The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1899-01-22

wsci he srevds ~ tbs hizh Quarter blood
ad' 81 eiS ns s snS m sdTy n,c
asssr NJ p wool p Was .ss sfsndata
his pii. would sell then for Just what II was I
Bui al 90 not do thst. some houses grade a
ilns medium more 70 the hnc side. ana others
incline TO the medium. 70 II would be n hard
task. anyway, 10 have tho grades alike in any
two houses. although. Of course. 1t could be
| TER Of business which deusnds that q dealer
&c; the most for his work by grHdirs II intu
saleabic rather than standard piles, can not
| bciirnie.r I
In commenting upon the matter tho editor Of
tnc journal OF Commerce has this TO say. I'VE
| have Lever been able to clearis see me FEAST
bl'ty of operating in wool the rame as cot
ton on contract for future delivery. Tliase
stables can hardly be considered alike IA IN 3
condition In which they are rev marketed
THE cpposition TO tho plan. upon the simple
Plea that y viii disturb existing methods of
no ssinrathy N. There is much in preseat
methods that should % corrected. however
p p,a they may be. for the most favorable
III dealers could be made to conform to
stfittcr rules regarding the exposition of thslr
| from surface to center, as is sometimes do.l..
y would be good thing and meet the apprc-
taticii of all honestly dispoted prisons. There
" row 70 restriction OF any Kind placed upon
the methods OF n dealer, except tho dictates
OF his -cwn conscience. which is often not made
o: ,he most sensitive stuff" A.
Arising out OF the agitation OF this question:
the wool dealers of New York established. IN
1927, wool exchange. under chtrter IRON
husin.ss upon just and equitable principles.
One OF the bylaws OF the exchange strictly
prohibited the dealing In wool futures wnic,i
would imply that the projectors OF the enter.1
prise fully recognized the practicability OF
such a Bcheme and were opposed to II from
personal reasons The reform they intended
-eAu( n nd linz
OF wool by auction. as is now carried on in
London, England. y
plete failure, in less than two years after u
was started, carrying down with It the Trades
mars National bank. which had undertaken
to Gerry the wool handled by the exchange IN
prohibiting the dealing in futures. they is-
moved the principal feature that gives
st.h to an esshang anil need s,, no strong
Tfadesmans National bank. for, while they
were Obliged TO close their doors because
thsg were carrying q few million pounds OF
wool on collateral security for loans, other
banks In New York were carrying mary tunes
more value In cotton without the slightest in-
The explanation OF this is that cotton is
cash, and the banks know they can convert It
moments notice, 9hie#in WOOL the manuiar-
turers ere the only source through which
bank can realize.
I. may be well to explain that the system
would in no way Interfere with the present
custom of dealing in spot wool. II is quite
common for cotton dealers 10 have their own
private grades. known only to themselves aud
their customers. The dealing In futures is
s!np,y a means OF conveying an article from
When It is once in the hands of the dealer, he
can manipulate the grades TO suit himself
WOOL futures. the National Wool Manufac-
tu'crs' association. In Its last tDscember) bni-
letni. takes a very decided stand against the
introduction OF the system.
1t Is quite natural that manufacturer
should oppose any system that Will force him !
TO buy his supplies when he now enjoys the
privilege OF buying whenever he CHOOSES, or |
as is commonly called from hand to mouth.
This is very convenient fer :he manufacturer, |
but is IL Just to the grower?
II all manufacturers would chter tie mar.
ket and compete with each other for the wool |
we produce, there would be sufficient COM |
petition to establish n fair value for all tho |
j manufacturers are unwilling to do TINS.
i think 1t Is only proper that . standa q |
grade should be introduced thEt would ainit |
OF free aud unlimited speculation In wool.
The grower has performed his duty q rass-
ing the wool and he is entitled to an unre-
stricted market. governed alone by the law
of supply and demand. If there is any other
system than that OF dealing in futures" that \
will afford this privilege do not know what
IL is.
Before II was introduced into cotton the
manufacturers enjoyed ths same privilege
that wool manufacturers do now. They bought |
their cotton when II suited their convenience.
But when they we're cornered few times by |
the spectators they concluded to enter the |
market more literally. and the result has
been the upbuhding of an enormous product
OF cotton which would not exist II it had not |
been for the system. II a surplus of cotton
was produced before the organization of the |
cotton exchange II was unsa eable and left |
upon the hands of thu producer. Under pr
cnt conditions any amount OF surplus can be
disposed Of The records will show tina; our |
steady growth in cotton planting commenced
after the system of dealing In futures was
introduced aud II the same system is applied |
10 wool, predict We will have the same |
happy result, and instead OF importing $50
600, 900 to 900 worth Of wool annually |
from foreign countries we Will have sur |
plus inside OF ten years to export with our
wheat aud cotton,