The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1907-10-16

mers. They discount the notes which
others Of our farmers make to the
merchants. When a farmer gives his
note for fertilizers that note before
very long finds its way to the bank,
and the same is true often with the
mules and implements which he
buys. When the crop is ready to be
harvested the banks have to supply
the money with which to owe it,
and until that time, everything has
been going out and nothing coming
in. When the Southern banks, there
fore, are called upon to furnish mon
ey with which to hold the crop unless
a large amount of the money wanted
goes to pay the notes made to the
merchant and to the fertilizer man
they are in times such as this, when
money Is as tight as 1t Is now, and
thew. can not obtain funds from re-
served centers-because the same
conditions prevail there-often I'M
able to meet the demands which are
made upon them. There is every rea-
son to believe that in a very short
time the money market will become
easier and the banks throughout the
tSouth will be in a much better posi-
ton than they are today to assist the
| farmers in holding their crops and
| also to lend money to buyers ana
mills.
81 have recently made every ef-
fort that I possibly could to place the
customers of. my warehouses IN COM
munication with those who were In a
position to lend them money, but
unfortunately, for the conditions
above stated, I have not been able to
make much Roadway
1.-THE cotton garner today 1nds
himself in. this position: The condi-
tions are such with his crop and with
its probable consumption, that 1t is
very material to his advantage to
hold his cotton, but on the other
hand he is embarrassed with the
fact that in so holding 1t is necessary
| for him to borrow a certain amount
of money, which it is most difficult
for him to obtain. Under these cir
cumstances what is he to do? Why,
the best he car. do. Those who can
Warehouse cotton should do so; those
Ewho are compelled to borrow money
lon it should do so; those who have to
borrow should borrow as little as they
| possibly can; those who have to sell
and can not borrow should sell as
gradually as is possible. 1t is only
by adopting this course that the pre-
sent downward tendency of the mar
ket can be checked and spectators
made to realize that the Southern
farmer is now inathe saddle, and he
intends no longer to be dictated to as
to what prices he should receive for
his cotton.
Borrowing Money on Cotton.
'The great mistake which farmers
make when they wish to affect a
loan secured by cotton is that they
lay as great stress on the margin
which the, bank is able to allow as
the interest which the bank charges.
The question for the farmer to al
ways ask himself is this: How great
a margin, and not how small q mar
gin, can he get on with? 1t Is bad
business for him to borrow on the
cotton more money than he actually
needs. He simply has the interest to
pay. And then, in addition, when he
borrows more on the cotton than the
cotton costs and stores the cotton,
hoping for a further advance in price,
he Immediately becomes a Spectator
to a greater extent than it Is prudent
for him to be. If he is going to
speculate with his cotton the safe
rule with him to follow Is to specu-
late only with the profit which may
he made in the cotton and not with
| the cost of the crop. !
although cotton still reigns as
king there is a crisis today in the af-
falrs,o his kingdom. Much will de-
pend upon the outcome. for the issue
is whether his reign shall be helpful
or hurtful to those who are his most
loyal supporters. The fight is being
waged f1ercely on both sides.
"Tt is told that once in the midst of
a battle the color bearer carried for
ward the colors and planted them In
advance of the wavering battle line.
The soldiers called to. him to bring
the colors back to the line. His reply
was. Bring the line up to the colors.,
So TODAY. from those who have at
heart the best interests Of the cot
ton farmer, comes the cry, not only
to stand firm but to advance to the
standard and carry the fight into the
enemy's country. The road to VIC
tory is nointed out: to a victory
which will be as beneficient as 1t will
he lasting. And 1t only remains to
he seen whether the farmer will take
| that road or not.