The Manning times. [volume] (Manning, Clarendon County, S.C.) 1884-current, 1914-06-10
HELP TO FARMERS
HOUSE COMMITTEE FAV0RABLY
REPORTS LEVER BILL
Fixes COTTON sTATDARD
Lever Measure is Adopted as Substi-
tute for the Act of the Senate, and
Compels the Adoption Of Govern
ment Standards by ALI Cotton Cen.
ters in the Futures Market.

The Lever cotton futures bill was
favorably reported to the House
Thursday as substitute for the bill
already passed by the Senate. Rep
resentative Lever of South Carolina,
author of the bill and chairman OF
the agricultural committee, included
| in his favorable report complete
analysis of exchange transactions.
The bill, says the report, "recog-
nizes the economic value of those cot
ton exchanges that use a contract
representative of the true value OF
spinnable cotton and levels its pro-
hibition against those exchanges only
the value of whose contracts is sus-
ceptible to violent fluctuations and
manipulation.
upon such contracts the value Of
which, under the rules of the ex-
changes, does not reflect truly the
value of spot cotton as it exists from
day to day in the hands OF the farm
ers upon local markets" adds the re-
port, "a tax of IS bale is levied.
Such tax, in the judgment Of the
trade, is absolutely prohibitive. Upon
such contracts as do represent the
value of spot cotton, no tax whatever
is laid, and this is true likewise of all
spot cotton transactions including the
#. o. b. cotton, cotton to arrive and
for prompt delivery
1.-The whole purpose Of the bill is
to compel by law the use Of such a
contract by the future markets, the
quotations of the value of which will
reflect accurately and truly the value
of spot cotton of spinnable and valu-
able quality. In the light Of the best
information available, the ultimate
effect of providing a contract of the
character described in the bill will
enhance the opinion of experts, the
cotton crop in the hands Of the farm
ers of the South not less than $780,
100000 annually
Mr.. Lever said he hoped for pas
sage of the bill by the House at this
session. The Senate measure, which
was introduced by Senator Smith CT
South Carolina differs from the Lever
bill only in minor details. Summar-
izing at length the provisions and
effect Of the House bill, Chairman
Levers report says:
'The bill compels the adoption of
the government official standards by
all future markets. It establishes a
uniform standard Of grades, through
out the country and relieves the trade
Of the confusion and abuses growing
out of the present multiplicity Of
standards in different markets. It
prohibits the use, in the settlement
of contracts, of the illogical and un-
sound fixed difference system and
substitutes therefor the system Of
commercial differences in determin-
ing the relative value Of grades de-
livered upon contracts.
"It denies to any cotton exchange
the use Of any contract for the future
delivery Of cotton, under the terms of
which the very low grades of cotton,
reflections 'lcft-overs,' 'misfts,' and
dog tails'-qualities Of cotton en-
tirely unsuited for spinning purposes
are deliverable upon it. It pro-
vides that cotton of a staple less than
seven-eighths of an inch in length
shall not be delivered in the settle
ment of such contract.
each bale of cotton to be deliver
ed upon a contract shall be identified
by grade with the date when the cot
ton is to be delivered to the pur-
chaser, thus abolishing the practice
of long delays and pro forma deliV-
cries.
cit provides that the secretary Of
agriculture shall determine in cases
of disputes arising between the per-
son making the tender and the per-
son receiving the same, the quality,
orf the grade, or the length of staple
in dispute, furnishing as it were an
unbiased tribunal to which may be
referred disputes which involve the
quality or the grade or the length of
staple of any cotton rendered under
tire contract.
Provision is made for the method
of determining the relative CONNER
cial value of the different grades of
cotton which may be delivered upon
contract, and the secretary Of agri-
culture is given such plenary power
as will make it impossible to manipu-
late the machinery by which these
differences are determined.
Power is given the secretary to
establish standards of cotton by
which its quality may be determined.