WELLINGTON NEWS

Hokitika Guardian, 17 July 1929, Page 3

WELLINGTON NEWS

/ THE WOOL POSITION. (Special Correspondent). WELLINGTON, July 10. Some faint hope was entertained by those connected with the production and distribution that prices would stabilise at the current wool sales, but now we know that nothing so cheerful happened, on the contrary, merino wools were down Id to.Lj-d, half-brods and fine crossbreds? by id, slipes ami second wools were also lower, in fact every class and grade of wool was dppressed. And the drop 'follows on the fall recorded at the May sales. The wool position is very serious for the growers and particularly for those in Australia, for merino wool has suffered much more severely than crossbreds. The Yorkshire Woollen industry pleaded very hard for safeguarding duties, but the present Socialistic Government acceding to the wishes of the trade leaves not the remotest 'chance for the change. The MacDonald Cov- • eminent is pledged to free trade, and. ’evep the small measure of preference 'granted; $0; tjle j dominions and colonies .is likely to be withdrawn. The wool'growers cahrtbt form pools. Indeed it would be useless for them to do so for „they .could not force up the price under the prevailing .economic conditions nor yet could the wheat pools and butter schemes 'raise ;the -prices of those commodities,, The . wool industry instead of endeavouring to raise prices by extraneous schemes must endeavour by every possible means to reduce costs of production.

According to a prominent Australian wool firm, rarely have growers and associated interests been so in accord regarding the market outlook and the need for steps to be taken to rehabilitate wool in public favour. This refers to the projected publicity campaign, and it is pointed out that in other directions marked success lias attended such efforts and it is entirely reasonable to j -expect rjijhat similar results 'would- be achieved for wool. Even in Australia and it ..may be added in New Zealand, theye is' a large section of the people in "ignorance regarding wool and the. influence 'it exercises in their daily Jiyes. i j; ; :i . It is,.stated,.that .Australian 'woolgrowers’are seeking ways to reduce dofcts -of production and increase output, 1 aiid it''is essential that related {industries'*; should do likewise in the interests of the trade' generally. The official estimate of the quantity of wool to reach brokers’ stores in Australia in the new season which has just begun is 2,555,999 bales. Mean prices to-day are approximately •25 per cent lower than at this time last year, with the market uncertain. Little help can be expected from America in view of the .national policy- to encourage’ domestic .production. Increased purchases by Japan may -counter-balance the restricted. buying America. Rapid progress has been made in the textile industry iii Japan. On a large scale Western habits have been developed there, and are penetrating the nation, and the change has extended to China.

, MEAT,:EXPORT TRADE. In their review for 1928 of the chilled and frozen meat trade, W. Weddel and Co. state that the total imports of frozen and chilled beef, mutton, and lamb to the United Kingdom were 890,334 tons, against 946,776 tons for 1927. In value however last year’s arrivals totalled £50,141,038, or an average of 6d per lb against a valuation of £46,916,570, or 5.35 d per lb in 1927. The total weight of chilled beef received was 478,226 tons, or 42,383 tons less than in 1927. Frozen mutton and lamb totalling 286,203 tons showed the small increase of 5,010 tons. In spite of the decrease in imports all sorts of beef were slow of sale, and only for preference in Army and Navy contracts prices of beef would have been much lower. Average value of all descriptions of imported 'beef throughout the year, however, was 10.4 per qent higher than in 1927. The total consumption of beef, mutton, and lamb in the United Kingdom in 1928 is estimated at 1,887,525 tons, of which 1,107,800 tons were home grown and 870,725 tons were imoprted. Aggregate importations of muton from all sources were 5,077,684 carcases, compared with 5,3.75,598 carcases in 1927. All the producing countries less quantities with the exception of Patagonia. The decrease from New Zealand was 126,59 L carcases. ' Supplies of lamb were 10,685,682 carcases, or 1,074,512 carcases more than in 1927.