Brownsville herald. [volume] (Brownsville, Tex.) 1910-current, 1928-07-08
Rates Again Suspended

For the sixth time in seven months the Interstate
Commerce Commission has suspended the freight
rates designed TO give some measure Of relief to the
agricultural interests al Southwestern territory. Since
early in June, 1927, the farmers Of the Southwest have
been awaiting the expected relief. The new rates,
which would give agriculture a decided advantage, we've
originally ordered into effect December 20, 1927. Had
they been placed in effect at that time the vegetable
growers of the Valley would have aided over 100000
to their bank accounts. But the commission needed the
protests Of interests adversely effected. and suspended
the rates until February.
Each time the new rates have been ordered into
effect the commission has been delugcd with protests.
Instead Of putting the order into force and then en-
deavoring TO work out the inequalities, the commission
has persisted in s~uspending the rates and attempted
70 adjust inequalities with the old rates sill in effect.
As a result Of the delay the situation throughout
the Southwest is, TO put u mildly chaotic scores Of
shippers we're preparing to file protests against ex-
listing rates when the new rates were first ordered INTO
effect. As the situation now stands the old rates are
sill in effect, and the commission will he confronted
with the problem Of adjusting them unless they put
the new rates into effect and then smooth out the
inequalities.
As a result OF the repeated suspensions a serious
situation ~confronts the Southwest. Agricultural and
industrial development y being seriously retarded
owing to the uncertainty regarding freight rates. In
many parts Of the territory large agricultural develop
msnt projects have been abandoned, at least temper
arily, until the rates can be adjusted and establishes
upon a basis that will assure a fair profit upon agri-
cultural production.
The industrial situation is also affected. Manu-
fscturers in the East who propose to establish large
distributing centers in Southwest territory are con-
fronted with the possibility Of q drastic increase IN the
new rates and are Withholding extension plans. Other
industrialists who were working out various projects
for Southwestern territory are also p%ostponing definite
action pending adjustment Of freight rates and their
establishment upon a basis that may he regarded as
fairly permanent.
So far rs the cirrus fruit Industry Is concerned, aP-
pArently it will be protected. The old rates favored
the Valley growers t. SON extent. and the carriers
have served notice they will join with shippers and
growers in protesting any increase that will give Flor
ids advantage in Valley territory. Also the commits
sion. according to press reports, has needed the pro-
test Of the fruit growers and will maintain the rates
at approximately the present level.
The commission was confronted with the same sit
uation in connection with the Southeastern rates. AMI
finally solved the problem by putting new rates into
effect and then adjusting inequalities. They met the
same protests now being aimed al the Southwestern
rates. but the protests in Southeastern territory are
rapidly diminishing as the inequalities are adjusted
and the rates established upon and equitable and PEI
manent basis.