Show THE TOE DAlLY DAILY W WASHINGTON AS INGTON I Merry Go 1 Trade Mark Marie MarieBy MarkBy By DREW DREV PEARSON and ROBERT ALLEN WASHINGTON Without WASHINGTON Without exception no problem problem lem facing the administration right now is so worrying as that which grips the stronghold of the Democratic party The problem is King Cotton And the question is whether to continue continue continue con con- to pay tribute to his despotic reign or to thrown off the mingled benefits and heartaches which he has given the southland since the thc days of Eli Whitney and the cotton gin Secretary Wallace Vallace ann and his AAA cohorts keep up tip an optimistic optimist c front regarding this and maintain maintain main main- tain thin that all is well But they realize they have havea a bull by the tail and cant can't let go Privately they are arc worried sick The problem briefly summarized is that although although although al al- al- al though the c cotton curtailment program of the AAA has almost doubled the value of cotton it has simultaneously raised the price so high that foreign cotton countries Brazil countries Brazil Egypt Russia Russia gradually gradually are taking away the U. U S S. S market Export Slump American exports for the year ending in April of 1935 were exactly 40 per cent less than the year before British textile manufacturers finding American American American Amer Amer- ican cotton too high have encouraged increased production in Egypt and India Brazils Brazil's production production production pro pro- doubled last year Meanwhile American machinery companies are arc helping to cut the cotton industry's throat Their sale of cotton ginning and harvesting machinery machinery machinery ma ma- chinery to Brazil and anti other foreign competitors has jumped five times over the figure To remedy this Secretary Wallace Vallace has been talking of an international conference to limit cotton crops But although no one w will vill admit it officially secret overtures by the state de department department department de- de to other cotton countries have met with diplomatic rebuff As long as Mr Wallace's Wallaces Val Wal Vallace's Vallace's laces lace's AAA keeps the price high foreign competitors competitors com corn dont don't want crop limitation Meanwhile cotton farmers complain that Henr Henry Jenry Wallace may be an excellent secretary of agriculture as far as the Iowa corn and hog farmer is concerned but that he doesn't know cotton Quick or Slow Death Merely to appoint a secretary who knows cotton however would cure nothing and the leaders in the cotton industry realize this What the south is up against is slow starvation or sudden death 1 The government can continue to peg cotton cotton cotton cot cot- ton at its present price and gradually see the cotton markets of the United tates dwindle to nothing In other words slow starvation 2 2 Or it can pull the peg from the price of cotton and bankrupt the south In other words sudden death The latter of course also would mean the bankruptcy of the Democratic party and almost certain defeat for Roosevelt in 1936 Probably therefore it will not happen Gradual loss of our cotton markets abroad and abroad and in the past the United States supplied more than 50 per cent of the worlds world's cotton cotton is is more likely Labor Saving There are two other also but they present almost as much chaos One is to reduce the government loan on cotton The Theother Theother other is to reduce the cost of production by more efficient seed selection and more mechanization tion of labor The first of these would mean serious financial financial financial finan finan- cial difficulties to the south The present price of cotton is pegged at 12 cents a pound through a government cotton colton loan Wallace Vallace and some of his advisers want to reduce this to 10 cents or less ess They are arc under too great pressure however how how- ever The president will not let them reduce The second of these would mean the unemployment unemployment of thousands of share-croppers share aready al already al- al a- a ready suffering from the crop curtailment pro pro- gram The south could not absorb them Whichever way Wallace Vallace Wallace and the president turn they are up a against a virtual impasse re regarding regarding re- re garding the future reign of King Cotton They can continue to hold up his tottering throne throne- and see it be undermined from abroad Or Orthey Orthey Orthey they can overthrow his throne and meet the chaos immediately The first of these is much more likely 13 1935 b br United Future Feature Syndicate Inc i f. f 4 7 f f S 'S i |