STANDARD OIL TRUST METHODS.

Taranaki Herald, Volume LIV, Issue 13424, 15 March 1907, Page 6

STANDARD OIL TRUST METHODS.

The world's most noteworthy trust is the Standard Oil Company. Its ramifications are world-wide in extent. Australia comes within its grasp, and for years the bulk of , the < kerosene sold in these markets has.been the product of the Trust. A few-years ago merchants used to import ariti distribute this oil as they chose. Now the Trust, under the name of a subsidiary company, does all its own importing and first distribution, binding its customers under the "rebate" system to so-called loyalty. In the United States, the Trust has of late been subject to inquisitorial searchings. The report of the Interstate Commission on the relations of common carriers to oil production and distribution deals severely with the Standard Oil Company. The report declares the ruin of its competitors has been a distinct part of its pojjicy in the past, and that that aim has -been systematically pursued. The company, the report alleges, organised a perfect espionage on shipments of competitors, thus learning, the destination of every car of oil leaving the refinery of/ an' independent establishment, and t'fte Standard agent at the point of .destination, was held responsible if any ttfc the oil from the independent manufacturer' were sold. The celebrated pipe line of the Standard Company is declared jto be not of natural but rather an artificial advantage inasmuch as competitors have been unable to lay down similar lines owing to opposition on the part of the railways which control the right of way. The Commission fails to find that any railway is now interested in oil production but % the railway traffic arrangements are more or less permeated with discriminatory rates* in favour of the Standard Company, amf concludes by declaring that it may be necessary for the Government to fix rates and regulations for such traffic,