Atlanta semi-weekly journal. (Atlanta, Ga.) 1898-1920, 1919-09-12
GRADUATED PRICE
!, Of IS To 40 CE:NTS
IS SET FOR COTTON
Committee Reports Unprec-
edented Deterioration in
Crop-HoIding Companies
PIanned-Congress Ends
BY HALL STEED
(The Journals Staff Corresponding

price nX1ng cOnmllCee TSVoAiIu1et4ul1As
a graduated price of So to 40 cents
was the outstanding feature OF the
convention of the American Cotton
association, which closed it's session
here Tuesday. At the closing session,
the following additional reolut1ons
were adopted
Asking the census director to stop
reporting cotton and cotton linters
together; providing for the appoint
ment of a committee to confer with
Governor Harding. of the federal re-
serve board on the completion of the
export corporation; providing for
further study by the government of
the cotton oil industry and all re-
strictions against it's use be remov-
ed
The motion of L. D. Jennings of
South Carolina, to indorse President
Wilson and the League Of Nations
was lost through the passage Of
motion to adjourn. 1t was explained
that this action was taken, not
through opposition to the president
and the league, but in keeping with
the associations policy not to In
ject political questions into the pro
ceedings.
= Following is the report of the
price-fixing committees:
"Mr. Chairman: Your committee
appointed to recommend a minimum
price on cotton. beg leave to submit
the following report:
IF nxjStinc conditions
We find it will be absolutely imprac-
ticable to recommend a minimum
price for cotton based upon supply
and demand, the price of the manu-
featured product, a comparative
price with other commodities, and
the high cost of living.
'Until the peace covenant has been
confirmed the European markets will
be limited, this condition practically
eliminating competitive buying. A
joint resolution by Senator E. D..
Smith, of South Carolina, has just
been adopted bycon gress requiring
the secretary Of agriculture to issue
a statement by October showing
the acreage abandonment, which. he
states, is record-brealsing and our
records show as one-quarter per cent
Deterioration Great
eve find as a result of pains
taking investigation the deteriora-
ton in the cotton crop since August
rs is unDrecedented. Included in the
cotton carried over on July 81 is
an enormous amount of linters and
TIoa VI =
mum possible outturn from the
growing crop. which certainly will
be the smallest crop produced in
the last decade. added to the total
amount of spinnable cotton brought
over on July 81 will fall far short
of the pressing demands of the
world before another crop can be
produced.
1.-THE president of the United
States has been requested to issue
a call to the bankers. exporters.
manufacturers and other large bust
ness interests Of America for the
purpose Of meeting and arranging
and putting into effect and force
credits for Europe. which will en-
able her to enter our markets. In
addition to this we have appointed
a special committee to cooperate
with Governor W. P. G. Harding in
pushing forward the completion of
the export financing corporation.
and we also are pushing the organ
ization Of the Jennings domestic fl
nancing corDoration. Both of them
will have bu1lish effect upon our
market.
Increase Seen
Immediately upon the consum-
nation Of any or all Of the above
plans. it will OF course. be neces-
sary to recommend an increase in
the minimum price suggested be-
low. Just as soon as the peace
covenant Is confirmed the law of
supply and demand then will be-
come operative. we will have active
competitive buying to fill an un.
precedented demand from a gross.
~ inadequate supply. It will then
be in order to recommend a mini
mum price based upon supply and
demand. price Of the manufactured
product. cost Of production. and the
price Of other commodities. We rec
ommend that the executive commit
tee of the American Cotton asso-
citation meet upon the call Of the
president for the purpose of recon-
mending higher minimum price.
THAT said call be issued upon tn,
judgment Of the president or upor
the special request of a majority O.
the 0YpPIItiUa
fore. recommend as Temporary
minimum price and until conditions
warrant a higher minimum price
the adoption Of the following scale
September 36 cents. October. 81
IL cents. November. 81 cents. De
cember 81 IL cents January IS
cents. February 38 1-2 cents. March
SO cents. April SO IL cents, MAY
40 cents. basis middling grade Unit
ed States government delivery poin
of origin.
'In submitting the above recon
mendation, your committee is Of thu
opinion that while the above seal
provides for a price of forty cents
in May, 1920. we feel that it would
be to the advantage of Pill who cal
to hold their cotton until more ia
vorab1e conditions will warrant
higher minimum price.
Respectfully submitted:
~. J. Brown. chairman; H. A. 30!
kin. chairman subcommittee; D. F
McClatchey. secretary"
On Tuesday, the cotton producer
who represent ten southern state
decided to organize a buying corpora
ton in every county and parish Il
the belt with the object Of buyin,
every bale offered, then holding tn
y staple until the minimum price. t
r CONTINUED on Page 8, Column ~