Southern Argus. [volume] (Columbus, Miss.) 1834-1842, 1839-08-13

Il
TO The Cotton Planters, Merchants. Fac
tors, and Presidents and Directors };
the several Banks Of he Soataer1
States:
CIRCULAR
Il Fellow CITIZENS. interested liks
yourselves, in the cultivation and dspo
sal of the great staple of American agri
! couture and commerce, we have accident
! ally metin this city, in the midst of i cri
SIS which discloses some s,rIkingIy mo
mentous features in the history of tili.
most important branch of the trade of ON
country.
When the Cotton Crop ofthe United
States was mere item in its trade. anc
did not reach production exceeding five
thousand bales, it WIS perhaps safe to con.
sider II as one among many articles O
barter and exchange, which left entirely
to the fortuitous circumstances Of com
nerce, would find its level under the in.
i fuence of the ordinary laws of trade
without the necessity of resorting to any
means OF precautionary protection.
Times, however, have changed. Cot.
ton has passed from the condition of 0
mere article of commerce, TO the perfor.
nance of the mighty function of being in
agreat degree the regulator of the ex.
changes, and the standard of value of our
country. If the nature of this material
forblds its entering into our circulation, it
IS scarcely less the basis of our currency,
[ than the precious metals; for the fuctua-
tons in It's price are felt with sensibility
equally as acute and searching, as any of
those variations which belong to the de-
mand and supply of these sensitive and
mysterious tokens of national value.
The production of this staple, has now
become so immense, that it behooyes those
who produce it by large investment of
capital at a high rate of incidental cost,
and in climate perous TO human health,
to consider well whether there are not
some material circumstances in reference
to the mode in which this product of their
labor is shipped from this country, aud is
brought TO market at the point of its final
sale and consumption, which demand the
application of prompt and effective rem
edy. In one word, is not the important
fact disclosed, that such is the unwieldy
amount of this great staple of Southern
industry, that it cannot be sent forward
and disposed of at fair remunerating pri-
ces, through the ordinary medium of the
mercantile establishments of this country
and in Europe, without the direct coop.
Grafton of our banking institutions? If
we have become satisfied of this fact,
ought we not to organize system, which
shall give perfect security to this great IT,
terest i'll the commerce and finances of
our country? The unwise and ruinous
system of sending the crop forward to
houses of circumscribed means, on the other
side of the water, who are incapable of
holding their consignments an hour be-
yond the maturity of the. bills drawn
against such shipments, subject in fact,
nearly the whole amount of American in
terest 20 foreign combination, which might
act, not only with entire concert, but with
perfect knowledge of the period, when
from the maturity of the acccptances in
question, property to stupendous amount
belonging to this country, may be ready
for sacrifice.
The great and vital change which must
be operated, is to sustain American inter-
ests, by American credit. To realize at
home, the resources necessary for the pro-
lection of our property abroad, without
the necessity of large and inconyenient
drafts on the capital and means of our
great customer. In other words, the CON-
mercial reform we desire, is TO send our
great staple to market. without the peri
Cd being determined by the date of Bill
of Exchange, when it is to be brought for
ward for absolute and unnecessary sacri-
fee. We believe that the steadness in
price, which would result from portion,
at least, of the Cotton crop being exempt
from the disastrous fluctuations arising
from compulsory sales, would in the end,
be scarcely less valuable to the spinner
and consumer in England, than to the
grower and shipper here. A fact, which
we think demonstrable from the following
postulates, which we consider altogether
selfcvident:
1. The natural price of Cotton is the
effect of the fair and natural influence of
supply and demand.
2. The price cannot be steady, and the
article cannot be current, so as to admit of
safe calculations on the part of the plan
tiers, the manufacturer end the merchant,
unless the price be natural. 1t is conse-
quently the interest of these three classes,
that the article should be protected, on the
one hand from any great and undue spec
ulativc action, which might initiate prices
above the natural rate-and on the other,
from any arrangement in the money mar
ket, or any other accidental cause, which
might depress it below that rate. The
effect of great and undue speculation be-
ing to derange the money market, and to
produce reaction, with an undue depres-
sion ofprlces.
3. The state of the currency mainly
depends on the means which the country
possesses, TO pay its foreign debt, by ship
nents of its produce. To the extent its
produce or manufacture falls short of thai
object, exports of specie may be induced
The effect of which mus; be a reduction o.
the circulation, with depreciation of prop
erty and general distress.
4. Cotton, in this country. being BY fal
1.-THE most important produce, and aHordine
the great means of paying its foreign
debt, 1t is the interest of the community
and particularly OF the monied instltu
| lions, that the price Of it in England, THE
great market, should be steady, and tha