WOOL MARKETING SEASON

Taupo Times, Volume II, Issue 96, 20 November 1953, Page 9

WOOL MARKETING SEASON

OPENING AWAITED BY IMPORTERS SUPPLIES REQUIRED Yorkshire and Continental importers are awaiting with special interest the opening of the New Zealand wool marketing season this month. Trading conditions in Bradford encourage the hope of an active demand at the early saies since New Zealand wool stock in trade hands are srnall in relation to the needs, and the new season's wool is needed as quickly as possible. Since the last New Zealand season closed in May medium crossbred combing wool has advanced in price by about 6d a clean 1b— from about 74d to 80d sterling— for 48/50's quality, the latter price being paid at the recent London saies. This is a price which has been forced by the temporary shortage of wool between the seasons, and it remains to be seen if importers will be required to bid a similar price for the new season's wool. Most crossbred topmakers have sold tops to the full extent of the wool held and many have recently refused any further business as they have nothing to offer in tops until they buy the new season's wool. Many will be obliged to buy for supply continuity, and this points to a strong opening. Consideration For N.Z. The factor which favours the outlook for New Zealand is that Britain has lost the recently ruling currency facilities for importing Argentine crossbreds. The Argentine market is now virtually closed to United Kingdom wool importers, which suggests that there will be a still larger proportion of the British demand for crossbred wool on the New Zealand market. On the other hand the competition of the Argentine wool will be met in other markets, as the Argentine is reported to have entered into barter agreements to supply her wool to certain other countries in return for their exports. The dominant consideration for New Zealand seems to be that Britain, traditionally by far the largest buyer of New Zealand wool, continues to consume it at an extremely high rate and holds little or no surplus stock at the opening of the new season. Britain's output of crossbred tops (combed wool) is now at the highest level since the end of the war, and more business could be done if quicker delivery were available, but many topmakers have already sold under contract all the crossbred tops they will be able to produce this year. They mostly hold wool against these orders, but they must buy wool for further business and are refusing to take more orders until they know the price which they must pay for the new season's New Zealand offering. World trading conditions are not at all favourable, but Yorkshire approaches the new crossbred wool marketing season with reasonable confidence.