Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1915-05-07
FRIDAY, MAY 7, 1915!
DEFECTIVE WAREHoUsINe
Department of Agriculture Points Out
Mad of ADEQUATE System.

The cotton warehouses already IN
,,;stance are ample in aggregate stor-
age capacity, according 10 recen.
S1ryev made by the U. s. department
Of agriculture, to store as much OF tne
crop as there is any need for, put they
are poorly distributed. The pest are
NOT available to the farmer ana the
charges OF the others are higher enan
he Is disposed to pay. Inese 1acts
complicate the financing OF Inc crop,
and are largely responsible tor Keepnns
so many cotton farmers unaer tne
blight of the credit system. A petteT
system Of warehouses Wouiu uo Hiu@'
to help the situation.
Cotton, according to the goVernWen.
specialists, is considered the very oese
collateral. and bankers and business
men in general are willing TO lenu
money on it at lower interest tnan Oh
real estate. An essential conultion 10,
however. that the cotton be properly
stored and insured. At the present
however. this is very rarely done Inc
farmers are accustomed to dispose OF
their crop at the earliest possible mo-
ment and in the nearest toWn. Muoi
of the crop, If not all OF II, Is -
ouently pledged in advance, lh o,uel
to obtain supplies for the FARMER. Eye .,s
when the price drops as low as II ,u u,u
IN the fall of 1914, the need 1or III,
od;ata ~ cash induces the farmer 10
danress the market still furtner py
throwing all of his cotton upon II. - -
this is not done much Of the crop Is
left insufficiently protected ana SUI,
fers what is known to the traue ''
country damage. ;,.ad ont
On the other hand, 1t Is po1neeu AZ AZ
:, q now duplication of the U. ,. ae-
nartment Of agriculture, puiieuh 5o
aaSotton Warehouses" that an au1
,,,ote warehouse system would ehapit
~ formers to store their COTTON a.
nrices lower than those chareIu ~.
the same service now, because =,
smrance rates on cotton StoIeu IL
standard warehouse woulu pe Sue
lower than at the present tihle. nj
cotton is regarded as such d SCI viii
lateral the merchant would pe WIN
ia 20 extend time to the farmer II
t,,erehouse receipts were deposl.e,u
,',;th Rim as collateral. The Local pank
,',orld take these receipts from the
r,erchant as further accommooaliuh'
md the larger bank, from whicn lae
Snna, hank has in all probability on,
toinad the loan, would also eXteno
tine In this way the crop couio De
marketed gradually and prices staoH
lied in consequence. +and
Moreover, such system Wouiu eenS
to free the farmers, especlaIly 'nosH o
the tenant class, from the ao',rSe
ohein of debt. 1t would not, OF course
end at once or completely the creol.
system by which the supply merchah. az
Sometimes obtains interest OF from 20
70 az cents on a dollars worth OF sup
niles. If, however, such cotton as was
not absolutely necessary TO settie a.
nonnts was stored and economy In
living practiced, many Of the more de-
rarm;ned growers should In the course
NJ two or three years be able TO place
themselves on cash OASIS
At the present time the best ware
houses have been put up py 1actolies
and mills for their own uses, anu are
of no service to the farmer. Inc OWL
ers of small warehouses in which the
farmer can store his cotton are usual
iv losing money on the investment
largely because of poor construction
and correspondingly high rates 0! IN
surance. The government investigat-
ors present a number Of interesting
statistics to show that in many cases
II is actually more expensive TO put up
and operate an inferior warehouse
than one of standard design. For ex-
ampIe. in Georgia and North Carolina
the insurance rate is reduced apout eo
per cent by the use of sprinklers. Un.
ouestionably, says the report, great
saving could be affected by the erec-
tion and proper equipment Of modern
warehouses. Assuming the annual
crop to be 100000 bales, sufficient
number of such warehouses could De
constructed and equipped with auto
matte sprinklers for 64,00O,OOO or
less. If all Of this crop were to be
stored for six months the saving In
Insurance alone would be approx.
mately s7,OOO,O00. AS matter OF
fact many of the existing warehouses
could be remodeled satisfactorily.
The bulletin does not attempt to
give any details Of an ideal warehouse
system, and there are many dificulties
in the way Of establishment OF such.
It does, however, assert that improve
ment in this respect will do much 10
make cotton growing more stable in
1nStrv