WOOL PRICES;

Hokitika Guardian, 7 December 1920, Page 4

WOOL PRICES;

(Per Pfeßa Association.)

WELLINGTON, Dec. 6

, Mp Massjey stated to-day that in view of the sales about to be held it would be of interest to woolgrowers to bo acquainted wiMi the present woof position as sjiown by information on hand. Valuable inforrnation was obtained in a

cable, from the Imperial authorities and circulated last week. After quoting ibis Air Massey continued. “As the Imperial ( Government intimated that it was keeping its reserves for the next sales on a higher basis Than at the last sales ,it will bo realised that every support will be given to the New Zealand market. It may bo also stated that in response to” a cable sent a little time back, tho Imperial authorities replied as follows: “Tlie Ministry has up to the present held socks of New Zealand wool very firmly. Recognising that current prices ,especially of close cross-bred wool, must be very near the cost of production, and very grave consequences might result if any further serious decline took, place,, it is the intention of the Ministry of Munitions as far' as possible to handle Government stocks of wool in such a manner as not to cause injury to the legitimate interests of wool-growers. The possibility of the selling price of stocks of wool held by His Majestys Government being permanently maintained at about the present level must depend to some extent upon the action of New Zealand woolgrowers.”

Hence there is a good reason for New Zealand growers to take up a stand against sacrificing their wool at too low values tor the sake of getting it off their hands quickly, especially, as to do so, will be simply playing into the hands of biiyers who imlifee those who buy for legitimate mririufrietjiring purposes of their, principals iri Great Britain are simply making speculative purchases. In order t O . enable, thoso. growers who need iriiriiediale financial relief to obtain it, tiio Government after conferring with financial bouses has made arrange, merits with tlie brinks, under which growers will be. able to obtain advances, from their brokers or direct from

their banks up to.wliatever.js a reasonable limit in each case. What constitutes a reasonable limit cannot be arbitrarily, expressed in explicit figures seeing that the advance which can bo made for each individual depends not only upon the quality and condition of his clip, but also upon his general finan. ciaj standing, the action of the Government in supporting thq hanks will enable advances to be made with a degree of confidence which otherwise would not exist. It will place growers in a better position.to face tho market. Special conditions under which returned soldiers settled on land by. the Government are financed may cajl for special arrangements being made in connection with advances on their clips and the report in connection therewith is now being prepared by the Minister and officers of the. Lands Department-