Savannah morning news. [volume] (Savannah) 1868-1887, 1883-02-05
GIVING AWAY HIS TIES.
PROFITS WHICH THE PLANTER
DOES NOT MAKE.

he Buys Hoop Iron to Put Round His
Cotton and then Gets Nothing for II
A Real Loss of the Price of the
Bagging and Tie, Instead of ANY Gain
to Him.
-, 10 the Editor Of the Nelo York Times .
The somewhat noisy but interesting COL
loquy in the House of Representatives yes
terday on the question whether or not the
planter IS benefited bypaying, say, 4 cents
pound for cotton ties and selling them
as pure cotton at 10 cents a pound to the
manufacturer is so far important. be-
cause 1t places two gentlemen of the
highest standing in the country in a verv
equivOcal position. Messrs. Chace, of
Rhode Island, and Crapo, of Massachu-
setts, actually asserted the exploded fall
lacy that the planter is the gamer bv the
transaction. AS / made this mOmentous
question part of my argument before
the Iarl1 Commission, / feel myself called
upon to give such an unqualified explana-
ton on the subject as will serve as a
demonstration in the controversy which
is sure to spring up again when the metal
schedule is reached in the House. In my
argument before the Tariff Commission /
said as regards cotton ties the following:
Oppressive taxes are upheld by either
DayonetS or ignorance, or both Now.
happily, there is no bayonet element i'm
our tarlH oppression, but it is upheld by
the ignorance of the taxpayer Let me
show you an example in the present con-
troVersy OF the duty on cotton ties. Of
course, will not here enter into the mer-
Its OF the case to show why cotton ties.
made of hoop iron, should only paw 80 per
cent. duty, and the material they are
made of 10 or 80 per cent. But what are
cotton ties, and who paws for them?
1t has been stated before this commission
that the planter who pays, say for argu-
ments sake, cents a pound for cotton
ties gets 10 or II cents for the weight
In return when he sells a bale of cotton,
and, therefore, he ought not to grumble
when he is called upon to paw 20 or 80 DER
cent. tax to uphold the industries of his
country. The facts are simply these:
FIRST, the price of cotton is made in the
Liverpool market; second, every bale of
COTTON sold III Liverpool is subject to per
cent, tare, In other words, if a bale of
cotton weighs 450 pounds in New York.
when sent to Liverpool and sold there the
over is paid for 423 pounds only.
Thus it is as clear as the sun at MONDAY
that the planter pays for and loses the
covering of the cotton, Does ANYBODY
IN MS senses suppose that the New
YORK shipper will pay for 450
pounds of cotton and lose q pounds of it
when he sells it in LiverpoOlY'
In the lengthy examination that fol-
lowed before the commission. the follow
ing will be found interesting on the sub
lect Of the duty on cotton ties. The late
MIR. McMahOn interrOgated me:
Q.-1Ou make out very good case lit
appears to me- regarding the hardship ON
the cotton grower in the matter of cotton
ties; would not that be entirely obviated
by allowing him drawback on the ties
and baling?
A.-Who would get the drawback
Q.-lf he has it reimbursed to him.
would it not do away with the objection?
A.[The great objection to the draw
back system is that it leads to all sorts of
frauds.
Q.-EXplain what you mean.
Al think that advantage would be
taken of it. | know that it has been found
very difficult to arrange as to the draw
back on sugar. But | fail to see in this
cotton tie business who should get the
drawback. In the case of cotton ties and
jute bagging who would have the adyant.
age?
Commissioner McMahon-The planter
would have the advantage. There is no
doubt about that. Does he not pay the
duty now in effect?
Witness-Certainly
Commissioner McMahOn-If you take it
out of the Treasury and give it back to
him when he exports his cotton would not
that be reimbursing him?
The Witness-But suppose he uses a
homemade cotton tie?
Commissioner Ambler-He need not.
unless he gets it as cheap.
The Witness-He would buy if inst the
same and get the drawback. There is
another complication, How is the plan
ter to know that the man who "gins'' his
twenty bales of cotton uses foreign or
homemade cotton tiesF If he is to have
a drawback, let him have it on all cotton
ties, whether made abroad, or in Penn
sylvania or Ohio.
Commissioner Ambler-Then do YOU
recommend that cotton ties shall be i'm
ported free?
The Witness-I do not. 1t will not do
any harm to let them pay 35 per cent.
we cannot do everything at once. We
must not take step from one extreme to
the other.
This took place in presence of Mr., Oil
yer, and the fact that the planter lost not
only the duty on cotton ties, but all he
pald Tor them, was not disputed by the
commissioners, indeed, it is indisDutabIe.
Now, let me state what took place in the
House yesterday when the duty on cotton
ties was mentioned.
Mr.. Chace said that the cotton spinners
of the United States bought about LOO
900 bales per annum, They paid for il the
market price, and they paid for the hoops
as cotton. Gentlemen of the South bought
hoops for 81 cents apOund, and sold them
to the North as cotton for cents a pound
advance. Applause ON the Republican
side. ~
Mr.. King, of Lousiapa- gentleman
is in error.
Mr.. Chace-That amounts to S84O. 900 that
goes into your pockets from our pockets
Mr.. Aiken-That assertion is erroneous
The price is fixed in England.
Mr.. Mckinley do not care what they
do in England. The gentleman from Rhode
Island, who is practical manufacturer,
declares on the floor that cotton ties for
which you pay 3}6 cents a pound ID Won on
charge him from 10 to II cents for,
Mr; Alken=He says what IL not so.
{ Applause in the galleries,
Mr., Grape, OF Massachusetts-The bale
OF cotton Is put on the scales. and if is |
cotton and iron hoops and All !
and on that total gross weight we pay the I
10 or IL cents per pound. Applause on |
the Republican side
Thus, then, both Messrs. Chaaa and |
of New England paw 10 |
cents a pound for iron which cost 81 cents |
a pound and call 1t cotton. Well. then
here are once more the facts, which / trust |
Will utterly cOnfute the statement of theae
gentlemen. First, there is no more doubt
that the price of cotton is in general made |
in Liverpool than there, is about any other |
we'll established fact. said Gin generaF' |
adyiseqly, because it has happened that |
corner was sometimes made in the price |
1f cotton for particular month in |
New York. But such transactions
are, OF course, only gambling, and are /
settled as such, a3G 40 one III; his senses /
'an call suen gambling legitimate trans /
actions. Both Mr.. 'Chace and Mr., fjrana |
know, or ought to know, we'll enough that |
)ut Of the 6, 900, 600 bale crop of this wear
we viii ship at least 4,5OO,OOO bales
abroad. Hence that fact alone will de-
nonstrate the making of the price of cot |
.on IN Liverpool. SecOnd-Y Yeaterday.
me Zltn DAY OF JanuarXa the cables of
price OF cotton III Liverpool arrived here
about a,30 III the morning to the following
Effects
SATURDAY, January 81, 1SS3-I.iver- I
pool reports middling uplana and Orleans /
L-16d. dearer; namely, at 5 11-16d. and
I'D, with sales of L, 900 bales, Including
;, 400 bales American"
Calculating the inside figure. 4 11-1ed
Der pound, bale Of cotton weigh
ng 450 pounds gross would BRING
n Liverpool 81O 13s. 33Sd. If we
educe this to American currency at
a 80 for sight drafts per pound sterling
We shall get az near as possible $ll n for
pale q. cotton of 4a0' pounds in Liver
99ol: me lrelgAt on cotton by steamer to
1INelPeot was quoted yesterday 9-32d. per
which reduced to American cnrre1cv
VIII De y 0915, fnsuring and sand-
ing a bale of cotton, saw 45i[
,ents. will bring up the fIeiobf aud ~