Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1872-06-01
THE GRAIN TRADE.
Another Letter from @New Yorker Sus.
tanning His Former Views.
Review Of "RefOrmers" POsitiOn-Ex-
pense Of Shipping Grain in
Detail.


MEMPHGs, May q, 1871.
EDITORS APPEAL-If not already
tired Of the discussion in your columns
of the question Of grain transportation,
| desire to reply to some points made by
your correspondent 'Reformern In yours
of the twenty-sixth instant, as well as Il
offer a few additi5hal Suggestions Oh the
subject.
In my former Ietter 1 did not pretend
to give all, but some of the principal
reasons why the river and New Orleans
route is not al present looked upon with
favor by shippers Of grain at the West
and the c~onsignees of the same In the
Eastern markets. / am aware that
Iamong the reasons the great expense OF
hafbof charges, harbor towing and liter
age, etc, at New Orleans, constitute nc
small portion, but most Of these may be
obviated, as / shall presently endeavor
to show.
If money facilities may be as easily
! obtained for haulingt the grain crops, and
/ the difficulty of heating be removed OF
prevented, while in transit, the inexera-
bic laws of trade would soon regulate the
business, and the rOute.would soon be-
come a favOrite one with shippers ami
consumers,
"Reformer'' starts out with a fiat de-
NAL of the fact that grain heats at all
while in transit by this route, unless it
Is wet. | trust he viii not deny the
long established fact that a large portion
ofthe corn and considerable wheat does
become heated while passing by the
lake and canal between Chicago and
New York: and if neither is subject to
such injury by the river and New Or
leans route, as he claims, that fact alone
would enlist every receiver of grain at
the East strongly in favor of it. ! assert,
positively, from personal and extended
experience that much0f the corn shipped
at Chicago during the heated term is out
of condition on its arrival at Buffalo or
Oswego, or when only six to twelve days
on shipboard in eargoes of fifteen thou
sand TO thirty thousand bushels6 and is
sold at those points for distilling, starch
manufacture, or grinding into fuel for
immediate consumption, or else cooled
by elevating and changing it from bin
to bin, until considered safe for shippers
by canal. / assert, too, that much of
the corn, and also considerable .quanti-
ties of the spring wheat, transferred from
vessels TO canal harges at those ports, ar
rive in New York out of condition, and
unfit for shipment to Liverpool or else
where, l am fully aware that many
barge loads Of grain arriving in New
York by land, are in good prime cOndi-
ton, having the true click or ring, are
readily taken for shipment, and being
in prime order, may be carried to Liver
pool, the West Indies, or in short, any
where without danger from becoming
heated; but the proportion of such grain,
especially corn, is small when compared
with the entire receipts in New York.
By far the largest portion of corn arriv-
ing there is sold on the spot, for the
same purpose as before stated, and for
early consumption in the New England
States, and at less prices than are OBJ
tanned for shipping grain. For proof
of these statements | would refer IRE
former to David Dows and Jesse Hoyt,
Esqrs., the largest receivers of grain in
New York, as well as to L. ]. Highly,
ESD, who had many years experience
in the grain trade by lake and canal.
Now fall this heating is avoided in
made By this route, as ere
former claims, it will be welcome news
to Western shippers, as well as to East
ern buyers of grain. | grant that "prine
shipping grain may be sent Uid the
and New Orleans route and arrive
in New York in good order, but grain
produces buyers, and shippers want al
route by which their entire crop may go
10 market, and notone-ffth or One-tenth
"ReformerS says cotton was formerly
sent TO the market Ujd New Orleans, and
'acitiously asks if heating has anything
do with its diversion to other modes |
# conveyance, etc. In reply / will say
hat formerly large numbers Of passen-
yers, silks, and all kinds of dry goods, |
hemp, and merchandise, how
,yer valuable, were transported on the
Erie canal. Now the carrying-trade of
hat canal is confined almost wholly to
course freights and articles Of no great
when estimated by the ton or
pound. Railroads have changed all this, |
and the demand for quick transit have
all valuable merchandise, and
even -four, beef, pork, and rolling freight
rom canal to railroad, or from the slower
% fast lines or routes. The saving of in
alone on silks, dry goods, teas,
costly drugs and other fine goods,
amounts to more than the entire freight
railroad. Beside the question of time
5 ofgreat importance, and exerts a pow
arful influence in sending these articles
Dy rail. Perhaps higher prices for the
itself with the demand for speedy
.ransit may have something to do with
1 am fully satisfied that a tri-weekIy,
perhaps daily line of sailrigged steam
)ropellers, having twelve, thirteen or
feet of water, carrying one thou
one thousand two hundred, or one
thousand four hundred tons each, built
md nodded with especial reference to
he trade and route, would be the best
for carrying grain between New
orleans and New York. They should
)e provided with the new compound en-
zine recently introduced and used with
treat success on the lakes, by which the
Of fuel has been largely reduced.
This would so reduce the expenses for
Uel that they viii easily compete with
vessels or ships, and make their
promptly, regularly and in good
ime. But this a only be done by
combinations embracing capitalists en-
ragged in commercial enterprises. The
hip owner, grain buyer and banker
all be enlisted in favor of the
cute. All these would seem naturally
o drift into inviting and advantageous
'hannels of venture. The Erie canal is
)ecoming a greater evil year by year by
means of breaks and delays, andthe de
ention to grain in transit thereon this
eason is greater than for many previ-
us seasons; and even at this date no adj
ices have been received of any arrivals
f boats from Buffalo at tide-water.
is III very strong argument in IA
'or OF the river and New Orleans route.
Vow, / contend that with such facilities
/ have indicated, with good lines Of
team barges on the river having about
he same tonnage capacity as the steam
'ropeliers, the route may become q fa-
'orite one, even if shippers and carriers
re compelled to dry, as suggested in
ny former letter, three-fourths of the
Orn and One-fouRth of the wheat car
led. Let us examine the expense in de-
all Of transporting grain from Chicago
o New York.
ay elevator, shipping, draw
age commission at Chicago
on corn well known 70 be L
excessive by reason of a II
combination Of elevator
axe freight to Buffalo av-
ufalo eIeyaiing and ship
ping charges and insurance &c " q"
Canal freight, including |
insurance, aVerage~----.-l2c " "
Freight on wheat is about two cents
er bHhel higher, or averages thirty
ents. This would afford a remunera-
e. ~ - J.