The southern press. [volume] (Washington [D.C.]) 1850-1852, 1851-10-11

show) that our difficulties have not been attrbut-
able to over production, but TO irregular produc-
ton, then is il not important that we should APP
ply the remedy If there is one! Irregular
production, il is conceded, cannot be prevented
but your committee think that organized concert
Of action will control its effects. By way OF
! illustration, suppose that the year 1891 yields
5000 600 bales, and that II Is definitely aseer-
tanned that the capital employed IL only sulii-
cient to manufacture 100000 OF theSe-now,
in the ordinary course of trade, the effects of
irregular production would be shown by great
depression in price But suppose the planters
refuse to send the crop forward TO any greater
extent than is actually sufficient to supply the
demand for consumption, and retain urder their
own sheds the otter 100000 bales. Such a
course would them fair prices for the
amount sold, and control the natural effects OF
| irregular production for that year. Then, sup
pose the year 1852 furnishes only 100000
bales; the ordinary effect Of this, as has been
shown, would be to drive capital out of the
manufacturing business, and lay the foundation
for subsequent low prices. This would be con
trolled by adding the 100000 bales retained from
| the crop of supplying the manufacturers
demand, securing good prices for both crops, and
preventing the arrangement which would have
resulted from a Withdrawal Of manufacturing
capital Thus, the principle might be run
thror Oh any number of years; and, admitting
that there is no aggregate oVer production, eSary
crop would bring fair price, because offered
only in quantities sufficient to supply the de
mand Such system as this would protect US
against the consequences Of irreaular produc-
| ion, but il can never be carried into effect by
individual action. There are no means of pro
curing the necessary CONCERT, to say nothing of
other nsuperable obstacles.
| If we would do any thing certainly and effec-
lively, we must organize a Cotton Planters As
ISOLATION This should be chartered by the
States of S"uth Carolina, Alatama, Louisiana,
and Florida, with capital OF at least $4,000
| 900, to be increased in amount, as the wants of
the business might require. The Association
should erect or purchase extensive warehouses
| in Charleston, Savannah, Mobile, New Orleans,
| Apalachicola and st. Marks, and establish at
each of these points regular commission bus
mess, with view to the storage and sale OF the
entire crop of the United States
For the purpose of securing to themselves
the whole cotton commission business, they
| should establish minimum price, which, for the
purpose Of this argument we will Tx at 10 to
l2I cents, accordingly to quality and location,
and averaging say il cents per pound, This
should be guaranteed TO all their regular GUS
toners, and to all parties holding ,tton pur-
chased of them, so long rs the said cotton re-
manned in their warehouses. The world should
have notice that, whenever the cotton offering
was not wanted by others, at or above the min
imum fixed, it would be wanted by the associ
ation-that, when orce purchased, it would new.
err be re sold, until taken at cost, ad ling storage
insurance, interest ON the investment, with a
commission for purchasing, and another for sell
ing. This accumulation of charges should In
duce the manufacturers to take their supplies,
before the company woud be required to take
any; nor Is it, indeed. likely that they would
ever be purchasers to any large extent Under
such system, the planter would not crowd the
market with cotton, as is now the case, and spec.
ulators at the minimum price would purchase
freely, and hold with confidence.
Another inducement for such an organization
may be found in its capacity for increasing the
consumption, provided the raw material is fur
nshed. Fhe baggipg and ropes necessary for
packing n crop of . 500, 900 bales, would require
about 50,000000 pounds, or about 100000
bales, of the most Inferior part of the crop
This would be 4 per cent. Of the entire yield.
To insure this large increase in the consumption
of the United States, it would only be necessary
to erect the machinery for manufacturing these
articles-sel them at trihe above the cost Of
DTO0uctlOn, anu uIoCflllllute III lulllluiuHI
price hXed to such extent as might be found ne
cessarY, against the cotton packed in any other
material This would insure the packing Of the
entire crop in our own staple, and provide for
the employment of considerable amount or
labor in manufacturing the bagging and rope ne
cessary. But this Ia not the only Increase to be
effected in the consumption the guarantee
which the manufacturers everywhere would
have Incidentally that his goods, whom made,
could never be brought into competition with
goods made from cotton at lower prices than his
own, would induce the production of a larger
proportion of coarse numbers-feellng that there
could be no risk in stocking himself heavily,
spindes would not be stopped, or short time re-
sorted to because orders were not in hand for
work ahead-the manufacturing business would
be characterized by greater regularity, and con-
Quoted with greater confidence supplies of
foods would be better, and the consumption
larger Another nducement for such an org'nl-
cation Is the great saving of expense in getting
our cotton into the hands of the manufacturer.
The Liverpool market governs the Amerc IN
market, and II matters not whore the planter sells
his cotton he sells In reference to what Is the
supposed net value In Liverpool, and the differ
ence between the price In our own sea ports and
the price in Liverpool, is the measure Of charges
ana tNptnsts palu ny btduNN''uS iloui WIG pm
OF the crop when sold Taking the period of
ten years, from 1910 to $780, it is found that the
average price in Liverpool was 295 100 cts per
pound higher than the average during the same
time in the seaports Of the United States. TAX
ing this as the measure Of charges and ex
penses, and estimating our production for the
next ten years at 100000 bales, of 500 lbs
each, a9d the expenses may be stated thus.
$50 Ooo, 900 lbs at 295-lOo cts lb. 96,sls 900
Add storage in American seaports av-
er4gng months, 30 cents per bale
on q, 500 600, l,250,000
Drayags on do. 10 25OO0O
Mendng do. G5 l25,000
Brok 'ge, extra labor e. Is $4,000
Commission on sales IS dol.
per bale a p p. ct. 3,437, 500
- 5,437 500
si2,3l2, 500