The herald and news. [volume] (Newberry S.C.) 1903-1937, 1919-03-14
DEMAND INCREASING.


It has been stated on what seems to
be good authority that in some Sec
tions farmers and others have been
loaning to the mills cotton on what Is
denominated sixty day call or
ninety day call, which means, as we
understand it, that any time during
this period the man who lends the
cotton may call for it or the money
at the then prevailing price.
If this be true then it must follow
that the cotton in the hands OF the
manufacturer is getting scarce, and
the demand is increasing. The mills
must have the real cotton to keep the
wheels rolling, they can not manufac-
ture Gotten out of. contracts, it must
be the rea' thing, and if they are bor-
rowing cotton in the manner indicat-
ed then the supply on hand for man
ufacture must be getting low, and the
demand will necessarily increase.
The point we desire to emphasize is,
if the farmer or the owner of cotton
is holding for a better price and re-
ducing acreage in order to get at least
the cost of producing cotton, it seems
to us to be suicidal to be lending cot
ton to the manufacturer in any such
manner. We are not against the man
ufacturer. It is natural for him to be
a bear on the market. He would not
be a natural human being II he did
not desire to purchase cotton as cheap
as he could, and to get as much for
the manufactured article as he can.
He is in the business to make money,
and the cheaper he can buy the raw
material, and the more he can get for
the manufactured article, the more he
will make out of his business, and
naturally he always desires to buy as
cheap as he can, and no one blames
him for this. But if the producer de-
sires to make living and little
money besides, he must get for the ar
ticle he produces not only the cost OF
making it but a little more. And we
can not see where it will be helpful
to him to advocate the holding of cot
ton for better price and reducing
the acreage, if he is going to supply
the manufacturer with the cotton and
take what the price may be within the
next 60 or 80 days. Nor can we see
where such a procedure is going to
help to advance the price. On the con-
trary we can very readily see where
it is going to have tendency to keep
the price down.
If you are going to hold cotton in
order to get price that will at least
equal the cost Of making it then hold
it. but lending it to the manufacturer
is not holding it.
The mills can not make cloth with
out cotton and we understand that the
supply, is getting very low, and they
must have the cotton or shut down
the mills and let the labor get disor-
ganized, and this they will not do, be-
cause they have made too much money
to stop, and at the present price Of
goods there is good money manufac-
turing it at very considerable in
crease in the price of cotton.
And it will not be long before there
will be an outlet across the seas for
cotton, and the mills that have been
idle will begin to operate and they
will have to have the cotton. If the
holders of cotton have decided on 35
cents as minimum for cotton then
hold for 35 cents and plant less cotton
and more corn and other food stuff.
No use to fix a price and agree upon
it and then sell below that price. The
fight by the farmer for better price
for cotton is practically won if the
holder just sits steady in the boat, and
does not take stage fright, and holds
his grip and agrees to reduce the
acreage for the present year.
We can not see why money should