Public ledger. [volume] (Memphis, Tenn.) 1865-1893, 1880-08-17
southern Cotton sEil.s.

st. Louis llHeS'J
The advantages of cheaper produc-
tion and larger profits of southern as
compared with northern cotton mills,
are pointedly set forth by cores
pondent of the Times, who has been
taking notes of travel in the east. Fol-
lowing is the gist Of a letter which he
sends from Fall river, the great CEN
ter of tho New England cotton indus
try:
A day was pleasantly and proftably
spent in Boston, and the evening train
brought us down to Fall River-that
city of factories, which a few years
hence, when the cotton crop is manu-.
factured where it is raised, will have
to resort to other lines Of trade to
maintain its position.
Just here / want to tell what /
know about cotton factories down
south. | make this assertion, that
cotton factories in the south have an
advantage equal to twenty.four per
cent over the northern factory, in the
saving of expense to begin with, and |
will proceed to demonstrate it so
clearly that he who runs may read
and a blind man can see it.
A Fall River, Mass, cotton mill,
for example, invests fifty dollar bill
in 4 bale of cotton, buying it as they
ali do through broker, either in Fall
River OF Boston. The incidental ex-
penses on that bale Of cotton are about
as follows: Bagging and ties, say 81 90
Che has to pay as much per pound for
the bagging and tics as he does the
cotton, and yet he cant use itl; pack
ing and weighing, fifty cents; ware
house storage, fifty cents; COMPRISING
fifty cents; insurance, -; average
loss put at five pounds; fifty cents
two brokers' commissions fifty cents
per bale each, 81; freight to Fall River
So so per bale; total, 81 per bale, or
one-seventh the original cost, which
is equal to about fourteen per cent.
Now, then, the southern mill invests
$50 in cotton in the seed, which will
buy / 500 pounds of seed cotton, which
in turn will produce clear bDO
hounds of Aeecy lint, and about fifty
bushels of seed, worth ten cents per
bnshel, equal to 50; that IS one-tenth
of his cost, which isa saving of ten pei
cent. more, making in all a clear total
saving of "a per cent, to begin with
Is it a wonder, then, that capital If
49, invactnonto
A Boston cotton broker was boast
ing to me that his mill paid 20 pei
cent. and | astonished him by tellinl
that the Wesson, Miss, mills had
maid 33 per cent. the first year. A;
Augusta, Ga, there is 100000 invest
ed ia cotton factories. Last year
they declared and paid dividend OF
% per cent, and proceeded to build
another $50O,000 mill. The Colum'
BUS, Ca, mills pay over 30 per cent
To show how the southern people
are going into this, | know Of one
Iittle city where $4,000 has beer
raised, and they are trying to gel
$4,000 outside capital to make 9
S150OO0 mill. / know Of another
southern city where 100000 worth
ofmachinery and buildings are await
ing outside help of $4,000 to S5O,O(l
to begin operations. l know of snal
thread mills where the cotton il
spun into thread and sold to facto
ries. One example Of this is where
farmer has invested in a Clement at
t,,chment mill. His first years busi
ness was as follows
Daily average expenses, Sll dali!
average receipts, $50 net profit pc
dav SIS which is equal to $3.50 pc
month or $500 per year. / can fur
nish any parties who desire it full in
formation on this subject, and | wi
guarantee to find one-half the capita
gecessary TO start as many Of thes