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T H E M O B usiness N T H L Y Review C overing B u sin ess a n d A g ric u ltu ra l C o n dition s in th e S ix th F ederal R eserve D is tr ic t . FED ER A L R ESER V E BAN K O F A TLA JOS. A. McCORD, Chairman of the Board and Federal Reserve Agent WARD ALBERTSON, Assistant Federal Reserve Agent VOL. 6 ATLANTA, GEORGIA, NOVEMBER 26, 1921 GENERAL Business conditions in the Sixth Federal Reserve Dis trict have made slow progress during the month of October. Reports rendered to the Monthly Business Review by various lines of trade contain somewhat less of the optimistic tone which was so apparent a month ago. Business men, how ever, state that last month there was more optimism than was actually justified by the degree of improvement in con ditions which had been made, that the spirit which pre vailed last month seemed to indicate a more immediate re turn to good times and prosperity than was likely to happen. It cannot be said that adverse factors in the business situation have disappeared. The small production of cotton this year, it is true, has caused a substantial increase in the price of this staple, and this increase has resulted in much benefit not only to producers, but to business gener ally, in those parts of the cotton belt where crops of any appreciable size were raised. In some sections, however, especially through middle Georgia, the almost complete failure of the cotton crop has brought a condition contrast ed with that of a year ago, in that last year farmers had a fair crop on which they could hardly realize the cost of production, while this year the crop, while produced at a greatly reduced cost, is the smallest in many years. The increased price has had a psychological effect for good in the cities and the larger towns, but producers in many sections have not enough cotton to reap much benefit from the increased returns. More foodstuffs have been pro duced this year, probably, than in many years. But for this fact, however, many farmers would be obliged to ask for extension for another year of much more of the in debtedness incurred in raising the crops of this year and last, than will now be necessary. Seasonal activity in retail and wholesale trade have had a stimulating effect on business. Warm weather, ex cept for the first week or ten days in October, has continued, and has held back the buying of winter apparel, which would otherwise have resulted in larger increases. Retail sales continue to show decreases compared with a year ago, but a different price level now prevails, and figures reported by No. 11 SU M M A RY department stores show that a larger actual volume of merchandise is being disposed of, though the consumer is making his purchases carefully and avoiding luxuries. Decreases in sales by wholesale firms in October, compared with September, were shown in only three of the eight lines of wholesale trade under investigation. Three of these lines showed increased sales over those of October a year ago, notwithstanding the reduced prices now prevailing in every line. Textile production shows little fluctuation compared with September of this year, but increases are shown for October of this year over that of last. Reporting mills generally are operating at full capacity, and some have found it necessary to run their plants at night to keep up with the orders received. Manufacturing in other lines is also showing improvement. In the iron and steel district of Alabama five furnaces have been put into operation since the end of September, making twelve now in blast as against seven operating in September. Production of pig iron is on the increase, and increasing activity is reported in coal mining in th at state, as well as in Tennessee. The volume of unemployment, while not so large as it has been, is still of such proportions as to have an influence on the public purchasing power. Building permits are issued in larger numbers than usual at this time of the year in some of the larger cities of the district, and these active building programs have reduced idleness in the building trades appreciably. The improvement in business is reflected in the state ment of debits to individual account at important clearing house cities of the district. For five weeks ended November 2, 1921, the total for this district was relatively 9.3 per cent greater than for September, although, of course, still less than the total for the same period last year. Failures in this district, however, were larger in October in amount of liabilities than during any month in recent years, but the October number was exceeded in August, February and January of the present year. 2 T H E M O N T H L Y B U S IN E S S RETAIL TRADE. Substantial increases in sales by reporting department stores in this district, while to some extent seasonal, have contributed to the general improvement in business during October. Retail business is aptly described by one report ing department store as very much like the weather — cold one day and warm the next. October began with a cold spell which stimulated trade considerably, but the last two weeks of the month were in fact summer weather, and there was little inducement for the purchase of winter clothing. Some of the stores doing business on a cash basis state that their customers appear to have plenty of money to pay for what they buy. Other stores doing both a cash and credit business state th at the relation of charge sales to cash has changed appreciably during the past few months, from a basis of 15 per cent charge and 85 per cent cash to 45 per cent charge and 55 per cent cash sales. Prices of cotton R E V IE W goods have increased substantially since the increase in the price of the raw staple. Reporting stores state th a t their customers are shopping very closely, buying princi pally staple goods, and are evidently either not able or not willing to spend their money for luxuries which they do not actually need. Comparisons of retail sales with those of last year con tinue to show decreases. October 1921 sales were 15.1 per cent less than sales during October 1920, and sales for the period July 1 to the end of October this year were 21.3 smaller than for the same period last year. A different price level prevails now, however, and these percentages really disclose an increase in the actual volume of goods sold. Stocks on hand at reporting department stores October 31, 1921, were smaller by 18.3 per cent than at the same date last year, but were 1.5 per cent larger than at the end of September 1921. CONDITION OF RETAIL TRADE DURING OCTOBER 1921. Federal Reserve District No. 6. As indicated by reports of Thirty-one Representative Department Stores Atlanta (3) BinningNew Other ham Nashville Orleans Savannah Oities District (3) (4 (4) (3) (14) (31) 1. A. Sales during October 1921 compared with Octo ber 1920........................................ .................................. —16.1 —31.2 —11.3 —9.4 —24.6 —11.4 —15.1 B. Sales July 1—October 31, 1921, compared with same period 1920__________________________ --30.6 —33.0 —17.7 —11.4 —27.2 —22.7 — 21.3 2. A. Stocks October 31, 1921 compared with stocks October 31,1920___________________________ — 22.3 —15.7 —16.9 —10.0 —18.4 —29.5 —18.3 B. Stocks October 31, 1921 compared with stocks September 30,1921____________ _____ _______ +0.5 +5.7 +3.7 + 5.6 +0.2 —7.7 +1.5 3. Average stocks July 1 to October 31, compared with average sales for same period___________ 593.8 636.8 429.3 467.9 479.3 511.9 514.1 4. Outstanding orders October 31, 1921, compared with total purchases in 1920....... ............................. 9.8 5.2 8.4 3.5 2.0 6.8 5.2 Note.—“Other Oities” include Augusta, Macon and Albany, Ga., Knoxville and Chattanooga, Tenn., Jacksonville, Fla., and Alexandria, La. CONDITION OF WHOLESALE TRADE, OCTOBER 1921 Continued improvement is indicated in reports received from wholesale firms in the Sixth Federal Reserve District covering the month of October. Increases over September sales were shown in all lines except dry goods, drugs and farm implements. The pace set in September has not been maintained, but considering the different price level pre vailing, the reports received give no cause for discourage ment which is evidenced by a few of the reporting firms. The extremely short cotton crop, and the low prices being offered for other agricultural products is having the effect of slowing up what was thought to be a revival of trade last month, but on the whole it is still evident th at progress is being made. October 1921 Sales Compared with Sept. 1921 Oct. 1920 Wholesale Groceries (29 reports).................. + 0.6 —31.6 Wholesale Dry Goods (20 reports)................—14.2 * +23.0 Wholesale Hardware (21 rep o rts)................+15.4 —25.9 Wholesale Shoes (11 reports)......................... +13.3 +13.0 Wholesale Furniture (13 reports).................+10.1 + 8.8 Wholesale Farm Implements (7 reports). _. —20.9 —46.9 Wholesale Drugs (5 reports).......................... — 0.3 — 6.3 Wholesale Stationery (3 reports)................. +22 .3 — 30.0 T H E M O N T H L Y B U S IN E S S WHOLESALE GROCERIES Reports rendered for October by twenty-nine represen tative wholesale grocery firms show business to have ex hibited more or less irregular tendencies during the month. Taken as a whole, the reports show a steady and gradual improvement over conditions which have existed during the past few months. For the third consecutive month, wholesale grocery sales have increased over the preceding month, and while the increase for October over September (0.6 per cent.) is small, it indicates a continuation of the im provement which set in late in the summer. There appears to be more confidence in the market, and buying is showing a tendency to increase. Reports state th at during October the city trade bought much more, and the country trade much less, than during the preceding month. September business was stimulated by the influence of a substantial rise in the price of cotton, while in October the price of this staple has sagged somewhat and this, with warmer weather the last two or three weeks of the month has caused busi ness to drag. One large firm states that neither a cut in price nor the prospect of an advance seem to induce retailers to buy, th at it is more a question of getting funds with which to pay, and more big merchants are trying to collect rather than to sell merchandise. The general trend of reports, however, show th at retailers are buying more than they have in several months, though at the same time ex ercising caution. October 1921 Wholesale Grocery Sales Compared with Sept. 1921 Oct. 1920 — 49.5 Atlanta_________________ __________— 0.5 — 34.6 New Orleans_____________ __________— 0.2 — 27.3 Jacksonville. _ ___________ __________ + 3.9 —19.8 Meridian_________________ _________ + 1.6 — 6.3 Vicksburg_______________ __________—11.1 — 32.7 Other Cities--------------------- __________— 4.5 —31.6 District (29 reports)----------- __________ + 0.6 WHOLESALE DRY GOODS. Reports were received for the month of October from twenty representative wholesale dry goods firms members of the Federal Reserve Bank reporting system, and as a whole show more of a tendency toward stablization than has heretofore been exhibited. October 1921 sales by these twenty firms were 23.0 per cent in excess of their sales for October 1920, although 14.2 per cent less than the figures for September 1921. To a very large extent seasonal, it can not be expected th at wholesale dry goods sales each suc ceeding month will show increases over the proceding month. I t will be noted, however, that all points show increased sales over those a year ago, and th at while the September gain in volume was not maintained, still the percentages show th at business in this line is making progress. Retail ers are reported hesitant because of the continued atti tude of resistance to higher prices on the part of the public. There have been some increases in prices of cotton goods. Advances have been held back, however, by the curtailed purchasing power, due in farming sections to the shortage of the cotton crop, and in industrial centers to unemploy R E V IE W 3 ment which still exists to an appreciable extent. Mild weather and the recession in the price of cotton are also factors against larger buying. Collections are giving the merchants a great deal of concern, especially in the sections where the cotton crop was so short, and in the rice and sugar sections, due to low prices and the holding of crops. October 1921 Wholesale Dry Goods Sales Compared with Sept. 1921 Oct. 1920 + 9.5 —42.7 Atlanta______________________ + 4.9 + 9.9 Knoxville_____________________ — 8.9 +55.1 Nashville_____________________ —21.0 +28.4 Other Cities__________________ —14.2 +23.0 WHOLESALE HARDWARE Wholesale hardware sales continued during October the improvement which had already set in, reports by twenty-one representative Hardware concerns showing an increase in sales over those during September, of 15.4 per cent. October 1921 sales were 25.9 per cent less than those for October 1920, but considering price recessions this percentage shows little or no reduction in the actual volume of goods sold for the month. While these figures show unmistakable im provement in the district, reports state that there are a great many people who need goods but have no ability to pay on account of the failure of the cotton crop and low prices for other crops. Jobbers are buying only for sixtyday requirements, while retailers are inclined to buy much more liberally than was the case in July and August. Prices on staple goods, such as nails, wire, etc, are stated to have reached a reasonable level, but high freight rates and the cost of labor appears to have interfered with reductions in other lines, although substantial recessions have already been made. October 1921 Wholesale Hardware Sales Compared with Sept. 1921 Oct. 1920 Atlanta____________________________ + 2 . 8 —30.2 New Orleans________________________ +14.4 —13.0 —14.2 Jacksonville________________________ +10.4 Other Cities________________________ +21.8 —10.9 District (21 reports)__________________ +15.4 —25.9 WHOLESALE SHOES. Sales during October 1921 by eleven representative wholesale shoe firms in the Sixth District were 13.3 per cent in excess of those of the preceding month, although Sep tember sales were 35.7 per cent greater than those for August, and August sales were 51.3 per cent larger than July sales. October 1921 sales were also 13.0 per cent larger than sales during October 1920. Taking price recessions into consider ation these figures indicate a substantial increase in the actual volume of business being done. Correspondents state that any further declines which may come will be so small and gradual that they will have no effect on the normal course of business. Advance orders for delivery in the spring of 1922 are stated to be larger than those placed last 4 T H E M O N T H L Y B U S IN E S S year, although in both instances the amount is below normal. Customers generally are said to be buying small bills fre quently, rather than buying larger orders ahead of season. October 1921 Wholesale Shoe Sales Compared with Sept. 1921 Oct. 1920 +39.7 Atlanta______________ ____ ________ + 4 . 6 Other Cities________________________ +17.9 + 3.5 District (11 reports)__________________ +13.3 +13.0 WHOLESALE FURNITURE Business done by thirteen wholesale furniture com panies which report to the Monthly Business Review was 10.1 per cent larger than for the preceding month, while September sales were 14.2 per cent larger than those for August. October 1921 sales were also larger, by 8.8 per cent, than those for October of last year. Correspondents state that orders coming in are small but numerous and frequent, indicating that retailers are buying on a basis of actual requirements, and there appears little tendency toward anything like stocking up by the retailers. Prices are re ported firm. Recent advances in the prices of hardwood lumber have had a steadying effect on the furniture trade. Collections are reported very slow from the smaller towns, while merchants in the larger cities are said to be discount ing their bills. October 1921 Wholesale Furniture Sales Compared with Sept. 1921 Oct. 1920 Atlanta____________________________ — 8.5 —10.1 Nashville___________________________— 3.8 +111.8 Other Cities_________ _______________ +22.8 + 2.7 District (13 reports)___ ______________ +10.1 + 8.8 OTHER LINES. Farm Implements. Decreases are shown in sales of farm implements by seven representative wholesale dealers during October, compared with September business. Compared with sales during October of last year, these seven firms sold 46.9 per cent less goods, considered in terms of dollar value. The short cotton crop probably has more effect on this line than any of those under inquiry, although the effect is seen all through the business of this section. Drugs. Wholesale Drug sales during October indicated by re ports received from five representative firms, were also smaller than those of the preceding month, as well as com pared with October 1920 sales. The decrease in comparison with September 1921 sales was only 0.3 per cent, and in com parison with October 1920 sales, October 1921 sales were 6.3 per cent smaller. Considering th at prices average from 20 to 30 per cent lower, these percentages represent an in creased actual volume of trade. Stationery. Only three reports were received from wholesale sta tionery firms for October. Their figures, however, repre R E V IE W sent an increase in sales over September of 22.3 per cent, although their business was 30.0 per cent smaller in dollar volume than during October of last year. This line is shar ing in the general business improvement. AGRICULTURE. The statisticians of the United States Department of Agriculture located in the various states have made pre liminary estimates of the final production of some of the principal crops in this District. The estimate of the total production of corn in Georgia is substantially larger than the figure for the 1920 crop, and is stated to be the largest crop on record. Increased production is also indicated in Alabama, Florida and Louisiana, while the total estimated for Tennessee’s corn crop is about 600,000 bushels short of last year’s production in th at State. The production of sweet potatoes has resulted in larger crops this year in Georgia, Louisiana, and Tennessee, while the Mississippi crop was greatly reduced by dry weather. The crop of white potatoes has also been larger in Georgia and Louisiana than last year, while in Tennessee the white potato crop is one of the poorest on record. Tobacco production is re ported smaller, both in Florida and Tennessee, than last year. ALABAMA. The acre-yield of corn in Alabama is estimated to be 15 bushels this year, compared with 15.7 bushels in 1920, and 14.5 bushels in 1919. Reports indicate th at of the total acreage planted this year, about 13 per cent will be cut for silos and rough forage and grazed or hogged off, leaving 87 per cent to be gathered and cribbed. The amount cribbed is therefore estimated at about 63,394,000 bushels. The average yield of sweet potatoes in 1921 is reported to be 75 bushels per acre, which shows the effect of unfavor able weather. The average acre-yield of sorghum syrup is 85 gallons, with about 16 per cent of the acreage grown not made into syrup. The average yield of sugar cane syrup is 146 gallons, with 17 per cent of the cane used for seed and other purposes. The acre-yield of oats is estimated at 20 bushels. On the 478,000 acres grown, the total crop is equiv alent to 9,297,000 bushels, including the oats cut and fed in the bundle as well as those threshed. It is estimated that 21.5 per cent of the acreage grown was cut and threshed, 51.8 per cent cut and fed in the bundle, 24.7 per cent cut and fed as hay, while 2 per cent was grazed off without cutting. About 869,000 acres are estimated to have been planted to peanuts in Alabama, of which 373,000 acres have been and will be harvested. The total production of peanuts, har vested and hogged, is stated to be about 19,118,000 bushels, and of this amount, 8,204,000 bushels are estimated to have been harvested. FLORIDA. Harvesting conditions for staple crops in Florida have been excellent, and this phase of farm work is well advanced. T H E M O N T H L Y B U S IN E S S While production of corn, cow peas, peanuts and rice show increases over last year, dry weather late in the growing season has resulted in light yields of other crops. Florida’s production of corn is estimated to be about 11,500,000 bushels, compared with 10,530,000 bushels last year. Yields are running slightly heavier than for last year, with 81 per cent of the crop of merchantable quality. The acreage of peanuts harvested for grain is smaller than that of last year, but heavier yields have brought produc tion slightly above last year’s figure. The yield of tobacco is estimated at 900 pounds per acre compared with 1100 pounds last year. On a slightly increased acreage, produc tion will be about 3,960,000 pounds compared with 4,260,000 pounds last year. It is estimated that 68 per cent of a full crop of pecans has been produced in Florida this year, compared with 32 per cent of a full crop last year. Quality is somewhat lower than usual on account of a larger percentage of partly filled nuts. The pecan crop has been harvested earlier this season and the movement is satisfactory. The average colony of bees has produced 45 pounds of surplus honey this year, compared with 37 pounds last year, and 60 pounds in 1919. It is estimated that, for the State as a whole, 20 per cent of the honey produced is handled in the comb in sections, 78 per cent is extracted and 2 per cent is sold in bulk. Since April, the loss from disease has been about 2 per cent of the number of colonies on hand at that time, but this has been more than offset by the number of new colonies started. Of the honey produced, about 17 per cent grades white, 42 per cent light amber, 33 per cent amber, and 8 per cent dark. Reports from the citrus industry point to less than 10 per cent damage to the crop as a whole, by the recent storm* In some sections the damage was higher, from 50 to 60 per cent, while in other sections it was not more than 1 to 5 per cent. Florida's citrus crop will be a little less than that of last season. Oranges show a condition of about 81 per cent, in comparison with a full crop, and grapefruit are reported at about 80 per cent. More grapefruit will be shipped this season, but fewer oranges. Reports indicate th at all large markets are absorbing rapidly and at fairly satisfactory prices well colored and desirable sizes. Prices have varied widely, some of the better grades having sold at between $6.00 and o7.00, while poorly colored and small sizes have scarcely brought freight charges. GEORGIA. According to the statement by the Agricultural Statistican for Georgia, this state has produced a record crop of corn, amounting to about 87,975,000 bushels. The acreage planted to corn this year is larger than th at of any other southern state except Texas, and is estimated to be about three-fourths as large as the corn acreage of th at state. On this total corn acreage of 5,865,000 acres, an average yield of 15 bushels to the acre has been produced. On the low lands and in valleys splendid yields were obtained, but on the red hills yields were cut considerably by the drought and by the slim use of commercial fertilizers. About 83 per R E V IE W 5 cent of the crop is estimated to be of merchantable quality. Of the total acreage planted to corn, 3.5 per cent is be lieved to have been cut for silos, averaging about 3 tons per acre of silage. Of the 1920 crop, 2,677,500 bushels were es timated to be on the farms on November 1. White potatoes averaged 75 bushels to the acre, giving a total production of 1,725,000 bushels, compared with last year’s production of 1,628,000 bushels. Sweet potatoes averaged 85 bushels per acre, indicating a production of 14.110.000 bushels, against 93 bushels, and a total produc tion of 13,764,000 bushels, last year. Sweet potato acreage was about 12 per cent larger this year than last. The yield of peanuts in Georgia is estimated at 30 bushels per acre, and total production at 5,970,000 bushels, compared with 7.616.000 bushels last year. The average yield of tobacco in 1921 is estmated at 564 pounds, compared with 600 pounds last year; total produc tion this year, 9,475,000 pounds, against 16,020,000 pounds last year. The quality of the 1921 crop is given as 67 per cent, compared with 88 per cent in 1920. There was a de crease of 9,900 in the tobacco acreage in Georgia this year. Early in the season dry weather checked growth in counties where the crop is grown commercially, and the cold weather in the spring made cut worms active, causing the plant to sharpen and button out too soon. Some damage was also sustained in localized areas from hail. Production of sorghum syrup is estimated at 94 gallons per acre, and total production at 1,504,000 gallons, compared with 96 gallons per acre, and total of 1,410,000 gallons, last year. Acreage this year was 16,000 against 15,000 acres last year. Total production of apples in Georgia in 1921 averaged about 40 per cent of a full crop, or about 960,000 bushels. The commercial crop is estimated at 240,000 bushels. The quality is estimated at about 66 per cent. About 73 per cent of a full crop of grapes has been produced, and about 61 per cent of a full crop of pears. The pecan crop is expected to be considerably better this year than last, but not so good as earlier predictions indicated. Protracted drought and insect pests in locali zed areas diminished the crop prospect substantially. How ever, many large groves report a heavy crop, and a large movement to market is anticipated. LOUISIANA. The dry weather this fall has been detrimental to the best development of sugar cane, fall sown oats, and truck crops, but has been ideal for harvesting rice, sugarcane, corn, and other crops. Farm labor has been plentiful and willing to work at reasonable wages. Farm work is well advanced for this time of the year. The preliminary estimated average yield of corn per acre in Louisiana this year, is 19.5 bushels, compared with 19.2 bushels last year, and 19 bushels the ten year average, 1911-1920. The states total production for the year is es timated at 43,856,000 bushels, compared with 36,595,000 bushels last year. The estimated yield of oats this year is 23 bushels per acre, same as last year, T H E 6 M O N T H L Y B U S IN E S S and the total production estmated for this year is 1,587,000 bushels, compared with 1,380,000 bushels last year. The estimated production of white potatoes is 1,809,000 bushels, compared with 1,775,000 bushels in 1920, and of sweet pota toes 8,272,000 bushels, compared with last year’s production of 8,080,000 bushels. MISSISSIPPI. Hot, dry weather throughout the late summer and early autumn had a very damaging effect on all late matur ing crops, fall gardens, and the planting of small grain. The corn crop of Mississippi is harvesting much lighter than was indicated in the late summer. Intensely hot and dry weather caused premature shrinking of grains of all middle and late planted corn. Early corn, except in the drought stricken areas, is fine. The acreage for silos is 1.5 per cent of the total acreage, yielding an average of 3.6 tons ensilage per acre. Sorghum cane is growing rapidly in favor for ensilage on account of the greater tonnage per acre. The yield of sweet potatoes, sorghum syrup, and sugar cane have been greatly reduced by dry weather since July. Sweet potatoes promise a production this year of 8,800,000 bushels, against 11,330,000 a year ago, and 10,290,000 in 1919. Sorghum syrup will total about 5,544,000 gallons, compared with 5,400,000 in 1920, and 4,250,000 in 1919. Cow peas have produced more grain than for several years; soy beans have produced a fair crop of both hay and grain, but velvet beans show the poorest vine growth and lightest yield of beans for several years. TENNESSEE The corn crop of Tennessee has rounded out in fair shape in spite of a peculiar season, and production is esti mated at 92,500,000 bushels, compared with a production last year of 93,100,000, and a five year average of 84,834,000 bushels. First a cold, late spring, then one of the longest droughts on record, followed by fairly seasonable weather. Harvesting is progressing rapidly; the quality is a little deficient, caused by the drought and a considerable in fection of smut. The crop of white potatoes produced in Tennessee is one of the poorest on record, the final estimate being 1.600.000 bushels, compared with the final estimate for 1920 of 3,569,000 bushels. The early crop was almost a failure from drought, and, for the same reason, the late crop was late in being planted and did not have time to mature prop erly. The sweet potato crop, being more of a dry weather plant, has turned out much better. The final estimate of production is placed at 4,210,000 bushels, compared with last year’s production of 3,612,000 bushels. In spite of a poor season for planting, and many bad stands as a consequence, the tobacco crop is turning out well. The estimated yield is 800 pounds per acre, and pro duction is forecasted at 58,400,000 pounds, compared with 85.410.000 pounds last year. R E V IE W SUGAR. On account of dry weather, the condition of sugar cane in Louisiana fell off slightly in condition during Octo ber, but the crop on November 1 was still 12 points above the condition a year ago, and 4.5 points above the tenyear average. The condition on November 1, 1921 averaged 83 per cent of normal, compared with 84 per cent on Octo ber 1, and 88 per cent on September 1, and 71 per cent on November 1 1920. The ten-year average condition on Nov ember 1 is 77.6 per cent of normal. The estimated produc tion, based on this condition, is approximately 3,269,099 tons of sugar cane on the acreage to be used for sugar this year, and a yield for the state of approximately 222,638 short tons of sugar. This compares favorably with 169,127 tons produced in 1920, 121,000 tons in 1919, but is less than the 1918 production of 260,900 tons, and the 1917 production of 243,000 tons. Dry weather during the last three months has retarded the growth of cane. The weather has been favorable for harvesting the crop, and grinding is well under way. Rain is generally needed for development of the fall planted cane. MOVEMENT OF RAW SUGAR (POUNDS.) RECEIPTS: Oct. 1921 New Orleans______ 36,351,897 Savannah_________ 14,496,425 Sept. 1921 16,087,652 7,177,280 Oct. 1920 10,212,595 6,659,575 MELTINGS: New Orleans______ 35,497,956 Savannah....... ........... 11,403,392 25,131,306 17,582,720 8,003,228 0 STOCKS: New Orleans______ 1,477,759 Savannah_________ 3,264,000 623,818 0 4,382,930 0 RICE. That domestic rice is more in demand as an article of popular consumption is evidenced by the fact the per capita consumption is two pounds larger this year than last, in the United States. Total imports of rice, however, are below those of 1920. The exportation of rice is steadily increas ing, eight times as much having been shipped in August and September 1921 as was exported during those months last year. Of the countries importing American rice, Cuba leads with a total for September this year of 9,770,539 pounds while France and Germany are the next highest importers. RICE STATISTICS. FOREIGN TRADE IN RICE. UNITED STATES (Pounds). IMPORTS: Rough rice_______ Clean rice________ Brewers rice______ Sept. 1921 This Season Same time total 1920 318,272 2,275,283 48,372 912,822 8,843,063 215,188 5,844,165 19,457,374 329,629 T H E EXPORTS: Foreign rice_______ 4,098,223 Domestic rice______ 54,576,743 M O N T H L Y 7,769,091 116,558,480 B U S IN E S S 9,798,696 14,922,614 ROUGH RICE (Sacks) PORT OF NEW ORLEANS. Oct. 1921 Sept. 1921 Oct. 1920 Receipts__________ 143,017 173,694 209,144 145,971 171,774 254,266 Shipments________ Stocks___________ 37,465 40,419 99,932 R E V IE W 7 In Public Storage and at Compresses: Lint_____________ 4,981,856 Linters___________ 211,376 4,309,893 204,360 4,132,967 340,633 Imports______ _______ 31,269 6,362 13,825 EXPORTS: Lint_____________ Linters___________ 866,391 8,119 513,782 9,057 582,016 1,709 Active spindles_______ 34,255,522 33,898,415 33,771,988 CLEAN RICE (Pockets) PORT OF NEW ORLEANS. COTTON GROWING STATES. Oct. 1921 Sept. 1921 Oct. 1920 Odt. 1921 Sept. 1921 Oct. 1920 Receipts__________ 220,570 282,611 381,893 Shipments________ 205,417 271,444 379,388 Cotton consumed_____ 297,578 295,033 244,552 Stock____________ 151,702 136,549 189,193 On hand in consuming establishments____ 785,548 533,620 407,047 In public storage and at RECEIPTS OF ROUGH RICE (Barrels.) Compresses_______ 4,674,227 3,972,230 3,808,637 Oct. 1921 Total this Same time Active spindles......... ....... 15,436,576 15,338,584 15,031,849 Season Last Year 749,832 1,844,362 Association Mills— .. COTTON GINNED. 538,270 143,017 New Orleans Mills __ The Census Bureaus report of cotton ginned prior to 284,987 543,551 Outside Mills_____ November 1st showed a total of 6,646,136 bales, or 109,136 1,177,836 2,926,183 2,282,523 bales more than the forecast, issued October 3rd by the Department of Agriculture, of the 1921 production. The total cotton ginned included 11,150 round bales, 11,775 bales DISTRIBUTION OF MILLED RICE (Pockets.) of American Egyptian, and 1,696 bales of sea island cotton. Oct. 1921 Total this Same time Last year to November 1 there had been ginned 7,508,633 Season Last Year bales, including 159,058 round bales, 23,028 bales of American Association Mills___ 532,743 1,561,938 Egyptian, and 540 bales of sea island cotton. New Orleans Mills, _. 156,132 539,007 Comparative figures are as follows: Outside Mills______ 182,500 432,924 Ginning to November 1. 871,375 2,533,869 1,825,183 1921 1920 1919 1918 Alabama________ 512,858 414,404 489,658 554,022 STOCK (Rough and Milled.) 9,471 14,707 Florida. ______ 13,263 15,964 Nov. 1, 1921 Same time Georgia_________ 736,900 996,954 1,314,743 1,469,773 Last Year Louisiana_______ 236,964 273,195 187,389 360,407 Association Mills___________ 568,637 642,313 Mississippi______ 479,948 532,985 689,343 New Orleans Mills___________ 172,919 223,305 Tennessee______ 114,347 113,074 152,129 Outside Mills_______________ 226,619 Total 6th Dist.. 2,361,811 2,293,555 2,651,112 3,241,636 968,175 965,953 All other States 4,284,326 5,215,078 3,653,942 4,535,362 COTTON CONSUMPTION—OCTOBER 1921 Total United U. S. Census Bureau. States___ 6,646,136 7,508,633 6,305,054 7,777,000 (In Bales.) COTTON MOVEMENT—UNITED STATES. Oct. 1921 Sept. 1921 Oct. 1920 Cotton Consumed: Aug. 1—Oct. 29. Lint_____________ 494,745 484,647 401,325 Linters___________ 61,513 56,428 48,364 1921 1920 1919 Receipts at U. S. ports___ 2,108,739 1,472,050 1,400,343 On Hand in Consuming Overlands to Northern establishments: Lint_______ _____ 1,404,931 1,016,032 940,480 Mills and Canada__ 368,248 168,181 240,690 Linters___________ 159,729 165,011 235,063 Southern Mill takings.__ 905,000 606,198 730,783 8 T H E M O N T H L Y 1921 Foreign exports___ Total movement of crop for 89 da---------- ... Total takings Am. Mills and Canada______ Supply of new drop for 89 da_____________ 1929 1,623,583 899,525 3,532,162 2,535,413 1,541,800 982,618 5,843,858 B U S IN E S S 2,996,820 R E V IE W The prices of meat animals—hogs, cattle and sheep—to producers of the United States decreased 10.4 per cent from August 15 to September 15; in the past 10 years prices decreased in like period 0.3 per cent. On September 15 the index figure of prices for these meat animals was about 41.8 per cent lower than a year ago, 47.1 per cent lower than 2 years ago, and 25.5 per cent higher than the average of the past 10 years on September 15. FINANCIAL. MOVEMENT OF COTTON (BALES.) Oct. 1921 Sept. 1921 Oct. 1920 RECEIPTS—PORTS: 98,555 169,754 New Orleans_______ ____ 220,410 24,880 19,520 8,372 Mobile______ _________ 112,259 110,392 Savannah_____________ 147,964 RECEIPTS—INTERIOR TOWNS: 52,959 Atlanta_____ ____ Augusta___ ___ _______ 63,678 6,605 Jackson___ __________ 10,067 Meridian______________ 12,968 Montgomery___________ 11,628 Vicksburg_____________ 28,646 62,236 5,858 8,335 16,696 3,689 19,666 78,844 5,296 6,273 17,859 2,452 SHIPMENTS—PORTS: New Orleans..___ ______ 815,600 25,939 Mobile ........................... Savannah_________ ____ 119,159 49,222 16,873 77,753 90,031 4,683 102,388 SHIPMENTS— INTERIOR TOWNS: 34,678 Atlanta------ -- -----------33,250 Augusta______________ 4,444 Jackson--------- ------------7,890 Meridian______________ 11,142 Montgomery___________ Viciksburg__ ..................... 7,965 18,644 21,063 3,634 4,491 13,812 548 11,025 23,531 2,023 1,693 6,530 308 STOCKS—PORTS: New Orleans__ ________ 431,299 18,412 Mobile__________ _____ Savannah_________ ____ 191,647 426,488 20,177 162,842 285,212 5,978 109,811 STOCKS—INTERIOR TOWNS: 44,664 Atlanta ____________ Augusta__________ ____ 140,218 Jackson______ _____ ___ 10,618 Meridian..................... ...... 17,445 Montgomery....................... 29,475 10,876 Vioksburg...................... . 26,383 118,658 8,457 15,268 27,649 10,353 20,107 110,338 7,399 6,170 22,162 7,638 TREND OF FARM PRICES. The level of prices paid producers of the United States for the principal crops increased about 2.1 per cent during September; in the past 10 years the price level decreased about 4.8 per cent during September. On October 1 the index figure of prices was about 44.8 per cent lower than a year ago, 52.7 per cent lower than 2 years ago, and 29.2 per cent lower than the average of the past 10 years on October 1. The relative volume of business being transacted in the district is probably best indicated by the amount of checks charged by the banks to the accounts of individual deposi tors during any period. For the five weeks ended Novem ber 2, 1921, a total of $991,384,000 in checks was charged to accounts of indivdual depositors at banks in fifteen clear ing house cities on the Sixth Districts. This amount is 17.5 per cent less than the total for the five weeks ended November 3, 1920, but is 9.3 per cent greater than for the four weeks ended September 28, 1921, the difference in time covered being taken into consideration. Increases of 15.4 per cent and 15.8 per cent, respectively, were shown at Nashville and Vicksburg, over figures for the same period last year, while other points continued to show decreases. Replies by member banks to the Federal Reserve Bank questionnaire for October indicate improvement which is more or less irregular, and much of it psychological. The ris e in the price of cotton resulted in substantial improvement in those parts of the district where cotton sold on the advance, but in other parts of the district there is a tendency on the part of some of the large cotton holders to continue to hold for higher prices. In Mississippi, especially, enough of the carryover and the present crop has been sold to materially improve the condition of the farmer, merchant and banker, and farmers are said to be in ample position to hold the remainder of their crop. In some other parts of the dis trict it is believed th at most of the cotton has been sold by the producer. In some sections, notably in middle Georgia, even the advance in price of cotton has proved of negligible benefit because of the extremely low production, and low prices offered for other agricultural products constitute a further difficulty to liquidation of agricultural paper. A comparison of figures reported weekly by member banks at selected cities in the district shows a small decline in total loans and investments on November 2, compared with the same item September 28. On November 2 total loans and investments of reporting banks were $461,461,000, compared with $461,628,000 on September 28th, and $568, 840,000 on October 29, 1920. This is a decline of $107,379,000 during the year. Demand deposits of the same banks were reported as $217,880,000, which is an increase of $9,104,000 over the figure for September 28, but $28,146,000 less than demand deposits on October 29, 1920. Time deposits on November 2 were $142,560,000, compared with $139,440,000 on September 28, and $148,183,000 on October 29, 1920. FAILURES. Commercial failures in the Sixth Federal Reserve Dis trict during October, compiled by R. G. Dun & Co., num T H E M O N T H L Y B U S IN E S S R E V IE W 9 bered 153, compared with 125 in September, and 38 in October GEORGIA: 1920. Total liabilities for the month were $5,271,140, com Atlanta_______ 138,487,000 151,568,000 pared with $2,328,769 for September, and $613,307 for October Augusta_______ 37,040,000 46,662,000 of last year. The number of failures in this District during Macon________ 22,307,000 31,252,000 October was exceeded during the year by those for August, Savannah_____ 64,755,000 82,183,000 February, and January, and the total amount of liabilities for October was larger than for any month in several years LOUISIANA: past. New Orleans___ 304,922,000 386,628,000 For the United States, the total number of failures for October, 1713, was larger than for any previous MISSISSIPPI: Vicksburg_____ 9,750,000 8,421,000 month this^ year except January, when there were 1895 failures. The October number was 16.8 per cent in excess of those for September, while the October indebtedness TENNESSEE: was $16,000,000, or 43.3 per cent, heavier than the amount Chattanooga___ 39,389,000 59,493,000 reported in the immediately preceding month, and larger Knoxville______ 34,562,000 36,113,000 than the liabilities reported for any month this year except Nashville______ 143,941,000 124,693,000 May, March and February. The pronounced expansion in the indebtedness is chiefly explained by the increase in the Total 6th Dis liabilities of large insolvencies, which supplied considerably trict______ $991,384,000 $1,201,146,000 more than one-half of the total amount involved. Number and liabilities both considered, October 1921 failures ave the largest on record for the month. — 8.6% —20.6% — 28.6% —21,2% —21.1% +15.8% —33.8% — 4.3% +15.4% —17.5% CLEARINGS — OCTOBER 1921. ACCEPTANCES. Eighteen reports regarding acceptance transactions during October 1921 were received from accepting member banks in the Sixth District, ten of which indicated no trans actions of any kind during the month. Domestic accep tances executed during October were 15.9 per cent less than were executed during September, but 56.0 per cent more than during October 1920. Foreign acceptances executed during October were 26.3 per cent less than during Sep tember, and 30.1 per cent less than October 1920. Acceptances purchased in the open market by the Fed eral Reserve Bank during October were 24.3 per cent less than during the preceding month, but were 30.9 per cent greater than were bought in October 1920. With the excep tion of September, this was larger than during the past nineteen months. DEBITS TO INDIVIDUAL ACCOUNT AT FIFTEEN CLEARING HOUSE CITIES Oct. 1921 Sept. 1921 Oct. 1921 Compared with Oct. 1920 Oct. 1920 ALABAMA: Birmingham. .$87,786,821$ 80,363,190 $ 86,705,578 + 1.2% Mobile______ 7,234,333 6,377,134 10,950,118 —33.9% Montgomery, _ 6,978,875 6,250,578 8,305,290 —16.0% FLORIDA: Jacksonville, _ 36,079,827 32,839,839 Pensacola___ 6,123,455 5,902,539 Tampa_____ 8,086,008 7,297,285 47,740,967 —24.4% 10,078,141 —39.2% 8,741,968 — 7 .7% GEORGIA: Atlanta____ 217,254,392 Augusta------ 9,959,126 Columbus___ 4,166,458 Macon______ 18,245,908 Savannah___ 24,136,427 176,588,987 12,365,614 3,799,987 20,183,120 22,724,397 314,965,939J—31.0% 15,367,83835.2% 5,007,281f—16.8% 25,825,7113 —29.3% 43,209,090j — 44,1% LOUISIANA: New Orleans..213,044,503 197,886,465 276,287,108 —22.9% SIXTH FEDERAL DISTRICT. Five weeks ended Nov. 2, 1921 Five weeks Increase ended or Nov. 3, 1920 Decrease ALABAMA: Birmingham___ $ 64,771,000 $ 92,497,000 Mobile________ 32,294,000 46,217,000 Montgomery___ 21,530,000 24,308,000 FLORIDA: Jacksonville___ Pensacola_____ Tampa________ 45,663,000 7,077,000 24,896,000 68,732,000 11,702,000 30,695,000 —30.0% —30.1% —11.4% —33.6% —39.5% —18,9% MISSISSIPPI: Meridian........ Vicksburg---- 2,607,623 1,987,717 2,479,558 1,475,701 3,047,672 —14.5% 1,666,388 +19.3% TENNESSEE: Chattanooga- 21,788,335 24,127,293 Knoxville----- 14,150,597 12,063,248 Nashville----- 75,475,067 64,419,066 32,850,733 —33.7% 14,646,576 — 3.4% 102,911,301 —26.6% Total-------755,105,472 687,149,203 1,008,307,699 — 25.1% 10 T H E M O N T H L Y B U S IN E S S R E V IE W ports. Comparison of the volume and value of principal articles of import is shown in the following table: Commodity 1921 Volume Value Sugar—lbs---------- 8,075,000$ Coffee—lbs...... ____ 7,187,314 Creosote Oil—gals.. 1,983,434 Nitrate of soda— tons.................... 4,075 Sisal—tons............. 4,390 Burlaps—lbs.......... 1,026,477 Bananas-bunches. 1,811,596 Ferro—manganese664 tons--------------Mineral oil—gals.._.75,495,000 Mahogany—ft........ 450,000 Molasses—gals....... 2,432,256 1920 Volume Value 228,429 43,744,738 $7,670,664 905,244 39,665,738 6,133,880 212,709 850,864 183,173 170,616 496,709 85,185 652,884 20,542 882,072 9,353 1,178,495 6,585,382 1,077,409 1,171,539 159,838 46,836 450 796,282 44,505,000 73,436 814,000 48,649 5,850,103 81,847 477,224 93,285 131,627 It will be noted th a t increases in actual volume occurred in only four instances, creosote oil, bananas, ferro-manganese and mineral oil, the first two and the last showing increases also in value, but 664 tons of ferromanganese being valued at $46,836, compared with 450 tons imported in September 1920 valued at $81,847. Another cause of the decline in imports at New Orleans is the diversion of mil lions of pounds of coffee to other Gulf ports, because of cheaper inland rates. IMPORTS AND EXPORTS. Statistics compiled by the Department of Commerce show the total imports into the United States during the month of October to be $183,000,000, and the total of exports for the month $346,000,000 Imports were a little more than half of the total for October 1920, $333,195,758, and exports were slightly less than half of the total exports for October last year, which were $751,211,370 For the ten months ended October, imports for this year were $2,055,762,580, compared with $4,691,214,992, and exports were $3,898,307,733, compared with $6,831,201,222, for the same period in 1920. Imports for October were larger than imports for September and July, but smaller than for other months of this year, while October exports had been exceeded by those for Jan uary, February, March and August. PORT OF NEW ORLEANS. Imports through the port of New Orleans for September 1921 are reported at $4,726,924, compared with $21,820,271 for the corresponding month in 1920, $21,413,024 in 1919, $7,413,296 in 1918, and $5,867,380 in September 1914. Much of the difference in the total figures for September 1921 compared with September 1920 is accounted for in the de crease in the value of the articles imported, while decreases are shown in the actual volume of most of the articles of import. In September 1920, for example, 43,744,738 pounds of sugar were imported, valued at $7,670,664, while in Sep tember 1921 only 8,075,000 pounds of sugar were imported, and the value is placed at $228,429. Likewise with coffee, in September last year 39,665,738 pounds valued at $6,133,880 were imported, while in September of this year only 7,187,314 pounds, valued at $905, 244, were reported in the list of im Grain exports from New Orleans for October 1921 were 5,501,873 bushels less than for October 1920, and somewhat less than the amount exported in the preceding month. A shortage of ocean tonnage during the month caused an accummulation of grain at the port. Total of grain exports from New Orleans since July 1st, compared with figures for the corresponding period last year are: July 1-Oct. 31 July 1-Oct. 31 1921 1920 W heat..................................... 22,279,020 bu 31,890,825 bu. Corn........... .............................. 2,214,623 424,864 Oats____________________ _ 188,505 339,185 Barley............... ........................ 110,100 3,860,805 25,714 Rye.................................. ......... 26,455 BUILDING. While there has been a seasonable reduction in build ing permits issued at some cities in the Sixth Federal Reserve District during October, increases over permits during October 1920 are shown at a number of points, while decreases at other points are Caused by large single items of construction occurring during October a year ago. For example, at New Orleans in October 1920 permits are reported for “bank and office buildings” at alittle more th an $3,000,000, with no offsetting item in October of this year, resulting in a decrease when otherwise an increase would be shown. Likewise, at Chattanooga permits for buildings for manu- T H E M O N T H L Y B U S IN E S S facturing and other industrial purposes were issued in October last year which more than offset increases in other classes of building At Macon permits for repairs in Octo ber 1921 were little more than half of the amount reported for October last year, and offset the increase shown in new buildings. The number and value of permits issued for dwellings continues to be substantially larger than were issued in 1920, as shown by the following comparison for October: R E V IE W 11 LUMBER. There has been some irregular improvement in lumber in this Federal Reserve District during October. In some parts of the district production has increased over that for September, although for the district as a whole the increase was probably not very great. Because of the threatened strike, both orders and production declined for the last week in the month, as buyers were unwilling to enter into commitmants in the face of the uncertain situation exist ing. The statement of the Southern Pine Association for Dwelling Permits Issued Oct. 1920 the week ended October 28, showed actual production of Oct. 1921 Value the 130 reporting mills to be 20.46 per cent below normal Value No. No. production, while for the week ended September 30 actual 34 68,450 production of 133 reporting mills was 22.23 per cent below 492,150 Atlanta_________________ 130 204,140 normal production for those mills. Reports from corres Birmingham______________129 250,000 60 4 10,000 pondents, however, bear a tone of improvement, and one 26,400 Chattanooga_____________ 10 86,150 firm states that its business in pine is just about back to 203,200 20 Jacksonville______________ 57 3 6,300 normal. 20,700 Johnson City_____________ 17 14,500 12 149,940 Knoxville____________ ____ 50 ‘Average stocks at the mills are reported to be low and 2 11,000 badly broken, and unusually favorable weather will be 16,900 Macon____ ______________ 8 101,400 14 47,100 necessary for the next ninety days for production to be in Nashville________________ 44 382,225 200,348 creased over its present level. Yard stocks are also low. 48 New Orleans_____________ 143 14 53,900 A pronounced scarcity of a number of items in active demand 148,100 Tampa____ ______ _______ 44 is still the general rule, and buyers are finding it increasingly difficult to cover their requirements in BUILDING PERMITS—OCTOBER 1921. these items. Greater trouble is experienced in Oct. 1921 placing orders for mixed cars. Prices still exhibit Repairs and Compared a pronounced upward trend, despite the numerous advances Alterations New Buildings with of the last two months. Improvement is also noted in hard No. Value No. Value Oct. 1920 woods, but the high freight rates are said to be a deterring factor, as only the highest grades can be traded in profita ALABAMA 14,575 -40.9% bly, leaving all the lower grades in the hands of the mill 10 5,300 Anniston___ .. 8 56,775 200 958,595 +116.6% men. Birmingham___ 227 _____ 22 29,600 -85,3% Mobile_________ The activity of the month is indicated in the fact that 19,531 7 Montgomery___ 114 16,700 -35.1% shipments by 130 reporting mills were 30.26 per cent greater than production for the last week in October, and orders FLORIDA 63,577 83 307,350 + 5.3% were 19.04 per cent in excess of production. Orders were Jacksonville___ 237 Miami_________ 21,900 325,500 -37.7% 8.61 per cent lower than shipments, and 5.32 per cent below 20,870 91 168,505 +32.2% normal production. O r l a n d o . ___ 50 14 36,900 +19.7% 47,804 Pensacola_____ 75 74,666 130 342,763 +198.8% Tampa. ______ _ 237 SOUTHERN PINE STATISTICS. GEORGIA The statistical report of the Southern Pine Association 123,282 234 950,990 +31.4% Atlanta_______ 147 45 291,955 +84.8% for week ended Odtober 28, 1921, is as follows: 15,200 Augusta______ 159 1,741 Brunswick____ 12 7 17,450 +657,7% 130 Mills Report: 11 5,700 102,400 ______ Columbus_____ 15 Cars Feet 33,405 16 27,150 -21.5% Orders on hand beginning of week____ 12,618 274,113,432 Macon________ 51 73 154,540 +10.4% Orders received____ _______________ 3,736 Savannah_____ (combined) 81,160,864 LOUISIANA TOTAL______________________ 16,354 355,274,296 New Orleans___ 72 206,550 196 520,920 -80.3% Shipments during week_____________ 4,088 88,807,712 MISSISSIPPI Orders on hand end of week_________ 12,266 266,466,584 11 4,680 58,700 —39.6% 6 Meridian______ 895 4 3 4,540 Vicksburg. _ _ For the week (130 Mills) Average per Total MiH TENNESSEE Orders________________ 81,160,864 Feet 624,314 Feet 13 44,363 39,400 — 61.8% Chattanooga___ 175 Shipments_____________ 88,807,712 Feet 683,136 Feet 26 130,000 +409.2% 2 6,970 Johnson City_ _ Production____________ 68,178,513 Feet 524,450 Feet 16,050 60 225,030 +158.0% Knoxville______ 73 72 155,950 +156.7% Normal production these mills_85,719,919 Feet 659,384 Feet 68,140 Nashville.......... 138 T H E 12 M O N T H L Y Shipments above production for the week___ _______ _ _____20,629,199 Feet Orders above production for the week___ ______ ___ _______ 12,892,351 Feet Orders below shipments for the week__ __________ ________ 7,646,848 Feet Actual production below normal-_17,541,406 Feet Shipments above normal produc tion___ __________ ________ 3,087,793 Feet Orders below normal production._ 4,559,055 Feet Decrease in “Orders on Hand” during week______ _ ____ 7,646,848 Feet B U S IN E S S =30.26% =19.04% = 8.61% =20.46% = 3.60% = 5.32% = 2.79% PREVIOUS REPORTS. Mills Avg. Week re Orders ended port (feet) ■ ing Oct. 7 127 746,674 14 135 699,796 21 142 657,992 28 130 624,314 Avg. Avg. Avg. Total Avg. Ship Produc NofmalUnfilled Unfilled Orders ments tion produc cars Per Mill tion (feet) (feet) (feet) 647,236 543,200 677,571 12,753 2,260,438 642,699 524,731 674,481 12,983 2,064,874 680,481 547,195 656,091 14,281 2,184,792 683,136 524,450 659,384 12,266 2,049,743 R E V IE W Correspondent brick manufacturing companies report a slight decline in their operations during the month, pro duction being one-third less than for the corresponding month last year. Stocks on hand are about the same as at the end of September, but are about fifty per cent of stocks at the end of October 1920. Unfilled orders have declined, compared both with September and with a year ago. Reporting firms are operating at from 66 to 75 per cent of capacity, compared with full capacity operation at this time last year. Collections are good, wages stationary, with a slight tendency of prices to decline. One company reports October shipments to be larger than for any month this year. Candy manufacturing is also showing improvement in production over September and over October last year. Stocks on hand are larger than for September, but some what smaller than for the end of October 1920, and unfilled orders are declining. Reporting firms are operating at from 58 to 90 per cent of capacity compared with 92 to 100 per cent capacity operation at this time last year. Other lines of manufacture report increasing activity indicating general improvement and growing confidence. COTTON MANUFACTURING. Cotton Cloth. Reports from forty-eight representative cotton mills throughout the Sixth Federal Reserve District reflect fur ther improvement in business during October. Produc tion of cotton cloth by these forty-eight mills during October MANUFACTURING. was 3.5 per cent greater than during September, and 17.4 Cottonseed oil mills in the District, with a few excep per cent in excess of production by the same mills during tions, report increased activity in October, and there has October 1920. Shipments were 7.5 per cent larger than been some resumption of operation by mills which have during September, and 73.2 per cent larger than shipments been closed* The recent decline in the price of cotton has during October of last year. It will be remembered th at in tended to hold up movements in some sections. Produc the fall of 1920 there was a great wave of cancellations, and tion in the aggregate has shown a substantial increase, this affected cotton mills along with other lines of trade. though one or two mills report small decreases compared Unfilled orders on hand at the end of October declined 5.2 with production for the preceding month. Stocks of manu per cent during the month, but were 28.4 per cent larger than factured product on hand at the mills have also increased, unfilled orders at the end of October 1920. Stocks of manu both compared with the preceding month and with Octo factured goods on hand were 10.8 per cent less than at ber of last year. Customers’ orders unfilled at the end of the end of September, though 5.2 per cent larger than at the month are somewhat larger than for last month, but the end of October a year ago. smaller than for October 1920. Cotton mills generally throughout the district are oper Further improvement in the manufacture of cotton ating on full time, and there are a number of mills opera hosiery is reported by mills in this line for October. Re ting overtime, running night shifts. The more recent sag porting mills are operating from 80 to 100 per cent of capa in the price of raw cotton has resulted in a more or less un city. Business in this line is gradually assuming large settled condition in cotton manufacturing, but there does proportions, due to improvement in conditions generally, not appear to be any feeling th at the price will go lower settlement of the railroad strike, and the necessity of job than in the past week or two. bers and retailers filling bare shelves. Collections are re Oct. 1921 Cotton ported to be good to excellent. Wages are stationary, but Cloth Statistics there appears to be an inclination toward increasing prices. Compared with: The supply of labor is reported plentiful, except by one mill, 48 Mills Sept. Oct. which states there is no surplus of skilled operatives who 1921 1920 are willing to work. Production continued to increase, and 1. Cloth production_________________ +3.5 +17.4 amount of product manufactured during October by re 2. Cloth shipments__________________ +7.5 +73.2 porting mills is reported larger than for these mills during 3. Orders on hand at end of month_____ —5.2 +28.4 October 1920. There is some decrease in stocks on hand, 4. Stock of manufactured cloth on hand and increase of unfilled orders. at end of month..................... .......... . — *10.8 + 5 .2 T H E M O N T H L Y B U S IN E S S Cotton Yarn. The amount of cotton yarn manufactured during the month of October by forty-four mills reporting to the Monthly Business Review was 1.6 per cent less than the amount produced in September, but 33.6 per cent greater than production during October 1920. In Cotton Yarn statistics, as with cotton cloth figures, increases were shown in production, orders on hand, and also in stocks on hand at the end of the month compared with figures for October of last year. Shipments increased 62.1 per cent, while orders on hand were 85.8 per cent greater than at the end of October last year Yarn shipments for October were 12.9 per cent greater than those for September, and orders on hand at the end of the month were 5.4 per cent larger. Stocks of yarn on hand declined 11.7 per cent compared with stocks at the end of September. Some of the mills report that while cotton was around 20 cents a pound orders were received freely, but with the decline in the price of the raw staple came also a lull in orders. A majority of the mills, however, are running at full capacity and some operating at night. Oct. 1921 Cotton Yarn Statistics 44 Mills Compared w ith: Sept. Oct. 1921 1920 +33.6 1. Yarnfproduct ion_________________ — 1.6 2. Yam shipments__________________ +12.9 +62.1 +85.8 3. Orders on hand'at end of month____ + 5 .4 4. Stocks of yarn on hand at end of month —11.7 +43.3 LABOR. Information compiled and published by the Industrial Employment Survey Bulletin indicate that labor conditions in the Sixth Federal Reserve District were improving during September over thosefexisting in August. Unemployment was not so great, and increases in employment in some lines were noticeable. Building programs continue to furnish employment at many points for those engaged in the building trades, and increased mining and iron production has increased the number employed in those industries. In Georgia employment in textile mills increased, as in dicated by the fact that 120 textile mills reported on Sep tember 15 employees numbering 31,065, an increase of 338 during the month. Thirteen lumber products plants em ploying on September 15th 596 persons reported an increase for the month of 33. One hundred and nineteen firms in Atlanta ordinarily employing less than five hundred each, report an increase of 230 for the month. Reports from Savannah indicate unemployment to some extent in various industries, while at Macon, Augusta and Columbus there appears little unemployment except in unclassified labor. Employment conditions throughout Florida continue to be satisfactory, except in the cigar making line, where a considerable number are still idle. 2,500 cigar makers are idle at Tampa, and 950 at Key West are reported out of work. Lumber products plants have increased the number em ployed. Some slight unemployment exists in Jacksonville among unclassified labor. R E V IE W 13 Unemployment in the coal, iron and steel district of Alabama has decreased with the opening of five additional furnaces since the end of September. Lumber in Alabama has also shown improvement, some mills which have been closed having opened during the month. Montgomery re ports indicate stimulation in all lines of activity following the rise in the prise of cotton. Farms are reported to have taken a large number of colored laborers; road construc tion and street paving have given work to unskilled work men, the building trades are reported active, and there is little unemployment. At Mobile shipbuilding companies have laid off about 7,600 workers; 650 iron and steel workers, 550 lumber workers, 750 railroad workers and about 1,000 cotton and timber workers are idle. The industrial situation in Louisiana shows signs of improvement. There has been increased demand for yellow pine lumber, and railroad repair shops have added to their forces. At New Orleans there is some unemployment and part time in ship yards, metal and building trades, sugar refineries and among longhsoremen and freight handlers. Improvement has been noted in food products, other than sugar, in textiles, and in railroad repair shops. Cigar, clothing and garment factories are active. The advance in the price of cotton has stimulated busi ness in Mississippi. Lumber has shown improvement, and a number of mills have reopened. Railroad shops have added to their forces, and machine and foundry shops are running normal. There is still a little unemployment in the coal mining section of Tennessee, but this is on the decline. Phos phate mines, however, normally employing about 1,500 men, and clay pits, are closed. There is a surplus of farm labor, and some unemployment still exists in railroad repair shops in Nashville, Chattanooga, and Knoxville, but other m anu facturing enterprises are increasing activity. COAL. According to the weekly statement issued by the United States Geoglogical Survey, production of bituminous coal in the United States continued through October the im provement which began the second week in August and had continued, except for the first week in September, since that time. Due principally to the threatened railroad strike, the increase in production the third week in October over the prec eding week was 1,302,000 tons. Total produc^tion for that week, 10,993,000 tons, was not far below the normal rate of production for this season of the year. In the corresponding week in 1917, for example, 10,844,000 tons were produced, in 1918 about 11,170,000 tons, and in 1920 over 12,230,000 tons. The influence of the fear of a stoppage of transportation is also shown in the record of cars loaded daily during the week; instead of decreasing after Monday, as normally happens, the daily loadings increased steadily to Wednesday, and declined but little thereafter. Total production for October was 43,741,000 tons, an increase of 24.6 per cent over production for September, which was 35,105,000 tons, but was 16.1 per cent less than production for October 1920, which was 52,144,000. Octo ber 1921 production was less than for October of any year i4 T H E M O N T H L Y B U S IN E S S R E V IE W since 1914. Cumulative production for the year to October stacks were placed in blast, improvement is still being made, 31, (340,000,000) tons, was less than for the same period of any other furnaces having been lighted since the end of October of the last eight years, and was 113,000 tons behind 1920, Production of merchant iron during October totaled 204,803 63,000,000 tons behind 1919, and 155,000,000 tons behind 1918. tons, and was a gain of 47,075 tons over the 157,728 tons The subnormal production is attributed principally to the produced in September. Nonmerchant or steelworks fur subnormal rate of consumption attendant on the indus naces produced 1,028,429 tons, a gain of 200,362 tons over the 828,067 tons produced in September. trial depression. Correspondents in the Alabama coal mining district In the Alabama district, of the 45 stacks, at the end of reported some general improvement in the industry in that October 10 were in blast the last day of October, compared section. The increase in tonnage mined during October is with 7 the last of September. Two additional furnaces were contributed in part by the furnace companies, but princi lighted on November 1, making 12 in active operation. At pally due to the anticipation by consumers of their needs this time last year 24 furnaces were operating in this dis in view of the proposed strike. Correspondents state that trict. Of the active furnaces, four are producing basic the business situation had not improved sufficiently to re iron, six are producing merchant foundry iron, and two quire the increased tonnage. Railroads securing their stacks are making charcoal iron. The active furnaces fuel from this section are using from 8 to 10 per cent more appear to be able to move their output as made, and stocks than during the preceding month, but their reserve supply on furnace yards are reported not increased over those of a of coal is such th at this improvement has not yet extended month ago. Prevailing price for No. 2 foundry is $19.00 to the mines. Coal produced in Alabama during October compared with $42. a year ago. Merchant iron produced in was approximate! 1,170,000 tons, an increase of about 185,000 Alabama during October was reported at 44,674 tons, non tons over production for the month of September . In merchant iron at 55,587 tons, making a total of 100,261 tons, October last year the mines of this district produced 1,240,000 for October, compared with 74,285 tons during September. tons, but at that time the strike on the part of the Union Steel mills in this district are operating on more than a Miners was in full swing. Since the first of November the 50 per cent capacity, some parts of the plants—rail, steel output of the mines has fallen off substantially, due to wire, and wire products—being at 100 per cent capacity. lack of demand for steam coal as well as domestic coal. The Rail orders are being received for both domestic and export comparatively mild weather has caused a slackening in the trade. Cast iron pipe plants are still producing on a liberal domestic demand, while industries which accumulated scale, the market holding up later this year than usual. stocks last month in anticipation of the strike will no doubt exhaust these supplies before coming into the market with NAVAL STORES. further orders. Tennessee reports also indicate the improvement in Improvement in conditions in the Naval Stores Industry mining activities during October. Reports to the Southern is reflected in reports received from corresopndents for the Appalachian Coal Operators Association show total loading month of October. The price of turpentine is reported to by all mines of 7,579 cars, representing a tonnage of approxi have advanced materially during the month, and the price mately 378,950 tons, which is a gain over September loading of rosin has made some recovery from the low point. While of 1,175 cars or 58,750 tons. Labor conditions are also re foreign business is still small, domestic trade is being improved ported to be improved, the number of idle being greatly somewhat by the steady improvement in paint and varnish reduced within the past thirty days. It is estimated that manufacturing, and other lines requiring turpentine or not more than 3,000 who normally make their living in the rosins. A great deal of rosin of last season's production is mining industry in Tennessee are now idle. Reports are reported to be still held at points of production, and also received also of wage reductions being put in in many of more than the usual number of barrels of this season's the districts. Operators are said to be negotiating with production is also held. Despite this fact, stocks of rosins their men effecting the 1917 wage scale, representing a re are very much in excess of those for the same time last year. duction of 15 to 25 per cent on all classes of labor. The demand for rosins, according to reports, has not been in proportion to the demand for turpentine. IRON AND STEEL. Statistics compiled and published by the Iron Trade Review show an increase of 25 per cent in the amount of pig iron produced in the United States during October over September production, the October total being 1,233,232 tons, an increase of 247,437 over the total for September. Pro duction for October was larger than for any month since March. The total production for October 1920 was 3,288,341 tons, and for October 1919, 1,864,424 tons. Operating stacks also showed improvement, a net gain of 11 being shown over September, bringing the total active stacks on the last day of the month to 95. While this gain was not as great as th at of the preceding month, when 15 additional MOVEMENT OF NAVAL STORES. October 1921. Oct. 1921 Sept. 1921 Oct. 1920 Receipts—Turpentine: 9,243 Savannah.......................... Jacksonville_____ ____10,356 Pensacola------------------3,841 11,796 ________ 12,154 12,044 5,254 5*723 Receipts—Rosin: Savannah_____________ Jacksonville..................... Pensacola......................... 36,170 37,612 12,226 35,214 32,121 11,940 33,709 15,552 T H E M O N T H L Y B U S IN E S S Oct. 1921 Sept. 1921 Oct. 1920 Shipments—Turpentine: Savannah_______________9,181 Jacksonville____________7,602 Pensacola____________ __4,100 10,481 12,896 Shipments—Rosin: Savannah_________ Jacksonville_______ Pensacola__________ 28,172 40,063 21,622 . 33,594 41,742 Stocks—Turpentine: Savannah__________ Jacksonville_______ Pensacola......... ......... 9,160 28,225 20,681 9,098 25,471 20,940 21,064 21,595 6,986 Stocks—Rosin: 83,466 Savannah__________ Jacksonville.......... .... .. 166,580 Pensacola...... ............ ...... 63,858 76,424 174,522 73,540 54,676 102,190 37,560 9,241 8,587 12,013 20,486 R E V IE W 15 PRODUCTION OP CORN BY FEDERAL RESERVE DISTRICTS NOVEMBER 1, 1921 FORECAST OF THE DEPARTMENT OF AGRICULTURE (In thousands of bushels.) Prelimi Federal Reserve nary Oct. 1 Estimate District estimate Forecast for for 1921 for 1921 1920 Boston_____________ New York____ ______ Philadelphia__ ______ Cleveland__________ Richmond_______ _ A tlan ta ___________ Chicago____________ St. Louis____ ______ Minneapolis_________ Kansas City__ _ ______ Dallas______________ San Francisco. ______ 5,750 43,428 67,930 200,533 183,980 297,615 937,596 436,180 287,813 459,370 221,341 10,162 5,810 44,643 64,609 201,017 181,536 305,067 928,661 450,971 281,559 483,966 206,152 9,072 4,535 38,550 63,133 216,642 202,850 266,055 987,897 441,118 259,126 542,699 199,638 10,124 151,698 3,163,063 3,232,367 WHOLESALE PRICES IN THE UNITED STATES. The index number of wholesale prices in the United States compiled by the Federal Reserve Board for the purpose of international comparisons showed th at prices during October declined 2 points or 1.4 per cent after having been practi cally stationary for two months. On the basis of prices in 1913—100, commodities imported shifted from an index number of 106 during September to 107 during October. The index for prices of exports fell 3 points from 144 to 141 after last month’s increase of 17 per cent. 1920 INDEX NUMBERS OF WHOLESALE PRICES IN UNITED STATES. (Average price for 1913—100.) Raw Goods Goods Goods Producers* Consumers* exported materials produced imported goods goods 142 181 211 209 213 203 192 127 163 190 195 187 146 176 112 171 178 171 All 208 October______ _ 190 November------------173 December................. 1921 114 164 142 166 166 159 163 January--------------152 113 135 158 156 152 154 February....... ........... 114 125 146 152 153 151 150 March................. ...... 109 121 136 145 148 147 143 April.......................... 105 125 139 145 145 144 142 May..... ...................... 102 122 133 141 140 144 139 June..................... . 134 103 122 144 136 152 141 July................. -........ 104 123 133 133 145 157 143 August...................... 144 138 106 133 145 152 143 September................ 107 141 140 132 143 145 141 October.................... This index number is compiled from 90 wholesale price quotations for representative commodities taken in leading United States markets. In most cases weekly quotations are averaged to obtain the monthly figures, and these in turn are weighted according to the importance of the commodity, before the index number is constructed. Part of the quota tions used are furnished by the Bureau of Labor Statistics, the rest are compiled from trade journals and private firms of recognized authority.
@FedFRASER