Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1920-07-08

| the exchanges dealing in future con
tracts, and which has been fatal tt
! the growers.
why should the exchanges dea
only with spot cotton and not the
manufactured product? Why put ur
u blackboard and get into ring and
establish a system of manipulating
the price of raw cotton by gamblers
as we'll as SPOT dealers, when the
manufacturers market the finished
| fabric through the legitimate chan
nels of trade?& The Louisiana lot
| terry which was abolished by federal
law many years ago, was about as
safe to the average individual who
patronized it's system, as the grow
| ing of cotton to the average farmer
under existing methods of .specula-
| ton employed to regulate the price
Of cotton. To say that the cotton
crop cannot be Handled and market
ed without the present methods en-
to admit that the southern people
are incapable of marketing cotton
Systematically or intelligently in
accordance with the legitimate laws
of supply and demand. The New
York cotton exchange has ceased to
function for the delivery~of spot cot
ton on futures contracts and openly
admits that its mission Is only that
of herge exchange, yet 1T conttn--
ues to exercise a powerful control
ONSI Tie SpOI
Shall the New York cotton ex-
change with it's system of hedge
n,anioulations dominate the spot
cotton market in the south, and
those who depend upon its price for
keting? The fight to-the finish is
on and we might just as we'll pre-
pare. for it while the time Is yet
available.
Warehouses the Solution
The strongest and most effective
bulwark of safety against the de-
pressing influences of speculation in
the spot cotton market is the loca!
bonded cotton warehouse. Without
the facilities of these local ware
houses the growers are largely help
less and at the mercy of the organ
lied cotton trade, With cotton
house, graded and stapled by ex-
pert licensed graders, the. growers
will have in their possession re
ceipt which they can readily finance
and hold the cotton until the spin
ners call for the staple at a price to
represent its real intrinsic value.
The cost of building these ware
houses is negligible compared to the
enormous returns to the. growers in
being able to save the fibre from
on a profitable basis above the act
ual cost of production. Every bust
ness in the south should give every
possible encouragement to the prompt
construction Of these county ware
houses: The prosperity Of the whole
south is wrapped UP in bale of cot
ton as it comes upon the local mar
kets of the country.
1t, therefore, becomes the duty Oh
the whole people to render every
viding- such safe and sound bust
ness facilities as well enable them
to secure the full value of the staple
based upon the legitimate laws of
SUPPLY and demand. The local ware
house is the first big link to be
forged in the economic reforms in
handling and marketing the crop by
the growers, which is being SO in
tensely advocated by the American
Cotton association.
fluence and effort on the part Of
the entire membership of the asso-
citation throughout the entire cotton
area of the United States, to push
forward in every possible way con
strrction of these local county ware
The time is short. The situation
is critical. Hundreds of millions of
dollars will be lost to the farmers
next fall in the marketing of their
are not taken during the summer in
providing a method of defense and
safety against the merciless influ-
ences of speculation and the power
of the organized cotton trade in this
country and England.
Full information on plans, speci-
eications and cost of warehouse con-
struction can be secured by writing
to the American Cotton association,
Atlanta, Georgia.
Yours very truly,
HARVIE JORDAN,
Secretary, American Cotton Associa-
ton. f. -