No bounty shall be paid for the construction of small iron, steel, or wooden vessels for exclusive use in the harbors, rivers, and lakes of Italy. * ART. 4. Changes in the construction of a vessel made in Italy, resulting in increased tonnage, shall entitle the vessel to the construction bounty for the increase in gross tonnage thus effected. ART. 5. There shall be granted for ten years from the date of this act a construction bounty for engines and boilers made in Italy for navigation purposes as follows: 12.50 lire per indicated horsepower for engines and 9.50 per quintal for boilers. ART. 6. Auxiliary apparatus not connected with the main engines and boilers constructed in Italy shall receive a construction bounty of 11 lire per quintal. ART. 7. The construction bounties for vessels, engines and boilers, and auxiliary apparatus shall be paid to the constructor, unless otherwise agreed to. ART. 8. Owners of vessels which have received the construction bounties provided for in the foregoing articles, if subsequently transferred to navigation within ports and harbors, will be required to refund interest on the construction bounties received. ART. 9. While this act is in operation certain provisions of the acts of 1872, 1878, and 1866 shall be suspended. CHAPTER II.-Navigation bounties. ART. 12. There shall be paid navigation bounties to Italian sail and steam vessels as follows: (a) When the voyage extends beyond the Suez Canal or the Strait of Gibraltar, including in the Mediterranean the Sea of Marmora, the Black Sea, the Sea of Azoff, the river Danube, and vice versa. (b) When the voyage is from one Mediterranean port to another, including the Sea of Marmora, the Black Sea, the Sea of Azoff, and the river Danube, not including, however, voyages from one Italian port to another. (c) When the voyage is by a steam vessel engaged in trade from one Italian port to another there shall be paid a navigation bounty for each gross ton per 1,000 nautical miles traversed at the following rates: 1. For voyages under paragraph (a) 80 centessimi for the first three years of the vessel's existence, with a decrease for each triennial period thereafter of 10 centessimi in the case of steam vessels and 15 centessimi in the case of a sail vessel. When, as a result of this gradual reduction, the bounty on a sailing vessel reaches 20 centessimi, it shall be retained at that figure without any further reduction. 2. For voyages under paragraphs (b) and (c) the premium will be two-thirds of that established for paragraph (a). The secretary of the navy may grant an increase of 50 per cent of the navigation bounties to steamships built in Italy which maintain 16 knots speed with full cargo for a period of twelve hours. This additional bounty shall be paid from the appropriation for the navy. ART. 13. The navigation bounties shall be awarded (a) To vessels registered at Italian ports at the date of the promulgation of this law, provided they are of Italian construction. (b) To vessels of Italian construction which may hereafter be registered for the ten years from the promulgation of this law. (c) Foreign-built vessels registered before the 1st of January, 1887. (e) Foreign-built vessels registered between January 1, 1887, and December, 1895, shall receive half the navigation bounties prescribed by article 12. ART. 14. In order to receive the navigation bounties under article 12 vessels must be (1) Recorded as vessels of the first class in the Italian register of some recognized foreign classification society. (2) Of a gross tonnage of not less than 500 tons in the case of steamships and 250 tons in the case of iron or steel sailing vessels and 100 tons in the case of wooden sailing vessels, in order to receive the bounties provided for in paragraph (a) of article 12, and of not less than 100 gross tons in order to receive the bounty provided for in paragraph (b) of article 12. (3) To be entitled to bounty, a steamship must be less than fifteen years old and a sailing vessel less than twenty-one years old. ART. 15. There shall be excluded from navigation bounties yachts and vessels under contract with the Government. ART. 16. The bounty shall be paid from the last port at which cargo was discharged or taken aboard to the port of arrival; the number of miles traversed shall be computed according to the distance traversed between the port of departure and that of entry by the most direct maritime line. ART. 17. In the case of war, epidemic, or any other unusual event the Government can impress vessels which receive a bounty. ART. 18. Steam vessels receiving navigation bounties shall be required to transport, free, correspondence and parcels for the Government post-office. CHAPTER III.-Coasting trade between Italian ports. ART. 19. Italian ports are reserved for Italian vessels, except in cases provided for by reciprocity treaties. JAPAN. 10. LAW FOR THE DEVELOPMENT OF MERCANTILE MARINE. [October 1, 1896.] ARTICLE 1. Any mercantile company composed of and personally owned by Japanese subjects only, as members and shareholders, which shall engage in the business of the transportation of goods and passengers with ships registered in the list of ships of Japan, either between various ports of Japan or between ports of Japan and these of foreign countries, shall receive money for the development of mercantile marine according to the articles of this law. ART. 2. Ships receiving money for the development of mercantile marine under this law shall be limited to iron or steel vessels of 1,000 tons or more, gross tonnage, and with a speed of 10 or more knots per hour at full pressure, and constructed according to the rules for shipbuilding determined by the minister of state for communications. ART. 3. The owners of ships who desire to receive money for the development of mercantile marine shall procure a certificate in advance from the minister for communications. ART. 4. The following classes of ships may not receive the bonus for the development of the mercantile marine: (1) Ships built in foreign countries which have passed five years since construction before having been registered in the register of the Empire of Japan after the enactment of this law. (2) Ships that have passed fifteen years since construction. (3) Ships traversing regular sea routes under orders from the Imperial Government. ART. 5. Money for the development of the mercantile marine shall be given at the following rates: Ships of 1,000 tons gross tonnage, with a speed at full power of 10 knots per hour, shall receive 25 sen per ton for each thousand miles of sailing distance, and one-tenth of the above sum shall be added for every increase of 500 tons, and two-tenths for every increase of 1 knot per hour; but ships of 6,500 tons or more, or of 18 or more knots per hour at full speed, shall receive money at the rate of ships of 6,000 tons gross tonnage and of 17 knots per hour at full speed. Ships which have not passed five years since construction shall receive the whole amount of the bonus for the development of mercantile marine; but for ships that have passed five years since construction, one-twentieth shall be deducted for every year above five. For the calculation of the bonus to be received for the development of the mercantile marine, fractions of a mile and of a ton shall not be taken into account. ART. 6. The number of knots traversed shall be calculated by the nearest sea routes between the respective ports. In case of foreign-bound vessels touching at various ports of the Empire of Japan en route, the last port of Japan touched at shall be fixed as the starting point of the voyage, and in vessels dispatched from foreign countries calling at various ports of Japan en route the first port of Japan called at shall be considered as the end of the voyage. Certificates of the harbor masters of the various ports touched at shall be shown in proof of the number of knots traversed. ART. 7. The minister of communications, on payment of a proper sum of money, may issue orders to ships which have received a certificate according to article 3, and may use the same for purposes of state. Owners of ships who may not be satisfied that the amount of money given as above is just, shall enter complaint in a court of justice within three months from the date of receiving notification as to the remuneration. ART. 8. Owners of ships receiving a certificate according to article 3 shall, at the order of the minister of communications, receive on board at his own expense students of navigation in the following proportion, receiving remuneration for the same as fixed by the minister of communications: Ships of 1,000 to 2,500 tons, two persons each; ships of 2,500 to 4,000 tons, three persons each; ships of 4,000 tons or more, four persons each. ART. 9. Owners of ships receiving a certificate according to article 3 shall not be allowed to employ foreign employees in the main or branch offices or on board the ships without permission from the minister of communications. But in the event of a vacancy among the employees, caused by death or unavoidable accident, occurring while in a foreign country, the owner may employ a foreigner to fill the vacant position upon receiving the official consent of the harbor master of the port. In the above case the owner or captain of the ship must receive permission from the minister of communications as soon as possible. ART. 10. Owners of ships who shall have received a certificate according to article 3, and have received a bonus for the development of the mercantile marine, shall, in the event of a voyage, at the order of the minister of communications, carry mails and parcel-postal matter, or articles for the use of the postal or parcel-postal service, without charge. ART. 11. Owners of ships, or their successors, who have received a certificate according to article 3, and the bonus for the development of mercantile marine, shall not be permitted, either during the voyage or for three years after the completion of the voyage, to sell, let, pawn, exchange, give away, or borrow money upon the said ship, to or from any foreigner, except the bounty received be first returned, or in case of some unavoidable catastrophe or forcible detention, or in case permission be received from the minister of communications. ART. 12. The minister of communications may issue orders to captains or commanders of vessels in regard to matters which concern the duty of the owners according to this law. ART. 13. Any person who shall obtain the bonus for the development of the merchant marine by an act of fraud, or shall violate article 11, shall be liable to imprisonment for from one to five years and a fine of from 200 to 1,000 yen. Any person who may not have committed the crime, but intended to do so, shall be prosecuted according to the law of "intent to violate the criminal law.” ART. 14. Any person who shall violate the orders of the minister of communications issued in accordance with this law, or article 9, shall be liable to a fine of from 20 to 500 yen. ART. 15. The procedure of "collective offenses" shall not be used against a person violating this law. ART. 16. In case the owner of any vessel, or, with respect to article 12, any captain or commander, shall violate this law, the bonus for development of the merchant marine may be withheld by the minister of communications. ART. 18. The several articles of this law shall be enforced against the members or managers of the company who are responsible for the transaction of the company's business. ART. 19. This law shall go into effect from October 1, 1896. LAW FOR THE ENCOURAGEMENT OF SHIPBUILDING. ARTICLE 1. Any mercantile company composed of Japanese subjects only as members and shareholders which shall establish a shipyard with the capacity determined by the minister of state for communications, and shall manufacture ships, shall receive money for the encouragement of shipbuilding according to the articles of this law. ART. 2. The ships for which money for the encouragement of shipbuilding may be received according to this law are limited to iron or steel vessels of 700 tons or more gross tonnage, and construction under the direction of and in accordance with the regulations for shipbuilding determined by the minister of communications. ART. 3. The money for the encouragement of shipbuilding shall be given at the rate of 12 yen per ton, gross tonnage, and 20 yen per ton, gross tonnage, for ships of 1,000 tons or more. When the engine is manufactured together with the ship, 5 yen per horsepower shall be added. If the engine be made in another manufactory of Japan, with the previous consent of the minister of communications, the same treatment will be accorded. ART. 4. In the manufacture of ships and engines which are to receive money for the encouragement of shipbuilding, it shall not be allowed to use any article made in foreign countries, except such as may be permitted in the regulations determined by the minister of communications. ART. 5. Any person who shall receive money for the encouragement of shipbuilding by an act of fraud shall be liable to imprisonment for from one to five years, and a fine of from 200 to 1,000 yen, and shall return the bonus fraudulently received. Any person who may not have actually committed the above crime, but shall be guilty of the intent to do so, shall be prosecuted according to the law of "intent to violate the criminal law." ART. 6. The procedure of "collective offenses against the criminal law” shall not be used in the case of a person violating these regulations. ART. 7. The above two articles shall be enforced against the members or managers of the company who are responsible for the transaction of the company's business. ART. 8. This law shall be enforced during fifteen years, from October 1, 1896. 11. SHIPPING BOUNTIES IN JAPAN. [Board of Trade Journal, May, 1899.] The Japan Weekly Mail reports that the Japanese Government has submitted to the Diet a bill making an important new departure in the system of navigation encouragement. The method inaugurated by the laws promulgated in March, 1896, is general in character. The present navigation encouragement law enacts that any iron or steel steamship of at least 1,000 tons (displacement), capable of steaming at 10 knots speed, and owned and employed by a Japanese subject on service between Japan and foreign countries, or on interport service in foreign countries, shall receive 25 sen (1s.) per ton for every 1,000 miles run annually, provided that she is constructed in such a manner as to satisfy certain prescribed requirements; and provided further, that, if built abroad, she is not more than 5 years old at the time of registration (for the purpose of obtaining a subsidy in Japan), or more than 15 years old whenever built. With regard to vessels bigger and faster than the above minimum, there is a sliding scale of encouragement money. Thus, for every additional 500 tons the subsidy is increased by 10 per cent, and for every additional knot of speed by 20 per cent, up to 6,000 tons and 17 knots, after which limits there is no increase. The grant is not permanent, of course; it is paid in full for the first five years, after which it is reduced by 5 per cent annually. Vessels receiving encouragement money are always to be at the service of the State in case of emergency. They are also required to carry mail matter and officials without charge, and they have to give free passage and suitable maintenance to students of navigation-two in each ship up to 2,500 tons, three up to 4,000 tons, and four in larger vessels. There is also a law for encouraging the construction of ships in Japan. It provides that any steel or iron steamship of not less than 700 tons burden, built in a Japanese yard with materials not of foreign manufacture (unless specially permitted by the minister of communications), shall be eligible for a bounty, on condition that her quality satisfies legal requirements, the rate of bounty being 12 yen per ton from 700 to 1,000 tons and 20 yen per ton for larger vessels. Further, if her machinery is made in the same yard, or in some other Japanese yard approved by the minister of communications, she is entitled to a further bounty of 5 yen per unit of registered horsepower. Evidently the tendency of this system is to encourage speculative shipbuilding. When it is known that a vessel satisfying certain conditions as to size, construction, and speed, will obtain from the treasury an annual allowance sufficient to go far towards paying her working expenses, there is a great temptation to build her on the mere chance of finding for her a modicum of employment somewhere or other. For example, in the case of a 4,000-ton vessel with a maximum speed of 15 knots. Her encouragement money, according to the above scale, is 65 yen for every 1,000 miles run during the year. With such an income assured her owners can afford to place her upon a line where the transport business is in itself much too small to warrant any services of the kind. The Government's navigation aids are not, indeed, confined to the sums disbursed under the above laws. Various lines have to be independently subsidized. The following details are taken from the various chapters of the budget for next year: Aids to navigation in 1899-1900. Yen. Services between Nemure and Iterup, Otsu and Hakodate, and Otaru and Service to Ogasawara (formerly 6 voyages annually, now increased to 12).. 15,000 11,000 600 (This subsidy is now actually 348,900 yen, but a proposal to increase it will be submitted to the Diet.) Yen. Service to Bombay.. 192, 108 Service to Vladivostock. 27, 717 Service to Korsakoff 23, 490 Service to Yangtze-Kiang 228, 753 (This subsidy is now 149,547 yen, but a proposal to increase it is about to be made.) Service to Shanghai, Suchau, and Ki-ao-chau..... 30, 179 3,968, 084 Total 277, 250 6, 209, 738 It will be observed that out of the total of 6 millions, in round numbers, the new laws are responsible for 44 millions. It would appear that the laws are not working satisfactorily, and that they commit the State too deeply unless some limit is enacted. It has therefore been decided to invite the Diet's consent to the imposition of two restrictions. The first is that in the case of ships constructed abroad and registered in Japan subsequently to the 1st of October, 1899, only one-half of the encouragement money provided by the law will be granted. The second is that the total period for granting assistance shall be eighteen years, counted from the 1st October, 1896, when the laws went into force. The 1st of next October has been fixed in consideration of the fact that all vessels, ordered in consequence of the promulgation of the law, will be completed and registered by that date. To change the law so as to exclude such vessels would be an obvious injustice, whereas, on the other hand, it is evidently desirable to prevent the placing of any new orders. Briefly speaking, the effect of these amendments is, on the one hand, to make the navigation encouragement law's operation terminate in the year 1914, and to limit the State's maximum liabilities under it to approximately the sum now set down in the estimates. The law for the encouragement of shipbuilding, moreover, is to remain operative as originally drafted. Thus far the expenditure that its provisions have imposed upon the State is not large, nor is it likely to be large, for some time to come at all events. Shipbuilding in Japan shows signs of fairly rapid development, but the number of vessels constructed in such a manner as to satisfy the requirements of the law is insignificant. The most notable work was that last year completed at the Mitsu Bishi docks in Nagasaki, when a 6,000 ton steamer was turned out for service on the Nippon Yusen Kaisha's European line. Although the treasury must have paid encouragement money amounting to 130,000 yen, approximately, on account of this vessel, she proved a very heavy loss to her builders. They have another ship on the stocks now, and it is possible that the bitter experience gained in the previous case may bring this second venture to a profitable issue, but there are not many firms in Japan wealthy enough to try experiments so costly as those essayed by the Mitsu Bishi, and no immediate prospect presents itself of the treasury's being obliged to pay any large sum under the shipbuilding encouragement law. Simultaneously with restricting the operation of the law for the encouragement of navigation in general, the Government asks the Diet to sanction yearly subsidies to three special lines, namely: The Nippon Yusen Kaisha's Japan-Europe Line Total... Yen. 2, 673, 894 654, 030 1, 013, 880 4,341, 804 These subsidies are to commence from January 1, 1900, and to continue until December 31, 1909, namely, a period of ten years. It is provided that the Nippon Yusen Kaisha must place upon its Japan-Europe line 12 steamers of at least 6,000 tons displacement, capable of steaming 14 knots; and on its Japan-Seattle line 5 steamers of 6,000 tons and 15 knots; and that the Toyo Kisen Kaisha must place on its JapanSan Francisco line 3 steamers of 6,000 tons and 17 knots. The number of voyages is to be 26 a year, 13 a year, and 14 a year on the European, Seattle, and San Franciscan services, respectively; the vessels must not be more than 4 years old at the time of the commencement of the subsidy; they must satisfy the requirements of law as to quality; they must carry the mails; they must give free passage and maintenance to students of navigation, as provided in the navigation encouragement law, and they must be placed at the disposal of the State in the event of a national emergency. If the Diet approves of these proposals, the total sums paid by the State from next year for the encouragement of navigation and shipbuilding will be 10,500,000 yen. |