COMMERCIAL

Gisborne Times, Volume VII, Issue 364, 14 March 1902, Page 1

COMMERCIAL

THE TIMARU GRAIN MARKETS,

(Post.) Farming prospects this yoar are much brighter than they have been for. some considerable time, so far as price *s concerned ;' but, unfortunately, now that values have increased, the weather has militated against prospects, and has to some extent compelled some farmers to accept a lower figure for their grain than they would otherwise have been ablo to obtain. What has caused the increase in values is problematical, but there is no doubt that the South African war is responsible primarily for the rise in the price of oats. The demand from this new market has caused values to go up from Is 9d and Is lOd in tho early part of the season to 2s 2d and 2s 3d, which is obtainable at present. Prices have also been forced up by merchants and speculators contracting forward sales, Months ago agreements were entered into for the supply of large quantities of oats for March delivery. The unfavorable weather has kept the harvest in the district back, at least a month later than it usually is, and as a consequence some of those who have secured March orders have been put to a good deal of trouble in filling them to time. Many of them in order to obtain oats have had buyers scouring the country to obtain supplies. Prices have, as a natural sequence, advanced materially, much to the satisfaction of the farmer. But it must be remembered that the position has been a forced one, and there is, of course, the possibility of oats going back in price, so soon as the present South African orders are filled, which will probably be at the end of tho present mouth. Indeed, some growers have sold every bushel they had at 2s 2d and 2s 3d, in the expectation that in a short time they will be able to rc-buy what they require for feed purposes at 2s per bushel. At the present time South Africa is our only market for oats. The Sydney market. is prohibitive, owipg to tho Federal tariff, and to purchase oats either for the Auckland or the London markets at the present prices would be out of tho question. A local merchant who deals largely in grain, remarked, that if it were not for tho South African market oats would not be worth more than Is per bushel, at the present time. He further said that the South African market might, or might not, continue to draw upon us for supplies; if it did, well and good, but if it did not, then the present price must come down. The question is often asked why all descriptions of oats are quoted at the one price. This is explained by the fact that only one price is given for oats to fill export orders, and any sample that will pass tho Government grader is sold at that price. It matters not how much superior it is to another sample, it will only bring for export purposes, the same price as any sample that will pass the Government grader. Under existing circumstances, it is difficult to give an exact quotation of

values, as so much depends on the sample, date of delivery, etc.; but 2a 2d may be fairly stated as an all-round quotation for oats, short milling oats being worth Id per bushel more at country stations, in each case. Some very small lines of extra prime quality have changed hands at an advance on these prices, as for instance, when a few days ago a farmer came down to Timavu from Ashburton, and purchased a few sacks of Rosebery oats from another , farmer, at 2s 6d per bushel. But only a ’ sm all lot was wanted for a change of seed. Another small line of Gorton oats was purchased for the same purpose at 2s 4d per bushel. But these are isolated cases, and cannot properly be set down as a criterion of values.