26 



HARDWOOD RECORD 



AiiKusi 111. ri-1 



Foreign Demand Continues Sluggish 

 The statement of oxports of lumbiT .in.l logs lor lliircli from liultlmon- 

 Is out, and furnishes further proof of the unrespojislveuess of the foreign 

 markets in the matter of a demand for American hardwoods. The 

 exhibit shows a total far below that lor the correspondinj; month of last 

 year, the declared values being respectivly $134,10!) iiikI *ri(;2,4.'i2. Prac- 

 tically all Items were affected by the elieck upon the movement, almost 

 the only exception being hardwood logs, which went forward to the extent 

 of 80,000 feet last March against 41,000 feet for March, 1020. The move- 

 ment In oak boards, for Instance, decreased from 080,000 feet, of a 

 declared value of $76,435 In March of last year, to 179,000 feet, of a 

 declared value of not more than $14,437 for March of this year. Of 

 poplar only 45,000 feet, of a declared value of $0,255, was sent out last 

 March against 100,000 feet, of a declared value of $20,145, the year before. 

 In hardwood boards the exports last March were 57,000 feet, of a declared 

 value of $0,423, against 247,000 feet, of a declared vMhie of $30,687 for 

 March, 1920. 



Railroads Absorb Dock ToUage 

 .Ml of llii' r.nhoads entering the port of New Orleans, with the single 

 cxceiition of the Louisville & Xashville, are now absorbing the dock 

 boani tollage of 15 cents per ton on forest products originating beyomt 

 the New Orleans switching limits and passing over the city front wharves 

 for export or coastwise movement, according to information originating 

 with the association. The latter is therefore suggesting that shippers 

 secure' advices from the New Orleans olfices of this organi/.nlinn bel'nr.- 

 delivering •'competitive traffic" to that line. 



Rate Advance Is Suspended 



The Siputhern Hardwood Traffic .Vssiiciutiuii .iiiiiMunces that it has suc- 

 eeeiled in having the Interstate Commerce CoiuiMission suspend the 

 ailvance of cents per hundred pounds on lumber and forest products 

 irioving from Memphis to Ciiattanooga, and from the west and southwest, 

 via the Memphis gateway, to the same destination. It further advises 

 that the interested carriers have been prevailed upon to ask the ;,unmis- 

 slon for authority to cancel the tariffs carrying the higher rates. 



The association also states that Kelly's Combination Tariff, No. 22S. 

 will remain in full force and effect, so far as forest products are concerned, 

 until Jan. 1, 1922. This means that shippers of these materials have 

 until the latter date to request publication of through rates to take the 

 place of rates based on combination, and the association is already show- 

 ing marked activity in letting the publishing agents of the carriers know 

 the points to and from which such through rates are desired. June 1 was 

 originally lixed as the date for the cancellation of Kelly's combination, 

 but it was found impossible for the railroads to publish the through rates 

 desired in such limited time. The pith and point of this whole matter 

 lies in the fact that, if the combinations are withdrawn before through 

 rates are published, there will be advances in hardwood rates, and this is 

 about the last thing lumliermen in this part of the country really want. 



All Water Rates Reduced 



The New Orleans offices of the Southern Hardwood Traffic -Vssociation 

 are calling attention to the fact that there has been a reduction of $3 to 

 $6 per thousand feet in the all-water rates from New Orleans to New York 

 via the Mallory Line, and are suggesting that shippers investigate these 

 lower all-water rates and make use of combination rail and water rates 

 via New Orleans instead of using the all-rail rates now in effect. The 

 management of these offices is in position to furnish information regard- 

 ing rates which will enable the shipper to determine very quiikly which 

 are in his favor. 



No Change in Stake Allowances 

 There will be no change in present "stake allowance" arrangements 

 where shipments of lumber are made in open toii cars, accorcling to the 

 Southern Hardwood Traffic -Association. The carriers proposed some time 

 ago to lix the maximum weight of stakes used in such shipments at 500 

 pounds and to require the shipper to weigh the stakes and certify to the 

 correctness of his figures. Owing to the vigorous fight made by the asso- 

 ciation for the retention of the old 500-pound stake allowance, the car- 

 riers have withdrawn their proposals. 



"OtHclals of the association are more confident now than ever before 

 that the railroads will be foi'ced to lower rates on hardwood lumber and 

 forest products and all heavy-tonnage commodities." 



'I'liis is the unqualified statement of Mr. Townshend. He declines to say 

 on what this view is based, but he is willing to admit that it is based 

 on something more substantial than a mere "hunch." 



.Vssociale officials have been very busy in getting up the charges to he 

 set forth in tlie complaint and they have been equally busy in securing data 

 from members in order that the formal charges may be substantiated when 

 the case conies on tor hearing before the interstate commerce commis- 

 sion. It is one thing to make charges and quite another to properly 

 support these. The association is fully aware of this fact and it is making 

 just as strenuous preparation to substantiate the charges contained in the 

 formal complaint as to get the latter properly before the interstate com- 

 merce commission. 



In the meantime, the movement of low grade lumlier and forest products 

 is extremely light, and S. M. Nickey, president of the association, is author- 

 ity for the statement that then' will probably be no return to prosperity 

 among the lumbermen until freight rates are lowered to a point where 

 shipments can move to consuming destinations. This appears to be the 

 i|uite general view among members of this organization and it is this 

 fact which is doulitless responsible for the confidence they maintain in 

 the outcome of the fight. They do not believe the interstate commerce 

 coiTimission wilt allow a continuance of rates which are more than the 

 traffic can bear. 



Carriers Granted Extension 



Tlu' Southern Uarilwood Traffic .Association is in receipt of advices from 

 the interstate commerce commission that the latter has issued orders 

 authorizing the carriers to so amend their rough material tariffs as to 

 provide, on one day's notice, an extension of six months in the time limit 

 on tonnage which will expire, under present tarlft's. iluring the last half 

 of 1921. 



The association asked for an extension of one year, hut it is thoroughly' 

 siitisfied with the present order, for the reason that this is the first 

 time in the history of the lumber industry or any other industry that such 

 an extension has ever been granted and for the additional reason that the 

 extension will effect a siiving of between .$400,000 and $500,000 to mem- 

 bers of this organization. The extension relieves them of the necessity 

 of having to jiay. within the next six months, the difference between gross 

 and net rates on rough m.aterials moving into milling centers. 



Transit Privileges Granted 



The Missouri. Kansas & Texas, Missouri Pacific, Frisco and Cotton Belt 

 railroads have established at St. Louis and East St. Louis, eft'ective August 

 15, 1921. transit privileges under which rough materials may be drawn 

 into these centers from points on their lines in .Arkansas, Louisiana, Mis- 

 souri. Oklahoma ami Texas, yarded, sorted, dried, manufactured or other- 

 wise rehandled, and then shipped to destination on the through rates 

 applying via these centers. There is a change of two and one-half cents 

 for the st<qj-over privilege. 



The Cotton Belt has advised its willingness to establish transit privi- 

 leges at Thebes. III., as soon as the necessary tariffs can be published, and 

 the Louisville & Na.shville has agi-eed to extend its tran.sit privileges to 

 (Cincinnati. It has heretofore agreed only as to Memphis and Louis- 

 ville. Ky. 



The Southein Hardwood Traffic .-Vssociation, which announces the estab- 

 lishment of these privileges at the points indicated, is making arrange- 

 ments to secure establishment of similar privileges at other points where 

 its members desire them, in direct line with the policy it announced at 

 the time it won its important victory before the interstate commerce 

 commission in the Jlemphis, Cincinnati and Louisville cases. Establish- 

 ment of transit privileges at East St. Louis. St. Louis and Thebes. 111., 

 is regarili'il ;!■; a direct result of this victory before the conimission. 



Clubs and Associations 



With the Trade 



Southern Hardwood Traffic Files Coinplaint 



The formal comijlaint nf the Southern llanlwood Traffic -Association, 

 attacking jiresent adjustment of rates on hardwood lumber and forest 

 products, inclucling cooperage material, vehicle stock, logs and other 

 rough materials, has beeu filed before the interstate commerce couimissioii, 

 according to J. H. Townshend, secretary-manager. 



J. V. Norman, general counsel of Ihe association, spent ji day in Mem- 

 phis last week goinp over the situation with officials of this organization 

 and familiarizing himself with all angles of the controversy. He went 

 from MiMiiphls to Washinstnii, where he gathered additional data which 

 wiis useil in the preparation of this formal document. Mr. Norman is 

 confident hearings will begin before the commission the first week in 

 September. 



Private Contractor Is Employed 



The .\mericau Overseas Forwarding Company has emplnyed a private 

 contractor to handle export lumber shipments at New Orleans, according 

 to announcement made by the Southern Hardwood Traffic -Association. In 

 addition to unloading this contractor will supervise the counting, see that 

 mates' receipts are clean and that shipments kie expedited as much as 

 possible. 



The company will charge 3 cents per hundred pounds for this service 

 as agiiinst the 4 cents which the carriers have imposed through their 

 tariffs, thus effecting a saving of 1 cent per hundred pounds. 



This service will apply on shipments moving on local or port ladings. 

 The railroads do not allow interference with. shipments moving on through 

 ladings. 



