The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1870-12-01
OUR JoBBING TRADE.
An Outline Of its History-cnpltal the
Great Lever-The Effect Of Usury
Laws. rt.,.' .:ts -.

nan interesting article, urging the impor-
tance OF fostering tile ooblng trade In our sister
city, the Savannah News presents carefully
written sketch OF the history Of the Charleston
jobbing interest; which contains Information that
will he new to many Of our readers. We quote:
The Initiation OF the wholesale trade Of Charles
ton was cOatemporaneous with the establishment
OF the Bank or Charleston In 1894. Before that
period the number Of wholesale merchants In that
city did not exceed three or four, who have all
since retired with large fortunes. few saga
cious men, among whom were the late Ker BoSce,
with Henry Guurdin and others, having Just
perception Of the causes by which the City OF
New York had centralized the importing trade,
determined TO apply TO the Legislature for
cy ndspenslbly necessary TO the healthlul ope.
rations OF the wholesale trade. The Legislature OF
South Carolina was Mt the time quite averse to
the extension Of banking, and Il was only by 10
usual energy and perseverance that the projectors
OF the enterprise succeeded In obtaining o
charter for bank with capital Of S., 600, 600.
The Bank OF the United States having Withdrawn
its branch from Charleston, left certain void
which was soon filled by the new bank; but IL
was soon discovered that nothing but consider.
able extension OF trade and business could nnd
emnloyn1ent for so large an addition TO the bank
capital OF the city. The projectors OF the scneme
found that extension In increase OF the jobbng
trade-a subdivision OF the wholesale trade.
1t was soon found that the contrlvers had not
misconcelved the causes OF the concentration OF
that trade, and had not over.rstimated the
amount OF capital that would be required to &C.
compllsh the result. The first and most essential
step being taken, the other stages OF this I'm.
portant enterprise followed In aural succession.
1t was plainly perceived that the necessary ad-
vances to sustain the jobblng trade could be COM
blned with the sale and purchase OF oota domes-
tic and foreign exchange to the extent Of the ex-
ports from Charleston, anu oy this conplnatlon
The profits could be secured Of both branches
the Imports and bills drawn against the exports.
or 1r>1n ~
chant credited his customer. whether In South
Carolina, Georgia or Alabama, with s. bill OF Slr,-
600 by note at four months, and ne 00talnei a
discount OF that note at the Bank OF Charleston
which, being passed 10 ms credit enaoiea MN 10
remit to his correspondent at Liverpool or New
York. as tile case may re, the amount due on his
importation, II he should be, or whoever was, the
importer.
trade. Its basis Is the value OF the export, and
while 1t enables the jubber to convert the note In
to cash Or its equivalent, by the aid OF the bank
the cotton or other produce that Is shipped sup
piles the means, through the same instrumental
ity. OF paying for the Imports.
The effect OF these arrangements made 1t nec-
essary to purchase site for st0 es commensurate
to such operations. A laud company was formed.
composed OF persons who controlled the Bank OF
Charleston, who purchased l. the centre OF fhe
city the square. bounded by Market street on the
south, PnCkney street on the north. Meeting and
Anson streets on the west AMI east, en- which was
the Hayne street range, adjoining e. which Was
built the elegant sIruc ure known as theCnarles.
ton HOtel-tle final result Of which was to bring
the wholesale trade from King street, and to
concentrate it In the centre Of the city. We have
been thus particular 10 show the close connection
OF that trade with the building improvements Of
Charleston.
Having in this brief outline described the
sources Of the extension OF that trade 1t remains
to state the causes to which 1t OWES Its partial de-
cline. The great source OF increase ts the aggre-
cation OF capital, which could not have been ef-
fectrd except by the agency OF bank with aae.
cumstances favored by the withdrawal OF the
Branch Bank Of the United States, and the rapid
increase OF the cotton crop. the breaking out OF
the war arrested the career OF thls enterprise and
the fire OF IS j contributed to destroy ts facilities
for doing business; still, amidst the wreck OF its
former prosperity, we perceive In Hayne and
Nee Ing streets the remains OF q healthy whole
sale business long since established.
Having indicated brIeny the causes OF success
and o partial failure from the war, and tue casu-
atty of q destructive fire, we ask what Is the i'm
peJiIntnt t0 the formation or wholesale trade In
Savannah except the want OF capital. Savannah
has incorporated and well organized banks ade-
quate to every purpose. There Is, however, one
obstruction to the emigration OF capital which the
Legislature ought forthwith TO remove, and that
Is tie odlous usury law. The State OF South Caro-
lima has expuuged from her statute books this re-
lie OF barbarous age, anu thus removed that I'm
pedlment to the inflow Of capital from Europe and
the North How can Georgia expect to maintain
commercial competition with States and cities
equal to her In natural advantages with such
fetler voluntarily placed to check her movements?
Another want equally as obstructive to her ad
vancein this direction Is that VI currency, which
Is entirely inadequate to her population and
value OF her exports, while the unequal dlstribu-
tion OF the notes authorized to be issued by Con-
gress Is o sore grievance to the South, and 1t be.
cumes the duty OF Southern representatives in
Congress 10 inquire at the approaching session
why the act passed at the last session. providing
for more equal distribution, has not bsen exc.
cuted.