SURPLUS WOOL PROFITS.

Taihape Daily Times, Volume XI, Issue 3402, 5 February 1920, Page 5

SURPLUS WOOL PROFITS.

NEW ZEALAND ’S SHARE.

STATEMENT BY MR MASSEY.

WELLINGTON, Feb. 3.

A statement was made to-day by the Prime Minister relating to surplus profits on wool resold by the Imperial Government, in which profits New Zealand producers share equally with the Imperial Government. Mr Massey said: “It will doubtless be of interest to wool growers to know that the latest reply received to representations made by the Government to the Imperial authorities for an early settlement of interim accounts to enable distribution of the Dominion’s share of profits on wool transactions under the Imperial Government requisition to be made to growers is to the effect that final settlement of the question is impossible until an agreement is reached with the various Allied Governments as to rebates on wool disposed of to those Governments entitled to inclusion in the Partnership arrangement with the Dominions. It is pointed out that the whole matter is of great magnitude, and difficulties have been accentuated owing to drastic and compulsory reductions in the staffs of the Imperial Government departments concerned. Growers may accept my assurance, however, that no .effort will bo spared to secure a settlement in the shortest possibly time, and preparations have already been made at this end which will ensure prompt distribution when necessary particulars are received from London and funds made available. Whil e on this subject I would point out that so much' has been stated in press reports regarding the enormous profits made by the Imperial Government on its Australasian wool purchases, that it will do no harm to examine th e position as far as New Zealand wools are concerned, and may avoid disappointment to those growers who, basing their estimates on the information referred to, may have an exaggerated idea of the amounts they are really to receive. Very high prices have been realised at London sales, but it is a far cry from coarse and medium greasy scoured wool, for which extreme prices have been paid in London. However, prospects appear very good of a large aggregate sum ultimately being made available to Now Zealand growers, which it is proposed shall be distributed as promptly as possible as instalments are made available by the Imperial Government. The Dominion’s wool clip may be roughly divided into the following classes: Merino 1.5 per cent, half bred 7.5 per cent, fine crossbred 15 per cent) bedium crossbred 16 per cent, coa. se irossbred 30 per cent. An examination of catalopes of London sale s picked at random, discloses the following interesting position: —

4321 bales Wellington wool, !•)'B-1919 clip, sold in London, August, 1919, the first price being New Zealand valuation, the second London sale price, and the third average per lb margin. 33 bales halfbred—lß-21|d, 31-42 d, 172-94. 545 bales fine crossbred —152-20 d, 22331 d, 9.42 d. 3140 bales medium crossbred —14J--181 d, 19,30 d, 7.41 d. 18-21£d, 4.61 d. 603 bales coarse crossbred —14-16 d, 4321 bales average margin per lb 7.36 d. 762 bales Napier wool, 1918-1919 clip, sold in London, October, 1919, the first price being New Zealand valuation th e second London sale price, and the third average per lb margin. 9 bales halfbred—l7-20d, 18.16 d. 44 bales fine crossbred —15|-17d, 253 3d, 12.53 d. 443 bales medium crossbred —14-id--16|d, 20-31 id, 8.24 d. 266 bales coarse crossbred —13-16 d, 17-28 id, 7.77 d. 762 bales, average margin per lb 8.45 d. 684 bales Napier wool, 1918-1919 clip, sold in London, October, 1919, the first price being New Zealand valuation, the second London sale price, and the third average per lb margin.

31 bales fine crossbred-~15‘3;-17d, 22§-34, 13.8 d. 512 bales medium crossbred——l4§;-17d, 19.1,-35d, 9.5346. 141 bales coarse cro‘ssbred——l4%17d, 83%~40d, 6.98 d. 684 bales, average margin per lb, 9.2 d.

89 bales Nagier W-001, 1917-18 clip, sold in London, August, 1919, the first price being New Zealand valuation, the second London sale price, and the third average per lb margin.

89 bales seedy pieces and lambs" 7-2'l‘-10a}d, 9.13 d, 1.23 d. 704 bales Auckland wool, 1918-1919 clip, sold in London, October, 1919, the first price being New Zealand valuation, the -second London sale plfifiey and (the third average per lb margin. 9 bales fine crossbred-15?;-17-Ed, 29—31-;a, 13.72 d. 581 ba.les‘medium crossbr+ed———l3-164,16, 17—30 a, 7.1 a. _ 114 bales co'.3.‘rse crossbred-14-"153-d, 18—25 d, 7.2 a.

704 bales average margin per lb, 7.19 d. 1307 bales Timaru wool, 1918-1919 clip, sold in London, August, 1919, the. first price being New Zealand' valuation/ the second London sale price, and the third average per lb margin. 89 bales merino—19|-21c\, 82-8194 d, 16.87 d. 38 bales halfbred—l7i-2Ud, 27-45 d, 20.85 d. 705 bales flue crossbred—lsi-18|d, 22-3 Id, 9.62 d. 475 bales medium crossbred—ls|17M, 22-251 d, 7.35 d. 1307 baleg average margin per lb, 9.63 d.

From the margin shown have been deducted all charges,incux-red from the point of delivery of wool b ygrowers into brokers’_ store in New Zealand, viz.-~ Brokers’ charges for “cataloguing, stacking, etc., lvaluers’ expenses, s’corage, delivery charges f.0.b., insurance (fire marine, and war risk), ocean feight, landing, dock charges, and storage at destination, sale and delivery charges in London, interest on purchase cost, etc., etc.