The Washington herald., 1919-04-30
RATES CURBED
EXPORT TRADE
Commerce Commission
Rulings Proved Restric-
ton, Says Holland.

up q very large international trade
with the Far East and especially
with China
He looked for large markets in
China for American products. par
ticuiariy lumber. wheat and cotton
goods. and in return he felt certain
that the United States would accept
silks. tea. and other commodities pro-
duced In China in sufficient amounts
10 balance our own exports to that
country.
Therefore he began to establish In
ternational trade relations with the
Far East from our Pacific Coast. be-
lieving that in time trade would
exceed the exports from California,
which for many years consisted OF
wheat
He had Just demonstrated the prac-
ticability of his plan and felt that he
could look ahead TO a very great de-
velopment OF international trade by
way OF the Pacific when of a sudden
the heavy hand of the government
was placed upon him through the ac-
ton Of the Interstate Commerce Com
mission. which refused to permit him
to grant these special railroad rates
which were necessary il this COM
merce were to be developed.
From one point of view Mr.. 1Iills
forecast of the possibilities of for
eign commerce established between
the Far West together with the Mis-
sippi Valley and the Far East was
the first plan of that kind ever advo-
Gated
He expected by means OF his rail-
roads to secure commodities in great
amounts. especially cotton. in the
Mississippi Valley and from the
Southwest. much OF which would be
exported to China and Japan. in re-
turn he saw his way clear. he thought.
to bring the commodities of Asia and
Japan across the Pacific to the Far
West. the Middle West and the Miss
issippi
. The Interstate Commerce Commis-
sion may have been justified under
the law in restraining Mr.. Hill from
granting the special rates which were
necessary IL this commerce were to
be established. But that ruling put
an end to the international trade
upon a large scale from the Mississ-
ippi Valley and the Far West to
China
A Revived Plan.
Some weeks ago the report was
made in this column of a contem-
plated purpose of large financial in
IL carried out would establish a strong
banking institution. created for the
purpose of stimulating the export
trade. which it was thus believed
could be obtained and steadily in
creased. and which would be based
upon products of the Mississippi VAL
ley.
BY the Mississippi Valley is not
meant a narrow strip of land border
ing on each side of the Mississippi
River but substantially the whole area
OF the Middle West for which the Mis-
sisslppi River and its tributaries fur
nish much of the transportation IA
cilities.
This organization seems now to
have passed beyond the point of pre-
liminary consideration. The bank IL
to be established. Its capital may be
as high as s25.COO.OOo certainly not
less than $1,000. coo. and it is to be
bank of banks. because it will bear a
somewhat similar relation to the va
rious banks of the Mississippi Valley
as do the member banks to the Fed
eral Reserve system. In this day of
modern views it is not probable that
the government at Washington
through any of its bureaus viii step
in and lay a heavy hand upon the
proposition. such as was done when
Mr.. Hill undertook to create a vast
Pacific commerce.
A few days ago information came
from Minneapolis to New York which
contained something new. 1t was re-
ported that not only the agricultural
but the Industrial interests of the
Northwest are now preparing to Gre
ate a great foreign trade.
The Northwest Is convinced that its
commodities may secure excellent
foreign markets. That idea seems to
have been almost spontaneously de-
veloped throughout that region. 1t
may be that It became known that
the banks of the Mississippi Valley
and of adjacent regions in the South
were preparing to establish a power
full central institution by means OF
which proper financial assistance
could be obtained whereby foreign
trade and of course domestic trade
could be stimulated.
In the East there seems to be small
comprehension of the energy and per-
sistence with which men of large af-
fairs. from New Orleans as far north
as St. Paul. are undertaking to meet
the wonderful opportunities which
have. especially since the European
var began. opened up to them.
At New Orleans they are perfect
ing harbor facilities upon very
large scale. The Mississippi is AL
ready the waterway by means OF
which barEes Of large capacity de-
signed for the movement of slow
freight are being transported up and
down.
So also the commerce which will
originate or terminate in the Missis-
sippi Valley will ultimately find that
the harbors of the Pacific Coast fur
nish excellent facilities whereby
American commodities. especially
those produced in the Mississippi VAL
ley and the West. can be transported
to China or Japan and then returned
to our own coast ladened with the
commodities which have been secured
in the Far East
This new movement which is rep
resented by the Mississippi Valley AS
ISOLATION. tan organization which is
certain to become one of the most
influential in obtaining and maintain
ing great commerce. both domestic
and foreign) does not mean compe-
tltion with the seaports or even with
the banks of the Atlantic Coast.
II means instead cooperation. II
wisdom prevails. II business states
manship is permitted to have its way,
there Is to be business for all. The
Atlantic Coast will have its fair share,
so win the Mississippi Valley and the
Pacific Coast
Very likely much of the foreign
trade which will be stimulated by the
Mississippi Valley Association will
ind its markets in Central and South
Ar,aerica