Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1907-01-24
IN THE WORLD OF SPORTS.
OUT OF FRUIT TRADE
Planters Steamship Co. Stops I'm
portations.

New Orleans, La, Jan. 23.-Declaring
that the high prices asked by the ba-
mana growers in Honduras have in
duced them to temporarily suspend the
importation OF fruit, the Planters
Steamship Company. organized by
Minnesota and Iowa capitalists year
ago to fight the United Fruit Com
pany, has released all its steamers
CorteZ ard New Orleans.
In reality the Planters Steamship
Company has been driven from the
fruit trade by the trust, although the
officers Of the independent concern
deny that such is the case. The United
Fruit Company pursued the policy
shortly after the independents entered
the field, Of increasing the prices to the
banana growers in Honduras, even
sustaining loss by this method. The
result was that the Planters Company
exhausted all its available resources
and no profits accrued. Then the
United Fruit Company, having cut off
the source Of fruit supply from the in
dependents, and having seen then,
down and out, allowed the old prices to
prevail.
The Planters Steamship Company
is Differed by f. NJ. Ferguson of Du-
luth, Mimi, first vice president; H. w
Baxter OF Mason City. Iowa. third vice
president; and George P. Smith Of Ma
son City, treasurer. 1t has a capital
OF 500. 600 and intends to remain in the
Honduras field and develop its valua-
BILE concessions even if it is shut out of
the fruit importation business.
The United Fruit Company, when it
encountered opposition, gradually in
cree 5ed prices to growers until they at
tanned 40 and 43 cents per bunch, pay
able in gold on the ground. Then
there was the cost Of handling. freights
and other expenses, and when an
eight hand bunch reached the Chicago
and St. Louis markets the actual cost
Of getting it there. without figuring on
any profit. was so cents Or more. The
independents could make no money at
this rate, and neither could the Fruit
Trust but the monopoly had plenty OF
reserve capital and could stand a
drain when it knew the outcome meant
victory. The independents encoun-
tered more trouble on the scaling OF
the punches. An eight-hand bunch on
Honduras plantation was graded as
seven hands at the wharf in New Or
leans. and this meant further loss.
There have been four lines of steam
ers competing for the business al
Puerto CorteZ. These are the United
Fruit Company, which now practically
controls the whole of the exports; the
Planters Steamship Company, Cefaln
Bros, and the Munson Line, the latter
operating into Mobile. With this
strong competition the profits have
been reduced to q minimum.
The Planters Steamship Company
has secured rich and valuable cOnces-
sions from the Honduras government,
and q cable received here by Third Vice
President Baxter from the president of
the republic at Tegucigalpa states that
the company's bond has been accepted
for the carrying forward of certain
projects, the nature Of which the indie
pendents refuse to disclose. The
Planters has secured a concession of
$4,000 acres of valuable timber lands,
the soil being suitable for growing ba-
nanas as soon as the stumpage is re-
moved. 1t has {. railroad and desir-
able concessions attending for a period
of seventy years, including wharf
franchises and port privileges. 1t is
understood that the Planters will grow
its own fruit and hopes eventually to
outWit the trust