PK0DUCTT0N OF AMERICAN EGYPTIAN COTTON. 9 



the United States is practically free from Hindi contamination, and 

 the pink bollworm has not yet found its way into Arizona and Cali- 

 fornia. 



In the matter of transportation the Egyptian cotton crop enjoys 

 certain natural advantages over the product of the new American 

 industry. It also has the advantage of long-standing occupation of 

 the market and of a well-organized, though rather expensive, system 

 of commercial distribution. 



The entire Egyptian crop is assembled in Alexandria, where it is 

 sorted, classed, compressed, and forwarded. Practically none of the 

 cotton is manufactured locally. This centralization of the marketing 

 business permits, though it does not insure, efficiency and economy 

 in the handling of the product. The freight rates from Alexandria 

 to manufacturing centers, transportation being by water, are low in 

 comparison with the rates from Arizona, which include a long rail 

 shipment. Freight rates, particularly ocean freight rates, are sub- 

 ject to continual fluctuations, but it is probable that previous to the 

 outbreak of the war the rates from Arizona and California 1 to 

 manufacturing points in New England were about three times as 

 high as those from Egypt to the same points. Under present con- 

 ditions, however, the cost of shipment from Arizona is probably 

 lower than from Egypt. 



The large volume of the Egyptian crop and the centralized methods 

 of handling also permit a standardization of types and a system of 

 future selling against these types which are very important com- 

 mercial advantages. To find favor in the market a consignment of 

 cotton must not only show good grade and staple, but must rep- 

 resent a type which has had its merit established through actual 

 use. A manufacturer having determined what types of cotton meet 

 his particular requirements will endeavor to duplicate these types 

 in his "annual purchases. For this reason Egyptian brokers establish 

 definite types and maintain them from year to year. This system of 

 dealing on types is possible with the Egyptian crop in spite of the 

 continued deterioration of the varieties, because each broker has a 

 large volume of cotton offered to him at Alexandria from which to 

 select his stocks. 



The American growers will need to recognize this feature of the 

 market for Egyptian cotton if they expect to secure full value for 

 their product. While the American crop remains small, it is of the 

 utmost importance that the quality be kept uniform from year to 

 year. 



1 The Arizona cotton is usually shipped hy rail to Galveston, Tex., and thence hy 

 water to New England. The freight rate on haled cotton from Salt River Valley points 

 to New England is ahout $1.30 per 100 pounds, this rate including the charge for com- 

 pressing in transit. 



77714°— 19— Bull. 742 2 



