Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1889-05-19

! Wine ......................... 81 $50
Dried .ruit.and prunes....... .....,....... S75I52
Mustard seed, ''--',''.'.... 500
Nsoo
Conee ........... 5OS11
Logs. S75,s6O
] This freight was for points in the United States
east of the Mississippi river, chiefly Atlantic
seaboard cities and cities east of and Including
Chicago.
The efforts put forth by the Canadian Pacific
Railway to secure the west bound freight are,
| we have reason to believe, not less active than
I those employed in securing east bound tom
mage. but il is very difficult for US at the western
end-who handle more Of the west bound trat-
| fic OF that foreign rouie-to determine with any
| degree of precision the extent and value of
/ their west bound business from eastern to west
ern United States points: We have been able
TO ascertain, however. that in 1857 that COM
| pany carried not more than $500. 600 pounds OF
such west bound freight, while in the year 1855
they increased their traffic to an amount not
less than 10 10000 pounds in the aggregate, an0
our best adyices indicate that we need not be
| surprised II the extraordinary ratio of increase
thus indicated should, under existing cireuIa-
stances, be greatly exceeded for 1889 As illus
/ tratve of the probability may ciie that an ex-
animation OF the ma1itests OF the Pacific Coast
Steamship Company's steamers arriving at this
| port nom Vancouver with freight. ex Canadian
Pacific Railway, show that during the first four
mouths of less there were brought here by that
route 0Oo9 packages, the weight of which we
cannot determine whereas during the first four
| months OF 1889. the number of packages so
| Landed here has increased to SIS SIG packages
| T. Please state what steam or other vessels
are engaged tn transporting between san Fran
cisco aud British Columbia.
A.--The Oregon Railway and Navigation Com
pany's steamers TO Portland, with connecting
steamers northward; the Pacific Coast Steam.
| ship Company and the Wells line OF clippers
ana steam coasters are | believe the only
| transportation lines regularly plying between
San Francisco and British Columbia although
| there are probably other sailing and steam
| eoastlng craft engaged in the traffic. For a time
the Canadian Pacific steamers 10 aud from
I and rata 10 nj
| via San Francisco. calling here on each trip,
and may do so again when they deem il eXpedi-
| ent.
-. What eifor ara made and what induce
| ments offered by the Canadian Pacific Railway
to secure the shipment of freight from san Fran
cisco to Atlantic ports of the United States by its
road
A.-On August u.s. 1856 the Canadian Pacific
Railway announced the es ablishmert at san
Francisco of general agency, for the securing
of freight and and passenger traffic, General
Agent being then appointed to actively enter
the field for business. That general agency is
still maintained, and has at all times since that
trstfic
The inducements offered are careful attention
tothe traffic aud quick ume, coupled with Il
lower rate when shipments are made by the
Canadian Pacific Railway than when made by
the American rail lines At the present time
| the relative rates charged, for example, TO the
Atlantic seaboard points-New Nors, Boston,
| Philadelphia, etc.-by the American lines and
the Canadian Pacific are as follows. governed
| by the western classification, like Classmates
aud like differentials applying also on overland
| freight shipped from the Eastern TO Inc Pacific
| States
AMERICAN LINES
/ 2 4 a B G y E
40 SO 2S5 $50 200 200 $50 Jas $50 40
CANADIAN PACIFIC RAILWAY.
2 ; 5 II c d E
$50 S35 go 30 $50 lS5 l65 1873 l2O 1i21s
| To illustrate by commodities The rate on
grease wool, compressed in bales from San
Francisco to New York by the. American rail
lines is 81 SO per 100 pounds while shipments by
| the Canadian Pacific are charged 81 IS per 100
| pounds. being a difference of II cents in favor
of Canadian Pacific. By the American rail
| lines canned goods, in carloads, TO New York
are charged 81 20 per 100 pounds, while ship
ments by the Canadian Pacific are charged 81 10
per 100 pounds.
During the sixteen months ending April 80
! 1889, the Canadian Pacific carried ON San
Francisco to st. Paul 1099.09l pounds of sugar,
at q rate of 20 cents per 100 pounds while the
rail lines in the United States would charge 65
cents per 100 pounds thereon.
These diterential rates which the United
| States roads were compelled TO accord the
| Canadian Pacific Railway were devised as the
best available plan for preventing the foreign
competitor from practically destroying the
| through traffic of the Initeo States roads. be-
cause the canadian Pacifc's local business
not being subject to the interstate commerce
law, they are in position TO absolutely dictate
and control the rates ut which the United States
lines may carry through traffic, by simply
undertaking United States lines and pursuing
that policy until they obtain a recognition
which their geographical position and CONNER
cial influence could not themselves secure.
1t may be true that, theoretically, the Cana
dian Pacific Railway is subject to the interstate
commerce law on interstate traffic passing to or
from Canada, but it is obvious that while the,
\ United states roads are sublecs TO sll the re-
straints the Interstate Commerce Act imposes. il
is impossible for this Government to hold the
Canadian Pacific Railway to an observance of
the law. for the United States can have no iu-
risdietion over the rates charged on intermedi-
ate business picked up and laid down in Canada,
which together with the relatively small
amount inIerchanged between points in Canada
and the United States amounts 10 96 per cent OF
| that comnany's entire earnings, according to a
published letter from the President OF that
company.
The Canadian Pacific Railway can thus make
| rates on through business without interfering
with its earnings on traffic between Vancouver
on the west and Canadian frontier points on the
east, or between points intermediate thereto
| Even on business for example. from Fan Fran
cisco to Canadian points, formerly wholly en-
joyed by the American roads, we have no means
OF knowing whether the Canadian Pacific Rail
way obeyS the law or not in this regard, for that
company might take freight to Winnipeg at
higher rate than for same class of traffic through
| winnipeg to Cnicsgo, but the consignee in
Canada, even if he knew the law, would be un-
likely to seek or receive redress from United
| states Court or Commission as against Cana
dian road.
Shippers from time to time aver in forsaking
United States lines that one indue =naent to shin
by the Canadian Pacific is that the published
classification is closely adhered 10 if frei is
shipped by the American lines. whereas ii they
ship by the Canadian Pacific there are no pre-
cautions against improper representations of
contents OF packages or Undertaking.. We have
neither the right nor the power TO test whether
such allegations are welt founded or not
l may observe, however, that the Southern
Pacific Company is the receiving carrier for all
east-bound and the delivering carrier for all
west-bound overland freight transported by rail
from or to San Francisco and adjacent cities in
California and as such is held TO a strict ac-
couutabillty for proper classification and billing
OF freight, both by reason of its own interests
and the jealousies of lines interested on the one
hand. and for the due protection of the public
on the other The Canadian Pacific, on the
contrary, being practically its own censor, and
az the same time eager to secure trstfic, would
naturally not be very solieitous to detect the
schemes of shippers for evading the published
tariffs.
II state generally what is the effect ofcompe-
tition OF the Canadian Steamship Company
upon American lines.
A.-The Southern Pacific Company and con
nections have suffered large loss of revenue
through Asiatic traffic being diverted by the
Canadian Pacific steamers for transportation via
Vancouver to and from points in the United
States and Canada, which, before those steamers
were put in operation, reached its destina ion
by way of San Francisco.
The first Canadian Pacific steamer in compe-
tition with lines delivering at San Franci,co
sailed from Yokohama May 81, 1857 but i'll their
anxiety to make their influence felt in the COM
merce of the Pacific and divert the traffic from
American lines, they ran line of clippers, COM
mencing with the bark w. B. Flint. from Yoko-
| hama, June 20. 1885, and in that year thus di-
verted 100000 pounds of tea to the Vancouver
route During the year 1883 nineteen steamers
delivered their cargos of tea and silk TO the
Canadian Pacific Railway at Vancouver, which
consignments would otherwise have been for
warded through San Francisco over American
roads. The traffic value of this diversion can
not be accurately determined through lack of
the full details necessary for exact calculation
but It is safe to say that merely by this diversion
from San Francisco the loss to the Southern Pa
clfic Company and connections for the year
1855 on such east-bound business was not less
than S27l 600 on tea aud S230c0 on silk or a Total
| loss for the year of say $500 000.
| Further, for the year 1887 the American lines
| carried Is, 333, 54 pounds of tea while for the
season OF 1883 they carried but Is 6S7 565 pounds
| Icing loss of 20 per cent.
/ On the other hand, during the season of 1887,
the Canadian Pacific carried $500 e61 pounds of
] tea, but in 1888 carried 1852 Gil ponds, being
i gain OF 81 per cent. OF course every pound
OF tea carried by the Canadian Pacific was BUSH
| ness which the American lines should still have
enjoyed. The loss in tonnage, however, repre-
seuIs but partially the damage done by the COM
petition OF the Canadian lines.
The average through rate from Asia to East
tern cities on tea in 1885 was g 81 per 100
pound, in 1856 50 a. in 1857 fell to 81 0S and
| in 1888 was further forced down by the foreign
competition to 81 70 per leo pounds. Incident
| ally, 1t may be observed that the difference in
the ffeigh rate cannot benefit the consumer to
any appreciable extent, although aggregatiug
/ L.. 1~.--