The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1919-11-08
American Cotton Association
to Hold Better Grades
Of Staple
GUARDED INFORMATION
FINALLY LEAKS OUT
Wannamaker Says Statement is
Made After News Had Un-
avoidably Become Known

Columbia, Nov. 6.-Two million
bales of good grade cotton from the
present crop will be retired from the
market by the American Cotton asso-
citation, says a statment issued BY j.
Skottowe Wannamaker, president OF
the association, issued here yesterday.
The plan adopted by the association IS
to transfer to designated banks,
warehouse receipts for specified
amounts Of good grade cotton. This
cotton is to be held in trust until such
time as the association decides that
prices justify the cotton being placed
upon the market.
Mr.. Wannamaker declares that it is
the unanimous decision Of experts OF
the association that based upon sup
ply and demand and the price Of the
manufactured product that the price
of cotton should be far above pres
ent prices and that the plan of retir-
ing the 100000 bales had been hit
upon as Offering the best opportunity
of stabilizing the price. The state
ment issued by Mr.. Wannamaker an
nouncing the intention of the associa-
ton follows:
The experts Of the American Cot
ton association, after a careful inves-
tisation Of supply and demand, the
price Of the manufactured product,
and the price Of other commodities.
have unanimously recommended that
the association retire 100000 bales
of good grade cotton from the pres
ent crop. The plans which were rec
commended and which have been
adopted call on the membership OF
each State to voluntarily transfer to
DESIGNATED banks warehouse receipts
for specified amounts Of good grade
cotton. This cotton is to be held IN
trust until such time as the associa-
ton decides that prices justify the
cotton being placed upon the market.
It is the unanimous decision of these
experts that based upon supply and
demand and the price of the manufac-
tured product that the price OF cot
ton should be far above present
prices. and that by adopting this
method the price Of cotton will be
stabilized at a price something like the
intrinsic value pascd upon supply and
demand, anG the cost Of production.
II is also the rlanimouS decision or
these experts hat on account Of the
enormous demand for raw cotton ana
tho ercat shortage Of the sane that It
will not he necessary 10 carry TINS
cotton longer than the summer OF
1920.
'.Pesponses being received from
various sections OF the Dclt show a
reaGy compliance on the part of the
membership Of the association. Each
State is urged to report the amount
Of cotton set aside under this ar
,:lnScnlent To the president OF the
American Gotten Association. The
amount of cotton already pledged in
,icates that this plan will not only Dc
fully approved !ue that an amount
far in excess Of the amount requested
will be taken entirely off the market.
For the first time in 100 years the
cotton producers have evolved plans
and made necessary arrangements for
handling their product, carrying theIr
surplus in such 2, manner that cot
ton will sell for its intrinsic value;
that the cotton producer will be plac-
cd in a position TO name the prce
tor his product. Under this plan
there is no possibility Of the cotton
being removed from the market being
placed back on the market until the
time agreed upon by the association.
The various states SHOW considerable
rivalry in their efforts to be the first
to go over the top in the amount OF
cotton to be set aside. It is the inten-
ton Of the association in full years
to carry surplus cotton into lean
years However, an exception will be
made this year on account Of the
great shortage. This matter was be
ing very quitely handled by the as
sociation and it was not the intentlon
to give out any information concerning
the sale However. in some way the
rews leaked out and it is for tfsls
ro,cny, fbot tbis statement is issued "