WOOL PRICES.

Taranaki Daily News, 4 December 1920, Page 5

WOOL PRICES.

TEN PER CENT BELOW 1914.

.PREVENTING SUDDEN DROP. By Tolwapfc.-—Press Assn.—Copyright. Received Dec. 3, 0.45 p.m. London, Dec. 2. Mr. Hope, in the House of Commons, replying to a question regarding the wool sale reserves, said it was probable a certain amount might be held if the prices offering were accepted more freely, and the highest estimate thereof was 100,000 bales. Bid's actually refused totalled 25,000. The Department had two objects in reducing the reserve price slowly instead of sharply, firstly, to prevent a sudden fall which might have had" disastrous results, and secondly, to prevent the market being forced down by the action of this country, which might be regarded by the Dominions as precipitate and inimical to their interests. Wool growing is vital to Australia and New Zealand. Prices were artificially kept low from 1916 to 1919, and wool prices were now ten per cent, below the pre-war prices estimated in gold currency. On the contrary, almost all other agricultural psoduce was fifty to a hundred per cent, above pre-war prices. Thus the course ©5 wool prices has been bitterly disappointing lo Australian'and New Zealand growers. The Department, he added, felt fully justified in avoiding the suspicion that it was aggravating their difficulties.— Aus.-N.Z. Cable Assn.