The Montgomery advertiser., 1904-09-16
SOUTHERN PROGRESS
OUTLOOK FOR THE NEW COTTON
 CROP.
The Planter in Better shape to Hold His Crop and Thus Avoid the Customary Market.
 Gut.

Baltimore Sept. 15.-(Spectal. )-In this weeks issue of The Manufacturers Record are published the views of two widely separated authorities, E. s. Peters, president of the Texas Cotton Growers Association, and Colonel s. F R Morse, of New York. as to the outlook of the cotton crop. Neither of these authorities knew that the others opinion would thus be publish ed. Colonel Morse takes the position that beyond peradventure the South now holds its future prosperity in It's own hands, and he says:
 "The planter is in better shape hnan- cially to hold his cotton, and thus avoid customary market glut which for many years past has invariably been present during the harvesting season. If, therefore, he will meet his immediate necessities sparingly he will find the demand for his product steadily in- creasing as the season advances. and by raising his price from the minimum of ten cents he will realize the full value of the product, which he largely lost in 1902-1s03. when the lions share went to the middlemen and speculators. as it likewise did, but to a considerably less extent, during the last season. This therefore, Is my advice to the farmers of the South: Let those who are not in a position to hold for fair prices for all their cotton sell only enough to meet their most urgent needs, holding the rest until the de- mand shall put the price. say. to s1o O bale above the present offering.
 'The worlds necessities are increas- ing. not diminishing. and the demand for the staple must increase propor- tionately. This must inevitably raise the price of cotton goods to a higher level, so as to correspond with the in crease in the cost of all other neces- sities. Tn other words. the single ex- ception should not be made in the case of so universal a necessity as the main material for the clothing of the world"
 Mir Peters. who has been urging that 12 cents should be the minimum price. says:
 q consider 1e cents per pound minimum price for this years crop, as this Is the fifth year of short crops, with the prospect of 10, 900. 900 bales or under and the fact that the European spinners have contracts ahead for the sale of their product on a basis of 12 cents on the farm, and that their warehouses are bare of cotton to fill their contracts. with the prospect of the speedy settlement of the Russian Japanase war and the opening up of that section for the consumption of the products of our mills. This Is probably the last year when a crop will be made amounting to as much as 10,000.000 bales, as with the increase of territory covered by the boll-weevil and the fact that in a short time S.000.- 900 bales will be maximum Ameri can crop and 20 cents per pound q minimum price I see no reason why cotton should not go to Is cents this year.
 Commenting upon these opinions without accepting in full the predic- tions of President Peters, but com mending as conservative the views of Colonel Morse, The Manufacturers Record says:
 ''The South this year. to an even greater extent than last year. has the call on the money of the world. For the crop of 1903-1904, including seed, it received, according to government figures, over $660,000. .000-an unprece- dented amount-of which probably $250, ,000,00 was clear profit. This year it will receive from sS50,O0o,0 900 to $700. .o00 900 with a good prospect of the latter figure being reached, If not exceeded, should the farmers be able to hold back their cotton and market 1t gradually. When the warehouse system on a broad scale has been estab- lished throughout the South the farm CTS power to hold his cotton, and thus steady the market. avoiding wild fluctuations, will be absolute, and with more uniform prices the manufacturers as we'll as the growers will enjoy greater prosperity.
 Last year the manufacturers as class took an essentially wrong position on the price question. In their effort to force down prices of the raw ma terial they convinced the consumers that prices were too high. and natural ly this lessened the purchase of goods.
 It Is difficult to understand how any careful investigator of the subject could have been deceived into believing that we had not entered upon period of higher priced cotton, and that the speculative excitement was but a feature of this condition. and not the cause. Instead of seeing this, how ever, many manufacturers filled the world with statements that there was no ground for high priced cotton, and that the advance was due to specula- tion or gambling" and in doing this they practically compelled buyers of drygoods to hold off and wait for the promised decline. That prices were forced too high and too rapidly Is true. and The Manufacturers Record warn ed the public at the time. but the world Is now compelled to adjust itself to higher priced cotton goods