Arizona republican., 1920-12-13


 of production. Who could have ever l thought that conditions would change? | We were raising the best cotton in the | world: rubber tire manufacturing was increasing; the Sea Island cotton was knocked out by insects. It was given | than 10 per cent of the demand and l withal, it really looked good.
 Quoting from an article in a Los Angeles paper by a special correspon- dent from Phoenix under date of Sep tember 7th, we just about have the situation covered:
 "A very serious condition is being experienced by the cotton growers of Arizona. Thus far in the opening of the picking season no stability has been given the prices for either long or short staple. The former is raised in this valley, exclusively.
 Last seasons closing price was around $1.20 pound, figure that would mean a gross income of about s60.000,000 from the cotton and seed raised upon the valleys 1S6,000 acres planted to the staple. This year there has been sale of some October cotton at S5c. but no demand is manifest for spot cotton. Some of it Is understood to have been forced to sale, to furnish needed cash, for as low as soc. Crow CTS who can do so are storing to await an expected rise, and fresh markets arc to be investigated. even in Eng land, in competition with the Egyptian. ! The slack demand is considered the more remarkable in view of the almost total elimination of the competing Sea Island cotton. Possibly the heaviest demand for the long and strong local product is from eastern tire factories now diminishing their outputs At
 least one of the local purchasing agents, represents a thread syndicate.
 The average crop of long staple 1 this season in Arizona will be about half bale to the acre or 25O pounds, though many expert growers secure even as much as bale of lint, with an accompanying seed product of
 about 1400 pounds. The cost of pro- duction to the average grower is about
 as follows, on the basis of a bale to
 two acres: Land rental. $120; plant
 ing, care and irrigation, s80; picking
 Cat 4c for seed cottonl $80; hauling
 $5; ginning, $25-a total of $310, net
 cost for bale that has, for lint and
 seed, about $314 present value. Last
 year the picking cost Sc and ginning very much less than now. Seed sold
 up to SIS ton, compared with $2g now In addition, there naturally has come a limitation of bank credits or
 cotton. However, the growers are sure
 that the cotton must be called for and hence are looking forward to sale al a profit before the new year." We might have known, but we diC not think, it is only natural that cot ton should come down in price alons with everything else in the roll of tn,
 high cost of living-we just would no
 buy clothing or anything we could dC
 without. If we wouldn't buy, retailer; could not buy of the jobbers, and i
 jobbers failed to place orders witt
 manufacturers, or canceled orders tn,
 whole burden naturally fell on the pro ducer of the raw material. That's tn, way it goes and how could we expec
 anything else? The producer always
 gets the worst of it.
 Under date of October ', just befor
 the Cotton association met in Washing
 ton, D. C., and on the 18th and 13tl ? following, J. $. Wannamaker, presi dent, wrote President Wilson, and . here gave extracts from his strong ap ! lpeal:
 s We feel convinced that you do no realize the seriousness of the condition i, now confronting the agricultural inter = ests of America and that fact that :. will be absolutely impossible for tn = producer to meet these conditions an 2 at the same time supply the productio 7 which is necessary to our nation, Say iiOlulLS Ol l0e lnCICdSe
 iproduction which is absolutely neces
 sary in order to re-establish norms o conditions and promote commercial ac v tivity, thus bringing about peace an . prosperity.
 ', "The agricultural producers of ou + nation, to a large extent, are forced to t day to sell their products below th v cost of production for the reason tha s for some of our most important stap v crops, they are unable to gain access 1
 the markets of Europe, where there " a pressing demand for these product We are today treading in the san
 steps that other historic nations hay
 taken and regretted. Agriculture is tf :. foundation of commerce and civilizs = tion. Throttle agriculture and con 'o merce and civilization will peris s Throttle commerce, and you will dam :. civilization"
 .e This crop has cost the farmer 40 S 50 cents per pound to make, harve ~ and market. (Note: From the be iS figures available at this time the co ls of Pima has run from 50 to 75 cents D, " pound) The complex of factors" ..i designated by the federal reser7 ~ board, has beaten the price down .e one-half or less than one-hah the co is of production. If the farmers sell iu the prices that prevail in the prese :. artificial market they are ruined
 s Quoting from letter from Mir. Ho ol yer addressed to MT. Wannamaker ui -s. der date of October this year, we fiji us some encouragement.
 l And MT. Hoover suggests that son 'ii kind of an arrangement might be e h tended by which foreign countries O ld tain our raw material on the basis l- credit instead of loaning them cas
 Why not?
 CT "The whole cotton situation appea " to me to be a simple problem of Eur pean credits. These people have mos - ly exhausted their credit facilities All the United States and there is an Il questioned large market for cotton a central and eastern Europe, provid ,I some credit cycle can be set ilp tn Inf will secure the operation of tn, .te mills"
 cd We observe from Fort Worth, Tex; 2 that there is a Ioosening up.
 More than 1000 bales of low-gra or west Texas cotton have been turn ire over by the growers for the initial tt fife shipment to Europe the west Tex li- chamber of commerce has announc, ed. The plan is to ship 15,0O0 bales und ,t- @ pooling plan, each farmer standi rot his share of the profits or loss Eur to peau markets, where the "bolly' colt of is marketable, will be picked for { me first consignment
 fov II, oo,xrnrso f4oy, x.~fft