Evening star., 1924-05-29
FORESEE 'UPHEAVAL'
IN DRY GOODS TRADE
Advance in Market Prices Predict
ed by Experts Connected
With Textiles.
BY j. C. ROYLE.
Special Dispatch TO The Star.

special DlSpdlcn 10 Inc Stdr
NEW YORK, May 29.-An upheaval
of the dry goods market in the next
few months. which would affect
practically every user and wearer of
cotton goods. would not surprise
some we'll informed experts closely
connected with the textile industry.
Already there is some evidence that
cotton cloths are being bought and
held for speculative purposes in much
the same way that raw cotton is be-
ing handled by traders 1t is under
stood that the majority of this trad
ing is being done by men prominent
in dealings in the raw staple. who
are carrying their ideas as to the
coming crop step farther into the
goods market.
Their belief that revival of de-
mand for cotton goods is not far off
is based on the fact that goods prices
are below the relative level at which
raw cotton can be purchased through
contract markets. Prices of raw cot
ton. they say, are more likely to in
goes on and picking approaches,
owing TO the poor start the crop re-
ceivcd this spring and the ordinary
vicissitudes of weather, insect poets
and foreign buying.
Anticipate Crop Estimate.
Many cotton men believe the gov
ernment crop estimate to be issued
next Monday will place the condition
and probable yield even lower than
the private reports already made pub
lie, owing to the u favorable weather
which has prevail since the latter
were compiled.
One of these forecasts. usually ex-
tremely accurate. placed the condi-
ton q / 66.6 per cent of normal. which
compares with a five-year average of
$50 and a ten-year average of 1913
per cent. The indicated yield from
present condition and acreage figures
used was fixed at 11,210,000 bales.
This estimate probably will be low
vances and the plants reach the stage
where the weevil is damaging. La
Dor seems sufficient in most sections.
but hot dry weather is regarded as
essential.
Mil CurtaiIment Drastic.
Curtailment of the cotton cloth
mills has been drastic in some sec
tions and it is indicated that the num-
ber of spindles active at some time
during this month will fall well be-
hind the 31.S71,665 reported for April.
If this curtailment is continued it
may mean that the mills will have
very light stocks on hand in the late
summer when the trade needs goods
for fall 1t is to meet the demand
that the spectators have been buy
ing up the product of American mills.
\ shortage next fall, raw cotton men
say. would probably give the foreign
mills an opportunity to gain firm
foothold in American markets since
foreign manufacturers already have
bought one million more bales of
American cotton this year than last.
American cotton mill men are not
agreed as to the reasons for the sit
uation. which all admit is unsatisfac-
tory from the standpoint of cotton
goods. Some attribute the dullneSS to
dumping of foreign cloths on this
mark ct, and advocate an advance in
tariff rates to check this tendency
Stewart w. Cramer, chairman of the
| Legislative committee of the Ameri-
! can Cotton Manufacturers Associa-
tion, placed special stress on the
spread between the prices asked by
| manufacturers and those asked by
retailers.
Distribution Cost Considered.
The cost of distribution is frankly
| the trouble" he said. 1T is up to the
women to study and Investigate that
I before there is any real substantial
reduction in goods prices. So long as
women demand the variety, quality,
credit and service they are getting
| Just so long will the cost of distribu-
| tion remain high"
| New England manufacturers are
| continuing to invade the south in
order to meet southern competition.
| The stockholders of the Fairhaven
mills, with a plant in New Bedford.
| have voted to organize a company
called the Pemaauid mills. to which
the New Bedford factory will be
! leased, and to start another company
to operate plant at Fort Worth,
Tex, where conditions are more fa-
| yorable. The Fort Worth plant will
| make tire fabrics, while the New
England factory will confine it's ac-
/ tivities to fine goods.