153^ A(iRICUI.TURAI. PRODUCTS I TRADE 



buying cotton in the seed, they take into account the speculative nature 

 of the business and generall}^ manage to secure a profit in addition to their 

 regular ginning charge. According to the figures of the Bureau of Crop 

 Kstimates 8 to g per cent of the total cotton crop in the United States is 

 sold in the seed, while the amounts in Virginia and Missouri rise to 60 and 

 90 per cent respectively. 



In order to obtain reliable information as to the relative advantages 

 of the two methods of marketing, an investigation was carried out in Ok- 

 lahania during the season 191-5-14. Ever>' week a number of samples of 

 seed cotton were collected in representative markets. Each sample weighed 

 10 lbs. and with it was secured a record of the seller's name, the date, 

 place of sale, and price per 100 lbs. The samples were all sent to Washing- 

 ton where they were ginned and carefully graded. 



For the purpose of comparing the returns obtained by marketing the 

 cotton before ginning, with its real value as determined by the ginning, 

 the price paid for seed cotton was converted into its equivalent price per 

 baled lint as follows : 



Taking as an illustration a load of seed cotton which was sold at §4 

 per 100 lbs. and which on being ginned yielded : 



30 per cent of lint 

 68 " " " seed 

 2 " " " trash 



lyint used for bagging and tying at the rate of 22 lbs. per 478 lbs. (rated 



at the same price as the other lint sold) = 1.38 lbs. 



Therefore total weight of lint sold = 31.38 lbs. 



Value of seed at $ 20 a ton = $ 0.68 



Therefore payment for lint = $ 3,32 



Ciinning and baling charge at $ 0.070 per 100 lbs — $ 0.22 



Therefore total cost to buyer of 31.38 \bF. of lint = $ 3.54 



Cost of I lb of lint or " equivalent lint price " = $11.28 cents. 



By tabulating these " equivalent lint prices ", wide variations were 

 found to exist between the prices received for the same quality of lint in 

 the same market and during the same week. This amoimted in one in- 

 .stance to as much as 5.21 cents perpoimd or §26.05 per bale. Moreover it 

 commonly occurred that lint of low qualit}' brought in more moncA' than 

 lint of higher quality. 



The fact that the proportion which lint, seed and trash bear to one ano- 

 ther varies considerably in different samples and that it is impossible to 

 estimate with any degree of accurac}^ either the value of these proportions 

 or the quality of the lint before the cotton is ginned, makes it impos'^ible 

 ^o fix a fair price for cotton when sold in the seed. Such a method of mar- 

 keting is unsatisfactory to both buj^er and seller. In some instances the 

 producer will receive more for his crop in the seed than he would in the 

 bale, but in the large majority of cases he loses. Both farmer and ginner 

 are advised for the common good of all to make ginning customary, so that 

 it may be possible to sell each bale on its individual merits. 



