The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1921-03-17
Editorial
of the Day
A PLAN TO MARKET COTTON
(Fort Worth Star-Telegram)

Inc dcllou OF lAe executive colniult-
tee of the Texas Bankers Associa-
ton in indorsing the plan to sIip
cotton to Central and Southeastern
Europe to be manufactured into cloth
or yarn and then to accept the manu-
factured product in payment, and mar
ket that in turn in other parts of
Europe is the latest indication of the
willingness of Texas bankers to do
whatever is possible to deal effective
ly with the present situation. The
bankers named committee to see
the plan through. composed Of Howell
E. Smith of Mckinney, chairman; w.
w. Woodson of Waco, Nathan Adams
Of Dallas, Warren p, Andrews Of Fort
Worth, H. A. Wroe of Austin, f. NJ
Law OF Houston, Gus F.. Taylor Of
Houston, L. w. Norwood Of Navasota,
j. w. Thurman Of Big Spring, NJ. C.
Driscoll Of Yoakum, and II. A. Dun
lap Of WaXahacie. The proposed plan
is the same as that worked out by
Gerald Fitzgerald of ClarHsdale, Miss,
and which has been embodied in the
Mississippi Delta Cotton Export and
Trading Company. This company is
sending 5000 bales to European mills
to be manufactured, and the Federal
international Banking Company Of
New Orleans is financing the freight
ana other charges for it on an ac-
ceptance basis. Howell E. Smith, the
chairman of the committee, appointed
by the Texas bankers, recently went
to Clarksdale and had conference
with Mr. Fitzgerald, and apparently
the action of the executive committee
Of the Texas association is the result
OF this conference. The Mississippi
concern will give chief attention to tine
cotton of that state, so that if Texas
is TO dispose of any cotton in this
fashion It must act on its own ac-
count. Meantime, the Federal Inter
national Banking Company will Co
operate with the movement in every
way possible.
The situation is such that some
action of this kind is demanded. There
are good many thousands of bales
Of cotton in Texas in the hands Of
producers, merchants and bankers who
have not the slightest idea what 70 do
with it. There is practically no free
market for cotton, and the cotton mer-
TO dispose Of 1t to advantage Mean
time, there are mills in Szecho,-Slova-
kia, Austria and other parts of Cen
tral and southeastern Europe that are
in need of raw material and with an
abundant labor supply available TO
manufacture 1t into cloth and yarn.
The exchange situation makes 1t al
most out OF the question for them to
buy cotton in the United States, even
If they had the cash or the credit
to do so. But the exchange situa-
ton does not affect the commodities
themselves, and II is perfectly feas-
ible TO consign and accept payment
in goods. 1t is this situation which
the Mississippi corporation is dealing
with. and the Texas bankers propose
to take steps to deal with It also.
One thing is certain. II Is better
for all concerned that this cotton
should be disposed Of in this fashion
than to let II remain in this country
unsold and overburdening the avail
able supply. Certificates covering this
cotton would be Just as good collat-
eral as the cotton Itself, and the pro-
ducers, merchants and bankers might
just as well have these certificates
as the cotton. There is certain
amount of risk to the undertaking, TO
be sure, but II seems TO us that 1t Is
risk well worth taking In the cir
cumstances.
The committee which the bankers
have appointed is an able one, and
the farmers, merchants and bankers
Of the state can wel afford to follow
the leadership of such men In this
matter. Meantime the bankers decid-
cd 10 call upon Texas farmers to re-
duce cotton acreage for the coming
season radically In order that an end
ihay pe put 10 tne present oVersupplied
condition as soon as possible. II with
in the next thirty days we can get
absolute assurance that cotton acre
age has been cut one-third or more.
we may look for decided improvement
Of the situation from that point on
ward. But II cotton acreage does not
show such n reduction. and the un-
settled conditions in Europe continue
one hesltates TO think what the con-
dition viii be 1t is certain that un-
settled conditions will continue for
some time, so the only thing that can
be done is 10 work out some practical
plan to dispose Of part Of the present
supply, such as the bankers propose,
and TO cut cotton acreage 10 the bone.