The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1906-02-03
RAILROAD NEWS.
An Agreement Is Made Not to
Cut Flour Rates Again.
Railway Representatives Avert a
War on Export Tariffs.
BASIS DECIDED ON.
Missouri Pacific and Illinois
Central Make a Coup.
Gossip and Matters of Interest
in Railroad Circles.
BASIS DECIDED ON.

Kansas City, Mo, Feb. 3.-Repre-
sentatives of twenty railroads met in
the Sheidley building yesterday after
noon and agreed to adhere to the Kim
! ball basis for making future rates on
export -four Since the first of January
It is said that some of the gulf lines
nave been secretly making a big cut in
export flour Lines running from
Kansas City to Chicago have been nm
able to meet the rate and consequently
have been getting none of the business.
It is claimed by the other roads that
the Missouri Pacific, the Illinois Cen
trail and the Frisco have been hauling
flour to the gulf for 10 cents per hun
bred. With an ocean tariff from gulf
ports of 10 cents the gulf lines were
able to place flour from Kansas City
and other nearby milling points in
Liverpool for % cents, which was 4
cents cheaper than it could be shipped
to that point by the Atlantic route un-
der the existing rates.
Over a month ago the lines east of
Chicago objected to the open competi-
ton with which Kansas City roads bid
for export flour, and asked that an
established rate basis be fixed. Acting
on this advice the roads employed G. A.
kimbau as their joint agent. He re
ceiVed the ocean rate daily and to this
added the cheapest inland rate made by
the Kansas City roads. There was an
understanding that this rate was to be
the published tariff on export flour.
Eastern lines having representatives
here instructed their agents to recog-
nize the Kimball agreement. The lines
tributary to the Atlantic seaboard did
recognize it.
I'VE soon saw that the gulf lines
were making monkeys Of us said an
official representing a line running TO
Chicago. 'Millers laughed at US when
we told them our rate to Chicago. We
couldn't get the business"
The roads which have been making
the cut in export flour claim the inter-
state commerce commission has no
jurisdiction over the export trade and
that they have been violating no law.
The other roads realized something
must be done and SO the meeting was
called yesterday. It is said that all
roads agreed to stand by the Kimball
agreement at the meeting and that
hereafter the established rate will be
fixed by him as the joint agent of the
Western Trunk Line association, in
which all the railroads which handle
Kansas City products are represented.
While the railroads were at the
meeting yesterday reaching an agree
ment the Missouri Pacific and the Hi
nois Central stole a march on the other
roads by booking an unusually large
shipment of flour by the Gulf route.
As soon as it was known that the
agreement would be reached these
roads began to take all the -four that
was offered. 1t is said that about
80, 900 sacks were taken by these lines
for foreign ports. It was the largest
booking of flour that has been made in
Kansas City for several months. Mil
Iers say there will be little -four spec
ulation within the next few weeks It
is said the rate to the Gulf on the
flour booked yesterday was 10 cents
per hundred.
The cut made by the Gulf lines has
demoralized the export -four trade for
the last month. The action yesterday,
railroad men say, Will bolster affairs
up again and bring the trade back to
the normal. if all the railroads stand
by the agreement While railroad men
express a belief that the agreement
was made in good faith, traffic repre-
sentatives will be watching each other
carefully for some time in the future.
william NJ. Rhett general freight
agent of export traffic of the Illinois
Central, was at the meeting yesterday,
representing his road in the agreement.
All roads shipping from Kansas City,
with the exception of the Northwest
ern. which handles little export trade,
were represented