Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1906-12-18
OMAHA As A GRAIN MARKET
Destined to Become One Of Greatest
in the World.
SECRETARY wyANs IN RAILWAY AGE
Touches on Campbell system of Farm
ing and Rate Adjustment and
Predicts Erection of Large
Railroad Elevators.

Omahas future as a grain market Is the
subject Of an article written by Secretary
E ]. McVann in the last number Of the
Railway Age. which Is publishing series
OF articles dealing with the large primary
markets Of the country. Mr.. McVann says
Omaha's importan will be increased by
the adjustment Of railway rates and the
development of the Campbell system Of
farming in the western part Of the state;
he says large railway elevators will be built
and predicts that the local market will be-
come one of the worlds greatest primary
markets. Mr.. McVann says
There can be little question in the mind
OF anyone who is familiar with the history
/ of the Omaha granemarket since the or
ganlzation Of the Omaha Grain exchange
/ in 1904 that Omaha is destined to be one or
the worlds great primary markets. Inc
receipts Of grain at Omaha have been as
Bushels.
February 1 to December 81, 1904. ... .16, 49, 2s5
Calendar year Of 1895 .................d '523 80
January / to October 30, 1906 ....... 81, 49, 100
Assuming that we will not receive less
during November and December this year
than we received during the corresponding
two months of last year (and we have re-
ceived more grain every month this year
than last, our total receipts Tor the year
1865 will reach 100000 bushels The nat
! ural growth of the market Is so clearly
| shown by these figures that 1t does not
seem necessary to make any comment upon
| them.
Omaha is a receiving and shipping mar
! ket only. We have not yet established any
industries here which consume grain, but
our elevator storage capacity has already
reached 100000 bushels and we feel that
It is only a question Of a short time when
and our our capacity for Tor taking care Of them
will bring milling and manufa cturing in
dustries to take advantage Of these condi-
tons.
More Elevators Demanded.
| In addition to the present storage capa-
| city Of $4,000 bushels 1t IS certain that a
number of large railway elevators must be
built in Omaha in the near future, II the
decision Of the Interstate Commerce COM
mission in the Peavey case should be such
to continue paying elevation and loading
out allowances to the private elevators.
large railways testified before the com
mission in the Peavey case that they had
recommended to the management of their
Omaha.
Close study Of the conditions of grain
production shows clearly that while the
territory tributary to Omaha does not rank
first in production of grain, it comes very
near ranking first in surplus production.
and this latter fact is most significant when
the future Of a market Is being consid-
cred. Chicago and st. Louis have terri
tory directly tributary to them which is
the greatest grain producing territory in
the world. but they are not able to take
full advantage of this fact, because far
, in that territory is also consumed in 1t and
, never moves to any market.
Territory Will He Enlarged.
The territory tributary to Omaha as a
| in the next decade. Facilities are being
rapidly created for the storage and utiliza-
braska and eastern Colorado and Wyoming.
The Campbell system of dry farming Is
being utilized for the growing of grains in a
vast stretch of territory which has here
tofore been considered arid land. South
Dakota west of the Missouri river. western
Nebraska and all of Wyoming are being
| covered with new railroad lines and the
result will be the breaking up of large
tracts of land and the production of grain
solely for grazing. All of this territory is
directly tributary to Omaha and its growth
will develop the Omaha market.
If Omaha is to have the fun advantage
to which 1t is entitled based on its posi-
tion with reference e. to grain production. we
roads that serve us. After one of the worst
J grain rate wars that the country has ever
of some Nebraska rates as against the
Mississippi river and Chicago. We have
been negotiating for many months for faiR
South Dakota points, but have not yet sue.
a ceeded In convincing the railroads of the
! although very regretfuly, be compelled tC
10 ! seek for proper adjustment of these fig.
o ures through legal channels. Should We
I succeed IN getting a fair adjustment as
a against Minneapolis and Chicago from thu
: north. and as against Kansas City from
g ( the south and southwest we are confident
e that the natural advantages Of our position
4 will raise the receipts of the Omaha grain
market to point second only to the re
= ceipts at Chicago
Distributing Facilities Necessary.
= No matter how well Omaha may be sit
IS uated with reference to receipts Of grain
4 It will avail 1t little If II has not dis
>. tributing facilities equally good. II
y this respect We are very fortunate and w
n feel that our future is assured. We hav
l. at Omaha the western and northern ter
a mini of FIVE great railway systems. Thi
assures us free outlets to Minneapolis ant
Duluth on the north; to Chicago. Milwau
Il kee and Peoria on the east; to Kansas City
: New Orleans and Galveston on the south
II to St. Louis. Memphis and all the south
east. Through these lines We are able t
reach, upon favorable terms, not only ever,
market that can be reached by any com
petitor, but every market that can b.
not another primary market in the Unitet
States, receiving anything like the volume
Of business that Is being received a
Omaha which can truthfully make tn
For the period ending September 8
Omaha shipped out &33l, 400 bushels 0
grain Only Ave cities in the United State
exceeded this. During the same perfo,
Kansas City Skipped only 81, 600 900 bushels
Duluth, about the same amount; Mime
- apOlis "A, 600 go bushels; St. Louis, $4,000 OQ
bushels. When this market, after havinj
:, been in existence only three years, has at
, fifth place as a receiving point we cal
hardly be blamed for feeling very op
umistc as to the position that we vii
have when our tributary territory has ha
during the next ten years and when W
have cured the determinations in rate
-e that bar US from reaping the full advantag
of the development Of that territory.