San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-01-01


more significant cotton season than the
one Just past. Both in respect 10 price
movements and far-reaching effects OF
fundamental changes disclosed, the year
will pass into history as marking an
epoch in American cotton production.
In order to obtain a balanced per-
spectiye of recent events, it is necessary
to recall briefly happenings in 1920,
when, after a period of price initiation
following the armistice, the value OF
cotton dropped from over 40 cents TO I'M
der 10 cents in a few months. In view
of the fact that much Of this cotton
cost over % cents to produce, southern
growers found themselves in financial
difficulties. d..
But this is not the whole story. The
season had proved unusually productive,
resulting in yield of 13,750,000 bales,
and a period of general financial de-
preston both at home and abroad de-
priced holders Of any ready market for
their cotton. Consumption fell off TO
10, SOC, 600 bales. compared with an an
nual figure of 14,500,000 bales during
the three years Immediately preceding
the war. Cotton piled up at ports and
interior towns, warehouses were full
and every plantation had its portion Of
the unsaleable fruits of years labor.
Acreage Was CurtaiIed.
The knowledge that many million
bales would have to be carried over un-
til another year brought planters face
to face with an outlook which called
for heroic measures. Leaders Of the
various farm organizations, bankers and
business men generally realized that a
second large crop would produce stu
alton from which it might take years TO
recover.
Then began an educational campaign
to reduce the 1921 cotton area TO a
figure that would insure a moderate
yield and automatically elevate the price
above the cost of production. Then pen
succeeded far beyond its original intent,
for the growing season proved unpropi-
tious.
Boil Weevil Scourge.
A protracted drought in regions west
of the Mississippi destroyed millions Of
acres of the most productive portion
of the cotton belt. 1t was during the
progress of 1921 that the boil weevil eX-
tended its sphere of activity until vir-
tually 100000 out of the 100000 square
miles in the entire area under cotton
cultivation became infested.
In one year. the sitaution changed
so that with the beginning of 1922 it,
was no longer a question of how to de-
wise methods of limiting production but
rather of raising a yield sufficient to
meet requirements. Prices had risen
to IS cents and 20 cents, making cot
ton growing once more remunerative.
It was from this background that the
sensational course of recent events had
its origin,
Serious Underestimate.
During the early part of the present
year, spinning industries suffered from
a serious underestimate by the De-
partment of Agriculture in the fall of
1921. Fears Of a shortage had been
awakened by an October report that the
yield would be only 6,500,0O0 bales.
This so startled the world that mills
and particularly those of Great Britain
rushed into the market to protect them
selves against future requirements. Day
after day Manchester bought from TO-
900 to 10000 bales. driving prices in
Liverpool to 154. Then. when the yield
turned out 100000 bales. prices de-
clined sharply. leaving manufacturers TO
work off goods made from high priced
raw material.
Outlook Was Menacing.
Spot dealers in this country, misled
in the same way, carried cotton in
warehouses at a heavy loss. Labor trou-
bles in New England, followed BY the
coal and railway strikes, furnished add
ed combinations, In manufacturing
circles. there seemed TO exist n condition
of paralysis. The entire business out
look assumed so menacing an ASPECT
that few were bold enough TO hazard
risk. involved in making future engage
ments, Mills used reserved stocks of
raw material for what new orders were
booked There was hardly n mill in the
country that was NOT carving some cot
ION bourbt at high nrices in the fall of
1901
Plans for Greater Acreage
With This condition prevailing in
trade quarters tba South began its
WANTING nronorations Notvitbstond-
inc The fact tbot nricas had failed 10
maintain tho mace SCI tbe nrevious fall.
nortir Jue 70 uorkin0 off the carry
a,-or f,or, 1000 'cottnn Growers General.
L. ro,I;zoJ ,bot a COL 1;oId tbis- voor
b,J row bcconnn imnarotive Instead of
notto,, +oiIn,o,,t nIons wore node 70
;,,oro"so ocrooso rnotorioIIv n was
oonf;dontIv Tre5iotoJ in Anil that
vG.tLi"t tnutIo o.ror On nn- corf |
49,, 49,, oot,o,, ,,.o,,l5 10 ,,Io,teJ Tho, tbn
, n.y. roa,. Or, 70 ravaces NJ the
~, 80, .,r.r.o,no Loj 90 ho ,,aIs |
ui W. ';, ~ ,,.,t 10, 10" on,, ,rJ IN
o,i,o,. - -oiso ,bo cron I,acassorv II yeas