Wilmington journal. [volume] (Wilmington, N.C.) 1844-1895, 1850-01-11
From the Liverpool Chronicle.

: From the Liverpool Chronicle.
The Consumption of Cotton.
The following communication will be found to pos
sess some interest for large class of commercial
persons at the present time
At the present time when is of vital Importance
to the interests of a large class of manufacturing
capitalists and of the industrious population DEEPEN
dent on that great branch Of our national manufac
lures to ascertain how far adequate supply OF the
material, at a sufficiently moderate price may
be secured it is desirable to consider the question
more calmly and comprehensively than is usually
done by parties embarked in speculative operations
whose opinions, well their statements, are natu-
rally biased by their interests.
Whether the immense rise which has taken place
in the price of cotton during the past twelve months
be altogether the legitimate result OF consumption
increasing in greater ratio than production, arising
from disproportionate amount of industrious CAPT.
tai in this and other countries having been directed
to manufacturing operations, compared with that
employed in raising q correspondingly increased
quantity of the material or, whether conside
rable part of the advanced price is to be
to the abundance of unemployed capital in the hands
of bankers and the consequent facilities afforded for
speculative operations 1t is certain that IN this, as
in all similar cases. nothing could be contrived more
eectually to stimulate increased supply than the
recent enhancement of price.
When the expense of freight and other charges is
deducted from the market prices at both periods it
is apparent that the American planter has now the
stimulus held out to excite his diligence and activity,
of double the price for his produce that he could
have looked for this time last year If such in
centive proves inadequate to bring forward ample
supply, it will be the best justification of the late ad
vance.
But though an advance of price is the natural and
efectual remedy of real or anticipated scarcity it
is important it is desirable for all parties inter
ested In this great department OF industry that these
fluctuations should not be greater than is necessary
IN the deSirnd iS nSnecialU to he
ed that the supply and consumption may be so ac-
commodated to each other that no portion of the
working classes engaged in the manufacture be de-
prived of employment or even materially stinted of
the usual reward of their industry.
1t is not of the least of the advantages result
ing from free commercial intercourse among ma
tions that it tends to diminish the frequency well
the extent, of those violent fluctuations in prices
which, though to some extent unavoidable, from the
vicisstudes of the season, &c. often greatly ag-
grayated by the nudicious interference of llnform-
ed governments. The effect produced by the sudden
interference of new and inexperienced capitalists,
ger only to grasp at sudden increase of wealth. but
ignorant of some of the circumstances bearing the
question of prices, though the result of different
cause, and of nature calculated to work its own
cure, for the time it operates baneful legis
lative meddling.
The error generally made by persons imperfectly
informed the subject, and by their interested adj
Ysers, is in considering the consumption of cotton
too much as fred quantity They know that it is
the interest of mill owner to continue to work his
machinery not merely without profit, but even at
such loss does not exceed that which he would
incur though his works were idle from loss of inter-
est capital insurance, local and national taxes,
expense of keeping his machinery in order, &c. &c
and therefore they calculate that the ordinary
sumption of cotton will go on Notwithstanding con-
siderable rise in prices provided the margin is not
overstepped when the necessity of stopping the ma
ohinery becomes indubitable.
1t is quite mistake, however, to suppose, that at
all times when cotton mill is at work, it must
cessarly be consuming the quantity of the raw
material 1t is true that when mill is erected and
filled with machinery, there is not only particular
description of yarn, but particular size range of
Sizes which it is intended to produce and for which
it is therefore, best adapted According to the de-
| scription and size of yarn to be made will depend
the quantity of cotton capable of being used. For
example, and not to take very extreme case, mill
adapted to spin coarse numbers of water twist, will
manufacture quantity of cotton equal to eight OF
ten mills of the extent arranged for spinning
| No. 60 mule warps. When we hear, therefore, Of
certain mills being stopped put short time II
consequence of the advanced price of the raw mate
rial it is necessary to know the description of yarr
spun by them to be able to judge accurately of the
effect to be produced on the quantity of cotton con
Stunning.
But while there is particular range of numbers
for which each mill is best suited it is neither impos
sible very announcement to vary this range to
moderate extent, according to the demand and Othe
circumstances as we'll as TO the state OF the cOttOI
market Such changes involve neither outlay no
loss of time and resored to- in Individual cases
every day, to meet very trifing alterations in tn
style of goods wanted. And to show the importan
bearing of such changes on the consumption of tn
raw material it is only necessary to state that sup
posing the average number Of yarn spun in this
try to be raised only from No 35 to No 49, the guam
tty of cotton consumed in year would be diminish
ed not less than quarter of million of bales, an
yet neither the time of working the number Q
persons employed be at all reduced.
1t is in this manner, indeed that rapid changes i
the quantity of cotton consumed are generally pre-
duced, rather than by sudden increase in the nun
Der of mills, or from improvements in machinery,
which causes the variations in consumption are fire.
quently ascrbed though must be obvious that the
r must operate slowly and gradually.
In yarns twothirds of the price arises fro1
the cost of the material and that proportion cor
o stantly diminishes you ascend to finer numbers
When cotton is cheap, therefore, the cost of heav
: goods, which made from yarns, is dimir
: ished in much greater ratio than the lighter de
: scriptions made from finer yarns; the demand wi
Y always increase with diminished cost; these heav
/ goods, so long as the material remains cheal
Il will relatively be the most profitable.
On the other hand when cotton is dear, the COZ
Of such heavy goods is increased in greater rat
IL than Others but the extended consumption havin
been the result of low prices, only be maintaine
IL by the same means. The manufacture becomes III
profitable, part of the machinery is directed to
/ somewhat finer range of spinning another part
, put reduced time, and, perhaps portion stoppe
b altogether, till either the dimnuton of productio
. creates such scarcity of the manufactured artic
leads to higher prices, a reduction in the prie
of the material again assmlates the cost to tt
y selling price of such goods The present aspect
things in the cotton manufacturing districts affort
striking illustration of the working of this natur
process and is calculated to open the ewes of thos