NEW SYSTEM OUTLINED.

Chronicle (Levin), 18 September 1946, Page 6

NEW SYSTEM OUTLINED.

—Press Association

By Telegraph-

WELLINGTON, Sept. 17. In view of the early resumption of ihe auction saies at whicli the growers .ci!l oll'er their new clip and the VAool .lisposal Conunission will oft'er wools from stock it. is dcsirable that oertain points iu regard to the new system diould be made known, --savs a stateuent issued by Ihe New Zealaud Wool.irokcrs' Association. The Wool Disposal Commission will value tlie wool to dotennine the "minimum" or "fioor" price at whicli the i'ommissiou will purclmse the wool if no cuuimercial buycr is torthcoming at oi above ihat ligure, the statenient conlinucs. The niaximuin price, however, is govenied only by the abilitv of the •oinniercial buyers to outbid each other .it auction. If the "minimum" or ■fioor" price is not reacheJ in the bidditig the lot is passed to the highcst uidder, who has the option to juirchase it at tlie niiui niuiii price until 4 p.m. on ihe da\ following the sale. Uwmg to the work involved in the . aluing of the catalogues prior to tlie mle, il is diflicult for the brokers to _;et the iiitormation in time to post it .o the groucrs. Consequeut ly, the valuitions will not be sent to the growers in . he ordiuarv rouline, but will be avail ible to them if tliey desire it on appli•ation to their broker. Protection For Dealers. The dealers in wool will, under certain eonditions, have tlie same protee lion as regards the "fioor" price. If a lot or lots be passed in ou account oi' ihe owner's reserve being in exeess of 'fioor" price the disposal commissiOn will not lakc o\er that wool after the •i.-ile sliould the owner tlien decide to acecpt the "fioor" price. If remuiiiing uusold it will liave to be re-offered at a latcr sulc. Any wool ofl'ered twice and rcniaining unsold must be repacked at thc grower's expense before it can l'C ofl'ered again. This is in accordance with the pre-war practice. I'assed wools will only be re-offered when all the new wool has had a chauce of being ofl'ered. Wool, whicli is too mixed in quality (o enable a valuation to be made, by ihe coiiimissioii \aluers, will not be ajipraised for tiio " lioor " price. This applies also to lots whicb are falselv or

irrcgularly paclted. In the interests oi the disposal plan and the industry generally the disposal commission has the power to limit the quantities of : the new clip and stock wool to be oft'ereo at any sale, but it is not expected that during the forthcoining season thero will be any undue delay in the ofl'ering of the current clips, as compared with the pre-war experience. Storage Difficulties. Btorage congestion may, however, be a difticulty during the lieight of the season. The brokers will require to have catalogues ready for valuing five full days before the saies, and early closing of tlie catalogues must be expected, particularly in Jauuary and February. The "prompt" date for payment will be the eighteenth day from the date of the sale. This arrangement applies to crutching saies, and is subject to review" after that in case the time provided is found to be too short in whicli to complete the work. The brokers will be responsible for deducting the contributory cliarge from the grower's account saies, and for "payment of if to tlie disposal commission. Tlie association urges growers to avoid unduly lieavy bales, and to brand ing tlie other and sides free for the buyers ' rebrands.