Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1873-09-17
COTTON MANUFACrUEING IN THE

/ OhOul OouelsoLu uOpcss ~ - HOW hOe ia
frequent that splendid visions of the future
of some Of the Southern States at last,
present themselves to our view;a visions
which, being well-fouuded a.e calculated TO
traDquillinze the apprehensions of these
who are most skeptical Of our final
triumph. These spprehsnsionss should now
no longer dster Southern progress. If in
some respects the most remote future can
not be Illuminated, let not the present be
neglected. That which is of first import
ance and primary interest TO Southern
State now, is soedlh; for in this there is at
once power and happiness. Wealth is the
surest and most efectual means of restor-
ing Southern State to its rightful position
10 the Union, and its own vast reserved
powers to their rightful authority and prim-
tive vigor. By wealth, we mean material
prosperity, which is well known to be the
objective point of the efforts of the age.
Wea th, then, is the product of two factors:
capital and labor. Capital is annual or fixed.
Annual capital is the proceeds of yf ars'
application CT labor to fixed capital. The
annual capital of this year, if the proprietor
be wise, is turned! into fixed capital for the
next year, and ;hus becomes the source of
additional annual capital, and this in turn
becomes fixed capital in one form or
another. This is the way that individual
wealth is accumulated. National or State
wealth follows the same law, and is the sg-
gregste of all the wealth of the individuals.
To carry on this process to the amplest ex-
tent and with the largest profits, is the be-
hest Of the State to each of its citizens, and
1t the same time the dictate of individual
selfshness, when that seifshness is at all
ssgacious. Capital is always intelligent,
and will seek that State which has the best
laws for its protection ard freedom, and in
which it can multiply itself most rapidly. 1t
seeks the maximum protection, at the max
imum cost, and also the greatest freedom
consistent with justice, with which, being
wise, it is always content. 1t will take
time and look abort, examining the codes
of the different States and
at the same time their resources.
1t will locate according to the principles we
have announced. Now it is, of course, the
great object Of every State to attract capt.
tai, knowing that labor will follow. Thus
it is Obvious that State must respect the
laws Of capital, If it would grow rich, and
at the same time populous. A State rich Il
natures stores, may suppress and stfle cap
ital, destroy enterprise, and keep itself poor
forever, by the powers of legislation, or by
the same powers it may provide for its rap
id enrichment and permanent prosperity.
Let US now see what our sister, Georgia,
has done. She had system of laws i'm
posed upon her during the
period Of reconstruction, as
unwise and impolisic probably as any sys-
tenn in the Union. But she is now herself
once more, and many of her recent legisla-
tive acts are notable for their wisdom and
prudence. The Augusta Chronicle and
Sentinel says:
"The State of Georgia has repealed her
alien laws, and as an inducement to foreign
capital has, by general act of her Assem-
bly,, exempted all capital from all taxation
hereafter Invested in cotton or wool manu-, |
featuring for ten years. This exemption
amounts to at least two per cent. per an
mum if the mills are located In this city,"
Capital is intelligent, whether it be do
mestic or foreign. We will now present to
its consideration, some well authenticated |
statistics, showing what enormous profits
result from investment in manufacturing |
Gotten at or near the sources reproduction. |
We copy from the Augusta Chronicle and |
Sentinel as follows:
The Lowell manufacturer, buying his |
cotton in Augusta, pays on bale of $50
pounds, less 67a pounds waste, a freight of |
i've dollars, commission of one dollar and |
a half insurance fifty cents, exchange and |
shipping expenses and truckage, sixty five
ce- IS in all, seven dollars and sixty-five |
cents. Add to this, freight, thirty cents
per 100 pounds, on 1929 pounds goods in
New York, one dollar and sixteen cents,
and insurance twenty five cents, and we
find it costs the Lowell manufacturer, to lay
down his cotton and ship back to New
York, per bale, nine do lars and six ce ITS.
DEDUCT the cost of shipping goods from Au-
gusta TO New York, of fifty cents per 100
pounds freight, and fourteen cents per 100
pounds insurance, and we have So J pound
of goods at sixty-four cents per 100 pounds
two dollars and fOrtY-four csDts, leaving
as net saving 10 tie Augusta manufactu-
rer, on every bale of cotton manufactured,
six dollars and sixty-cents. Follow this
farther aud we have on 1921 pounds of
goods, shipped direct to the
West, a saving 10 freight over New York of
ninety four and half cents per 100 pounds
or on every hale of cotton, three dollars
and sixty-one cents, leaving in that case q
net to US of ten dollars and twenty three
cents. Take the capital stock of our mills
and number of bales consumed, and COM
pare 1t with the difference in the price Of
cotton saved, md it will be seen that in the
first case, at six dollars and six y-iwo cents
per bale, there is difference of nearly seven
per cent. in our favor, aud in the second,
Rt ten dollars and twenty three cents, over
ten per cent"
OF the Augusta Factory and IFS opera
lion, the Chronicle and Sentinel says:
"The property was originally purchased
from the city for $4,000, on ten years
credit, with interest at seven per cent, pay
able semi-anuually, the purchasers paying in
as commercial capital $4,000. This
amount, in consequence of the dilapidated
condition of the property, was almost en-
5irely expended in the first two years in re-
pairs rendered necessary by the then con-
lition of the property. Since the purchase
up to June 80, 1853, the company paid for
The property without call on the stock
holders for another dollar; added largely
to the property by purchase and building;
ought S100 900 worth of new machinery;
the capital to 100000, by the
addition of portion of TIE surplus; paid
dividends regularly, and had June 30, 1868,
a Property worth TIE par Vslue (S600,000
in gold.
"During the five years and six months
ending June 30, 1873, the total number of
pounds OF goods manufactured was q, 1884,
1,l6S,9l6; yards, &c 4S6,962.
The wages paid to hands curing the same
time amounted 10 $9O3, 4O1.2l, and the sales
10 S5,175, 6I296. TIE net earnings were
S790, 5005S, and the dividends paid
amonntad 70 Sf60 00O