yarns, as we assure you that we are disposed to go to extremes in both yarn and cloth rates that we may approach your committee in the spirit of accepting the House rates as a basis.

We also desire to call your attention to the reduction from 10 per cent to 5 per cent that we offer on cotton card laps, sliver, roving, etc., as they are but steps in manufacture and certainly not entitled to any more, if as much, duty as the products into which they enter. The amendment which we offer to the yarn rates embraced in H. R. 3321 may be tabulated as follows:

Yarns combed or advanced in value over singles in the gray, 5 per cent on all numbers extra and in addition to above rates.

Proposed amendment to Schedule I (H. R. 3321, Cotton manufactures)

Strike out all of paragraph 255, page 65, and insert in lieu thereof the following:

255. Cotton thread and carded yarn, warps or warp yarn, in singles, whether on beams or in bundles, skeins or cops, or in other form except spooled thread of cotton, crochet, darning, and embroidery cottons hereinafter provided for, not colored, bleached, dyed, or advanced beyond the condition of singles by grouping or twisting two or more single yarns together, shall be subject to the following rates of duty: Numbers not finer than 4, 5 per cent ad valorem; numbers finer than 4 and not finer than 14, 7 per cent ad valorem; numbers finer than 14 and not finer than 24, 10 per cent ad valorem; numbers finer than 24 and not finer than 34, 124 per cent ad valorem; numbers finer than 34 and not finer than 44, 15 per cent ad valorem; numbers finer than 44 and not finer than 54, 17 per cent ad valorem; numbers finer than 54 and not finer than 64, 20 per cent ad valorem; numbers finer than 64 and not finer than 74, 224 per cent ad valorem; numbers finer than 74 and not finer than 84, 25 per cent ad valorem; numbers finer than 84 and not finer than 94, 27 per cent ad valorem; numbers finer than 95, 30 per cent ad valorem.

If combed, bleached, dyed, colored, gassed, mercerized, or advanced beyond the condition of singles in the gray, by grouping or twisting two or more single yarns together, shall be subject to a duty of 5 per cent ad valorem in addition to the rates otherwise chargeable thereon.

Cotton card laps, roping, sliver, or roving, cotton waste, and flocks manufactured or otherwise advanced in value, 5 per cent ad valorem.

[Inclosure.]

Mr. STUART W. CRAMER,

OFFICE OF SECRETARY AND TREASURER,
Charlotte, N. C., May 19, 1913.

President, Charlotte, N. C.

DEAR SIR: The attached tables show the value of middling cotton in Liverpool, as compared with the price paid by southern mills for middling cotton delivered at their mills. The writer is agent for Messrs. Geo. H. McFadden & Bro. (of Philadelphia) in North Carolina, South Carolina, Virginia, part of Georgia, and Alabama. Messrs. Geo, H. McFadden & Bro. have offices all over the cotton belt, as well as in New England and various points in Europe, and this information is secured through all sources available to the writer.

Table A is price of middling cotton to Liverpool and southern mills for two years, with explanatory notes, showing average difference during two years at about $1

per bale, but these prices are subject to fluctuations of American and foreign markets, to supply American and foreign stocks, and various other conditions, by which I should estimate that middling cotton does not cost English mills any more in the run of a year than it does southern mills.

Table B shows the average freight rates paid by southern mills, English mills, and continental mills. The average is not more than $1 a bale difference, New England being practically the same as Liverpool and Bremen. Southern mills from 20 to 25 points less, or not exceeding $1 a bale less. Southern mills draw practically their entire supply east of the Mississippi River, as represented by Table B.

Table Crepresents the territory west of the Mississippi River, the freight rates being practically the same to southern mills, New England and Europe.

Table F shows that a very large percentage of the crop grown west of the river is exported.

Table D, contention has been made that Carolina mills draw most of their cotton locally and do not have to pay freight. This table shows that the receipts at the ports which draw from the Carolina crops leaves an average during three years of only 167,000 bales available for Carolina mills. We have included one-third of Savannah receipts, for reason that Savannah draws from the Carolina crops, and this estimate is conservative.

Table E shows the crops of the territory east of the Mississippi River, and receipts at ports that draw their cotton from this territory. The amount left for movement other than via ports is not far from the consumption of southern mills, and really a large percentage of the remainder goes to southern mills.

Table G shows the exports from South Atlantic and Gulf ports, and with the crops as shown in Tables D, F, and E an accurate idea may be gotten as to the percentage of export for specific territories.

Table H shows the takings of northern and southern spinners. You will note the takings of northern spinners are about equal from the interior and from the ports, and the fact that the New England rate is practically the same as the foreign rate confirms the statement that New England pays as much for her cotton as does Europe. The fact that a very large percentage of southern takings move from the interior confirms the fact that southern mills pay an average of about 44 cents a hundred pounds on all their cotton.

As stated above, differences in the markets as caused by fluctuations, stocks of cotton, and the supply available to the mills as they want it, produce varying conditions, which overcome the difference shown in Table A, and I do not believe the average cost of cotton to Manchester mills per year is any more than to the southern mills per year. You must remember that Liverpool is the largest cotton market in the world and always has a large supply of cotton in stock. On any depression on the market the foreign mills have opportunity to buy largely and much more than American mills, as American stocks are always widely scattered.

C. B. BRYANT,

Secretary, The American Cotton Manufacturers' Association.

TABLE A.-Quotations, middling upland cotton; prompt shipment.

TABLE D.-North and South Carolina crops, running bales, including linters.

TABLE E.-Crop by States, east of the Mississippi River, including linters.

TABLE E.-Crop by States, east of the Mississippi River, including linters—Continued.

RECEIPTS AT ALL SOUTH ATLANTIC PORTS AND PORTION OF GULF PORTS.

REMAINING SUPPLY FOR SOUTHERN MILLS LESS OVERLAND MOVEMENT NORTH.

TABLE F.-Crop by States, west of Mississippi River, including linters.

Available for overland movement and carry over: 1909-10, 607; 1910-11, 654; 1911-12, 1,100.