The Minneapolis journal., 1903-04-17

Discrimination against the great Min I
neapolis milling industry on the part of
the transportation companies has had its
effect at last, and this morning all the
flour mills in the city are idle.
The Pillsbury-Washburn company,
Washburn Crosby company and Consoli-
dated Milling company closed their
groups of mills last night, and the smaller
companies, the Barber Milling company,
the Phoenix Mill company, the National
Milling company and the George c.
Christian company have either closed
down or will close shortly. The mills
thruout the northewest are similarly af-
fected.
Pulling the Wheat East.
The trouble lies in the fact that the
foreign millers, and the New York and
New England millers are coming out here
to Duluth and other points and are buy
ing great quantities of wheat and are
taking it to their plants to make it into
-four They can do this and sell the flour
produced more cheaply than the Minne-
apolis mills can sell their flour in compe-
tition, for the reason that under existing
Determinations in rates they can get
than the Minneapolis millers, can get
their flour to the competing points.
More than two thousand men directly
connected with the mills are out of en-
ployment and many others employed in
the cooper shops, bag factories and in
the railroad yards will be affected
Effect Far-Reachina.
The closing Of these great plants hits
the employees first, entails great loss
upon the millers and will affect the rail-
roads and the city of Minneapolis gener-
ally. But conditions had reached a point
where it was Impossible for miIers to
and there was, no alternative. Hence the
shutdown pending a readjustment OF
| rates. ST. j. = .sts j. Is 5]E5t4 ss,l
! So, II. A. Gross Discrimination. IS
| The crux of the trouble lies in the
statement that the transporta tion COM
panies have for years Disseminated
! against -four in favor Of wheat. It costs
to-day 8 cents per 100 pounds to get
barrel of flour from Duluth to Buffalo 1t
costs cents a bushel, or 3 1-3 cents per
| 100 pounds to carry wheat to the same
point. = g.. g.. > -s
| Duluth Deal Brought Crisis.
! The action of the millers was. sudden
| and unexpected and was prompted by de
| velopments at the head Of the lakes.
! At 4 o'clock yesterday the head of a local
milling firm received long-distance tele-
phone message from Duluth stating that
a deal had just been closed for the car
rying of 100000 bushels Of wheat from
Duluth to Buffalo at &c a bushel. With
the existing rate of SC per 100 lbs for
flour this put the miller out Of it.. Word
was sent about and meeting of the
heads Of the various milling companies
called. 1t was decided to close the mills
at Z o'clock. --
Past and Present Rates.
The history of discrimination against
flour in favor Of wheat by the transpor-
, tation companies goes back several years
The Minneapolis mills were established
and grew to their present mammoth pro-
, portions on a TIC rate from Minneapolis
to Chicago. To-day the rate is 10c an6
> the proportion of the through rate SIC
; For many years the rate on -four from
Minneapolis to New York averaged 1Se
per 100 lbs, while to-day the rate is 2579t
, per 100 lbs. or an advance Of about 15t
} in the cost of getting a barrel of foul
, to the east. In the meantime rates or
wheat have remained stationary. One
reason for this is that there is greater
: competition in the movement of wllea
, than in the movement of flour. The
t result Of this gradual widening of the diff
ference between rates on wheat and or
, flour has been to put the Minneapolis
2 millers at times at a disadvantage. They
have managed to stand it, but have made
, great and persistent efforts to have rate:
e readjusted. s.@1.-.@ 81. l.. s- r. 80.
= Export Trade Affected.
AS an illustration Of present conditions
the business done in Duluth to-day ma,
be taken. A local firm made inquiry a:
to the volume Of trade, and was advised
that about 100000 bushels of wheat hat
been sold this morning to go to London
This wheat can move from Duluth VII
1 Montreal and Quebec at a rate Of II cent
tper bushel, which Is equal to 18 $40 cent
Iper 100 pounds. The lowest possible rat
obtainable on flour from Duluth to Lon
don is 2511s cents per 100 pounds. Natur
s ally there Is demand for wheat and littl
demand for flour, and in consequence
about 100000 bushels Of wheat is reporte
to have been taken from Duluth With
three days, which goes abroad for tn
imost part.
The Minneapolis millers will work for
rate which will enable them to compel
L on better terms with the flour mad
abroad from this wheat.
Flour Prices Harden.
The effect Of the closing Of the mil
Twas to cause general advance in, hor
lprices. Locally there was a moderate &C
ir vance Of 10 cents a barrel, and in Chicae
D the prices Of Minneapolis brands were &C
IN vanced 10 to Is cents, other millers con
S, ing into line as well. II the mills reope