, 1874-04-30
Suuad 9ispatM.

-
BUSINESS OF RA1LRoADs.-Aw writer IN
the Walla Walla Spirit presents very
plausible argument to prove that the
Seattle and Walla Walla railroad would
not be paying investment. He says:
"I am wholly unable to see how,
with freights at six dollars per ton. one
half of the interest on said cost could be
realized from freights. when interest
was only ten per cent. per annum. The
running expenses of the road would
have to be first paid. Suppose We say
that to build and equip the Seattle and
iFalla Walla Railroad would cost four
and one half millions dollars; and that
is fair estimate. The interest on that
sum at ten. per cent. per annum, would
be $780, 900. The present grain pro-
duct of this country contiguous to that
road does not exceed 10000 tons. only
four-fifths of which, or 5000 tons, would
be for shipment. Now, suppose we
quadruple this amount, and we would
then have 80, 900 tons to ship annually.
At Sc per ton, $4,000 would be the
extent of grain freights for year. The
passenger travel between here and the
Sound would not average more than ~
persons day for 300 days in each year,
and $40 each would be high rate of
passage for $50 miles, This would give
us $4,000 per annum. Then the whole
amount of back freight from the Sound
would not exceed 10000 tons, or $4,000
at the highest, to supply double the
population we now have. Ten dollars
per ton would be high price for up
freights. This would add $3.50, 900 per
annum; so that the gross proceeds of
the road for one year, besides those
arising from the few cattle that we might
ship, would be from passengers, grain
and merchandise, or total of $4O2. 600
out of which all repairs of road, rolling
stock and running expenses must first
be paid. These will average per day
per mile of the road, not less than three
dollars, or $3.50 per day for the whole
line; or total of $263.750 This de-
Quoted from the years income. and we
have $l3S, $50 with which to pay $780,,
900, the interest on the first cost. And
this too when we have doubled in ropu-
lation, and quadrupled in products.
This is the most unfavorable view
that can be taken of the project; the
cost of the road is magnifed fifty per
cent. over the estimate of any competent
engineer; the running expenses of the
road estimeted at three times the actuel
expenses of any narrow guage road now
in operation, and the entire income of
the road estimated upon the basis of the
Transportation business of an aree of not
over 25 miles in extent. embracing less
than one-tenth Of the territory which
would be tributary to this road. The
writer of this article manifestly never
had the opportunity of observing the
effects of railroads upon the carrying
trade Of the country, or he did not learn
anything by his observations. The very
same character of argument, based upon
like premises-the carrying business
independent of railroads has been urg-
ed by fogies against every railroad ever
projected; and if railroad men had been
Influenced by them, there would never
have been a railroad built; certainly not
in any of the western States. But ex-
pertinent has demonstrated, with rare
exceptions, that railroads have increased
the travel and transportation over the
stage coach and lumber teams, ten fold
or more. There is every assurance, in
the inexhaustible resources of the coun-
try through which this line will pass,
and the admirable adaptation of the two
sections to be united to the interchange
Of productions, that an equally favora-
BILE result will follow here, for no line of
railroad ever projected, gave better
promise in the resources of trade.
The writer estimates wheat and mer-
chandize as the sole articles of trans
portation, with the exception of a ''few
cattle;" and these only the production
and consumption of portion Of Walla
Walla county; the wheat at 1000. 900
bushels. and the merchandise at Is, 900,
cat the highest" The surplus product
of wheat in the Willamette Valley was
estimated last year at 3,O00,0 900; the ca
pacity of the Upper Columbia basin is
more than four times that of the Villa
mette Valley. Instead then of $4,000
tons, paying $4,000 freight, we may
safely calculate on 100, 900 tons, paying
5000, 900 freight; which would pay 10
per cent. upon the cost of the road, run
ming expenses and all repairs. This,
it will be observed, includes but single
article of freight, and only one way, and
j is safe to estimate that all the other
{reights will at least equal that amount.
Y We will speak of the other resources
of this road tomorrow.
BUSINESS OF ENTHUSIASTICALLY
we showed that the surplus wheat crop
of the Upper Columbia basin, all of
which would be tributary to the Seattle
and Walla Walla railroad, estimated by
the surplus of the Willamette Valley,
will not be less, on the completion of
the road, than 1000, 900 bushels, nearly
100, 600 tons. which at Sc ton. would
pay $500, 600 year for railroad trans
portation to a seaport.
Wheat is but single article Of trans
portation. Hundreds of miles of rail-
road are being built every year in the
almost uninhabited regions of the West
ern States and Territories. where no
surplus products exist, and where the
entire business of the road depends upon
the influx of population and trade crea-
ted by these improved facilities of travel
and transportation. Narrow guage roads
are being extended, with satisfactory
! results, away out upon the uninhabited