Document 4JeMx9n1ER8E5x79dkO97ozEV

AIRMAIL Australian Blue Asbestos Limited 89 ST. GEORGE'S TERRACE PERTH Western Australia rCl.e4RANtC * CAAUt OOACS* e^Asees-ros- perTM Mines & Mills Wittenoom. w A. -:l The Managing Director. ^ Australian Blue Asbestos Ltd,, SYDNEY. Dear Sir. G.P.O. SOX NO. t_20 i Telephones Saszss S 2238 PRIVATE - (No. P.72, 23rd January, 1958. "kr FIBRE SALES - Agencys Although final details have yet to be agreed on concerning shipments to ports beyond Singapore, the Blue Funnel Shipping Service have agreed to go into Ft* Samson to pick up fibre. The freight rate Ft. Samson/Singapore is the same as Fremantle/Singapore, viz. 192/- per short ton and the Saving to us would be, therefore, at least 6.10, 0. per short ton. Sales made on this basis at 100 f.o.b. and allowing commission at gives a net return of 102.10. 0, per ton compared to 95 - 96 per ton for fibre sold to .*** Europe and 98 for sales to Johns-Manville. Unless Humes find our fibre much improved in ,j. comparison to African fibre, it seems doubtful if they will buy any quantity on existing price scales, as they can land grade,,SM for approx. 102 per ton. As we cannot offer them a reduced price without upsetting our relationship with Cape Asbestos Co. and Central Asbestos uo., tne onTy~aitemative seems to be to offer Humes an agency restricted to a few countries. We could consider extending this later if the expansion in the asbestos cement pipe business, envisaged by Humes should occur and if they are appointed technical advisers, as was claimed to be the probable arrangement. / We attach draft of a letter which it is suggested we send to Humes and we would appreciate your comments. Regarding shipment to other ports, the trans shipment rate suggested by Blue Funnel Co. was too high and they are considering the matter again. The Managing Director, SYDNEY.___________________ 2- PRIVATE *-P,,72 2V1/53.______ Vie are also negotiating with the Japanese lino Company, who operate a service between Fremantle and Japan and they seem interested in making direct shipment Pt. Samson/Japan. They are also considering a rate Pt. Samson/Kobe/Los Angeles on a through Bill basis. As the current rate Fremantle/Los Angeles is 32.80 dollars, there appears to be some possibility of a saving on Johns-Manville V/est Coast tonnage. Yours faithfully, DRAFT Hume Industrie? (Far East) Ltd* as snipments of blue asbestos could now be made direct from Ft, Samson to Singapore, wears, under these conditions, prepared to offer you an agency covering sales of our fibre to Singapore (including yourselves), Malaya, Burma and Indonesia* Price pf our Grade 3 fibre for 1958 is A100 per short ton, f.o.b* net weight, and we offer /V you a commission on a sliding scale basis, as follows 1st 1,000-tons 2nd 1,000-tons 4# 2% Over 2,000-tons 2% At present shipments of 100-tons minimum are required by the,shipping company. Due'to mill improvements carried out during the past six months, our fibre is now improved and we con sider that it is much more economic to use than the shorter African Grade "S" and cheaper than Grade "A". A 2-lb. sample is being air-freighted and we would appreciate your comments, after testing. We are not in a position to supply in 100-ton lots prior to July next. Please let us know at your convenience whether you are interested in this proposition. Yours faithfully, 1 950