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Friday, 30 October 1970

Mr Charles Jones asked the Minister for Shipping and Transport, upon notice:

(1)   Why is it necessary to pay the commission and agency fees of $3,380,713 shown on page 26 of the annual report of the Australian National Line for 1969-70.

(2)   To whom were the commissions and fees paid and what amounts were paid in each case.

Mr Sinclair - The answer to the honourable member's question is as follows:

(1)   The Commission and agency fees shown in the ANL annual report represent payments for services related to the booking of cargo which have been necessarily incurred by the line in conducting its shipping services.

The Australian Coastal Shipping Commission is required, under the provisions of the Australian Coastal Shipping Agreement Act, to arrange for the booking of cargo carried in its vessels in coastal shipping services to be provided by one ot more of the signatory companies. It must pay for such services at rates as agreed between the Commission and the Company concerned or if they cannot agree at rates to be determined by an independent authority.

(2)   The fees were paid to the various shippingservice companies providing cargo booking services for ANL in coastal and overseas .trades. As the Line is required to operate in a competitive environment it would be commercially inappropriate to detail financial arrangements with individual suppliers of shipping-services.

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