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tons of dead weight a distance of from 2,400 to 3,400 miles. The marvel is that trans- 

 portation arrangements have succeeded in carrying fruit these distances at any rate that 

 will make the business possible. It never has been done before in the history of the 

 world, and is now being done at such unremunerative figures for the carrier as to make 

 green fruit probably the least desirable for transportation of any product of the soil, if 

 the profits from transportation of green fruit itself were alone to be taken into considera- 

 tion. The load of fruit in a refrigerator car being 2,400 pounds, and the freight rate, for 

 example, Placerville to Chicago, $1 37 per 100 pounds, the amount received by this com- 



§any for its service west of Ogden out of the rate named is $141 41, or on the actual 

 ead weight hauled, namely: 60 tons, is $2 35 per ton, which for a distance of 893 miles 

 equals % of a cent for each ton of dead weight hauled each mile over this distance. I 

 have figured out the proposition in this manner in the hope of making clear the great 

 disadvantages under which the carrier labors in this business by reason of the unusual 

 expense incident to performing it. The weight of the car ordinarily used for the trans- 

 portation of such freight without refrigeration may, however, be fairly deducted from 

 this calculation when figuring closely as to carrier's earnings ; result will be as follows : 



Weight of refrigerator car averages 22 tons. 



Deduct average weight of ordinary fruit car 12 tons. 



Excessive weight of refrigerator, east bound. 10 tons. 



Weight of fruit, east bound 12 tons. 



Weight of ice refrigerating the fruit, east bound ■ 4 tons. 



Excessive weight of refrigerator returning, west bound ... 10 tons. 



Total dead weight hauled, considering only the excessive weight of refrigera- 

 tor over ordinary fruit car 36 tons. 



Dividing which by the revenue west of Ogden, namely, $141 41, gives this company 

 earnings of but $3 96 per ton, or 4^ mills per ton per mile for the 893 miles hauled. The 

 published records of the United States Government, namely, page 699, No. 1,666 of the 

 statistics of railways in the United States for the year 1890, as compiled by the Interstate 

 Commerce Commission, a body whose record is generally conceded by those most hos- 

 tile to railroads to show no partiality towards the carriers, cites that" on the Southern 

 Pacific Company's Pacific system, of which the Central Pacific is a part, the cost of 

 carrying one ton of freight one mile averages 1-^-foj- cents, this figure covering merely the 

 actual operating expenses and omitting the items of fixed charges, interest on bonds, 

 taxes, and similar charges. This is as close as the Government statistician can get it, 

 and as close as any man or body of men can figure it. Hence you can perceive the 

 carriers in their efforts at developing this green fruit business have not been behindhand 

 in fulfilling their part. If the railroads were to do their other business on the basis of 

 the green fruit rates, it would hasten them into bankruptcy. 



You may remember that in 1870 the freight rate on green fruit by passenger train to 

 Chicago from Sacramento was $4 50 per 100 pounds. In 1894 it is but $2 25 per 100 

 pounds. In 1870 the freight rate on green fruit by freight train to Chicago was $2 50 



§er 100 pounds. In 1894 it is but $1 25 per 100 pounds. In the foregoing I have not 

 welt upon the charge of refrigerator companies, which is in addition to the freight 

 rates, but their charge is for a separate service, which requires expert knowledge, 

 namely, the refrigeration and care of the fruit after loading, during transit, and before 

 delivery. Theirs is a service which is expensive, and as long as green fruit has to be 

 transported long distances under ice, so long will a charge for refrigeration in some 

 shape be unavoidable. The solution of the whole matter seems to rest, not with the 

 carriers, who would have solved it before this if their will would accomplish it, but is to 

 be found in some improved method of preserving fruit in transit. I mention the fact at 

 this time, because in the business of transportation we necessarily come in contact with 

 problems of this kind, which appear trivial or easy of solution to those in other callings. 

 But the sooner it is realized that here is where the difficulty lies, the better will it be for 

 all concerned and the greater the number of active minds" that are brought to bear on 

 the solution of the difficulty, by the discovery of improved methods, the sooner is the 

 problem likely to be solved. I note the observation that there is something wrong 

 when fruit can be transported to Europe in quick time and low rates compared with 

 service and rates not apparently so satisfactory to domestic points in the United States. 

 Here again the carriers are entering into the spirit of seeking to aid the grower in find- 

 ing distant markets for California fruit product, and are doing it as much in the interest 

 of the grower as themselves. It would appear strange that a fruit grower should sug- 

 gest that the carriers be restrained from trying to aid in reaching distant markets in 

 this way, for experimental purposes and to find an outlet for fruit that is now going to 

 an overstocked and glutted market. I cannot seriously think that any one should medi 

 tate anything of the kind. The carriers in the project as it stands noware lending their 

 active aid toward demonstrating what can be done in the English markets, and if the 

 project proves feasible we sincerely trust that the fruit growers will be active sharers in 

 the resultant benefits. Indeed, if it succeeds only in diverting to the English market 

 that much fruit which otherwise would be added to the glut in Eastern cities, something 

 will have been accomplished. 



Yours truly, 



C. F. SMURR, 

 General Freight Agent, Southern Pacific Company 



