THE WOOL COMMANDEER

Dominion, Volume 12, Issue 63, 9 December 1918, Page 6

THE WOOL COMMANDEER

Sir,—May I trouble you, with another letter on that mysterious wool surplus which we are beginning to glean some information about. Sir Joseph Ward in his Budget speech tells us for (he first lime that the quantity of slipe wool shipped under the commandeer up to March 31, 1918, was 62,981 bales, and that an "advance" of JC1,591,895 had been made against it, on behalf of the British Government. Now, we gather from the Gazette Extraordinary of June, 1918, that this "advance" represents 75 per cent, of the value evidently put upon it by the shippers, and that the remain. iiig 25 per cent., which was being withheld, had been conceded by the Imperial Government from the commencement of 'the commandeer. It is easy to 1 calculate from Sir Joseph's figures that this 25 per cent, on ihe 62,981 bales' amounts to no less a sum than ,£531,632, which evidently represents the difference between the Dominion' basis value, originally fixed 'by someone in authority here, an<l the London basis value under the June, 1918, Gazette, which the owners of slips wool had succeeded in convincing the Imperial Government was the true "prewar value." If, therefore, the difference between the Dominion and London basio value on 62,981 bales of slipe wool is <£531,632, then the sum which must ultimately Ire conceded to the owners of 981,573 bales of greasy wool handled and paid for up to March 31, 1918, to place them on the same footing in regard to pre-war value, is ,£8,288,7*79. The 9.C5 Dominion basic value foT greasy wool 'fixed by the average sum realised at outr wool sales between November, 1913, and January. 1914, can scarcely be called a pre-war value, as war was unheard of af that period, and it, moreover, eliminates the profit which wool speculators netted on their 1913-14 purchases—of something approaching 4d'. per lb., if sold at the pre-war sales in London in July, 1914. At these lastmenlioned sales the net average price for fleeces and pieces included in one account sale was Is. Id. to Is. 2d. per lb., instead of 9J-d., and this shortage of 4d., plus the 55 "per cent., approximately represents the eight million odd shortage on the 1916-17 and 1917-18 clips shown a'bovc. It is significant that we .have never yet seen the net price of slipe wool, under the Juno Gazette, quoted in any of the papers.

Mr. Massey, who is in no way responsible for the in fixing the basic price, should see thai the shippers of'greasy wool pet fair pla.y and obtain the same concessions as shippers of slipe wool. . Our primary, exports are unfortunately all the Dominion lias to rely nnon to meet the enormous increase in the cost price <jf our imnorts, and our Labour members, who tallv so glibly abouit. farmers exacting high prices for vool. should not forget thiit the British producer is showing no consideration towards us, and that this belittling the value of our exports' is .impoverish!!)? the wage-earner to an extent they litt'e >drea.m of now, but will assuredly find'out later. This mistake in the fixing of basic values must be rectified, and fheep farmers would be wise to retain control, of their balances. ' Mr. Ma'csey • and i Sir Joseph Ward should inquire into this at Home, a.s the Dominion will need all tie money it can honestly claim.—l am, etc., 1 WOOL GROWER.