The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1907-01-30
new WAY TO SELL COTTON.
MR. ED.S1IITH TELLS OF WORK
DONE AT BIRMINGHAM.

Southern Cotton Association Proposes
to Secure Charter and to Institute
Warehouse Scheme Which TTiii
Enable Every Man to Hold His
Cotton and Which Will Insure to
Every Producer the Worth Of His
Crop.
Columbia, S. c., Jan. 29.-Mr. e. D.
Smith, president of the South caro-
lima Cotton Growers Association,
thinks the recent Birmingham Con-
-vention was the best yet held by the
Southern Cotton Association. Indeed,
he is enthusiasts over the work ac-
comp.ished and the plans outlined
there, which he regards as Of the
greatest Importance.
zone os the great drawbacks under
which the organization has been
working" he says, twas that under
our present plan the man outside Of
the organization really got more ben
eft from the efforts, and sacrifice OF the
men inside than the men inside got
them selves. We also recognize that
the cotton that hurt the market was
the cotton encumbered with debt
which had to be sold regardless OF
what the price was, to meet
the debt that was upon it.
Now the question was how
could we devise a plan by which
the owners and growers of cotton to
join the organization, and to show
how it would be Of personal benefit
to him rather than the outside. Next,
how to formulate a practical business
plan by which the poor fellow who
owed money against his cotton, and
was forced to realize on it, to meet his
obligation, could be helped by our
organization to hold without damage
to himself, and receive the benefits of
| the organization.
Association to Secure Charter.
"Both of these matters were given
the most earnest attention, and we
believe that we have found the solu-
ton of each. In the first place, we
have ordered a properly constituted
committee to secure at once our char
ter, making us legal organization;
and under this charter, we want every
county in the cotton growing States to
meet and organize their holding COM
panies; open books of subscription
for the purpose of raising, if possible,
at least SIS per bale on all cotton
growna in that country; to elect a
board Of directors and president, who
shall select some man, either from
among their number or otherwise,
who shall become. the buying and SELL,
ing agent for that organization, who
shall have supervision Of all ware
housing, and to whom can be given
the power Of attorney to dispose Of
the cotton placed under his supe1-
vision. In other words, he is to become
the agent Of that division to receive
cotton, to supervise the buying Of what
cotton the organization buys, to pro-
cure adequate warehouse room and,
with the national officers and local
officers of similar county divisions
throughout the south to negotiate
loans on whatever cotton is held by
him upon which loans are requested.
Under this plan a member of the
his cotton to his local company, turn
it over into their hands, receive a GER
tifcate of ownership, and give to this
company the power to sell that cot
ton. provided it is not sold below a
price agreed upon by the national or
ganization. 7'-:> ~-'2e, if enough
counties in TIC 10y, enter into it,
Shall be m.de rtt - the grower. If,
for instar.c". 80 price agreed
upon is 10 cents pound,
middling, and carry my
cotton to my local organization and
they warehouse it, insure it, and store
it, price will be fixed upon that cot,
ton sufficiently above the 10 cents to
pay for the insurance and storage and
the expenses atttached-such as sal
aries of officers, interest on money,
etc-and the buyer pays this.
There was an enthusiastic adoption
of this plan, and a careful study of it
will reveal the force Of it. We were
assured that there was sufficient cap
ital, both at home and elsewhere, to
finance al, the cotton that needed
financing, provided we concentrate it
it available for financing.
Again, these local companies
will report daily or weekly to
the State Office how many bales, the
grades, and whatever information is
necessary, and the mills and the buy
ers, when they desire cotton, and
come to our State officials. place
their order for the number Of bales
and grades that they want, and these
orders will be placed with our local
warehouse. and the cotton will be de-
livered to the purchaser direct by US.
This will eliminate the present
great army of local buyers, brokers
and mill men and put us in a position
to fix and maintain a stable price.
and enable the mills to place orders
with those who have the actual stuff,
and have it in such shape and in such
legal status that they can place their
or5ore for tyya11-a months ahead for