Jap Competition In Woollen Goods Feared

Chronicle (Levin), 19 January 1949, Page 3

Jap Competition In Woollen Goods Feared

Received Tuesday, 7 p.m. LONDON, Jan. 18. There is disappointment in Yorkshire that the Board of Trade so far has not dispiayed greater interest in the threat of Japanese textile competition in the export field, which is immediate and severe, states the Yorkshire Post, which adds: "On the most recent figures available, Japan's output of wool yarns and eloths is about five per cent of the volume of similar goods produced here but her capaeity is capable of rapid expansion. Wool buying on Japanese aceount in Dominion markets, leaves no doubt that such expansion is envisaged. It miglit be argued that, on current production, Japan eannot seriously threaten the position of established exporting countries but the wool textile exporters of Britain and other Western countries, believe otlxerwise. There is well attested evidence that in India, South Africa and the Hong Kong market, Japanese exporters are offering wool eloths at five to six shillings per yard below comparable British qualities. "As Britain is one of the most keenly competitive exporting nations in wool goods, it may be elaimed that Japanese prices are correspondingly below world prices. J apanese yarns are on ofter at similar low prices. It may be," says the Post, "that such quotations are more widespread than actual deliveries and that Japan is not yet deluging world markets with goods at such uneeonomic prices. Large deliveries, however, are not necessary to unsettle a market. Overseas buyers, faced with the possibility of cheap goods from Japan are in many cases reluetant to order at the most competitive prices oftered by Britain and their confidence in the European level of prices of prices is undermined. "This aspeet interests Dominion wool gi'owers hardlystless than British wool textile exporters. The latter are disposed to regard wool buying on Japanese aceount as the bull factor in pominion markets but if Japan's uneeonomic exports of wool goods embarrass Western exporting nations, the ultimate result may be- the reverse of helpful la' wool.,?