ville Journal a statement of the charges incident to the transportation of cotton from the American fields to the European mills, which are shown to amount to more than the cost of manufacturing the article into coarse cloth at home. This fact is regarded by the able Editor of that valuable paper as calculated to sustain our "predictions" relating to the cotton trade; and we thank him for reminding us that our statement was made in general terms, unfortified by facts or arguments. Having previously discussed the subject of manufacturing cotton in the South and West in De Bows Commercial Review, and, also, in our Journal, we did not deem it profitable to reiterate our arguments, when introducing an article from another pen relating to the same matter. Nor should we bring the subject now before our rea ders but for the reason that we believe there are other arguments in favor of manufacturing cotton in the southern States more potent than those derived from the cost of transporting it to foreign mills. It may be safely affirmed that the production of cotton has reached its maximum in the States east of the Mississippi river; and many years will not elapse before the maximum will be attained in Texas also. And, when the production arrives at this point, a large portion of the subsequent increase in the number of laborers must be transferred to the mills, as the only place where their labor can be made profitable. Abstract theories respecting the advantages of free trade with foreign nations may lead men into the fallacy of relying almost exclusively upon other countries for commodities which they could produce as cheap at home so long as they can employ all their labor in the production of cotton; but, when labor becomes redundant for this purpose, and the practical question of employment comes up, no further argument will be required to convince the planter of the advantages of spinning and weaving his own crop. And therefore nothing is more clear to our view than that the manufacturing of cotton in the Southern States will increase in proportion to the future increase in the number of laborers until the entire crop shall be manufactured within the limits of the slave States-excepting a small quantity which may perhaps be sent to other countries to be wrought into very fine fabrics. We find it generally admitted that Great Britain, France, and the Eastern States will continue to manufacture the finer fabrics; and, that the operations of the South will be confined to the production of coarse goods; but we can perceive no sufficient reason for this opinion. The mills in the South are now operated principally by free laborers ; this is a natural consequence of the present condition of that region. Nearly all the good land is in possession of the slave holders: and free laborers seek employment in the cotton mills rather than cultivate land that will scarcely yield them a subsistence. And we know of no reason why these free operatives should not become as skilful in spinning and weaving as the English or French. In time, slave laborers will take their places in the coarser work; and they will be transferred to the establishments designed for the production of finer fabrics, and thus every quality of goods will be embraced in the list of Southern manufactures. None of the thousand estimates made as to the relative cost of free and slave labor are applicable to the subject of manufacturing cotton in the South; for it must be borne in mind that the time is rapidly approaching when the policy of manufacturing will turn upon the question whether the redundant labor shall be profitably employed or emancipated. The slave population doubles in about twenty-five years: and we hazard the prediction that three fourths of the crop will be manufactured in the South and West within that period, dating from the present time. This result flows naturally from certain laws, inherent in the institution of slavery as it exists in the United States; and nothing in the ordinary course of human events will impede their operation, except the acquisition of additional territory in the South. The far seeing economists and Statesmen of Great Britain are looking to this result; and anxiously seeking the means of protecting the labor, machinery and commerce of that country against its consequences. The issue of the final struggle between Great Britain and this country for commercial supremacy is involved in the direction to be given to Southern labor: this great battle is to be fought with spindles and shuttles across the broad Atlantic; and upon the skilful use of these novel instruments of war depends a prize more briliant than any ever won by Grecian or Roman arms. To the Southern States, if they are true to themselves, will belong the glory of achieving this great victory for our common country; and long may they enjoy its benefits. The following statement of the charges upon a shipment of cotton from the United States to England with the remarks of the Editor of the Louisville Journal, will be found interesting and useful to the provision grower of the West as well as to the cotton planter of the South: for from these facts he will be able to estimate the price he pays for the privilege of competing with the labor of Russian serfs in the British markets. EDITORS. WHAT THE COTTON PLANTER PAYS HIS CARRIERS AND FACTORS AND WHAT HE MAY SAVE BY BRINGING THE SPINDLE AND THE LOOM NEARER THE COTTON. It was stated in the New York Courier and Inquirer, some months since, that the unnecessary transportation of our cotton for manufacture in England was more than the home cost of converting it into coarse fabrics. If such is the fact, the predictions of the able editor of the Western Review at St. Louis may have been well considered. He says that the United States will soon work up their own cotton and import the staple from other countries. The statement alluded to is in general terms and requires the items of cost to carry conviction to the minds of those who doubt our capacity to become independent of England. Below is a bona fide account of sales handed us by a friend who shipped part of his cotton direct to Liverpool and thus saved commissions at New Orleans: Account of Sales of 126 bales of Cotton received per K. Hunter from New Orleans on account of W. R. C. 1850. Feb. 2.-By D. B. Sons & Co., payment 3 mos. 10 days. 126 wg. 494,2,10 1,0,14d 493,2,5 17,2,14 Net, 53,303 lbs......... 475,3,17—at 63 £1526,18,0 Charges. To marine ins. and stamp 29,9,5, dock and town dues 3,8,3...... £32,17.3 "freight on 53,850 lbs. at 34,2,11, primage 4,4,2 "cart. and port. 5,5,0 canvas, and mending 3,16,0 "fire ins. 4,3,9, storage 2,14,6.... 88,07,1 9,01,0 6,18,3 "int. 15s., banker's com. 4,16,4, postage 2s.............. "commissions, delcredere and brokerage 3 per cent 4,11,4 45,16,1 187,11,7 Net proceeds cash, May 15, 1850...... £1338,0,5 W. J. & Co., Net proceeds were $5,952 55, which, with exchange, was, say, 13 cents per lb. The foregoing shipment was made on very favorable terms. A "living" freight is full 1 cent per pound. The ordinary course of shipment is more expensive and attended with more delays. When cotton averages 10 cents per pound at New Orleans, the following items make up the cost of transporting from the plantation to the English mill: Freight to New Orleans, bale of 430 lbs., worth $43... Factorage and charges at New Orleans or what the Eng- Marine insurance and stamp 2 per cent.. Dock and town dues per cent....... Cartage, porterage, storage, fire insurance, banker's commission, &c., per cent.... Commission and delcredere 3 per cent..... Loss by waste and sampling 4 per cent.. Speculator's profit and interest 5 per cent..... Interest from New Orleans to Liverpool say 1 per cent.. 40 per cent. or 4 cents per lb. $1 00 21 25 1 12 1 72 4.30 1 12 11 32 1 29 1 72 2 15 1 12 43 $17 25 The English charges are, as will be observed, under estimated by nearly one-third. These are actually made on the first cost and the preceding charges. For convenience, we have put the per centages on the first cost or 10 cents per pound. While some of these charges are occasionally saved, there are, and perhaps as often, additional expenses or losses. The result corresponds with the estimate made by Montgomery some years since. The cost of carriage, including interest and insurance from the plantation to a mill at or below the falls of the Ohio, is about cent per pound. The yarn and cloth, when manufactured here, are now, or soon will be, as near the yarn and cloth consumers as is Manchester, England. The unnecessary waste of capital and labor is, then, 3 cents. per pound, or something like thirteen millions of dollars a year on the cotton exported from New Orleans. If we add the further cost of bringing the English goods made out of this cotton and consumed by us, the figures would be more startling. The million of bales now exported from New Orleans should all be made up in the valley into yarns and coarse cloth. Instead of exporting our raw cotton to the yearly amount of 43 millions of dollars, we should export yarn and cloth to the yearly amount of 150 millions of dollars. At our home price of labor, the whole cost of converting the cotton into yarn is less than 3 cents per pound, and the cost of making the cotton into brown sheetings has been reduced, in New England, as low as 33 cents per pound, exclusive of insurance and interest. The low cost of English labor (if it is low) has nothing to do with our capacity. The extra cost of transportation exceeds the home cost of conversion. The common sense of our people now regards this as certainthat the coarse fabrics, of which our great staple is the chief element, must soon be made where all the elements can be gathered together at the least cost; and that capital and labor will be attracted to the points where they can be most economically, efficiently, and profitably employed in combining these elements. English money is now sent to New Orleans to buy cotton. Four times as much would be sent if the New Orleans merchants had yarn and cloth instead of cotton. Some have supposed that the establishment of cotton mills at the South and West would destroy the cotton manufactures of New England. By no means. The result would be the establishment of New England mills on a basis firmer than ever. The New England mills, in coarse goods, are competing with each other, and not with England. Were the duties on coarse goods repealed entire, not a bale would be imported. The New England manufacturer wants an adequate protection on finer goods-and this he can never get (in our opinion) until the West and South see the benefit of home manufactures; not the benefits in New England, but at their own doors. Had the New England manufacturers five years ago erected a dozen first class cotton mills at commanding points in this valley, and filled them with the best machinery and the most efficient operatives, we should now have a tariff more favorable to them than that of 1842. Our people would see the direct as well as indirect advantages of a home market and a diversification of pursuits. Just as soon as our voters understand that Kentucky and Indiana can compete with England as well as can Massachusetts and Rhode Island, they will sympathise with the New England manufacturers. They will join in giving adequate protection to every manufacturer, whose fabric can, in due time, be produced at home as cheap as it can be obtained from abroad. The parts of the play would then be re-cast-New England would run her machinery and use her mill on fine and fancy goods, and the South and West would produce yarns, coarse cottons, and probably prints for home consumption and export. If we can quadruple the value of our exports by sending abroad goods instead of staple we can afford to pay large wages and profits to the skillful operatives and experienced factors of the East. |