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If such an arrangement were practicable, it might be found that a great saving would result, and also that the countries interested would have a more frequent Mail service. Moreover, if subsidies could be dispensed with, the great advantage would be secured of abolishing the evil inseparably associated with all subsidies, i.e., that by favouring one company, they curtail the benefit of free competition.
2. Would time be saved in carrying Mails to China if they were landed at Bombay, and taken by Railway from Bombay to Calcutta, whence it is presumed frequent opportunities offer for conveying them to their destination by lines of Steamers already existing?
3. The arrangements now made for the apportionment of the cost of the Packet Service between England, India, Ceylon, the Straits Settlements, and Hongkong seem to require revision, and this is especially the case with regard to the apportionment of the postage on the correspondence exchanged between England and the Australian Colonies.
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Report by the Postmaster General of Hongkong.
GENERAL POST OFFICE, HONGKONG, September 1st, 1884.
SIR,With reference to Lord DERBY'S Despatch No. 174 of July 25th, on the subject of the arrangements to be made on the termination of the present mail contract, I have the honour to report as follows.
2. Lord DERBY'S Despatch, which was referred to me by order of the Governor, raises three questions:-
(a.) Would it be possible to do away with subsidies, and to entrust the
mails to the most suitable vessels starting on the voyage for China, paying by weight only, as is about to be done in the case of mails for the United States ?
(b.) Could the mails be transported by way of Bombay and Calcutta ? (c.) As to revision of the existing distribution of expense.
3. A memorandum from Mr. FAWCETT, the Postmaster General of the United Kingdom, which is quoted by Lord DERBY, expresses the opinion that carriage of the mails by all or any of the companies running steamers between England and China would afford the communities here more frequent and less expensive means of communication than at present. It would be a very important point to this Colony if such a result could be brought about, because the existing mail service is costing us £6,000 a year. But I am of opinion that whatever economy may result from the suppression of subsidies, frequency of communication will be lessened; and regularity of communication, which is at least as important as either frequency or quickness, will have a tendency to disappear.
4. In forecasting what would happen on the withdrawal of the P. & O. subsidy, an important element in the question is, what would be the movements of the P. & O. steamers themselves? It seems reasonable to suppose that what has taken place between Hongkong and Japan would be reproduced all along the line.
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