The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1920-12-29
COTTON ACREAGE
MUST BE REDUCED
North and East Beginning to See
Truth

! Columbia, Dec. 24.-The following
editorial appearing in the New York
Commercial under date of Novem-
ber %, 1920 covers the cotton sit
uation in splendid manner and
should be read with deep interest
and reprinted in the leading southern
press, says j. S. Wannamaker, pres
ident Of the American Cotton asso-
citation. 1t, he continues, clearly in
dicates that the north and the east
are beginning to realize the serious
ness of the situation now facing not
only the south but the entire COM
mercial and agricultural life of the
nation:
EVERY element of the community is
feeling the effects of dehation in
some degree. 1t would be difficult to
say just which is suffering the most.
There need no longer be any failure
to appreciate the fact that the south
has been placed III most serious
situation through the collapse of
cotton values. From 40 cents down
to Is cents pound is far too great
a reduction to be logical or natural.
Cotton could not expect TO escape a
Gel diuOuHl Oh along
with all other commodities, but there
is no reason why it should undergo
a reduction Of G2 IL per cent, in
price against but 20 to 80 per cent.
iii other commodities. 1t means that
| the pendulum has swung too far in
the other direction, and that in the
course of time there must be a come
| back before the true balance is de-
ternined.
During the period of this low Valu-
alton those having bills against the
south must for their own sake, if not
for any less selfish motive. grant all
the celcmency to their southern debt
ors that can possibly be extended.
Thousands of persons who were per-
fectly solvent in the spring are now
| bankrupt SO far as the relationship
Of assets and liabilities is concerned,
and would be bankrupt in fact if
called upon to pay their debts at this
| time. So far as these people are
! concerned. something resembling a
moratorium should be put into effect
The cotton people Of the south are in
| the position whore, in n great many
! instances, they are face to face with
ruin If outstanding financial obliga-
tions are enforced. If, on the other
hand. they can be treated with the
utmost leniency, there is a strong
probability that cotton will recover
sufficiently to enable them to come
through with a minimum of loss
AS a matter of fact, some of them
have already gone into bankruptcy
and others are likely TO follow. IN
| -
very clearly that the north has no
conception Of what the conditions
really are below the Mason and
Dixon line. These reports now state
that the present price of cotton does
! not even pay the fertilizer bills, and
| that in some instances the cotton can
not DE picked because it is not pos
siblc TO get enough money to pay
| the pickers.
II conditions are as bad as these
reports state, and there is no rea-
son to doubt their veracity, it will
mean that some special action will
have to be taken to meet the situa-
tion. The pleas that these cotton
farmers made in Washington recent
| iy met with scant sympathy. because
| theoretically there seemed to be no
reason why the cotton farmer should
! be singled out for special assistance
any more than any of the other agri-
cultural interests. Yet if disaster
threatens such a large part of the
country territorally. in such an inn
| uortant industry as cotton it is to
to adopt whatever special meas
the interest of the rest OF the country
ur2S may be necessary to minimize
its effects.
Some of these private reports en-
Dhasize the seriousness Of the situa-
| ton as it has already developed.
| Negroes are leaving the fileds in
large numbers because there is no
money to pay them. Young people
who thought they at last had an op-
portunity to realize their ambitions
for college careers are being called
home from college because the money
| has given out. In some of the rural
communities schools are being closed
and children sent home because there
is no money to pay the teachers.
The collapse in cotton values is
not because they were unduly in
fated. On the most conservative
basis this crop has cost approximate
ly so cents to make. The govern
ment estimates the cost much higher,
placing it at % cents in 1918, and
the expectation that if would be one
third higher i'm 1919. making it 81
cents. The cost of everything the
farmer has had to pay for that enters
into the cost Of making cotton. in
creased along with the price of cot
ton itself. SO that even at its maxi
mum price it did not leave a very
large margin. Its collapse to a Is
cent basis for middling. therefore.
leaves him unable to pay his bills
contracted earlier in the season.
Based upon the worlds require
mcnts. if the world were able to Nay
for its cotton, the price might even
reach 60 cents a pound. Based upon
be rcumirnmcnlS of TINT porilNm OF