The Southland Times. TUESDAY, APRIL 19, 1870.

Southland Times, Issue 1239, 19 April 1870, Page 2

The Southland Times. TUESDAY, APRIL 19, 1870.

It is quite evident that the recent news of a fall in the markets has operated as a check upon the flax industry in this colony. At all events we are aware that in. our own immediate neighborhood operations have in some instances been suspended, in others considerably curtailed, and in all are carried on with less buoyancy than hitherto. There can be no doubt that, caution is to be observed, and that those embarking in the trade, having already done sufficient to test the foundation of their peculation, are act-

ing wisely in reducing considerably their further outlay until they know the result. Fluctuations in price were only what might have been, in fact what were, expected, and consequently none are much surprised, nor will, we believe, the late decline have altogether an injurious effect on the development o£. the industry. That it will temporarily retard its expansion is only reasonable, and that it may divert fof^a while capital from being sunk in it is also probable, but a result will possibly accrue which will more than counterbalance both these evils. Those already deeply interested in the new material, under the impulse of necessity, will be forced to give their utmost attention to the improvement of the fibre, and by conse-r quence to the mode of its manipulation. With a raw material of such excellent quality to work upon, manufacturers must not rest satisfied with competing with the common Manilla, but strive to produce a fibre adaptable to the construction of finer fabrics. The cost of production must also be reduced greatly by means of improved machinery. £16 per ton is far too high a price for transforming the green leaf merely into the crude article as baled for shipment, and must be lowered by something like one-half before it can be said that the price of production is commensurate with the results obtained. These are the points —improvement in machinery and quality of fibre —to which mill-owners should direct their attention chiefly in the meantime, and we have no doubt that they will shortly find greater encouragement than ever in the prosecution of their enterprise. It is worthy of special remark that it is only the medium and inferior kinds which have suffered so decided a depreciation, the finest qualities maintaining about their former high values. By next mail news may be of a very different nature. In the interim it is probable that large shipments of better dressed flax will have reached the market, and that experiments in process when last mail left may have turned out favorable to the article, and thereby have established it in the good opinion of manufacturers. In the course of a month or two there is no doubt that the material will have attained something like a fixed value to serve as a basis for further operations, and in the meantime-there is but little occasion for apprehension as to ultimate success.