AUSTRALIAN WOOL

Wairarapa Times-Age, 28 October 1939, Page 7

AUSTRALIAN WOOL

SUPPLIES WANTED IN U.S.A. SPECULATION AS TO BRITISH POLICY. DANGER OF ACCUMULATION ■ SUGGESTED. By Telegraph—Press Association—Copyright. NEW YORK. October 27. The wool position in America, particularly the fate of the current Australian clip, is not only causing discussion in American circles but has posed an extremely difficult problem for Australian producers. Groups interested in Australian wool here are comforted by the thought that Britain will probably release Australian wool on the American market, but it is conjectured that this wool being used to create dollars may be held for overhigh prices, causing a diminution of demand and encouraging substitute fibres. Wool interests stress that America remains the outstanding customer for Australian wool, particularly fine merinos, the demand for which is diminishing elsewhere because of the war. The current Australian clip should be appearing voluminously in American warehouses, but none has been seen. It is asked, if fine merinos are not released here at a reasonable price, will there not be a post-war accumulation so great that it will be impossible to dispose of it except at a large loss? Furthermore, it is felt that America is a permanent market for Australian merino and the prosperity of the Australian wool industry is largely influenced by it. Wool interests emphasise that everyone in the wool trade is interested in increasing wool consumption in the United States, which at present is anxious for supplies. The only hope, therefore, is that Britain will quickly announce a plan by which fine merinos will be made available to American manufacturers and regularly and reasonably priced.