The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1889-01-19
THE CORN TRADE OF ST. LOUIS
In Danger OF Being Swept Out Of
Exlstence.

IN Danger or Being swept Out OF
Existence,
ST.. LOUIS, Mo-, Jan. lS-Through ad-
vices, which came to hand this morning
from Lincoln, Neb., it was learned on
Change that certain railroads in the
Northwest are contemplating scheme.
which, il put through successfully, will
prove the deith-blow 10 one OF the
largest and most important trade in
terests possessed by the city OF st. Louis
II is a fact generally known that this city
has been for years the second largest
corn market in the United States. It's
territory includes MISSOURI, Kansas, Ne.
bmska and Iowa. The receipts of corn
here since the first OF the year have been
LOCO, 900 bushels in excess OF that received
by Chicago. In other words. 1t. Louis
receipts have been 3, 100000 bushels. while
Chicago's receipts have been 1900, 900.
This simple statement will help TO convey
an idea OF the extent OF the corn trade OF
the city. It's one Of the chief, II not the
chief, features OF the city's trade in all re-
spects
For number OF years past this trade
has been maintained and increased by the
existence Of a freight rate from the ship
ping points in the Northwest, which is
called 10y the railroad men "diiTeren-
tia" This rate applies from all points
called Missouri River points, and west OF
these to all points called Missis-
sippi River points. st. Louis is one
OF these Mississippi River points the
dillerential works in this way: Corn is
carried from the very fields In Southern
Nebraska and Northern Kansas 20 this
city at rate which is 3 cents per 100
pounds less than the rate from These same
points TO the city OF Chicago. The conse-
quence is that corn is always worth 2
or cents per bushcl more in 81. Louis
than in Chicago. The diliereniial was made
and based on the fact that Chicago is a
long haul from these points. and 81. Louis a
short haul, and, Furthermore, that Chicago
can ship its corn 10 the seaboard for cents
less than II. Louis, owing to is proximity
TO the ports. Thus while st. Louis IL the
short haul from the cornheds the seaboard
ia the short haul from Chicago aud
the long haul from st. Louis. The
roads over which this corn Is hauled
from the cornfelds 20 Chicago are mainly
the Northwestern and the Union Pacific.
ahNF' ARf't hAhN wv W. AAAlN
city, but they have terminals in Chicago.
and they now contemplate n move which
will throw the entire crop OF corn shipped
FROM Missouri River points directly into
Chicago, placing II there free on board at
the very same rats which is now operated
for Mississippi River points.
The proposition which they are about 10
submit TO tho Western Association l. this:
That the rate on corn from all Missouri
Biver points and points west OF that line
20 all Mississippi River points namely. all
points south Of Burlington) be advanced
cents per 100 weight" This means that
corn can be bought in Chicago Tor exactly
the same price that IL can be bought in
st. Louis, aud the latter city will be com.
plctely swept out Of existence, 20 far as
ability 10 reach the scaboard is concerned.
With the present dIicreniial abolished,
st. Louis would be as powerlcss To COM
pete with Chicago In the matter oi export
Ing corn as Il would bo TO compete with
New York or Boston. II the exports could
be purchased iot tho same price In both
cities.
The Merchants Exchange has appointed
n committee 90 investigate the matter aud
argue with the railroads against any such
action.