The Birmingham age-herald., 1904-11-30
SPOT COTTON WILL SHOW AN INCREASE About 10000 Bales Will Come
 by Wagon SPOT PRICES ARE NOW OFF Birmingham Will Handle This Year a Total Cotton Business of 7o,ooo
 saIes-some Features of
 Local Cotton Business.
SPOT PRICES ARE NOW OFF

As many as 10000 bales of wagon cotton will be assembled in Birmingham during the present season, notwithstanding the fact that this Is strictly a coal and iron center.
 Jefferson county has never been known to the outside world as a cotton raising county. and 1t isn't. Still Birmingham received last year something like 1000 hales of cotton which came into town on wagons, practically all of this cotton was raised In Jefferson county This year persons who are considered experts in the cotton trade say that the wagons and short freight runs will bring over 10000 bales 10 town this season.
 For the past few days cotton has been on gradual decline and there were scores of tanners on Second avenue yes terday trying to dispose of thelr product before the expected slump came.
 Spot Cotton Declines.
 Yesterday cotton, that is to say, spot cotton. declined about 30 points. This would amount to nearly third of a cent a pound Spot was sold to local mer- chants yesterday at s.75. but in some instances local merchants paid as high as s.90 The falling off in price is said 10 be due to the expected government report when will be issued on December 8 and which 1t is anticipated will show crop of nearly 12,ooo,O0O bales. Last year the crop amounted to a little over 100000 bales. The big crop idea has seized the market in every section of the country and decline Is but natural.
 The increase in the crop marketed in Birmingham is expected to be more than thirty per cent. Last year about 7OoO bales. as stated, were assembled here aside from the cotton shipped here from distance as well as that compressed en route to other markets.
 Counting shipped cotton and wagon cot ton together Birmingham will handle this year about 10000 bales. an increase of nearly 20,0OO over last year.
 There are about six merchants in Bir- mingham who handle spot cotton This does not include .ae regular buyers whC have no other mercantile interests. Plan or lrauln9.
 The cotton trade is handled in Blrming ham on the same plan as in the smalle towns of the cotton belt. A merchan will advance a farmer supplies, and some times small amounts of money, on whie to make his crop. A mortgage Is give on the crop and when the picking seaso comes In the cotton is turned over t the merchant who pays off the mortgag and gives the farmer the difference. Tn merchants profits consists of the inter est on the loan and the profit on hi l goods. Often the merchant fails to col lect and is thereby a heavy loser. Thi year farmers are paying up on tim and there is little bad paper out.
 "our farmers are in better shape nov than they have been in twenty years' said w. S. Brown one of the oldest mer chants in Birmingham. This year hav' realized dollar for dollar on paper that would have been willing to have sold to 15 cents on the dollar. We are puyins considerable cotton this season and ex pect that 10000 bales will be brought t' Birmingham. Most ot this comes In or wagons but some of it comes in on freigh trains from towns not far distant. WV get a considerable quantity or cottoi from Blount county as well as Jelier son. Every farmer who comes in seem to be happy over his crop and all of then are getting out of debt. The cotton is O a better grade than usual and nearl! every bale that we have bought is mid ding and in few instances we nave re ceived good mlddllng In Alabama goo' middling Is rather scarce
 Concerning Cotton Factors.
 Unlike Montgomery, Columbus, Ga. Augusta, Ga, and other large cotton cen ters. Birmingham has no man or frn who can be called strictly cotton factor A cotton factor Is man or firm wh | loans money to farmers on their croI taking a mortgage thereon In the fa the cotton is brought in and stored 1 the factors warehouse, for which h makes a storage charge. The produce usually tells tho factor at what price ! is willing to sell and when cotton reachG that price the factor sells, pays himse and then sends the farmer the balanc In some cities the factors are great COT veniences to the farmer. notwithstandir the fact that they make considerab money out of such dealings. Sometlm' the farmer borrows money and agrees deliver hls cotton at a certain day an specifies that 1t shall be sold at tf price quoted on that day.
 The cotton merchant in Birmingham similar to the cotton factor. except tha he furnishes the farmer his supplies 1T stead of actual cash. The merchant WI | alwaya nav the farmer a little more To