New Britain herald., 1918-05-13
Railroads "Down East"
(NeW York CommerciaD


 New England manufacturers and merchants fear that they will lose their trade connections through the removal of differential rates to west ern points, These differentials have always been bone of contention but Boston merchants have claimed that they cannot live without them. Be- fore the federal government com mandeered a large part of the coast wise shipping New England shippers could lay down merchandise at all Atlantic coast and Gulf ports in com- petition with manufacturing cities of the middle west. If they could get plenty of ships now, or if they were able to build ships for this special service they could compete with their western rivals for the trade of a large part of the country. By way Of New Orleans and Galveston they could reach the Rocky Mountain states as far north and west as Den yer and Salt Lake city, and their trade route to the Pacific coast by way of the Panama Canal would be much cheaper than all rail from Chicago or St. Louis.
 Without ships and deprived of the right to build or buy ships to be controlled and operated by New Eng land interests for their own special benefit, these merchants and manu- lecturers will be hit between wind and water by the abolition of the diff ferental rates they have hitherto en- joyed, Until the war requrem ents of the federal government are met 1t is useless to attempt to build or buy ships. so they will probably be de- prived of their natural method of competing or forcing concessions for the duration of the war Meanwhile New York city will receive the full benefit of the State Barge Canal and the Great Lakes, while Boston's only relief will be such rate cutting IS the Canadian railways may indulge in for the purpose of maintaining their long haul business to and from the ports of Boston and Portland, Maine
 It is fairly arguable that differential rates have done New England more harm than good. The railroads granted these differential rates in favor of Boston and against New York in return for the abandonment by independent New England inter ests of all serious attempts to main tain steams ship lines in competi- ton with the railroads along the At lantic seaboard and into the Gulf of Mexico. By granting bese differential rates the railroads got in return free dom from real competition by water. One of New Works greatest mer- chants said years ago that this citys chief asset is the Atlantic ocean. He was referring solely to domestic trade with the rest of the country as it might be affected by the opening of the Panama Canal What he said of New York is still truer of Boston. Providence and other New England points. From his point of view if would have paid New England better to have built ships and to have oper- ated them independently of the rail- roads. Under government control. the railroads cannot discriminate against snipm ents carried by water and offered to them at ocean and Gulf ports.
 Herein lies hope for Boston and all Now Encland, Their perchants and manufacturers may be better off than even fter tho war by making full use of the free waters along out coasts on which to navigate coast. wise vessels in their own interests, in stead of trad ding free ships for rail- road differentia rates.