Agriculture and Cotton Production Quiz
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Questions and Answers

What percentage of the corn crop is exported?

  • 5%
  • 2% (correct)
  • 10%
  • 3%
  • Which agricultural product has a higher farm value than cotton?

  • Corn (correct)
  • Wheat
  • Tobacco
  • Sugar
  • How much cotton was produced in 1911 in bales?

  • 15,300,000
  • 16,250,276 (correct)
  • 18,500,500
  • 20,000,000
  • What is the primary difference in the preparation methods between cotton and other agricultural products?

    <p>Cotton lacks systematic preparation and grading. (A)</p> Signup and view all the answers

    Which States are among the leading producers of cotton?

    <p>Arizona, California, Kansas (A)</p> Signup and view all the answers

    What percentage of lint cotton produced is sold in foreign countries?

    <p>65% (B)</p> Signup and view all the answers

    Which statement is true about the other crops compared to cotton?

    <p>Other crops are systematically prepared for market. (A)</p> Signup and view all the answers

    What was the farm value of the wheat crop in 1911?

    <p>$600,000,000 (A)</p> Signup and view all the answers

    What percentage of the world's cotton requirements does the United States supply?

    <p>75% (D)</p> Signup and view all the answers

    What is the annual increase in the world's cotton demand?

    <p>400,000 bales (A)</p> Signup and view all the answers

    What was the total contribution of cotton and cottonseed products to the foreign trade volume in 1911?

    <p>$559,000,000 plus $42,000,000 (D)</p> Signup and view all the answers

    What was the crop size of American cotton in 1911?

    <p>16,109,349 running bales (D)</p> Signup and view all the answers

    What was the average price of South Carolina sea island cotton in 1911?

    <p>23.73 cents (A)</p> Signup and view all the answers

    Which of the following commodities contributed the least to the volume of foreign trade?

    <p>Sea island cotton (C)</p> Signup and view all the answers

    What percentage increase did the cotton crop from 1904 to 1911 represent?

    <p>18.8% (C)</p> Signup and view all the answers

    What was the balance of trade excess in 1911?

    <p>$81,000,000 (C)</p> Signup and view all the answers

    How much did the cotton exported bring to the United States in exchange in 1911?

    <p>$559,000,000 (A)</p> Signup and view all the answers

    What factor primarily determines the condition of a bale after being compressed and resampled multiple times?

    <p>The owner’s actions regarding sampling (A)</p> Signup and view all the answers

    What factor is essential for the successful growth of cotton in the U.S.?

    <p>Climatic conditions (A)</p> Signup and view all the answers

    What was the original intention behind the farmer cutting a hole in the bale?

    <p>To sample the cotton for sale (D)</p> Signup and view all the answers

    What criticism is attributed to the packaging of American cotton?

    <p>It is carelessly prepared and inadequately covered. (B)</p> Signup and view all the answers

    Which statement best describes the handling of bales 6 and 7?

    <p>Both were compressed without any sampling. (D)</p> Signup and view all the answers

    What is a major disadvantage of using flimsy burlap for covering bales?

    <p>It may lead to damage during handling. (D)</p> Signup and view all the answers

    What is the average price of upland cotton for the crop of 1911?

    <p>9.69 cents (B)</p> Signup and view all the answers

    What is the implication of using artificial moisture on bals of cotton?

    <p>It significantly increases the bale's weight without proper care. (D)</p> Signup and view all the answers

    Which region in the U.S. is most associated with cotton production?

    <p>Southern section (B)</p> Signup and view all the answers

    Which of the following actions would most likely ensure better preservation of cotton bales during transport?

    <p>Using standard quality covering for bales (D)</p> Signup and view all the answers

    What observation can be made about the cotton bales marked X X?

    <p>They are almost perfectly packed. (B)</p> Signup and view all the answers

    What was the purpose of the strips applied to the sides of the bale with sample holes?

    <p>To provide additional strength and coverage (C)</p> Signup and view all the answers

    What may happen to a bale that is not protected from climatic conditions?

    <p>It could sustain damages from moisture and rough handling. (C)</p> Signup and view all the answers

    Which condition supports the originality and quality of bales as they are shipped?

    <p>Application of new and better quality bagging (A)</p> Signup and view all the answers

    What is the primary benefit of sampling cotton for the buyer at distant points?

    <p>It allows them to assess quality. (A)</p> Signup and view all the answers

    What is referred to as the 'city crop'?

    <p>A collection of samples at season's end. (C)</p> Signup and view all the answers

    What main disadvantage do small farmers face due to sampling?

    <p>They may receive lower payments for cotton. (D)</p> Signup and view all the answers

    How is the commission charged to farmers for selling their cotton typically structured?

    <p>A flat fee per bale irrespective of quantity. (D)</p> Signup and view all the answers

    What is the average cost associated with conveying cotton to the compress?

    <p>$5 per bale. (D)</p> Signup and view all the answers

    What happens to the weight of cotton bales during recompression?

    <p>It decreases due to space economy. (A)</p> Signup and view all the answers

    Why do railroad companies offer lower rates for recompressed bales compared to flat bales?

    <p>Recompressed bales take up less space. (C)</p> Signup and view all the answers

    What is a significant risk for farmers when dealing with merchants regarding grading?

    <p>Factors can misreport the grade of cotton sold. (B)</p> Signup and view all the answers

    What role does the New York Cotton Exchange play in the classification of cotton grades?

    <p>It provides expert knowledge for grading. (D)</p> Signup and view all the answers

    What is a common financial burden on farmers when they take loans from merchants or factors?

    <p>The requirement to deliver cotton for sale. (A)</p> Signup and view all the answers

    What financial disadvantage do farmers face concerning interest rates on loans?

    <p>Interest rates usually exceed 8%. (A)</p> Signup and view all the answers

    What typically happens to the condition of samples after they are handled and transported?

    <p>They often show signs of damage. (C)</p> Signup and view all the answers

    What is an inherent risk in the relationship between farmers and merchants concerning sample grading?

    <p>Farmers lack the expertise to challenge grading decisions. (D)</p> Signup and view all the answers

    What is the primary issue surrounding the marketing of cotton?

    <p>Failure to adopt modern methods (A)</p> Signup and view all the answers

    What is noted as a method of baling cotton that contributes to inefficiencies?

    <p>Employing various types of cheap, used materials (B)</p> Signup and view all the answers

    What challenge does the vastness of the cotton industry pose?

    <p>Difficulty in organizing collective reform efforts (B)</p> Signup and view all the answers

    Why do merchants and factors continue the practice of pulling samples of cotton?

    <p>It is financially beneficial for them (D)</p> Signup and view all the answers

    How are farmers compensated after ginning their cotton?

    <p>By selling the seed at market prices (A)</p> Signup and view all the answers

    What factor exacerbates the inefficient handling of cotton from farm to market?

    <p>Indifference and opposition to change (A)</p> Signup and view all the answers

    What is a significant risk when cotton is not properly protected during storage?

    <p>Decreased fiber quality (A), Damage from pests (B), Increased moisture content (D)</p> Signup and view all the answers

    What system inadequacy is highlighted regarding the baling process?

    <p>Cotton is not compressed tightly enough (D)</p> Signup and view all the answers

    Which group is affected by excessive costs in the cotton marketing system?

    <p>Consumers wanting lower prices (A), Spinners facing production challenges (B), Farmers seeking fair compensation (D)</p> Signup and view all the answers

    What can be inferred about the necessity for change in the cotton marketing system?

    <p>Change is critical for the welfare of all involved (C)</p> Signup and view all the answers

    What is the impact of the cotton marketing practices on spinners specifically?

    <p>They limit their profit margins (B)</p> Signup and view all the answers

    What is a notable characteristic of the cotton industry mentioned?

    <p>Resistance to modernization (B)</p> Signup and view all the answers

    What is a consequence of the current cotton sampling practices?

    <p>Increased likelihood of cotton damage (A)</p> Signup and view all the answers

    Who predominantly recognizes the need for changes in cotton handling methods?

    <p>All stakeholders involved in handling cotton (D)</p> Signup and view all the answers

    What is the primary purpose of the compress in cotton packaging?

    <p>To reduce the size of the package (A)</p> Signup and view all the answers

    What issue arises due to the use of secondhand bagging for cotton bales?

    <p>The bales exhibit a ragged condition. (A)</p> Signup and view all the answers

    Compared to new jute bagging, how does secondhand bagging affect cotton bales?

    <p>It has reduced tensile strength. (D)</p> Signup and view all the answers

    Which method is preferred for transporting cotton, according to a planter's perspective?

    <p>Water for prompt service (B)</p> Signup and view all the answers

    What is one of the costs associated with conveying a bale of cotton to the compress?

    <p>Insurance and drayage (A)</p> Signup and view all the answers

    What happens to secondhand bagging that cannot be used for patching bales?

    <p>It is converted into yarn. (A)</p> Signup and view all the answers

    What characterizes a bale that was poorly covered at the gin?

    <p>It exposes cotton during compression. (B)</p> Signup and view all the answers

    What is a key disadvantage of using older bagging for cotton bales?

    <p>It does not support weight effectively. (B)</p> Signup and view all the answers

    How does the size and condition of bales affect their handling at the compress?

    <p>Larger bales are less efficient to compress. (A)</p> Signup and view all the answers

    What is a common problem identified with the bale that is not patched and poorly covered?

    <p>It bulges out at the sides during compression. (D)</p> Signup and view all the answers

    What can happen to the value of a cotton bale if it is poorly maintained and handled?

    <p>The value significantly decreases. (C)</p> Signup and view all the answers

    What is the impact of using inferior bagging for cotton bales?

    <p>It causes physical damage to the bale. (D)</p> Signup and view all the answers

    What is the average estimated cost for conveying a bale of cotton from the farm to the compress?

    <p>$5.00 (D)</p> Signup and view all the answers

    When is the transport time shorter for cotton bales?

    <p>When transported by boat. (B)</p> Signup and view all the answers

    Flashcards

    Cotton's Economic Value

    Cotton is the most valuable agricultural product in the US, only surpassed by corn.

    Cotton Growing Regions

    Cotton cultivation is limited to specific regions in the US.

    Corn's Widespread Production

    Corn is grown in all states, making it a widespread agricultural product.

    Importance of Corn & Cotton

    Both corn and cotton are significant crops in terms of quantity and value.

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    Standardized Agricultural Practices

    The process of preparing and marketing other crops, like wheat, hay, and sugar, is efficient and well-organized.

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    Cotton Marketing Inefficiencies

    Cotton's preparation for the market lags behind other crops in terms of efficiency and standardization.

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    Competition's Role in Market Efficiency

    Competition plays a crucial role in driving efficiency and innovation in the agricultural sector.

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    Missing Competitive Incentive in Cotton

    The lack of strong competition in the cotton market contributes to its outdated practices.

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    Global demand for cotton

    The global demand for cotton is consistently high due to its use in textiles. The need for cotton is a major driver of its production and trade.

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    US as a cotton powerhouse

    The US dominates global cotton production, supplying about 75% of the world's needs. This dominance is due to favorable natural conditions and large-scale production.

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    Inefficient cotton marketing

    Despite its importance, the way American cotton is packaged and marketed is outdated and inefficient, leading to waste, disputes, and higher costs.

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    Lack of standardization in cotton marketing

    Compared to the standard practices for other commodities, the handling and preparation of American cotton for export is significantly less organized and efficient.

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    Buyer's dilemma

    International buyers are forced to accept American cotton as it is, despite its shortcomings, due to the lack of alternative sources for enough high-quality cotton.

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    Cotton's economic impact

    The US cotton crop generated a significant portion of national revenue in 1911, contributing $517,000,000 to foreign trade. This emphasizes its economic importance.

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    Issues plaguing the US cotton industry

    Despite having a large and valuable market, the US cotton industry faces significant issues related to packaging, marketing, and logistics, impacting its efficiency and competitiveness.

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    Record-breaking cotton harvest

    The US cotton crop in 1911 was the largest ever recorded, exceeding the production of previous years by a significant margin. This reflects the growth of American cotton production.

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    Sea island cotton's role

    Sea island cotton, a variety known for its superior quality, made up a small but significant portion of the 1911 cotton crop. This highlights the variety within cotton production.

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    Fluctuating cotton prices

    The average price of upland cotton varied throughout the early 20th century, influenced by factors such as supply, demand, and global market conditions.

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    Egyptian cotton's premium price

    Egyptian cotton, known for its specific qualities, fetched a higher price compared to upland cotton at the Boston market in 1912.

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    Weather's impact on sea island cotton

    The average price of South Carolina sea island cotton dropped in 1911 due to storm damage, illustrating the vulnerability of this crop to weather-related issues.

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    Cotton's economic impact

    The combined value of cotton and cottonseed products in 1911 amounted to a substantial sum, highlighting the significant economic contributions of this crop beyond the fiber itself.

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    Potential for cotton expansion

    Despite the potential for expansion, the cotton production in 1911 was limited to a small fraction of the land capable of growing cotton in the US.

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    Cotton's role in balancing trade

    The substantial gap between the cotton export value and the balance of trade in 1911 emphasizes the vital role cotton played in the US economy.

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    Cotton's Importance & Outdated Practices

    Cotton is seen as crucial for US industries and international trade, yet its handling and marketing remain outdated.

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    Cotton's Inefficient Journey

    Cotton's journey from farm to mill is burdened by inefficiencies, unlike other commodities.

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    Inadequate Cotton Baling

    The poor packaging of cotton bales, often using old materials, hampers its quality and presentation.

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    Sample Pulling Damage

    The act of pulling samples from bales for quality inspection damages the bales and reduces cotton's value.

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    Farmers' Lost Rewards

    Farmers are not fully compensated for their hard work due to the inefficient cotton market.

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    Higher Costs for Spinners and Consumers

    The outdated methods of cotton handling increase costs for spinners and consumers.

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    Resistance to Modernization

    The resistance to change comes from established players benefiting from the current outdated system.

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    Cotton's Journey: Farm to Ginnery

    The farmer delivers seed cotton to the ginnery, where it's ginned and baled into a 'plantation bale'.

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    Ginner's Cheap Baling Practices

    The ginner uses cheap materials for baling, including reused bags, resulting in poor quality packaging.

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    Mutilation and Spoliation of the Bale

    The cotton is then sold to merchants or buyers who further inspect and sample it, further damaging the bale.

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    Recompression & Continued Damage

    The bale is sent to a compress for recompression, but the damage from sampling remains, and more sampling may occur.

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    Profits from Sample Pulling

    Merchants and factors benefit from the practice of pulling samples, hence its continued use.

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    Inadequate Cotton Storage

    Cotton is often stored improperly, exposed to elements in warehouses or on open streets.

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    Persistence of Sample Pulling

    The practice of sample pulling is deeply ingrained in the industry due to tradition and profits.

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    Losses due to Inefficient Handling

    The lack of proper protection and handling of cotton results in significant losses for all parties.

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    Artificial moisture

    The practice of intentionally exposing bales of cotton to moisture to increase their weight. This is often done by placing bales on the ground, exposing them to dampness, or in locations that collect moisture.

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    Moisture Absorption Location

    Bales are deliberately placed in areas where they will easily absorb moisture, such as depressions in the ground.

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    Exuviation

    The process of cotton absorbing moisture, which can increase the weight of the bale.

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    Detecting Artificial Moisture

    Buyers can detect when cotton bales have abnormally high moisture content.

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    Resampling

    The act of cutting holes into bales to extract samples for inspection or sale.

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    Sample Hole Damage

    Holes cut into bales to remove samples can expose cotton fibers, making them susceptible to damage and lowering the bale's quality.

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    Hook Handling Damage

    Cotton bales are frequently handled by hooks, which can tear the bagging, especially flimsy ones.

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    Deplorable Condition

    Bales that have been poorly packed and are exposed to rough handling can reach their destination in a damaged condition.

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    Resampled Bale

    The bale is compressed and patched, but then resampled twice.

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    Standard Boxing

    The practice of covering bales with new, high-quality bagging after an initial sample hole has been made.

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    Cotton Compressing

    The process of reducing the size of a cotton bale, typically done to make it easier to transport and store.

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    Secondhand Bagging's Impact

    Secondhand jute bagging, often used to cover cotton bales, is a significant factor in the poor condition of American cotton bales.

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    Benefits of New Bagging

    Using new jute bagging on each bale would improve the overall condition of the bale and provide better protection during handling.

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    Old Bagging Recycling

    The process of sorting and reusing old bagging involves sewing pieces together, creating rolls, and even converting it into yarn for new cloth.

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    Weakening of Secondhand Bagging

    The tensile strength of secondhand bagging decreases with each reprocessing, making it increasingly fragile.

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    Patching Materials Used

    Compresses often use patches of both new and old bagging to repair damaged cotton bales.

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    Sugar Bagging's Use

    Sugar bagging, another type of secondhand material, is also used for baling and patching cotton.

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    Cost of Transportation

    The average cost of transporting a bale of cotton from the farm to a compress is estimated to be $5.

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    Water Route Advantages

    The water route, although more expensive, is often preferred for transporting cotton due to its faster delivery time.

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    Cotton Marketing Stages

    Hauling the bale to the gin, ginning it, bagging it, and transporting it to the compress are all elements of the cotton marketing process.

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    Shipper Compressed Bale

    A bale compressed by a shipper with proper patching, covering the sample holes.

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    Secondhand Bagging Patched Bale

    A bale compressed and patched with secondhand bagging, usually to reduce costs.

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    Spongy Bale

    A very long and wide, spongy bale, often poorly covered and difficult to handle.

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    Damaged & Resampled Bale

    A bale that has been compressed and then further cut for samples, showcasing the inefficient handling of cotton.

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    Standard Box Bale

    A standard, box-shaped bale, often with poorly-covered cotton.

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    Cotton Sample

    A representative sample of cotton taken from a bale, used to evaluate its quality. It's a critical tool for buyers and merchants.

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    City Crop

    Cotton samples collected at the end of the season, forming a significant portion of the total cotton traded. This is a distinct market.

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    Country Damage

    The reduction in weight of a bale of cotton due to the removal of samples and other factors during handling and transportation.

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    Cotton Credit System

    A system where a merchant or factor provides supplies and loans to a farmer in exchange for a share of their cotton harvest. This often results in unfair terms for the farmer.

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    Factor's Commission

    The commission charged by a factor for selling a farmer's cotton. This adds to the overall cost for the farmer.

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    Storage and Insurance Charges

    The price charged by a factor for storing and insuring a farmer's cotton, adding to the overall cost for the farmer.

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    Grade Manipulation

    The financial advantage that a cotton merchant gains by reporting a lower grade for a farmer's cotton than the actual grade, resulting in a reduced payout for the farmer.

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    Cotton Grading

    The process of classifying cotton into specific quality grades, using an expert knowledge of various factors.

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    Cost of Conveyance

    The cost of transporting cotton from the farm to the market, including ginning, recompression, and transportation by rail or ship.

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    Flat Bale

    A large, irregularly shaped bale of cotton, ideal for initial packaging but not for efficient transportation.

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    Recompressed Bale

    A smaller, more compact bale of cotton, achieved through recompression, made for efficient transportation by rail or ship.

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    Recompression

    The process of re-compressing a flat bale of cotton into a smaller, denser bale to reduce shipping costs.

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    Jute Covering

    The loosely woven jute covering used for wrapping a bale of cotton, which is often damaged during sampling and handling.

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    Bagging Patches

    Pieces of jute bagging added to a bale of cotton to cover holes and gaps created by sampling and handling, sometimes added to increase the bale's weight.

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    Study Notes

    Cotton Packing and Marketing: Present Methods

    • Cotton is the most valuable agricultural product in the US (except corn), cultivated in 18 states. Significant output comes from Arizona, California, Kansas, Kentucky, and New Mexico.
    • 1911 corn crop: 2,513,488,000 bushels, $1,565,258,000 farm value.
    • 1911 cotton crop: 16,250,276 500-pound bales, $1,000,000,000 total value, $1,200,000,000 including seed.
    • 1911 wheat crop: 650,000,000 bushels, $600,000,000 farm value.
    • 65% of US cotton is exported, contrasting with other products largely consumed domestically.

    Comparison with Other Products

    • Other farm products (corn, wheat, hay, sugar, tobacco) are carefully prepared, inspected, graded, and packaged for market to prevent damage during transport.
    • This meticulous care is driven by strong competition, which is lacking in the cotton industry.
    • Global demand for cotton is high, estimated at 20 million bales annually, growing by 400,000 bales annually.
    • US supplies approximately 75% of global demand, a position unlikely to change due to natural advantages.
    • Foreign demand necessitates accepting cotton in its current, inefficient form due to lack of alternative.

    Inadequate Cotton Covering

    • American cotton is poorly prepared and inadequately covered compared to other commodities in domestic/foreign trade.
    • It's valued for its qualities but criticized for its presentation, a widely recognized problem.
    • This inadequate care is considered wasteful and a source of conflict, often resulting in disputes and expensive litigation.
    • Despite its value ($1 billion/year), cotton receives less care than other, less valuable commodities.

    Cotton's Role in Foreign Trade

    • In 1911, cotton contributed $517 million to US foreign trade alongside $42 million from cottonseed.
    • Other major farm products had a combined value of $390 million in 1911.
    • Iron and steel exports reached $250 million.
    • 1911's cotton exports generated $559 million in foreign exchange, almost equal to the overall balance of trade.

    Extent and Value of the Cotton Crop

    • The 1911 cotton crop (with linters and running bales) was 16,109,349, the largest recorded in US history.
    • Expressed in 500-pound bales, it exceeded the 1909, 1903 and 1904 crops.
    • Average annual production for 1899-1903: 10,055,003 bales; 1907-1911: 12,706,823 bales (26.4% increase).
    • Sea Island cotton (less than 1% of 1911 crop): 119,293 bales from South Carolina, Georgia and Florida.
    • Average prices varied by region and season, affected by storms. Egypt prices were 18.75 cents.

    Handling from Farm to Mill

    • Current methods are outdated, inefficient, and expensive.
    • Cotton is handled from the farm to the ginnery, then to the compress, with significant loss.
    • Farmers haul cotton to ginners, who provide bagging and ties (avg. cost: $1 per bale).
    • Ginners use cheapest materials for covering lint, resulting in the flat bale.
    • Prior to recompression, cotton is sampled numerous times, leading to damage and loss, with resultant "city crop" ( $4 million annual value) of sampled cotton.

    Issues with Sample Pulling

    • Sample pulling is highly profitable for merchants and factors.
    • This practice is entrenched due to long use and its profitability; buyers appreciate the ability to inspect quality.
    • Sampling leads to significant losses for farm owners, especially small farmers struggling with limited capital.

    Cotton Farmer's Situation - Loan system

    • Small farmers heavily rely on merchant/factor advances for cultivation.
    • Loans are conditional on producing a certain number of bales and delivering them for eventual sale.
    • Commissions, interest, storage, and insurance charges are high, often exceeding the value of cotton sales, leaving many farmers in debt.
    • Merchants can report a lower cotton grade than what was negotiated, causing a loss between $1 to $5 per bale for the farmer.

    Baling Methods and Expenses

    • Flat/irregular bales compared to the recompressed are not efficient
    • Transportation costs to compress and then to markets are significant ($5/bale or more).
    • Recompression reduces shipping costs and space but doesn't consistently improve the bale’s visual appeal or quality.
    • Poor quality bagging, re-use of bagging, and poor bale patching are standard.

    Illustration of Baling Methods (Figures)

    • Images showcase various bale conditions: compressed and patched, poorly covered, wide bales, and bales with significant sampling damage.
    • Shows poor packaging practices

    Artificial Moisture and Country Damage

    • Cotton is often deliberately exposed to moisture to increase weight.
    • This practice is detrimental because fluctuations can cause problems with buyers discovering the moisture wasn't natural.
    • Practices at farm level cause damage to cotton.

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    Test your knowledge on cotton production and its economic impact in agriculture. This quiz covers historical data, export percentages, and comparisons with other crops. See how much you really know about the agricultural industry!

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