The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1880-01-15

Average OF buyers. .......-... aGi 900
Average OF both ..-t..-..st 900
SMITH. EDWARDS & CO.'S ANNUAL COTTON
CIRCULAR, DECEMBER 81.
We are Indebted TO Messrs. Anderson h slmp-
aon for this circular. from which we extract the
raview OF the Manchester market and tho prog
poets OF 1880 We omit the course of the Liver.
pool market during the year. as It is already
familiar Ia detail to our readers by kilograms
and otherwise:
The past yoar will long DO remembered In
Manchester as marking the most acute crisis
s9Nrough which the cotton industry OF Lanca-
shire has passed aince its foundation, II was
pre2eded by some years q inereasingiy bud
trade. which had impoverished nil classes CON
neeted with spinning, weaving. distributing
OF Heugh. Balfour \ 90. occurred In October
1878. sort of deepair, settled upon Lancashire.
month"; III ober sT 81 Durnx a Tt tbn
time the bulk OF tho machinery was only kept
worsing at 2 heavy, loss. most mills with old
from bnnkruptcg and even the beat and newest
ones. as In 0ldh IN. showed serious losses each
quarter, Constant disputes with the opera
lives and frequent strikes embittered tho rela-
tions bstWean employers and employed. the
banks and discount houses were kept In state
of constant anxiety about their customers. and
many Of the oldest and most respectable firms
oil The district were silently wound up or passed
Into LIQUIDATION.
shown than tho small consumption of cotton.
which for the first on months Of the year fell to
under 10000 bales per week. or less than In any
year since 1869 Probably upon tho average IL
or 40 per cent OF the machinery was kept stand
Since then a gratifying change has taken
place. Al early as Sep ember and October
strong demand for the East set In. but IL WIS
not till November that producers reaped any
advantage. for the position Of the cotton supply
was 80 critical that few spinDers dared to take
contracts Till October was passed. During No
vember and December nearly oil tho good ma
Chinery was set 10 work and producers have
been busy upon contracts which probably pay
cost and ,eave In most cases n little profit and
1nany are engaged well into next year OF cover
The change In the state q Manchester has
certainly been surprising. No better ipdex can
The oldham Joint stock mills. Many Of these
concerns were In such low water In the autumn
that had their creditors pressed for speedy pay
snent they must have gone Into liquidation. aud
their shares could hardly be given away, but
now they are In eager demand. and In some
cases almost at par. II Is true that their profits
are all In the future. ard most Of them have
heavy losses to wipe off before any dividends
can be paid, but apparently they have wealth
cred the cilsis. and the endurance and tannclty
they have shown during all those hard times IL
Doubtless much of the strength TINT Man
chester IL now showing is owing to the clearing
out OF stocks Lost autumn. When the Eastern
demand revived there were hardly any stock
various minor markets and even the home
trade have greatly improved, with the result OF
clearing out almost all stocks Of goods and
yarn. and probably the warehouses Of Man
chester were never more empty, than now;
Most foreign markets. and especially India and
China, are also very .moderhtsly supplied and
as the harvasts In these great Eastern countries
have been good and food Is much cheaper than
it has been since the famine years there is good
ground for hoping that the demand will hold
on unless prices are advanced too rapidly.
at must be remembered, however that goods
have been extraordinarily cheap most OF this
tI,.sn IxvnN ttst boo,
been small compared with that OF cotton and
yarn. 1t rema lns to be seen how far the de-
mand will hold on when manufacturers put up
tho price rs they must do sooner or later-to
the level OF cotton and yarn.
Speaking generally. however. 1t must be said
th aaa he rade q rs mas
last few years have been time OF unprece-
dented want and priyation; they have been en-,
sdured with great fortitude and resignation. aud
we trust that brighter era is dawning. during
which this sorely vexed trade will regain at
least a moderate degree OF prosperity.
We put the present consumption OF cotton at
about $1,000 bales per week of present large
lie. say an average OF 4S0 to 440 psunds We do
not think It Ii likely to become much larger.
The profits OF spinning arc too small to pay for
opening the old mills with worn out machinery
Nearly all good concerns are now ut full WORK.
and any increase after this will be very gradual
and will only take place II trade continues
It IL true that at Oldham some of the compa-
niles are running their machinery an hour or
two extra with relays OF men alone. as women
and children are not allowed to work extra
time, but we do not think that this can extend
10 largely as materially affectthe consumption
for women and children constitute tho great
bulk of the operatives and not many places can
obtain sufficient supplies Of adult male labor to
work the mills with 1t exclusively.
The prospects of our market next year are
more encouraging than last year. America
has made q splendid crop. private advices put
1t variously from 54 TO 5h millions, and were 1t
not for lingering suspicion that the bureau
report may have some truth IN It., we believe
xf.gat ia. ia IA X m
But seeing that the bureau persists In putting
it at less than last year. there is degree of
ttmtdity 10 adopting those large figures which n,
picking and growing season would Justify 1t
Is urged. however. that the increase from
America has already disappeared. or nearly So
as the visible supply of American cotton only
shows an increase of 40. 900 bales on last year,
whereas receipts at the ports are 100000 bales
ahead OF last year. No doubt this IL an argu-
ment in favor of full prices, but 1t must be re-
memhered that American spinners have been
enormous buyers this season ana MI hold dd I lar
for the remainder OF the season. Our own
spinners are also better supplied. but those on
the continent are extremely bare, Certainly 9
crop OF 50 to g.. millions will all be wanted
and may possibly not prevent squeeze in the
autumn; but as we begin the year at I'D per
pound higher than last one. there seems little
ground for anticipating an advance at present
and Il would be more in keeping with past ex-
Rerience to expect dull time In the spring
when our stock Accumulates.
The Egyptian crop is turning out exceeding
Iy large and will to sons extent relieve the de-
maud for American cotton. especially In Rus
, eaR. The Bombay crop is we'll spoken OF, and
| though we attach little weight to estimates
from Bombay at this season it is we'll to bear
IN mtnd that the fayorite opinion there IL that
800 900 bales more than last year will be shipped
before the monsoon.
LOOKING broadly at the question we cannot
sae the danger of extreme scarcity this year.
and as cotton growers all the world over are
srasffney n very ramunerative price, we are I'M
doubtedly sowing the seeds OF large future
increase of cotton supply.
-rsnds when high prices prevail, stocks aecu-
nulafe beyond expectation and shipments to