WOOL DISPOSAL.

Taranaki Daily News, 6 May 1921, Page 8

WOOL DISPOSAL.

BUYERS CONDEMN B.A.W.R.A. Bjf Telegraph.—Press Assn —Copyright. Sydney, May 5. The Wool Buyers’ Association has issued a statement in reply to the B.A.W. R.A. scheme, which they claim is not in the interests of the buying section of the industry. To ensure tjie recovery and progress of the industry they urge a return to pre-war free scope in supplies and competition. AUSTRALIAN REGULATIONS. Melbourne, May 5. In the House of Representatives the discussion on Mr. Hughes’ wool proposals was resumed. Sir Joseph Cook announced that the Government had decided to fix the minimum reserve price at 8d per pound for B.A.W.R.A. wool. This price had been decided upon in order to be under the profit-making basis. The Government had accepted a suggestion for regulation by the sale of one bale of B.A.W.R.A. wool to two of the current clip, and decided to control the export of jkool for six months, the suggested periodhrf two months not being considered long enough. Sir Joseph Cook continued: The Government would be no party to a monopoly in wool K or anything else. If he thought that was the object being pursued by the parties interested in the wool scheme they would obtain no Government support. After the fullest investigation he was satisfied that 9d per lb was about the present cost of production, so that the 8d suggested by the B.A.W.R.A. was below cost. The guiding principle was to stabilise the industry. Some people had suggested securing this stability by throwing the wool into the sea or burning it. These were wicked suggestions unworthy of a moment’s consideration, and another suggestion was to sell on long-dated credits to the Central Powers, but the danger was that during the currency of these long-dated credits they would be giving an immense advantage to their erstwhile enemies over those who were our allies. He had some doubts about the success of the B.A.W.R.A. scheme and in the end they might find themselves up against a free market as the only way out of the difficulty. It was a choice of two evils, and the Ministry concluded, with some misgivings. to agree to thfese proposals made by the most competent and representative body in Australia so far as wool interests were concerned. The debate was adjourned. STATE OF AMERICAN MARKET. New York, May 4. A Chicago message says that Mr. J. B. Wilson, governor of the National Sheep Wool Bureau, reports the wool situation to be the worst in the history of the United States. Nearly three-fourths of the 1920 clip is unsold, and the 1921 clip has no prospects. STRONG COMPETITION.

London, May 4. At the B.A.W.R.A. wool sale there was strong competition, and the bulk was sold at a parity with yesterday’s free wools.