The Feilding Star. SATURDAY, NOV. 14, 1885. The Price of Wool

Feilding Star, Volume VII, Issue 67, 14 November 1885, Page 2

The Feilding Star. SATURDAY, NOV. 14, 1885. The Price of Wool

The disastrous fall which has taken place in the price of wool within the last few years is exciting some attention at Home. A correspondent to the Times in London points out that in twelve months to date the drop in the price of colonial wool has exceeded 25 per cent., representing a sum of not less than £4,000,000 sterling. '• This ruinous fall," observes the writer, 'is due to several causes, notably to increased production from the Eiver Plate, wool consigned direct to the. continental consumers, and largely to the huge adulteration of the raw material with shoddy. The last element the Legislature should deal with in no unsparing way — say by making it penal to mix shoddy with wool in this country; and further, by putting a protective import duty on foreign woollen manufactures adulterated with shoddy. If such a law were passed it would give an impetus to legitimate Home and colonial enterprise such as I submit could be obtained in no other way.'' Another correspondent thinks that too much stress is laid on "shoddy" as the cause of the fall in wool, which has now been continuous through the year. He says the main causes are the undiminished supply from our colonies and the increase of RivetPlate produce competing with Aus r tralia. Another and a very important one is the continuous increase in old stock at the close of each series, circa 70,000 bales having been held over in July for September sales, and of these at. least 40,000 have been once or more on offer and withdrawn' by merchants to their, own detriment and that of others who meet the market freely. In nine cases out of ten no good results from thus : ( fiddling ' the market , with unattainable, limits imposed by I consignors, whose agents have to follow their orders implicitly, without regard to the fact that purchases in the colony last year were made under ' the; exaggerated fears of a short supply arising from drought. The present decrease in prices 1s intensified by the depressed; state of the French woollen and yarn trade, and the subsequent incidence of , a larger proportion on the Home trade than present „ requirements will allow it to take, except, at depressed rates. The Times points out that the'correspondents assign various reasons for the depreciation, but do iiot refer to gold. "It would be interesting," the : Times says,* if those authorities who : have given it as their opinion that prices have fallen owing to an jappreciation of gold would tell us if the same process is still in operation, bringing prices down further in other and how • it is 3hat some ' •prices fall and others do not. That ■more consideration ;wsU haye 1 to be paid to the Biver Plate supply of wool, in the future is now freely admitted alike by Australian and South African wobl-growers and importers.'^ The! figures gif en above iued <» prove that the wool-grawen ot the world have taid to pay, in one year, indirectly, about £4,000,000, in order that dishonestmanufaoturenmaymakemoney.