Fort Worth weekly gazette. [volume] (Fort Worth, Tex.) 1882-1891, 1889-08-29
BAGGING CONVENTION.
Call Issued by the New Orleans Cotton
Exchange-AbOut Tare.
A Convention Called to Meet September IL
Jute or Cotton, that's the Question
Simply Matter OF Tare."

The New Orleans cotton exchange has
issued invitations to the exchanges and
boards of trade of the different cotton
centers to meet in convention to agree
upon a uniform settlement of the bagging
question. The call is as follows:
=. New ORLEANS La Aug II, 1889.
To the President Of the Cotton Exchange.
DEAR SIR-In view of the fact that
botk cotton and jute baggng will be used
ir COVERING the cotton crop OF the ensu-
ing season and that the gross weight
value of the bales is affected by the very
great difference in the weights of the
two kinds of bagging, it seems necessary
that the leading cotton ceuters should
agree upon q uniform method Of adjust
ment of differences in tare.
The board of directors of this exchange
have therefore decided to cali q conven-
ton composed of delegates from the
principal American exchanges and com
mercial bodies representing cotton inter
ests to deal with this subject.
This convention will be held in New
Orleans on the 18th of September next.
1t is desired that your body be repre-
scented and participate in the proceed
ings.
Please advise us before the LIST of Sep
TENDER, whether you will send delegates.
Very respectfully,
Official: STANTY O. THOMAS,
H. q. HESTER, Sec v. PTes't
In the absence of an opportunity to
discuss an important question in d con-
vention of Southern exchanges the New
Orleans exchange desires 10 submit to
them the following statement for their
separate consideration and approYal: 1t
is evident that twO-thirds of bagging,
cotton and jute, widely differing in weight
and value, will be used for the covering
oG cotton bales. It is estimated that one
million or more bales of the growing crop
Will be covered with cotton bagging
With the motive which inspired the pro-
ductiOn OF cotton fabric for the covering
Of cotton bales, we have no debate. In
the circular statement Of this exchange,
or May 81, the fact was stated that so, -
coo GOO yards OF jute bagging are annual
~ employed in baling the crop of ,000,
600 bales; that the annual cost TO the cot
ton planter for this bagging, say So 600,
600, is sent out OF the cotton states in
payment for foreign iute; that if the
baggmg was manufactured of cotton
l25 600 bales of our great staple would
So ,00G 600 expended for foreign jute
would be retained at home and disburs ed
among our own people. a stronger in
centiye for the serious and positive treat
ment OF the bagging question by Southern
exchanges can scarcely be needed
Invitations as above have been sent to
all the institutions known to the ex-
change officials, but in case any organi-
zatiOu shall have been omitted, its Off
GERS are requested TO notify the secretary
of the cotton exchange at once. as it is
desirable that the action arrived at
should cover as nearly as possible the en-
tire cotton interests OF the United States.
III support Of this proposition for a meet
ing to consider the bagging question Mr..
Thomas, president of the exchange, sub
mjtted the following views:
If the Liverpool cotton ASSOCIATION
favors iute because it is q product of the
British empire, the same loyalty to ones
country would inspire Southern eX-
changes to fairly maintain the American
product.
The sale of cotton III American markets
by gross weight has been heretofore I'M
embarrassed by any difficulties arising
from the weight Of bagging, because the
baGging has been practically of inferior
weight. Now the introduction and use
of cotton baggng weighing three fourths
pound per yard as against jute bagginC'
weighing two pounds per ward, cOmpels
attention TO the great difference of eight
and three-fourths OF pound per bale.
The present method OF selling cotton
for gross weight price, which price is
based upon fourteen pounds Of bagglng
to the bale, Is hostile to the use Of bag
ging Weighing live and Oue-hGlf pounds
TO the bale. 10 continue to sell cotton
unfortunately by gross weight, re-
CARELESS of weight of hagging, viii be
positive discrimination against the lighter
covering, and almost prohibitory in its
effect.
The question presented by these facts
is simply a matter OF tare. 1t is here
worthy OF note that III the sale of all
other commodities where tare is allowed
it is fixed by the seller, and is stated on
face OF the invoice. The same good
reasons for establishing proper tare in
sales of other commodities should obtain
in the sale of cotton.
At the present time, as is well under
stood in the cotton trade, the prices paid
for cotton by the exporter is based on net
weight.
The popular idea that planters sell the !
bag2ing and bands on their cotton for
the same price as the cotton in the bales,
ie only simple delusiOn. As a matter of |
fact he receives nothing for the bagging |
and bands. Although nothing now APP !
pearsOu the face OF the transaction be- |
tween seller and buyer in American mar |
keCs to Indicate the deduction off gross !
weights for taTe, vet that deduction is |
made by the buyer, and not from the !
weight but from the prices.
The exporter sells his cotton in foreign |
markets by net weight, which Is at pres |
srt asceTtained by deducting per cent |
of gross weight, aud hence he must buy |
on the same basis. At present the tare |
appears III the diminution Of price paid |
per pound BY a diminution OF weight, |
by tare allowances, there viii be cor |
increase in price per pound. /
The importers who pay 10 cents per
pound for gross weight of cotton will pay !
10. 50 for net weight, ascertained by an |
allowance of ) per cent. for taTes on jute |
ba-gng, and 10 IS for net cotton in cot
ton baGging.
For example:
JUTE BAGGTNG.
Dne bale cotton. 400 pounds at 10c........ $40 90
One bale cotton. 800 pounds, less per cent.
49, pounds, at I0.5S .....-............. - 90 |
COTTON BAGGTNG.