YORKSHIRE LETTER

Dominion, Volume 8, Issue 2471, 26 May 1915, Page 4

YORKSHIRE LETTER

CAN THE HOME TRADE LIFT PROSPECTIVE SUPPLIES?

(From Our Special Correspondents.) Bradford, April D, 1915. There is really little new arising out of the wool trade to-day, tlio week's business to some extent being interrupted by *lie Easter holidays. This has been most acceptable both to masters and men, for all alike needed a little respite. Business began as usual last Wednesday morning, and though markets this week have not displayed any renewed activity there still obtains a fair amount of inquiry for both merinos and crossbreds. Delivery is still the bugbear of the present wool situation, for all the way from the shipping port to the delivery of yarns and pieces, the same storj; is told, namely, delayed delivery and inability of actual users to get their wants fully satisfied. That is really the crux of the whole question. We find a good deal of wool now coming to hand, in fact all the cry übout short supplies on that head have ceased, although among importers a good deal of grumbling is still being heard about ships landing in the Thames and at Liverpool, and it taking q month togct the wool iuto Bradford stations. However, this is the situation, and as far as one can see there is much to be said on the ground of delayed shipments, for the whole country has been completely npset on account of the war, and cannot but I remain so until the terrible upheaval ' fin]s ''¥- However, we find on all hands a willingness on the part of everyone to do their best under the circumstances, and it is to be hoped that things will work round for the good of all concerned. Future Supplies. In the course of another good week .the fourth series of sales will open in Coleman Street, when something like 220,000 bales will be availabe. This appears to be a big weight of wool, the trade having only about two weeks' breathing space. It means that from this timo henceforward a big weight, of wool is going to be confronting the trade at this end, and there cannot but be a surfeit of wool awaiting consumption. Wo find the question being asked whether the Home trade. can lift tho remaining supplies of colonial produce, and whether prices can be maintained at the recent level. This no doubt is very important to all readers, as well as merchants and importers. It would be interesting to know the quantity of wool likely to bo available in London and Australia between now, and, say, the end of next August, for when July comes m shearing will be general in the northern region of Australia. A very significant point came out in Messrs. H. Schwartzo and Co.*6 last circular. Adding transit wools and direct imports the total deliveries to the Continental trade up to the end of the third series was only 20,000 bales, compared with 1,041,000 bales J®, the corresponding period last year. This shows a shortage of 1,021,000 bales. If we go. a step further we find that the total deliveries to ths Home, Continental, and American trades up to the end of last series were only 662,000 bales, compared with, 1,436,000 bales for the corresponding period a year ago. There is thus a deficiency of no less than 774,000 bales in the' total takings of the three sections of the trade, which means that a big quantity of raw material is yet available tor consumption. Now the question arises: Who is .going to deal with this weight of wool? Tho only answer possible is that the Home trade will be called upon to lift the bulk of it> and a further question hns been asked aa to whether the machinery of the Homo trade is capable of dealing with this extra weight of raw material. To-day's Market. There is not a great deal new to say regarding the market. Conditions are very much as they were a week ago, and there does not appear to be much change likely until either more or less buying is dono in tops. We find there is still a commendable amount of inquiry, and some are feeling their way towards operating both in merinos and crossbreds for distant delivery, particularly crossbreds. Prices are fairly steady and firm, and there is absolutely no semblance of any giving way. Many contend that no matter how wool goes it will have very little effect upon the future course of top values. At the same time our intimate knowledge of the Bradford trade leads us to say that if merino wool falls, then it will have some effect in bringing down values for tops. All topmakers alike admit that tops would be made out of last sales at 2s. 6Jd., and they can make to-day quite easily 2s. Bd. if they can give decent delivery. For once tops are dearer than wool, entirely the outcome of the restricted productive capacity of combing machinery. It simply means that where makers can offer decent weights of tops and can give fairly quick delivery, they can sell at good paying prices, and it is a fact that many have sola for next July, August, and September, as high as 2s. BU. In crossbreds there is also firmness. Here, too, topmakers are all vory hard pressed to make delivery, quoting fairly stiff prices and wanting long-date delivery even at that. Values are yet in the clouds, and appear likely to remain so, in fact there does not seem to be the least sigp of crossbreds easing for a long time to come. There is certainly, less pressure among khaki spinners and manufacturers, and it appears that the Government has now quite as much khaki as it can comfortably deal with, but whether this will have any future influence upon the placing of new orders only time will show. For the time being things are quiet in that direction, although there is no slackening in production. Taking an impartial view of the whole situation, wo must admit being somewhat sceptical regarding the ability of the Home trade to lift the huge weights which still confronts it. Since this year dawned there has been a remarkable show of strength in prices, and wool has been absorbed quite as freely as it has come to hand, but all the same many •are feeling that the time is not far dis. tant when all present requirements will be more or less filled, and that the machinery of the United Kingdom is unable to absorb the weight of wool which is to-day available. We should have more hope regarding the future if American manufacturers were at all busy, but wo are repeatedly told that whatever briskness attaches to that side of the trade is entirely due to European War Office contracts, the American textile industry being distinctly on the quiet side. All regret this, when there is now need for every spindle and loom to be working across the Atlantic in order to shift successfully the wool as it is coming to hand. No doubt if German soldiers were only, driven out of France and Bilgium, a big weight pf machinery would be available for' dealing with the present surplus supplies, but there is nothing to indicate any speedy removal of opposing forces, or that the mills ill Northern France and also Belgium will be soon running and absorbing colonial wool. That is really the crux of the whole question. The writer is in no sense pessimistic, and believes in tho ability of the Homo trade to shift further large weights of raw material, but we must admit lieiug somewhat sceptical regarding the ability of the Home trade to lift all. prospective supplies of colonial wool at prices recently current. Machinery is not capable of doing this, and that is the reason why we are looking to tho future with not the spirit of confidence which we did a good month ago. What we say is wanted to-day is more machinery to become available for tackling tlio big weights of wool which we now arriving in this country, and we certainly tlnnk that notwithstanding the extraordinary consumption witieh is proceeding in every branch of the textile trado of this country, the machinery, is not there to cope effectively with what is available. Position of Merino. It is remarkable to those closely identified with the textile trido of this country to find merinos occupying the .position they do, but fliis is entirely due to the prcsont spinning of thick count yarns for war purposes, and 110 doubt if more machinery were running upon merinos, then bigger weights of wool would soon be shifted. As it is, thero is still a huge quantity engaged in the production of crossbrcd fabrics for soldiers and sailors, and fo long as serges and khaki are rqouired, machinery cannot grind up large quantities of merino wool. All this is throwing the burden of shifting big. weights of merinos on to a. some-

is some scepticism in the trade as to the ability of the trade .to lift future supplies of merinos at recent prices, unless consumption increases, which can only be done by the Germans being pushed out of Francs and Belgium, when very soon a new order of things would prevail^ One more thought strikes the writer. If Great Britain aud America cannot lift prospective supplies of merinos at somewhere about to-day's prices, there will have to Joe less restraint upon exports to Continental neutral countries, and no doubt there are several who are waiting the opportunity of buying liberally, ana who are wanting both wool and tops vory badly. Here again . another difficulty arises. Both France and Germany have done a huge business in combed tops with such countries as Sweden, Norway, Holland, Denmark, Spain, and Italy, which have not the requisite machinery I for combing,wool at all, these wanting to-day to purchase big weights of fine combed tops. But Bradford cannot cope with the business offering, owing to the limited capacity of combing machinery. This means that consumption cannot develop a great deal unless more machinery can be got to work in France and Belgium, which i 6 not likely until the country is rid of the enemy. We are, therefore, looking for no more than steady prices, and things will do well to remain at to-day's level.