YORKSHIRE LETTER

Dominion, Volume 8, Issue 2332, 14 December 1914, Page 8

YORKSHIRE LETTER

LONDON WOOL SALES. iFrom Our Bneoial OorresDondent.) • London, Otcober 9. Never in the history of the wool trade have the various members of the industry met under conditions such as exist to-day, and at the opening of the Wool Exchange last Tuesday, many familiar faces, were missing. Seats previously occupied by Germans, Belgians, and Frenchmen, were empty, and it would' have. been strange if there had been any Germans present at all. Everybody realises that a vital war is being waged, and it goes without saying that wool interests will largely centre around the Homo and .American trades, at least for the next few months. No business man likes the''war,. but everyone realises vthat it had to be,, and Great Britain and her Allies having once put their hand to the plough, cauuot 'look back. Both France and Germany have been wrapped up as it were in- the colonial wool trade, and to find' "old stagors" who have, tramped the wool floors of tho Metropolis absent, has brought home very pointedly the fact that time brings changes, and that the war itself is going to work a radical change in the personnel of the wool trade. • We have heard many stories this week of well-known buyers who have shouted' their price for the last time, for they have fallen amid, the carnage cf the battlefield. However, Coleman Street Wool Exchange is again showing good results in at least one particular, , while even the standing of merinos is'such that they could nave been a good deal worse, which many actually expected to find.Course of Prices, We the opportunity pass of calling the reader's attention to the course of values during the interval. We have gone through a very long vacation,' the last London sales finishing on July 22. A good deil has happened since-then, sadly'too much for. many people,, but. all feel that they must make the best of the present situation. The course of wool values during the interval has been very much as might have been expected. The placing of big orderß by the British and' French Governments, and some think Russia as well, is creating an unparalleled boom in the manufacturing circles of Great Britain, and 'wherever'a firm can put on its spindles and looms for producing fabrics suitable for the Army, they have the opportunity to work to-their full capacity. That is exactly what they are doing. The result is that the demand for crossbred wools is beyond all expectations, and it is a pity_ that the new' clip from New Zealand is not now on the point of entering the market. We torsee that supplies of crossbred wool at present available and on the way te this country are insufficient to prospective requirements, hence •it is to be hoped that New Zealand! will hurry forward its new clip and so try to satisfy the/ needs of this country. The Government has taken very drastic steps and commandeered all the hosiery fabrics which Leicester and district can turn out, and to a very large extent the same obtains in the East Biding of Yorkshire, as well as other manufactur-' ing areas, of-Great Britain. The 1 demand has • been such that prices for crossbreds have advanced to a very high altitude, and when the history of the war comes to be written, prominence will have to be given to the important part which crossbreds are playing and the high price whisb. this class of wool is commanding.

Stocks Available. The wools available are practically 45,000 bales, a', smairquantity in-:' deed.". the present series of sales are more an. experiment than anything else, and the Importers' Committee have tried to meet the wishes of the trade when viewed from a financial standpoint. At one time Bradford was very strongly opposed to having a 6eries of sales till the end of October, but that opposition 60on ceased, and the 45,000 bales are not altogether inadequate to meet . present requirements, 'particularly cros'sbreds. Adelaide is represented by under 1000 hales, Queensland contributing the most merinos, New South Wales ccining next, while about'2s,ooo bales will be available from New-Zealand. The present generation of wbolmen has never known such a -short-series as this, but j.s already .said the' exceptional circumstances'which"prevail in Europe are the sole cause,' and we think that after'all this series will clearly show the standing of wool-arid* help importers to define a'policy for the future. ,'■' A Remarkable Opening.

■ : ,'~ Last Tuesday," saw the opening of the series, three sellers putting before a well-tilled room representative catalogues. , We .missed many familiar faces both from France, Belgium, and Germany. "There.'.Tvas a wild scene of excitement when'the first lot of crossbreds we ottered and the extraordinary demand was maintained to the finish. Of course the home trade did all the buying, and thero was general agreement at tie "finish that greasy fleece crossbreds of medium, and coarse quality showedan advance of Id. to L}d. per lb., say 10 to 15 per cent., but fine halfbreds only advanced about 5 per cent., say id. to Id. The biggest rise was seen in sliped crossbreds. They advanced anywhere from 20 to 25 per cent., and the same can be-said for scoured crossbreds, including, greasy, crossbred lambs. This shows clearly where the demand is keenest. Merinos sold fairly well in the circumstances, greasy fleece showing a decline of 10 to Vl\ per cent., but the fall,was more pronounced in. wasty parcels,, both greasy and secured, tliere being often up to 15 per cent. No doubt for the scoured Adelaides, the missing competition on the part of Belgium and Erance was keenly-felt,'these wools being moresuitable for mule spun yarns'than for combing purposes, particularly the faulty pieces. During the course of the session news came to, the saleroom that "the Government have to-day prohibited the' exportation of any wools out of the country for th'e'tirne being." ■ Succeeding sales have more than confirmed the opening values, in fact we think that Thursday's sale was the best so far held, prices if anything being slightly in sellers' favour. We cannot report a quotable advance, but certainly wools were worse to buy, and all things considered there is a wonderfully', encouraging market. Buyers are evidently prepared to pay good figures for good combing wools, and wo certainly think that everything indicates more strength •than one thought actually existed eveii in merinos a week ago. On Thursday some buying was done for .Italy in merinos, but whether the wools will be allowed to go through no one can say. Crossbreds are selling like hot cakes, and everything indicates a royal time for the wools of the mutton breed. Embargo on V/ 001. Quite a sensational development has taken place this week in the wool trade, the Government' deciding to put an embargo upon the export of wool to outside countries. At first the order was to prohibit all classes, but on Wednesday a slight modification took placo. The following notice was read to buyers before the sale commenced: "The Board of Trade will favourably consider the granting of licenses for exportation of merino wools provided the shipper can give satisfactory guarantee as to destination." Wo take it that the above includes the export of tops, yarns, noils, and wastes, and that shipment only will be allowed to Russia, Franco, Belgium, possibly Italy, the United States, and Canada. The Outlook. Messrs.. H. Daw.Bcn and Co., writing

with reference to the future, make the following observations: —"Sinco the close of the July sales the wool market has passed through a variety of 6trange and changeful experiences, alternating from stagnation and an overwhelming pessimism during the first weeks of the war, to a keenness of demand and inquiry that has been sensational and unequalled during the present generation. The huge orders for army clothing on account of the Home and French Governments have bet'Ji on such <i scale that our mills are unable to cope with them, and full employment is ensured for at least six mouths ahead. The urgency of these orders has brought keen buyers into our market lor wools, and about 30,000 bales colonial wools have been sold, by private treaty during the past few weeks, in addition to the complete clearance of stocks in dealers' hands, and large sales' of English and Scotch grown wools.

"New Zealand slipes and scoured crossbreds were the earliest to benefit, and the bulk of these were soon cleared, but later, greasy crossbreds and even shafty sound merinos have been in keen demand. ■ •

"Consequently the sales have opened to-day • under vastly different and brighter auspices than had been anticipated, and an easy and complete clearance of the small offerings for this scries is assured.

"The outlook for the future is notso easy to determine, but it becomes increasingly' apparent that owing to the delayed shipments from ■ Australia and the postponed eales in all the oveasea markets, that the arrivals will be small for the next series. Already many thousands of bales of wool shut out from the present series have been sold privately. Consequently the chances have diminished very materially of buying cheap wools before January. The news from the United States indicates a healthy position with an increasing consumption. The wool market is quiet owing to the general expectation, which may probably prove to be a little premature, of a much lower basis of values.

"In Iloubaix and Tourcoins some of the'mills are now working, although under difficulties, owing to the absence of the majority of the male employees. "The news which filters through from Germany is sparse, but it is reported that wools are very keenly needed and fetch high prices, and strenuous efforts are being made to secure stecks from ueutral countries.

"The embargo which has,been placed to-day upon all further exportation of raw wool was received with great satisfaction by the vast majority of the buyers. The effect, however, of this prohibition will be nullified unless it applies similarly to the export of tops find yams, which during the past few weeks have been shipped from Yorkshire in large quantities to some of the neutral ports which are under suspicion."