Carolina watchman. [volume] (Salisbury, N.C.) 1871-1937, 1912-04-17
why HAS COTTON GONE UP?

WHY HAS COTTON GONE UP2
And How to Keep II up Is new the Impor'
.. tant Question.
Why has cotton gons to ten
cents3 Is it because of a normal
demand from spinners, so natural
and normal . demand that
farmers may expect ten cents it
they make another bumper crop?
Or 10 it due to such conditions ss
farmers should be warned against,
and warned promptly?
We believe the latter explana-
tion is the correct one. Let us
present one significant fact to
prove our belief. It was brought
to our attention by J. A. Brown,
of Chadbourn, N, c.. a former
executive committeeman of the
Southern Cotton Association and
now State organizer in the cotton
crop reduction movement. Mr..
Brown was in The Progressive
Farmer office . few days ago and
strongly emphasized the fact that
although cotton has gone to ten
cents now, our cotton growers
must by no means assume that
they can plant another crop and
get ten cents next fall. The
truth is, that the spinners believe
that the farmers are reducing
their acreage, and on that as
sumption they are now buying
largely beyond their present
needs, believing, as they do. that
the reduced acrerge will moan
higher prices next fall. This ex-
plains the recent advance in the
markets sll over the country.
In proof Mr.. Brown showed us
q telegram he had just received
from Secretary Hester of the
New Orleans Cotton Exchange
reporting that for the first six
months of this cotton year lit
runs from September 1st to Sep
tember 1st) the foreign spinners,
European and Canadian. had
bought s, $50, 600 bales American
cotton, while last year they only
took Z 748, 900 bales for the whole
twelve months.
= This demonstrates conclusively
that these foreign manufacturers
are buying for future needs. In
consequence, there will be q cor
responding decreased demand
from them next fall, and if q big
crop is made, prices will certainly
go away below ter ten cents. In
fact, if prices went below ten
cents last fall, when mills were
hungry and even famishing for
lint, what must our farmers ex-
pect if they make big crop this
year with mills we'll stocked with
our big 1911 orop7
In view of these facts, Mr..
Brown made the following peril
nent comment which We heartily
endorse:
''The foreign spinner has not
forgotten the experience of q few
years ago when a crop of ID, 900, j.!
OC0 bales caused a slump in
prices from about sixteen cents
(during the Sully oampaign) to
about six and one-half cents,
followed the next year by a tre-
mendous reduction in acreage
and a series Of four years of
twelve to fourteen-cent cotton.
The foreign buyer il evidently
repetition of this
action on the part of the South
ern cotton growers, and it would
he suicidal on our part to disap-
point them.
Reduction and diversifcation
are the only salvation of the
South in this crisis. and I sincere.
ly hope that the recent small ad-
vance in prices will not fool the
Southern people. Unless there
is a reduction in acreage and
practical diversificatlon, then
stagnation in all lines of business
ls sure to follow"
Ten-cent prices now ara Ger.
talnly no guarantee of these
figures at selling time next fall.
Keep your cotton acreage down to
the point you have had in mind
before prices advanced.-The
Progressive Farmer.
1t Looks Like A Crime