Evening star., 1935-05-12
Cotton Competition Is
Now a Serious Threat
BY HARDEN COLFAX.

mittee, appointed to study the cotton
textile situation, has been struggling
with the three thorny problems con-
nected with the troubles of cotton
the necessity to reWganize the indus
try, the effect Of the processing tax
and competition from foreign pro-
ducers-it is the last that has been
making the most dramatic appeal to
the American business world.
Is there any really good reason for
the South to be concerned over the
possibility that foreign growers might
take away the market abroad for
American cotton? Is there any real
danger facing American producers Of
cotton textiles that such industrial
nations as Czechoslovakia and Japan,
particularly the latter, will make seri-
Gus inroads in our exports of cotton
finished goods, in spite of our tariffs
and what the N. r. A. may do TO
soften international competition?
These are the questions to which,
so far. answers from administrative
officials have been in the negative. 1t
has been considered that this country
has the best cotton land, labor and
climate, while our foreign competitors
must face factors that would prevent
them from taking our markets from us
Recent reports to the Departments
Of Agriculture and Commerce from
our agents abroad, however, indicate
that. in producing the raw material,
competition from India and Egypt Is
increasing, while other countries with
favorable climate and soil conditions
are becoming increasingly able to sat-
isfy their home needs.
In Egypt the cotton industry Is
somewhat handicapped by the neces-
sity for irrigation. Current reports
from Government agents at Rio de
Janeiro say that increased cotton
acreage has been planted in Brazil
this year. Brazil Is believed to be a
huge potential grower of cotton. and
Argentina figures prominently in fu-
ture production. Our Government
agents at Rio report a recent over
ture from the japanese government
to the Brazilian government. seeking
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acreage Of Brazilian land and to send
large numbers Of cotton workers to
Brazil.
Japan is regarded as our chief
competitor in cotton textiles. Our Gov.
ernment figures agree with those Of
f1cially issued at Toxic to the effect
that, all textiles considered, Japanese
exports to this country are compara-
lively small. When 1t comes to GER
tain categories, however, such as cot
ton cloth, Commerce Department
figures show there has been an aston
ishing increase in imports from Japan
during recent months. In fact, during
the first three months Of the present
year the importations from Japan OF
cotton cloth, bleached. unbleached
and printed or dyed, both in yardage
and value. were almost equal to the
total importations of these kinds dur
ing the entire year 1884.
Recent studies of the cotton indus
try of Japan and China show they are
producing goods Of a quality which
stands up well in what were formerly
British and American foreign markets,
and that the social and labor condi-
tions under which this product is
turned out in Japanese mills are COM
parable to those in England and the
United States.
Japan grows no cotton herself, but
imports it all, by far the largest guam
titles coming from India and the
United States, and the remainder
from China and Egypt. However, this
handicap of being compelled to buy
all her raw material in foreign mar
kets Is perhaps equalized by her prox-
unity to her great Eastern outlet.
Heretofore Japan has confined her ef-
forts very largely to China and India,
has built up large and efficient mer-
chant marine, has established lines of
communications and agencies in the
Orient and has already made substan-
tial inroads into British markets In
India and American markets in the
Philippines.
An official study of foreign competi-
ton in cotton, made by the Bureau Of
Agricultural Economics, but not yet
published, Is believed to show that the