1. No.

2. Canadian National Railways state that no action has been taken, as the matter is covered by agreement with the Brotherhood of Locomotive Firemen and Enginemen, and the management has not been requested to open the agreement. They state further that the matter was passed upon by a board of conciliation in August, 1929, and the unanimous decision of the board was that the agreement was a proper one.

3. Answered by No. 2.

4. No application has been received for the establishment of a board of conciliation and investigation under the provisions of chapter 20 of the statutes 6-7, Edw. VII.

1. Have there been any arrangements providing for payments to the province of Nova Scotia by the Canadian National Railways, in lieu of municipal taxation?

2. If so, will particulars regarding same be laid on the table of the house?

1. The arrangement made under authority of order in council P.C. 1352, dated September 2, 1926, whereby Canadian National Railways were to pay taxes to the maritime provinces for the years 1925 to 1930, inclusive, as follows:

Per annum

Prince Edward Island.... $ 40,000

Nova Scotia 91,000

New Brunswick 119,000

was by order in council P.C. 723 of March 30, 1931, continued for a further period not exceeding five years.

2. Answered by No. 1.

Mr. REID:

*

Have applications been made to the hon. Minister of Public Works for the right to construct a bridge over the Fraser river, British Columbia, at a point east of the present bridge at New Westminster?

Mr. STEWART (Leeds):

Yes.

Mr. B. M. STITT (Nelson):

Mr. Speaker, I desire to ask the Minister of Railways and Canals (Mr. Manion) a question in reference to a newspaper article appearing in the Ottawa Citizen to-day stating that the Saskatchewan government are going to furnish the entire trial shipment of 750,000 bushels of wheat for the first official test of grain shipments from Churchill. In my maiden effort in this house I attempted to point out to the government that in my opinion the excessive marine insurance rates might possibly strangle this whole enterprise. The people of the west are fearful of these rates, which are per cent as compared with i of one per cent out of Montreal. I should like to ask the Minister of Railways if he has any statement to make in regard to these test shipments, now that the Saskatchewan government has signified its intention of furnishing the cargoes.

Hon. R. J. MANION (Minister of Railways and Canals):

The hon. gentleman told me

yesterday that he was going to ask this ques-

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tion, and in view of the wide discussion in Manitoba and Saskatchewan as to the statement made by me in this house on July 16, regarding shipments of grain from Churchill, I desire to make absolutely clear the position of the government, which has been subjected to unfair and unjust attacks.

In the first place, the fact that we have continued to push forward the work at Churchill at great expense, so that it is ahead of schedule while other important works in Canada have not been proceeded with, proves our good faith. Secondly, being assured of the port being ready for test shipment by September 15, as arranged for in the contract by the previous government, we then endeavoured to induce grain shippers to supply cargoes on the basis that ships would be available to carry such cargoes at rates not greater-including insurance and all charges -than via present through routes. But as pointed out in my statement of July 16, we did not succeed in this effort, and the government has no machinery with which to buy grain in Canada and dispose of it in Europe.

Since making the statement, certain newspapers and organizations in western Canada have criticized us severely for alleged inaction. I have requested western grain dealers to submit any reasonable proposition they thought desirable for providing cargoes of grain for the test shipments on the basis of a freight rate not higher than the present through rates, the natural and intended inference being that we would absorb any difference in rates due to increased insurance or other charges. The only proposal I have yet received in reply has been one wire stating that 150,000 bushels of grain can be assured. This is only about half a cargo.

In view of the above let me again state our position. If a proposition is made to the government to supply from one to three cargoes of grain for shipment via Churchill, the shipper to pay rates on the basis of present through rates from the prairies to Europe via Montreal, the government will see that ships are available and absorb any difference due to insurance or other transportation charges. That surely is a fair proposal on the part of the government. Now instead of criticism or abuse let the grain trade or some responsible organization come forward with cargo proposals.

Let me add that the statement that Mr. Dunning intended sending out five million bushels as a test movement cannot be verified or substantiated either by departmental records or officials, the same officials as obtained under the late government, and furthermore such a quantity could not be shipped out via Churchill this season, as it

could not be handled between September 15 and the close of navigation.

If any action is to be taken it should be taken quickly as I am advised that vessel arrangements must be made not later than August 10.

May I just add, in regard to the statement of my hon. friend concerning Hon. Mr. Merkley, that so far we have had no proposition of any kind from this gentleman. Some days ago Mr. Merkley telegraphed me asking some questions, and I wired back telling him to put forward any proposition he might have and the government would give it fair consideration. As yet I have received no proposition from him, but if he brings forward any suggestion certainly it will be given fair and reasonable consideration in every possible way.