YORKSHIRE LETTER

Dominion, Volume 11, Issue 74, 20 December 1917, Page 10

YORKSHIRE LETTER

STATE CONTROL

OVERNMENT ADVANCES PRICES FOR WOOL AND TOPS

(From Our Special Correspondent.) Bradford JN'ovomucr 1. Another step forward has to bo chronicled in the schemo oi riuue control. 'me long-expcoted advance in wool and top prices, which tho writer lias Ifnown aoout for many weeks, has at last taken place. It is, indeed, s-gnitieant, in t'uco oi tho declared intention of the Imperial Government, when it lirst bought the colonial clips, that tho important step was taken with a. view of controlling prices and preveriting things getting dearer. We understand that the prime reason for advancing prices 's that m the sale of tops money has been lost, but that is regarded in Bradford topmaking circlca as a fairy tale, it being often asserted by the biggest Arms that at tho price the Government secured the wool in Australia and Now Zealand, 64's tops would not cost much over 4s. per lb. For a warp 64's, the current price is ss. 9d„ and on December 1 it will be 6s. 2d. Tho writer has heard more than one important Government ifflcial assert that nothing has been made out of Government tops, but, as already said, if that is so the administration expenses must be terrible, because on tho clean scoured cost in Australia, topmakors have never had anything like tho margin between tho first cost and the pale nrice in the jombed article However, the fact must not be lost sight of that expenses of shipping, insurance, and iQßjef at sea have all to lie provided for, and the writer pustlfles the present action of the Department in their effort to make the wool purchase schema leave behind a profit, after making due allowance for losses. I

Wool Prices to be Higher. The Department lightly divides colonial wools into two classes, namely, combing and clothing. The destination of the formcr is decided in London, where distrlSUtion and allocation if combing woolb is more direct to Government topmakers and those who are affiliated to them. Iti is their business to take this 17001, sort and prepare it generally for combing. Ko list of prices has ever been published for these wools, and it would be interest ing to know what tops are actually costing the Department. When' it comes to the question of clothing wools, that Is, wools for the woollen trade, the Department all along has been up against a different problem. From tho very first a schedule of prices has been in operation, and advances have been made three times sinco the original fable was got out. When the writer stated that prices for wool were to, be advanced, there was consternation in certain quarters. At ono time tho Department sold clothing wools to woollen manufacturers engaged on milit-ary cloths, pence r -er lb. cheaper than for civilian purposes, but recently the Department has icsued only-one 6cale of priceß which has applied to Government manufactures as well as those .wanting wool for civilian puitposes. This is bound, to give a good deal less trouble to the men in charge, and In the long run it will make very little difference indeed to tho Exchequer. The Department haß pursued tho right policy ill. valuing wool and reselling it on a rlean, scoured basis Of course, the Departmental 'officials arc by no means infallible, tccausc manufacturers have found by experience that "the ciperts of the Department have been as far out as 5 to 6 per. cent, in "clean yield estimates," and a man has a right to question tho stated dean yield of any lot . of wool he buys at Manor Bow, Bradford. However, no Berious difference has yet arisen, and adjustment has been possible when wools have not given tho clean yield which,has been stated.

Last May 9 the Department published a list of prices on which it was selling Roods for the woollen trade, and that list is Riven alongside one published this week, where the reader will see the advance which has been made':— May 9. Oct. 27. May 9. Oct. 27. Super Super Avge. Avge. grades grades grades grades Description. d. d. d. d. 80's 70 75 67 72 70's warp 6B 72 65 69 70's 67 70 64 67 64'b warp ......... 67 70 ,64 67 64's ; 66 69 63 66 60's super 64 69 '61 66 60's 63 66 60 63 58's 56 60 53 57 56's 50 53 48 50 50's 44 43 *2/ 45 48*8 39 43 37 41 ' 46'3 35 39 33 .37 44's : 31 37 29 35 50's prepared ... 39 — — — 48'B „ 34 — — 44's „ 32 — • _ _ 40's • „ 31 34 29 32 56's „ 30 33 28 31 Top Values High. It iB remarkable, but top prices have engaged the attention of the trade mora than anything. The average advance is exactly 10.08 per cent. This iB considerable, and far more than tho majority expected. The outstanding feature of the Government figures is the big advance in 46 s to 50's carded tops, The advanco in 48's and 50's is actually 6d. per lb., and in 46's carded sd. per lb. The most remarkable thing of all is that in the current list, which will finish at the end of November, tho* difference between 50's and 56's is exactly lOd. per lb. In pre-war days there was seldom more than 2d. per lb. difference between these two descriptions. In tho new scale the difference will be 7d. per lb. This seems tremendous and unwarranted, because in the actual Bale of wool in either Australia or London no such difference ever existed, and we do not think ever will in normal times. However, tho following shows the advances which have been made in top prices. Current Quotations, the new list, and tho per-cent. increase are all given:— Current Hevised P.c. . , /i prices, prices, advance. Description. d. d. d 80's 72 80 11.11 70's v.-arp 70 77 10.00 70's 69 74 7.24 64's warp 69 74 7.24 64's 68 72 5.88 60's super 66 70 6.00 60's 64 69 7.81 58's 56 62 10.71 56's 52 55 5.76 50 s 42 4B 14.28 Ws 36 42 16.66 46 boarded 34 39 14.70 44's carded 33 37 12.12 50's prepared 39 — — 46's prepared 36 — — 46's prepared 34 — — 44[s 32 36 12.50 40 s ; 31 ,34 9.67 36 s 30 34 10.00 32 s 29 _ _

Future Supplies. The Department is unable to promise that the present values for wool and tops will remain permanent. The list is open for revision after March 31. Evidently the Shippiug Controller is playing an important part in deciding wool and top values. At tho bottom of all things it is purely and simply a question of freight and supplies. Given adequate arrivals, there will be no need for further advances, but as things arc no one is justified in expecting tho upward trend of values to cease. Trices are to-day higher in South Africa and South America than tho revised Government lists, and therefore thero is some justification for tho Government putting up values here.