The Louisiana Democrat. [volume] (Alexandria, La.) 1845-1918, 1869-08-25
Condition Of the Cotton Trade,

We copy ms follows from late number
Of the London Shipping Gazette on the
condition of the cotton trade, which is full
Of promise to the South. The planter has
q splendid prospect for reumnerative
prices:
The cotton trade is still in a very pecu-
liar position. The struggle between Liver
II pool and Manchester, which has been
going on for SO long time, has resulted in
| the partial defeat of the latter. The posi-.
ton of the raw material is statistically
strong. while the stocks of cotton goods
throughout the world have been greatly
reduced IN consequence of the restricted
exports from this country. Holders Of raw
cotton have been further favored by the
fact that money has continued cheap,
which has given them o considerable ad-
vantage in the contest with the spinuers.
There is very little doubt, however, that
tue latter have pursued the right policy in
limiting their purchases to the utmost ex-
tent and they may not have cause to re
greet having done SO. The restricted con.
sumption which has been going on has
impaired healthy tone to both the Liver
pool and Manchester markets, and more
activity may be antcipat ed in both, until,
at least, present wants have been supplied.
The immediate cause of the return of &C
tlvity is the condition Of the eastern
| markets. which must by this time be pretty
well bare of goods, The shipments OF
India, as We have fir. quently pointed out,
have been on an unusually small scale for
some time past, and altogether. out of pro-
portion to the requirements of SO large a
population. On the other hand, the ex-
ports to China have been greatly on the
increase. These, however, have been
rapidly absorbed, especially SO far as the
Northern ports are concerned--a fact
which goes far to PROVE that we are as yet
unaware of the great capabilities of the
China market, trade with which would
almost appear to be iii its infancy. The
American markets have also shared in the
improved feeling not, however, from an
| exhaustion Of stocks, which are at present
sufficiently large, but rather from the grow
ing belief that cotton must continue to adj
vance in consequence of the altered aspect
ofaffairs: From South America, too, the
reports are such as to lead to the belief
that, now that politics have assumed a
more peaceful attitude, the usual supplies
of cotton goods will be required. From
this changed position of the cotton goods
market it is evident that increased demand
for raw cotton may be anticipated.
1t is difficult to see, however, how any
great increased demand can be satisfied
out Of present resources. The quantity of
cotton on hand in Liverpool is very small,
having only increased BY 1900 bales since
the opening of the year. 1t may be not-d
that The average stock held during the
twenty years ended 1860 was no less than
$4,000 bales, the quantity on hand at the
present time being 365 900, or less than
half that amount. Even if We take the
case of the last three years. the stock is at
an unusually low ebb. In July, 1855, the
quantity held was 100000 bales IN 1867
1873 1000; and in 1868, 6O5,O0O-the aver
age being 77S,000. 1t has. however,
gradually been declining. until it has
reached tn present low figure. But any
Increase in consumption would force prices
up to such point as to prohibit shipments
Of goods to any great extent. and we doubt
if the foreign ma. kets are yet sufficiently
denuded Of goods to allow Of any material
increase in prices abroad For this reason
we inclue to the belief that the activity
which has lately set in through the Man
chester market is of II temporary nature,
and win rot be maintained in the face OF
continued rise in the price Of the raw
material.