New-York tribune., 1920-02-06
british Cotton
ISpinners Will
Quit Importing g
With Only Three Weeks
Supply onHand, Complete
Shutdown of Lancashire
Mills Is Threatened d
Exchange Rates Firmer
Advance From 1922 to
| S3.23% in London; Con-
+. tinental Quotations Lower

| LoNDON, Tep. d ne situation
lereated by the decision of the cotton
!importers to cease ;mportations is un-
Iprecedented in the history of the Lam
leashire trade. but, although it is ad-
United to be serious, it is asserted
There is no cause for anxiety.
According to the figures printed here
the stocks Of American cotton total
7s6,53S bales, while an additional 1885,
900 bales are on the sea. Aside from
these stocks the spinners are said to
hold considerable quantities. probably
enough to keep the mills going for two
or three weeks.
Sir Charles Macara, former president
Of the Master Cotton Spinners' Asso-
ciation. in an interview in "The Daily
Mail" says the problem is very serious.
"If importation is stopped for con-
siderable time, the cotton industry
must also cease" he asserts. "The
government ought to move energet-
eally."
Checks Drop in New York Exchange
"The Mail" quotes T. w. Cook.
former president of the Liverpool Cot
ton Association, as saying the stock of
American cotton on hand would carry
on trade for considerable time. He
cited the reeXportation of American
cotton to America at profit to the
shipper or this side as showing that
the Liverpool market to-day is the
cheapest in the world. and pointed out
that, although the low~exc hange is
against the importer. it favors exports
Of finished goods. which undersell the
American product in its own market.
The foreign exchange position was
city to-day, and pending official action
the market for Continental exchange
remained feverish. Exchange on Paris
was quoted at AS francs 70 centimes
and on Brussels as Al francs 80 CEN
times, a shade worse than yesterday.
New York exchange. however, was
.steader, opening at 1922 and gradu-
ally improving to So 2312, at which the
business was smaller.
Opinion in financial circles seems to
be that an international conference
may decide upon the granting of
credits for European countries to set
the wheels of commerce in motion, the
guarantors agreeing to abstain from
unnecessary expenses and to carry out
drastic financial reforms themselves.
One Of the principal objectives count
ed as necessary is undoubtedly the
expansion of exports to America. This
aim is being fostered officially.
Exports to America Increased
The exports of Bradford (the wool
center) to the United States during
January were nearly 81 100000 above
January of last year, while the presi-
dent of the Board of Trade, in a
Speech yesterday, declared that in
few weeks the value OF the export
trade of this country would be in ex-
cess of the value of its imports.
. 1t is necessary also to attract gold
from the United States. and this will
be possible only when the balance Of
trade is in favor of this country
Reports from Washington regarding
sppsslbe action on the international
financial situation were eagerly read,
as was report from New York that
some of the banks there had discon-
'lnued the discount OF dollar bills
against the export of merchandise be-
cause of the drop in exchange The
reported action of the banks created
satisfaction, as it would mean that
fewer goods would be sold to Great
Britain. The stopping of the importa-
advocated, and it was reported that
further orders for this class of goods
recently placed in the United States
had been cancelled
Pressing Europe Toward Ruin
Drastic reduction OF importations of
manufactured luxuries from America
Is advocated by Arthur NJ Samuel,
member OF Parliament for Surrey, in
the cours of an interview published
IN The Manchester Guardian" Mr..
samuel also deprecates the "squander-
ing OF money at holiday resorts on
the Continent and the importation of
wines
The worst effect of the exchange sit
ualon Is felt on the Continent, he says,
because payments from countries there
must , be made through London.
Inns prevents them from buying
raw material and foods from America.
without which Europe cannot be put on
us feet again. he says. The worst
pnase Of the situation is near and the
~noie of Europe is being pressed
toward starvation and ruin"