GRAVE ECONOMIC DANGER

Chronicle (Levin), 15 January 1947, Page 4

GRAVE ECONOMIC DANGER

-Press Association

Delay In Wool Shipments May Divert Trade

By Telegraph—

iUDKLAND, Jan. 14. The gravc . economic clanger.to the Dominion in the clelaying of wool shipments from New Zeaiand was strongly emphasised by Mr. L. Biggins, president of the Canadian Wool Co., Ltd., topiiiakers of Toronto alicl of Willey-Biggiiis Wool Bervice lneorporated, wool importers of Boston, who arrived by -Tasman Empire Airways flying boat from Sydney after a five weeks ' visit to Australia. Mr. Biggins, who is accompanied by his wife, intends to spend about a month in New Zeaiand renewing pre-war connectioiis in the wool trade and attemling wool saies before retuming by aii* to San Francisco on February 13. "If the pr-eseiit shipping delays continue overseas buyers will Simply have to look elsewhere' for their wool," said Mr. Biggins. "It is 110 use buying wool which cannot be delivered' i ti a reasonablo time and we will have to go either to Australia, where the shipping position is not the best but is better than New Zeaiand at present, or to South Africa. "My firms have wool lying here which we bought months ago," he continued. "This does not eneourage bttying as it represents ino li ey tied up, and in spite of Canada's protective tariff against it we may be forced to turn to South America for our supplies. "The Government here should ie very concerned if the present situation goes much further because wool is an important export, ' ' said Mr. Biggins. ' ' If saies stop the country will be left with the season 's clip on its hands." There were alternative sourees Of supply available, Mr. Biggins said, the most likelv bp.iiic- ITm.

guay where the wool was most nearly equivalent to the types produced by the Dominion. Qche clip there was now coniing on to the market, and while there was no real surplus wool was there to be bought, and the possibility of earlier delivery would tend to off-. set any rise in price above Dominion levels. Ample supplies were available iil the Argentine, and he knew of cases where seven to eight years' clips of low-grade cross]>red wool were on hand. All Argentine wool was not suitable as a substitute. for the New Zeaiand types, however.