Charlotte home and Democrat., 1882-04-14
The Cotton Situation and Prospect.

The COCCOu OltudGiUu duu AAoopooo'
The New York Post, in well consid-
cred article recently published, regards
the cotton situation as very unsatls-
factory. 1t takes the ground that specula-
tion alone is holding up prices here above
those OF Liverpool, and while we have
shortage this year Of say 1885, 900 bales,
East Indian and Egyptian cottons are
coming in to supply the demand. 10
such an extent is this the case that 1t
thinks these cottons bid fair to make up
what is lacking in our own stocks, and
so, after all, the world may have as much
cotton this as in previous seasons. IL
NAV, argues that paper, be the middle OF
Nav before the probable reigning price
in Europe can be ascertained, since the
| weather prospect and the loss OF acreage
from recent floods will have to be taken
into account 1t estimates the total stock,
including all in the United States, Eng.
land. and the continent, together with all
af1oat to Europe from the United States,
Brazil, Egypt and India, March 18th, at
2,9Ss, 1872 bales, against 3,0S0,S 1858 at the
corresponding date in 1881, and 2,5s3,-
7e4 in 1880. The difference of nearly
lOO, 900 bales less in the stock now than
a year ago, is caused by the fact that the
amount of American cotton atioat tor
Europe is only half as great as last year,
by reason of the shortage of our crop.
The continental stocks, however, are
larger than then, and the amount OF In
dian cotton afioat for Europe is nearly
double what it was last year. This shows
that while we have visible supply in
the United States yet equal to last year,
the cheaper Indian cotton is going to
ho
American. This last fact is one that
should be reflected upon, for, without
care, the American market may be so
hands of the East India deaiers-men by
no means wanting in shrewdness.
A correspondent of the New York
Chronicle from Nashville, Tennessee, in a
recent letter summed up concisely and
plausibly the future prospect of the
South's great staple, and the present dis
| tressed condition of the Southern cotton
grower, especially in the Mississippi val
ley. He says that during the great food
of 1859 planting was carried on by men OF
large means and unlimited credit, and
possessed of perfectly organized labor.
Now each laborer has to arrange for him
| SELF, and the recent overflow has tremen-
dously increased the difficulties; they
have lost their stock and the fences are
gone, and they have no credit. This and
other things will bear heavily against the
next crop. The preparations for the last
crop we're made with good credit, liberal
ly accepted, and the future looked bright.
Stores and fertilizers and implements
were bought, and the growers went deep
ly into debt Disaster came, the credit
ors got hold of the cotton and put it on
the market as quickly as possible. The
whole did not pay the debts, and now the
farmer starts with only limited credit
available, and back debt to start with.
These things, in connection with the flood,
| will materially limit this seasons acreage;
it will be weeks before crop can be got
in at all in the Mississippi valley. He
considers that the South has not for years
| been in worse condition financially than
| now; it has had unbounded credit the last
| three years, merchants believing that
every years crop would be larger than
| that of the year before, but a reaction has
come and advances are hard to get, even
| by farmers in favorable circumstances.
The cotton grower is in extreme embar-
| rassment; there is diminished credit, di-
minished acreage, less to start the season
on, wants more than usual, and prices of
| feed and all necessaries unusually high.
The exigencies to which the farmer is re-
duced will cause him to put in more grain
| than ever before, which will further re-
duce the cotton acreage. All these in-
| fuences work one way, and that is to
| limit the amount of ground that will be
put into cotton during the season now
| opening.
In view of all these quite generally con-
| ceded facts, it seems likely that prices for
cotton must yet advance materially.
| Nevertheless the advance will come too
late to benefit the farmer. His cotton has
nearly all passed from his hands into
those of his creditors and spectators, and
whatever benefit is to be obtained from
high prices they will derive. The South
ern farmer may at once make up his mind
that he can never hope to enjoy fully the
proceeds Of his labor until he fortifes him
self against debt and disaster, and renders
himself independent of the world by
diversity of crops and the production of
his home supplies.