The Montgomery advertiser., 1905-01-26
TRAFFIC HEARING
DIFFERENTIALS DISCUSSED BE-
 FORE COMMERCE COMMISSION.
t1alIrOad Men Argue that Philadelphia and Baltimore Should Have Cheaper Rates from West
 Than New York and BOstOm.

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 Washington. Jan. 25.--The Intersate Commerce Commission today gave hearing to the railroad and shipping
 interests in connection with the re- quests of the various commercial bodies to investigate the differential rates on foreign and domestic traffic by all rail and by water and rail lines to and from interior points in the United States and the various North Atlantic ports, par ticularly New York, Boston. Philadel- phia and Baltimore. large number of members of railroads, elevator com panies and commercial organizations were present.
 The principal witness at the morn session was vice-President Thayer of the Pennsylvania Railroad. He con tended that the abolishment of the dif- ferentials in favor of Philadelphia and
 Baltimore would very seriously reduce the amount of export traffic carried to those points, and reduce the competi-
 tion now enjoyed by the shippers. He urged that the lower rates from the West to Philadelphia and Baltimore than New York. were entirely proper and justified under the fundamental basis generally used In fixing freight rates; that Is, that the rate Is less Tor the shorter than for the longer dis tance.
 Fl. F. Smith, Trafic Manager of the Nashville. Chattanooga and St. LonlS
 Railroad. said that his road commenced fin November to arrange reduced tar fir to go into effect February l. Every reduction, he said, came out of the ne' earnings. as they could not force ousl- ness nor reduce their service, for corn- petition was too great to admit or any modification In that direction.
 F. P Bacon, representing the Inter state Commerce Law Copvcntion. anl swered tho denials made before the Commission that the Commission had not exercised the power to order change of rate.
 The witnesses at the afternoon ses- sion were A. F. Reynolds, of Craw- fordsville. Ind, president of the Loulsi- ana Grain Dealers Associations ROD ert Ramsey, agent of the Johnson Steamship Line, Baltimore; c. H. Ting lev. Columbus, O., President of the ohio Grain Shippers Association; s. s. Tanner of Illinois, director of the Grain Dealers National Association, and ]. w. Sale, Blufftown, Ind, grain dealer.
 The testimony was to the effect that the abolition of the differentials would be prejudicial to the grain producers and dealers in the Middle West MT. Ramsay, who was VlBOTOuSly SiOS9 VA amined by Former Assistant Secretary of the Treasury c. S., Hamlin of Boston argued that 1t was necessary to have the full differential to make for the Baltimore lines the same profit as was enjoyed by the Northern lines MT. Hamlin brought out from MT. Ram say that much of the grain tratnc on his line was carried at loss and that this had to be made up on lumber and other traffic from non -differential ter ritory.
 '"rhen lumber" asked MT. Hamlin.
 has to bear the burdens of the grain trafhcG
 well. lumber is hard" was the re- ply. and has no feeling"
 .srhe railroads of Baltimore said MT. Ramsay. are entitled to the diff ferentiaI by reason of the fact that the shorter haul and the ocean lines, he added, are entitled to charge more because they have the longer haul. He said the present differential was entirely satisfactory. The hearing was adjourned until tomorrow.