The Newberry herald and news. (Newberry, S.C.) 1884-1903, 1894-03-28
ahe Aerala and Mew5.
ME. sHEPPERSoN ON COTTON.
He Looks for Better Prices after Awhile if
the Farmers will Make It their Sur
plus Crop and Raise More Provi-
sfons.


lions of cotton spiudles, being nearly
five millians more than all the spindles
of this country, were idle in LaDca-
shire. and yet the price of cotton was
about Il cents per pound higher in all
the markets of the world than it is to-
day.
The conditions in Europe have essen
TALLY changed from last season and the
European spinners are now doing an
active business and consuming $4,000
bales of cotton per week core than at
this time last year.
The present American cotton crop
has been marketed with such rapidity
that about 10000 bales more have
come into sight than of the previous
crop at the corresponding period of last
season.
While our receipts have so greatly
exceeded those of last season, yet our
exports have been nearly million
bales greater thar for the correspond
ing period of last season, and the stock
of cotton at the ports and in the cru
merated interior towns is nearly 2O0,O9G
bales less than year ago. The bur-
ben of the larger crop movement has
therefore been transferred from our
markets to those of Europe.
It is the prevalent idea that there is
more cotton in the world to-day than
there was year ago, but this is
fallacy, and the worlds actual supply
of cotton is no more than It was last
year. The visible supply of cotton is
about 225,0O0 bales more than at this
time last year, and my friend, Mr.. Eli
son, of Liverpool, estimates the stocks
held by the European mills as $4,000
bales more than a year ago, making
the total excess of visible and invisible
supply over last year about 100000
bales. In this calculation, however,
no account is taken Of the stocks held
by the American mills and there can
be no question but that our mills hold
at least 100000 bales less than they
did at this time year ago. This deficit
in the stocks of the American mills
wipes out the entire surplus of the Wis
ible and invisible supply.
Since the beginning Of this season
the American mills have taken about
100000 bales of cotton less than for the
corresponding time last season. The
reasons for the inactivity of Our mills
are not far to seek. They are in con-
sequence of the financial troubles of
last year and the depression in all |
branches of business, caused by the
uncertainty in respect to the legislation
of Congress upon the tariff question.
The spring trade for the mills has been
practically ruined, and the outlook for
a good fall business is not encouraging,
as the present fear is that the delay in
Congress in its tariff legislation will
seriously ipjure the fall trade. Should
wise tariff legislation be promptly en-
acted, it is almost certain that our
spinners would do a very active busi-
ness and would be liberal buyers Of cot
ton to the end Of the season, because
the mills themselves hold exceedingly
small stocks of cotton and the mer-
chants throughout the country hold
very limited stocks of goods.
It must be evident, however, that
the mills will pursue their present
hand-to-mouth policy of buying cot
toa- until the matter of the tariff is ad-
justed. The stock of cotton in Liver.
pool is the iasgest ever known, and this
fact must exers depressing influence
upon the market, Notwithstanding the
fact that Europesn eQasIinaEsseez2 @ is
larger than ever before.
While the price of cotton is verylow,
and actually below the cost of produc-
ton in many sections of the country,
yet the outlook cannot be regarded as
favorable 10 a permanent advance in
the near future. The season for plant
ing the new crop it fast approaching,
and the probable extent of the acreage
of the new crop will soon be a very i'm
portant factor in the situation.
It seems to me that nothing could be
more urwise than an extension Of cot
ton acreage by the Southern planters
at this time. for nothing could SO snTc-
sytend to depress prices and to prevent
the advance which should come with
with the revival of general business.
Cotton is solow now that manipula-
ton may easily cause temporary ad-
vance between now and the time for
planting. Planters should not be de-
ceived by this, because it does not look
as if there could be any permanent ad-
vance until present conditions are very
essentially changed.
Following the advice given by a dis