INSATIABLE DEMAND FOR WOOL FOR CLOTHES

Chronicle (Levin), 3 May 1947, Page 6

INSATIABLE DEMAND FOR WOOL FOR CLOTHES

Press Association

By ^elegrapn —

WELLINGTON, May 2. To re-establish the close coimection which existed bef ore the war between the London market and New- Zealand wool producer, Mr. R. M. Ronald, joint general manager of the cominittee of London Wool Brokers, is at present yisiting the Doininion. He said in an interview today that he was not undertaking this visit wifh any idea of fos-| tering a spirit of intense competition between local niarkets and London for he looked upon the two : markets as complemOntary oue to the other and vitally necessary to the whole industry right from the grower to the manufacturer. Mr. Ronald, who arrived at Auckland by the Arawa ten days ago, intends to. spend three months in New Zealand visiting woolgrowing and selling centres to see for himself the conditions j of production and marketing and to meet those engaged in the industry. He said that after the war years during which the auction system was, of necessity, mterrupted, wool had now reverted to the well proved prewar marketing inetliods and as was always the case, the London market had a most i importaut 'part to play in the disposal j of the New Zealand wool clip. Today, | when Great Britain and all the wool consuming countries of' Europe were engaged in the task of recovering from the dislocation of war, an elfective spot market, such as London only could supply, was more than ever necessary. Without such a market users would be unable to satisfy their urgent needs and the stability of prices might be seriously aft'ected. It was perhaps worth while pointing out that the Joint Organisation operated in London in exactly the same way as it did here and the grower could therefore rely on full Joint Organisation protection if he shipped to London. "Conditions in the wool textile trade in England today are by no means easy," said Mr. Ronald. "There is an acute shortage of labour, particularly in top makiug and spinning and, of course, there is a serious shortage of fuel as well. Against this the demand for -woollen goods is at present immense for everyone in England wants a new suit or new dress. As the result of this almost insatiable demand wool prices are today about twice what they were before the war and so far during the season have shown no real signs of wreakening. ' '