The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1906-06-20
MIR. SMITH STATES THE SIT
UATION.
A Review of the Conditions in the
Cotton Market.
SOUTH SHOULD STAND FIRM.
Cotton Association Calls Upon Farm
ers. Merchants and HankerS 4"
Hold Their Advantage.
The Stat,

ers. Merchants and Hankers 1"
Hold Their Advantage.
The State.
Mr.. +. d. Smith, president of the South
Carolina division, Southern Cotton Assoca-
iiop, who was here at the offices OF the as
sociation yesterday. gave ouL the lolloWin
Interview last night:
"In view Of the fact that such number OF
planters and merchants throughout the
South are selling their cotton for next 1ali
delivery nj 10 cents per pound, there are GER
tain facts which deem IT the duty of my
pslf and others who are posted, to give TO The
members OF The Southern Cotton Association
and those Interested in the continued hlgh
price of cotton and the consequent prosperl-
ty OF the South.
"In 1904 we made practically 100000 bales
of cotton; In 1905 we made approximately
lO,5OO,0OO. These Two items make an average
of about l2.25GOO0 bales for the two years,
1904 and 1905. Notwithstanding this enor-
nous yield OF cotton, enormous in coD pari'
son with what We have been led ito believe
was necessary for the worlds supply, hear
what the officers of the British Cotton Grow.
ers association have TO say In reference To Tue
cotton situation published May l9th In the
official journal OF the Manchester C)ltOu
association. This journal says:
ION last Thursday what the prime minis
ter described as one Of, II not the most lnhu'
entail deputalions that has ever waited upon
the head OF the government OF THIS country
+. met together in the foreign office. London.
Accompanying Sir II. Campo Bannermau
were the Earle OF Egin, colonial secretary
Mr.. John Morley, secretary lor india; Mi'
Winston Churchill, under colonial secretary,
and Mr.. George Whitley, cuiet ministerial
whip. This deputation which represented
the British Cotton association, some oi the
principal chambers OF comin9rce or Great
Britain, the various associations OF la0Or ana
capital, some of the chief mag !stra'es OF Lap
cashire, and other towns outside or Lauca'
shire was Introduced by Lord Derby, the
lOrd-lieutenant OF Lancashire. He was !ol-
~ Dnkp nl MarlODrOUSl. VINO IN
a few pithy remarks associated himself with
the movement. Mr.. J. A. Hutton, vice
chairman Of the council OF the ASSOCIATION,
stated the case Tor the deputaiOn. He stated
that the annual value OF the production OF
the cotton trade amounted to over lOO,OOO,OOO
pounds sterling $500 OOOOOO) and that me cap.
ital directly engaged represented over
100000, ,OOO pounds sterling, or S2,OOO,OOO,OOO.
There wes no need, he said, TO labor the point
that a trade OF such Importance Vitally al
fected the welfare of the country, ana that
any disaster to IL might be said 70 be d.
saster TO the whole country. The cotton
trade, he went on TO say, was In very dan
gerous position. The daggers were tWo-fold.
In the first place, they got IS per cent. OF
that they were consequently atAhe mercy OF
the weather In one part OF the world. IL was
therefore quite evident that they ought to
aim at broadening the base OF supply, and II
possible 10 DO 80 within the British Empire.
The second danger to which he called atten-
ton was that consumption was more or less
OVertaK1nR DrOQuCtlOu. IL WIS ChCuldltu
that conss mption In the British Empire was
increasing at the rate OF 600 bales per an
mum, and Lancashire alone had IN The last
year or SO added something like 6OOOV0
spindles TO her spinning capacity when
represented an increase IN consumption III
Lancashire alone OF halt a million bales; that
The United States had increased Their con-
g sumption from 800. 900 bales III years ago 10
100000 bales at the present. IL was there
fore clear that IN q comparatively short Time
The United States would require the greater
part of their own production. Whether they
would get 1t was of course another thing.
For the cotton would 60 10 those who paid
the best price for II; that q scramble was ex
pected, nobody would deny. The present
position gave great anxiety 10 those who
, were deepIy interested in the cotton trade.
"'In 1901 and 1902 good many mills had TO
run short time; In 1903 The bulk OF them had
to run short ume<ior Iour months. The
climax was reached in 1904 when the greater
number OF mills ran short time eight months.
He did not think 1t was realized outside OF
Lancashire how much suffering this en-
tailed. Perhaps he could not indicate 1t
better than by say ing that In many cases two
families had 10 be crowded into one house.
so long as they had fluctuations of that sort,
SO long must they remain in the unhappy
position tney were now In. What was the
crop going 10 be2 If 1t was anything less
than 10 900 900 bales. they would have specu-
latiop again and short time, The conse-
quep ce of short time were very serious. Ac-
cording to Mr.. NIAGARA, who was generally
recognized, he said, ss the greatest authority
on cotton statistics, three.quarter time III cant
q total loss 10 capital and labor OF $50 0O0
pounds a week (s75O,000) to Lancashire a:one,
and so, 1000 a week 10 the whole country
"'The association had made inquiries all
over the world In their search for new
conclusion that they must have country
capable OF producing millions OF bales TO
take the place OF or supple lement the Amer
can supplies. And that North Nigeria alone
Oh Ivy hln COLI for hn not
ton trade. But here they were brought up
against the fact that North Nigeria was for
all practical purposes inaccessible.
"'Sir Alfred Jones urged the English gov.
ernment 10 take hand In helping the
British Cotton Growers association. Sir
Alfred Jones is president of the British Cot
E. ton Growers association. Sir w. H. oiand,
president ofthe Associated Chambers OF Com.
merce, said at their last meeting they bad
passed strong resolutions 10 the same effect.
2 He said that any one who paid visit 10 the
cotton man ufacturing district OF Lancashire
and saw the large number of new mills
which were springlpe up in every direction
almost like mushrooms, would be convinced
that the question Of new sources OF supplies
of raw cotton was more acute today than
ever before. The prime ministers reply was,
~ doubt II ever deputation came 10 govern
ment so important. SO almost pretentious,
and SO impressive as this, and then went on
10 review the situation In full.
The south's Chance.
Now in view Of these facts, does it not seem
the height of folly that the South, ming a
monopoly OF the worlds supply OF raw cot
ton. and having the possibilities Of an un-
limited Increase In cotton production, should
be so Indifferent 10 this, her grand oppor-
tunity for fixing and maintaining price
comm ensurate with the worlds demand for
raw cotton! II is a very painful contrast be-
tween the attitude OF the English govern
ment to the English cotton trade and our
government to the American cotton trade.
EN- nh IA hall in1EbiE1 10 her COTTON
industry for her financial welfare as America
v Is, to say nothing OF the South. II is mark
ofthe grossest ignorance not to say stupidity
on the part OF the Southern business men not
to take the proper view OF their relation 10
the cotton industry in fixing and maintain
ing remunerative price. TC sell our cotton
forestall the work OF The southern Cotton
association and place the consumers or pur-
chasers OF our cotton In position 10 dictate
the price. .,
of the Southern Cotton association held In
Jackson, Mississippi, on May 81, the follow
ing resolution WAS passed: Resolved, That
we call upon our members and the producers
of cotton at large not 10 sell their actual cot
ton for future delivery; as we have every
reason to believe and feel confident that the
price OF cotton must advance materially be-
yond the present fall quotations
.In view of the article quoted from the
Lancashire paper, ali that we have 10 do III
order 10 fix and maintain fair price Is sim.
ply 10 refuse 10 lake less Ana luis may NOT
be done, except by and with the full coopera-
tion OF all Southern business interests
According to MIR. Hutton, the world will
need 1900 0U0 bales or more. 1t has pracli-
cally consumed l2,000,UO0 bales in each of the
years 1904 and 1905 With only partial Or
ganization we have been able to MAINTAIN q
price OF slightly over ~ ! cents average.
At least 2 1-2 cents above what we probably
would have obtained without an organizE-
ton.
Hold Cotton.