Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1883-12-27

SOAeA thAONSh
But in the case of Sacramento she has in.
deed greater right to claim special privi-
leges than has San Francisco, since as mat
ter of fact she is nearer the eastern point
of departure for freight than San Fran.
cisco.
1t would seem that after all these
years there should be no need for effort
to make clear that which has so often
been demonstrated. San Francisco is SO
located that she has water communication
with the Eastern markets of supply. She
is the terminal point for rail and ship; and
here the competition begins, and it extends
| lust as far to the interior as the waterway
is competitor with the railway. Her ad-
vantages, then, are coequal with those OF
places similarly situated, and if these
have additional natural economic advan-
tages, they are independent of, and cut no
| figure whatever in the matter Of determin-
ing the measure of freight charges. Neither
ship nor rail carrier has of right anything
| to do with the domestic facilities of any
point for answering the demands OF local
market, and in no sense can take these
facilities into account. But the Eastern
carriers over whose lines the westward
haul begins are the chief agencies
in determining what is and what
is not competitive point. 1t will
be remembered that some consid-
cradle time elapsed after the completion of
| the first transcontinental railway before
Sacramento was recognized as terminal
point for wherever ship and rail meet on
routes beginning and ending alike, there is
tition steps in and adjusts the rate of
charge In all other cases the rate is made
of different factors. So, after time, Sac
ramento was recognized by the Eastern
companies, and they were brought to this
not so much by persuasion as by the cold
logic and undeniable results of commercial
transactions. The recognition gave Sacra-
meuto nothing new, except in the single
matter of speed of freight movement. That
is to say, she secured goods at rates from
the railroad lines that were yielded because
she could do without them. II it is said
that she was compelled Heretofore to pay
charge for longer water haul from the
final terminal point. it is replied that the
haul by rail is that much the shorter,
and she therefore should, as she doeF,
have rail freights at the same rate as San
Francisco.
The Board OF Trade of this city has very
properly recognized the Importance of the
admissions the Bulletin and the San Fran
cisco merchants have made. 1t may be COM
forting to the San Francisco jobber to re.
feet that the protest on his behalf by
commercial advocate has been turned into
a weapon of offense, and its point aimed
against the hand that originally directed
it. The matter has also attracted the at
tention of Freight Traffic Manager Stubs,
of the Central Pacific Railroad Company,
and he has deemed it worthy of notice
from his department, and which he gives
in brief letter in the Bulletin of the q i.
Mr.. Stubs takes the protest of the mer-
chants to be a square statement or charge
that the railroad company Discriminate
against San Francisco. This accusation he
pointedly repels, and adds that if the San
Francisco iobber is serious in preferring it,
he has done violence to his judgment by
making record of it. He points out that
the railroad contract system cuts no figure
in the matter, and has no relation what
ever to the subject, since the policy of the
transportation companies has not been
changed by it, and in matter of time really
preceded the contract system. That this
latter has brought the cost of rail freight
carriage down to the cost via of Cape Horn
cannot be considered, he holds, in any
light as discrimination against San Fran.
cisco. 1t gives the. interior points advan-
tages enjoyed exclusively by San Fran
cisco when Cape Horn and Panama freights
were the only freights. He points out
that Sacramento is not dependent upon
rail routes wholly; that she can
ship from the East by water, and
with but one handling bring her goods to
her own wharves, and is therefore a COM
petitive point with San Francisco, suffer.
ing but slight disadvantage for the add-
tional haul of l27 miIes. But this, as is
we'll known, is more than offset by local
advantages, as the lessened cost of handling
on arrival and on delivery to interior buy.
ers, to say nothing of the cheapened cost
generally of doing business in Sacramento,
and the absence OF tolls the San Francisco
merchant must pay and must charge to the
margin OF his profit. Mr.. Stubs asks the
San Francisco dealer if he seriously means
to say tina: q railroad company would be
justified in considering the fact, in adjust
ing its freight rates, that a Sacramento
merchant has natural and Independent ad-
vantages, and deliberately set about to de-
spoil him OF them? In conclusion, he
points out that the constant policy of the
rail carriers has been to recognize the laws
of trade. If they attempted to occupy a
different position they would mee5 with
Just punishment. The DEGREES of COM
merce establish certain determinations
without which trade would not be con-
served. but these are fortified by
reason. To fly in the face of these
immutable DEGREES would be suicidal on
the part of the rail carriers and give the
lie to the reputation they now enjoy as
shrewd and ar.seeing business men. But
4 more important communication is that
by General Manager Towne of the Central
Pacific, to the San Francisco merchants
who addressed him on this same topic 1t
is document covering the whole subject,
and exhaustive of it, and therefore entitled
10 fuller consideration than we can now
give it.
III