THE BREADSTUFFS AND PRODUCE MARKETS

Otago Witness, Issue 2895, 8 September 1909, Page 8

THE BREADSTUFFS AND PRODUCE MARKETS

Friday. | Early in ti&e wtoek the cablegrams re- ; ceived were to the effect that "the wheat ; market is very inactive. Buyers are I indisposed to deal owing to tha uncertainty I regarding tjie result of tl»3 world's har- j vest. There is a pressure to sell Russian j and Canadian wheats, but there is little i inquiry for cargoes." Att. Aufitrajian. j cargo was quitted at 41s 6d, quotations , averaging 41s 9d to 42a. Tbe crop prospects, for the world, as indicated m Beerbohm for July -23, are' that yields, equal <£a the past averAgee will . k be the 'f«eo« mjteost countries, Argentine prob£bly v .J>3ing, jflfe ex<?eptioh. Owing to ' the dcongnt tra^, seed sowmg. was late, but tne fi«ri«^fiuml authorittes, in- -an advance bulletin, have asserted that the ; ordinary acreage was sown, though probably the lateness of the work will affect both ifoe yield aad tbe time of harvest. The London authority reviewed the position as follows: — "A change to summer weather con- ■ ditioos has Had an immediate effect upon the market, causing buyers to hold aloof, and leaving prices diffio&lt to maintain, especially for distant shipment. New trlieat it now mating its appearance upon T&ier markets of Southern ana South-eastern Europe, and both Russia and 'Roumaoia are offering freely of their new crops, attracted no doubt by the high prices obtainable. -As far as the crops of England, France, and Germany are concerned we are still,- to a great extent, dependent upon the weather -during August, which means that weather markets will still prevail more or less for some time to ° come. In the meantime millers are pursuing a policy of abstention, awaiting the period when the supplies of home grown wheat will be ample for all jOTM-poscs, and a lower level of prices consequently be possible. JSo far, h.ow«Ter,x t>he> demand may be said to exceed fhe sunply, and wheat . immediately _ available coptinues to command high prices. Wikh regard fothe future course of prices, this will, of coHrse, depend upon tbe extent of tbe supplies. 'In . this abnormal season with* stocks everywhere exhausted, it is almost usa-less io refer to jiast years' exports as a possible guide to exports in the immediate future; but it is quite dear that the derceind will b& very large> and the ' shipments,' therefore, also no -doubt will correspond. "We have every reason to believe that Russia will be a willing seller of her new wheat at present' feigih prfese. vrhioh wm ako no 1 .doubt have the effect, ac was the case ; last year, of causing farmers generally ; in Europe to sell their wheat freely in -j the first _ part v of the coming' -season, to tbe partial exclusion of foreign. One reali&ss, therefore, the probability of prices giving way under th)s pressure to sell and tbe desire of farmers generally to take advantage of the unusually high prices now obtainable. But, as we showed in last week's review, unless the. world's j wneat production in the coming season ■X far exceeds present indications, any serious j decline in prices is not likely to be permanent. As there rwiains only another week to «kjse tine present shipping st-ason, it « interesting to compare the total exports (wheat and flour) for a number of .seasons past. At this date last ywu- i>ur suggestion was that European importing countries would require over 58 million quarters; as a matter of fact, the «<rfcua! imports will be far below this total, not because the wheat was not wanted, but because it could not be obtained. The ! oefictenoy in the shipments has, of oowse, x *° roet v drawing upon reserve stocks; hence fche (present general exhaustion of stocks, and henr«e the present high prices. The actual' shipments to Europe during the 12 monfchs ended July 31 will 1 mi*" ? total of abou * 55.500,00Cqre, and .will thus compare with previous years, as follows:— . j >

There are indications of increased requirements m the coming season', but there are indications also of a smaller surplus in both America and Argentina. The Australian market shows no movement from last wile's figures. Sydney remaining at 4s lid and Melbourne and Adelaide at 4s 6d. The current Town and Country Journal advises to the following effect:— "Those of the New South Walet ; farmers who still have on farm or at ■ country station an unsold ba T ance of last summer's wheat are faced with a serious problem. Every time there has been a ' rise in the Sydney market they have held , tor a penny or twopence a bushel in ex- ! cess of the current rate. This policy of holding has been overstrained -in New ' , South Wales, with the result that the ' Victorian and South Australian holders of • farmers and sppculative grain ava now trviner to undersell the New South Wales wheat-growers: This phase is not reassuring for the New South Wo les arower, ! especially in view of the splendid pros- j pects for the New South W,-»les srowinjr ' crops, and of the set-back in London and Liverpool. At such a juncture the New j South Wales wheatgrower has ' to consider ! what he can get — not what he might or . ought to get. The existing facts have to be faced, and. in order to get an adequate j iftsight into these, it is necessary to closely j study the inter-State position. It has also \ to be borne in mind that the whole of , the New South Wales wheat areas have ' had soaking showers. Advices from Coolamon, for instance, state that the ; I wheat-growers there can do without further | i rain for another six weeks, and have no

misgiving about bridging the critical month of October in safety. Melbourne still controls a fairly large aggregate of choice milling grain from last harvest (some from the Wimmera, the Mallee, and Goulburn Valley, and some Riverina gro-vn). The New South Wales wheatgrower should not shut his eyes to what are undeniable facts. Melbourne is offering f.a.q. grain at 4s 7d a bushel, f.0.b., which would pan out at a Sydney landing cost (all charges) o^4B lo£d. South Australian wheat is offering to Sydney at the same f.o.b. figure, bur the higher freight would make the' Sydney landing cost a farthing to- a penny more per bushel, as compared with Victorian grain." . The Australasian, of August 28 'writes : — " The course of the Melbourne wheafe mar- . ket has been an irregular one, though at' the close a little more steadiness is apparent. Sales of small parcels to arrive from the country have been made at prices ranging down to 4s 6£d, but for fair-sized parcels 4s 7d is quoted. Millers continue to operate only from hand to mouj^h, as the sale of flour for local consumption is still comparatively moderate, while export busi-, ness is, not very readily effected. Business in new wheat for next season's delivery is quiet, the market closing- afc 3s lid to 3s ll£d. Komi.—T he local demand is rather quiet, and the association basis for ordinary trade parcels has been reduced to £11 delivered* A moderate business lias been -dona for export at lower rates." No animation is yet ' apparent in the local wtfeat" positron, and in the almost total absence of business nominal rates obtain. The New South Wales market j contains a lesson to holders in New Zea- ' land, though there certainly is a- stronger position locally than obtained there, 'owing i to the further distance- of harvest time ! and the absence of possibility of competi- J tion from, other than local sources. It j almost appears as though locally top price had been reached and passed, and those holders who- continued their previous policy of keeping a few pence above offers will perhaps have to accept a lower figure before the old crop is eased completely. On the other hand, it is possible that once the London market finds its level under the new crop conditions — and if that level in face qf the strong statistical position of, the world proves fairly high, — a strengthening influence may become apparent in the [ local market, so that if millers are forced to buy to any es.teas holders'' anticipations may yet be justified. The association's tariff for flour, is : Saoks, £10 15s; 100% £11; 50's, £11 10s; 25's, £11 15s. The shipping price, is £10' 10s f.0.b., and the Invercargill price is £11. Pollard £4 por ton, both f.o.b. and locally; bran, £3 5s legally, and £3 per ton f.o.b. Oats remain <*h", and although there are lines on offer sales are practically nonexiptenfc. Nominal jprices vemain. therefore, at about 1» 10d for A grade Gartons, Is 9d for B's, and about Is B£d {or B grade sparrowbills — a11.f.0.b., s.i. Oatmeal remains at £10 10s per ton, and pearl barley, at £14 10s. ' Batter and Cheese. Under date London; July 16, advice waa that ".tfce^ Sew- Australian and New Zealand butters in store in London are moy- ! ing off gradually. The new season will probably open with bare boards. The Lon- j don buyers are already begumig to inquire when they may expect the first arrivals of new -season's bixbbefr from Australia, and New Zealand. It is to be hoped thai the J season w£H start early, as it. sem«s that choicest qualities will be badly wanted in London by" the EngHsh As regards cheese, advice was that there was practically no New Zealand cheese offering them a* the shipment by tbe t Arawa bad been well cleared,. It, was re- , garded as satisfactory "that shipments were still being made, as " many of the London buyers will be able- to cooKbinioe using j«ew i Zealand cheese right <Sn." The price of ( finest wbibe New Zealand oheeae was 61s, j and finest 'coloured. New Zealand ateo 61s ; | while Canadian (finest white and coloured) ranged from 58s io 565. j Locally no change in price is fo be re- ' ported save in butter and eggs. In the former dairy pats and milled lines have «asad to 8d per Ib, -while c.gigs have also ■, fallen to from 1M to -ll£d per dozen. In gemetral, business is restricted and quiet, but, of course, the approach of thS' bank balancing period of September 30 accounts in «, measure for the lade of aggreesive buying. | Detailed quotations are as follow : — Chaff.— Prinae eaten chaff, £2 12s 6d to £2 16»; medium to good, £2 5s to £2 7s 6d ; light and inferior lots, £1 15s per ton and upwards (sacks extra). Potatoes.— Prime Up-to-Dates, £3 10s to £3 12s. 6d; medium to good, £3 2s fed to , £3 ss; inferior, £2 per ton (sacks in). j Butter.— Dairy pats, 7£d to 8d; milled, ' 7£d | to 8d; separator pats, 9£d; bulk, 9£d; Taieri and Peninsula oats, llijd (id rebate for cash) ; Taieri and Peninsula bulk, 11 Id. Ghees©.— : Home shipment, s^d per Ib ; , local lots, 6d to &id per Ib. | Straw.— Oaten, 27«. 6d to 30s . per ton ; , wheaiten, £1 5s per ton (pressed ex truck). Clover hay, £2 10s to £2 15s per ton. | Onions.— Melbourne, £8 to £8 10s; Can- : terbury, £6 10b to £7 per ton. I Eggs. — Freeh. 11-d to Hid pet dozen; stamped, Is l>d. Ba«on.— Rolls. Bid ; flitches, 7d : hams, j 8£<l; bacon pigs, 4|d ; pork-ers, A^d. j Poultry . — Hens, 3s 6d to 4s per pair ; j roosters, 3s> 6d to 4s ; ducks, 3s to 3s 6d ; ! best, 4s 6d ; turkeys — hens sd, gobblers 8d per Ib.

1908-09 1907-08 1906-07 1905-06 1904-05 1903-o*-1902-03 ••• grs. ... 55,500,000 ... 52,600000 ... 58,400,000 - 60,500,000 ... 61,100,000 ... . 57.750,000 • 56,650,000