The Pickens sentinel. [volume] (Pickens, S.C.) 1871-1903, 1892-01-07

w. W. Gordon e. Co., from Mr.. Alfred
B. Shopperson:
81 COTTON EXCHANGE.
NEW YORK, Dec. 81, 1891.
Ne$S1S. w. W. GOYGon It Co., S0Ua2eauh
Georgia:
DEAR SIEs:-Middling uplands cot
ton is quoted to day at 7 15-1Cc. in this
MAJ ket. and 4l14d in Liverpool. These
are rhe lowest prices of this season.
The Liverpool quotation is 416d lower
than during the depression of last sea-
SON, While the New York figures are at
the lowest price of that season.
UIon the basis OF these prices the re-
tuln made to the planter is undoupted-
~ less than the average cost Of produc-
ton.
The depression now existing and
Whlcl has characterized the cotton mar
ket for many months is caused by the
excessive supply and is due TO over pro-
ductlon in this country.
Most people have theory that when
any commodity is selling below its act
ual cost, an advance must necessarily
aud speedily follow.
Confronted with the condition of
over stocked markets in America,
Europe and India, and the immense re-
celpts from our present crop, this The
ory has not been OF the least avail to
stem the tide OF depression. Import
ant staples often sell below their cost,
and corn has been so cheap at the West,
as 10 be used by the farmers for fuel.
The price Of cotton as of every other
commodity, is regulated by supply and
demand. Combinations speculations
may temporarily effect or impede Its
operation, but in the end the law of
supply and demand in its relation TO
values is ineXorable. The cultivation
or CT Lton is the greatest interest in the
South. The price realized for the crop
affects every business and industry in
the south whose success depends in
any GeSree upon home support. Unre-
muG'raCive prices for cotton mean
scarcity OF money, restricted trade, and
ilnantlal embarrassment in every
bran%h OF business throughout the cot.
ton lolt.
TO secure any marked improvement
IN IN price Of cotton, the chief essen
tlal ill be to give to the world some
certain assurance that the present large
STOCKS VIII be diminished in the near
luCl'e and not again augmented by
ano,l'er large crop in 1892. If such ac-
ton LIQUID be taken aL the South as to
induce the belief that the acreage OF
the reXC cotton crop would cert tainly
be nntecially reduced liberal advance
IN rr'ces would almost certainly ensue
SplnnerS and merchants would not
wait for the stocks to be actually large
ly dinlnlShed by reason of reduced
crop. but would discount the fact
months IN advance Of its actual accom-
plisl nent.
TO" years past many of The best men
OF the South have urged the policy Of
plan: ing less cotton and more corn 1t
has Usually resulted in general acQui-
eScerce in The SOupdueSs OF the advice.
whit" each individual planter has actu-
ally put in a little more cotton aud a
little less corn, thinking his neighbor
would do just the opposite and bring
about the result Of making cotton high
and corn cheap. Nearly every planter
thought it would be shrewd thing to
have full crop of a dear commodity
and small crop of a cheap one. The
last season resulted in giving them a
very Dig crop OF very cheap cotton, and
very small crop Of very dear corn.
The present crisis is SO grave involving
as it does, many interests besides cot
ton planting, that decided measures
seem to me to be impera:ively demand
ed t" avert impending financial disas-
ter TO the South.
AreductiOn OF cotton ac, cage coupled
with an increased acreage in grain
would be OF such incalcuable advantage
to tina planters, merchants and maui
factrrers that all should heartily unite
to bring about this result.
An indefinite agreement to reduce
cotton acreage will not begin to meet
the case.
beg to suggest that practical plan,
aud one almost certain OF successful re-
suits, would be for the factors and mer-
chants of each place to agree with each
other not to m?Se advances to any
planter upon the nevt crop unlC ss upon
the positive I ,dersCanding that such
planter would plant 10 per cent. less
cotton and devote the decreased &C e.
age to co, in addition to his previo Is
acreage in grain. Then have the plant
ers OF each election precinct form Zen
Per Cent. Clubs" agreeing with each
other to put 10 per cent. less acreage
in cotton and to put in corn every acre
thus taken from cotton, for the next
season.
With only fair season, IA crop Of
S,OOO,OO bales Of cotton can be grown
upon the present acreage. a reduction
OF 10 per cent. would probably reduce
or less, and the markets Of the world
would be relieved of the pressure Of the
immense stocks.
A large reduction OF acreage would
not he advisable, as it would tend to
stimulate production in other coun-
tries, while n smaller reduction would
not bu sufficiently radical to accomplish
the desired result.
l have no pecuniary interest, direct
ly CT Indirectly, In cotton, and have had
none for many years. My friends in
the cotton trade here are all we'll aware
OF THIS fact, and 1t is perhaps scarcely
necessary that l should assure you of it..
l lave not thought it necessary to
give any statistics of the present stock
OF cotton in America and Europe COM
pared with previous years, for you are
familiar with the subject. The visible
supply OF the world Is today 1,l25,OC0
bales greater than for the correspond
ing time last year, 1,S20,000 more than
In 1889, and 1,6l5,OO0 more than in 1888.
This letter is prompted by my sense
of the gravity Of the situation and an
Il