The Birmingham age-herald., 1921-07-02
COTTON EXCHANGES.
 MUST BE MADE ID.
 QUIT GAM BLING
J. 0. Thompson States Farm CTS of South Are Victims of ProfiteerS-Co-oper
 tive Plan for Cotton

J. 0. Thompson, general manager of the Alabama division of the American Cotton association, be- lieves the present situation is the most bullish for cotton that the south has ever had.
 Yesterday he directed attenti )n to the government crop report figures as bearing out the contentious and citation had predicted S0.75 per cent acreage reduction, while the govern mcnt figures show 2s.4 per cent re- duction. The associations forecast for the crop was between 6,900,000 and 5000 00o bales. dependent on weather and insect damage. The gov- ernment forecasts S,43S,0oo bales.
 Thompson's Statement
 The American Cotton association lis il permanent institution" said MT. Thompson. We are fighting to the end that the farmers of the south may live like human beings. This will not be until many reforms can pc brought ADOul. T. The farmer must get faircr proportion of the consumers dollar. This will not be until the gambling devices in New York and New Or leans cotton exchanges are made to quit gambling and profiteering on the miseries of the cotton producer. Last year they sold 101 100000 bales of cotton, and only delivered 10000 bales. Every bale thus sold was a bear influence, and bore down the market.
 As long as these conditions exist there is no chance for the law of sup | ply and demand to function. To correct this evil, we are working out cooperative marketing plan for cotton. It has already been worked out in Oklahoma and other southern states, and will be adopted and put into action by all of the cotton states in short while. We are following closely the Sapiro plan. This is the plan So successfully worked out by the citrus fruit growers of California and that has been adopted in practi- cal form by the grain growers of She west
 Acreage Reduction
 "The American Cotton association s report of the acreage reduction, given ou; several weeks ago has been Jrac- tically confirmed by the government report today. We reported 30.75; the government, 28.4 reduction. Our es- tinate on production was 6,900,000 to 9.o00,000 bales dependent on weather conditions and insect damage Had we not urged a radical acreage re- duction last spring, when we fore saw the situation. we would have been worse than q bankrupt indus try. We will have now the lowest production for 25 years. and the spin ners stocks are very short of raw cotton.
 "Wholesale and retail stocks of dry goods throughout the world alsc are the lowest for many years. These facts together with the many agen- cies at work, governmental and otherwise for financing our custom CTS abroad makes this the most bull. fish situation for cotton We have ever had
 "The hands that have held cotton are tired out. and are almost at the breaking point, but with this bullisr situation the south will take a new hold and hang on for a few months longer thereby averting the mos | calamitous situation to the south possible to imagine. By a most grad ual marketing of the cotton we will get above the cost of production for the six and one half million bales carried by the south as well as above the cost of production for the 1921 crop.
 Cost of Production
 "The average cost for the two crops is about 26 cents pound. Il the carry over of the 6.500,000 bales and the S,000.00O we are pro ducing this year can be sold at nc more than the cost of production. il will give to the south an additiona, capital of 1.750.Go0,000, which vii ramify every industry in the south and from this source we will see prosperity restored and the people again busy and happy.
 Tn working out this acreage re- duction in the cotton crop and bring. ing about the planting of other crops feed and food. our association has rendered service of tremendous value to the south.
 We have a programme for the future that will be of incalculabl, material benefit to every business in. terest in this country