Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-08-14
COTTON PROPOSAL
SEEMS DOOMED BY
GOVERNORS STAND
DisapprovaI Informally Ex-
pressed by Seven of ID
Queried by Stone.
REJECTION is SENT
BY GEORGIA EXECUTIVE
No Alternative Considered by
Farm Board for Sta
bilization.
BY the Associated Press.

BY the Associated Press.
Abandonment Of the emergency cot
ton sterilization proposal seems certain
II the informal expressions of dis
approval made by seven Southern Gov
ernors on the Farm Boards crop
destruction plan are followed by formal
reflections.
Chairman stone, in his kilograms to
IA Governors urging acceptance OF the
proposal to pillow under one-third OF
the standing crop to avert economic
disaster in that section, indicated 10
out Of IA must agree.
The kilograms read:
IF the 10 largest producing
States accept and carry out this pro-
gram this board will do all in its power
to support the program and will pledge
itself to permit no sales by the Cotton
Sterilization Corporation of its present
holdings before July /, 1882, and will
urge upon the cotton co-operatives
financed by the board the desirability
Of similar action by them on their
stocks OF 1880 cotton now held"
Rejected by Georgian.
Thus far only four replies have been
received at the boards ofices. One
came from Gov Sterling Of Texas pledg-
ing the support OF his State. Another
from Gov. Russell Of Georgia rejected
the suggestion. The other two replies
were not made available today.
The board has considered no alterna-
tive in the event the crop destruction
idea fails to meet general approval.
Resumption of sterilization purchases
Is regarded as an extremely remote
possibility.
Chairman Stone said recently in
speaking of the low wheat prices that
the board would not undertake such
operations in that commodity, adding
that to do 50 would require millions OF
dollars which the boards treasury
could not spare
IN the cotton sterilization operations,
1900 900 bales Of the 1929 crop were
purchased. Last September the board
announced 1t would not authorize sales
from that source at least until July 81
of this year No new policy has since
been definitely announced, except that
it was agreed TO hold the cotton for
another year IL the cotton destruction
proposal were adopted.
Speculation ON Surplus
Speculation today centered upon the
Likelihood Of formal agreement to
retain this surplus cotton for another
year, even though the boards emer-
Rency plan we're rejected by the Gov
errors.
The destruction proposal was adj
yanced after the Governments crop re-
port placed the prospective 1891 haT-
vest at 1884, 900 bales, more than
a 500 600 larger than last year Stone
has figured the prospective carry-over
OF American cotton a year hence at
IL 600 900 bales. almost enough to sup
ply demands for year.
Gov Sterling has been prominently
identified with movements 70 reduce
cotton production. He recently con-
Vened a conference Of Southern officials
in Austin TO obtain general adherence
70 q bin then before the Texas Legisla-
tuTe providing penalties for growing
cotton two years in succession on the
same land The bill later was aban
doned. The Farm Board declined to
send q representative to that meeting
Reports reaching here were virtually
unanimous that 1t would be an impos-
sibility to get all farmers to pillow under
q third of their crop, In this connec-
ton, It was recalled today that the
board last Spring rejected a plan adj
vanced by wheat growers that one
fourth of the 1881 wheat production be
held on farms. The boards answer
was that such q sign-up campaign
among wheat farmers would not be 100
per cent successful and, furthermore,
the problems of wheat growers were
not identical in the various producing
sections.
Futures Quotation Advanced.
Although trade circles also expressed
skepticlsm concerning the plan. quota
tons IN the futures markets advanced
with the Farm Boards announcement,
In Liverpool prices advanced 81 a bale,
and In New York there was a maximum
advance Of 81 SIS a bale.
As these increased prices were being
studied telegram was received from
Representative Patman, Democrat, OF
Texas. who urged the board to Join With
him in a plea for a special session Of
Congress 70 set minimum prices at 20
CONTINUED on Page 2, Column -
~-4~------ s~-----~----