THE WOOL “COMBINE.”

Gisborne Times, Volume VI, Issue 172, 1 August 1901, Page 3

THE WOOL “COMBINE.”

A smile of incredulity suffused the countenance of each local wool-broker seen by a representative of The Press in connection with a paragraph reprinted from the New Zealand Times regarding the European “ trust,” representing “300 millions of money organised to rob woolgrowors.” The existence of this powerful combination had not been heard of by the gentlemen interviewed, one of whom summed up the matter in a word —“Absurd!” There is not, he went on to explain, a trade in which so much competition exists as in the wool trade, and knowing tho keenness and extent of that competition he considered that it was impossible to form such a combine. Putting aside the fact of the bad business methods of holding such a large sum in a liquid condition, and it would need to be in such a condition, he pointed out that so widespread and varied were the interests in tho wool trade that such a trust would be impossible. Besides, he argued, if such a combination existed, wo should have heard of it directly from England, which has as many sheep, if not more than New Zealand, instead of in the indirect method indicated in the paragraph in question. His explanation of the “ slump” in the prices realised for wool was that consequent on the large failures of last year speculation in wool had been paralysed, and speculators were absolutely afraid to operate. Another gentleman was of opinion that the poor values realised for the coarser wools was due to the Argentine growers holding stocks for a rise—a contention upset by another authority who pointed opt that tho withholding of wool was not calculated to affect (lie market much, as in six or seycn months a fresh supply would come to hand, which, being fresher, was more valuable than that which had been kept in store, and deteriorated in quality. As to the concluding portion of the paragraph quoted, referring to a combination of growers in Australasia and the Argentine, it was scouted as impracticable on all hands, as being quite outside tho scope of practical polities.