. To Montevideo, 11s 0d, against 11s 3d.

Being asked by the Post-Intelligencer correspondent to give his views concerning the cause of the present scarcity of tonnage and the prospect for the immediate future, Mr. James Griffiths, of the shipping firm of Messrs. Griffiths, Meyers & Stetson, said:

"The prime cause of the advance in lumber freights can be attributed to the coal strike in Australia. A large number of vessels have been lying in Australian ports waiting to load coal for Pacific coast ports, and our supply of tonnage has been almost entirely that off California ports used to get from 15 to 20 vessels a month, the majority of them wooden steamers that came to Puget Sound to load lumber. We have had none now for nearly four months.

Again ocean freight rates advanced all over the world, and this advance took a number of suitable vessels out of the lumber trade. Ships do not seek lumber when they can find more profitable cargoes. Lumber is the last thing an iron vessel wants to carry. Wheat freights, however, have declined 19 shillings to 12 shillings pence from the prices of three months ago and this will tend to relieve the pressure.

Vessels which have loaded coal since the strike in Australia ended are beginning to arrive in California ports. Sixteen vessels are now on the way from Australia to San Pedro and San Diego, most of them available for lumber. My impression is that the present scarcity of tonnage will be relieved within the next ten weeks.

Despite the fact that several coasting vessels are loading cannery supplies for Alaska, there is ample tonnage for the coastwise lumber trade. The outlook for a large and profitable foreign lumber trade for the coming year is certainly bright. Stocks in Australia have run very low, in consequence of lack of supply, and prices are well maintained. The demand, not only at Melbourne, but at Adelaide and Brisbane, is steadily increasing. The same statement holds good for the east and west coasts, and Valparaiso promises to be a big customer on account of the general business activity there. Buenos Ayres will take much more lumber than last year, if ships can be secured to carry it, and five vessels have been chartered for London direct. It is the same old story of Puget Sound needing only 'to be seen to be appreciated.'"