2 BULLETIN 277, U. S. DEPARTMENT OF AGRICULTURE. 
the standards recognized by the fire insurance underwriters’ associa- 
tions. ‘Rates, Rules, and Forms” of the Southeastern Under- 
writers’ Association are followed in discussing these standards and 
the insurance rates on cotton stored in such buildings. This associa- 
tion has jurisdiction in Virginia, North Carolia, South Carolina, 
Georgia, Florida, and "Alabama. The rates and standards used in 
Massicsippi are practically the same as those used by the Southeastern 
Association. The standards and the rates recognized in other cot- 
ton-producing States are very nearly the same as those outlined in 
this publication. 
While this bulletin is intended primarily to treat of the construc- 
tion of cotton warehouses, it seems advisable to discuss in a general 
way the importance of storage houses and the principles of storage. 
Thorough investigations show conclusively that the present storage 
houses are not senulentto satisfactory service. An adequate system 
of warehouses would bring about important economic reforms in 
the handling and marketing of cotton. For this reason it seems wise 
to discuss eee subjects ineltanee describing in detail the different By pes 
of warehouses. 
IMPORTANCE OF STORAGE HOUSES. 
It has long been realized that the inauguration of an adequate 
system of warehouses would aid greatly in marketing the cotton 
crop. This valuable staple, with an annual value of approximately 
$1,000,000,000, usually is harvested and marketed in 3 or 4 months. 
It requires 12 months for thes mills of the world to consume this 
supply. It is quite evident that if this cotton continues to be forced 
on the market within a comparatively few months in each year, as at 
present, the price will be depressed unduly. This not only results 
in a material loss to the farmer, but the various branches of the trade 
are taxed in the effort to handle it in such a rush. When the output 
of any factory is in excess of the demand, the production is curtailed 
or the excess of manufactured articles is stored in order to conserve 
them properly until there is an increased demand. This is also 
true in the case of some agricultural products, but unfortunately the 
South is not prepared to conserve, even temporarily; the excess pro- 
duction of cotton in a proper and economical manner. It is also true 
that many of the farmers and dealers suffer a great loss because they 
do not understand the importance of protecting and conserving cotton 
while it is awaiting a fair market. 
This condition becomes very serious during practically every 
cotton-picking season. The price is depressed during October, 
November, and December, when it is being sold by the farmer. 
The price then gradually increases, but this increase is of little 
benefit to the farmer, for he has disposed of his holdings. There 
