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Hokitika Guardian, 17 May 1924, Page 2

Thkiik is no use denying, continues the article, that the world is doubtful of America’s ability to continue as ibe chief source of supply of cotton m the future. The International Federation of Master Cotton Spinners niul Manufacturers’ Association, including a large majority of the spindles and looms of Fuiope, have recently made a report i n this subject, which is important. “We are now faced with a pest,” sa\s this Association, “that is very likely to cause the cotton industry of the world to run on short time for years lo come. i.e.. until new fields in other countries have been developed oil a proper commercial scale.” The c.'indiision <>f investigators in which the Association places much faith is that a real remedy for flic boll weevil pest is yet to be discovered and chat American cotton production will entail two or three times the expense of African or South American figures. The commit toe records the deliberate judgment i hat il is probable that within a very few years the size <>l the American col ion crop «ill hardly suffice for the requirements of the I uited States mills. 'Pnere is no higher authority in the Pnited States on southern conditions than the Federal International Hanking Company of New Orleans, an institution founded and owned by a large number of southern banks, and it may lie wol til M'liile also to state what thilarge* financial concern list** .to sny. Tlio lunik <:m l»o quoted ns follows: “Viewing the whole field, it is not, too much lo assume that if the T nilod isiales do not sneered in furnishing the needed supply of cotton by controlling the boll weevil, the high prices resulting from the present situation will within a generation, il not within a decade, establish cotton growing in other regions upon a • o-t basis tar below that now imposed 'W boll weevi. damage.” This may be taken n.s a gloomy picture, but bright spot - appear hero and there. For one thing it '> scarcely likely that civilisation and scior.ee at their present stage will throw up their hands in defeat over a meblcsn that- has appeared so recently as to pave furnished insufficient time for solution. Tiie world is large and il is folly to assume that Nature intended a comparatively small section to be lie single source or one of man’s vine! necessities. What will happen m Africa in South America, in Australia and ill Asia when the insatiate demand for cotton continues is somethin" that cannot, be predicted with absolute certainty. The chances are Unit cotton will ciine forward in a quantity sufWnt to meet the world’s needs. Temporarily, cotton spinning regions mid industries may feel the mention of „ paitial vacuum through scant supply. This condition will pass, once iho world awakens to the fact that huge profits await the grower of the cotton plant. Particularly will this prove true w l,en we consider that the margin of profit will not he measured altogether on tile scale of high cost of production prevailing in Anglo-Saxon countries and Dominions, but will be determined rather by low scale wages and living conditions of people less advanced in human progress.

Kl.KiTlo.Nfi, internationally, have the kniK*!\ just now ol spi surj-iisos on tno world. *lho Kronrli mid .lapiinoso results are eases in point. Quite unexpectedly, particularly. M. Poincare who hu.s lieen the strong man of Kurope, nut to say the delimit, has received a notice to quit from the French people. The result will he received with lather mixed feelings. On the whole we hardly think the h tench nation has done M. J’oineare or themselves justice. Strong man that he is, he seems to have over-reached hi* strength just at the moment when matters were railing into train to jnstily to a crest extent the east iron policy he hits pursued towaids Germany. His meeting with the British Prime Minister fixed hut a few days hence, it was expected, would get the seal upon the line o. Allied action finally to he adopted towaids Germany. There U. <■! course the Dawes report oil the reparations which has lieen aecopted as a remarkable contribution towards the possibility of securing a final settlement. It was well-known that Britain. Italy, nul even Belgium was impressed with the belief that the report would lead up to it finality. The United States emforsed the report, hut France through its Premier gave only halfhearted hacking. The coming meeting in London was to settle the international differences and provide a way "hereby the road to the end in sight might he travelled a little faster and with more certainty th.ni has been so far possible. But the result of the elections postpones the setting out on the journey.

Germany "ill view the result from its own vantage point, hut the "hole eiicnmstances are such that there cannot he much room for rejoicing. Whoever may he in power in France will not alter the terms of the Dawes report as to the ability of Germany to pay, and the Allies cannot dawdle much longer in the task *of squeezing the reluctant Germany into a sense of her duty in the matter. Indeed a change of Government in France might facilitate the final enforcement of the Dawes report, even if the full acceptance of the report is delayed temporarily while the personnel of the new Government of France is being determined. The Allies in the interests of F.urope. ns well a s themselves, have every reason to force matters now that a way has lieen laid down for a reasonable form of settlement on tho part of Germany. To that extent the defeat of M. Poincare offers iiq escape for Germany. The. result

of the election, however, is sufficiently close to suggest that the new Government may not have a very long life. French governments at times come and go very quickly, and there is more than German reparations cm the tapis at the moment. The French financial position is licit healthy. As a result of the electoral stimpede the franc is again slumping which will affect very seriously tho credit of the country. At the last break M. Poincare took stops to make a rather quick recovery, hut the new Premier might not- find tho task so easy. His choice of colleagues may help to determine the position, but it is clear there must lie some definite policy put into force to help stabilise the franc. If tbe new Ministry can secure some fresh concession from tho Allies with regard to reparation payments to help save the French financial position, such a stroke would assist immediately to recover the position. This of course, would be n let up on the Poincare policy of sternness, but it is clear something heroic must be attempted if France is to rehabilitate herself financially in a short space of time.