J FOREIGN TRADE ZONES TERMINAL FACILITIES To secure the full advantages of free zones, they must afford the most economical facilities for loading, unloading, handling, storing, and for reshipment by water, rail, and highway. The free zones in European ports usually offer better facilities than the customs zone. At some of our ports many of the terminal facilities were designed many years ago and are not suitable to the needs of the modern ocean steamship. To be economical a terminal must fit the traffic which is to use it. It must take into consideration the needs of the ships as well as the needs of the cargo, and it must provide the most effi- cient articulation of land and water routes. The establishment of free ports would give an opportunity to construct new facilities adapted to the needs of modern shipping. In connection with the investigations of proposed river and harbor improvements, Congress has indicated its desire that the question of terminal development be given full consideration. The act of March 4, 1913, required that all reports on such improvements should contain information upon the following: The existence and establishment of both private and public terminal and trans- fer facilities contiguous to the navigable water proposed to be improved, and, if water terminals have been constructed, the general location, description, and ase made of the same, with an opinion as to their adequacy and efficiency, whether private or public. If no public terminals have been constructed, or if they are inadequate in number, there shall be included in the report an opinion in general terms as to the necessity, number and appropriate location of the same, and also the necessary relations of such proposed terminals to the development of commerce. The act of July 18, 1928, contained further legislation on this subject, as follows: Sec. 7. That hereafter the Chief Engineers, United States Army, shall indicate in his annual reports the character of the terminal and transfer facilities existing on every harbor or waterway under maintenance or improvement by the United States, and state whether they are considered adequate for existing commerce. He shall also submit one or more special reports on this subject, as soon as possible, including, among other things, the following: (a) A brief description of such water terminals, including location and the suitability of such terminals to the existing traffic conditions, and whether such terminals are publicly or privately owned, and the terms and conditions under which they may be subjected to public use. (b) Whether such water terminals are connected by a belt or spur line of rail- road with all the railroads serving the same territory or municipality, and whether such connecting railroad is owned by the public and the conditions upon which the same may be used, and also whether there is an interchange of traffic between the water carriers and the railroad or railroads as to such traffic which is carried partly by rail and partly by water to its destination, and also whether improved and adequate highways have been constructed connecting such water terminal with the other lines of highways.