The Billings gazette. [volume] (Billings, Mont.) 1896-1919, 1903-04-03
This in turn requires railroad rates
to inerior points which, are lower than
a renaunerative basis for domestic
shipment.

10 1neTlOr pOlut8 WHICH, are lower IMAM
a remunerative basis for domestic
shipment.
President Tuttle's Testimony.
This view was so we'll presented by
Lucius futile, president Of the Bos-
ton & Maine railroad, that the inter-
state commerce commission submits in
its report long extracts from his tes-
timony. He said:
"The real reason why import rates
are made lower than domestic rates
are the commercial necessities Of the
country's business. II we we're to
begin anew establishing domestic and
import freight rates, and should ap-
point a committee to represent all
of the great railroad systems doing
business in this country-were to
wipe the slate clean and start anew
to decide how importing should be
conducted in the future-the decision
would, l think, unanimously favor
giving to import traffic a less rate
than to domestic traffic, not for the
purpose Of making a through rate
from Europe to destinations in this
country less than the domestic rate
from the port Of entry to the same
destinations, but for the purpose of
equalizing distances on import Al well
as export traffic, as has been found
necessary in dealing with the gene.
raj subject of domestic rates. For
instance, in making the rate from
New York to Boston or Philadelphia
to a distant common point in this
country there is never an attempt to
make a scientific tariff based On tons
and miles. To a common western
point Buffalo may pay as high q rate
as Boston without resultant discrimi-
nation against Buffalo or in favor Of
Boston. 1t is a duty Of transportation
companies to so adjust their freight
tariff that, regardless Of distance, pro-
ducers and consumers in every part
of the country shall, to the fullest
extent possible, have equal access to
the markets of all parts of this coun.
try and Of the world, a result wholly
impossible of attainment If freight
rates must be constructed upon the
scientific principle of tons and miles;
and this is the principle that must
control in the successful conduct of
all import as well as export business.
"A further reason: A vital neces-
sity of this country is that we shall
become extensive sellers of our goods
in all markets of the world; that we
shall no longer continue to live solely
upon ourselves. Now, if We are to
become extensive sellers in the mar
kets, we must, under the commonst
laws of reciprocity of trade, be buy
ers in those markets. No nan and
no country can long continue to sell
goods in markets where return pur-
chases are not made. If we are to
sell our goods in the markets of the
world, we must furnish export trans
p~ortation to these markets; we must
supply traffic to ocean lines from the
ports of the United States to the ports
of Europe. If u laws or the custom
of our railroads, either by onerous
customs duties and regulations or by
excessive freight tariffs, or by both,
make it impossible to buy goods in
foreign markets and resell them in
our markets, then shall we have no
import business; and if We have no
import business with which to fill the
ca~rgo-carrying capacity OF our inbound
transatlantic ships, then a higher
rate must be levied by them on the
outbound traffic, or they will become
profitless and be of necessity discon-
tinued, and our export traffic and he
sale of our products abroad will like
wise be proportionately discontinued.
therefore, in my opinion, this
whole matter of adjusting the rela-
tons of import and domestic rates
becomes a commercial question, and
not one of competition only between
the various seaports of this country
and their allied transportation lines.
1t is an unalterable law of trade that
transportation tariffs must be so ad-
justed that salable goods may be
moved at the lowest practicable cost
to the most distant as we'll as the
nearby markets. and obedience to
this law is the actuating spirit that
governs in the making of freight rates
by all of the great railroad systems
and transatlantic lines of the present
day.