WOOL PROSPECTS

Press, Volume LXVI, Issue 20096, 27 November 1930, Page 11

WOOL PROSPECTS

AN APPEAL FOR CONFIDENCE. BRITAIN'S PURCHASING POWER. ARGUMENTS FOR EARLY RECOVERY. ITVJUTTBS *OR TSB ThSSB.) [By Sis Psr Cent.]

Tho opinions expressed in this artisie it-3 no'j necessarily those of Tins Pbess. They are, however, the opinions of a> roan wei! enough informed on economic questions 1o be entitled to serious attention.

Woo! prices arc down. Experts say the prices may go lower! Cheerful fellows! But are they right? The real position is that if a man has £IOOO to invest, he could not do better than buy wool. He would make more at that than in any other way that can be suggested just now. It is common knowledge that wool-buyers have lost fortunes in wool, for they do not always have knowledge of other essentials which affect the market. The chief market for our wool is Bradford, though Japan, U.S.A., France, Germany, and Czecho-Slovakia are buyers, tod. A study of Britain's industrial position and her purchasing power (for wool) discloses facts which reasonably suppose an industrial revival snch as our people have never visualised. She may astonish the world, and that soon. Money in Britain. In Great Britain there is more money than she knows what to do with, la that not a proof of purchasing power? There are more people employed in industries in Great Britain than ever before in her mense purchasing power for our Wool? Britain's industries can now secure raw materials at record low prices. Does fiot that point to industrial revival on a colossal scale t Never before could She purchase so cheaply her wool, cotton, rubber; her wheat, sugar, and coffee; her iron, copper, and other minerals. Machinery Modernised. Britain is modernising her machinery fast, and wool is going rapidly into consumption. She has little wool in stock. The artificial silk industry is going down-hill, thanks to low wool prices, but also thanks to* wool's superior qualities. It may be news that an epidemic of sickness eighteen months ago amongst the Women of Ganada who went to shops, offices, and factories, was traced by the Health Department of Canada to the wearing of artificial i silk bloomers (if that is. how the drapers describe them). The Health Department warned the women of Canada to wear woollen garments. They did so, and the epidemic vanished. So did artificial silk. Profits from Overseas Trading:.

I Great Britain's purch&iing jjower for I wool is indicated in her return to ae- | tivity in the cotton and steel trades, not to mention her retain to Wadership of the world in finance, shipping 1 , and marine insurance. Her yelirly profit from overseas trading is now £13O,p00,(J00. British investors have returned from New York feeling that after all they might as well invest in the safer things of their own country. The British, batiks are now taking a .hand in British industries. Good old. Britain is far from being "licked.'' She is unquestionably our best market, and our best friend. She will need our wool, and can. pay for it, in spite 6i the "minor prophets.'' Wool and Cheese. British workmen set a standard .of workmanship for the world, and her goods have 'a traditional reputation. Her gdodS and markets cannot be shut out by tariffs. She is famous for workmanship. That is more than ean be said about us. Our standardised cheese is a fraud on the public. If oar milkmen skimmed off the cream they would., be proseeuted. If our cheese prices is England have slumped, it serves us right, 9 for such a disreputable practice has done serious injury to our previous good reputation. On every possible point the eirly recovery of our wool market is definitely in sight. Thfere is not a single reason to the contrary that will • stand examination. Out of a long experience it is practically certain that those -#ho predict lower prices will quite soon fee proved to be in error.