The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1911-10-21
Why Hold Cotton?


entitled not only to the cost Of pro-
duction, but a reasonable profit on
his labor and investment. l feel full
ly justified in advising and urging
the producers. wherever possible, to
hold their cotton.
First, because the present prices
are below the cost Of production. 1t
may be true that where larger yields
of bale and more per acre are
made it is possible to raise cotton at
to 9 cents a pound; but the ave-
rage production per acre is less than
two-fifths Of a bale, and it is not pos
sible to make cotton with an average
Of 2-5 of a bale per acre at
less than 10 TO IL cents pound ac
tual cost. The producer should GER
tainly be entitled to a sufficient pro-
fit from his crop 10 support himself
and family. 20 per cent profit
cannot be considered excessive. This
would make a fair price II to Il
cents per pound.
Second, because the trade expects
to pay the producer a profit. And
will do so IL we do not glut the mar
lIet by selling too fast. A glance at
statistics will show that at some time
during every year for the past nine
years. cotton has sold at above IL
cic
crops during the period were prac-
tically as large as the present crop
bids fair to be, and consumption
capacity considered were relatively
larger.
Third, because the world needs
and can use at profitable prices to
.he raisers a 100000 bale crop
this year. For the past FIVE years
the average consumption Of Ameri-
can cotton has been in round figures
100000. The 1909 crop fell short
Of the demand over 100000 and
the 1910 crop over 100000. so that
100000 crop is needed to make
up the shortage. That the shortage
actually exists is amply proven by
the fact that the mills depended on
American cotton have been running
on short time the past two years. /
am reliably informed that this cur
tailment has amounted to more than
1-6 Of the total running time. If
running 5-6 Of the time the mills use
100000 bales. it will readily be
seen that for them to run full time
more than 100000 bales are need
ed.
Fourth. because to sell at present
prices means a loss to the State Of
South Carolina of more than $780,
100000, and to the South Of more
than 100000, ,000-the difference
between what We are receiving, and
what We should receive for the crop
judiciously marketed.
Fifth. because the crop Of India
and the East Indies is reported short,
and this means a greater demand
for American cotton.
Sixth. because to hold off the mar
ket every bale possible Is the only
way to check the present decline.
The banks throughout the State rea-
lie the benefits to them in saving to
their depositors as much Of the
possible s20.0OO.OO0 as practicable,
and are ready to lend on cotton
wherever properly stored and in
sured. The present low price is
largely the result of Cutting the
market by selling too fast.
Seventh, because a movement will
'e begun in the immediate future to
reduce the cotton acreage for 1912
one-ffth. and to secure definite
pledges to that effect from all plan&
trs throughout the cotton belt. Since
1t seems that We are to get more
money for a 100000 bale than for
100000 bale crop as the trade
overlooking the drought produced
premature opening. says we are
making. is it not good business to
cut on the one-flfth Of the acreage
that produced the 5000. 900 bales and
put II into corn. oats, hay and other
forage producing crops? There was
never time when the latter crops
were bringing better prices, and the
movement to get one-fifth Of the 1911
cotton acreage in such crops for
1912 should be successful.
Eighth because on the welfare
and prosperity of the cotton pro-
ducers depends the prosperity OF the
South. Every interest in the South
iD