Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1907-12-26
RATES NOT 70 BLAME
Some More Than Lower Freight
Necessary to Make Iowa a
Packing Center
DON'T PAY CHICAGO PRICES
DON'T PAY CHICAGO PRICES
Shippers Declare Iowa Buyers Always
Deduct Amount of Freight From
Notwithstanding Case to Be Ar
sued Before Interstate Commerce
Commissioners in Des Moines.
Special to Times Republican.

dresses declared LIldl lIle CdttiS oiiu
hogs raised and fattened in Iowa
should be slaughtered in Iowa and
not shipped to Chicago. State Rail-
road Commissioner N. S. ketchum
has several times indicated that he
thought the same and he has given
considerable attention to the matter
Of how to adjust freight rates so that
the Iowa products will be slaughtered
inside the state.
Farmers and cattle feeders who have
had occasion to sell in Iowa and also
in Chicago say that something more
than the freight rates is necessary to
keep the Strengthening in Iowa.
Last January the Iowa railroad
commission in the application of the
Corn Belt Meat Producers association
held a hearing on the question of low
ering the freight rate on live stock in
Iowa 1t was maintained that the
rate had not been altered for years and
that it was too high when compared
with the interstate commerce rate and
too high when compared with the
dressed meat rate. The railroad com
mission listened to the plea and then
made an order lowering the rate about
% per cent.
Soon after the Corn Belt Meat Pro-
ducers' association started suit be-
fore the Interstate commerce commits
sion asking for q lower interstate
rate on live stock and the associa-
ton was criticised because it was
claimed that the low state rate would
result in having the Iowa stock
slaughtered in the Iowa packing
houses While If the interstate rate was
lowered the conditions would be just
as they had always been before either
rate was changed.
But the farmers who have sold to
Iowa packing houses say that every
Iowa packing house on buying cattle
or hogs always deducts the difference
in the freight rate to its plant and to
Chicago from the price paid for the
cattle or hogs. Consequently the
freight rate has nothing to do with it.
For Instance If a farmer living at
Boone shipped to Dies Moines load
of hogs the packing plant here does
not pay the full Chicago market price
for the hogs. If the freight on the
hogs to Des Moines amounts to $40
and the freight to Chicago $50, the
Des Moines packing house deducts $40
from the price which the hogs would
bring in Chicago. This is easily done
thru the understanding between the
packing aouses and the lack of COM
petition.
One of the strongest cases ever pre-
sented to the interstate commerce
commission will be argued before rep
resentatives of that body, when 1T
meets in this city January II, by the
Corn Belt Meat Producers association.
The association is making fight for
a lower freight rate. on live stock
from points in the west to Chicago
and mainly from Iowa pints to Chi:
cago.
In the petition that has been filed
with the interstate commerce commits
sion the association charges that the
rates on cattle from Iowa points to
Chicago are from $40 to $40 a ear
higher than the rates for like dis
tances in Illinois under the Illinois
state rate to Chicago and from SO to
$40 car higher than for like dis
tances in Iowa under the Iowa rate;
from 50 to $12 car higher than Mis-
souri, state rates for like distances and
from IS to SIS higher than the inter-
state rates from Kansas points to st.
Louis and Missouri points to Kansas
City and ST. Louis. They are from 81
to s15 higher than from the bulk of
Iowa points over the same lines for the
same distances shipped to Kansas City
instead of Chicago.
But this is not the, worst. The rates
from southeastern Iowa points are
from 81 to 70 per cent or from s13 to
SIS car higher than from northeast
ern Missouri points over the same line
of railroad.
The eastern part Of Iowa is as close
to Chicago as the southern part of IL
linois and yet 1t is charged by the
Corn Belt Meat Producers association
eastern Iowa farmers pay IS per cent
or 1880 a car more on cattle to Chi
cago than southern Illinois points the
same distance. The rates on hogs over
the Burlington between Iowa towns an
are from $3.50 to 1884 a car
greater than between towns in Illinois
for like distance.
The petition furthermore shows that
the long and short haul theory is
in the interstate rates be-
tween Iowa and Chicago. The theory
is that for a long haul there should
be a lesser charge per ton per mile.
This is recognized by the state COM
missions of Iowa, Illinois and Missouri.
1t is shown by the petition that the
railroads recognize the theory only
when competition or the government
COMPEL them to. Between Iowa points
and Chicago state rates do not operate
and competition is not in existence.
1t is shown that The rate per ton per
mile under the Illinois rate gradually
decreases till the Mississippi river is
reached coming from Chicago and as
soon as the river is crossed into Iowa
diatelg goes up with leaps and
bounds During the first % miles In
Iowa 1t goes up Is per cent. At Onei-
da Iowa, the rate per ton per mile is
two and a half times greater than
from Kansas City and AZ per cent
greater than from Galena Junction,
Ill.,. tho it is so miles farther than
from Galena Junction.
Waterloo, Stanley. Oelwein, Fair