A Producer-Based Cotton Marketing System

Excerpts from the report Preface: The purpose of this study was to suggest directions toward which U.S. cotton growers might move to remain viable in face of the threat posed by declining Government assistance, rising off-farm costs, and competition from synthetic fibers. The examination of organizational options open to producers was limited to those within the boundaries of present Government policies and legislation. Efforts were made to determine whether producers could link their operations more directly with those of domestic and foreign mills in ways that would be mutually advantageous and more efficient than present organizational arrangements. Consideration was given to how the industry could attain improved order and flow in cotton marketing processes and better price and supply stability. The primary source of information for this study was unstructured personal interviews with key people in each major segment of the cotton industry: producers, ginners, warehousemen, merchant-shippers, and mill buyers. These informal meetings were designed to explore and evaluate ideas and concepts of the various groups that might serve as an information base on which to render judgment.