WORLD'S WOOL CLIPS.

Auckland Star, Volume LX, Issue 52, 2 March 1929, Page 4

WORLD'S WOOL CLIPS.

ON THE INCREASE. WILL DEMAND KEEP PACE? Following on several years of increasing values graziers in .all sheep raising countries have been encouraged to augment j their flocks, and the question is raised i whether demand will keep pace with the increased supplies.. Writing from Sydney on January 16, Winchcombe, Carson, Ltd., said: At one period the Argentine pastured 80,000,000 she >p. In 1922 her flocks totalled only 36,209,000. Cattle to a great extent had replaced sheep. But, like most other countries, the generally satisfactory level of wool values over the past five years encouraged the wool industry. Production of the staple in that country in 1924 was 280,000,0001b. The latest figures show a production of 331,000,0001b. Only about 15 per cent, of that quantity is Merino. P'ine crossbred comprises 29 per cent, medium crossbred 25 per cent, and coarse crossbred 31 per cent. Argentine wool is, therefore, not a great competitor with the Australian staple. But that tendency to increase wool production is mildly in evidence in most countries, and has been since 1922. In that year the world grew 2,670,000,0001b, and at the latest dates 3,100,000,0001b, an increase of 16 per cent. The cheering part of the development is that despite the advance in wool production. the staple is realising as much money to-day as it was in 1922-23, when production was so low. In that year the average price per bale in Sydney was £23 5/9. To date this season it is £23 3/1, the small discrepancy showing being to some extent due to lighter bales. The most amazing phase of the maintenance is that over those years the amount of wool used by women has steadily decreased. The cashmere and similar fabrics in which the women of years ago were dressed have passed out of fashion. So have women's woollen hose. Men have been largely faithful to the sheep's product, and it is to a large degree their trade which is responsible for present-day wool demand. Special trade in sports wear goods has also contributed. What the Future Holds. Concern for the distant future is whether, if the world's chip continues to increase, values will be maintained. Fashion, of course, may change wome. s clothing. But up to the present the advancing use o£ wool in the East must be credited for the absorption of the world's increased wool supply of the last few years, and the maintenance of values on payable levels. No person can say what development will occur in Eastern countries. Japan's manufacturing growth has amazed millmen elsewhere. China is almost an untapped sphere for the use of woollen goods. Latterly her economic life has been disrupted, but that disruption may be the forerunner of a vast change. It will only be history repeating itself if it is the dawn of a marked alteration in her mode living. She has the resources, wealth and tireless working energy to develop marvellously. Ten to twenty vears hence she may be using wool freely." and if she is Australia must be one "of her chief sources of supply. The argument that wool prices must go down appreciably if supplies increase may consequently have the ground knocked from under it. We would not attempt to prophesy what the distant future holds But we do not think it is gloomy for the sale of the staple. So far as the current clip is concerned, indications all point to its ready sale at rates in the vicinitv ot* recent figures.