“GOLDEN WOOL.”

Manawatu Herald, Volume XXXVIII, Issue 1590, 22 July 1916, Page 4

“GOLDEN WOOL.”

PHENOMENAL YEAR FOR NEW SOUTH WALES. NEARLY 101 MILLIONS REALISED. Absolutely the most remarkably successful year in the history of the Sydney wool trade was brought to a conclusion yesterday (says the Sydney Morning Herald of July Ist). A drought prevailed overlarge areas of the State; there was a shortage in wool production of some 1)0,000 bales; yet there was an increase in the sales of over 154,000 bales, and an increase in the realisation of over live and a-half millions sterling. Nearly 700,000 bales were sold at an average that promises to come out at about £l4 13s per bale, greasy and scoured, which totals some £10,242,000, as compared with some 544,500 bales last season at £l2 Os 2d per bale, realising £0,738,708. This season’s New South Wales wool production may be put down at about 800,000 bales, which, at £l4 13s per bale, gives a total of £11,720,000. All the previous season’s clip could not be disposed of in the 1014-15 year, consequently a proportion came into the 1915-10 selling season; hence there is the curious seeming anomaly of 87,631 bales less coming to the seaboard during the year, the sales larger by 154,720 bales, and an increase in the exports by 88,055 bales. The unexpected happened during a greater part of the season. When the war started, it was difficult to determine wool values for the want of buyers; when the last auctions closed the values could only be determined after the sales, owing to the unprecedented demand at extraordinary limits. It was a war period from start to finish; and only possible by the navy commanding the seas, and enabling wool to be shipped to any destination except that of the enemy The previous statistical wool year opened normally, except for a darkened political horizon in the Balkans; this speedily was turned into the excuse for the world war, which starting live weeks after the commencement of the 1914-15 wool season, resulted in the absolute paralysis of the wool trade, not only in Sydney, but in the wool markets of the world. Wool values were difficult to determine, there were no precedents to indicate the probable course of events, and trade was dislocated for several months; there were no dramatic victories by the enemy, such as the taking of Paris or crippling the British, fleet, consequently it was possible to ship and sell wool without enemy hindrance. Gradually a sound system of wool selling was developed, the market was dieted —not over-fed — and the 1915-10 season that closed yesterday enjoyed the full fruits of the wise policy pursued in the previous statistical year.

All the wool was sold subject to the brokers reserving to themselves the right to refuse the bid of any buyer at auction or to cancel the purchase by any buyer acting on behalf of a principal in Germany or Austria ; and the conditions of payment as agreed upon between the buyers and the brokers in Ma; of the previous season. Slightly disturbing factors came into being early in the season, such as an embargo on crossbreds. This was operative against the Allies as well as neutrals up to the end of September, when it was lifted to admit of Americans as well as the Allies securing supplies. Large quantities of crossbred were taken on American account from the beginning of October to the middle of January, when the embargo to America was ro-imposed at the instance of the Imperial Government. The embargo against crossbred to America from New Zealand was imposed several weeks earlier than in the Commonwealth; hut it did not adversely affect values at the large sales in the Dominion.