It is not uncommon to attribute much of the existing depression of
trade to rates charged by railways. Before the Royal Commission
which lately investigated the subject, many statements to that
effect were made. Against their accuracy there is a strong
presumption in the fact that trade has been in recent years
depressed elsewhere, and in countries supposed to enjoy lower rates
than exist here. When particulars of the exact nature of these
complaints are furnished--which is seldom done--it is found for
the most part that there is no real connection of cause and effect
between railway charges and depression in trade; that the latter
revives or declines independently of the former; that for the most
part, the evils complained of are beyond the power of railway
companies to remove; and that the complaints are contradictory. Two
of the forms which these complaints have taken may be noted. One is
the statement that[81] differential rates operate in favour of the
foreign producer, and that works are being removed from inland to
seaboard towns to save carriage.[82] Obviously this grievance could
be wholly abated only by free carriage; producers on the sea coast,
near points of shipment, inevitably possess certain advantages.
These again could only be materially reduced by differential rates
somewhat lessening the inland producer’s geographical disadvantages;
and to this remedy the persons loudest in their complaints most
strongly object. Another form which such complaints take may be
noted. The following extract is from a paper sent in by the Mining
Association of Great Britain to the Royal Commission on Trade:--
“The heavy trades of coal and iron are also unduly burdened by the
high rates and tolls charged by the Railway Companies. They are
slowly but surely killing the trade of the country by their high
charges and by the preference given to foreign countries.”[83]
[81] Mr. L. Cohen--Debate on Railway and Canal Traffic Bill, 6th
May, 1886.--Hansard, vol. cccv., 428.
[82] See Second Report, Minutes of Evidence, Mr. Muller, page 38, Q.
1889.
[83] Compare Sir Lowthian Bell’s statement. “The results of my
enquiry on the continent of Europe, and in the United States,
justify the assertion that foreign iron manufacturers as a rule
possess no advantage over ourselves in these respects ... That
railway accommodation for the transport of fuel, ore, and limestone
is afforded on terms somewhat cheaper in Great Britain than those
charged on the Continent for like distances.” (_Appendix to part 1
of Second Report of the Royal Commission on Depression of Trade,
pages 345-361._)
Public-domain text, read in full here on John Shaqi.
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