The morning call. [volume] (San Francisco [Calif.]) 1878-1895, 1894-11-04
LOW PRICES.

No. Oregon flour is selling at 81 75 per
barrel Of 200 pounds; canned tomatoes are
selling at 70 cents per dozen, though
Gamers say that the cans cost that
sum, without allowing a cent for
the contents; dry granulated sugar
is selling in New York at AZ cents !;
middling uplands cotton is changing hands
at New York at 5A cents. These are
prices which have never been paralleled !;
they command the thoughtful attention Of
all who are concerned for the future.
And yet, if cereals be left out. it is not
difficult to explain the depression in arti-
cles of general consumption. Before the
war the average price of middling uplands
cotton in New York was about 10 cents,
and for len years after the peace the price
was about Is cents. But before the war
the cotton crop averaged less than 800, 900
bales, and only once reached 1900, 600
bales; II was only a tritle larger during
the ten years following the peace, having
only twice IN those years reached 100000
bales, while this year it will exceed 9.0OO.-
600 bales. In other words, in the last
twenty years the supply of cotton has
more than doubled; il is no wonder that
the price has fallen so per cent. So before
the war the price of raw sugar in New
\ ork was about ~ cents, and for the ten
years following the peace about 9 cents. so
that the growers sold pounds of granu-
lated for dollar. But before the war the
importations rarely exceeded 600. 100000
pounds, and after the war they crept up
from 1.O00,O00.OO0 pounds in 1866 to $780,
100000 pounds in 1875; now they range
from S,500.000.000 to 3,S00.0O0,000. The
supply has doubled in twenty years; small
wonder that the price should have fallen
in proportion.
Statistics are lacking TO show the in
creased supply of canned goods in the
past twenty years, but it is fairly pre-
sumable that If, too. has been doubled.
So with textiles and hardware. Enor-
nous fortunes have been made in the past
quarter of a century by makers of this
class of goods. While money has been a
drug at the financial centers and it has
been difficult TO find first-class bonds
which paid over four per cent on the in
Yestment stockholders in wooden and cot
ton factories and in steel factories have
been dividing ten, twelve, fifteen and
twenty per cent per anDum. Such profits
necessarily led to enlarged plants and in
CledSSu u corresponding ue-
velOpment of production has occurred in
Great Britain, France and Germany, but
in those countries every nerve has been
strained TO open new markets abroad, ard
wars have actually been undertaken to
create new customers for European sur
plus goods, while we have been content
with the domestic market, which widens
little year by year, but not nearly as fast
as the supply that is poured into it.
There seems to be no good reason to ex-
pect reaction in prices, at least for a long
time to come. In 1892 the United States
produced 100000 bales of cotton, of
which twO-tbirds were exported and one
third consumed at home. This year the
crop will be about the same, and the
times not being oyerprOsperous the con-
sumption will not increase, but, on the
contrary, will tend to decline So with
sugar, groceries, textiles and hardware.
The ground for a hope for better prices
seems to DE wanting. They can only
come when production is reduced or con-
sumption increased, and there is no sign
of either.
The breadStuffs problem occupies differ
ent ground. There is no great increase in
the cereal crop anywhere. 1t fluctuates
butt it has not varied widely On the average
for many years. But the price of wheat
and -four at the distributing markets is
lower than it has ever been within the
memory of man. A good reason for this
anomaly seems to be much wanted. Moth
ing seems 10 help the wheat market.
When a partial failure of the corn crop
was announced it was confidently hoped
by farmers that wheat would respond with
an advance, but it did not. 1t says lower
week by week. 1t is some consolation that
consumers are going to benefit by the de-
cline. The price of bread has been re-
duced in New York, and bakers through
out the country will have to follow the ex-
ample.