The times., 1899-08-29

OelOW the New fOrk rate on DOtn GO1neStls
and export traffic During the period OF
closed lake navigation the export and
domestic grain rates TO New York and the
other ports mentioned should ordinarily
| be the same Rates to other ports in
cluding Boston and ports ON the Atlantic
north of Boston, and Galveston, New
Orleans, and other Gulf ports may per-
haps be properly made lower on export
than on domestic traffic to enable them to
| compete for the export business. Such
an adjustment of rates would be to the
advantage of the carrier, and just alike TO
| the American consumer and the American
| producer. But as the problem is primar-
| lily one for the carriers rather than this
| Commission, and some rate changes have
! been made by them during the progress OF
! this proceeding, and the testimony lndi-
| Gates that the present disparities between
| domestic and export rates will no. be-
| come permanent, no order is made in re-
| lation to this branch of the. case. But ex-
| port grain rates should not be less 10 the
seaboard from any point than from any
| intermediate point on the same line"
Rates on Export Flour.
AS to the rates ON export -four. as COM
pared with export wheat. the Commission
uOiuS anu uCtluCS dS lOliOWSs
"The profit to American millers in
manufacturing flour for export is
from to 8 cents per 100 pounds
but the freight rates on wheat and
flour for export show difference in favor
of the English miller OF from 4 to II cents
per 100 pounds, and, other things being
equal, such discrimination is clearly pro-
hibitive upon the American manufacturer.
The published railroad rates on both wheat
and flour for export have been the same
up to a recent period, and the carriers have
exacted such rates except where lower
rates on wheat were induced by eompeti-
tion. Water competition on the Great
Lakes limits rail rates to the various ports
on both wheat and -four during the navi-
cation season, and 10 a degree before the
opening and after the close of navigation,
and the published and actual water rates
on wheat have been from to cents
lower than those on -four. To a limited
extent the cost OF service may be greater in
the transportation OF export -four than In
that OF export wheat. The export rate on
-four includes delivery on board ship while
the rate on wheat ordinarily does not, and
at New York an additional charge OF about
is cents per bushel for loading wheat is
made. Expectation OF flour has steadily
increased. but for the last six years the
increase has not been marked, and a de-
crease is shown by comparing exports in
1894 and 1898.
Public policy and good railway policy
alike seem TO require the same rate on eX-
port wheat and export -four but that the
duties Of the Commission are confined TO
administering the act TO regulate COM
merce, and in view OF ali the conditions
shown in the investigation a somewhat
higher rate on export flour than on export
wheat is not in violation of that statute
The published difference in rates is too
wide. and that the rate on flour for export
should not exceed that upon export wheat
by more than cents per 100 pounds The
relation of rates on domestic shipments of
-four and wheat is not involved in this
decision, as the export and domestic
freights are handled under different condt-
tIons. 1t further appeared that carriers
engaged in the transportation OF export
flour from Minneapolis at rate which is
l 1-2 cents less than the domestic rate TO
the port OF export, refuse to make any
corresponding concession 10 intermediate
millers. The Commission rules that this is
unjust and unlawful discrimination against
such intermediate traffic, and that what
ever line participates in such lower export
rate on flour from Minneapolis must make
a corresponding rate upon similar trafrlc
from intermediate points
THE Commission also decides that rates
on export traffic must be published and
filed in accordance with the provisions of
section 6 OF the Interstate Commerce act
1t is further held that so-called through
export rates made by adding the ocean
rate, whatever it may be. to the inland rail
rate. whatever it may be, are not analo-
gous to Joint rates made by joint arrange
ment between railway carriers subject to
the statute in the sense that the total rate
must be published and filed. and il is
enough if the railway carrier publishes and
maintains its own rate TO the seaboard
But if there is in fact such a joint arrange
ment that the rate is a joint rate under
the sixth section of the act to regulate
commerce, then the entire through rate
should be published, and not the inland
division, which in that case might vary
while the entire rate remains the same"
Another Decision.
In another opinion by Commissioner
Yeomans the Commission gives its decision
in the case of A. ]. Gustin against the
Atchison, Topeka and Santa Fe Railroad
Company, and Aldace F. Walker, John ]. |
McCook, and j. C. Wilson. receivers there
of and others. The Commission holds that !
the defendants. having engaged under their |
tariffs and course of business in the through |
of traffic from Chicago and /
other points TO Kearney. Neb.. over con-
tinuous lines formed by their connected |
roads, are required by the act to regulate |
commerce to make their rates on such |
transportation reasonable and otherwise in
conformity with the provisions OF that
statute, and such duty is not avoided by |
the fact that the rates TO Kearney may be
of rates TO and from Omaha.
The necessities of carriers often demand,
and trade conditions frequently warrant
them in enacting, share OF through rates
which gives them more per mile than that
which results to a connecting carrier from
the division accepted by it. The rate per
ton per mile brings rates down to the mar |
rowest point of scrutiny, and for that pur-
pose is valuable; but 1t excludes considera-
ton of other circumstances and conditions |
which enter into the making of rates. no
matter how compulsory or imperious they
may be, and ii cannot, therefore, be ac-
cepted as controlling In determining the
of rates.
Combination rates always afford an ad-
vantage to the basing point. and entail
some disadvantage upon the town to which
The combined rates are applied and when
traffic is brought to the TWO. places to be