Omaha daily bee., 1910-02-26
TAKES IN VAST LINE OF GOODS
Likely to Increase Cost of Living, if
Carried Out.
IS RANKEST DISCRIMINATION
Means Differential in Favor of Other
Missouri River Cities.
BURLINGTON WHOLE HOG OR NONE
Hin Line Now Gets More Revenue
ont of Omaha Than Any other
Town and stin It De-
mands More,

Omaha shippers are intensely aroused by
the plans OF the Chicago Omaha railroads
to make a general increase Of commodity
rates as set forth by The Bee, Realizing
what such a move means to the commercial
and industrial life of Omaha. shippers pro-
pose to resist the action In some organized
and effective manner
They see In the move nothing more than
rank discrimination against Omaha for
the one purpose of swelling the already
gigantic revenues OF the railroads.
Many OF the big iobbers would not be-
lieve that the railroads expected to raise
the rates Of some Of the commodities be-
cause Of the ample revenue they are al
ready receiving.
In the absence of any detail / don't
understand how 1t is possible for the rail-
roads to raise the rate on coal" said j. A.
! Sunderland. "The railroads are now re-
ceiving as much for hauling coal and
cement as they have received at any time
in the last twenty years Their earnings
on these commodities must be greatly in
excess of what they were formerly when
the maximum carload was twenty tons
Now it is fifty tons and the trains are
several times as long"
GOOOH IN NOullhOulNy NANSBs
These goods are carried under the COM
modify classification: Coal, soap, cement,
sewer pipe, agricultural implements, wa
gons. engines, asphalt, bags and bagging,
brick, hollow building tile, beer, butter and
eggs, poultry, pitch and tar, cooperage,
harness and saddlery, iron and Steel meats
and OIL The raise, therefore. would have
wide, sweeping effect.
/ The claim is made that an advance of 10
per cent in all these products would ma
tsrially add to the cost of living, for al
though the advance might be small per
pound on goods that are retailed. the re-
taller would have to pay more and he
would advance the price to the consumer.
| Grain men and lumber dealers are now
! engaged in tangles with the railroads over
rates, and, If the meat fight is but starter
for the general raise contemplated by the
railroads, the transportation companies
will soon be mixing with many lines of
industry.
Some of the jobbers say they think It is
UP to the railroads to protect Omaha
against any differentials which may exist
in favor Of Kansas City or any other city.
The Burlington receives more money from
Omaha than from any other city on it's
entire line and last year nearly
seventh OF the revenues of the company
were paid into the Golfers at Omaha and
yet this is one Of the lines that is starting
the trouble by insisting on its right to get
the long haul on the live stock from the
west instead of letting it stop at Omaha
and then have to take a chance with the
other Omaha Chicago lines.
High Beef Rate Curtain Raiser.
The question of rates from Omaha to
on ie fol IN "A
more interesting phase. 1t now appears
that this is but the curtain raiser to the
main performance which is soon to be-
gin. For many months the railroads have
been talking of a general revision of rates,
and now, so well-informed traffic men
assert, the show is about to open The
announcement from Chicago in the tele.
gram published in The Bee on Thursday
that the railroads there centering were
looking at other rates with the intention Of
raising them is interpreted to mean that
general boost on commodity rates Of all
kinds is at hand. This will not be confined
TO packing house products, but to every
thing that is hauled between the Missouri
Chicago on dressed beef is taking on a
more interesting phase. 1t now appears
that this is but the curtain raiser to the
main performance which is soon to be-
determined to get greater revenue from
the traffic That is all.
Discrimination is Open.
In the present case of the packing house
ate, little complaint would be heard from
the packers and live stock men IL II were
one that rested equally on all But It 10
established so far as Omaha and Sioux
City are concerned, but It IS not operative
SO far as ST. Joseph and Kansas city are
involved With the Chicago & Alton and
the Wabash holding out, the new rate
amounts TO scent dfferential in favor
Of the packing towns down the river IL
amounts TO more than that in reality, for
the Wabash can haul the packing house
products AS far Buffalo, thus giving
that line claim ON the freight for 1000
instead of 800 miles, and a consequently
larger proportional Of the rate to the mar
kets Of the east, where the Omaha meat
must be sent for sale I'm competition with
the meats dressed in Chicago Omaha
dressed meat does not figure on the mar.
ket at Chicago, but east OF there It does
So the present discrimination not only
gives Kansas City and ST. Joseph an ad.
vantage but also favors Chicago in the
same amount, or even more Cor the ul-
innate market lies beyond the Windy
City.
Actioh OF hOnoA n PuHEie
Local traffic men who have been in Chi
cago since the rate was announced by The
Bee last week have come back with the
firm conviction that the Chicago-O omaha
lines are going after the higher rate In
earnest regardless Of ia effect on Local
business They are at a loss to account
for the action OF the Illinois Central, the
Milwaukee and the Great West,rn, roads
that terminate In Omaha, in entering on
the crusade. Some power above the rate.
making authorities In Chicago must hav,
taken an active interest In the matter 10
order 70 bring about so clear and coin.
peliing an understanding az appears tc
exist The course OF the Great Western
Is partly accounted for by the situation
already explained IN The Bee. In order
10 bring this disturber OF rates 70 a real
ization OF its position, the other Chicago