The Waterbury Democrat., 1936-07-08

B14kAS Okk VkAS4I 4ACCS W4AS44S these days.
 Unbelievable as it may seem, there is Q shortage of cotton. Tex tile manufacturers arc bombarding the AAA with urgent wires pleadS ing for the release of govern naent.held stocks in order to keep their mills running.
 A million bales of this reserve, released several weeks ago has been consumed, and the AAA will shortly unload another large sup- ply. The demand has brought government stocks of cotton down to approximately S,BO0,00 bales about half of the maximum once held.
 AAA executives believe that before the 103e crop reaches the market the government re- serve will be cut to around B. BOO,OOO bales. This was the amount in government possess sion when the New Deal took office in 1888.
 Two reasons arc behind the ris. ing demand: CD Marked improve ment in business. Principal con- sumers of cotton in recent months. have been makers of automobiles, tires, shirts, dresses, upholstery, and similar consumer goods. (2 This years crop is somewhat backyard due to indictment wealth. CT conditions.
 Cotton Deals
 When the Roosevelt Administra- ton took office 1t inherited 2,600,- 900 bales of cotton from Hoov- CTS Farm Board. This has been disposed of. The Now Deal itself went heavily into the business of accommodating cotton to bolster up sagging prices.
 At the close of the year 1883 Uncle Sam had more than B. OOO,OOO bales of cotton on his Ihands-approxlmately One.halR of Q years domestic output. The sltuatoln appeared serious. But In 1895 things began to break the other way. :. ....... .. [" :,
 When the new season opened this spring, the government had reduced its reserves to 4,600,000 bales. Wallace's experts at that time estimated that another 1,- 100000 bales would be sold before the new crop reached the market. Their calculations proved to be too conservative.
 Current demands indicate that the figure will be closer to two million than to one.
 NOTE-The cotton situation is certain to have important politi- cal effects in the South. A strong cotton market with good prices plays havoc with republican hopes of making any inroads whatever. Drought Report
 While cotton Is apparently coni- ing out of its long sojourn In the doldrurns, other farm commodities are bringing frowns to Wallace's staff.
 The crop report to be published by the Department of Agriculture next Friday Is the most anxiously awaited one in years. Based on thousands of reporst from local agents, the survey will provide the nation with its first comprehen- sive data on tho extent of the drought damage.
 Simultaneously with the fate. full report, tho department will release 8 special survey of the
 nations food supply. Purpose of this is to offset possible alarm over tho serious crop con. dltlon to be disclosed by the drought report.
 Wallace's advisers fear most that retail prices will begin to reflect the soaring quotatoins on the Grain Exchange. A boosst in retail costs would have serious revcrberations among consumers and Wallaces' experts say an in. crease is not justified.
 Still Pooh. F P00hing
 They pooh-pooh any danger of Q food shortage. Despite the serious drought damage, they point out that there is ample wheat for domestic needs. Last years carry-over was i2b, 100000 bushels, this years crop will be 450,000,- GOO bushels, and about 46,000,- 900 will be imported.
 What the drought hes done to corn is not known and cannot be definitely ascertained until late in July, since rains in the next ten days should offseet the lack of moisture In June.
 Officials believe there is no shortage in livestock yet in sight, pointing out that cattle and hogs have been on the increase for two years.
 HOWEVER, DESPITE THESE OPTIMISTIC CONDITIONS, AG- RyCULTURE CHIEFS MAKE NO SECRET or THEIR FEAR OF A RISE IN FOOD COSTS.
 Radio Report
 Oscar Johnston, manager of the AAA cotton pool, has found a way to take care of his cotton plantatoin and 90 watching at the same time.
 When he leaves his plantation at Scott, Mississippi, he gives final instructions to his planta- 4s~,. seAana9Aw aud nnaArlsa6ne with