We proceed to observe, that a protective system increases the demand for raw cotton, sustains, and tends to raise, its prices. Comparative Statement of the Effect of exchanging one hundred Bales of Cotton for brown Sheetings in England and the United States, at the ruling Prices in both Countries for Sheetings one Year ago, as quoted by Mr. M'Duffie's Tables, and for fair Cotton as quoted in Liverpool and American Price Currents at the same time : Amount of sales in Liverpool of 100 bales of cotton ..... 100 42,000 lbs. . 1,500-1,600 ..... 40,400 lbs. $3,535 00 $14 50 22.00 731 35 79 1 25-$80 85 Dock dues, £4 0s. 6d. ; town dues, 16s. 8d.= £4 17s. 2d...... Warehouse rent, 1d. per week for 12 weeks, £5. 23 32 252 50 17 78 1176 24.00 252 66 26 404 00 Brokerage, d. per ct. ; insurance, d. per ct.; 3 mos. 10 ds. in- Net amount of proceeds, in Liverpool, of 100 bales cotton This amount of proceeds invested in best stout English sheeting, as quoted in Mr. M'Duffie's tables, at 3d.=7} cts.— per yard, is 30,859 yards................ Commission for purchasing, freight from Manchester to Liv- 30,859 yds. ... 3,086 yds. ..... 27,733 yds. Quantity of sheetings returned to the planter........ 100 bales of cotton-42,000 pounds-at 64 cents, is. $2,730 00 $2,843 75 113 75-$2,730 00 And this must be evident from the foregoing facts and reasonings, though, as shown by the "Southern Planter," above cited, it may RESULT. "The one hundred bales of cotton pays for 43,750 yards of sheetings-cotton sold and sheetings bought in the United States. "The same cotton pays for 27,773 yards of sheetings-cotton sold and sheetings bought in England; or, in other words, it is 57 per cent. in favor of the American trade, if the goods are imported free. "It thus appears that the planter can get for his one hundred bales of cotton, in this country, a much larger amount of (57 per cent. more) of equal goods than in England, without duty. "To see how it would affect the planter and the country, if the trade were increased as the senator proposes, foreigners made its agents in everything to aid them to purchase our cotton, and our manufactures abolished, I will consider the whole cotton crop sold in England, the proceeds converted into cotton goods for our consumption, and these imported free of duty in this country, and also at his proposed duty of 20 per cent. "This I illustrate by an example of one hundred bales, and also by one embracing a crop of two millions of bales : Sales of me hundred Bales of Cotton in Liverpool, at Prices of February 3, 1844, and Proceeds invested in best English Sheeting at the English Prices, as per Tables of Mr. M'Duffie, of January 31, 1843, and sold at the Prices of last Spring (1843), also per Tables of Mr. M'Duffie, with an Addition of 25 per cent. for the Advance in Price of such Goods during the past Year. 100 bales of cotton... SALES OF 100 BALES COTTON. 42,000 lbs. Draught, 1 lb. per bale, 100 lbs. ; tare, 4 lbs. per cwt. on 375 cwt. 1,500 1,600 lbs. 40,400 lbs. At 5 d. 11 cents.... $4,646 00 Deduct charges in United States and Liverpool, as per statement No. 1, annexed...... 1,023 86 Net....... $3,622 14 PURCHASE OF SHEETING. Invested in English sheeting at prices of 1843, with an advance of 25 per cent. for rise since : 36,656 yds. of sheeting, called in England "stouts or domes tics," 2 yards to the pound, at 3d.=72 cents per yard..$2,840 90 Charges: Commission for purchasing, freight from Manchester to Liverpool, dock dues, &c., 2 per cent..... Add 25 per cent. for advance in price in English market since ..... 56 82 $2,897 72 ... 724 43-3,622 15 ..... SALES OF SHEETING IN THE UNITED STATES. 36,656 yards (at the same price of American, and of same quality, weighing 2 yds. to the lb., Laurence C, as per table, for spring prices of 1843), 64 cents.. Add 2 cents per yard on 36,656 yards for rise in price since January, 1843, as per table.. $2,382 69 733 14 $3,115 83 be doubtful whether this is best for the interest. If it should be thought best to push the growth of cotton in the United States, till Charges: Expenses of importation, 7 per cent. on $3,622 15, cost on ...... shipboard.. Labor, cartage, storage, advertising, fire insurance, &c., 1 pr.ct. Interest for 9 months (sold on 8 months' credit, 1 month after receipt), 4 per cent. on $2,959 20..... Commiss❜n and guaranty on gross sales, $3,115 83, at 5 pr. ct. ..... $271 65 31 22 133 16 Net proceeds...... for the 100 bales shipped to Liverpool and invested in sheeting, and sold in New York at prices of 1844, being a rise of 31 per cent. from prices of 1843. "Now suppose the 100 bales of cotton to have been sold in this country at the prices of February 3, 1844, it would have been sold at 93 cents. 100 bales of cotton, 42,000 pounds, at 93 cents...... Saving-1 month in voyage to Liverpool; 2 months while on hand there; and 1 month for return voyage=4 mos. interest, 2 per cent.... Deduct amount of sales of sheeting...... Difference saved in selling cotton in the United States...... $4,095 00 81 90 $4,176 90 2,524 01 $1,652 89 "The cotton yielding 66 per cent. more by selling in the United States, than by shipping to Liverpool and importing sheetings and selling them in the United States-AND THIS, TOO, WITHOUT DUTY IN THIS COUNTRY. "The price of fair cotton is taken from Wilmer & Smith's Price Current of February 3, 1844. The price of best English sheeting, and best American (Laurence C) of same quality is taken from Mr. M'Duffie's table accompanying his speech. "In this example, if a duty of 20 per cent. ad valorem had been computed on the goods imported, it would have amounted to $724 42, and the 100 bales of cotton would have net but $1,799 59; and it would have produced 132 per cent. more, if sold in this country at prices in New York at the same time (February 3, 1844), deducting one cent per pound for charges for freight from southern ports, commissions, &c. Statement of the Account of two million Bales of Cotton sold in Liverpool, and the Proceeds invested in best English Sheeting (that being the cheapest article according to substance), and the Sheeting sold in the United States for Account of Planters. Deduct charges in United States and Liverpool, as per statement its prices shall be reduced to the maximum that would command the market of the world, the way is open; and it is possible that .$56,817,882 36 ing, called in England" stouts or domestics," weighing 2 yards to the pound, at 31d. 72 cents per yard, is....... Commission for purchasing, freight from Manchester to Liverpool, dock duty, &c., 2 per cent..... 1,136,357 64 $57,954,240 00 Add 25 per cent for advance in price in English market since January, 1843...... Sales of sheeting in the United States: 14,488,560 00-$72,442,800 00 733,133,966 yards (at the same price of American, and of same quality, weighing 24 yards to the pound, Laurence C, as quoted in Mr. M'Duffie's tables for spring prices of 1843), at 64 cents per yard $47,653,707 77 Add 2 cents per yard on 733,133,966 yards, for rise since January, 1843, as per Mr. M'Duffie's table.... Charges: Expenses of importation, 7 per cent. on $72,442,800, cost on ship board, is... Labor,cartage, storage, advertising, insurance against fire, 1 per cent..... Interest 9 months (sold on 8 months' credit 1 month $5,433,210 00 623,163 87 after receipt), 4 per cent. on $59,200,567 64.... 2,664,025 54 Commission and guaranty on gross sales, 5 per cent. on $62,316,387 09...... Net proceeds, without duty...... 14,662,679 32 $62,316,387 09 3,115,819 45-11,836,218 86 With a duty of 20 per cent. on foreign cost, $72,442,800, is...... Explanation of the result of this impolitic routine of business :—— Loss to planters without duty...... Duty paid in this country, 20 per cent..... Loss with 20 per cent. duty.. $50,480,168 23 14,488,560 00 $35,991,608 23 $10,126,412 91 11,836,218 86 $21,962,631 77 14,488,560 00 $36,451,191 77 "To have sold the cotton in the United States for cash at 94 cents, the price of February 3, 1844, it would have netted $46,268,398 more, or 130 per cent., than if exchanged for coarse sheeting in England and sold in this country at prices of January, 1843, with two cents a yard addition for rise since. The consumption of the United States of cotton goods requires, say three sixths coarse sheeting, drilling, &c., two sixths prints, and one sixth bleached shirting, &c. If such goods, and in these proportions, had been imported (instead of all coarse sheetings), the two million bales of cotton would have netted $37,474,728, instead of $35,991,608, a difference of $1,483,120, or about 4 per cent. more. "Since February 3, 1844, the time when the estimates were made of the price of cotton in both countries, it has receded 1 cents per pound. If we estimate at present prices for the crop, it would yield in the United States $69,360,000. As the return in cotton goods, of the most favorable descriptions (brown sheeting, prints, and bleached shirting), for the crop sold in Europe, yields $37,474,728, the this may be the natural result of competition. But, in any case, the protective policy is favorable to prices. The more the United difference between selling and investing in England, and selling here, would be but $31,885,272, or about 85 per cent. more, by selling in the United States. "Let us contrast the effect of this foreign plan, as presented in the foregoing table, with the result of the American system of trade and commerce upon the same crop of cotton : "Of a crop of 2,000,000 bales, say one fourth is consumed in this country, and three fourths in foreign countries: 500,000 bales, 210,000,000 pounds, worth in the northern markets February 1, 1844, at 10 cents.. Expenses freights and shipments, coastwise, secured by law to 1,500,000 bales sent to foreign countries, and sold at the same prices Paid American shipowners, merchants, &c., for freight Paid foreign duties, dock dnes, &c..... $22,375,000 2,100,000 20,275,000 = 11 cents, $69,690,000 $10,114,800 ........ ....5,243,100—15,357,900 54,332,100 Net amount to planters for crop...... 71,607,100 Deduct amount of same crop received when disposed of upon foreign system.... 37,474,728 Difference in favor of planters of the American over the foreign system 37,132,372 "Let us present the effect upon the whole country :"The 1,500,000 bales sold in Europe, including freight, &c., paid to Americans (if invested) in such merchandise as is required in the United States, will sell for enough to pay cost and charges, as follows: Sales of cotton abroad..... Less amount paid foreigners, duties, dock dues, &c..... $69,690,000 $64,446,900 Add charges abroad for purchasing, 2 per cent.. 1,288,936 65,735,836 Add freight and charges to United States, 7 per cent..... 4,930,187 70,666,623 Of this amount, say two thirds are dutiable goods, at 30 per cent. on $47,111,032, is... 14,133,324 84,799,947 Interest, and profit, and small charges, 10 per cent............ 8,479,994 The value of the goods in the United States...... 93,279,941 Of which there would be to pay planters for net sales abroad.. ... 54,332,100 ..... Deduct for charges in England.............. 38,956,841 1,288,936 Leaving to distribute between the government, shipowners, laborers, merchants, &c...... ... 37,767,905 |