BRITISH TRADE.

Hokitika Guardian, 3 August 1927, Page 1

BRITISH TRADE.

fortnigfitly review. STOCK EXCHANGE PRICES REVIEWED. LONDON, July 30. The Stock Exchange opened with a fair amount of liveliness, hut the approach of the holiday became the dominant factor and generally quiet marets ensued, but prices were maintained to. a surprising degree of strength. Gilt-odgeds were very firm, with sonic recently-issued Colonial stocks in steady demand. The movement of exchange to 15 discount against Australia is attributed to the material reduction in the London funds of Australian hanks. This partly seasonal development assumed large proportions owing to Australia’s heavy imports, while tiie outlook for the coming Australian export season is less favourable owing to the severe drought in some districts. NATIONAL TRADE POSITION-

Commentators derive cold comfort from Sir P. Cunliffe-Lister’s inquest on tho national trado position in the House of Commons. The “Economist” says: “The most notable feature of the debate was the revelation of deepsealed uneasiness among all parties.” The volume of net imports for the first quarter of 1927 came to 132 per cent. and for the second quarter to 127 per cent, of the 1913 figures, while exports for tlie same period were only 75.7 and 78,J per cent, respectively of the 1913 figures. Britain’s adverse trade balance has grown from £70,500,000 in the first half of 1913 to £209,500,000 this year. The “Economist” expresses the opinion that the nation is living on invisible receipts to a more significant extent than before the war, resulting in a lower capacity to make capital investments abroad. INDUSTRIES IN AUSTRALIA.

The “Yorkshire Post” thinks Air Pratten, Australian Minister of Customs. was over-optimistic in reference to the British manufacturers’ probable response to his invitation to start branch factories in Australia. It

•say.s : “There is a feeling in industrial circles that Australia or the time being would be better advised to develop her purchases of British manufactures. Industrialists are most willing carefully 1o examine tlie prospects of establishing Australian branch factories. but. told Afr Pratten that the necessary long credits cannot at present he obtained as a result of the recent Commonwealth loan", which is regarded, as ominous for those 'socking further credits for Australian enterprises, ami there are doubts~'ns to \\ bother Australia’s rate of immigration warrants the immediate building of branch factories at heavy Australian first costs.” WOOL TRADE.

The last wool sales revealed the sound standing of raw material. Tho Home trade was the largest buyer, taking 56.700 hales, compared with the Continent’s 19.600, nevertheless the manufacturing end of the trade is far from satisfactory, there being far too much standing machinery. This condition of affairs has been so pro longed that it lias given rise to a search for an heroic remedy. Correspondence in the Yorkshire Press has shown the growing opinion that tho industry needs reorgnnisaton of direction and collective action. It is burdened by a multiplicity of small firms, tho sending up of costs by frequent handlings of? goods 4 nnd numerous profits between the raw material and the finished fabrics. Combinations of all processes under a single management. collective advertising and Hie search for trade are being influentially advocated. DATRA' PRODUCE.

Trade in Australian and New Zealand batters lias been disappointing for the past month, chiefly owing to heavy supplies of European descriptions. Production in Europe lias been maintained at flush point fur much longer than is usual, owing to the heavy rains. Germany has not taken her normal share of Danish, resulting in heavier shipments of this butter to London. It is interesting to note that Denmark forestalled the speculators, by u recent Act compelling the casks to be stamped with the date of manufacture, thus enforcing immediate marketing. Australian and New Zealand butters seem, however. to have touched bottom. iKuropcan supplies this week began to show a reducton all round. Stocks in cold stores are below last year's and the outlook for the immediate future presents a. healthier aspect.

MEAT WAP ENDING. The “Investors’ Chronicle’” understands that a definite agreement has been reached between the \ai ions companies concerned in the Argentine moat war. The Anglo-Dutch undertaking will bo closed, its poiccntagc of exports being distributed between the remaining smaller firms, Vestcy's and the American packers having adjnstei their differences long ago. All the companies remaining in the ti.n< have between them undertaken to find £OO.OOO yearly lor six years to pay the Anglo-Dutch Company's debenture interest. The only remaining difficulty is the freights, on which the conference has not reached an agreement .