The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1928-04-17
BY CHARLES CARL

A request for reduction of freight
rates on pig iron that will place
those from Chicago into Indiana on
comparable basis with those from
the same point into Illinois, is be-
fore the Interstate Commerce Com
mission now. 1t is charged in the
complaint that there is a serious
mal-adjuStment in rates at this
time.
The case was brought by the ST.
Louis Coke and Iron Corporation
against the Alabama, Great South
ern Railroad Company and the In
diana State and Terre Haute
Chambers of Commerce have inter
Vened in behalf of this State. The
latter groups have prepared 3 brief
on the case which will be filed with
the commission.
Charge Discrepancies
Decided discrepancies in rates are
shown in the transportation of pig
iron from the Chicago district to
Indiana points as compared to car
ryingS from Chicago to places in
Illinois and Wisconsin. In many in
stances the gross ton rate is several
cents higher in Indiana for dis
tances similar and sometimes less
than those in the other two States.
Terre Haute, it is estimated, uses
about $4,000 tons of pig iron each
year, most of which comes from the
Chicago area. The present rate for
this is $2.37 a gross ton. Terre
Haute is but a few mile from the
Illinois line and Paris, Ill, about
eighteen miles from Terre Haute,
pays $214, a difference of % cents.
In addition to this, the rate from
the Chicago district to st. Louis.
100 miles from Terre Haute, is $2l6
a gross ton, two cents more than the
haul cost to Paris, ILL.,. and 81 cents
less than the Terre Haute cost.
South Bend Rate High
In the northern part Of the State
there is a decided demand for pig
iron in automobile and agricultural
machinery factories d. South Bend
and Michigan City. The average
haul distance to South Bend is 70
miles and the rate is $2.05. To
points about as far distant IL Wis
consin the rate is $1.39
Michigan City is on an average
haul distance of A miles from
Chicago and the rate is $1.40. This
contrasts with places 33 miles
farther in Illinois that pay $i.39 a.
gross ton.
According to traffic authorities the
excess cost of transporting the raw
materials to the factories in Terre
Haute, Michigan City and South
Bend cause consumers to suffer
great losses in the profits Of their
organizations This condition also
prevails in other Indiana cities.
Competitors Are Favored
1t is necessary for these firms to
compete with out-State companies
that are paying much less for OBJ
tanning of the materials for manu-
featuring purposes.
There are many pig iron consIm~
ers located in indianapolis, Rich
mond, Muncie, Evansville, Ander-
son, Kokomo, Marion, Wabash, Co.
lumbus and Ft. Wayne, in addition
to those already mentioned.
1t costs $2.65 a gross ton to ship
this material from Chicago to Indi-
annapolis and KokomO There is
rate to Peoria, ILL.,, of Sits for 1855
miles while Kokomo users pay $3.50
for 1874 miles.
Southern Points Sighted
Evansville and Richmond are two
points in the southern part CT In
diana where pig iron is used to
great extent. Consumers there are
in the $3.15 group, which takes in
the southern half of the State and
in which there are thirty-five ship
ping points, at a distance of 232
miles. The East st. Louis rate for
q distance of 227 miles is $2.15 COM
pared to the southern Indiana costs.
The pig iron case was taken be-
fore the commission as an attack
on rates from Granite City, Ill, to
points in Indiana and twelve other
States as unjust and unreaSon-
able"