BRITISH TRADE REVIEW.

Auckland Star, Volume LXI, Issue 165, 15 July 1930, Page 4

BRITISH TRADE REVIEW.

DISQUIETING RETURNS. WEAKNESS IN TEXTILES. LONDON, July 12. The Board of Trade returns can only be regarded as disquieting, for they show a decrease of exports for the first six months of the year of £65,000,000 and, a decline in imports of £63,000,000, compared with the same period in 1929. The outstanding feature of the export trade is the heavy fall in the sale of cotton and woollen goods, of which practically all countries are smaller buyers, especially Germany, France and Eastern countries. Another feature is the reduction in exports, especially luxuries, to Australia. For instance, motor cars exported thither in June were valued at £150 only, compared with £11,700 in June, 1929- Lord Inch cape at a meeting of the P. and U. Banking Corporation gave what may be accepted as the main reason for the decline in commodity prices, when he attributed it to the world-wide over-production, particularly of raw primary materials. Lord Inchcape argued that until this surplus of supplies over demand is overtaken by the world's consumptive capacity we cannot expect to see a stabilisation ot prices sufficient to restore confidence, which has been disturbed by the sev ere depreciation that has occurred. With the trade of Britain in this unfortunate condition, it is satisfactory- that the tone of the Stock Exchange is confident and that investment securities show considerable strength, British funds especially being in demand, with prices tending upward. Details of Trading. The details of the Board of Trade _ returns for June show that the principal decreases were as follow:—lmports: Grain and flour, £897,000; raw cotton, £1.466,000; wool, £1,504,000. Exports: Coal, £550.000; iron and steel and manufactures thereof, ' £681,000; cotton yarns and manufactures, £2,590.000; wool and woollen manufactures, £1,231,000. The principal'increases were:—lmports: Wood and timber, £766,000; oils and fats, £1,133,000. Exports: Vehicles, £2,254,000. Wool Position "All Right." Discussing the wool position, the "Yorkshire Observer" takes an optimistic view. It says: ""Before the London sales were opened the movement in the buyers' favour was expected to be much more drastic than has occurred. Accordingly the effect of the Coleman Street test has been to create a feeling of greater confidence and banish the fear of any marked departure from values. "The opinion is now freely expressed that the recent depressing influences have had comparatively small effects upon that sensitive instrument the Coleman Street sale room. Its latest.record is a distinct encouragement toward the view that wool is all right, and may be regarded as having been hammered down as far as it is likely to go, at any rate this season.'''