The Pulaski citizen. [volume] (Pulaski, Tenn.) 1866-current, 1882-07-13
Profits of Cotton Manufactur
ing North and South,

Cotton manufacturing at the
south is no longer an experiment.
1t is one OF the established indus
tries of that section, and its future
promises to be very prosperous.
There are many reasons why this
business should prove far more
profitable in the south than in the
north; but it was hardly to be eX-
pected that southern mills, with less
experience, less capital, and the
difficulties always attending the in
PRODUCTION of new industries, would
be able, for the present at least, to
earn three or four times more profit
than the northern mills, which have
the advantage of almost unlimited
capital, the most improved ma
chinery, trained operatives and long
experience. And yet such seems to
be the case. Some weeks ago we
published an article upon cotton
manufacturing in the south, in
which it was shown that the Augusta
ga Factory had paid out during
the last II years an average of IA
per eent.in dividends, besides laying
aside Il surplus of $350,000. The
langley mill of the same city has
for several years paid from 15 to 20
per cent, and laid aside surplus
Of 100000, while other mills made
equally as favorable showings. In
to-day's issue we note the fact that
the WessOn mills of NJ Mississippi
have paid a dividend of 20 per cent,
and the Troup factory of the same
state "a per cent, while from time
to time we have noted dividends of
from 80 to so per cent, the latter
having been earned by Pulaski,
Tenn, mill last year. In no case
have we heard of any mill declaring
less than 10 per cent. annual divi-
dends, and in every case in which
only this per cent. was declared
large amount was taken from the
earnings and used for repairs, addi-
tions to machinery and increasing
the size and capacity of the mills.
Throughout the south the cotton
mills are prosperous, and their
owners are making money. AS
compared with the cotton manu-
facturers of New England, the
southern mills show a wonderful
difference in earnings. Mr.. Russell,
a Massachusetts member of con-
gress, said, in a recent speech in the
house of representatives: Il have
from official sources q statement
showing that fifty of the leading
corporations in Lowell, Lawrence,
Chicopee, and Salem, Massachusetts,
Manchester, Nashau, and New
market, New Hampshire, Lewiston
and other points in Maine, repre-
senting capital of $4,000, 900, en-
gagged in manufacturing the various
grades of cotton and wooden fabrics,
have paid to their stockholders in
the last five years an average divi-
dend OF a little less than seven per
cent. per annum only"
Here is an authoritative state
ment that the manufacture of cotton
goods in New England is not one
half so profitable as in the south.
On this $50,000,000 invested in
northern mills the profits for the
past five years have been less than
S17, 100000; while the same amount
Of capital in southern mills, basing
our calculations upon what other
mills now pay, would have been
from $4,000, 000@ $50,000,O00, or
possibly more. Such a difference
rs this is bound to tell.- The south
srn mills save from 81 to IS a bale
u the matter of freight alone as
with what the northern
Mills pay. They have lighter ex-
oenses for heating, cheaper raw
and abundance of water
power, cheap labor, cheap living and
,ther advantages which enable them {,
o pay more than double the profits
hat nothern mills can possibly earn, !
md these things are already work L
ng out a mighty material develop !
nent OF the south. With natural
advantages for combining agricul
ural pursuits and manufactures, o
by any country in the
Torld, the southern states will, ere
many years, have passed ranks as
ne of the richest countries of the
Torld. The march of progress has
lneady begun, and in the next fif-
cen or twenty years the results will
e seen M vast manufacturing int
ustries, in mining for gold, silver, fc
on and coal, in stock raising, in