CALCUTTA JUTE TRADE.

Auckland Star, Volume LVXIII, Issue 53, 4 March 1937, Page 4

CALCUTTA JUTE TRADE.

I'rivate advices receiver! in Melbourne from Calcutta by air mail announce the abandonment of the agreement for restriction of production, which has operated for the last two years. The Indian Jute Mills Association, it is reported, hae decided to accept the recommendation of its committee for a complete reversal of the policy followed in the last two years. The new proposals provide for working hours and increases of new loomage to be at the absolute discretion of individual members of the association, the arrangement to become operative from February 21. Such a decision, other things being equal, would tend to depress the market for jute, but rather strangely, now that the "worst is known," the market has been showing signe of recovery and prices are appreciably steadier, especially for near positions. The expected rise in stocks at the end of January caused no setback, and the present tendency of the market toward steadiness has been accentuated by reports of strikes in three mills in the Howrah district. Quotations received in Melbourne by cable after the announcement about the abandonment of restriction indicate an easier feeling in the market; merchants report that prices will depend largely on the acreage of raw jute now being gown, and weather conditions in. the growing period.