The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1914-09-16

~3SOANS 0Cx Cm DIN 10,
Third: You will observe that the
pan OF The treasury department to
hclp in this situation is Drcdicatcd uD-
on Warehouse receipt of unquestiun-
ed integrity. No bank is going to loan
money upon cotton not fully insured
and protected from deterioration. The
ke! stone, therefore, Of the plan of
financing and holding cotton is to be
round in system of efficient ware
houses, whose receipts are of such
strength at all times as to command
the confidence of the banking and in
Vesting world. The integrity of q
warehouse receipt and hence it's value
as collateral. will depend upon the
character Of the warehouse issuing it.
1T is certain that receipt issuing
from warehouse governmentally IL
censed, inspected and bonded will
meet the requirements of the secretary
of the treasury, both in the issuance of
additional currency under the Vrec-
land-Aldrich act and for rediscount
under the federal reserve act. To the
end that such a system Of adequately
protected warehouses might be built
up, my committee last Friday author
ized ne to report favorably to the
house the substance of bill which I
had before introduced on the subject.
The bill is pcrmissive in it's terms, that
is to say, the provisions Of the bill
to be made effective must be volun-
the country. 1t is my belief, however,
that the advantages to be derived from
a governmentally supervised ware
house are so great as to induce prac-
tically all Of the warehouses Of the
South to come into the system. |
have made the definition Of n ware
house so broad as to include a pro
tccted inclosurc." This was necessary
to meet the lack of sufficient ware
house facilities in the South. ex-
pect to be able to pass this bill in
the next week or ten days.
Fourth: 1t will be seen, therefore,
that we have worked out practically
the problem of transportation, hnan-
cial aid and storage facilities. The
remaining factor in the problem can
-
himself. or course l am now refer
ring to the vitality important matter
OF evolving some plan by which the
surplus of this crop may be gradually
eliminated. 1t is ncedless~tO argue
that 100000 bales Of cotton carried
over into the next crop, if it should
hc normal one, will constitute as
heavy load upon that crop as this
present crop. The idea Of laying a
prohihitivc tax upon the planting of
cotton does not appeal strongly to
me. l do not believe it to be neces-
sary to force open the eyes Of the
farmer by Legislative enactment. My
confidence in his good sense, his bust
ness ability, and his unsclGshncss, war
rants the belief that upon his own ini-
tiative the necessary reduction in the
acreage of cotton will come. do
believe, however, that every agency
of the government. including the vast
machinery of the department Of agr-
culture, should be set in motion at
the earliest possible moment with a
view of impressing upon the farmer
the necessity of voluntary and cooper
ative action upon his part in this crisis
which is before him. To plant next
season more than so per cent of the
present acreage In cotton would be a
calamity to the South. The farmer
must be induced to plant oats, wheat,
corn and leguminous crops He must
look in the direction Of live stock and
poultry. He must get as far away
from cotton during the next few years
as is possible to do, and he alone can
do this.
"Whilc | know that a certain por-
greatly reduced prices, yet l can see
no reason for complete sacrifice of
our crop, if all agenies. federal, State,
AMI local. banks. manufacturers and
frmcrs shall cooperate unsclfishly."
LUMBER MEN ENTER PROTEST.