The crop-lien system was a credit system that became widely used by cotton farmers in the United States in the South from the 1860s to the 1940s.
Sharecroppers and tenant farmers, who did not own the land they worked, obtained supplies and food on credit from local merchants. [1] The merchants held a lien on the cotton crop, and the merchants and landowners were the first ones paid from its sale. What was left over went to the farmer. The system ended in the 1940s as prosperity returned and many poor farmers moved permanently to cities and towns, where jobs were plentiful because of World War II.
After the American Civil War, farmers in the South had little cash. During the war, British interests had invested in cotton plantations in Egypt and India, resulting in an oversupply of the commodity. Cotton prices dropped below the levels enjoyed in the 1850s. The crop-lien system was a way for farmers, mostly Black, to get credit before the planting season by borrowing against the value of anticipated harvests. Local merchants provided food and supplies all year long on credit; when the cotton crop was harvested farmers turned it over to the merchant to pay back their loan.
In most cases, the crop did not cover the debt, and the farmer started the next year in the red as an indentured servant. Working through a vicious cycle of trying to pay off debt and accumulating more and more debt left many farmers working the rest of their lives under their landowner, usually a white farmer. Additionally, sharecroppers had no mules or tools, but tenant farmers had them and commanded a larger share of the crop. The owner took the rest. At harvest time, the merchant collected his debts from the sale of the crop. [2]
The merchants had to borrow the money to buy supplies and, in turn, charged the farmer interest as well as a higher price for merchandise bought on such credit. The merchant insisted that more cotton (or some other cash crop) be grown (nothing else paid well) and thus came to dictate the crops that a farmer grew.
Many plantations saw the profit local merchants made off their sharecroppers and created their own plantation stores. These operated on the same principle but further concentrated the community wealth.
The Agricultural Adjustment Act (AAA) was a United States federal law of the New Deal era designed to boost agricultural prices by reducing surpluses. The government bought livestock for slaughter and paid farmers subsidies not to plant on part of their land. The money for these subsidies was generated through an exclusive tax on companies that processed farm products. The Act created a new agency, the Agricultural Adjustment Administration, also called "AAA" (1933–1942), an agency of the U.S. Department of Agriculture, to oversee the distribution of the subsidies. The Agriculture Marketing Act, which established the Federal Farm Board in 1929, was seen as an important precursor to this act. The AAA, along with other New Deal programs, represented the federal government's first substantial effort to address economic welfare in the United States.
Plantations are farms specializing in cash crops, usually mainly planting a single crop, with perhaps ancillary areas for vegetables for eating and so on. Plantations, centered on a plantation house, grow crops including cotton, cannabis, coffee, tea, cocoa, sugar cane, opium, sisal, oil seeds, oil palms, fruits, rubber trees and forest trees. Protectionist policies and natural comparative advantage have sometimes contributed to determining where plantations are located.
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Peon usually refers to a person subject to peonage: any form of wage labor, financial exploitation, coercive economic practice, or policy in which the victim or a laborer (peon) has little control over employment or economic conditions. Peon and peonage can refer to both the colonial period and post-colonial period of Latin America, as well as the period after the end of slavery in the United States, when "Black Codes" were passed to retain African-American freedmen as labor through other means.
The Mississippi Delta, also known as the Yazoo–Mississippi Delta, or simply the Delta, is the distinctive northwest section of the U.S. state of Mississippi that lies between the Mississippi and Yazoo rivers. The region has been called "The Most Southern Place on Earth", because of its unique racial, cultural, and economic history.
Sharecropping is a legal arrangement in which a landowner allows a tenant (sharecropper) to use the land in return for a share of the crops produced on that land. Sharecropping is not to be conflated with tenant farming, providing the tenant a higher economic and social status.
The Farmers' Alliance was an organized agrarian economic movement among American farmers that developed and flourished ca. 1875. The movement included several parallel but independent political organizations — the National Farmers' Alliance and Industrial Union among the white farmers of the South, the National Farmers' Alliance among the white and black farmers of the Midwest and High Plains, where the Granger movement had been strong, and the Colored Farmers' National Alliance and Cooperative Union, consisting of the African American farmers of the South.
The history of agriculture in the United States covers the period from the first English settlers to the present day. In Colonial America, agriculture was the primary livelihood for 90% of the population, and most towns were shipping points for the export of agricultural products. Most farms were geared toward subsistence production for family use. The rapid growth of population and the expansion of the frontier opened up large numbers of new farms, and clearing the land was a major preoccupation of farmers. After 1800, cotton became the chief crop in southern plantations, and the chief American export. After 1840, industrialization and urbanization opened up lucrative domestic markets. The number of farms grew from 1.4 million in 1850, to 4.0 million in 1880, and 6.4 million in 1910; then started to fall, dropping to 5.6 million in 1950 and 2.2 million in 2008.
A plantation economy is an economy based on agricultural mass production, usually of a few commodity crops, grown on large farms worked by laborers or slaves. The properties are called plantations. Plantation economies rely on the export of cash crops as a source of income. Prominent crops included cotton, rubber, sugar cane, tobacco, figs, rice, kapok, sisal, Red Sandalwood, and species in the genus Indigofera, used to produce indigo dye.
"King Cotton" is a slogan that summarized the strategy used before the American Civil War by secessionists in the southern states to claim the feasibility of secession and to prove there was no need to fear a war with the northern states. The theory held that control over cotton exports would make a proposed independent Confederacy economically prosperous, would ruin the textile industry of New England, and—most importantly—would force the United Kingdom and perhaps France to support the Confederacy militarily because their industrial economies depended on Southern cotton.
The Cane River Creole National Historical Park was established in 1994 to preserve the resources and cultural landscapes of the Cane River region in Natchitoches Parish, Louisiana. Located along Cane River Lake, the park is approximately 63 acres and includes two French Creole cotton plantations, Oakland and Magnolia. Both plantations are complete in their historic settings, including landscapes, outbuildings, structures, furnishings, and artifacts; and they are the most intact French Creole cotton plantations in the United States. In total, 65 historic structures and over a million artifacts enhance the National Park Service mission as it strives to tell the story of the evolution of plantation agriculture through the perspective of the land owners, enslaved workers, overseers, skilled workers, and tenant farmers who resided along the Cane River for over two hundred years. This park is included as a site on the Louisiana African American Heritage Trail.
The Southern Tenant Farmers Union (STFU), later known as the National Farm Labor Union, the National Agricultural Workers Union, and the Agricultural and Allied Workers Union, was founded as a civil farmer's union to organize tenant farmers in the Southern United States. Many such tenant farmer sharecroppers were Black descendants of former slaves.
The Confederate States of America (1861–1865) started with an agrarian-based economy that relied heavily on slave-worked plantations for the production of cotton for export to Europe and to the Northern US. If classed as an independent country, the area of the Confederate States would have ranked as the fourth-richest country of the world in 1860. But, when the Union began its blockade of Confederate ports in the summer of 1861, exports of cotton fell 95% and the South had to restructure itself to emphasize the production of food and munitions for internal use. After losing control of its main rivers and ports, the Confederacy had to depend on a delicate railroad system for transport that, with few repairs being made, no new equipment, and destructive raids, crumbled away. The financial infrastructure collapsed during the war as inflation destroyed banks and forced a move toward a barter economy for civilians. The Confederate government seized needed supplies and livestock. By 1865, the Confederate economy was in ruins.
The history of the state of Mississippi extends back to thousands of years of indigenous peoples. Evidence of their cultures has been found largely through archeological excavations, as well as existing remains of earthwork mounds built thousands of years ago. Native American traditions were kept through oral histories; with Europeans recording the accounts of historic peoples they encountered. Since the late 20th century, there have been increased studies of the Native American tribes and reliance on their oral histories to document their cultures. Their accounts have been correlated with evidence of natural events.
Tobacco cultivation and exports formed an essential component of the American colonial economy. It was distinct from rice, wheat, cotton and other cash crops in terms of agricultural demands, trade, slave labor, and plantation culture. Many influential American revolutionaries, including Thomas Jefferson and George Washington, owned tobacco plantations, and were hurt by debt to British tobacco merchants shortly before the American Revolution. For the later period see History of commercial tobacco in the United States.
The term Jim Crow economy applies to a specific set of economic conditions in the United States during the period when the Jim Crow laws were in effect to force racial segregation; however, it should also be taken as an attempt to disentangle the economic ramifications from the politico-legal ramifications of "separate but equal" de jure segregation, to consider how the economic impacts might have persisted beyond the politico-legal ramifications.
Plantation complexes were common on agricultural plantations in the Southern United States from the 17th into the 20th century. The complex included everything from the main residence down to the pens for livestock. Until the abolition of slavery, such plantations were generally self-sufficient settlements that relied on the forced labor of enslaved people.
The United States exports more cotton than any other country, though it ranks third in total production, behind China and India. Almost all of the cotton fiber growth and production occurs in the Southern United States and the Western United States, dominated by Texas, California, Arizona, Mississippi, Arkansas, and Louisiana. More than 99 percent of the cotton grown in the US is of the Upland variety, with the rest being American Pima. Cotton production is a $21 billion-per-year industry in the United States, employing over 125,000 people in total, as against growth of forty billion pounds a year from 77 million acres of land covering more than eighty countries. The final estimate of U.S. cotton production in 2012 was 17.31 million bales, with the corresponding figures for China and India being 35 million and 26.5 million bales, respectively. Cotton supports the global textile mills market and the global apparel manufacturing market that produces garments for wide use, which were valued at USD 748 billion and 786 billion, respectively, in 2016. Furthermore, cotton supports a USD 3 trillion global fashion industry, which includes clothes with unique designs from reputed brands, with global clothing exports valued at USD 1.3 trillion in 2016.
The role of African Americans in the agricultural history of the United States includes roles as the main work force when they were enslaved on cotton and tobacco plantations in the Antebellum South. After the Emancipation Proclamation in 1863-1865 most stayed in farming as very poor sharecroppers, who rarely owned land. They began the Great Migration to cities in the mid-20th century. About 40,000 are farmers today.
The Black Belt in the American South refers to the social history, especially concerning slavery and black workers, of the geological region known as the Black Belt. The geology emphasizes the highly fertile black soil. Historically, the black belt economy was based on cotton plantations – along with some tobacco plantation areas along the Virginia-North Carolina border. The valuable land was largely controlled by rich whites, and worked by very poor, primarily black slaves who in many counties constituted a majority of the population. Generally the term is applied to a larger region than that defined by its geology.