Saturday, Apr. 21, 1923
Enemies of Pittsburg Plus
One of the main features of the farm bloc program for the next session of Congress will be the abolition of the " Pittsburg plus" system of basing freight rates. One or more bills will be offered with the concerted backing of the agricultural group in both House and Senate, making this system illegal.
Under the " Pittsburg plus" system, freights on steel and steel products are based on Pittsburg. Thus, if a purchaser in Milwaukee bought steel in Chicago, he would have to pay, not the freight rate from Chicago to Milwaukee, but from Pittsburg to Milwaukee. The difference in rates would be added to the price of the product bought.
In a similar way the rates on cement are based upon Gary, Ind. If a farmer in a middle western center goes to a factory to buy a load of cement, he is charged the freight rate from Gary even if he hauls it back in his own truck.
The "Pittsburg and Gary plus" systems have cost farmers and builders enormous sums every year, and the farm bloc is resolved to have them condemned under the Sherman Law as being " in restraint of trade."