The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1904-10-31
The Cattle Rate Controversy
in the Railway Age.
Shipper Refutes Statement of
Traffic Manager.
"A STRONG ARGUMENT.
The Details OF a Combination tie
Eliminate Competition.
Gossip and Matters of Interest i'm
Railroad Circles.

A recent issue of The Railway Age
contains the following letter written by
lone of the shippers in reply to an ar
ticle which appeared over the signature
of Freight Traffic Manager W. B. Bid
die. of the Santa Fe;
To the Editors:
The Cattle Rate Controversy as
you have named your extracts from Mr..
Biddle's article on freight, has attracted
my attention while reading your issue
of September 80. 1t is my good fortune
to know Mr.. Biddle we'll. 1 have had
a long experience in shipping cattle over
his great railway, the Santa Fe, and
many a long talk have had with this
well-knOwn traffic manager about this
same subject.
Let us consider little the very first
paragraph in the article you publish
that is. The statement that competition
has been removed is not true and never
has been, and it has not been in any
way restrained except as. experience and
results have shown the necessity for
adopting new methods" That state
ment may read we'll to the traffic Off
Ger from the railway standpoint, but
the shipper does not like the real sense
of it. In the first place, we all know
that competition in cattle shipments
has been removed in many cases-for
an example, the compulsory routing of
shipments from points on the Great
railway during the year 1908 dictated as
TO the proportion of the business that
must be routed via the Burlington lines
east of St. Paul. Again, we have the
position taken by the lines in California
demanding the right to route the fruit
business east of their terminals. We
find in the Panhandle of Texas a Situa-
ton where the Santa F'e and Fort
Worth & Denver City lines, by agree
ments and arbitraries, have entirely
eliminated competition. The condition
there from the Amarillo group points to
the northwest on range cattle is simply
a complete combination to eliminate
competition. Mr.. Biddle knows this and
realizes that his line has been able to
force an increase of $50 per car from
the Amarillo group, on certain business,
through an agreement that was made
possible after his line secured the PecoS
Valley railway. Prior to that date he
was glad to take the business at a much
lower rate and made very positive eff
forts to secure it. Following along his
own argument, I might add that there
is but little competition for the Texas
two-year-old steer that is moved on
this rate. Such cattle must go to the
rather to both sections So, if the rail-
way lines that carry them combine to
raise the rates, there is but little left
for the shipper to do but argue the case
to the best of his ability.
Quoting MIR. Biddle, the adopting of
new methods" in this case of the Texas
steer is the raising of rates through
agreements and holding them there
through the use of large arbitraries. L
explained in a previous article how the
Texas situation was handled, and be-
fore the interstate commerce commits
sion here in Denver the traffic manager
of the Pecos Valley lines testified to the
effect that they could afford to maintain
certain group rates because of the earn
ings or liberal proportion allowed them
on shOrt-haul stuff, to which I will add
this is what has largely done away
with the driving proposition in the Pan
handle. and that was the object in the
railway mans mind when he put it in
PeCOS and Ell Paso. Tex, and Deminz
N NJ, to northwestern points are main
tanned the same through agreements
among the lines, based on interchange
of traffic; that when the Rock Island
insisted on Ell Paso being the same as
Pecos he had to line up Deming on &C
count of the Southern Pacific. That was
all fair enough. but it simply shows
how these things are done by agree
ment. For my part I think there is
nothing improper in the railways maxi
ing agreements regarding such things
ana doing the best they can to maintain
stability in rates and uniform treatment.
l do object. however, to their apparent
single object that of increasing the cost
to the shipper on every article. Cattle
rates are higher, as we all know Part
OF this is not Objectionable for the cat
tleman is not an unreasonable person.
Part or 1t, however. I believe is more
than the traffic should be called upon