The Portland daily press., 1883-08-10

in this respect that the total sales have been
relatively less for that market as iobbers
there have been disposed to reduce the stocks
OF last year, which were somewhat in excess
OF the actual consumption. But this
caution OF Western buyers is
healthy tendency, and indicates the very
opposite OF anything like crisis or
a crash. Nor is there any excess of product
here. Ii manufacturing were now to be
stopped there are not goods enough ON hand
70 supply the market for one week. As to
the effect OF the failures on the trade, fair
way TO judge of it is to estimate the total after
eancelling outstanding obligations of different
firms which offset each other, at about 81. OO0.-
UUO. The total annual product of boots and
shoes in Massachusetts alone is upwards ~
Sl00,O00000. A loss of per cent. is no suffic-
lent cause for crashssr basis for an alarm
and when the product of all the mannfactnr'
ing states is taken into account the loss il &c a
matter OF percentage still further diminished
Agricultural crops both at the South and West
promise we'll, and the resources az tbose sec-
lions are not likely to suffer diminntion "a far
as can now be seen. There Is only one ten
dency or condition of things in the trade that
IS to be deprecated, and therein is no ground
Tor alarm, for it stands now as for several
years past; yet II 1t could be corrected it
Wouid DC good thing for all parties. That is
the custom that has grown up in recent years
o. uaSlng Oils OF sale ahead. Under this prac-
tce a 1obber at the West or South buys his
goods OF the manufacturer in June or July,
Aor example, and the goods are forwarded at
once, but the bill is dated say September or
October l, and becomes due 80 days later still.
Meantime the manufacturer has to carry these
goods on interest account. The practice sprang
up in 1877 or 1878, when money could be bor-
rowed y per cent or per cent less than the
ruling rates of this year aud last-that is,
money could then be borrowed on first-class
paper at 3 or per cent per annum and aver
ages now per cent. This difference of or
per cent on interest account amounts to a profit
in itself. No class of dealers is particularly
benefited by the system. The jobbers do not
save the profit that this difference of or 3
per cent would amount to. They give it away
to the retailers. The retailers do not benefit
by 1t because they do not get it till they sell
the goods, and the main difference is that in
stead of stocking their stores from month to
month as they dispose of the goods, they stock
up all at once sufficiently for their entire fall
or spring trade. The custom cannot be changed
by any one firm, but only by concerted action"
THE DRY GOODS TRADE.
Two wholesale dealers in dry goods were
asked to give an opinion on the situation. Each
expressed himself willing to do So but object
ed to having the firms name printed. But it
is proper to say that they were two among the
very largest dealers in the city, aud dealers not
in any specialities, but in general line with
lobbers and also on their own account respec-
lively, as extensive retailers. The one first
the matter. Everything is going on WE'LL The
only indication of panic or crash is certain
flaming headlines in the newspapers. So far
as the state of trade Is concerned, he should
not know that anything had happened if it
were not that he had read it. "The failure of
q few shoe and leather dealers, who have been
doing business in q shaky fashion, is not
going to ruin the business of the country.
which, as O whole, is being conducted not
only in no hazardous fashion, but upon q basis
ND n npoh Ia
change" The only difficulty his firm was ex-
periencing was in getting the goods pushing
along fast enough. The product has been
ample, and the demand is steady and large
but the draymen and the various common car
riers are too slow, and he had come down to
business at a. M yesterday on purpose to see
TO 1T, personally, that things were driven
along, and that his waiting customers got their
goods. If he didn't expect to get paid for
them, he should hold on to the goods, and, so
Tar as he had observed, his neighbors were
about as full OF business as himself. The other
dealer said that business is good and
the prospects for the continuance of it are
favorable. There is no threatening of
impoverishment. If there is a discouraeing
symptom, it is of plethora of wealth. From
the days of Adam. that is, of Adam Smith, it
has been agreed that the wealth of people
consists of the products of their industry. The
amount of manufactured dry goods now in
stock and process of making is large, and the
competition induced by the desire to keep
these goods going forward to the various mar
ket cuts profits 10 pretty narrow margin on
some classes of manufacture. Still, the alb
sorbing capacity of a great country like our
own is SUCH that the limit is long ways off
The state Of the country as whole is prosper
GUS, and safe business, though not large
profits, may confidently DO predicted. The
only uncomfortable condition is that there is
no foreign outlet, and some amendment of the
tariff that should permit of competition in dis
tant markets would be beneficial.