The Newberry herald and news. (Newberry, S.C.) 1884-1903, 1891-08-20
DIR ZIG COTTON CROPS.
E.rrners Will Raise Them and the "oei"
Wants Theln-Ruinous!y Low Pr1ces
Not Necessary Result Of a Great
Yield A Texas Mans Hopeful
View of the Situation.

viewing Mr.. julius RuDSe, one oi 'ue
largest cotton men Of the South, ASKED
his opinion Of the proposition, so often
discussed by the Farmers Alliance III
the various States, to reduce the acreage
of cotton and thus secure better prices
for what cotton they raise.
"It is good plan, of course" said he,
"but it cannot be put into practice.
When one man reduced another would
increase, 50 as to have more cotton tor
the coming good prices. OF course II 4
scarcity could be made, better prices
would prevail.
but" said he, 81 think it IS 4 mis-
take to credit the present low prices TO
over-production. We have made
large crop and there is every indication
at the present time that the next crop
will be large one also. But IN the
fa,e of ell this there is nothing 20 war
rant the present low prices OF cotton.
The world need every pound of cotton
now in sight and all that is prospective
ly in sight. The trouble is not over
production, but in the stagnant condl-
tion of the worlds trade. The Portugal,
italian and other financial troubles, the
Argentine bank collapse, and every
thing has combined to shake confidence
and prevent speculation. Cotton has
declined steadily, because there has
been nothing to sustain it, and now it
has reached a point entirely unwar-
ranted by the surrounding conditions.
1.-The present outlook is not bright, l
admit, but we may have a repetition
of the fall of 1879. During that year
the city of Glasgow bank failure had
demoralized finances quite badly. Cot
ton and everything else declined. There
was good wheat crop, however, and
stimulated by it business became brisk
in all lines, and in month or SIX
weeks cotton advanced SIS or $40
bale.
"Now, this year we have very SINH
lar conditions. Cotton is cheaper than
it has been since 1858, but we are
making the largest wheat crop we have
ever made, and the food supply OF
Europe is failure. Europe will need
from us this year 200, 100000 bushels OF
wheat, which at the increased prices,
means $50, 100000 more for this crop
than we received last year. 1t is true
that this sum is scattered over the
country, but even then it means good
deal, and must turn the flood OF gold
from Europe to America. General ousl-
ness must be benefited and stimulated,
and that may cause cotton to advance
to its normal and rightful position.
"But there is still another view ofthe
situation not generally taken or appre-
c!ated. Present low prices have at
tracted attention to cotton, and the
result is that low grades, which ordlna-
rily would be Stunned and avoided,
are being sought after. IN New York
and Liverpool cotton is moving, but 1t
is low grade cotton. This is accounted
for by the fact that at certain prices
cotton may be put to various uses and
substituted for other materials. Ordl-
narily even the present grades are too
high priced for such purposes, but after
certain point has been passed their
use becomes practicable and they are
much sought after. This, Of course,
extends or increases consumption, and
under this consumption the visible
supply of cotton rapidly falls away.
There is great deal of such cotton on
hand now, for it averages from toS
per cent Of the crop, say on a crop OF
100000 there will be at the lowest
figure 400, 600 bales, and it must be
remembered in stock statement each
bad or undesirable bale counts just as
much as the best bale in the lot. 1t IS
bales, not grades, that make up the
totals.
"Now, as said before, while the out
look is not bright and glorious, it is not
devoid of hopeful features and I have
named over some Of them to you.
"But whether prices advance OF not"
continued Mr.. Runge, II think the
outlook for Texas is far from being as
gloomy as some think. In the first
place, moderately low prices for cotton
all through the winter will give the
farmers an object lesson that will teach
them more than al! the lectures and
advice they have received for years. 1t
is folly to preach diversity of crops to a
man who can raise cotton on cheap
land and sell it for cents. He thinks
that is good enough without anything
more. If low prices continue, though,
the farmers will change their minds
The farmers in North Texas will let
cotton alone and plant more wheat;
those in Middle and South Texas will
plant more oats and corn. They will
not care to raise cotton when they can
scarcely get the price of their labor out
of it. The farmers have needed just
such lesson as they they are receiving,
and it will do them good"
do you think they can stand the
loss on their chief crop this year??' was
asked.
II don't know how individuals may
stand it, but as q whole l regard the
Texas farmers as being in better condi-
ton than those OF any other State in
the Union. Congressman Longs state
ment that in his district alone there
are S4O,00O,000 worth ofmortgages SIM
ply appears bad; as matter OF fact it
is not so. Look at the matter from ali
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