Milling in Transit


Aley, Jeff A
 

Dennis,

Could you please expand upon this topic?

For example, who is it that has his wheat milled in transit: the farmer, or some intermediate elevator? Is the "milling in transit" done between the grain elevator and flour consumer (e.g. bakery)?

You imply that the exact same boxcar gets used for the flour as was used for the grain. Is this always the case, or was that a simplification?

Thanks much,

-Jeff


From: STMFC@yahoogroups.com [mailto:STMFC@yahoogroups.com] On Behalf Of soolinehistory
Sent: Thursday, April 15, 2010 8:36 AM
To: STMFC@yahoogroups.com
Subject: [STMFC] Re: was LCL - Stop Off traffic




--- In STMFC@yahoogroups.com<mailto:STMFC%40yahoogroups.com>, Tim O'Connor <timboconnor@...> wrote:

Ross

I've heard of storage in transit for grain, but milling in transit??
Wouldn't the transformation of bulk grain into bags of flour involve
an entirely new tariff?

Tim O'Connor
No, it was a single tariff designed to keep the flour traffic on the line that had originated the grain move. It goes back a long way; here's a link to a nespaper article from 1890:

http://query.nytimes.com/gst/abstract.html?res=9802EED8153BE533A25752C1A9629C94619ED7CF

Keep in mind that grain is fungible, like money is. When you go to the bank to make a withdrawal, you don't get the same money you deposited back; you get different but equal money. Grain is the same, you don't get your grain back out of the elevator, you get different but equal grain. Same with milling in transit. You don't get the flour that was milled from the grain you hauled in; you get equal flour milled from different grain. So, the car just emptied of grain can be immediately refilled with flour and sent on its way.

Dennis



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