Evening star. [volume] (Washington, D.C.) 1854-1972, 1905-03-30


Special Correspondence of The Evening Star and
the Chicago Record Herald
MOBILE March 90 1905.
The cotton planters of the south have too
much of a good thing. The price of cotton
has been so high for the last five years and
the crop has been SO good that they have
been making large sums of money. But
this winter there is record breaking crop,
which is so much greater than the demand
that prices have dropped more than 30 per
cent below those of last year. Although
even on that basis they will realize fair
profit for their labor, everybody who grows
cotton is excited and apprehensive, and the
planters are organizing to keep up prices
and reduce the volume of the product in
the future.
The normal cotton crop of the South is
about 1O500O 900 bales, and it pays reason
able profit if middlings, that is the average
grade, sell everywhere above cents Ten
cents pound is the ideal price. and allows
the planters to live in the greatest luxury.
Middlngs are now quoted at about 71a cents,
which leaves only small margin of profit
The average cost of raising cotton through
out the southern states is estimated at $50
cents per pound. If the crop this year is
all gathered it will run as high as 100000
bales, but about 10 per cent of 1t is stu
left unpicked in the fields and it is calcu-
lated that twelve thirteen million bales
are already ginned and ready for market.
In order to keep the price at 10 cents it is
proposed to withdraw 100000 bales of the
present crop from the market and reduce
the acreage cultivated 20 per cent next
year. To do this it is necessary to organize
the farmers. Conventions have been held In
all the cotton states and agents have been
appointed to canvass every one of the coun
ties in which cotton is grown.
Proposed Cotton Combine.
They are calling the farmers together and
comforting with them explaining the situa-
ton, persuading them to join the Southern
Cotton Association, which is organized to
promote the general welfare, and the Cot
ton Planters Holding and Commission
Company. which is to provide the ways and
means to hold back 100000 bales of this
years crop from market. Harvie Jordan,
president of the association, is directing
the movement, in which not only planters
are engaged, but bankers, merchants and
other business men whose interests are IN
volved in the cotton crop-and there are
few people in the southern states whose IN
terests are not.
A big convention which was held in New
Orleans last month sent a commission to
Washington to confer with the President
and to ask Congress to appoint commits
sion to discover means by which the eX-
ports of cotton may be promoted. AT pres
ent about 60 per cent of the normal crop is
sent to foreign countries and about Az per
cent is consumed at home.
A similar situation existed in 1S93-4-5
when cotton fell as low as 81 cents
pound and in 1S97-S-9, when it fell low
as 6 cents. But during those years the
crop was not so large as now. Similar eff
forts were made to reduce the acreage, but
they did not succeed. The organization was
not thorough enough. The farmers all went
to the meetings and voted for resolutions
pledging themselves to reduce their acre
age 10 per cent. But very few of them
carried out the agreement. Most of them
said: 'tIf my neighbors are going to cut
acres extra" AS a consequence, the crops
were even larger the year following than
before. This year, however, the organizers
of the association required al who join to
sign pledges and agree to pay to the as
ISOLATION a forfeit of 2 cents pound for
all land cultivated in violation of the agree
ment This, they think will do the busi-
ness.
The planters are in unusually good shape
financially They have had two years of
unprecedented prosperity and although
most of them have been living accordingly,
many still have money in the bank and
the majority do not need to sell their entire
crop. Those who are well posted tell me
that at least one-half of the planters
throughout the south can hold back one
fifth or even one-fourth of their crop for
one, two or even three years without suffer-
ing and those who are unable to do SO
sion Company proposes to carry, with the
assistance of a syndicate of brokers, at the
rate of SIS per bale per year. That, how
ever, means tax of $50,000,OO0 a year upon
the cotton growers of the south IL 81, O00, 600
bales are withdrawn from the market, and
a tax of $25 100000 if only one-half of the
farmers require such assistance.