Los Angeles herald., 1910-07-03
NEW LEMON RATE
PLEASES GROWERS
Think Commissions Findings
viii Be Impetus to Cit
rus Industry
CAN MEET SICILIAN PRICES
Pres. Story Says Failure to Get
Orange Rate Cut Is
Disappointing

The action of the interstate commerce
commission in the citrus fruit rate
case, which has been under investiga-
ton for months will result in great inn
petus to lemon culture in Southern
California, as growers, by the finding,
gain the benefit congress intended when
the tariff on foreign lemons was in
creased from 1 to 11a cents a pound.
After the adoption of the new tariff
measures the railroad companies ad-
vanced the freight rate from 81 to $1.15
per 100 pounds on citrus fruits, this act,
1t is claimed, multiplying the relief given
by congress and making 1t impossible
for California lemon growers to COM
pete with Sicilian lemon importers ex-
cept at points west of the Mississippi
river. East of the river, under the old
tariff rate of 1 cent a pound, California
producers could not sell at a profit be-
cause of cheap labor in Sicily, foreign
grown lemons occupying Atlantic coast
territory almost exclusively.
SAVE S25O,OOO
1t is figured that the decision will
save the lemon growers $250,000 annu-
ally in freight rates, while the lemon
market will be greatly extended. Land
owners will be encouraged in renewed
development of the lemon industry. The
coming seasons will be marked by in
creased production of lemons.
Ten years ago the lemon shipments
were less than 1900 carloads, and last
season the total did not exceed 5000
carloads.
F. @. Story, president of the Califor
mia Fruit Growers exchange, in speak
ing of the decision, said in part:
I'VE are we'll pleased with the lemon
rate. We were disappointed, however,
over the orange rate decision. We be-
lieve the orange rate should be re-
duced at least 10 cents"
ORANGE SIDE BLUE
B. A. Wexford, general manager of
the exchange, said: "Our lemon side
is feeling first rate, but our orange sdie
is rather blue. We think the orange
rate should have been reduced, and it
will have to come down eventually. A
big crop is now coming on, and the
problem is to market it, and inasmuch
as the railroads will get the advantage
of an increased tonnage, we feel that
they should help to widen the markets
and increase the consumption through
a concession in the freight rate"
The commission refused to give a de-
cision now on the orange freight rate,
which remains at $1.I5 per hundred
weight. Expression was to the effect
that the $1.15 rate for oranges is not
unreasonable and it is deemed best not
to change it at present. In making the
decision the commission takes into ac-
count all the conditions involved. in
Guiding the fact that it has just or
dered reduction in transcontinental
rates which may reduce the revenues
of the railroads.
1t is stated that two elements which
have been of great benefit to the orange
industry were taken into consideration
by the commission in it's decision. One
was the work of government experts in
showing how to eliminate delay in
shipping, and the other was the better
marketing facilities brought about by
the growers through cooperation. On
the other hand, the railroads asserted
that it costs more to haul oranges than
other merchandise, because they take
more expensive cars, inspection and
diversion.
The shippers expect to win the re-
frigeration contentious. The shippers
desire to be given the privilege of pre-
cooling their own fruit and furnishing
their own refrigeration If they desire to
do so. They assert that this privilege
will regulate icing charges, as they
can do 1t themselves for much less than
the railroads now charge. The inven-
ton of pre-cooling has made this possi-
BILE, and has reduced the cost of refrig-
Grafton.