The daily telegram. [volume] (Clarksburg, W. Va.) 1901-1926, 1914-10-12

Cotton SILL. occupies 4I09 lAAce u
chief interest IN the minds of those
statesmen and fnanciers who are s
.endeavorfng to ad just American al
fairs to meet cond ttions imposedt by
the European war. On account OF
cotton. the southern states are more
affected than any other section o.
the country. and as this adverse IN
fuence is applied directly to the run
damental industry OF agriculture,
the whole fabric of southern lie e
involved.
Not only is there the great opt
standing question Of financing tae
related problem of what the Souln
viii do for 1915. The most expert
calculations indicate that the pres
ent world cotton crop will amount 20
more than fifteen million Daies,
whereas the world demand Tor THIS
year will hardly rise above ten NIL
lions. leaving q surplus OF nve NIL
lion bales which must be carried over
into next year.
Naturally, the first thought rs tnat
the south must reduce it's acreage OF
cotton. and next year plant more
cereals and raise more live stock. II
itswere not for the financial factor,
the farmers could easily solve the ag-
ricu ltural problem presented In tnls
80 j Vi K
change of produce.
The trouble is that the southern
farmer spends his cotton before ne
grows it. In the early spring ne
goes to the commission mercnant
and obtains advances on his next
cotton crop. With the money thus
obtained he buys seed and furnish
asp his tenants, If he has them, or
his Iaborers, If he hires them. The
result is that by the time the cot
ton is picked and in the gin. from
$40 to $44 has already been ad-
vanced on each bale.
If cotton prices are very low, OF.
the market does not readily ABSORB
the cotton offer, the cotton 1tseiI VIII
not pay the debt already incurred.
The farmer then has nothing 70 Ave
on during the winter and. unless ne
can get help, has no hope OF getting
money enough to put in another crop
in the spring. 1t is undoubtedly IN
fortunate that so many cotton farm
ers should be in this condN1on, put
it Is a condition that must be raced.
when the farmer goes to get MS
advance OF money, he is always met
with the question: How many acres
OF cotton will you plant! AS me
more he plants the more money ne
can get. the natural temptation IS "
result of this credit system. many
cotton farmers grow nothing what
soeyer but cotton, and have to ouy
all the corn and other cereals con-.
s1lmed by the farm animals as well
as by his own family.
Agricultural experts have been
preaching a greater diversifcatlon. q
crop for many years, and, wn1ie tnis
propaganda has been successful IN
many places, it still has not aHecIeu
the cotton belt as a whole.
The war will have more effect In
this way than half century of agi-
tation. Every cotton field in the
south sown to some one of the cere-
ais this fall means better prices Tor
cotton next year. No hananclal
scheme OF the government or tne
banks will so influence the price OF
cotton like sowing oats. wheat ana
rye.
On the other hand. complete
cessation of cotton planting, sucn as
suggested by this agricultural paper
would mean that next year cotton
would be so high that cotton textiles
would have difhculty in competing
with other textiles.
While cotton growers are demand
ing that the government hnance inc
cotton farmers by direct issue OF
currency on warehouse receipts, the
attitude of the government thus Tar
discovered indicates that reliance
will be made upon the new federal
reserve board. For this reason. the
views of a member Of the board,
w. P. G.. Harding, on the cotton sit
nation are extremely valuable IN
discussing the situation Mr.. Harding
says: 80
Cotton manufacturers must solve
the problems which have grown out
of the closing of the cotton ex-
changes OF this country, WHEREBY
they have been deprived OF stand
artiized price and OF their power 70
hedge on contracts, and must over
come the further difficulty occasion
ed by loss of confidence and curtaii-
ment of credits. of financing put
chases. Compared with the prices
that have obtained for the last three
or four seasons, present quotations
seem very low. but It Is doubtful II
large stocks of cotton could be Sc
cured at prevailing prices. as an &C
tive buying movement would uni
doubleday enhance values.
ut is argued that the southern
states have produced a cotton crop
which. added to that grown in other
countries, is under present condl-
lions about 100000 bales greater
than is required for the Worlo
needs and the fear that this Is true rue
Is causing much apprehension In the
south. There have been predictions
of general bankruptcy and ruin, ano
vet regardless of all the pesstm1stac
talk and in spite OF increasing re
caipts. the prise has advanced our.
ing the last three weeks I u to :
cents per pound.