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                  <text>Throughout the Civil War, President Lincoln and his administration were vexed by the issue of cotton. An essential raw material for industrial enterprise, cotton (and its sudden scarcity) threatened the Union war effort. The letters, newspaper articles, and government records in this collection reveal an administration grappling with the simultaneous need to starve the Confederacy of resources and increase the available supply of cotton. The ultimate solution, a "cotton permit" system, was vulnerable to cronyism and abuse, leading Congress to declare that "it is believed to have led to the prolongation of the war, and to have cost the country thousands of lives and millions upon million in treasure."</text>
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              <text>Your despatches Nos. 118, 119, and 120 were received by me on the 21st instant, and yet the contents of 118 and 120 have not, up to this date, been communicated to Mr. Thouvenel. This is owing to the fact that I received notice, on Sunday last, that he would not receive me until Friday next, and I did not feel that the despatches were of a nature to justify a call for a special interview. ·&#13;
In the meantime the Emperor, without application on my part, by a note from his chamberlain, signified to me that he would receive me to-day at 2 p. m. Of course I availed myself of the opportunity, and have just returned from this personal interview. I was most kindly received, and he said at once that he had wished to have a talk with me about cotton, and the pros­pect of opening our ports. He spoke again of the great inconvenience connected with the existing condition of things, and feared it would not speedily come to an end; that the war might yet be a long one. He referred, too, to the probability of the south's destroying its cotton, &amp;c. These, of course, are old matters, and I refer to them only as coming now directly from his Majesty. In reply, I thanked him for the opportunity of a direct personal conference, and assured him again of the confidence of our government in the early suppression of the insurrection. As to the burning of the cotton I told him that it might be, and doubtless would be, done, to a limited extent, but that little confidence was to be placed, in my judgment, upon the blustering resolutions and loud talk of southern people upon this subject; that I did not doubt, if we got possession of the country, enough of cotton would remain to supply the present European want. I then read to him your despatches 118 and 120. He was aware that an army and fleet were on their way by sea to New Orleans, and asked, if we took that city, whether I thought they would then get a supply of cotton. I told him I had little doubt of it; that you had always represented that when we took possession of the country in which the ports were located the blockade would be removed, I thought that cotton, to a considerable extent, would come forward. I then called his attention particularly to the suggestion in the latter part of your confidential despatch No. 120. I told him we honestly believed that if a proclamation by France and England withdrawing. belligerent rights from that it was the moral support only which that concession had given them that had sustained them so far; that they had always looked to it as a first step towards their final recognition as an independent power. If the con­cession were withdrawn, I believed, as an equivalent, the blockade would be raised at an early day. He said the concession of belligerent rights was made upon an understanding with England; that some legal questions were involved in it originally, and that he would have to speak to Mr. Thouvenel about them. I called his attention to tHe fact that the confederate flag had been scarcely, if at all, seen in a port of France; that they had almost no commerce upon the ocean and scarcely the pretence of a navy; that the two vessels; (Nashville and Sumter,) which had alone been in European waters, had demeaned themselves as pirates rather than as ships-of-war; that a withdrawal of belligerent rights would, under these circumstances, take from the south no material advantage; it would only deprive them of the countenance and moral support of other nations. The Emperor replied that he must frankly say, when the insurrection broke out aµd this concession of belligerent rights was made, be did not suppose the north would suc­ceed; that it was the general belief of statesmen in Europe that the two sec­tions would never come together again. This belief, he intimated, was· a principal reason why this concession of belligerent rights was then granted. He said now it was a large country, and for that reason difficult to subdue. I told him ( as I had before told Mr. Thouvenel, in answer to the same objection) that we did not need to seize hold of a man's entire body to control him; that if. we grasped firrnly any sensitive extremities it was enough; that he had controlled Russia for the time being by taking possession of Sebas­topol. I then called his attention to the few ports in the south, and the effect of seizing and holding them--from the outer world the people of the interior, whose entire surplus industry was devoted to raising articles for export. This advantage, in connexion with the fact of the unquestionable existence of a large Union element in parts of the south, would, I thought, bring· them into the Union again. Without expressing any opinion upon these matters, he said he would think of them, but hoped in the meantime that something would be done by us to relieve the difficulties here growing out of the want of cotton. I have heretofore expressed my earnest and per­haps somewhat urgent wish that this hope may be realized. I am, sir, your obedient servant, WM. L. DAYTON</text>
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              <text>Dayton, William. &lt;em&gt;William L. Dayton to William H. Seward, Paris.&lt;/em&gt; March 25, 1862. Despatches, France, State Department Correspondence, National Archives, Washington. Records of the Department of State, Record Group 59. Microfilm publication: M34 Despatches from U.S. Ministers to France, 1789-1906, Roll 54, Despatch #129. &lt;span class="m_7021379446878022507gmail_msg"&gt;Letter cited in Chapter 9 of Empire of Cotton: A Global History by Sven Beckert. &lt;/span&gt;&lt;span class="m_7021379446878022507gmail_msg"&gt;New York: Vintage Books, 2015. &lt;/span&gt;</text>
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              <text>F. G. Ruffin and S. B. Brewer. "The Rebellion Startling Deselosures in the History of War Proposals of Northern Men to Feed the Rebel Armies Cotton." &lt;em&gt;New York Herald.&lt;/em&gt; July 21, 1865. America's Historical Newspapers. Accessed December 16, 2016.</text>
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                <text>The New York Herald published the testimony of Confederate officer regarding the effects of the official cotton trade between the Union and the Confederacy. According to the transcript, the cotton trade directly prolonged the war by giving the Confederacy access to vital supplies, particularly bacon.</text>
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              <text>Head Quarters, Army of the Tenn,&#13;
&#13;
Before Vicksburg Feby 19th 1863.&#13;
&#13;
Dear Sir&#13;
&#13;
When I left you in November I intended, according to my promise to have written you much sooner in reference to the Cotton question; but constant engagements have prevented. I came from Memphis in charge of the transports of this fleet, and have been with the army ever since; and had a good opportunity for observation and testing the correctness of the opinions I expressed to you. The result of my observations and conversations with those best able to judge correctly fully confirms me in the correctness of the ground assumed and presented by you to the Cabinet when I last saw you, and it is a matter of surprise to all our nonspeculating Officers here that nothing has been done by the Government to correct these great and palpably existing evils and to take the direct control of so important a subject. The objects of such interference being:&#13;
&#13;
1st To prevent the demoralization of the Army, the wrongs constantly committed by unprincipled cotton speculators, and the introduction of Contraband of war;&#13;
&#13;
2nd To obtain Cotton for commerce;&#13;
&#13;
3rd As the rebellion has advanced the price of cotton, to secure such advance to the Government to go towards defraying the expenses of the war.&#13;
&#13;
There are other minor objects, but these are the leading ones.-- The means proposed are:&#13;
&#13;
1st Declare that all the Cotton between the Gulf and the Ohio River belongs either to the Government or the producer, and that no one can move the Cotton from those limits except the Government;&#13;
&#13;
2nd Fix upon a price to be paid for Cotton at certain points -- say for example at Memphis fifteen (15) cents -- and a like sum at other adjacent places, less the cost of transportation to Memphis, and pay that in Government funds to all who will voluntarily sell;&#13;
&#13;
3rd Declare that unless Cotton is voluntarily brought out for sale it will be seized and not paid for;&#13;
&#13;
4th Ship all Cotton to certain points -- say that from the Tennessee, Cumberland, and Mississippi above Vicksburgh (till the river is open to New Orleans) to Cairo and then sell it at public vendue on a certain day in each week, giving everybody an opportunity to purchase&#13;
&#13;
5th Keep an accurate accounts of all purchases and remit same with nett proceeds weekly to the Treasury Department.&#13;
&#13;
That something should promptly be done on this subject by the Government, I do not think admits of a doubt in the minds of those here best advised, and most capable of judging correctly and honestly. As to the details of the mode of doing it there might be a variety of opinions, but all agree on the main point viz: that Government must assume the ownership or control of all Cotton not in the hands of the producer, and that no other parties must be allowed to transport the article beyond the prescribed limits. That of itself puts an end to most of the existing evils. There is then no longer any temptation to the Officers of the Army to swerve from their duty to obtain unjust gain. The temptations to the unprincipled speculator to introduce contraband of war is then also almost equally removed, as he ceases to get his pay in cotton at such temptingly low rates. The idea that free trade should always go wherever the flag goes is as I think an error. When the authority of the Government and laws is fully restored this will do, but not till then; and I think all well advised persons will tell you that an endless amount of rascality is the result of opening trade to Memphis and Helena, with no corresponding good. The fact is the people at and below Memphis are generally unmitigated rebels, and all the efforts to moderate their madness by the allurements of trade have been entirely unsuccessful. Experience shows that the inconvenience and sufferings from lack of trade have a much better tendency. The only way is to crush the rebellion by the force of our arms and till that is done it is useless to try and coax the people into loyalty with the prospects of an abundance of Coffee and Salt.&#13;
&#13;
How much Cotton will be brought out under this plan might be a question, but if the amount is not large the wrong prevented will be an ample compensation for the effort. If some such plan is not adopted I should say; then open the trade entirely and let any and everybody come in and purchase cotton, and not confine the business to the few fortunate enough to get permits subject to the charge of favoritism and to be a source of annoyance to our commanding Generals.&#13;
&#13;
I know I but express the earnest wish of our leading Officers when I say that something decisive should be promptly done, and that all the temporary plans have been so far worse than failures. I venture the opinion that you could not more gratify such Officers as Generals Grant, Sherman, McClernand, Steel, Morgan &amp;c., &amp;c., than to shut out all cotton sharpers who are a source of ceaseless trouble and interruption to their pressing official duties. The Treasury or War Departments can certainly find some proper man to put in charge and try the plan; and surely the business could not be worse managed than at present. A little experience would no doubt suggest improvements As I told you in W. I do not wish nor would I willingly consent in anyway to be connected with it. On the contrary, I desire and hope soon to be transfered to the Army in the field and get out of the Quarter-Masters Department and all like service.&#13;
&#13;
Very Respectfully&#13;
&#13;
Lewis B. Parsons&#13;
&#13;
[ Endorsed on Envelope by Lincoln:]&#13;
&#13;
Lewis B. Parsons on the Cotten question.</text>
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              <text>Parsons, Lewis B. &lt;em&gt;Lewis B. Parsons to Montgomery Blair, Thursday, February 19, 1863 (Cotton question).&lt;/em&gt; Letter. Library of Congress. http://memory.loc.gov/cgi-bin/ampage?collId=mal&amp;amp;fileName=mal1/218/2184500/malpage.db&amp;amp;recNum=0. Accessed December 11, 2016.</text>
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                <text>Quartermaster Lewis B. Parsons wrote to share his observations of the cotton trade in occupied territory. Considering the widespread speculation in cotton among officers, he recommended that all cotton be declared the property of either the federal government or the producer, which Parsons believed would "puts an end to most of the existing evils."</text>
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                  <text>Alison Burke and Phyllis Plitch</text>
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                  <text>Throughout the Civil War, President Lincoln and his administration were vexed by the issue of cotton. An essential raw material for industrial enterprise, cotton (and its sudden scarcity) threatened the Union war effort. The letters, newspaper articles, and government records in this collection reveal an administration grappling with the simultaneous need to starve the Confederacy of resources and increase the available supply of cotton. The ultimate solution, a "cotton permit" system, was vulnerable to cronyism and abuse, leading Congress to declare that "it is believed to have led to the prolongation of the war, and to have cost the country thousands of lives and millions upon million in treasure."</text>
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              <text>New Orleans, 18. December 1863.&#13;
&#13;
Sir:&#13;
&#13;
I concur in the opinion so generally entertained, that it is for the interest of the country to deplete the Rebel territory of that species of property, which is made the basis of credit for the Rebel govememt with foreign nations-- But great care is neccessary to avoid an injury to ourselves in the operation-- Unless the ultimate and final disposition of the proceeds of this property be ascertained we may find that the munitions of war furnshed to the Rebels -- and the pirates -- that prey upon our commerce -- may be paid for, and supported by Rebel products passing throgh our hands to the markets of the world. No commercial advantages -- can counterbalance so great a wrong as this-- In april I recconded that the cotton in western &amp; northern Louisiana, be allowed to find a market, one half, or 50. per centum of the proceeds of sales, being retained by the Governemt: but the Secretary of War, thought it then inexpedient, to adopt this policy. The agents selected for the execution of the plan proposed -- should be designated by the General governemt-- These two points guarded, -- protection from public injury by the mis-appropiation of the proceeds, of the sale of this property &amp; the selection of proper agents if it cannot be made a general trade.-- I see no objection to the proposal made by the Treasury Agents of the Department&#13;
&#13;
I have the honor to be&#13;
&#13;
With high respect&#13;
&#13;
Your Obendt Servt&#13;
&#13;
N. P. Banks&#13;
&#13;
M. G. C</text>
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              <text>Banks, Nathaniel P. &lt;em&gt;Nathaniel P. Banks to Abraham Lincoln, Friday, December 18, 1863 (Cotton trade).&lt;/em&gt; Letter. Library of Congress. http://memory.loc.gov/cgi-bin/ampage?collId=mal&amp;amp;fileName=mal2/426/4267700/malpage.db&amp;amp;recNum=0. Accessed December 11, 2016.</text>
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                <text>Major General Nathaniel P. Banks wrote to Lincoln in late 1863 to urge caution in the cotton trade. Banks was adamant that no amount of profit could counterbalance the certain wrong of finding "the munitions of war furnshed [sic] to the Rebels."</text>
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