The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1904-09-18

the Confederacy-reco only as
beligerentS-had no credit among ma
tons, and no system of taxation by
which it could hope to derive any
revenue available for purchasing sup
plies abroad. But it possessed a latent
purchasing power such as probably nc
other government in history ever had
Cotton was as good as gold, and
the Confederacy had the cotton. Ii
seems marvellous in this day that sc
bulky a medium of exchange could
| ever have been struggled through the
| blockaded ports in quantity sufficient
| to meet the war-nurSed governments
| necessities abroad, but it was gotten
| Through the blockade in comparative
safety to Nassau, whence it was re-
| shipped to Europe. Strange to say, lit
| lie of this cotton was captured en-
| voyage Major Huse says;
| During the first two years, the
CO ptures were SO infrequent that il
may be safely stated, never before was
| q government at war so we'll supplied
| with arms, munitions, clothing anC
medicines-everythin in short thai
al, army requires-With 50 Little
money as was paid by the Confed-
cracy. The shipment from England
| to the islands in ordinary tramp
steamers, the landing and storage
there, and the running of the block
AIDE, cost money; but all that was
needed came from cotton practically
given to the Confederate government
| by it's owners"
The supplies were bought at the
lowest cash prices by men trained in
| the work as contractors for the Brit
| ish army. No credit was ever asked.
So long as the Confederate govern
ment dealt directly with the European
source of supply with cotton as the
purchasing medium it enjoyed unlim-
tied purchasing power. Let Major
Huse tell how this great financial re-
source was eventually lost:
The fourth year of the war saw al
end of the struggle, not only because
of the immense superiority or the
North in men and material, but also OF
account of a change Of policy in pro
ducing supplies. For a long time there
We're no contractors between the Eu-
rOpean sources of supply and the
great consumer, the army. Cotton,
the only article of value to the out
side world, passed into possession OF
the government continuously ana
without friction, and was landed il
Neutrality-suspicious. in Bermuda
with no back charges due Every
shilling that a bale was worth, as il
lay at the landing-plac was SO much
to the credit of the war or navy de-
! rartment with Fraser, Trenholm 81
| Co, Liverpool, and was available as
soon as the arrival was announced by
mail via New York There were lit
orally no leaks. More devoted or more
| intelligent and trustworthy agents
than were Fraser Trenholm & Co.,
| during the four years in which they
acted for the Richmond government
never served any principal. But in
| the latter stages of the war; contracts
with the government began to appear.
These contracts, made in Richmond.
were generally a sORt of partnership
affair by which the contractor, usually
an English company shared equally
the freighting capacity of each block
AIDE runner"
These contractors proved the undo
ing of the Confederate treasury. The
writer goes on to explain in detail
how, but it is too long a story for
reproduction here. The average we'll
informed eX-Confederate citizen is IA
miliar with it.
Major Huse tells Of many large
transactions he made for the Rich
mond authorities, using cotton war
rants in payment. His pamphlet is
full of personal anecdotes concerning.
many notable men in the service of
the COnfederacv abroad with whom he
was thrown in contact-such men as
Mason, Slidell, Yancey and BuIoch.
whose sister was the mother of Presi-
dent Roosevelt.
The little work is really q notable
contribution to the Confederate side
of the history Of the war between the