THE UPWARD TREND

Rotorua Morning Post, Volume 2, Issue 569, 28 June 1933, Page 5

THE UPWARD TREND

(Press Assii.-

REVIVING PROS^ERiTY MR COATES REVlEWS EVIDENCE OF iMPROVED * PRICES AWAITING THE CONFERENCE

— By Telegraph — Copyrig ht\

Hawera, Tuesday. Each and all of here presenf, while awaitihg the resul't of the Ldndon oCnferenCe, can by sane tHinking aiid by trusting in ourselves and in Ihe future, help to' tid'e our c'ountry over the days that remain- — and I do not think they will be many — -until jjrosperity • in , a reasonable measure is restired," , said the afcting-Prime Minister, Rt. . Hoh. J. G. Coates, iri openirig the South Taranaki Winter Show this afterrioon. "While the thoughts of th'e people of the world to-day are centred upon the conference it is, of course, tdo early to venture upon anything in the nayture of an accurate forecast," continued the Minister,. "We do know however, that no effort will be spared either by Great Britain or by the other world powers to avail themselves to the full of the unique opportrinity of reaching an agreement on the vexed problems of to-day and of devising adequate mearis of solving them." • Results of Ottawa Referring to the Ottawa Conference, Mr. Coates said that it was i-e-eogriised that its chief object so far as New Zealand Was coricefned •sliould be to raise prices and secure our position in the British market. As a result of the conference we had beeri able tb secure the ffee entry of the majority of our commodities into the United Kingdom. Probably the most important deeision arrived at had been that which re gulated the supply of meat into the United Kingdom market, the object ' being to raise arid mairitain prices and to prevent the complete collapse ; of the market. Ben'efit bf Regulation "The results have been already f elt in all parts of the Empire," said Mr. Coates. "So far as New Zealand is concerned, they have been very beneficial. In return for the restriction placed upon foreign goods, the Do- ( minions were asked to give reliable . estimates and control their exports Within the limits of tlie estimates 1 given. The foreign exports of meat' into tho United Kingdom were restricted in the quarter ending.March 31, 1933 by 10 per cent. as compared with the 12 months total ended June 30, 1932 and would be further re4 stricted by an additional 5 per cerit. in each succeeding quarter until it , reached 35 per cent. for the quarter ending June 30, 1934. New Zealand will keep within its estimate this ye.ar tind it must be clear that the re- ; strictiori of foreign exports will have the effect sought by the conference. ; As proof of this, the prices for meat have moved up appreciably within the last few weeks. Free Entry ' Another important matter dealt ■ with at tlie conference, said Mr. Coates, had been that of dairy produce. We were able to secUre the free entry of our produce into the j United Kingdom which meant a specii fic advantage of 15s p'er cwt. to the ( Dominion. The advaritages of this ar- • rangement would be recognised for the reason that when butter was be^low 70s a Cwt the duty amounted to *221 per cent. \ The Upward Trend As revealing the upward trend of . world- prices, Mr. Coates quoted fig(ures Ifor a period of ten weeks, as , follows.: — Buttei(, choicest salted, on wholesale pricbg- at June 15, showed an increase of \23 per cent., as, against prices for April 7. Cheese; vdjite, rose 30 per cent. . and coloured 1'9 per cent. Mutton, cross-bred wethers, 48-56 lbs, rose 10 per qent. Lambs, 361bs arid under, rose 1517 per cent. Lambs, 32-42lbs, rose 33-36 per cent. Wool: Compared with the March and May saies, prices iri London had riseri over a variety of ljnes rangirig from 10-19 per cent. "Perhaps the best eviden,oe of all td ■affirm the faCts I have ju$t given," ■said Mr. Coates, "is that quotations ,on future deliveries are in advance ',df the improved prices to which I , have referred." Advancing Shares The share market was a very sensitive indicator of financial conditions i/the Minister continued, and a "sub(stantial coritimied advance in the share market could be taken as a prelude to the recovery of business gen- . erally. Recent cables had reported marked increases in share prices ori all the leading stock exchanges while , ordiriary share prices on the New JKealand exchange had shown a steady ,advance during the recent months. An official index of the market prices i of the shares of 49 important companies was as follows: Taking 1000 as the 1926 basis, the index for January yas 722, February 730, March 753, .April 773, May 795. The index, based on quotations for the last trading day in each month,': thus showed an increase of 10 per cent since January and an increase of 19.4 per cent. for May cbmpared . with 666, the lowest level recorded in April, 1932.