Manawatu Herald. TUESDAY, MAY 19, 1903. N.Z. Hemp.

Manawatu Herald, 19 May 1903, Page 2

Manawatu Herald. TUESDAY, MAY 19, 1903. N.Z. Hemp.

—•. * ■ —- No one can help being surprised at the supineness of the New Zealand hemp miller who seems contented to live from hand to mouth not careing what may come after. This is the result of the millers working on their own account without combination, and they lay themselves open to much mischance by their apathy. We had once a Flax Millers’ Associa-' tion, about which a great flourish of trumpets was made, and as this was the product of low prices the millers in (he hope of getting more took some interest in the proceedings, but directly prices rose the Association was neglected until it is.now as dead as Julius Caesar. In all other occupations interest is being taken to assist its developement and we can imagine what the dairy industry would be like now had the same apathy been shown as the flaxmillers have exhibited in their industry. No business can be left to the accident of chance, good fortune may prevail for a time but indifference must be the ruin of it in time, not necessarily total cessation, but most certainly the non reaping of the best of prices. We are led to these remarks by what is occurring at the present time in flax. Millers are plea-ed at the prices offering but do nqt know, neither do they apparently care, why such prices are given. On the 31st March last the Agent-General cabled from London, “ The hemp market is dull. The price of good fair Wellington, grade on spot to-day is £33. March shipments, £3O. April shipments, £29 10s.” In contra-distinc-tion to this the broker’s report at Manila on the same day was there is “an almost entire absence of demand, values have steadily declined and we quote Albay -current nominally £3O 8s Bd.” Remembering that the freight from Manila to London on fibre is only £2 per ton we thus find the N.Z. hemp being saleable at the price at which Manila could have been purchased and landed in London. Is it not worth tho millers’ while to be more certain on the point why this is so ? We also know that since those dates prices have risen considerably though we have not been informed by cable how Manila has responded to the rise in our fibre. This matter we have brought under the notice of the Department, who do not as yet see the important bearing it would have on this Colonial industry which brings in some £250,000 a year of English capital. We hope it may soon be realised.

Until we are placed in the position of being able to watch the rise and fall of Manila we are placed at a disadvantage in estimating the import auce of the fluctuations in the London market. It is ■ declared by some buyers, that the rise is due to anticipatory sales by speculators. It may be so, but though it sounds unfortunate to have a leading industry subjected to speculation it must be remembered that the most of our fibre has been for years sold to speculators, that is, to men who buy fibre to sell again, as it has not certainly gone direct to the manufacturer. Some may go direct, but those who know tho English manufacturer knows that there is a no more conservative person, who only buys what ho needs for Ins present requirements, and is prepared to accept the increased prices ho may have to pay at the time he needs an increase of bis regular purchases. He dislikes the idea of - laying up a

store of fibre which might perhaps be a trifle cheaper in the market than that at which he, purchased. Thoroughly believing this,,the idea of speculators being at work means that the fibre purchasers are discerning a greater demand for N.Z. fibre than has been, and that they are merely desirous of having fibre on hand to supply their general customers. If this is so the idea of rash speculation being indulged in, in the hope of fancy prices in the near future, is happily able to bo dismissed. There is no doubt that though in our opinion much of the N.Z. hemp is used for other purposes than rope and twine, still our hemp, for binder twine, holds the premier position to all fibres, as being strong enough for all purposes and is' cut' quicker and easier on the reaper and binder than Manila. The rise in our hemp appears to have been prompted by the expected immense harvest in Canada and America, as we gather from the latest Californian news ;-*-A special from Winnipeg, Manitoba, dated April IGfch, says:—The immigration party of the Rov. Mr Barr’s is said to be the largest movement from England. The immigrants number two thousand. The Dominion Government have reserved for the colony the even numbered sections of land in forty-nine townships. The odd numbered sections belong to the railroad companies, and are held for sale. Altogether the Government grants to Mr ■ Barr’s settlement a total of about half a million acres. From Cbici-g; we learn that the Government forecast is of the biggest winter wheat crop in the history of the country, and there is prospect of an immense acreage of spring wheat and corn. The question is being seriously raised as to whether the railroads will be able to handle it. The report from Tacoma is that “ Though the season is very late an immense acreage of spring wheat is being sown in the eastern Washington districts. State Grain Inspector Arrasmith and Grain Commissioner Reed have returned from an inspection trip through the wheatfields. They report that. high prices have stimulated producers to sow every available acre to grain. Unfavourable conditions last fall reduced the area sown to winter wheat by 50 per cent. The total wheat crop is likely to exceed last year’s record by 10 to 20 per cent if the conditions for spring grain remain favourable. The Spring has been so late that seeding will not be finished before May 10th, Which is a mouth later- than usual.”

Taking these facts into consideration we need not be surprised at efforts being made to secure fibre for the expected twine demand for the coming harvest.