OCR Text |
Show uu CHUG RATES ON FREIGHT TO THIS REGION That freight rates between eastern and Pacific coast points and eastern and Intermountain points may be equalized in the near future, through the recommendation of the interstate commerce commission, was welcome news to local jobbers and merchants J toda . The commission yesterday recommended rec-ommended readjustment of the rates to the railroads, after finding that the European war had temporarily elimi-, nated water competition on freight movements to Pacific coast ports. If the recommendation is followed the j transcontinental freight rates will be readjusted on a zone or distance basis, with Pacific coast rates as a maximum. maxi-mum. To make this basis reasonable the commission suggested a grading of carload commodity rates from the Mis rouri river to Intermediate points with distance applying rates not higher i ban 55, 70, 80 and 90 per cent of the 'present coast rates to territory with-I with-I in 600, 950. 13ft0 and 1650 miles from I Missouri cities, respectively. Traffic bureaus and jobbers of Salt Lake received the announcement of the commission with delight and immediately im-mediately predicted an enormous increase in-crease in Salt Lake's status as a jobbing center Railroad traffic men were more reticent to express their views, on the ground that the press dispatches on the commission's report Were not sufficiently comprehensive to permit any prediction as to the possible pos-sible result of the suggestion In case it became an order. The railroad were given until April L' by the commission com-mission to submit proposed changes in the plan and the case will be argued ! before the commission April .': and 4. Work of Years "The tentative plan submitted by the commission is just what we have been trying to brinK about for year," enl husiastically dec lared H. W. Prick-ett, Prick-ett, secretary of. the Traffic Service Bureau of rtah. the institution which has led the fight In the intermountain region for a readjustment of rales. "If put into effect, as 1 have every reason to believe it will be it wilt mean millions of dollars to Salt Lake and the intermountain country. It will mean that Salt Iake jobbers may extend ex-tend their field of activities fully 530 miles further west, because the California Cali-fornia rates will be higher and its jobbing field will be curtailed." Because of a lack of information ng to the details of the plan and of the fact that further arguments are to be heard by the commission on the subject, sub-ject, J. A. Reeves, general freight agent of the Oregon Short Line, was reluctant to express an opinion. Where Salt Lake Gains "If such a plan as I believe this is should be put into effect Salt I,ake might be able to extend its jobbing territory westward, but on the distance dis-tance or zone basis Denver and Grand .1 unction undoubtedly would be given a similar privilege, with the result that we gain on the west, but lose on the cast From the limited Information Informa-tion available, it would appear that the intermediate points are to extend their respective fields westward a little lit-tle and the Pacific coast ports will be about the only ones to suffer. "Tho railroads admit that water competition has been reduced to almost al-most nothing as a result of the Kuro-pean Kuro-pean war. but they believe that pot en . tlal water competition still exists and that as soon as the war has ended it will make itself felt. The one big draw-back draw-back In changing rates now is that in all probabilities the change will be to meet only a temporary condition. condi-tion. As soon as water competition ! is restored there will be a demand I for rate reductions to Pacific coast points, and to this, of course, the intermediate in-termediate points will strenuously ob- jett. Readjustment After War. "When water competition Is restor d another readjustment of rates will be absolutely essential i the railroads are tu obtain their shares of the Pacific Pa-cific coast business And as the com modlties can be handled at a much lower cost by water than by rail there will be but one thing to do! reduce the rates from the east to Pacific coast terminals or else lose the business. The loss of the busi ness to the railroads will not be of any benefit to the intermountain coun try. The boats can handle the commodities com-modities which do not require speed in movement to the Pacific coast ports and they can be sent back to the intermountain country as cheaply In most instances as the railroads could handle them from the Atlantic seaboard to the intermountain country." coun-try." All changes in rates under the proposed pro-posed plan, according to reports of the interstate commerce commission an noune'ement, would be made west of the Missouri river. On the mileage or zone basis suggested the rate from the Missouri river to Denver would be 55 per cent of the Pacific coast rate, to Grand Junction 70 per cent, to Salt Lake SO per cent and to Reno 30 per cent. i 00 |