Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1869-10-23
COTTON.
Present Condition and Prospects OF
the English SpiHners.
The New Cotton Crisis in England
Result of the War.
The New York Econon,isf saws


The New York Economist says:
The changes effected in the English
cotton trade by the fluctuations in the
prices of the raw material, involve
| issues of the very highest importance.
From the present condition aud pros
poets of Manchester, it appears that
all the statements formerly advanced
of the dependence of the English cot
ton interests upon the supply from
the United States are likely to
be fully realized. BY a curious
anomaly, English manufacturers
suffer equally whether the staple is
cheap or dear. In 1S60-l, the mar
kets of the world were flooded, under
the stimulus Of low prices for the raw
material. Immense stocks Of manu-
factured goods accumulated, and pro-
duction ceased to be profitable tC the
mill owners of Lancashire. Now the
same results are arrived at by g very
different process. Cotton Is very nearly
three times the price il was ten years
ago, and the manufacturers are either
working their mills without profit, or
at g downright loss. An extreme
dizziness ch~aracterizes the trade in Ian
caShiTe. Experienced manufacturers
and statesmen perceive that a great
crisis has been reached, and they ron
suit with anxious forebOdings, respect
ing the future prospects OF the chief
branch of English industry.
II must be confessed that the pros
poets, from an English standpoint, are
extremely gloomy. Much of the e1m-
mercial supremacy of that country is
dependent upon the cotton trade. An
immense capital is locked up i'll il,
and nearly three millions of persons
are directly, or indirectly, concerned
in it. Thousands of persons are en-
plOyed in miniStering TO the wants
and supplying the necessities of
the vast cotton factories. When
Lancashire IS prosperous, all England
receives a new impetus OF activity and
wealth; and when it is dull, the whole
country drOOps. The importance of
the cotton trade is felt and rec0gni led
in every department of industry, and
extends even 10 the domain of politics. |
1t was in the interest of Manchester
that England repealed her corr laws.
and adopted free trade. What is
called "the Manchester school of poll
ticians," has come to be a formidable |
rival to the powerful landed aristo-
cracy.
From these considerations some idea
may be formed of the deep anxiety
felt in England respecting the new ca
lamities that impend over the cotton
trade. Nor is this anxiety without
sufficient grounds. 1t has been ascer-
tanned that cheap cotton is the essen
tial condition OF English supremacy in
this branch Of industry, and that cotton
Is uOt only dear at present, but there
is no prospect of its being cheaper for
some years to come. The worlds |
supply of cotton is less than the de
mand. 1t is estimated that if Lam
cashire could obtain all the cotton that
has been raised this year in all the
various cOttOn-prOducing regions, that
it would sill have only enough for an
average of five days work a week
during the year.
From the experience during cur
civil war, 1t was supposed that a high
price OF the raw material was not nee
es-arily% injurious TO the manufacturer, |
because the price OF the manufactured
articles increased in proportion with
the advance in the staple, leaving q
due margin .of profit. But now the
manufacturers "a make no profit
when the stapleis over I'D. per pound, |
and can scarcely find a market for
their goods, at the increased prices
that viii cover the expenses Of manu-
featuring and the cost of the raw ma
terial.
1t is this absolute inilexibility of the
market that constitutes the real diff
Guilty Of the situation. OF course, tile
primary cause is the. dearness of cot
ton, arising from the scarcity of the
supply. TO remedy this, great efforts
are made by the English Government
and capitalist, to stimulate pro-
ductiOn in India and other countries.
But eve this obvious eXpedient does
not cover the whole case, in view of the
tact that a constantly Increasing pro-
portion Of the worlds supply of cor
ton goes to other countries besides
England. In other words, England
has lost the supremacy of the cotton
trade, and other nations now compete
with her iOr the limited supply of the
raw material. The mission OF ourtrans-
Atlantic cousins to furnish humanity
with cheap cotton cloth is seriously
interfered with by the decided inclina-
ton of humanity to make their own
shirts. India, in place of sending ali
her new cotton TO England, retains s.
large proportion of it, and manufac-
lures it into coarse cloths. The Uni.
ted States retains about one-third OF
the crop; and Continental Europe
contends with Lancashire for the bal
ance.
This disposition of foreign countries
to manufacture a portion OF their own
cloth has led to numerous propO-
OF these, the most notable is
the plan for the removal of Lancashire
machinery and skilled labor to India,
to be near the sources Of supply, and
avoid the expenses of transporta-
But this project benefits India
At the expense of Great Britain; and
Manchester and Liverpool to
build upcities in the Jungle. We may
look probably for the transfer of capi-
tai from the unproductive mills of
But when il occurs. the
States are likely to prove the
more tempting field. The banks of
he Savannah, Tombigbee and Chat
.ahOOehie rivers, or even the Merri-
nae, offer larger inducements and
attractions to English opera
ives and capitalists than can be found
the Hooghly, the Gauges, or the
.rrawaddy. IL is by no means i'm
probable that some such result as this
take place. Certainly the
south, at the present time, offers ia '
inducements to cotton manu-
acturers.
By a curious comparison, England
oses her cotton trade, as a result OF 2
,ur civil a The only difference is
we are likely to recover our mari |
prosperity long before England
recover her cotton trade. The
supply of cotton is a million
'ales short Of the demand, and. for a
cries of years, the increased pro- ,
can only Keep paee II
With the annually increasing suDDIv.
There is, therefore, no immediafe J
respect Of any material reduction In
he price Of the great stapIe. If
hen, the London Times is correct In n
$ opinion that cheap cotton is essen Y
al 10 n prosperity of the English
oton trade, 1t is plain that the alarm
~ IN that country at the present con-
itlon n prospects of this impor- N
mt branch of industry is extremely !,
atural. oo'
The old National b~ltfligelcer news
aper changes hands again to-mor- Al
w. 1t IS said tonight that it viii "
GREATER be the organ of Senator
prague, and that IL will be used 10
the eccentric notions of .
lat gentleman, in reference to labor Z
nd finance, which he tried to explain 5
the Senate last winter. His next
lend, Pet" Halstead, of New Jer-
y, is 10 conduct the new establish
ent. {,