The Dominion. MONDAY, DECEMBER 13, 1909. TRADE IMPROVEMENT.

Dominion, Volume 3, Issue 688, 13 December 1909, Page 6

The Dominion. MONDAY, DECEMBER 13, 1909. TRADE IMPROVEMENT.

Me. Askwith, Assistant-Secretary of the Board of Trade, addressing the West of Scotland Iron and Steel Institute, stated that as one who had access to the statistics of the world ho had every reason to hope that the period of depression would rapidly pass away. Ho believed there would bo a most marvellous improvement in trade during 19J0. These views were expressed so recently as December 6, and Mr. Askwith speaks with insido knowledgo and with a full appreciation of the meaning of the world's statistics. But apart from the testimony of Mb. Askwith, valuable though that undoubtedly is, we have the evidence of many manufactures and groups of industries to support the statement that the , world is on the eve of a great industrial .revival. Tho panic of 1907, which originated in the United States, was the result of over-production, over-trading, and inflated prices, and it has taken nearly two years to restor'o the equilibrium. In America where tho depression was most severe, steps were immediately taken to put matters on a sounder footing. It was no easy task. Tho depression had to run its course. Stocks nad to be reduced, trading had to be brought within governable limits, and the inflation in values had to bo squeezed out. For some five or six months past positive.signs of improving trade have been manifest in the United States, and this improvement is affecting the rest of the world. That the revival in tho States is not based on exaggeration is proved by the statistics. The bank clearings, the railway returns, the bankruptcy returns, and tho building returns all emphasise the improvement, and each month sees a fresh impetus given to trade and industry. Tho danger in America is the eagerness of the people to go ahead faster than tho conditions warrant, and the proneness of the Wall Street financiers to engineer a boom. In July and August, Wall/ Street enjoyed a fino boom, and securities went soaring upwards. In October call-money in New York was as high as 6 per cent. Groat Britain is now beginning to show that a revival has begun to affect her. The textile industry in Great Britain, tho Continent, and America is extremely Mtiva. favourably affoofcing the price of

wool and other textiles. Towards ttio oncl of October reports from the various British shipbuilding cent™ indicated that the majority of the yards would !>o busy over the winter months as a result of the large number of orders that had been given out for how tonnage, arid as thcro wore numerous inquiries at the time, further orders were expected. Activity in shipbuilding means activity in many sub-industries, but particularly in , marine engineering. A Shefliold firm had secured an order for 25,000 tons of sfcel wire rods, tho biggest volumo of wirerod orders over placed in England. This order will keep very extensive machinery lin full work for twelve months. Every month this year tho exports from Bradford to tho United States have shown a sensible expansion, ■ the figures each month, with the exception of last January, ranging over £100,000. Shipments' of raw material arc largely responsible for the oxpansion, biit for air that English wool merchants cannot but benefit by the big volume of trade which is being done. During the nine months to September 30, the exports reached tho splendid total of £3,043,859, the'largest total since 1897, when large anticipatory shipments of wool were rushed across the Atlantic before the imposition of the DiN'GLEY tariff. The report from Glasgow is that an improvement in Scottish trade is well under way. Hitherto, the improvement had been more in faith than fact, but the expansion in the demand for. all classes of manufactured goods makes it now certain that the quickening is of a lasting character. An abnormal demand has sprung up for Scotch pig-iron, and ironmasters are now called to truck their outmtt boforc. it has had time to cool. The furnaces in blast are greater than for two years, yet some makers have been compelled to withdraw from the market, so well booked ahead are they for_ winter and spring.. Continued activity is noted in tho. sugar machinery trade, the, orders on hand and under : negotiation approximating to £1,500,000. Locomotive builders were busy on substantial orders received from the East. • There was good inquiry for light and heavy castings and for machine tools and labour-saving apparatus. This latter trade is perhaps the best industrial barometer. There is evidence in all this that the depression is fast disappearing and, that the marked trade revival indicated by Mn. Askwith will be realised next year. New Zealand must benefit through the expansion of employment in the industrial centres. The more artisans and mechanics that are employed full time and on full wages, the greater becomes the demand for those food products' and raw materials that we export, and the chances of enhanced prices are also greatly increased.