The Rock Island Argus. (Rock Island, Ill.) 1877-1885, 1881-05-10
RIVER ROUTE.
Activity of the Boats on the
Upper River,
General News relating TO
the Water Ways.
AT ROCK ISLAND.

AT ROCK ISLAND.
The river continues to rise, but so lar
very little damage has been effected by in
undation of the low ground adjacent to
the river banks.
Diamond 10 was the steamer down to-
day, which was heavily loaded. The Grand
Pacific came up, and also had good car
go of freight.
The Jason is expected up tonight and
the Libbie Conger down tomorrow. Inc
White Eagle will also pass down to-mor-
row
RIVER RATES.
The New Orleans Picayune discourses
on rates as follows:
In the discussions of the merits of the
Mississippi river route following the open
ING of the iett:es. the steady reduction OF
the cost of land transportation on the
railways leading directly to the great cities
of the Eastern seaboard would more than
COMPENSATE for the advantages OF water
transportation in giving producers snort
er time in which the holder could feailZe,
to saw nothing of the benefit which would
be derived from better markets, Many OF
the most earnest and most enthusiastic
friends of water transportation, as far as
it would 90 were very unsettled on inns
point
The resolution lately passed at a meet
ing of the New York produce exchange,
held to favor the abolition of tolls on the
Erie canal showed how the New Workers
view the question now. The necessity
must of needs be pressing that would urge
so important measure as this The
resolution adopted on that occasion points
to the gigantic efforts now being made by
Canada on the north and rural cities on the
seaboard TO wrest from New York the
traffic in the products of the great west.
Most significantly the resolution closes by
saying 'sthe Mississippi and New Orleans
route now looms up. as one of our most
formidable competitors.
Mr.. Albert Fink, the highest authority
on the subject Of railway management in
the United States, into whose hands has
been entrusted the delicate task of manag
ing the great railway pool, gives the follow
ing testimony relative to the effect which
the present water competition is having
upon the trunk lines He confirms the ar
gument which we frequently made during
the last session of Congress, that the whole
country was directly interested in improv-
ing the Mississippi river, and that ten mil
lions of dollars expended in such work
would benefit the nation more than the
outlay of $500, 900, 600 in constructing rail
WAYS.
Said Mr. Fink. in a letter to the New
York World:
The railroad charges in winter cannot
exceed those in summer by more than the
expense of storage, insurance and interest
on the investment in the property to be
transported during the time navigation is
Of
property would be stored awaiting open
navigation if the winter rates were in ex-
cess of these expenses over summer rates.
1t is to the interest of railroad companies
to encourage by low winter rates the largest
possible movement of freight at the very
time when they have no water competition
so that when navigation opens there will be
the least possible amount of freight held in
store for water transportation. This is not
a mere theory; but the actual policy pur
sued by the railroad companies is shown by
the railroad companies is shown by the
fact upon which the Journal Of Commerce
comments, viz: That the rates on grain
were lowered on the 1st of April last from
30 to 80 cents. and have since been lowered
to 25 cents, although it will be a month or
longer before the opening of navigation on
lake and canal; and an additional reason
for this earlier reduction will be found in
the influence exercised by the present com
petition of the Mississippi river, in this
respect fully confirming the views expressed
by Senator Window"
1t is not to be supposed, however, that
even with the loss of the grain trade, that
any of the large cities North, East or
West will not reap indirectly some advan
tage of the low freight rates of our water
transportation. 1t is a fact well known,
that when the rates of freight are reduced
between Chicago and New York on &C
count Of the opening of the Erie canal in
the spring-when navigation is unobstruct
ed-that this reduction applied not only to
Chicago, but from all interior towns (St.
Louis Indianapolis, CincinnatD to New
York. If this was not effected, the result
would be brought about that the roads
running, say from st. Louis, indianapolis |
and Cincinnati to Chicago-would carry !
this freight to Chicago, from whence low
rail or water rates would take it to the |
East, and leave the direct railroad routes |
from these interior points to the seabOard |
without business. The same rule applies |
not to New York directly by the canal, but |
to Boston, Philadelphia and Baltimore;
because wherever rates from Chicago to
New York are reduced it becomes abso-
lutely necessary to reduce the charges to q |
extent elsewhere, Otherwise
New York and Chicago would do all the
business, and Baltimore, Philadelphia and
Boston would lose their share.
1t is curious to observe how far the eff
fects of the reduction extend. The dimi-
mutton of rates from Chicago and st. Louis
to New York, etc, lowers the tariff on
shipments from Western points via New
York, Baltimore and the ocean to the
Southern Atlantic ports as far down as
Florida, and from thence into
the interior Atlantic Gulf States to Angus
ia, Atlanta Montgomery and Selma. The
railroads running direct from Chicago and
ST. Louis via Louisville, Nashville and
Chattanooga to the same points are oblig
ed to follow the reductions made via the
rail and ocean route.
Hence it would appear from this that
the Erie canal, which has been jocularly
referred to as "a little ditch" exercises its
influence over the whole Southern coun-
try, and that all rates by railroad, in fact,
are kept in check by river transportation.
This influence, it must be recoIlected, only
extends when navigation on the canals is
omen and ceases entirely when it IL cloSo6