THE WOOL DEAL

Dominion, Volume 13, Issue 101, 23 January 1920, Page 8

THE WOOL DEAL

Sir,—The sheep farmers throughout tho whole Dominion are indebted to you for throwing open your columns to admit of the ventilation of that unfortunate wool deal, the mistake in which i 9 now virtually admitted, and I was more than pleased to see . that Mr. Harold j-ieancbamp had interested himself when in London, and along with Sir Thomas Mackenzie had been trying to expedite the payment of half the profit on sales promised by the Wool Commissioner. I havo already given expression to .tho opinion that 'it would greatly simplify matters and expedite the pavment if Mr. Massey would advocate lino correction of tlie mistake, made in his and Sir Joseph Ward's absence,, which brought forth tho magnanimous offer from the Commissioner of half profits on any wool not used for military purposes. It, is impossible to form any idea as to what sum Hicse half profits will produce, although the Wool Commissioner has informed Mr. Massey the amount would be a substantial one, ana considering present selling priccs at Home, one can imagine it to be so, notwithstanding any assurance *to the contrary that it. would be infinitesimal. I havo always held that mistakes when discovered should be corrected, and think it would be a very fair compromise to ask for a settlement on the, basis of what the Wool Commissioner intended to pay for our wool, which was •15 per cent, on pre-war London prico and whiclh it is computed would work out about Gd. to 7d. per lb. more than tho average net price we havi! been receiving under the commandeer. It is true that Sir James Allen asked for and obtained 55 per cent, on his Dominion basic price of 9.G5d., which is purely a speculative value, and the difference between that and 45 per cent. 011 the London pre-war value, which the Wool Commissioner had no doubt previously arrived at, would, .1 think, be about Is. 2d. for fleeces, bellies, and pieces, and is based upon London, account sales of farmers' parcels embracing the above descriptions of halfbred, three-quarter-bred, and crossbred sold in July, 191-1, about a fortnight, before war was declared.

It should not be forgotten, however, that shippers of slipe wool obtained 55 per cent, over pre-war price, for their shipments, and it would only be fair to treat shippers of greasy to the same concession, and the enormous increase in valuo which has taken place in the in-f»-vnl warrants Die Home Government in doing so. If this mode of settlement is adopted the sum payable can be arrived at without difficulty, and could be paid at once, and is computed to amount to about seven and a 'half million pounds sterling per clip. The half profit on sales may not be arrived at for years. Hence my reason for advocating a departure from the Wool Commissioner's very fair offer.—l am, etc.. * PRIMARY PRODUCER.