YORKSHIRE LETTER.

Dominion, Volume 7, Issue 1931, 13 December 1913, Page 9

YORKSHIRE LETTER.

WHY HOME TRADE IS SLACK SOME OF THE REASONS?. (From Our Special CorrcsponclentiUyj Bradford, October 31:*;.

Ono asppct of tho wool trade stands, out to-day moro prominently tlusu any oilier. On tho one hand we see the, raw material being absorbed at Australian soiling centres in a really wonderful fashion, and on the other hand tho Home trade is in as unresponsive an attitude as it well nich could be. ' A well-known member of tho lfecliaugo and tho head of one of the largest spinning concerns in Bradford, said tho other day that tlio present situation was a puzzle, and nobody will disagree with his verdict. Wo certainly think that wool growers aro doing tho right thing in realising their new clips,, for anything may happen between how and next spring. It is just possiblo that as woof will bo admitted lrcc into America after December 1. and with trade being good in Franco, things may ultimately take a turn, for the better; but so far as the West Riding industry is concerned, there is nothing to-day to indicate a return to better times, unless America comes into the markets and lifts big weights or wool and. tops, or places important orders for yarns and piece goods, lo mw wool selling so' freely nt linn to hardening prices, and spinners and manufacturers with increasing difficulty to run their machinery, many of them being on tlio. point of running sliorfc time, is a state of affairs which demands a ptam, candid, lionest statement of fact, notwithstanding that wo find no pleasure whatever in dilating upon tho slackened state of the Homo woollen and worsted trades.

Wool tho Top Dog. There is no denying tlio faet that- tho raw material still occupies a high ana oxalted position, and is to all intent'" and purposes a law unto itself. That n' cxactly where tlio anomalous part of tho business arises, which makes the situation incomprehensible to Homo trade users. It must bo said that up to the present timo t'lio Home trade has had to tuko'a back seat at every Australian selling centre, for the simple reason that- importing topmakers aiid spinners will not give buying limits equal to thoso on which French operators are wonting. Many a timo the question has been asked, is Bradford wrong and Continental buyers right in purchasing as they are doing? Timo alone can decide that point. No doubt those representing the trade in the West Hiding are.mercly acting up to the light they have, and are in no humour to cable higher limits when they kno.v tlio state of Bnulofnl trade. It may not bo generally known that the bulk of Bradford limits so far have been at 2s. 4d. to 2s. <Ud. We know that two of tlio biggest, houses in Bradford, with their own buyers m Melbourne and Sydney, the former of which visits Adelaide every sale, cabied this week that he found it impossible to buy at «s" 'lid. for their standard bis, hut the firm stoutly refused to advance tlio limit, as they said they could neithur sell tops nor yarns on thai oasis tor forward delivery. Their limit is to-day 2s. 4}cl., but tho buyer demanded. £s. 5d 'which they ref.ised to give. SSo doubt the Australian representatives feel very much out of it, and are m no sense .nfo&scd with the presem state oi affairs, but all the samo tho principals state that they prefer U go from hand to mouth rather than import wool at current) prices until they can sco luither ahead. Tlio uppermost feeling m tho West Riding is that to-day s prices; are /.high.. ..enough.to hegm. a new. season,- and particularly: .in face of the distinctly quieter conditions which oiltain in spinning and manufacturing circles. We are certain that topmakers. would bo well prepared to buy ircely at 2s. sd. if' the ■ present, state of trade justified them in so'doing, but business is altogether on a different scale from what, it was twelve-mouths ago, and it there is not a revival when America comes into the market. Uest lading users aro certain that will .J® lower pricca. This, 110 doubt, "will no.j be acceptable reading to many supporters of this issuo, but we take it that it is our business to record actual facts, and that is what West Riding users of to-day strongly feel,- and aro aro saying in no measured terms.

Why Trade Has Fallen Oft. Scores of times the question has been asked, Why has trado so materially declined? In answering that one has to go back to the early months of the current, year.. ,Tho write? has maintained that ever sipce last March the cry of shortage was overdone. It was persistently blazoned into the cars of tho trade that merino tops, by the time August was reached, would be between 2s. Bd. and 2s. lOd. per pound, tho combined shortages in tho Australian and South American clips being so large and important that values could not fail to advance. .Only this week the writer heard of a, spinner who was so- sun> of tops and yarns being dearer that he actually bought sufficient of tho former to last him to tho cud of December, and as he now has to run short time, he candidly states that unless there is an alteration thoy will servo him to .the end of February at the least. A fairly big volume of business was done at 2s ojd. last March and April, and when manufacturers wcro showing for tho upring of 1914 from May to July, circumstances compelled them to name.sensibly higher prices. -With what result ?• - Tho wholesale trade was so incensed by being confronted with prices r.o sensibly advanced on what they paid tho previous year that firm after firm "read tho Riot Act," refused to pay any such figures, and the result was that confidcnco became shaken.. Therct. is hardly a firm to-day in the West Riding with half tho orders for the spring of 19U that they had for the spring of 1013. Time and again it has been stated that directly (jl's tops touched haif-a-crown it was the signal toeryofT, and when tho leading firms, of wholesale fabric buyers refused point blank to take up tho better-class worsted fabrics, that was the signal for the rest to follow. Hence it comes about that for next season's trade cheaper fabrics have been supported right and Ic-ft,-and as both the home and exuort trade have fallen off, wo are confronted -to-day with distinctly quieter conditions. If wo may bo permitted to speak tne truth, the whole truth, and nothing but. tho truth, dozens of firms are on tho point of running short time. The export trade has also materially slackened. The severe blow that the Balkan war inflicted upon Bradford's export yarn trade, and also that of Germany, Austria, and Hungary is now history. Tho many millions that were wasted in armaments, and the scores of thousands of lives that were lost cannot bo recovered all in a moment, and as Franco and England arc refusing Lo find big sums 'of monoy to mcofc projected loans, the financiers in London say that tho recovery will b fl very slow. Whether it- bo a physical infirmity of the AVesfc Riding spinners and manufanturors to take a somewhat doleful view of tho future or not, wo have simply contented ourselves in stating actual facts without the slightest intention of depressing colonial wool centres. . . Tho Outlook.

In gauging the, fut-uro one must recognise that America looms large in the vision of prnct-icallv tho whole wool and textile world. Many diversified views' aro expressed as to tho probable demand of American spinners and mnnufac-. titrors, somo contending that untihit-s consumers know their; position in-face

i I ion ; ill Piii i t|i.'li u'l.s i;-< ■ li .-/< j p I-11-11 an■. I !j; | j:> !io v 1 vyvjhVfyiinVf-:oxtr;in11y.:AtVlcastj! yuero&lm . 'ii<« • Gi;.r!!_. of j faij in - ISraiKonl <ir ! ij(ihdoli®aiKl""nothing to. 'itiilicafiv-extensivo v iJtitfinises as yet', in Australia:#.;We ccrtainlv^''tilinkthat 'America. iV-goingj-to:. nuilieVhaste'/siowly, for ieuiisidorahlo .'■stocks; of Craw..wool still exisiyieross IheiAtlantie'.'Slho'^bondcd

warehouses of Ikstoii,'Xcw Vol!;, and Philadelphiaismininiiig *' 7l) .■ .million pountLs ..of .v.'ool;' :Aye are bo a- big. ? marl;otitffoi^\voorand -it's allied products - luideiii.tho.aiew.:tariff. ' United States :spiii!i('rsii:niii..iiiaiiufaciurers aw detcrniineil.not.'.tfl tlirow up the sponge, but'.to. make; a' bold ~ effort lo retain their .own ftiiarkrt with American-made fabrics, ami wo hope. thev. will succeed.' It seems, to us . .that. bfg<;woights Vof Bradford combed' tops;will }be; shipped, and we hope, that from "tiieui'American spinners -will be able to* mako^ yarns to competo',with those:spun in tho 'West Hiding nnd oil the. Comment Abpvc all we want to sce' AmericaM mills run full time, otherwise, in three.' years there may bo a- reversion to. increased duties, particularly on partly; and fully manufactured '.articles. . But ' whetliM American spinners, and , manufacturers can hold their own against the increased competition of ]!m-ope. i .or.-not, , -. ; , wc'. fail to see but what-consumption.*, will bo maintained. No doubt trade is quieter to-clay, but by' the .end of' the year there should be a return to ihc brisker conditions which the Homo trade has enjoyed during tho past, four to five years. In that case we regard' .wool values as ■ likely. to about » maintain their healthy position, ■ and believe, that the raw material willKbc ..called, for'-; in a healthy

-/W;/' Marking Time, ' - No great changc has taken .placc in to-day market, and conditions are fuels as to bo anything but really ' satisfactory. Sales of'tops 'arc still being nut through, c'hiel'lv in liito descriptions, hut it. is taking prices all their time to hold their own, as tlioao are being iu some measure influenced by the reports of the irregularity"'.of- prices' for. tho raw material in colonial selling' centres. Users of tops are still showing themselves exceedingly ;■ rcticont," ■as their own prospects for business are not such as they would like Uicm to be... The greatest amount, of business appears to be going through in finer, qualities of tops, but- even, hero the. sales effected are not in any case for largo weights, all buyers refusing to ops-rato on an extensivo scale. Crossbreds are' showing iio improvement whatever, and tho actual business dono is very limited. Tito lower qualities are almost entirely, neglected, and what is i.'c-ing done is coiifiiiod to medium descriptions. Very littio business is passing on export account for yarns, am! even particulars on. old orders are only coining in slowly. Holders of the r»«" material m Bradford are finding business exceedingly difßoult .to contract, simply bceause users havo iio immediate prospect of handling itprofitably even when it is secured. Tho position among manufacturers is still giving eauso for some concern, and spinners aro consequently finding new business exceedingly difficult to secure. Veriiaps the ,be»t feature of tho market is tho continuance of small sales for America, whose.buyers are 'taking Marly every description of the raw material as well as some qualities of tops. The Homo trade spinners are running short of work, and short time looks certain in many quarters unless there is a .speedy alteration. Throughout the entire market a hand-to-mouth policy is being strictly adhered to