Evening star., 1924-06-05
VARIANCE IN VIEWS
OF TEXTILE SUPPLY
Different Opinions a. to Existence
of Surplus Expressed by Raw
Material Producers.
CLAIMS BACKED BY FIGURES
Optimists See More Clothing Worn
Than Ever Before.
BY j. T.. ROYIE.

Special Dispatch to The Star.
NEW YORK, June 5.-Difference OF
opinion. the thing which makes
horse races-and sometimes business
exists as to whether there is sur
plus OF cotton and wooden goods now
in existence. The foreign textile men
and many Of the American producers of
raw materials, contend that while
there may be a surplus OF some kinds
of goods in the United States, as in
dicated by slack demand for dry
goods and curtailment of America
mills. this is not a world v ide condi-
ton
They base their assertion IS to cot
ton goods on the figures showing
consumption OF American staple.
From 1908 to 1913 the world used up
66.40S,000 bales, according to II. g.
Hester, secretary of the New Orleans
Cotton Exchange. In the jeriod from
1913 to 1913, 6s,i54 ,o00 bales were
used. but from 1918 to 1923 only 5a,-
093. 900 We're fabricated.
View OF the Optimists.
The optimists in textile and cotton
circles declare that more people are
wearing clothing than ever before,
and the world must consume an in
creased quantity OF cotton for some
time to come to make up for the ten
million bales il did not get from 1918
TO the present. because of short
crops in this country. They conclude
there must exist shortage in the
world that will have to be provided
for.
The foreign mill owners are back
ing up this opinion by buying Ameri-
can cotton despite its present high
price. Exports to other countries are
running now at a rate which indi-
year, as compared with 4.S50,oe0 last
year. They also point out the in
creased uses for cotton cloths i'm
aeropiane and automobile manufac-
ture. as well as in clothing, bags
and other products.
other side Of Argument.
on the other side of the argument.
some American cotton manufacturers
assert that dry goods buyers are
holding off in the hope the next crop
VIII be large enough and cheap
enough to bring down the price of
goods.
The mill owners indicate they are
following a similar policy in regard
to buying raw material. since spot
cotton is now above 30 cents, whereas
cotton goods prices have been cut
proportionately to a basis of under
-
that If crop conditions continue bad
they can provide for their needs
through the future markets and then
raise the prices of their goods
sp~ruiators Swapping Up Goods.
Spectators have scented the situ-
alton. and are swapping up dry goods
offerings in belief they are as cheap
az they are going to be, and in antic-
ipa ton of a possibility that they and
~ m m inf i've
petition for the contracts offered by
spot houses hedging cotton. Many
growers openly express the hope that
something will occur in the crop sit
uation to hold down the price of cot
ton. This is too early in the crop
year for sustained bull movement.
and they desire to avoid one for fear
of collapse later il the crop outlook
improves.
Discuss Wooden Goods.
In regard 10 wooden goods. the for
eign manufacturers feel that the
American manufacturers are under
stocked. That fact, they say, is re-
sponsible for the fact that through
out much of this year the lever Of
prices in the foreign markets has
been higher than that in this country.
The United States consumes approx
mately % per cent Of all the wool
grown in the world, and the number
of sheep has declined 10000. 600 head
since 1918.
Declaration of the regular dividend
on American Wooden stock is regard
sd in New England as signifying be-
lief of the mana cement that the
worst of the depression in woolens is
over. The mills of the company as
whole now are operating at 50 per
cent of capacity. with the wooden di-
visions at 81 per cent.
There is a possibility Of, further
curtailment of the Lawrence, Mass,
mills until the opening OF the light
weight goods season next month, but
such a reduction of production, il is
believed, will be temporary.
SILK Situation Favorable.
As 70 silk. the situation at present
is fairly favorable to the manufac
tured. since prices for the raw prod
uct are at a point only a little above
IS a pound for most grades and ship
ments bid fair to continue heavy from
Japan and the Orient. This has en-
abled manufacturers to quote prices
to stimulate demand.
The demand still continues strong
for artificial silk, or 'rayon, as the
product probably will be generally
called in the future. The trade wen
a prolonged argument as to
the name for this product. but al
though the vote of the American SILK
Association has not been announced,
there is no real doubt that the new
term will be indorsed by that body.