The Birmingham age-herald., 1920-04-19

restricts their ability to import and ern- ehasize the necessity for credit arrange ments. Germany and Austria, formerly imported a large amount of cotton, and mllls in both countries. as well as in Czecho-SloYskla. which was formerly a part Of the Austrian empire. and Poland also lack only the raw materials in or der to resume operations. The currencies of these countries, however. are Aso greatly deprecited as to make imports on usual terms impossible.
 For sometime past American business men have been considering means of sending raw materials to central Euro pean countries for conversion into fin- ished products and have endedvored to work out plan whereby credit could be furnished in connection with these exports with reasonable safety and fair business profit. All reports from abroad agree as to the necessity that the va rious countries of Europe be supplied with raw materials in order that the set in motion. It is highly essential that the United States be able to con- tinue to sell her raw materials and it is imperative that Europe be able to se- cure these raw materials, for without them industries cannot be established, and complete economic collapse avoided. It is important to the entire NOiiA lbdl HOL OILY the COunlTlHS or .ifG entente but those of central Europe be placed in a. position to prodhce. It is needless to expect recovery from the eco homie disarrangement from which the world suffers today as long as 100 0o0, GOO people in central Europe remain in en- forced likeness.
 PLAN FOR EXPORTING
 I am informed that conferences have recently been held for the purpose of developing a plan whereby raw materials can be sent to countries whose currencies are most seriously appreciated for con version into finished manufactured prod ucts under contracts for exportation under a plan whereby title to the raw materials exported remains in the Amer ican shippers throughout the process of manufacture into finished products; when these products are sold the proceeds are applied to the payment of amounts due for. the raw materials, the arrangement to be supported by proper guarantees given by the manufacturers receiving tho raw materials. by the exporters and .im- porters settling the finished products, and by foreign banks of gooc standing. am told that for various reasons 1t seems desirable to apply this plan in the first instance to the manufacture of cot- ton gods and that it is proposed to or ganize a financing and trading corpora. tion with broad powers under state or federal laws to finance the proposition
 The necessity for providing means of exporting raw materials to Europe has been given much consideration during the past year by government authorities in Washington and by the Congress of the United States. An important measure known as the "Edge act' has become a law. This act provides for the federal incorporation of associations engaged principally in international or foreign banking or other international or foreign financial operations and permits national banks as we'll as individuals. firms and other corporations. to invest in the capital stock of such associa- tions; the total investments of this char acter by national banks, however, being limited to 10 per cent of their capital and surplus, The act provides further that the federal reserve board shall is sue regulations governing the organiza- ton and operations of corporations or ganized under it's provisions, and these rules have recently been formulated anI made pnhlc. A copy Of the regulations will he handed the secretary nf this con- vention. a'
 Many of the obstacles which have stood in the way of the coTton farmer have been overcome. I shall not undertake to predict the future course of prices, and in fact at the risk of netting your uASappIONdl VIII SdA that ! am not so much interested in the actual price of cotton az I am in the development of steady and dependable market for 1 believe that. if such a market can be established little concern need be felt as to prices A good market is essential for the stimulation of production, and it is important also that the prices O, cotton ard other farm products bear a proper relationship to the prices of commodities in general
 CENSUS FIGURES
 The census figures which are now be- ing published from day to day show a marked increase in the urban popula- tion and indicate a movement from the farms to the towns and cities. This is not altogether a healthy condition There should be no halt in the development of farms. but in order to assure this ru- rai life must be made more attractive The comforts and advantages of city life must be extended as far as possible to the country and attention must be paid to the betterment of living conditions on the farm. The rural communities must enjoy the benefits of easy com munication, of sanitation. and of educa-