The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1905-02-08
A DeHnite Move in Cotton.
(Washinpton Post

Apropos of the question now upper
most in cotton growing circles, "What
shall we do with the eXcess?" Mr.. f.
B. Hayne, of New Orleans, has just
proposed a plan which has the merit
of practical common, sense. he offers
personally to take 10000 bales of the
surplus which now threatens the des-
tructions of market values, and to
store it under an abundantly protected
agreement to hold it intact until Ncto-
Der l, 1905. Upon this he will adj ance
5 cents per pound on reasonable and
ordinary commercial terms. MIR.
Hayne believes that at least 100 other
individuals or business firms will en-
ter into a similar arrangement, thus
withdrawing 100000 bales from the
market and restoring that equilibrium
of demand and supply, the disturbance
of which has precipitated this wide
spread disaster.
Here, then, is a perfectly rational
businesslike scheme, susceptible of i'm
mediate exploitation, presenting nc
complications ofany kind, and lntelll'
gible to the dullest mind. Mr.. Hayne
does not propose, as others have pro-
posed, any needless expense in the
connection, such as the shipment Of
the cotton to three or four centra
points and the building of temporary
storehouses for its accommodation,
He proposes, in fact, the storage of the
surplus crop at interior localities con
venient to the farms that produced il
aud the avoidance of all unnecessary
charges and OUTLAWS. He says;
IF this is done, and it a be done
without the least danger, what cotton
remains in the hands of the farmers
will increase in value not less than $l(
per bale. The,fact that l,000,0 600 bales
if not more; will be carried over to the
next CROP would cause a material re-
ductiop in acreage. If the cotton
trade is absolutely assured that 1000
900 bales will undoubtedly be added te
the next crop, and the. acreage for nexl
season is really reduced in the neigh
borhood of 25 per cent, there is nc
question to my mind that this 1,00O,OOC
bales will sell much nearer 10 cents
than 5 cents. -.
The warehouse time receipts viii
form an absolutely safe collateral, and
a loan on the terms mentioned will be
entirely safe, as far as the lender is
concerned. Banking institutions and
individuals have an opportunity tc
lend money for the next six months
at a fare rate of interest on a collatera
that could hardly be better, and il
would undoubtedly, as far as I can see
enable the farmer to obtain a much
better price for the balance of his
crop"
In this way, the producer will Sc
cure for immediate purposes about as
much as be would get if the crop were
rushed upon the market and sacritic
ed, and he will still have security fOl
such profits as may arise from any in
telligent concerted action looking to
reduction ofthe crop for the coming
season. Indeed, the mere fact tina
!, 00G, 900 bales are already in hand as
puclens for future operations will &C
as a restraint upon those who NIGH
otherwise be tempted to speculate ir
large paintings during the next few
weeks. There seems no doubt hat 6
million bales or even more can bt
withdrawn in this way. Mr.. Haynt
himself is prepared to make q large in.
crease upou Iue pau DC HAS
and he refers to banks and individual
operators within his immediate know
ledge. that will at once take up a very
large, proportion of the remainder
And the chances all are that the cottor
convention now sitting in New Or
leans will adopt the project, thus solv
ing the problem to which it re- ate:
and putting the planters upon theil
feet again.