WELLINGTON NEWS

Hokitika Guardian, 19 January 1927, Page 3

WELLINGTON NEWS

AYOOL SALKS AND OFT LOOK. (Special to “ Guardian.”) WELLINGTON, Jan. 17 It may bo said tliat last week saw the resumption of general business after a holiday spell of about a tortnight. The most important event of the past week was the resumption of the wool selling season in the North Island with the sale at A\ ellington. The sale held in Cliristchureh the previous week indicated that a change had come over the wool situation and this was in a strong position. The bidding was both keen and animated, and there were easily hall a dozen competitors for each lot offered and in many cases a good many more. The buying was not restricted to one section ot the trade, on the contrary. Bradford. Germany. Era nee, Belgian and American buyers, together with representatives of Dominion, woollen mills, were kesn competitors. The latter were keen after fine wools, merinos and hall-breds and as the production of this class is insufficient to meet ioeal requirements, the nulls had to pay very full prices as thev were hard pushed by Bradford and the Continent, bine wool fabrics are very fashionable and the woollen I mills must moot the fashions. One would have thought that the Continent would, owing to currency difficulties and the general depression, be unable to do much buying. In actual tact, however, they were keen operators, especially for balfbreds of short staple, shabby and inferior grades. It is mto see the Americans again in strong evidence. There are certain super Koniney wools that especially suit them, and are generally spoken of ns ” American style.” and for which they are always willing to pay very full rates, at all events Bradford sees to it that they pay top prices. Lambs’ wool was in very good demand, competition coming from several sections, and fortunately there was a fair quantity available. There was an excellent clearing of offerings, and although it cannot be known until the actual figures are worked out what was the •amount of the advance, the general opinion appears to bo that prices are from id t<> 4<l higher. With the sales at Napier and Wanganui this week a considerable quantity of wool will change hands and it is estimated that lietween January ’27th and L ebruary 4th, about £1.250,000 will be paid over to growers. There is no doubt that confidence lias been restored to the wool market and the undertone is one of firmness. If counter sales of finished goods show any expansion it will be speedily reflected in the raw material. For the confidence that exists in the wool market the growers can claim the full credit. By meeting the market and selling at current prices they have encouraged the buyers who have louud the growers ready and willing to accept 1 reasonable prices. The wool market is T now in a very sound and healthy posi- ' tinn. and it has reached -this _ stage without any interference of politicians. : It has needed no Control Board or other semi-political organisations to rcstore stability to the wool market. It has worked out its own salvation and on sound economic lilies, T he wool market is our most stable market, and the most satisfactory one. Tts whole arrangement is good. Growers can see their wool in the stores, can see it valued by both brokers and buyers. The growers can fix their own reserves, [ and they can see the wool sold, A

fortnight after the sale the wool cheques are in their possession. What better system can there be? it is certainly better than the system oi marketing adopted by the Control Boards. The sheepfarmers would he well advised to hold to the present system of marketing wool.