The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1883-03-16
NEW ENGLAND's SCARE.
Cotton Manufacturers Frightened at the
Extraordinary Growth of Manufactur-
ing in the South.

New York, March 15.-The Times, dis
cussing the new railroad problem, says:
1.-THE subcommittee of the dry goods mer-
chants, who recently petitioned for a re-
classification for domestics, which are now
shipped as first-class freights, met in con-
sultation at COMMISSIONS Flnk's office, yes
terday, with the representatives OF the trunk
line roads. Among the merchants present
were Messrs. c. N. Bliss, L. G. Woodhouse,
William D.. Farwell. of this city, and Mr..
Green, of Green, Joyce & Co., of Columbus,
o. The merchants stated what changes they
desired in classification, the argument in
favor of these changes being based on the
fact that with existing rates they are unable
to compete in Cincinnati, Louisville, st.
Louis and other centers for the Northwest
ern trade, with Southern manufacturers
who have now entered that market as active
and formidable competitors. The only re-
lief the houses of this city can see is in n re-
duction of the classification of domestics and
a consequent reduction in freight rates.
Their requests were listened to, and they
were assured that they should be given the
most careful consideration.
1.-THE question, on the surface, seems a
simple one, and the suggestion of the mer-
chants plausible, as q means of affording
them relief. Ia reality, the question is one
of the most formidable, as well as delicate,
that traffic managers of railroads have been
SAtAS bPOb w OAicbAAC ~ SOCo q " OIlAl
the question of freight rates. 1t is a ques-
ton of the future existence of the great cot
ton industries of the New England States.
1t is a battle for life by those manufacturers
against their offspring in the South. The
transportation of these domestics to the
West is a very large source of income to the
trunk lines, and, therefore, it is to their
manifest interest to foster the business and
prevent all possible encroachments upon it
in the markets of the West. They find the
young blood of the Southern manufacturers
and railroads foemen such as they have never
heretofore been called upon to meet. During
the past few years New England heads and
hands, with ample capital, have gone South,
and with looms and spindles on the ground
where the cotton is grown, have begun on an
extensive scale the manufacture of sheet
ings and shirtings of a quality in no way
inferior to the New England product.
These goods can be laid down lin st. Louis,
Cincinnati, Louisville and other centers
at a less price than New England manu-
facturers can offer. The Southerner is nearer
the Western trade centerS, and so can reach
consumers at a less cost for freight than can
the New Highlander. Then, too, he deals
direct with the consumer, while the New
Highlander, in accordance with a time
hOnored precedent deals through a com
mission-house in this city. The New Eng
land manufacturers have discussed seriously
a proposition to take the business out of the
hands of the commission merchants of this
and other Eastern cities, and dealing as their
Southern competitors do, direct with the con-
sumers. Their agents would, however, cost
them as much as their commissions to the
houses in this city; and they find the freight
handicap, under the freight rates, after
manufacture, staring them in the face. How,
then, to maintain their supremacy in the
markets of the West is the question they are
trying to solve. How to keep this business
in domestics, and the Western trade in their
hands is the aim of the commission-houses.
Just here the freight rate looms up as a pos
sible relief, and, hence, the petition for a re-
classification and lower rates. The railroad
interest here enters as another factor in the
trying problem. If the railroads of the East
reduce the classification of domestics and
thus lower the rates it would certainly afford
relief, provided the Southern roads did not
also reduce their classification and lower their
rateR.