The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1904-02-07
THE TRUST CUT THE PRICE Of TO
BACCO IN HALF.

! tobacco and reads a lecture to all who
criticise the trust for robbing the farm
ers of a portion of their 10000 crop.
The tobacco trust, which controls the
price of tobacco grown in North Carolina,
is paying a fair price for tobacco or it lis
not. The Organ keeps on asserting that
it does and prints in prominent place
every sale of a particularly fine lot of
tobacco that brings a good price, taking
particular pains not TO print any state
ment showing the average price paid for
tobacco in the present year or to compare
the average price paid for the 1908 crop
with the 1902 crop. The 1903 crop is
shorter than that in 1902 and if the law of
supply and demand worked in tobacco
as in cotton, the price of tobacco ought
! to have been higher during the months OF
| September. October. November and De
cember 1908 than in the corresponding
| months of 1902. AS a matter of fact,
F.! half in two. Why?
| In the early part of the 19O2'03 season,
the American Tobacco Company and the
Imperial Tobacco Company were both in
the market buying bright tobacco. That
secured competition between buyers. The
natural result was that the farmers re-
ceived fair price for their tobacco. To-
ward the close of the year 1902, the Amer
| lean and British companies decided to
/ pool their issues divide out the world,
and grab the tobacco grown by the farm
ers at price that would just keep them
growing the weed. AS soon as the trusts
combined, the price of tobacco went plung-
| ing downwards, and the farmers who sold
after December got a much lower price
than those who sold before the ''com-
bines'' combined. If any man before that
time doubted that combinations put down
the price of tobacco. the result at the
close of last season and the low price
this season removed all doubts from his
mind.
The 10000 crop is smaller than the
| I5Vz- 10 CIop anu YET lHe LTlce was CuI
by the trust just about half in two, taking
the season as a whole. What does that
mean? 1t means that, for every dollar
paid the farmers for tobacco by the trust
last season, the trusts are paying them
this season only little over fifty cents.
Instead of that fifty cents remaining in
the hands of the producers. it is carted
off to New York and to London to go
into the pockets of the American and
Imperial tobacco trusts. Is that right?
Let us see how this arbitrary robbery
of tobacco farmers has affected the people
of leading tobacco counties in North Car
olina-that will be the way to show the
full extent of the crime of the trust and
bring it home to every community.
Just let us take wilson 1t is the largest
market for the sale of bright leaf tobacco
in the State-the sort of tobacco that is
Iuesd to make cigarettes and smoking to-
| bacco In 1902-'03, Wilson sold 20, or, 920
pounds of tobacco at eleven and twenty
eight one hundredths cents per pound
This year it has sold 1929, S26 pounds
at an average of 06.13. If the tobacco
trust had paid farmers the same price
per pound for the 10000 crop that they
paid them for the larger crop of 1902 '03,
| they would have paid out in the town of
Wilson S418, 07276 more than they did pay.
| That is to say, the tobacco trust, having de-
stroyed competition, took by main strength
| from the farmers who sell tobacco at Will
son $41S,072.76 that rightly belonged to the
tobacco growers. That sum was bodily
put into the Golfers of the trusts when it
should have been paid to the people, and
WHEN IT WOULD HAVE BEEN PAID
TO THEM IF THE TRUST HAD NOT
DESTROYED COMPETITION. Think of
this taking nearly half a million dollars
of the hard earned money of hardwork
months, and you will be surprised at the
moderation of those who criticise tne
| methods of the tobacco trust. That S41S,-
o72.76, which would have remained in the
L JoChelS OI TOBACCO growers III no TOBACCO
rust existed. would have added much to
he comforts of the farmers of that section.
Many of them would have sent their sons
o college this year who will now be forced
| o keep them On the farms to earn bread
md meat. OF course it will enable the
| rust magnates, on both sides of the
I ocean, to buy more automobiles, crush out
| more small dealers. revel in luxury, and
| wen give money to Libraries, colleges and
| hurches But the farmers OF Wilson have
! been held up in the road and in six months
been forced to contribute $41S,O7276 for
l these purposes. 1t is the tobacco growers
/ Who should be thanked for benefactions
obtained by methods practised by the trust
I nagnates. But in a free country. no
l 'eople ought to be compelled to give I'M
sss they so desire and they ought to be
l ,llowed to select the object of their bene-