Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1921-06-04
HOOVER GIVES PLEDGE
TO LEND MORE HELP
TO COTTON PLANTER
The Atlanta Journal News Bureau,
62S Riggs Building.
By THEODORE TILLER

WASHINGTON, June 2-After a
conference with Herbert Hoover, sec
rotary of commerce, former Senator
john L. McLaurin, of South Caro-
lima, quoted Mr.. Hoover as outlining
more helpful policy toward the
loosening of credits to the cotton
planters of the south. Mr.. Hoov-
er's statement to Mr.. McLaurin, who
is now trying, incidentally, to reor-
ganize the Republican party in South
Carolina, is believed to reflect the
attitude of the Harding administra-
ton, and is altogether a hopeful
sign.
After the conference, former Sen
ator McLaurin was plainly elated.
He stated that he believed cotton
would at once rise in price s a. re-
suit Of Secretary Hoover's statement.
Kilograms epitomizing the CONVERSE
eica were sent by former Senator
McLaurin to j. S. Wannamaker. pfesi-
dent of the American Cotton assoeia-
ton, now in New York.
There was some speculation here
as to whether or not the policy of
the political plans or the Republican
party toward the south. 1t has been
said in some quarters that the ad-
ADMINISTRATION might use the argument
that 1t relieved the financial sltua-
ton in the south as a plea to poten-
tial Republicans in Democratic ranks
to join the Republican party. Some
significance was attached today TO
the fact that Mr.. McLaurin, who par
ticipated in the conference, has been
chosen by Republican leaders here
to take charge ~rehabilitating the
Republican party in South Carolina,
and incidentally to make inroads in
Democratic ranks.
After the conference, Mr.. McLaurin
repeated Mr.. Hoover's statement to
him as substantially the following:
First: L consider 1t is vital that
the credit facilities to producers and
legitimate business should now be
greatly extended in the southern
states. The curtailments through
the reserve system have served their
overplanting: They are now bring
ing great hardship. This is more a
question of volume of credit extend
ed than it is of the rate of interest
demanded, and requires the co-opera-
ton of both reserve and MEMBER
banks, I believe most bankers are
now agreed that this policy is neces-
sary.
= second: We need better organ
Ted export credit machinery. The
northern bankers will, 1 hope, sue
coed, in joint efforts with their
southern colleagues in creating larg-
er institutions under the Edge law
for handling cotton. 1t appears TO
me that some measure Of safe credit
could be established by Americans
placing cotton in European ware
houses under their own control for
delivery to European buyers against
cash. Perhaps cooperation among
producers and bankers could accom-
plish something in this direction.
Third: For better marketing ana
financing of the cotton industry. the
warehousing system should be i'm
proved so as to permit the issuance
Of a cotton warehouse certificate OF
such form and character that it can
not only become the basis OF mop1Ie
credit, but also can pass as actual
delivery of the cotton. This implies
not only guaranteed warehouse IN
tegrity. but a complete determina ITO
of grade, quality and quantity. This
Is already current in some states and
needs to be extended"