OUR YORKSHIRE LETTER

Dominion, Volume 9, Issue 2653, 27 December 1915, Page 8

OUR YORKSHIRE LETTER

ft LONDON SALES AND HOW THEY AM CONDUCTED vfiom Our Special Correspondents Bradford, October 21, 1915. The near approach of another series ot colonial sales, directs attention lo that big event. One wonders if the average reader ever thinks of how long auction sales of wool have been held in Coleman Street, or at least in that neighbourhood. There are wool men who remember the time when the sales-were held in the top room over Messrs; Schwartzo, Buchanan and Co.'s present offices in Moorgats Street Buildings, but ever since the writer remembers they have always been hold in Coleman Street. Originally they were held in' Change Alley, and while that place still exists in the City of London, we have not yet met a singlo person who can identify the exact 6pot where the early auctions, took place. There is something unique associated with tho early sales of colonial wool. In the year 1828 a special committeo of the House of Lords sat at Westminster which took a good deal of evidence' regarding tho state of the British wool industry at that time, a big trade that was thea said to be suffering severely on account of the "large" imports of Australian wool. AVo have pome valuable data in our possession and find that in the year 1828 the imports from Sydney were .7087 bales, and from Van Dieman's. Land (Tasmania) 3209,. while Melbourne and Adelaide, West Australia, and New Zealand did not send us a singlo bale.. .In IS3O the imports were only 8003 bales and ten years later they had risen to -.14,502 bales. One cannot but smile at tho views of the English .landed proprietors in 1828 when they were alarmed at the apparently large imports of colonial wool which were said to be exercising' a very injurious influence upon prices for' English wools. The commission was held with a view of placing an import duty on Australian wool but it did not succeed. We are glad that the views of the manufacturers of tho West Ridiug who were called to give evidence in favour of Australian merinos had considerable effect upon the House of Lords' Committee, and notwithstanding that a good deal of .valuable information., was given,' the common sense of that committee prevailed, and wo are glad that Australia, from fhat' time sent us annually increasing quantities of raw material until to-day it is the world's chief centre »f supply.

. It would well repay anyone if they liad tli3 time to go thoroughly into tho riso of the London sales, for to anyone wifa a relish for' ancient history there / are many interesting items which would'not 'only increase olio's knowledge,' but also bliow how that big event has developed until to-day it is. one of tho most important in connection with the grpat wool trade. Of course the sale of tho-bulk of the Australian clip at tho various centres in tho Commonwealth has materially minimised the sales in Coleman Street, at least so far as there being less wool offered in normal times than, say, in tho 'eighties. It.is quite a romance how Aus-tralian-sales- have arisen, and it needs no Solomon to see that-when the war is over, tho bulk of. the colonial clip will continue to be sold at the centre of production. Still, what is done in London to-day is always followed .in. every, .othei; markot in the world, and weakness there, usually sees the same features develop in every other market. Of course a man buying in Australia must be prepared to tako considerable risk, but the great industry has now assumed such gigantic proportions that there, is not tho famo erratic movement in prices that we saw in the .'nineties. To-day with the great European war, conditions are very abnormal, and .as long as the struggle, lasts moro wool is . bound to bo sold in Coleman Street than under normal times.

How the Auctions are Conducted, Any Australasian or. South African pastoralist who has witnessed auction sales at home will have a fair idea of How the tales are conducted in Coleman' Street. In the first instance tlio wool comes from overseas, aind is controlled cither hy banks or financial houses, these parties having probably made an advance on tho consignments. Full particulars are furnished by th'o original oivner, tho various institutions ill the. city then handing the selling broker full details of the consignment. As a rule the owners in the city, or at least those controlling tho sale, have word as to where tho wools shall be warehoused and shown, it then being tho duty of the selling brokers to arrange delivery. When, the. bales are deposited in tho " various warehouses tho selling brokers then call for a lb.' sample from each bale for lotting and valuing purposes. As a rule full particulars of tlio different descriptions of wool are sent from overseas, this simplifying and helping tho work of the selling broker. As a rule the broker who lias to offer tho wool, when he sees a pound • sample drawn from each bale, decides' respecting the uniformity of the parcel,. and generally he also decides the various lots. If he sees that several bales are. lighter in condition than the remainder of tho same parcel he will catalogue these bales as one lot, say super combing, placing the next as. a first combing Jot. It is a huge mistake on the part of growers to draw a haTd and fast line, give explicit instructions to his selling broker. It is as well to let him decide and make up the lots, becaiiso often a fow bales in n big lot are light in condition, and perhaps better grown than the remainder, and these being offered by themselves gives a buyer a chance of taking useful lots, often paying id. to Id. per lb. for the first few bales in order to claim the riext as "last buyer," though this is unknown in Australia.

Still, half a dozen hales of very good Hool makes a very nice lead to any clip, and the man at the board responsible for preparing tho shorn fleeces for market should pay special attention to length of staple and condition, all the light fleeces, if otherwise sound and well grown, going to make a little lot of their own. AVlien tho day comes, the respective wools are put upon tho show floor, each bale being cut open at a corner. It also bears" a ticket with tho lot and number of bales clearly written on same, and is then in apple-pie ordeV for inspection by buyers. It is just here where there is a little difference compared with the method of selling wool in Australia. In London every,bale of a lot is shown, and not a portion of the bales as in Australia.' The writer thinks that the time has arrived London warehoute-keepers might show ten or fifteen per cent, of all tho straight station-classed clips, and so save both time and space, labour bein® very deficient and inefficient at the docks. However, the officials in charge cannot seo eye to oye with this proposal, the writer contending tliat so long as this can bo effectively done in Australia the same can he done in London also.

The catalogue is published every morning of that day's sale, when after breakfast buyers sot out to the various warehouses to inspect and value the lots on offer. It is here where the experience and ability of a buyer is most in evidence. Valuing wool can only bo done after some experience, and the best valuers are those who began their career at a sorting hoard and who are familiar with wool in every detail. A buyer, must know the various qualities as well as have a good knowledge of estimating the "clean yield" of the wool he is Taking, otherwise'lie will soon get astray. When valuing is completed, a buyer is ready for tho auction, which begins 'punctually at i p.m. This is really the deciding placo as to what is the real market valuo of a lot of wool. Often there is a wild scene of excitement, buyers bidding frantically for the raw material. The writer has seen some remarkable scenes, when it looked as' if erery buyer that was bidding was littlo less than a lunatic just escaped from an asylum, one vising with the other m to

(ions and tho biggest noise. However, there is more in this than a nierc onlooker sees, and a good buyer is a valuable asset to any firm. Fourteen d<tys after the sale payment is due, and then tho wools are handed over to the railway companies for dispatching to tho various centres of consumption.

A Better Market. The week under review has been productive of a cliango for the better, entirely the result of tho War Trade Department, deciding to grant licenses for the export of crossbred tops. This is certainly a wise decision, and one that has met with great favour at tho hands of the entire trade. AVhat sense was there in refusing to grant licenses for the export of tops when wool and yarns were being shipped in nice weights? The result is that there has been some very good sales of crossbred tops, most firms having advanced their quotations Id. lo lJd., though we think that a penny advanco will buy any quality of top, the improvement being'most notable in IS's and [Sfl's qualities. The whole market is certainly feeling very cheerful, strong overseas' ad-vices-also stimulating topmakers in part. A further important move is the known attitude of the War Trade Department in regard to the granting of licenses, for the export of dry combed lops to Japan. This is to some extent unexpected, and lio dc-übt the Japanese Government has exercised a little pressure in order to relieve their own mills. The whole market I seems'to-be better, although' it has not had any material effect upon the price of merinos. We are not aware of any actual licenses being granted -for the Far 13nst, but no doubt some aro coming. Merino topmakers ar not so squeezable as they were, Gd's to-day selling on spot account at about 3s. Id., while for January they can: still be bought at 3s. The combing difficulty is still very strongly in evidence, and while the export of fino tops may bo allowed, it is the writer'a firm conviction that.no big quantity will be allowed out of the country, though one never knows. However, prices are certainly firm all round, and as far as one 1 can see there is every probability of the Kales next week in London finding inerinod sell on similar lines to last series, while crossbreds look like advancing. There if a good deal of ill-feeling in the West Hiding over bis khaki orders being | placed among United States manufacturer?, when many Huddersfield firms could have' executed them at pence per yard lpj-s - than they have been actually placed at.