The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1921-03-28
UNITED STATES TO BACK COTTON
EXPORTS; MEANS HELP TO FARMER
HARDING REVERSES WILSON
POLICY AND PLANS FOR A
QUICK RESUMPTION OF TRADE
WITH cERMANY-FIVE MIL
LION BALES ARE NEEDED IN
CENTRAL EUROPE.


CENTRAL EUROPE.
Washington, March 27.-Ameri-
can exports in large volume are to be
shipped to Germany with the financial
backing of the United States gov
ernment. Complete reversal of the
policy of the Wilson administration,
in Withholding financial aid for such
Shipments, announced Saturday night
by officials of the War Finance Cor
poration, forecasts resumption upon
a larger scale of trade relations be-
tween American and German firms.
Director Angus W. Mclean of the
corporation, said the old policy Of
aloofness from Germany because Of
the technical state of war, has been
fially abandoned, and a new pro-
gram mapped out for extending all
possible government aid to American
exporters in sending raw materials
to Germany.
Financial interests identified with
leading exporting houses of the East
are negotiating with the corporation
for government advances, to support
large shipments of cotton and other
raw products to Germany.
Cotton Needed.
Germany and other European coun
tries, according to information filled
with the Finance Corparation, need
at least 100000 bales of cotton. Ap
plications for government advances
to aid the movement of cotton and
other products to all parts of Eu-
rope, now pending before the cor
poration, reflect a revival in export
trade in the near future.
: The corporation thus far since its
revival by action of Congress over
Woodrow Wilson's veto, has given
only partial approval to some of the
large financial undertakings launched
% aid the German and other export
movements, but the transactions are
ing hurried through the prelimi
nary stages, and toward final approval
by the corporation.
Officials of the corporation empha-
sized the fact that it's aid in fnanc-
ing German exports is confined to
loans to American exporters or ITO
American banks for their export con-
nections. The laws requirements as
to adequate security and other con-
ditions must be compiled with strict
ly. But apparently, from the appi-
cations now tentatively before the
corporation American concerns, i
Identified with export trade, haye faith
in Germany's industrial future and
are showing ability to supply to the
government ample guarantees for
funds sought
Director Mclean said the squabble
over German reparations still remains
as a serious impediment to the de-
velopment of foreign trade on scale
that otherwise would be possible. De-
finite settlement of reparations, fix
ing Germany's liability and the bur-
den German industry must bear, will
lear the air of financial risks now
apparent, and make it possible for
the tremendous surplus of goods. in
American warehouses, to find an out
let to logical fields. according to Di-
rector Mclean.
The. importance of the governments
new policy toward German trade, it
was stated, is that it will have the ef-
feet of relieving American exporters
of some of the political risk to which
they heretofore have been subjected.
=, In the opinion of Director Mclean
the United States is handicapped in
its foreign trade because other gov
ernments assume the political risks
made with other nationals. It is his
belief that the United States must
adopt a broader course, that will give
to American firms the backing of the
government where they venture in
foreign fields.
"The government must protect the
American investor abroad in his legi-
innate undertakings" declared Direc-
tor Mclean. ''This protection must
be given in as full measure as is now