THE WOOL SITUATION.

Taihape Daily Times, Volume XII, Issue 3650, 11 December 1920, Page 5

THE WOOL SITUATION.

LONDON, Dec. 8. The report of the Ministry of Mutions says: The value of the Ministry's Australian and New Zealand wool at cost price is approximately sixty millions, comprising 2,500,000 bales, of which about'half ia in England or in transit. In the present extremely difficult position of the wool trade, forced realisation of this sixty millions worth would be impracticable, and would ruin the entire wool len trade in this country if attempted, quite apart from the fact that Australia and New Zealand are interested in the profits realised from the sale* from Government wool. Thus complete liquidation of Colonial wool cannot be effected for some time to come.

Commenting on the Melbourne Conferences proposal to establish a wool realisation association, the Yorkshire Post says: The scheme is . obviously intended to place power in the hands of Australian wool-growers to dictate the value of merinos to the rest of the world, but twenty-five millions 'will not be nearly sufficient to accomplish the object, even if the British Government wool department were disposed to relinquish the control they now exercise over two million bales. The average price of Australian wool is now £35 per BaTe, but the Realisation Association's proposal appears to be that the two million bales "must he Te-sold to them at £l2 10/ per bale. Therefore the suggestion is not serious business proposition.