| Show WEST PENALIZED BY HIGH FREIGHT s sI w I PS Rates Bates to Seaboard Now 6 to 18 Cents Above r I r Pre Y War Pre r Days 13 By r J HARDEN X COLFiX Special i ot of St Standard Standard- Standard Examiner Copyright 1 1927 9 27 by Press Association WASHINGTON Jan 29 LeO 29 Eco Economically speaking New York ha baa grown closer claser to San Francisco since the World war and further from Chicago The Atlantic and Pacific seaboards are squeezing the tho Interior of ot the country aim sim- simply sim simply ply because ocean cargo rates have lave not increased like rail freight rate rates This his Is one of the figurative pic- pic pictures picture pic pictures ture tures sketched by an analyst of the Great Lakes to the Sea proposals which was os Issued this week I by the tho department of commerce along with other related studies The analysis makes the significant significant cant conclusion that much of the Industrial distortion the agricultural tural tura depression and the Increasing dislocation of population which are marking the growth of the United States would be relieved by a deep deepwater deepwater deepwater water outlet from the Great Lakes to the sea lea and ond com completion of ot an adequate barge channel in the tho Mis Mis- Mississippi and Its lt tributaries ALL INTERESTED The subject holds personal n- n fi ft financial nane-Ial nane Interest tor for the people o of ever every part of ot the country because conditions con In the middle west di directly di- di directly i react upon every other sec section sec eec section tion Reduction of ot freight rates on agricultural products to pre I ire wal wal re-wal levels would solve the farm tarm problem problem lem lam In its Immediate a aspect put million In the pockets of ot the pro pro- producers producers pro producers and at ot the same time timo bone bone- benefit fit consumers to the tune of mil mu- mil mil- millions millions lions Since the railroads now In a high state of ot efficiency and doing their job remarkably well can can- cannot can cannot not as a whole suffer a reduction on rates on farm products without disaster and to lower rates on crops and raise them on other tonnage i would result merely in transfer transfer- transferring transferring ring the smudge from the pot to the tho kettle the successful answer does not exist In that dl- dl direction di direction INFLUENCE CROP PRICE Midwestern farmers farmel now pay C 6 to 18 cents cants per bushel more freight on grain shipped to seaboard than they did before the war The cx- cx ex cx export port price Influences the price ot of the entire crop If It only one cent could have been bello added to the tho value ot of each bushel of the five major grain gram crops crops- crops wheat corn oats barley and rye grown grown in the United States In 1925 the last year tor for which com coin statistics are aro available the farmer would have been better off It tho the freight on grains exported that year had hILd only been een S Ii cents per bushel cheaper leaving rates at present levels evel on for domestic consumption consumption tion the growers would have bene bene- benefited bene- bene benefited benefited by PENALIZE INTERIOR One Ono of ot the serious phases of ot the situation which has been buen pointed out by the department of corn com mt rep Is the dislocation of Indus Indus- Industry industry Industry try and consequently of or population which Is resulting from changed In transportation charges brought about by necessary In- In increases In Increases creases In rail freights while ocean cargo rates remain almost at pre pre- prewar prewar pre prewar war figures It is relatively Y cheap cheap- cheaper cheapen cheaper er en to get raw materials for tor Indus Indus- Industrial industrial Industrial trial production at seaboard or near it than In the Interior Thus Thus- Thus Interior Interior points are boning bening penal penalized both ways on shipments out and shipments in There Is la nothing antagonistic to rail carriers In a program of wa- wa waterways waterways wa waterways development One means of transportation would comple complement ment mont the other Railroad traffic has hol nearly trebled In the last 25 years With a normal growth ot of population provision must be made to handle double the tho present ton tonnage ton ton- fluKe nage in another 25 years Water Water- Waterways Waterways ways was can be bo deepened and made re reliable reo re- reliable liable carriers o ot of at less lea ex expense ex- ex expense pense than railroad railroad- 1 can be ex ox extended cx- cx tended to meet such Euch needs and It must be noted that terminal facil facilities tIles In congested centers are an increasing perplexity In railroad ex- ex expenses ex expenses TI C COMPETITION While rail freights on gral grain from the middle we west wart t to world markets have havo Increased 6 S to 18 cents per bushel since the war var the rates rales of the Argentine farmer and other competitors have Increased only slightly On the Industrial side It now COet costs 2946 G to mo move a ton of staple goods from Chica Chicago go to San Francisco as ILa compared to 2610 before the war while by bythA bythe the thA Panama canal It costs only 1680 to move this ton from Now New NewYork NewYork York to San Son Francisco as com corn compared pared to 1904 before the war Engineers have reported that It would cost for II a a deep waterway from the lakes to the sea ea b by the tho cheapest route It also Is estimated that the tho river could be completed for navi I navi- navi navigation navigation gation purposes at a ost cost less les than The two waterway systems would lower freight rates In the tho greater part ct ot the area arcs of the tho United States and directly population benefit the majority of ot its population population tion and Indirectly benefit all aU ot of it It IL |
