Mass production of standardized cargo vessels, devoid of costly frills, may be a major objective of a national maritime policy, according to Edgar F. Luckenbach Jr., president and chairman of Luckenbach Steamship Co., Inc.
Speaking at a meeting of the Propeller Club's Jacksonville, Fla., chapter, Mr. Luckenbach said that any meaningful maritime policy is contingent on the reaching of an understanding between various industry elements as to the needs of the nation's cargo fleet.
The new administration will, and should, make clear to those who wish to sail onward that to do so they must proceed with a unity of purpose, realizing that some sacrifice must be expected on the part of everyone if a new maritime program is to be conceived and implemented, he said.
The mass production of standardized ships can be attained with very little modification of the nation's shipyards, Mr. Luckenbach said.
These yards can be expected to turn out an average of ten vessels per year. This would be accomplished by assigning to each shipyard a class of tonnage for which it alone would be responsible, he added.
The yards involved in such an effort must, however, be assured that they can feasibly finance initial capital investments to improve their facilities, he said.
Mr. Luckenbach said that President-elect Richard M. Nixon has pledged that United States-flag vessels will carry an increased share of the nation's foreign commerce, now estimated at about 5.6 percent of the total. The new administration seeks to hike this total to over 30 percent, he noted.
Mr. Luckenbach also said that the upcoming administration has pledged its support to a shipbuilding program, involving some 100 vessels per year, through improved utilization of credit facilities and amortization procedures.
Mr. Nixon has suggested long-range government cargo commitments should be explored as an additional means to stimulate unsubsidized financing of ship construction, he noted.
The nation's present commercial fleet of 900 vessels includes 750 which have little life expectancy remaining, Mr. Luckenbach said.
He added that maritime labor should find it reasonable to back a program which would assure job opportunities through 1995.
As for management, Mr. Luckenbach said that up to now we have witnessed one segment of the merchant marine bitterly opposed to the slightest concession to the other in the matter of government assistance and other factors which could lead to an improved competitive position.
Under the new program, all elements in the industry will be encouraged to participate and expand, thereby providing the investor with an incentive in what has been a speculative venture, Mr. Luckenbach said.