The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1928-04-02
INDUSTRIES OF
State WAGING
HARD BATTLE
Fight Extending Over Years
Continued to Gain Fair
Freight Rates.
HARDSHIP is WORKED
Competition in Many Lines
Is Made Better by
Excess Costs.
BY CHARLES CARLL

BY CHARLES CARLL
Indiana, manufacturers are fight
ing one Of the greatest but slowest
battles in history for the life of in
dustry.
1t is the fight against freight rates
that to the Indiana producers seem
unfair, compared with the rates Of
Tered by railroads to firms in other
States.
The battle is long, tiresome af-
lar, consisting of hearings and evil
dence gathered over years Of prac-
tlce and experience WITH the carriers
that transport crude and manufac-
tured products to and from the
places where the goods are obtained
and delivered.
The purpose of this series is not
to carry on court hearing or offer
any opinions on the situation.
1t is the purpose, though, to reveal
to the public and the newspaper
reader the condition prevalent in
Indiana at this time and show, in
addition to giving a general idea of
how the situation comes about, act
uaI facts and figures, revealing what
manufacturers face in this battle,
what the condition now is, and what
attempts are being made to bring
about an equalization of rates that
will lessen the problem and burden
on Hoosier firms.
Transportation Costs Hurt
Competition is conceded to be the
life of trade, But many Indiana
firms, handling products that are in
direct competition with those pro-
duced in other markets, are suffer-
ing the jolt of not being able to get
!. away at the gun" because the ex-
cess cost of transportation into the
competitive fields works hardShipS
on them at the start.
The Indiana Chamber of Com
merce and local Chambers of Com
merce throughout the State are
waging the slow battle against pref
erential freight rates in other ter
ritories. The battle has been in
progress for years and probably will
be for many more.
~ It is a nip and tuck struggle with
first one side and then the other
sgaining the advantage. Several vic
tories have been won by Indiana and
hese have tended to aid the up
Ward trend of business in this State.
The matter of freight rates also
has bearing on the location of new
industries. 1t is On accepted fact
that transportation costs are vital
factor in the location and successful
operation of manufacturing in
dustry.
Some Cities Favored
It has been found that the city
with preferential freight rates to
and from markets has decided adj
vantage. Freight rates vary con-
siderably and many plants have
been located solely with the idea of
receiving favorable in and out
bound rates.
It is well, at this time, to look
briefly into the history behind the
actual building of freight rates. The
carriers realized the Importance of
transportation costs, which, in many
cases, are the deciding factors, and
they developed the industries and
thereby increased the freight ton
mage.
This system was followed not only
by individual carriers, but by syS-
TENS, lines, and various groups. The
tonnage of the favored industries
increased and their position was
q strengthened, while others fell by
the waySide.
Commerce Act Amended
S. History shows that the situation
became so acute in 1906, after the
inequitablity of it was objected to
strenuously, that the Hepburn Act,
amending the Interstate Commerce
act, gave the commission the power
TO remove discrimination and pre-
scribe reasonable rates.
Since that date this body has
handled about 10000 cases.
A Another group, functioning on
about the same basis and for about
S the same purposes, is the Indiana
Public Service Commission, before
which objections to interstate rates
are filed. These cases usually at
~ kck the rates specifically and not
Aeir relationship.
Indiana manufacturers according
the traffic department Of the
aanber of Commerce, are COM
Inning of the following conditions:
The difference in rates on GER
s. Jain commodities between the Ohio
river cities and southern points, as
s compared to the rates between those
points and Indianapolis and other
Indiana locations.
IA Rates Are Different
2. The difference in rates from
IA Illinois and Wisconsin to points ly-
ing between the Indiana Illinois
81 State lines and the Rocky Mountains
S and north of Arkansas and Okla
homa, as compared to those from
- Indiana.
= 3. The difference in the rates
y from Illinois, Wisconsin, and western
points to Indianapolis as compared
No those to Illinois.
Each of these alleged maladjust-
y snts in rates is occupying the at
ation of Indiana firms and, in
veral instances, as will be shown
Ter. cases are pending before the
terstate Commerce Commission
lat bring out these conditions.
Woman Ends Own Life
3ss.,s.a Times Special
MADISON, Ind, April Mrs.