BIG REDUCTION

Waikato Times, Volume 127, Issue 21176, 27 July 1940, Page 5

BIG REDUCTION

SHEEPSKIN PRICES FRESH APPRAISEMENT SHORTLY REVISION OF SCHEDULE (By Telegraph.—Press Association) CHRISTCHURCH, Friday A, revision of sheepskin prices after July 27 is expected to cut current rates substantially, some authorities say by as much as a half. . Bradford merchants have advised the Dominion control authorities that the state of the sheepskin market does not warrant maintenance of the present fixed schedule. Accordingly, all brokers have been advised to catalogue their holdings of pickled skins as at July 27. Appraisement will take place a few days later on the basis of the old schedule, and after this appraisement the new series of prices will be announced. One reason for the revision is the loss of the huge French market, which vanished overnight with the capitulation to Germany. The industry plays an important part in New Zealand’s role as a primary producer. In 1939 17,537,830 skins were exported, with a total value of £1,614,613. The effect of this reduction will be fourfold. Farmers will receive a lower return per head for their stock, butchers will lose on the transaction because their margin of profit will be cut by lower selling for skins, the public will probably have to meet increased retail prices, and New Zealand’s sterling funds abroad will be affected.