Year: 1879

New York; the east bound rates I named;
did not make rates to Liverpool; never
knew what the rates were to Liverpool.
New York freight. paying the Erie 1922 OF the
through rates; we paid more than the usual
naming OF through rates OF froight the Erie and
Western Transportation Company have 1t in their
power to control entirely all the package freight
from the East to the West they can make SO
low rate as to control it and still pay the regular
ing proportion to the Pennsylvania. Erie and New
York; we originated q tight among ourselves in
1873. when -four was carried from milwaukee 10 New
York at very nearly the pro rata the road
from Buffalo to Now York OF the allrail division
from Chicago; hundreds OF thousands OF barrels Of
very little of the freight for our lake carrying;
the railroad companies connected with tho
ove which have Sa
for US of the FREQ Marine to compete with; they
have slight advantage over us in opening earlier
to Buffalo must pay local rate to Eastern points
from Buffalo. SO ! cannot therefore compete
stantially there is no competition between the
roads leading out of Buffalo eastward; l cannot
tell the proportion of tonnage business between tho
boats OF the Free Marine and the railroad company's
boats the interests OF the business of Buffalo have
been impaired to very large extent by the freight
determinations; the facilities OF Buffalo are ample
for the handling OF grain and in excess OF Chicago
the business of Buffalo would largely increase IL
the freight discriminations were removed; tho
improved traffic; the west-bound lake freights
wholly monopoized by the Western Transportation
Company and the Union Steamboat Company; 1t is
impossible for me to compete with the companies
named; IL the railroad companies increase their tom
nags capacity on the lakes the effect on the free rec
terms OF transportation; I fnd that they oper-
ate on the Same even keel; they combine
they practically dictate the terms of rates, think
many of the Western centres have been built up at
tho expense Of Buffalo, caused BY freight discrimi-
dl1ter0UCo
Of two cents per hundred in favor of
point against another. would practically wpc
the point Disseminated against when connected
with the Erie Railway Company's boats named
rates to Philadelphia; we did not take anything to
we charge more to Boston.


To Mr.. Grady-We can carry on the lakes as
cheaply as they can we have got to have docks and
warehouses to discharge into, and without these
could not do our business unless Erie allowed us
to-; when wo bring our freight to Buffalo aud give it
to the Erie road they won't give me local rate that
I can successfully operate on can't tell how cheap
freight has been moved for by the railroads.


10 Mr. sssrnIIhe dinerence between through and
frcights; they would not give furnish any facili
ties for receiving discharging freight; these
Mr. Allen . lines the reason why they are not used
is because the railroads will not give business.


REMEDY SUGGESTED.


have considered remedy for these discrimina-
tons. think that tho reInedy must come from the
State Legislature. 1t cannot be effected by the mer


O. Do you think it would effect the future of New
York city to make freight rate two or three
cents higher in favor of Baltimore and
Philadelphia? A. think it would injure the com
mcrcial interest of New York city; if the canal
traffic was wipod ous the lake traffic would go with
it, when the rates go down Ave cents per cwt. the
consumer does not get the benefit OF the reduction;
il goes first to the specuator next to the storer Of
grain, and finally to the producer; when the ratio Of
freight advances it comes out of the producer.


To Mr.. Shipman--It would mako wheat higher in
New York If 1t cost 81 bushel moro to transport
it; 1t would come out OF the consumer


To Mr.. Gluck-Within the last few years
tho ratio has been low both OH local and
through freight; I have never made
application to the New York Central road for
special rate at times when the New York Central
road wants grain they will go ont West and contract
for 1000 900 bushels Of grain through to New York
il the Now York Central any other road is allowed
TO operate the lake and make rates low that tho
free marine could not carry at profit it would ruin
the business.


TO Mr.. Shipman-I don't suppose Mr.. Allen will
ship or carry freight for nothing; they at
Chicago and Milwaukee to bid for freight
by the lakes. having the price at their own
control. When Mr.. Allen docs obtain the
necessary amount Of freight Mr.. Vanderbilt puts
man on the Milwaukee or Chicago markets and
buys it. have done business for nothing to
tain extont. There has boen inducement for the
last few years for any to go into the business.


The committee then adjourned until tomorrow.