COMMERCIAL.

Press, Volume LXI, Issue 18372, 4 May 1925, Page 10

COMMERCIAL.

PRICE OF SHODDY. WHY IT HAS GONE UP. RECONSTITUTED WOOL FABRICS The Grand Inquisitor in "The Gondoliers" has for all lime given the assurance that "Up goes the price of shoddy!" in certain circumstances. Shoddy is just now engaging the serious attention of New Zealand woollen manufacturers, warehousemen, and retailers. Drapers hold that there is much loose talk about shoddy. It is really an important material (as tho "New Zealand Draper" points out), "especially now that wool is scarce and dear. It is pulled rags or 'rag wool,-' and only the expert can detect it in the new cloth. 'Mungo,' generally speaking, is made from cast-off clothing, or cloths which have been heavilly milled, and shoddy is made from the looser woven stuff, and often described as 'softs,' such as stockings, etc. Nothing to-day is wasted that has any woollen material about it. A great trade is done in the West Biding in rags, Mungo, and shoddy; in fact, the population of the world could not be adequately clothed if cast-off garments were not collected and worked up again. Underclothing, when repulled along with scarves, stockings, and comforters, and similar fabrics, make splendid raw material, out of which to produce new woollen cloths. Tho woollen trade today would be in a sad plight if these by-products of the trade we're not available. Bags have gone up in price, and thcro have been charges almost as significant as in .wool. If there were bigger quantities of raw materials available, prices would be more reasonable. That is why wool-growers everywhere are being urged to keep more sheep and produce more wool. This is needed to supply manufacturing requirements, because more peoplo are wearing wool in the West, and the East is also be-, coming a greater purchaser each year. So that to keep pace every available material must be used." Local Mills' Output Curtailed. At a meeting of the Advisory Board of the New Zealand Drapers' Federation statements were made by Mr W. H. P. Barber, chairman of the Wellington Woollen Manufacturing Company, that New Zealand woollen mills had spent many thousands of pounds in new machinery, actuated by a desire to supply the up-to-date requirements of the retail trade. Unfortunately the mills' output had not been maintained, and at the present time much of that new machinery was lying idle. After reference to matters of particular interest to thetrade, Mr Barber said: "Decreased 6Utput arid* dullness of trade" in an important industry like that of woollen manufacturing 'would seriously affect the wages paid, and the consequent purchasing power of the considerable number of employees engaged in the industry." ;

In the Report of the meeting taken by theMNew Zealand Draper," it 'is stated that Mr W. Simm, chairman of the Board, assured Mr Barber that retailers were proiid. of this New Zealand industry, and in many cases realised that they could not do without the goods produced by the New Zealand mills; but in Ms opinion the decreased demand for Now Zealand woollens,

.which- the mill-owners complained of, ;g;iii»Tißt i be attributed to a complete change in : the present fashions, which the millowners had apparently not been able

to meet. A discussion'followed on the quality j of New Zealand flannel and the cutting j of selling prices by certain detail firms in the case of many lines produced at I the mills. ■■. J Mr P. ' .Halsted, vice-president,! asked whether the mill-owners had any ' figures. Bhowing the value of cheap tweeds imported into New Zealand. ; He did not think that the matter was \ of such importance as to warrant the belief of the mill-owners that they would benefit by securing a big increase in the duty on theso goods. Tickle Fashion. . Mr Halsted agreed that- the difficulties tho New Zealand*milla were' now facing were very largely a question of the ; ch'ange of fashion. He instanced >. 'that to-day' articles of apparel like , woollen combinations, woollen ' vests, woo Hen nightdresses, ■■>■ and woollen .'■'; bloomers were so slow selling that no • ropeat orders were being given. Different fabrics have, taken' the place of these, articles, and tho very scanty wardrobe of the young lady to-day did not call for anything which the woollen c-inills had been in the habit of producing in the past. MrHalsted pointedont that the mill-owners were not alone in ] facing' loss through these changes of fashion. The retail trade were also heavily, hit on frequent occasions. ' the firms with which he was connected, Mr Halsted intimated that other things being equal, they always prefer to handle goods of New Zealand manufacture, and ho fully appreciated the importance to the - Dominion "of the woollen manufacturing Vyinduatry. .■" The subject was fully discussed, but no resolution was tabled^ PRICES OP FAT STOCK FOB EXPORT* j (raws Assocunow oliobjji.) , .". '-w WELLINGTON, May & ■Tho New Zealand Heat Producers' Board that-the following prices are bene offered April 30th. 1925s Hawke'a Bay-Prime, woolly lambs: 42!b aid-under llic!,.43lb*ad over lid;' second qttaltty lambs, lid. " ; WolSngtoo—'Wetheis, 661b and under BJd; prima woolly lambs, 421b and under 12d, 48lb and over Hid: second qnaliiy lambs, llli '." \ J ■ -.'..•Canterbury—Prime woolly lambs, 86Tb and TWdex, 12d, 87-421b Hid, 431b and over lid; second quality lambs, Hid. For week commencing M*y 4th, prices increased by Jd per lb. CO-OP. POULTRY PRODUCERS. LIMITED. The Canterbury Co-op. Poultry Producers, Ltd., report thai the market was well suppiled with poultry last week, and the demand was good for prime quality birds. Following are prices per pair':—Table chickens, 4s to 13a 6d; hens, light, 5a Gd to.Ss6d, heavy 4s to 6s 6d; ducks, light, & to 6s 6d, heavy 6e 6d to 13s. Egg Market. ,■■: The -supply of eggs is still decreasing, and last week another advance was recorded in s"rices.5 "rices. The Canterbury Co-op.~Poultry Proucera, Ltd...quote the following prices per doien:—First grade hen eggs, 3s; secondv -grade hes eggs, 2s lOd; duck eggs, 2s lOd. —6

NEW ZEALAND APPLES. (BY CABLB—PBESS ASBOCTATIOK COPTBJOHT.) (AUST&ALIAK AHD KJS. CABLE ASSOCIATION.) (Becorred May 3rd, 5.5° p.m.) LONDON, May 1. The Woimana's New-Zealand apples arrived in excellent quality, but a few. were ■lightly frosted. Cox's made 24s to 26s a case, Jonathans 16s to 18s, Delicious 20s to ■ 21s, ■ "Worceaters and King l Davids 16s to SlSs, London Pippins 16s to 16s, and Dunn's M. tola*.

NEW FINANCIAL KING. A RAPID RISE. J (raoii OUS OWH COBBISPOKMST.) SAN FRANCISCO, April 6. The romance of American business has brought into prominence another financial genius whoso rise has. been rapid, and whose purchase of Dodge Brothers, Incorporated, over the house of Morgan, has attracted nation-wide attention. This man is Clarence Dillon, of Dillon, Read and Company, New York bankers. At the age of 43, Mr Dillon has set a mark scarcely equalled in finance in the past few decades, and which overnight placed him in the forefront ranks of big business, and "Big Business" is what counts in the eyes of Yankees. The purchase of the Dodge Brothers Company for something like 150,000,000 dollars from the estate of the late John F. and Horace E. Dodgo constituted the largest deal in the automobile industry since the formation of the General Motors Corporation. Mr Dillon was hardly known in. Wall street a decade ago. He was born in Texas, and in 1005 graduated from Harvard University. He associated himself with the old firm of William A. Bead and Co. in 1913, and three years later became active head of the firm. In 1021 it was announced that the name of the firm had been changed to Dillon, Read and Co. j Prom a junior partner only ten yearß ago, Mr Dillon lias risen to a power in Wall street. He has negotiated other large deals, involving industrial and railway enterprises in the United States and Canada, but the Dodge, purchase is his greatest accomplishment. Finance Wizards Beaten. Wall street rubbed its eyes with ex* treme surprise, and next day busied itself taking a searching look at the pair of gigantic sales announced after tho close of the previous day's market, for, in addition to the Dodge Brothers' concern changing hands there was the sale of the Edward L. Doheny control of his Pan-American Petroleum and Transport Company to the Standard Oil Company of Indiana and others. In surveying the transactions, Wall street found: That Dillon, Bead and Co. ten years ago were unknown on Wall street, and until a week preceding the great financial deal were unknown outside of Wall street, and it mystified the American financial world that such an unknown firm should have the brazen effrontery to challenge the great worldrenowned firm of J. P. Morgan and the Duponts, and humble both those mighty interests in a gigantic struggle. " • That was admitted to be tho largest all-cash transaction in Wall street history. The purchasers paid a round 50,000,000 dollars for tho name. of "Dodge Brothers"—a name which two and a half decades ago was worth about four dollars a day-—sixteen shillings—when signed on a machine shop pay roll and accompanied by nine hours' work.

In this deal two Detroit women, the Widows of tho Dodge Brothers, are now among tho world's richest women. It is expected that a large stock or bond issue will shortly come on to. the market and another big motor-car concern may be advanced to offer competition to General Motors.-; In the immense oil. sale; Mr Edward L. Doheny is the '. man who personally discovered tJie Mexican oilfields, and he has now sold control- of bis - holdings outside of the United States, deciding to confine himself to his California properties. Through this deal the Standard Oil Company of Indiana,-a week pre-, viously in foreign oil, is now one of the largest factors in the 1 foreign oil business, British. Interests. j It was a great x'ictory for, British investors, who slowly but assuredly are gaining an immense foothold on American and Mexican oil areas, for the Chase banking interests and British interests,, beaded by Lord Inverforth, are allied with the Standard of Indiana in. purchasing Mr Doheny's property, al-I though the Standard retains control as yet.- ■-'■''•'..':.,■•';■'<'.•. What tickled the fancy of the Ameri- j can public probably most was the story of how Dillon, Bead and Co. challenged the house of Pierpont Morgan and the„ proud Duponts, both financial firms to conjure with.

When they learned •• Dodge Brothers might be purchased they made an offer. To Morgan and Dupont it meant danger of another, automobile 'combine challenging the .strength of General Motors. Dillon and Bead representatives and the Morgan men were called to Detroit and invited to sit down around a big conference table. "We offer 90,000,000 dollars;" said the Morgan men. "We. raise; you 10,000,000 dollars," was :the answer of Dillon and Bead, reduced to poker;eard parlance. "We make our offer a .eash. offer,'' countered the Morgan men. "So do we," . answered Dillon and Bead.

The Dodge representatives ■ decided it was time to .adjourn and call-for written, ' sealed proposals. The bids were duly received. Mor- , gan - cash, according to a reliable report. But the Dillon and Bead tender read 146,000,000 dollars—all cash or securities acceptable as the equivalent of eash.. ■■:■

The flag of Morgan and Dupont was lowered, and a new king, had risen in the American.-financial firmament:

THE WOOL MARKET< LOWER VALUES RULING. (iTOIBALUW" ABB: Jt.Z. CAKa - ASSOCXmoX.) (Beceived May. 3rd, 5.5 p.m.)" SYDNEY, May 3. A meeting of the National Council of Woolselling Brokers has t been called at Melbourne for "Wednesday to' consider the position;created by.the heavy fall in prices and the absence of substantial buying orders. The. wool sales at Adelaide, fixed for Thursday and Friday next, have been postponed owing To the decline in prices,.the growers, who have disposed of 85 per cent; of their clip, believing that delaying the sales will result in the stabilisation of prices. ; FROZEN MEAT. Dalgety and Company, Limited, have received, the following cabled advice from London; :-r-Froien lamb: The demand for New Zealand lamb luna principally on. light weights. The marketib .firm. "We quote prime crossbred lamb, : Canterbury heavy lid, light 12d, North Island -heavy lOjd, light lljd. Frozen .mutton:-The demand runs principally- on light weights. Any change in prices is in favour, of buyeio. "Wo quote prime crossbred mutton ; North Island heavy 5Jd, light 9d. Frozen' beef: The demand for New Zealand beef is good, and prices nominal. We quote - New ' Zealand prime ox beef hinds - 6Jd, fores 4}d.

MARKETING HONEY. ORGANISATION NECESSARY. Strewing tha necessity far combined effort, Mr G. H. Sargemt, Government Apiary Instructor at Christchurch, gave an address on "Economy in Markoting the Honey Crop," before a meeting of tho Canterbury branch of the National Beekeopers' Association on j Saturday night. j Nowadays, he said, although there might I not bo as many beekeepers as there were ten or fifteen years ago, the industry wa3 in tho hands of specialists, and more honey was now being produced than in the past. The cause of honey being down in price on the local market was that the "side-line" producer was letting his produce go for whatever he could get for it. What was needed was organisation, and until this was brought about the prices would not rise to any extent. "England is our principal market to-day," said Mr Sargeant, "and our New Zealand honey is competing with the rest of tho world, so we can hardly expect the prices wc would like for the honey "that is exported. But the local market is our own; we have no competition, and I don't think we will have any for some time anyhow." He said that it was now possible to use benzine cases for export, and they would do equally well for the local market. There were marly people, however, who did not trouble to plane the cases, but put the honey straight in, with the result that the purchaser, on account of appearance, did not feel inclined to give the price he otherwise would. They were particularly fortunate in Christchurch in being able to pui'-' cl-ase cases at a very low cost. Ho was quite sure that it would pay the producer to put his crop up in more attractive form. A system of collective buying would be of great benefit also. At the present time he knew they were paying a lot for packing' commodities, but there was no doubt that, there were poisons in Christchurch who would bo only too pleased to supply tins to /the Association cheaper than to individual purchasers. They would be able to buy tins and glass containers under that system a great deal cheaper than they were able to do at the present time. Collective buying was practised all oyer America, and also in England, while •it \was also carried out amongst the fruit-growing people in New Zealand. Four new members were elected.

SMITHFIELD MARKET. (PRBS3 ASSOCIATION TELEGRAM.) ■WELLINGTON, May 3. The New Zealand Moat Producers' .Board has received the following cable from its London Office, dated May let, 1925, advising Smithfield delivered prices at that date us follows. (prices for the two previous weeks an' also showi-): — .Lamb market firm NZ. wethers and maidens— Canterbury uuality, selected brands, 561 V and under: 115.25, BJd; 24.4.25, 9d; 17.4.25, 9id; 57-64, 76d 73d. Sid; 65-72, 6|d, 7d, 7d. Other brcmds-56-under Btd, BJd, 9d; 57-64, 73d, 7&d, n&; 65-72, 6|d, 6£d, *ld. I N.Z. ewes—64-under, &id, 6}d, 6Jd. N.Z. lamb, Canterbury quality—36-under, 12Jd, 124 d. 12d; 37-42, llgd, llgd, llid- 43-50, lid UdTlid: seconds, ll?d, llgd, HidSeleoted brands, 36-under, laid, 12|d, 12; 37-42, llgd, ll|d, llld; other brands, Ist q>lity, 42-under, lljd, ll|d, .llgd; seconds. 113 d, ll|d, 113 d . , NZ. beef—Ox fores, 3|d, not quoted; ox hinds SJd, not quoted; cow fores (not quoted), ox hinds (not quoted). Argentine chilled beef-Oz fores 4Jd, 41d, «d; ox hinds, 7d, 7§d, 7id. Argentine frozei beef-Ox iore3, SJd. 3Jd, 3?d; ox hinds, 6d, 6d, 6Jd. • ,„,.,„., Frown porki-SO-120lb not quoted, 120-180lb, ! Bid, Bja, Bsd. Frozen veal—Not quoted. ENGLISH MARKETS. (Becked *%sU%r * Frozen mutton-Cantetbury light Bjd medium 73d, heavy 6Jd, North Island light SlTmediui! 7?d, Patagonian, light 6|d, med--lUFr£ Lamb-Canterbury, 12id, seo<mdl njd, other selecteds, light 12Jd; North Island, both llfdi Patagonian, both lid. ■ Frozen beef-New Zealand fores 3Jd, hmdß Bid; Australian/ fores 3Jd, hinds sid; Australian, foxes 31d, hinds Sid; chilled Argen'tine, hinds 7d;. Uruguayan, fores 3Jd, hinda 6d; others' nnohanged. Cotton—June delivery, 12.85 d perjb. ._. Rubber—Para, 19d per lb; Plantationsmoked, 21Jd. ~ '•.„ _ V„ Jute—May-Juno shipment, SSS 5s per ton-Limp—April-June shipment, j£37 per ton. Copra—April-May shipment, £2B 16s per ton. ' Linseed Oil—£4s 10a per ton. Turpentine—72s 6d per cwt. Antimony—English, £64 10s to £65 p* ton; Foreign, £&T. WHEAT. (Beceived May 3rd, 11.5 p.m.) t " " LONDQN, May 2. Cargoes are firmer, owing to _e strength of closing American cables. Quotations are agtiin higher, but in view of the violent fluctuations in American options, buyers are , holding- off. Parcels are firm, but quiet. Liverpool futures are quoted as under:— May, sellers 12s per 1001b; July, buyers lis HJd; October, lis 4id. .' Chicergo'. options are quoted' «a under: — May, 159J cente ner bushel; July, 150; September, 1424. DAIRY PRODUCE. Dalgety and Company, Limited, have received the following cabled advice from London: Butter: Fair enquiry. "We quote D&nwb. 188s, finest New Zealand salted 1725, for exceptional New • Zealand brands 1745, finest Australian salted 160s, unsalted 162 a. Cheese:'market dull. We quote New Zealand ■whit* and coloured 96s to 975, Canadian cXf.. 86a to 88s. ~„'■. Messrs A. H. Turnbull and Co. have received the following cabled advice from London:—Danish, butter 188 a (last week. 186s), NZ.'unsalted 172s to 176s (1725), N.Z. salted 168s to 172a-.. (164s to 1665). Market qniot. N.Z. cheese white-96s to 97s (97s to 98s),' N.Z. cheese coloured 95s to 96s (97s to 98s):- Market slow. CHEESE EXPORTS. 'DEMAND FOR REGULAR i .'■•;; SHIPMENT. "'Seven-eighths .of the market trouble are and have been the irregular shipping arrivals in the United Kingdom/' said Mr Joseph Marx, of the Mangatoki Dairy Factory, in addressing shareholders. Taking the present and past seasons shipping deliveries bad been as follows: — Crates Shipments. Cheese. November, 1923 ~ 4 39,495 December, 1923 .< 5 -93,309 January, 1924 U 2 41,315 February, 1924 *- 11 264,775 'March, 1924 >-. 1 96,968 : "" 535,862 At the beginning of February, 1924, cheese nose to 150 a per cwt; at the end of the month,' after 264,775 crates delivery, it had fallen to 82s. One-quarter of the Sew Zealand cheese made in 1923-24 season was landed within four weeks. Taking the present 1924-25 season, some five months: — Crates , Shipments. Cheese. November, 1924 ■. 4 71,544 December, 1924 »> 3 33,740 January, 1925 4 89,578 February/ 1925 • 5 114,823 March, 1925 u 8 132,283 441,968 There were. 93,894 fewer craies of cheese marketed at the end of March last than at.the end of March, 1924. How far that would affect the present season remained to be seen. As the output of New Zealand was almost ■ stationary, and the total annuai make was over a million crates, there was still over hall to market at the beginning oi April, 1925. The shipping problem alone made.any improvement in marketing hope- • less.

At. the end of last financial year, June 30th, 1934, there were 136,972 crates undelivered and unmarketed. Of that quantity six . shipments of 69,382 crates arrived in July, five shipments of 30,655 crates in August, two shipments of 23,296 crates in September, and two shipments of 13,640 crates in October, 1934,' being the hut of the 1928-2* season. Shipment of this season's 1924-25 manufacture commenced in November, 1924. To have regular and satisfactory deliveries of our 74-000-ton cheese export. producers must, as near as poEeible, deliver 120,000 crates per month, commencing' with November.

CHRISTCHURCH STOCK EXCHANGEIatest QUOTATIONS.

OTHER EXCHANGES. (PBESS ASSOCIATION TILEGBAMS.) AUCKLAND, May 3. Sale's—Taupiri Coal, 18s; Sanfords, Ltd., 20s. N.Z. GUARANTEE CORPORATION LTD. At a meeting of the directors of the N.Z. Guarantee Corporation, Ltd., held on Thursday morning, it was announced that the offer of 50,000 shares to existing shareholders had been fully subscribed, the number applied for being over 90,000. Applications for tho new issue to the public will now be received through members of the Stock Exchange. 6 TALLOW. . (Eeceived May 3rd, 6.5 p.m.) LONDON, May 1. Tallow—ln stock 3798 tons/, imports 2410, deliveries 1506. ,

Buyers. Sellers. £ a. c t. £ a. d. N.Z. GOVT. DEBENTURES— 5 per cent. Bonds, 1927 98 2 6 _ - 5J per cent. Inscribed and Bonds, 1933 .. 100 10 0 OTHER DEBENTURES— Christchurch Drainage, Si per cent. 97 10 0 _, Christchurch Tramways, 5J per cent. 97 0 0 Ashburton Electric Power, 51 per cent. 96 0 0 N.Z. Breweries, 10 per cent, stock — 1 1 11 N.Z. Breweries, 10 per cent. Bonds 1 1 9 Gla:to, Gh per cent. 83 0 0 90 0 0 Booth, Mccdonald, ei par cent. — 80 0 0 Gisborne Sheepfarmcrs, 7J per cent. 100 15 0 102 0 0 BANKS— Australasia 13 15 0 13 17 6 Bank of Victoria 6 18 0 7 5 0 Comm. of Australia .. 1 7 G Comm. of Australia (pref.) S 15 0 Comm. of Sydney 23 12 G National of Australasia (£10 paid) 16 5 0 16 10 0 National of Australasia (£5 paid) 7 1G 0 8 0 0 -.ational of N.Z. 6 18 0 7 1 G New South Wales — 41 5 0 New Zealand 2 15 0 New Zealand (new) .. 2 13 3 Union of Australia .. 14 3 0 LO.*Y *NO AGENCY— Dala;ety and Co. (cum div.) 15 0 0 15 9 G Goldsbrough, Mort 2 7 3 2 7 9 SH.L.JNG— Howard, Smith 1 16 3 Huddart, Parker 2 3 6 2 4 0 FROZEN MEAT— Canterbury 13 15 0 Canterbury (pref.) 5 2 0 N.Z. Refrigerating 1 0 0 N.Z. Refrig. (contr.) .. 0 10 0 0 10 5 WOOLLENS— Kaiapoi (ord.) ., 0 12 9 COAL— Westport 1 13 9 Stockton (pref.) — 0 5 3 GAS— •christchurch .. .. 7 13 0 7 15 0 BREWERIES— Crown .. 1 14 6 Manning .. ,, 1 18 0 New Zealand ,, 1 16 6 Wnrd 2 17 3 TIMBER— Kauri 1 IS 9 Aj ■ LT,ANEOUS— B.A.W.R.A. 0 11 3 Beath and Co. 1 13 0 1 13 6 Burns, Philp — 1 17 3 Electro. Zinc (def.) — 17 0 Mason. Struthers (£1 paid) 1 3 0 14 3 Mason, Struthers (14s paid) 0 15 6 __ Mason. Struthers (10s paid) 0 11 6 Oil- 9 N.Z. Farmers' Co-op. (6& per cent. Stock, 1930) 86 10 0 N.Z. Milk Products .. 1 7 9 —t N.Z. Paper Mills (cum div.) 1 1 0 _