THE WOOL POSITION.

King Country Chronicle, Volume V, Issue 404, 14 October 1911, Page 3

THE WOOL POSITION.

While there are ample reasons for the present decline in the values of wool there are equally cogent reasons for regarding the downward movement as a temporary affair and one of the inevitable fluctuations of the market due to special circumstances. Broadly speaking the demand for wool is greater than the supply, that is to say that while production remains stationary, or at most shows very little expansion, the number of cosumers of wool increases at a ; far greater ration. This fact must assert itself in the long run, consequently it is safe to predict that values will recover and recover speedily. During the past fifteen years there has apparently been an a-ctual decrease of about 5 per cent, in the aggregate sheep flocks of the world although through improvements in breeding the production in wool has not decreased. On the other hand the world's wool-using population has increased during the same period by about 100 mllilons. These are, of course, estimates, but even if heavily discounted the position still remains favourable fur wool.—Mercantile Gazette.