The Birmingham age-herald., 1907-04-24


 lures; provided for uniform grading and weighing of cotton; would settle the grevious question of shipments to foreign ports where cotton Is reweighed and re- classed, and often reclamation sent to the American shipper; that the ware house where the cotton was stored would be held responsible for the grade and weight of the cotton listed and sold-in' brief that the exchange would be merely a clearing house where the buyer and seller could meet and trade conveniently.
 Capitalization Is Necessary.
 Mir Nesbltt explained In detail that a standardization of the buying and selling of cotton was necessary, as 1t would save an immense amount in fixed charges to the farmer, would provide a place where he could find a ready sale with plenty of competition for his cotton, and where the mill man or buyer could buy exactly what cotton he wanted and feel assured that he would get what he bought this would be guaranteed by the ware house. He also said that it would pro- vide a place where the mill man could cover" without having to guess on what the market would be, and would tend to remove the risks of the mill man in guessing on the market and making success by his ability to guess instead of his ability to operate a mill.
 Jordan Speaks for Exchange.
 President Harvie Jordan spoke in favor of the exchange. He said Birmingham was by far the best southern city for such an exchange, and that this would make Birmingham the cotton center as well as the iron and coal center of the south. He favored the plan because 1t would settle the differences arising from a lack of uniform classification, and would bring about this classification. stat ing that the European mill men were anxious for some arrangement which would assure uniform classification. It would simplify the handling of cotton, he said decrease the immense fixed charge caused by the employment of an army of buyers which had to be main taned in every small town, and added that this would lead to other reforms which would reduce the fixed charges, which naturally fell on the shoulders of the producer
 Farmers Union Not Ready.
 The representatives of the Farmers union were the only people present who were not ready to go into the matter at once, and they asked for a postpone ment until they could study the question more closely and see what relation it bore to the plans being worked out by the union for the warehouslng and sell ing of the cotton crop. P. r. Parker, state business agent of the union, spoke for sometime on the question, outlining the benefits that all classes were ex- pected to derive from this exchange, and concluding his talk by q plea for post ponement. All of the officers and dele gates from the Farmers union had with drawn from the meeting to catch their train before the vote was taken. and so they did not vote on the establishment of the exchange.
 MT. Mccall favored the exchange from the cotton mill mems point of view say ing the "sooher the better" and stating that the mill men wanted some place where they gould buy and be sure that they would have delivered to them the staple that they bought and not an in- ferior grade, which entails delays and into the exchange If they could secure the cotton by thls means.
 Birmingham Is Logical Center.
 MT. Harding spoke on the idea that Birmingham was the logical center for cotton handling. and that the matter of an exchange was of interest to all classes. the farmer, banker, spinner, merchant, buyer and seller. He explained the sys- tenn by saying 1t was similar to the plan the government pursues In issuing a cer- tihcate which represents a certain amount of money deposited in the government vaults, this certificate being accepted as money everywhere. He said the exchange would accept warehouse certificates as representing so many bales of cotton of a specified weight and grade, and that the cotton could be bought and sold on these certificates.
 MT Harding spoke of this plan as one by which the movement of cotton could be spread over the entire year and not have to be done in a few weeks or months paralyzing the money market. the railroads and other business enter prises in handling the souths immense crop. He said the ideal plan for the railroads, banking interests, farmers, mill men and in fact, every interest repre- scented would be to spread the cotton season over twelve months, instead of three months-in other words, encourage a gradual turning loose of the cotton.
 Smith Favors Birmingham.
 E. D. Smith of Columbia, financial agent of the Cotton association, urged the exchange by all means and begged that he might go back to the people of the south and tell them that Birmingham had arranged for a place where cotton could be bought and sold, and also had arranged for an immense warehousing system to care for the south's crop He told of raising ssOooOo in eight counties in North Carolina for the erection of eight warehouses costing si0O,0Oo for the storage of cotton and said that some central trading point was necessary to complete the crop in the hands of the south, in- stead of outsiders.
 He emphasized the concentration plan and said Birmingham was the logical great movement. Mir. Smith told of some