Americus times-recorder. [volume] (Americus, Ga.) 1891-current, 1922-06-13
< DIT RIAL.
BIG COTTON NEWS.

DIG news came out OF Atlanta q
day or two ago-big news for
the farmer of the South, and that
means all of US. That news was to
the effect that the banks of the At
lanta Clearing House association had
agreed to extend to the recently or
ganized Georgia Cotton Growers as
ISOLATION credit Of $5,000,000 with
which to help finance the 100000
lales this fall signed up to be han
died by the association. The an
nouncement came on the heels of q
statement by Eugene Meyer, Jr.,
head OF the War Finance corporation,
when he was in Atlanta a few days
ago attending the meeting of the
state bankers association, that the.
association could count on $3,0O0,0OO
more from that source, making to-
tai credit of $8,OO0,0O0. On top
of this, various banks throughout
Georgia have indicated to J. Z. Con-
way, president of the Georgia cotton
pool, that it is likely another $4,000,
600 can be advanced the organization
by them.
This would give the association
total credit to begin business with
Of from $8,OOO,OOO to $13, 100000
depending upon the banks of the
state outside of Atlanta. Which, it
would appear, would be enough and
more to see the pool through its first
> season. That is, if it completes or
ganization of its operating staff sue
cessfully and gets in shape to han
die this years crop, as is confident
ly expected it will.
One of the objections the farmers
OF this section, as well as other see
tons, had to signing up to market
their cotton crop through the pool
was that they wanted to remain free
to market their cotton as they chose,
bringing in whatever they found nee
essary at the beginning of the season
and either borrowing money on it or
selling it at once, thus being able TO
relieve pressing obligations, which
usually beset the cotton farmer at
the beginning of the picking season.
They weren't sure of the pool plan
OF financing, and most of them held
out Of the pool, preferring to OPP
crate in the old way until they could
see it operated.
But the pool has made its financial
arrangements, and this is how it will
operate, if a member needs to get
money as soon as he picks his cot
ton; He will have it sampled by the
associations expert sampler, then
VIII place it in the warehouse desig-
mated by the association to receive
It's cotton or will load it on train
consigned to pool warehouse. if
there IS none located in his communi-
ty. At the same time he will draw a
draft on the association for the
amount permitted under the rules of
the pool, which it is understood. will
be full borrowing value of the cot
ton This cotton then be held
by the pool instead of going onto
the market as distress cotton and
tending to force the price down, be-
ing held for orderly selling whenev-
er those in charge Of the business of
the pool regard it the proper time to
sell
Inc cotton will not be held for
speculation, but will be sold gradual
y and under the best possible CON
cltions. At the end Of the seasons
operations the price obtained will be
averaged over the whole SELLING ya.,
by grades and every grover psid tba
average for his cotton according ~
grade. This will give every man +bo
same price for the same grade ~
cotton, regardless Of when if wse
sold. He will have nothing whatever
TO say about when his cotton shall
be sold, but if it is sold early and
me price goes up later, he will rear
benefit from the advance, whereas
u the prices goes off he will share
the total loss. That is a splendid
provision Of the plan most farmer,
admit as It is generally agreed thai
the average farmer is a poor sales.
man, and usually markets his cot.
ION by guess, whereas under thi,