THE BREADSTUFFS AND PRODUCE MARKETS

Otago Witness, Issue 2892, 11 August 1909, Page 22

THE BREADSTUFFS AND PRODUCE MARKETS

t j.r. * Friday, in the absence of recorded sales from London it may be assumed that the market there is fairly quiet (as wag, indeed, the report of the lest cabled: information) in anticipation of the announcement of the \Pu i° f the P re6ent European' harvest. With the near approach of that, buying would be restricted as far as possible ia order to gain the advantage of a possibly easier market", and this holding back tendency has in itself caused a quieter tone to prevail on the present stocks of old wheat. The European crop was not expected to be anything sensational as regarded quantity, but was anticipated to> be of good average yield. Of the other wheat-growing countries of the world, Canada has been the one which has made the greatest extension in sowing area; Australia has also been extending her operations, and recent cabled advice was to the effect that one State had increased its wheat area by as much as 18 per cent. ; Argentine, the greatest wheat producer of the world', experienced an unfortunate season for cowing, and her crop is not expected to equal kst season's product. Some estimates have placed the deficiency at as much as 30 per cent. The British Consul, under date May 27, wrote of the season as follows : — " The present season has been the driest experienced for many years, and for the pas* three months practically no rain has fallen in any part of the Republic. The drought is more particularly felt in the south, and the effect of it has been accentuated by recent frosts. Stcck-owners .have been sending large quantities of cattle to sales in various pares of the county and in consequence the price of cattle is unusually low. The drought and cold have made the ground so hard that ploughing is quite impossible, and little or no land has as yeb been prepared for &etd. Even should abundant rain come, it would be very difficult to have the same area prepared as j was plonghed last year, and in any case the harvest is likely to be late, and so the growing crops will be exposed to destruction from, locusts." If these anticipations of a shortage ia Argentine are realised, it will probably bo of such an extent as to fully equalise the greater production of other wheat-growing countries, and thus ; place the production of the world on much | the same level as it was at last year; thus, if the consumptioh is maintained the same (in the natural course of events it should somewhat increase), it would seem to be ai least extremely probable that high prices will continue to rule during the coming season. India reports good prospects, and the United States winter yield has been fully up to the average. Heavy sowing i» being done in New Zealand, but no data, is available from the farmers for an estimate of the increased percentage to bo made. From London, under date June 25, " Beerbohm " simply reports that " there* has been a continued good demand for the Continent, and an improved demand for the United Kingdom this week both for 1 cargoes and parcels afloat, and for near shipment, the result being that prices have further risen about sixpence per quarten since last week. It may be noted thatt out of 53 cargoes sold from the English! coast since June 1, 37 have been for Antwerp and Germany, 2 for other Continental ports, and only 14 for United Kingdom ports." A comparison of the imports in the 10 months of the present season with the total imports of the past four years is given aa follows. la the figures 000 are omitted:— *■ Total for - .19 month* - Still ■ Attg. Ito «nded to be May 31. July- 31. imported, Qrs. Qrs. Qrs. 1908^09 .. 41,427 *sdfloo 14,573 1907/08 .. 44,395 52,225 7,830 1906/07 .. 47,088 58,800 11,712 1905/06 .. 52,000 63.000 11,000 * Estimated required imports. The position shown indicates that a muchi larger amount has to be imported during 1 June and July than in either of the previous years if the estimated requirements for the season are to be reached. This, it is now <juite apparent, will not be the case ; it is doubtful, indeed, whether last; season's total of 52.225.000 quarters will be exceeded! so that it is quite clear that stocks in Europe will have to be further drawn upon to make good the deficiency in tho imports. The Australian market has also experienced an easier tone m consequence ofi tho Inck of animation in the Home market, and Sidney prices at the end of the week stood "at 5s 2d, with tho other centres in corresponding ratio. Tho "Sydney Mail of July 28, reporting