Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1871-02-23

- 1921, I2,O74
Leaving on hand December
81, 1871 ......-... .....-. .-...-.... 73I 800 $40
equal to 100000 bales, Of 40 pounds
each.
. The consumption on the Continent for
ls70, and the stocks on the Continent al
the end Of the year, are not the actual fig
ur6s, as they have uOs been received, but
are computed from partial data and Liver
pool estimates.
If from low prices, or other reason,
COG, 900 bales OF the above accessible
supply remains back in the producing
countries, the stock in Europe at the
end of the year will still be I,200,000
bales, to be further increased by
whatever the consumption shall fall
short Of the large quantities assumed
for il above.
The pressure Of ], 5000 bales, or
even at the lowest estimate, ], 200, 600
bales on the European market at the
end Of the year, must inevitably keep
down the price for another year to
come. But will
LARGE CROPS AND Low PRICES
have the effect Of reducing the pro-
ductiOn and thus give the market a
chance to rally? The writer answers
the question thus:
''If 50, it will be contrary to the
experience OF past years. The crop
Of 1850 81 was 2,454, ,442 bales, the
largest ever produced up to that date
except the crop of 1888. In 1S51-j2
it was 3,l26,3l0 bales; in 1928,
3,4l6, ,2l4 bales. Under the sudden
Increase Of supply from these two
large crops in succession, prices broke
down to Cd. for Middling Uplands in
Liverpool, and for four years the aver
age price In any one year did not rise
above SD, although the four crops
next following 1928 were 1915, 600,
2,9S3, 600, 3, ,665, 900 and 1904, coo. Th5
extent Of the crops in old times was
determined mainly by the character
Of the seasons, and very little If at all
by the prices. The lower the price,
the more DUst be produced. Then
there was no other employment for
labor readily available. To a great
extent il is so now among the labor
ing people Of the cotton growing
States.n
On the suggestion that planters
should
HOLD BACK A PORTION OF THE
PRESENT CROP,
in the hope of better prices, the fol-
lowing views are presented against
that policy:
'If planters should, by general con-
sent, withhold until next season, say
one million bales, and the fact be.
comes known, doubtless the cotton
going forward would command better
prices: vet not much, for the exist
ence OF the million bales being known,
IL matters little to the European spin
pers whether the cotton be ia their
ports or on the plantation, except as
the latter would relieve the markets
Of the additional pressure which would
be felt IL all went forward. The own
ers Of the two millions Of bales OF
American cotton which planters have
sold, and the owners Of the cotton OF
all other countries would get some ad-
vantage. But the American planters
who are invited to give others that
advantage should see some benefit TO
themselves before consenting to the
sacrifice. To store up one million
bales Of cotton, TO be added to the
weight Of another crop, in the season
OF 187l-72, even though that be ssmali
one, would be to doom the whole to
low prices most efectually. II the
withholding sustained prices, it would
Ia 50 far check the increase Of con-
sumption which is promoted By low
prices, thus adding TO the eventual
accumulation, and would, for the
present, encourage planting ia other
countries. Now, if the supply for 1871
is excessive, the Quickestremedy Is ia
the low prices which attend it. These
drive consumption 70 the utmost. and
under Il the surplus melts raDidlv
away, while they reduce the worlds
production, and these again lead to