The morning call., 1893-05-02
TO HAMMER. AWAY.
The Traffic Association Is
Alive.
PUSHING THE VALLEY ROAD,
How the Competition " of the New
Steamer Line Is Building Up:
Central American Trade.


1.-THE work of the Traffic Association is. not:
ended; it is not fairly, bsgup," said: Mr.:
Leeds Yesterday, when :.sneaking Of a re-:
port which credits him. with having said,
.'If the Southern Pacific Company gives
California reasonable local rates and ceases
to stifs overland and water competition. MY
work with the Traffic Association will come
to an end"
"Our efforts, continued ::Mr: Leeds. will
not cease until California is completely sup
piled with trans hortation facilities
Speaking of the San JOAQUIN Valley road
and what it would accomplish, he saidE -.
''It would do much that California wants
done in that section. The. immediate re-
suit would be the constructions: of branch
hnesto all parts iotthe valleY,.d the South
ern Pacific did not see fit to.TedGee rates to
proper basis: i consider. that the CON-
mencement of that, road is equal 10 a soiu-
ton of the~transpnrtaten- question lin Call-
fOrnia, for it will throw open fertile valleys
ard towns which are. q oW struggi ng,, aud
within five years their population would DO
doubled"
According to MI Leeds ideas on the sub
jet people are wrong TO be skeptical as TO
the possibility of road such as that con-
templated becoming paying enterprise.
They seem to think that the new road
would simply have 10 divide the present
| business with its competitor, the Southern
Pacific Com pany," said he. Such, how
ever. Is not the case, for a new road would
bring its own business by Increasing in
dustries and population in the district it
covers"
The Southern Pacific Company's gross
! earnings in the San Joaquin Valley are
| roughly estimated at $4,000 per mile
! year, but Mr.. Iced is fully satisfied that
competing road could make considerable
! profit If its receipts were only one-hall that
amount.
| a committee from the Traffic Assoc iatiOn
| Is now interviewing local capitalists with a
| view OF raising part OF the money needed
| for the new road here. and within few
| weeks the committee Will visit the localities
| through which it is proposed to run the
| line with similar object.
| The North American Navigation CON-
| pauy has not adopted new schedule as yet,
but it is supposed that special rates can be
| obtained by shippers.
| The steamer Mexico is expected here
| Wednesday or Thursday and the work Of
unloading and reloading her will be rushed
| through.
In speaking of the opposition line yester-
| day, repreSent ative of the firm of Messrs.
| Ohver & Co.. who are almost exclusively in
the Central American trade as commission
merchants, said:
You have no idea Of the amount of
benefit the Central American trade has
| derived from this competition. We intend
to lend our aid to the new line If for other
! reason than because we know it pieases our
customers dawn south. 1t is the duty of
every commission house we think to look
after the interest of its customers first, last
and all the time.
THE CALL is right in stating that the
| trade OF Central America has been grad
ualiy drifting toward foreign countries. The
reduced rates afford a market in this city
for lower grade of coffee than it has been
customary tn ship here on account OF the
Pacific Mails excessive charges. Nearly
all Of this class of produce has been going
to Hamburg, Havre and London, when il
should be coming TO this city. San Fran
cisco is the natural market for it and with
reasonable eastbound rates all the Western
States can be supplied from here.
I'VE sincerely hope TIE CALL will do
all in its powerto foster any movement III
favor of competition. Already business is
beginning to feel the effects of the stimulus
it is given by the rate war. For merchants
to fail to stand by the new steamship line
would be folly; the steamer GraudhOlm OF
Messrs. OTIS 81 McAllister's Inc was mo-
withdrawn a week when sthe Pacific MALI!
rates were raised"