The herald and news. [volume] (Newberry S.C.) 1903-1937, 1919-06-17


portion. of it-within a short space
of time following harvest.
That has been largely compulsory
by reason of the fact that most of
the cotton was grown on short-time
credit, and tn efarmer in most in-
stances was obliged to immediately
convert his crop into money in order
to be able to meet his obligations.
The result has been, year after
year, glutted markets and conse-
quent low prices during the few
months Of the heavy flow, followed
by bare market, an eager demand
and high prices during the remainder
of the year, when the farmers had
little or no cotton to sell.
ss The purpose Of this new corpora
tion is to supply the farmer long
time credit on his crop and at the
same time to supply the buyers and
spinners of Europe longtime credits
on their orders, which would relieve
the farmer from the necessity OF
having to immediately sell his cotton
regardless of the state of the mar
ket and enable him to hold it so long
as desirable, feeding it into the mar
ket gradually the year round as the
demand calls for it.
Ii that way this great marketing
medium, the stock in which is to be
held largely by the farmers and cot
Ton dealers themselves, would serve
all conr cted with and dependent up
on The ston industry precisely as
an impodnding reservoir serves the
manufacturing industry using hydo-
electric power as storage medium
m which freshet supply can be COM
served for gradual use as needed.
,,ae Ard thus the consumer would be
.Rusranteed- q steady supply and the
xx55dneer dependable, even price,
/ stabiiized by the inexorable law Of,
supply and demand instead Of vary
ING quotations, fluctuating accord
ing 10 scohditions and to the caprices
10f the. stock brokers and the gambl-
The Commercial Appeal says:
The packers Of the north have
organized so as to carry their own
goods and give longer credits than
! usual. The manufacturers Of the
north have done the. same.
=. We Of the south must do this.
Cotton growers, cotton merchants
and cetton bankers must combine to
carry our own products. The north
or the east is under no obligation to
furnish us money. It is a matter of
business with them.
We are under obligation to our
country and ourselves, if we have
resources, to mass these resources
for our own use.
1sa We can mot further complain Of
WRONGS to aus, because of our fnan-
;cial dependence, If we have in our
lown hands te means Of financial
freedom and do not use these means.
It is our duty to put our credit up
with what we produce. IF we want
good living prices for what we grow
we must undertake to help finance
what we grow.
If we want to sell mill in Alsace
thousand bales Of cotton and that
mill desires IL months time, and if
the mill can give security it is our
business to help the selling end of
cotton by helping to carry the loan
with the security attached.
And that explains the justification
and purpose of the new cotton cor
poration, which was proposed and
planned by Governor W. G. p. Hard
ing, Of the Federal Reserve banking
system.
Continuing, The Commercial Ap-
peal "beieves that such an institu-
ton, controlled by southern people
and it is contemplated to sell the
stock only in the south-will bring
about a condition where we can al
ways market our cotton at fair
rate Of profit"
And it closes it's discussion by say
If we are going to be financially
free people it is time we were
starting. We have stood at the wall
ing wall for SO years. We now have
individual strength. If we combine
our strength with our common sense