BRITISH TRADE

Hokitika Guardian, 22 April 1931, Page 8

BRITISH TRADE

FORTNIGHTLY REVIEAV. STOCK EXCHANGE DEPRESSED. MANY ADVERSE INFLUENCES AFFECT MARKETS. fUnited Press Association—By Electric Telegraph—Copyright, j LONDON, April 18. The cheerfulness which -prevailed on tlie Stock Exchange before Easter unfortunately has not been maintained. During the past ten days there lias been a succession of untoward events, and the cumulative effect lias been to depress markets all round. Among these may be mentioned the weakness ©I many commodity prices, the revolution in Spain, the unfavourable reports presented by numerous Home industrial concerns, several being compelled to pass dividends laid traffic leuirim from the Home railways, a fresh relapse on Wall Street and last but not least, the critical news from Australia. And, in addition tu a|[ these, is the imminence of the Budget I and the fear of increased taxation. i

in the face of this array of unfavourable factors it is not surprising that prices have given way all round. The only satisfaction is that fho declines, so far, have not been serious. AUSTRALIAN FINANCE.

It might have been expected that Australian stocks would have unproved on the announcement of Lie British Govcrmnent’s war debt concession but it had little effect. Yesterday, However, news of the Commonwealth Bank’s ultimatum of no further finance for the Government, caused a general marking down, Imt tiiom was little pressure to sell, and the action of the Senate in rejecting the Fiduciary issue Bill has to some extent, improved the position. APPLE SEASON. The Australian and »w Zealand apple season has not opened 100 well, 'me demand so far has been disappointing, though the quality of the fruit, generally, has been more satislactury than early arrivals in som 1 recent years. Those apples are meeting with competition from other sources, especially the United Stales, whence shipments continue to he very heavy. In the four weeks ended April 4 the aggregate shipments from North America to Europe totalled 1,720,000 boxes. As, during the next ten days, the prospective arrivals from all sources will lie nearly 400,000 boxes, of which Australia will provide 232,000 and New Zealand 10,000 boxes, it, can liardlv be expected that prices will improve. DAIRY PRODUCE. Butter remains in good supply. Prices continue steadily to decline, as importers and retailers alike do not desire to carry stocks, and there is a general desire to keep clearing. Consequently stocks are in moderate compass, being about 200.000 boxes compared with 661,000 a year ago. but prospective supplies are heavy and Continental production is sßndilv increasing so that the policy ol selling seems justifiable. Tli e Empire Dairy Council announces Uiat Siberian butter will lie arriving in large quantifies this year. Tlie total is expected to amount to about 17,500 tons. This will be considerably in excess of any post-war year, but Russian imports before the revolution were very much larger, amounting to 41,723 tons in 1016. SHIPBUILDING.

Commenting on the parlous condition of the ,ship-building industry, disclosed in Lloyds returns, the “Statist” points to the fact that shipyards, with a productive capacity of over three million tons, only have work in l and amounting to under 70,600 tons This moans that only one berth out of four is occupied with vessels under construction and it is abundantly clear that this capacity to build over three million tons is wholly excessive and a sheer waste, for since 1922 there has never been more than 1,600,000 tons of shipping on hand ,in the yards. It is estimated that a capacity to build 1,500,000 tons of new shipping annually would he adequate for present day requirements. The simple fact is that shipbuilding i s haiulicap]>>d by the extraordinary development of tbe post war boom of 1919-22. when that industry ros n to heights of production that promptly saved British «hioping from disaster, but is never likely to be required again, unless the world experiences another war of like character.