EFFECT OF WAR ON WOOL. (Melbourne Argus.)

Waikato Times, Volume XXIV, Issue 2016, 9 June 1885, Page 2

EFFECT OF WAR ON WOOL. (Melbourne Argus.)

A wh-k or two ngo, wh<>n war with Uiiusia appeared to be imminent, eonsielerahle speculation was indulged in by wool men as to tlic probable effect that an outbreak of war would ha\e effect upon the value of wool. On the one b.intl, it was contended that the want of confidence in the futuro, even if it did not affect the actual consumption of woollen goods, would produce a hand-to-mouth policy among the de.ilers in them, and would thus iciluce the demand for wool on the part of manufactures, while at the same time tho general disinclination to hold stocks of material would be Ukely to fovce the value of wool still further down. On the other hand, however, those who take what may be termed tho optimUt view of tho matter contend that placing laigo armies in tho field would stimulate enormously the manufacture of a low class of woollen goods for umfoim, and that the activity in the dock} aids and arsenals would revive tho iron and shipbuilding trades, and by increasing the wages paid would thus increase the demand for woollen goods on the pai tof the operatives. The only published opinions on the subject which we ha\e met with are those of Messrs Moit and Co., of Sydney, who seem to incline to the opinion — which it is difficult, indeed, to avoid — that an outbreak of war would still further depress the value of wool :—: — " Wool.— The war with Russia, now almost inevitable, which for nooks past lias chiefly occupied iiiou'h minds, in, of enuisu, likely t) have its boating on our staple industry an well as on othei bi. inches of tiade, and in the absence of ti.ui^ictious of importance hero, interest centres in the com se which the market i« likely to take mi the opening of tho third mien of h.ilos in London on tho 4th Juno next. By that date wo may assuino th.it tho question of poico or war will havo been definitely nettled, and in the event of war it will then appear whether tho effects lrnve been all-end y discounted or if we may look for n still fui tlicr full in n n market already so se\t < M'ly depressed. Should Russia bo quickly and decisively beaten, wo look with soido confidence for a reaction in tho incrki'ts for wool and all other produce, an was tho case after tho lTianco-l'i unman war, but thoie is no wiying what might bo tho end clFt'cts of a protracted struggle, involving perhaps Kmnpoan as well as Asiatic complications." With the moral with which their argument is conclueleel all must agree :—: — "In any cane, it is manifest that woolgrowois should, at such a ponod as thiH, piep'iie tht'insolu's in e\oiy pntmblo way against exon WOl-.0 timos *,c) como, and aparo no effort to mako tho bent of a, bad market by funding thoir clips down in the most nttinctivo condition. In a timo e>f depiction it is always tho inferioi and faulty lots which sutl'or most, and whatovor may "bo thei advantages orothorwuo of deep skirting and careful clawing whon tho market is strong and buyers keen ft>r wool, them cannot, wo think, bo u ejuestion as to the advisability of clwo attuutioti to thodo pointi now,"