Atlanta semi-weekly journal. (Atlanta, Ga.) 1898-1920, 1917-12-14
Regulation Of Cotton
Prices by Government
Believed Very Remote

NEW YORK, Dec. 13.--Mr. Hugh +. Neil
roy head of the cotton department of N. l..
Carpenter & Co., issues the following state
nent:
The annual cotton crop estimate of the agr-
cultural bureau is in institution which is awaited
aINiOusly by everybody interested in cotton,
and that means the whole wide world. When
the figure was published-1O, 949, 0O0 bales
that was not surprise TO the average cotton
merchant. But it became evident after.
wards that a great many people expected a
much larger estimate, and among these were
owners of mills who have sold their product
far ahead and have been holding off from buy
ing the raw material, in the expectation or
hope that the government estimate might be
much larger that the European war news
might cause a decline. When both these hopes
failed, they jumped in to buy and carried prices
practically cent a pound above the early
morning level.
Such fluctuations are only one-day sensa-
ton. The big problem ahead is what next
years supply may be, and in this connection
the question of price fixing comes forward
prominently. VIII the government fix a maxi
mum price on cotton? After mature dellbera-
tion, we believe ii will not, and here are the
reasons: Ever since the supply of foreign pot
ash was cut off, crops have been shorter and
there is no probability of an increased pro
ductiOn per acre. La5or mas left the fields,
attracted first by the higher wages paid by
industrial establishments, especially munitions
factories, but that was voluntary. Since the
last crop was planted the first draft Of nearly
100, 900 men has beel called, and the most
efficient labor, men between twenty-one ana
thirty-one years of age, have gone away. And
remember that those who went into the army
were the most fit, while the unfit were left
behind. 1t is not necessary to lay stress on
the difference in the quality of labor now
available. Another crop must be raised next
wear A new draft has already been projected,
which will take place before planting time,
ana another draft will be called before picking
time. To pick a crop requires more labor than
r. nlant and cultivate il. These are of
the physical difficulties which the cotton trade
must face -
But there are others. The farmer in the
Carolinas who has made more money in tobacco
on a three months crop than he could possibly
make on cotton in ten months, Is not likely
to plant cotton and his neighbor, too, will di-
vert some Of their acreage to tobacco. Peanuts
have been high and very profitable, so there is
another outlet ther, if tn goyrnmnt should put
an upset price cotton. Price fixing would
seem to fall flat when such competition exists
at a time when the necessity is most apparent
to encourage an increase in cotton production,
instead of discouraging it by any regulations
There may be some question about immediate
scarcity Of labor owing to the .'alays in get
ting up the first draft, but II must be remem-
bered that the great concentration camps all
over this ntry-cantonments-the cOnstruc-
ton of which delayed the first assembly, have
all been completed and have been in constant
use for months, that accommOda tiOns for
the next call are provided in advance, and
there will be no delay in the call.
When producers taken from the field
their subsistence must he proved. Food crops
mEst be the first consideration. Not much
De'ause tue armies require II as because the
drain on the country at large for food necessa-
rily forces the farmer TO provide for his own
family first.
Possibly what the president meant in suggest
ing price fiXing-if it applied to the cotton
trade at all--wOuld be that the mills, which
are furnishing the government with heavy goods
every of every kind and demanding all sorts
of prices, might be restrained.
They do net produce anything from the soil.
and matter how fOrceful and helpful they
are in the war, they cannot add an ounce 10
the supply.
The only deduction conclusion is that the
sources Of supply-frOm mines, forests and the
soil-must be encouraged instead of hampered
hence our belief that regulation Of cotton prices
is vry remote, thogh limits may he set
on manufactured gcOds.-N. l.. Carpenter & Co.,
per Hugh +. McElroy.