The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1902-02-19
SHIPPERSARE INDIGNANT
OBJECT TO PAYING FEE FOR LON.
DON DOCK FREIGHT HANDLING
America the Only Country Conn
PEELED to Pay for Such Service
bib to Prevent Injustice
Pending in Congress.
FROM THE GLOBE BUREAU,
Washington, ID. C.

WASHINGTON, D. c.. Feb. 1S.-Mer-
chants in the Mississippi valley who have
occasion to do business with the Atlantic
lines of freight steamships are interested
in the fight which is being made on what
IS known as the London clause" A
bill has been introduced in both branches
of congress to amend the shipping laws
so as to prevent the ship owners charg-
dng American exporters an additional fee
Of shilling nine-pence for sorting ana
handling freight at the London docks.
The fact that this charge is made against
the American merchant alone, while all
the rest of the world is permitted to set
down it's freight without this extra
tax, dS the cause of widespread discon-
tent and indignation. On some articles
OF commerce the inlpost is quite onerous.
On flour, for example, dt amounts to four
cents a barrel. Mr.. Crosby, the-big Min
neapolis miller, testified before the house
committee on interstate commerce that
this four cents was just about the profit
which millers hoped to make on barrel;
at least, he said, If the miIlers could be
assured of such q profit on their flour,
right along, they would be very happy to
go right on doing business.
The charge is made possible by what
amounts to collision, or compact, be-
tween the London dock owners and the
Atlantic shipoWners. The docks are
owned by a monopoly, and the shipping
companies appear to be Of one mind
about holding up the exporter for this
fee There is nothing for the shipper to
do, in the meantime, but submit, or
leave his goods at home.
The practice of making this charge has
grown up since 1885, Previous to that
time goods were delivered over the ships
SiH h - he
immemoria1 custom of the London
docks. But in that year a small fee was
put on, and a clause was inserted In the
bill of lading compelling the shipper to
pay it. Gradually this charge was in
creased until now it is one shilling nine
pence, nearly tnrty cents a ton. The
steamship companies have rented space
from the dock companies, and it is claim
ed that they are enabled to pay a good
rental and make nice profit from this
sorting and handling fee. The beauty
of the scheme, from the standpoint OF
the steamship people, IS that the charge
is fixed one, on every ton OF merchan-
disc handled, and Is not subject to the
f1uctuati tons of ocean rates or to COM
petition between the companies. 1t is
practically a holdup, levied by virtue OF
the power Of monopoly.
Shippers at the Atlantic ports receive
direct from the steamship company, the
bill of lading containing this clause. Ship
pers in the interior receive from the rail-
road a bill of lading which binds the con-
signor to accept from the steamship
company such bill as shall be customary
and in force at the time the goods are
put aboard This is always the one con-
tanning the London clause.
The house committee on interstate and
foreign commerce has had a series Of
hearing at which these facts have been
set forth, and the committee is expected
to report favorably bill introduced by
Representative Tawney making such
practice illegal. The senate committee
on commerce has been having similar
hearings on a like bill introduced by Nell
son.
At these hearings the steamship COM
panies have been ably represented and
they have argued that an equivalent Of
service has been rendered for the charges
made. The shippers contend that the
handling charges should be included in
the freight, where they would be SUBJ
ject to competitive influence. Senator
Frye. of Maine, who is in close touch
with the shipping interests. has opposed
the Tawney- Nelson bill, and his power il
SO great in the senate that he may be
able to prevent it's passage.