Askov American. [volume] (Askov, Pine County, Minn.) 1914-current, 1921-10-27
Farmers OF Northwest VIII Bene-
fit More Than $4,000, 600
BY New Schedules.
EFFECTIVE BY NOV. 20
Grower to Receive Reduction on Ap-
proximately Half Of This Years
Crop-Grain In Elevators
Not Affected.


ton involving the entire railroad situa-
ton, wage scales. depression in indus
try and finances the interstate com
merce commission ordered the freight
rates on grain. grain products and hay
throughout the western half OF the
United States reduced by an average
OF approximately Is per cent
Notice was given the carriers that
the commission expected the reduc-
tions TO be put into effect Immediately
and by Nov. 20 at the latest. and that
the low state of railroad earnings.
which led to the increase in 1920.
should hereafter be rectitied by reduc-
tions in wages and prices and that q
| downward tendency should be set for
their rates.
Farmers in the Northwest will reap
| direct benefit from the reduction
which will amount to sl5,O0O,00O or
more. ii was estimated
The actual increase in the grain
growers income will vary according to
the rate from his shipping or primary
market. In the case OF the farmer who
pays the freight on wheat from Fargo
N. D., to Minneapolis. for example. the
additional value of his product will be
2la cents a 100 pounds.
BENEFIT on Half Of Crop.
II is estimated that the grower win
get the benefit of the reduced freight
on 80 per cent of his wheat, oats and
rye. and on rs per cent of his fax Ap-
proximately that proportion of these
crops Of 1921 still is in the hands Of
the farmer at the primary market
The grain grower will receive all of
the benefit of the reduced freight
rates. for the reason that when he
ships his product to the primary mar
ket he pays the freight TO the terminal
elevator. In other words, he receives
the market price, less the freight
With the rate from Fargo, N D., re
duced 2h cents 100 pounds on
wheat. the farmer will receive that in
crease in his net return The same
condition will apply in other primar,
markets.
Elevators Not Affected.
The new rate will not apply to grail
or grain products in terminal eleva
tors. Minneapolis terminal elevator
supply OF wheat, oats. corn, rye and
fax is in transit, and IL it were to b.
re-shipped. either in the raw state q
manufactured into -four or other pro
duct. the old rate would apply
The greatest benefit will accrue t.
the farmer through the corn crop
which has been reported to be heavy
in Southern Minnesota, South Dakots
and other sections OF the Northwest
where corn Is principa! crop Prao
tically none Of the Northwest corn
crop has been shipped to terminals
Only two cars Of new corn have been
received at the Minneapolis market
and the same situation is reported II
be true in other grain centers
Absorbs Voluntary Reductions.
The order OF the Interstate Com
merce commission makes the rate re-
duction on a basis OF oneh half Of the
increase granted In August. 1920 The
reduction will absorb individual or vol
untary reductions by carriers since
August. 1920. in the opinion OF Mime
apolis freight rate experts
The rate from Fargo. N. D., to Min
neapolis before August, 1920. was Il
cents a 100 pounds on wheat, the e
per cent increase raising 1t to 19 cents
100 pounds. The new rate will be
1912 cents a 100 puonds