Henderson daily dispatch. (Henderson, N.C.) 1914-1995, 1940-06-28
President of Tobacco
Association Says the
United States Faces
Loss Of Two-Thirds to
Three-Fourths of Ex-
ports.

White Sulphur Springs. w. Va,
June 23.-(AP)-Tobacco growers of
the United States face the immediate
prospects Of losing from tWo-thirds
to thrce-fourths Of our total tobacco
exports" President James S. Flick
len of the Tobacco Association of the
United States, told members OF the
organization today.
If it develops that neither Great
Britain nor the countries now oc-
cupied by Germany can import any
of the 1870 crop, which seems likely"
Ficklen said in an address prepared
for delivery at the associations an
nual convention, land the other
countries of the world do not in
crease their purchases. and it seems
unlikely that they Will-China being
a possible eXception-our total eX-
ports will drop TO approximately l2O
million pounds, Of which other types
will account for so million pounds
and flue-cured 70 million pounds"
He said that lit is not known
whether exchange will be provided
for the ITO million pounds Of leaf
which British firms hold under OPP
ton.
1T is possible that production
quota may be put into effect re-
stricting the output to a lower figure
for the duration of the war;" he con-
tinued.
vIf credit arrangements can be
made, and l hope this will be pos
sible when by payment in the form
of exchange is not required to take
delivery of the tobacco under option
it seems less likely that quota will
be invoked.
How much Of this lost business
will eventually be rcgaincd depends
entirely upon the outcome Of the wal.
An ultimate loss seems inevitable.
1t is purely question OF the extent
Of The loss
Under present disturbed conditions,
Ficklcn said 1T appears probable
that the commodity credit corpora
ton will again find il necessary to
buy from the 1910 crop, probably
combining their purchases to the OK
port types as they did last year.
"Whilc such action on the part Of
the government seems fully war
rantcd and absolutely necessary "DW,
it must be remembered that we cam
not operate indefinitely under pO-
Icy Of piling up SURPRISES in the
hands of the government without
bringing an ultimate day of reckon
ing.
Referendum has been called for
July 20, at which time the farmers
will vote on both a thrcc-ycar con-
troll plan and onc-ycar plan"
As one of the haraSsing problems
confronting the tobacco industry,
President Ficklen pointed to ship
ping conditions, which, he said, "havc
become more unsatisfactory than they
have been at any other time during
the present century"
'Instead of having an ample sup
ply of ships hungry for cargo, we
are now having d scarcity of ships
even for the reduced volume Of
cargo"
In his address the associations
president referred to selling prac-
tees in Georgia.
For sometime the trade has felt
that the Georgia farmers will have
to grade and tie their tobacco, there
by offering il for sale in the same
manner in which it is offered in
other districts in order TO find sat
isfactory market for their product"
ne said.
The markets for the past several
years furnish convincing evidence on
this point. In 1888 the ungraded and
united Georgia and Florida crop
averaged 5000. The remainder OF
the bright crop, graded and tied, az
eraged $3.50. In 1889 the Georgia
and Florida crop averaged Sl2.70,
The remainder of the bright crop,
S15.15.
Assuming that the Georgia and
Florida crops of 1888 and 1899, if
graded and tied, would have brought
an average equal to the other belts,
which seems a reasonable assump-
ton. then the Georgia farmers lost
S2,326,000 in 1888 and S2,839,000 in
1889 by selling their tobacco in the
ungraded and united condition.
The grading and tying could have
been done by the farmers thensel-
yes without extra labor costs or ev-
penses OF any other native with The
possible exception Of a small outlay