, 1873-06-17

PRO RATA.
There is just now considerable agitation
among tho farmers OF Iowa and other Western !!
Btatcs, including cyon KanaaB, in favor OF adopt
ing the Illinois pro rata Inv, which demands an
inorcaHo Of tarin according to distance. II tho
farmora' movement woro in favor OF high, in
atoad Of low, freights, it would bo difficult to
suggest a moro direct procoss for arriving at
that end. To fully satisfy the Split OF the de-
nand, that there shall be nbaolutoly no disorim-
inntion in the transportation Of grain from tho
Northwest to tho Atlantic seaboard, no must
presume TINT not only Illinois, but Iowa, Wis
oonain, Minnesota, Kansas, md 1ndinna, Ohio,
Pennsylvania, Now York, and Now Jersey, will
adopt tho pro rata syatom. When this condi-
ton Of things shall be established, how will tho
Iowa, Wisconsin, or Minnesota farmnr got his
grain to market at all2
Tho pro rata problon la by no means now to
tho railroad managers. Probably tho largest
experience and best talent In the country havo
been engaged in making up tariffs bcat adapted
to tho interests Of oil their patrone. They havo
figured cut rates evon to the hundrodth part of
o cont, md havo applied every known principle
OF mathematics to strike tho mean that would
apply boat to the business along the line Of
their roads. It. now, tho 6tatos are to atep in
and compel them by law to charge an additional
rate for ovory station, they can hardly DO OK
peoted to overcome tho geographical boundaries
Of tho country and conform to such law ut
ono and tho eamo time. Tho practice
Of railroads heretofore has boon to ascor-
tain, as nearly as possible, tho average cost
Of freight per ton per mile, estimating
thoir through and local business together. In
pursuance Of this policy, thero has boon mn
torial reduction Of rates during tho pnat five
years On all tho principal railroads In tho coun-
try. Tho lust report Of tho Directors Of tho
Michigan Southern shows that tho average rato
per ton por milo for local and through business
for 1868 was 243 cents; for 1869, 2.84; for 1870,
LEO; for 1871, 1.a9; for 1879, 1877. Tho local
rates on tho Michigan Central Railroad for tho
past two OF throo years have been from $50 to
2.7o ccnta por ton por mile. while tho through
rates have boon in tho noighborhood Of 1.19
conts por ton per mile, II tho pro rata rulo
sauVulu 90 applied from tho Northwestern grain
districts to New York, the most favorable
plan thnt could possibly be adopted
would be On increase in tho basis Of
tho average local rites. The best average
local rateb would be s.25 per ton por milo. At
this ratio the freight on whoas from Winona to
Now York would bo S1.2o por bushel instead Of
10 cents, the average under the prosont tariff,
or 80 cents per buahel highor than 1t ia nov.
This would bo On basis Of average local
froights, however, on single road and under
ono control. But as each State 1aw would con-
troll the road-bed lying within its boundaries, 1t
would be impossible to comply with tho law by
making up pro rata tariff On m average local
rato. No railroad could be asked to carry
freight at loss over any portion Of its road,
and us ovory road would bo obliged to
contemplate tho loss Of through business,
1t would be necessary to start tho tariff ut
tho actual cost Of carrying freight from ono
terminus to the nearest station, and then build
up on this baBia. This process would havo to be
removed in eyery State, In order to comply with
tho various Laws. In effect, then, q pro rata law
make the freight from Winona to Now York
sum equal to tho addition Of oil tho intermediate
local freights on the seyornl roads aud in tho
several States travoraod. Just what this sum
would be wo hayo no moann Of ascorsaining but
1t would certainly amount to several dollara
por bushol. II tho grain could DO sold
in New York at this rate, tho railroads
would certainly hnvo co objection to the adopt
tion Of pro rata law in all the Btatea, as thoy
would derive all the benefit from 1t. But as tho
ofToot would inevitably be to shut OF from mar
kot Ill those districts 10 far from the Eastorn
markets as to make tho aggregate Of local rates
in oxcesa Of tho ruling price Of grain, the far
mors would cease to ehip anything, tho trans
portation business would come to stand-Rtiu.
and farmers aud railroads would 50 to pot To-
getler.
Tho farmers Of Minnesota, 1owa, and Kaneas,
WHO arc now demanding pro rata law like
that Of Illinois, do not know what they arc talk
Ing about. They arc misled because they And
III tupI 1u1A4GAlhto AGItIINAA1uA bAAk c!lPtCA
some tn onty miles further from market than
tloy aro haa grain transported for the samo
price, and because thoy think that their small
advantage and his email disadvantage Of loca-
ton should enable them to do tho business first
aud leave him to taLo his chances afterwards.
Tloy do not atop to think that law which
would apparently sccuro ao.ao OF them such an
advantage would, on tho contrary, discriminate
against all alike, sinco 1t would shut out all Of
thom from markot. It o Inv similar to tho I'LL.
nols law existed and woro onforcod IN 1ndiane
and Ohio Qt was once passed. by ono branch oi
tho Now York Legislaturo), it is exceedingly
doubtful wlothor tho surplus grain Of Illinois
could bo shipped to Eastorn markets. by railway
or to Europe pia tho Eaato1a States. Cor