The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-09-15

of the uatal stores yelr hs Hccu
itIfI barrels spirits u' furp"rl'lr
luu $500 IHIrrl- ru-Iu. InD enormous" N'
eroass htr. with shown proves l''o.o .lr'
lou what hu- been said from im. iH ..n'
tnht consumers have boom pursuing hand
60 mouth policy. There is void l1 nr i..itt
and when triae resumes hrr normal Cruat
ton better prices can reasonably Nc ra
pectr4
The increased production since 1889 may lc
accounted for when The Increase lu uuiu.tf
of iaCtOrugc houses is rDmDm hcruU lu l-'J
seven houses handled aI naval stores IT,
t,iyed here now the number Oi houses has .a-
creased Go thirteen
Each new arm starting TOOK more or less
business from The older houses aud the latter.
anxious 90 maintain their prestige ana h4v
ing capita. 20 keep employed. bwuchco Ou'
aud started or caused 20 DE started. new
dlsiillc rle, jo replace business they had lost
Tho effort may boz seen from comparison of
receipts For season ending March 81. l7s9
we received lAN.2uS barrels spirits iurpeutiue
and 5-t 49, barrels ruSln. for 1890. l,351- bar
rrls spirits turpentlue and g8 u15 barrels
rUsn for 1921, 1856 1868 barrels spirits
turpyutiuC and 75s l0S barrels ro-Iu,
for lsy2 23l gs6 barrels spirits turpeutiue and
e's,G7N barrels rosiu. and lsJ3 The enormous
quantity OF 2U.Il7 barrels turpeutue and
! WH2. lH~ barrels TOsin.
During these years the production more
than clualcd the consumption. and surplus
was slowly but surely accommodating as
menace against the welfare of an concerned
ia the trade This surplus will have to be
worked of gradually and not allowed 10 in
crease otherwise spirits of turpeutlnc VIII
continue 10 sell 100 low prices.
Realizing that some strenuous effort toward
reducing the manufacture of naval stores had
10 be made, the Turpentinc Operators Gen
eral Association composed OF nearly all the
factors and a number of operators agreed 40
q meeting held last October TO limit the cut
ting OF new boxes TO nifty 90 per cent. OF the
number AT the previous season. The results
show the association S action. backed strcuu-
Ously hy the factors, was productive Of good
results. From statistics gathered IN the
spring 10 was shown about seventy (1Ol per
cent Of the number cut the previous year had
been cut. Since that the receipts Of pale
rosin indicate seyenty-hve 75) or
eighty per cent. The association while ex-
erclslng some influence over its members,
does not control them absolutely as IL was
expected it would Experience has proved
that more can be accomplished by the factors
than by any combination of producers.
In 1884 the receipts were 1901 barrels
turpentlne against 81. 4O4 in 1888 a surplus was
on hand and low brices prevailed.
The factors realizing the situation by cur
failing their advances reduced the produc-
tion TO liT2OO barrels in 1885
and i07 1863 barrels in 1886, good prices
then prevailed and factor and producer made
money. The surplus having been absorbed
and the consumptive demand having in
creased, factors put out more and more
money resulting in 1882 barrels receipts
for 1887 100 06l barrels IN 1885 and 1853 Dos
barrels In 1899 The excellent condition of
trade then induced new houses to start, en-
ploying large additional capital, the extension
of the business bringing about results before
stated
History often repeats itself, and it is to
be hoped the season Of ls93-94 is the ending OF
a season like lSS3Si, and that lS0495 will
prove as profitable as 1S64-S5,
From the statistics given below IL will be
seen that from Sept l. 1892 TO Sept l. 1893.
the average price OF turpentine was pc Ctak.
ing the lowest range OF prices as working
basis against 30c for Sept, 1891, to Sept
1892. The bulk Of the crop however, was sold
at much lower figures than the average.
The lowest price touched for a decade was
accepted during the past month-23c., and
had II not been for the advent on this market
Of new and very strong firm offoreign naval
stores buyers, factors would have had trouble
to dispose OF their receipts al any price dur
ing the greater part Of June, July and August
owing 70 the money strlngency prevalent
then and from which we are tust recovering.
Pale resins have brought fairly acceptable
prices throughout the season especially du-
ring the existence Of the bull" movement
inaugurated in May last. The highest prices
paid for W. W. was S4.35 on June Is and
o43O on July 20 After the latter date the
market declined rapidly, owing to the appar-
cnt dlihculty OF the bulls to make financial
arrangements 10 continue buying, and the
staying out OF the market power manifested
by buyers who were reported on the short
side OF the market About this time a ma
lority Of the factors not satisfied TO accept
- 90 basis for their palcs, formed a pool or
combination to hold their receipt sof hne rosin
for higher prices.
In ordinary times the movement might
have been successful, but the shorts" whom
they intended to catch fund the receipts of
the factors outside Of the com bination ample
to supply their demands.
q The knowledge that "A large quantity OF fine
roSin was accumulating in first hands that
would sooner or later be thrown on the mar
ket, had detrimental effect and that counted
with the stringent money market and com
pl6te cessation OF buVinV for domestic shin
ments, forced w. w, down to 80 81.
Then came the storm OF Aug. p. and gen
eral miXiBg OF naval stores In yards here
This ended the combination, and most of this
STOCK was unloaded on basis of S3.25 for w
W, buyers, risk OF storm
Producers generally are heavily indebted
TO their factors, the low prices making it I'M
possible to reduce their accounts as usual
Factors have no option but to carry over
these accounts into next season. unless other
new houses start in the business and the
usual changing OF accounts takes place. Car
rying as they will have to do, larger debts
than usual the money at their com
mand for next seasons operations
must necessarily be much less than
usual This alone would insure a diminished
production for the season of lS9i'05. But
then large,number OF operators working old
places without available timber around them
will be forced out OF business. Old boxes have
been worked this season at a positive loss
and II would be against the interest of the
factor, and against the interest of their pa
irons who are more faVOrahly situated 10
have their farms worked any longer which
can be done only through the aid extended by
the factor.
Should no more boxes be cut this fall than
last, profitable business can be predicted
for next season. Operators are learning TO
discard their old boxes, and a smaller number
Will probably be worked than for years.
RECEIPTS OF NAVAL STORES FROM SEPT /,
lSS2, TO AUG. 81, 1893, AS COMPARED WITH