Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1914-11-30

RrUuSSard. louisiana
To the HUnC r. Die the Interstate Cam
rerce tomnjSsi, n, Washington.
Cent? uen: III connection with the
application OF the eastern railroads
now pending before yOur hone rAbIe
body. that they be allowed authority
to increase their freight rates ) per
cent, desire to Submit me following
/ facts which are e vital Importance
at the present time TO the state OF
Louisiana and 10 the farmers who pro
! dHce cane sugar in that ate and in
! the state Of Texas
The rate TO AIcago. the great job
! hing center of the nation. on sugar
! from Louisiana points md from the
| Atlantic seabCard refineries is suppos-
ed t. be approximately equal.
However, these same eastern rail
roads now ashing for permission to
| raise the freigh, rates t. be assessed
against small shippers per cent have
allowed the gigantic SeabCard Sugar
Refining Combine to so batten upon
their revenues that trust refined ST.
gar is being hauled from the Atlantic
coast to the dis ributing centers of the
Middle West at loss appreKim tely
60 per cent of the published rate.
The output of the trust controlled
refineries for some years past has
been in round numbers some 100000
tons-rather over than under tina fig
ure
If this enormous tonnage was han
died at a profit by the eastern rail
| roads, the revenue would go a long
way towards relieving the financial
distress of which they now complain
In this connection | wish to call
your attention to the test!many taken
before your honorable body at Wash
| ington, D. r.. on May s last, and pub
lished in Senate Document No. 1873, $50
Congress, entitled Rates on Sugar
In that controversy between the
representatives of the eastern AMI
western railroads regarding freight
rates to Chicago, it was brought out
| that the published rates on sugar ARE
| far from being net to the rail carriers,
| because of absorpLlons and shrinkages
from storage and other things (See
p. 159.)
Mr.. Paul P. Hastings of the Santa
Fe, in describing the practises of the
eastern roads in handling refined SUI
gar out of New York, testified: page
100 ct seq
The iterage at New York amounts
to 1-2 cents storage is un-
limited, and we are told in Chicago
that when tne lake and rail lines have
not sufficient storage room in their
warehouses to hold the business that
comes to them they have secured 9th
er warehouse space and used it as
their own, which, of course they would
have a right to do under their tariff.
am told that the going charge
for storing sugar in that territory
would be / 1-2 GEMS for the first
month and l cent for each succeeding
month per bag of 100 pounds. Hence,
If we assume a siX-months' storage,
we have charge of 612 cents per 100
pounds. This added to the
and a fraction cents for the literage
cuts the 23-cent rate little over &c
cents. There is second delivery abb
sorption within six months that fur
Their reduces the rate ~ cents per
100 pounds. These absorptions,
such as storage accrue directly to the
advantage of the sugar shipper and
he would be out of pocket if they were
not in the tariffs. . 1t is obvious
| if you pay this money out that it re-
duceS your rate. 1t is also obvious
that if the money paid out in such
way as storage or store delivery &C
crues directly to the benefit of the
sugar shippers, that it does benefit
him and assists him to do business
against his California competitor, hav-
ing in mind such, terminal allowances,
etc, as are a direct benefit to the
chfnnor