New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1874-01-23
ST. LOUIS MEMORIAL.

( | Merchants EXCuauSo u o. Aou1o 81
dressed to Congress, and showing tn
importance of deepening the channel an
outlet passes of the Mississippi:
; I. The accumulation of statistics show
the immense capacity Of the interior Yves
to produce animal and cereal food.
2. The insuficiency of the existing O
projected water lines to the East to move
these products.
3. The rapid transfer Of the cerea
centres West, and the rapid approach to
dead point at which these crops will bt
worth producing at the present cost o.
moving them to market.
In these propositions we agree, even
without the array of figures which accom-,
pany them. We accord our admiration to
the labor which has fortified so well an
impregnable position.
There is one point in which the memo
rial is defective. 1t is in the theory that
all freights move on the cheapest routes.
The great fact that with the undisputed
economy of the Mississippi over Eastern
rail such immense weights cross the Mis-
sissippi is sufficient to demonstrate a
fallacy in the cheap trade way doctrine.
We will not repeat here our reasoning
often employed to prove that freight is a
mere incident to finance. The movement
of values is dependent upon the facilities
of consummating the act Of sale. and
while nature has provided a current which
would float cargo from ST. Louis to New
York in forty days, yet no shipper IN st.
! Louis would consent to lay out his
| money or to risk market rates for that
| length of time We often illustrate the
position that cheap freights do not control
trade where time and distance are thereby
enhanced, by our own shipments of cot
ton to Liverpool. Here is the same staple
going over common route to common
market, yet shipper will take up
steamer at one-eighth pence more than
sail vessel will demand for the same
cargo. Why is this? The buyer of cotton
may purchase on the credit of the cotton.
If he ships by mode certain of consum-
nation at given day, he can pledge the
cargo to cover the purchase. If he ships
by cheap and uncertain mode, the
shipper must put up collaterals. Any
man of good character can buy and ship
by steam; none but capitalist can buy
and ship by sail. There are other consider
atoms of capacity to reach and control the
market, to which we need only advert.
The fact that railroads do carry across
navigable rivers and canals the immense
values stated, proves that this financial
consideration is the prime motive with
all men who move values to market. The
almost exclusive transportation of i'm
ported and Eastern merchandise by rail,
and even by express rail. confirms the
proposition. The almost total discon-
tinuance of that cheapest of all modes
the hatboat, is conclusive evidence on
our waters, while the rapid substitution
Of the ocean steam propeller for sail, rem
ders further argument unnecessary.
The Mississippi is noble and invalua-
BILE stream, but the market demand for
American provisions is in Europe, chiefly
on the parallel of New York and Montreal,
and the detour of seven thousand miles
against four thousand, of thirty days
against sixteen days, gives the financial
advantage to the financial centres at the
East. 1t is usual to say that railroad
can not transport as cheap as water
route. The railroad owns the way, and is
the common carrier. 1t thus unites a
capacity to make one commodity make up |
non-proft, or even the loss on another. |
Passengers, mails, express goods, treas
ure may be transported on the same road |
by the same company. Hence, when a
train may carry East twenty thousand
bushels Of corn at competing rates with a
canal, the same train may load back with |
first class goods, while the canal does not |
contend for such fast freights at all. Let |
US not undervalue our opponents. When |
st. Louis builds railroad bridge, at a
cost of million or SO of dollars, across |
the Mississippi, we are curious to know
what she wants with it if the river COM
mands the whole commerce that can float
When we take the immense amount of |
surplus and unstable grain computed by
the memorial, it surprises us that the true
cause of stagnation has not occurred to
the compilers. |
We beg gentlemen to look at the Euro-
pean demand, the competition Of the
Black Sea and Danube, then at the unlim-
tied capacity Of the United States to pro-
duce, and ask themselves, ''Where is the
market for all Of this surplus?' 1t is not
to be found in Europe. The whole tenor
of the memorial and its statistics goes to
prove plethora, an oppression or suffo.
cation of surplus. This very surplus be.
gets an anxiety to reach market fatal to
those who pursue slow and cheap routes.
There are for this two remedies. which We
shall state and not discuss:
|. A continental home market from
New Orleans to Cape Horn.
9. The prosecution Of domestic manu-
factures which works up this surplus into
portable products. For this policy the
river, with its tributary rail
roads, becomes the adequate. inevitable
and invariable route.