THE FLOUR MARKET.

Taihape Daily Times, Volume XI, Issue 3394, 27 January 1920, Page 6

THE FLOU R MARKET.

PROSPECTS OF A RISE.

CHRISTCHURCH, January 24

Now that,the sugar situation has eased a little, an abnormal demand for flour has developed in the city, and as millers are unable to‘ cope with the position, supplies are being regulated. Grocers limiting quantities’ in most cases to 251 b lots. Two f-ac=l torshave largely given rise to the pre- I sent position. One is that there is a probability of a rise in the price of the new season's flpur’ and the other is that before the season is over there may be either a scarcity or the'qu;ll- - may deteriorate. Millers ’stocks are low, as they are on the‘ em; of a mew season. They sitae that if the, demand had been normal thepresenti trouble might not have occurred. In‘ any case, in their own interests.mi]lers are likely to prevent grocers,‘ bakers and others from stocking up flour at its present rate in case there is to -be an increase shortly in price. The position as to supply is being somewhat accentuated as one large mill has been. closed down for’: several weeks for overhaul of machinel'y_ Some relief is now in sight, for the Kauri is at present in Lyttelton with 26,000 sacks of Australian grain. A good deal of this, of course, may be kept for mixing with new Wheat. This will be necessary to take the place of the Hunters’ and Pearl varieties, the Sowing of which has fallen off, and is required “to strengthen the fiour.” It is not known whether the price of flour will be raised to correspond with the_ increase in _the price of wheat ‘at present mil-lers are paid a. subsidy, and flour is thus kept down to £ls per ton. _The”s3’stem of subsidy apparently is’. to be retained, but but the amount ma ygg revised. In any case it is poijssibe ‘ttgt Imillers may be allowed 1:6" c_’"li‘é.’r"§B“’a' higher price for bran, one rsi""éll‘é jbgy.-produpts_ of wheat, as an offset:to_é‘h_y increa,§e in the price‘ of ‘flouryiviwhether bran could stand ‘the’ ‘rise in price will“debend on that ruling for chaff. Last season chaff was dear, and bran could have sold at a higher ,price. The whole subject, it is under.st‘o’ocl, w'iTl be dis. cussed at a conference between the Government and the flour_.millerS_