The New York herald., 1874-11-24
New York and the Western Grain
Trade.

eneu, the question OF cheap transportation
divides itself into two hea.ds-terminal facili-
ties for storing and handling grain at this
port and rates of freight on the railroads con-
Meeting the Atlantic seaboard with the West
The first OF these heads, though of more i'm
mediate local interest. we will not discuss at
this time, preferring to wait few days until
the organization begun at the Chamber of
Commerce on Friday is completed and has
had an opportunity to set forth its policy.
The parties to the new association are so re-
spectacle and of so representative character
that Its proceedings will be watched with
lively interest, not only here, but throughout
the West and among the rival Atlantic
cities that aspire to take away our
trade. This association consists of depu-
ties from the various bodies representing
the trade Of the city in its different branches
ana aspects, including the Chamber of Com
merce, the common representation of them
! all; the Cotton Exchange, Produce Exchange,
Butter and Cheese Exchange, Importers and
Grocers' Board of Trade, and the Cheap Trans
portation Association. A combination Of these
influential organizations affords reasonable
hope that this great subject is at last to be
taken hold Of in earnest, and that measures
for retaining the Western trade will be prose-
cuted with vigor. The new association repre-
sents heavy capital and will be powerful
enough to accomplish every object on which
its members may agree. Improved docks,
warehouses; elevators and conveniences of
every kind for expediting and cheapening the
transshipment of grain and other products at
this port come within the scope of its plans,
and we trust it will soon present propositions
definite enough for particular discussion by the
press 1t is manitestly for the interest of this
city to attract business by offering every kind
of local convenience that the boldest policy
on this subject is the best, and we trust the
new organization will not proceed with halt
ing steps or stop at halfway measures
But reserving the great question of local
improvements we call attention now to the
comparative cheapness of the several routes of
transportation between the West and the sea-
board, apart from the cost of delivery and
transfer at the Atlantic ports Now that New
York is awakening from its lethargy it can
certainly provide cheaper terminal conven-
fences than exist in other cities, because
steam elevators and other appliances tor
handling grain are profitable in proportion to
the amount of business they do, and if the
foreign grain trade can be practically monop-
olized by New York we can do the business
more cheaply than rival cities, on the same
principle that wholesale trade can be trans
acted at smaller rate of profits than retail
trade. This part of the problem
community is once thoroughly aroused to its
importance. But the strictly transportation /
part of the problem is not SO entirely within
local control. We cannot, for example,
shorten the distance between Chicago and
New York, or between st. Louis and New
York, and make it no greater than the dis
tance between those places and Baltimore.
be deprived, must be Offset by other advan-
tages offered by New York, of which cheap
ness of local transfer is one of the principal
The Baltimore and Ohio road, since the
recent completion of its Western connections,
is much shorter route to tide water than any
of the roads terminating at New York. From
St Louis to Baltimore, since the completion
Of the new cutoff, is only 919 miles, while
from st. Louis to New York is l,050 miles by
the Pennsylvania Central and still further by
the Erie or New York Central From Chicago
to Baltimore is only 815 miles, but from
Chicago to New York is 800 miles by the Penn
sylvapia Central-the shortest of all the routes
But there is some compensation for greater
distance in easier grades, especially by the
New York Central, which climbs no noun
tains, and has, with its connections, q nearly
level roadway from Chicago to the sea. New
York has another advantage for the foreign
grain trade in its greater nearness to Liver
pool and the abundance of the shipping plying
between it and European ports. But, on the
other hand, the Baltimore and Ohio road has
always been under excellent management,
has never watered its stock, and is under
necessity of earning interest on but small
amount of capital as compared with its rival
roads. Its capital stock and debt together
amount to only $45, 772, 864, against
Sill ,290259 for the Pennsylvania Central,
SILT, 153, 633 for the New York Central and
s126, ,456, 052 for the Erie. It is an obvious
consequence of these figures that the Balti-
more and Ohio can underbid its rivals in
freights, and yet pay larger dividends on its
stock.
The countervailing advantages by which
this difference of distance, debt and stock are
to be met are more than sufficient to balance
them If New York will furnish cheaper facili-
ties for storage and transshipment We have
already referred to the easier grade of the
New York Central. whose route lies through
the depression in the great mountain range
which runs parallel to the Atlantic coast. 1t
has still greater advantage during the season