Bryan daily eagle and pilot. [volume] (Bryan, Tex.) 1909-1918, 1915-08-06
the COTTON SITUATION.

Conditions relative to the present
cotton crop are not entirely hopeless.
in fact. they are much better than
generally believed. according to w
p. q. Harding. chairman Of the Fed
eral Reserve Board. In an article In
the Reserve Bulletin. Mr.. Harding
analyses the present situation in com.
parison With conditions that prevail.
= ed q year ago;
The position Of cotton today Is
much stronger. financial and other
conditions are much better than a
year ago In Mr.. Harding's opinion.
and II the people OF the South will
not weaken their position by unwise
action" they have little TO fear THE
cotton tragedy OF 1914" says Mr..
Harding. will be succeeded in 1915
by nothing more serious than a
drama"
Mr.. Harding warns the South In It's
desire 10 see broad market 'estab-
lished for cotton TO do nothing to
.embarrass President Wilson in his
conduct of International affairs. 1T
should be remembered" said Mr..
Harding. that the President owes a
higher duty to the South. to the whole
country and TO mankind. at this juno
ture. than the establishment OF cotton
values. Serious complications be-
tween this country and any great for
eign power certainly would not en-.
nance cotton values"
After comparing conditions affect
ing the market this year and last
Mr.. Harding says:
under the most adverse conditions
conceivable. with decentralization in
every money market. with high inter
est rates. with emergency currency
being issued daily in large volume
with enormous gold shipments abroad
with crippled shipping facilities. with
out adequate insurance protection
and with American freight rates thre'
20 FIVE times the normal. we began II
August. 1914. to market crop O
nearly 100000 bales OF cotton
Financial Institutions already hare
pressed and fearing all manner OF un
foreseen contingencies were unable
and unwilling to make advances OF
cotton. In addition to this the South
ern farmers. who have this yea
planted ecord.breaking food crops
were faced with a deficiency In home
raised foodstuffs and were In man
cases forced to sell cotton TO pay OF
pressing Indebtedness and to secur
adequate food supplies.
Attention Is called to the fact tina
the high prices for cotton now PR
vailing In Germany and Russia. abou
soc a pound. will attract cotton
those countries in spite Of apparen
ly inshrmountable obstacles. Just a
high prices paid for cotton abroa
during the Civil War made blockad
running a steady business.
There seems to be no question this
ample funds can be obtained
finance in a normal way muc
larger volume OF cotton than wa
taken care OF last year and that eve
n Germany and Austria.Hungary hay
been forced to suspend cotton man
featuring entirely. statistics sho
that the mills OF the United State
Great Britain. Spain. Russia. ital
Japan and India have spindles suf
cient to absorb every bale Of cote
that Is likely to be cultivated.
at should be noted that the redu
ton In American cotton acreage IN
year amounts 10 more than 10000
acres and that Egypt and India ha'
also made radical reductions In cott'
acreage. II Is probable that q
worlds cotton crop. based on an
erage yield an acre. will be about
100000 bales less than last year.
Even in the face OF all the adver
conditions during the last twel
months the average price OF colt
has been about what might have be
expected for a 17.ooo.ooo-bale CT
had there been no war.
The real question Is: VIII Sou
ern merchants and Southern banke
and all others interested in southe
trade. cooperate in securing for I
cotton producers the benefit Of Il
average price and will the cotton pl
ducers themselves do their part!