DROP OF 40 PER CENT.

Auckland Star, Volume LXVIII, Issue 283, 29 November 1937, Page 4

DROP OF 40 PER CENT.

WEAK WOOL MARKET. —*— i HOPES FOR NEXT SALE. QUANTITY SOLD PRIVATELY. Woo] prices were 40 per cent below those of a year at the opening sale in Auckland on Saturday. I-. .iiainl was fairly keen at the reduced levels. however. and farmers showed their confidence m the market by placing hiirh lescrvtt* on their offering*. In most. r-H«(« they adhered to these reserves, and when bidding wtopp<d lower the wool was panned in. At the sale only a third of tlie catalogue was sold, but brokers estimate that another 10 per cent was disposed of privately afterwards. I |i to the sale everything was in the d.uk. A dtop was expected, following Uic decline at the Ixindftii and Sydney sales. but it« extent was a matter for speculation all over the world. Business at the London sales and on the Bradford tops market in the oriwsbred section had quietened down considerably, partly due to operators waiting to see the result of the Auckland sale. The demand for wool in rill countries still secnis to Im l keen, and fanners are hoping for a recovery in uhe market before the next Auckland sale on January 24. I he buyers who were present on Saturday have gone on to Napier, where the next sale will be held on Friday. The allotment is 28.000 bahw. but it is expected that al>oiit 25.000 bales will be offered. Official Report The Auckland Wool Brokers' Association reports that the first Auckland wool sale was held at the Town HalJ, with an offering of 2».0U0 bake. Approximately 30 to 35 per cent was sold at auction, the competition being fair, within restricted limits. The Continent was the principal buyer, with the lorn] mills competition for the super halfbred lilies.

Hogget wools were shorter anil finer than usual. In-ing thus particularly suitable for Continental requirements, but did not command the usual premium. The sale proved better than Ivrokers 'had first anticipated, due to the operations ot the Continental buyers. Compared with last season's opening sale prices generally show a reduction of about 40 per cent, although some lines show a «till greater drop. The individual offerings wire: — X.Z. Loan ami Mercantile Agencv Company. Ltd '. .-.*;«*■ Dnlgoty and I'■•tiiiMiny. Ltd 7444 Abraham and Williams. Ltd 4102 .Mfnwl Riickliiml anil Sons. Ltd. ... 2039 Farmer-' «"o-o|>erall ve Auctioneering Co., Ltd.. and North Auckland Farmers' Co-op., Ltd., in conjunction 5065 23,300 Range of Prices. The range of prices was as follows. November, 1936, prices being shown for comparison:— 10.1". 1030. <i. d. Southdown A .... 11 to 12 Hl'fol'nj Southdown It 0} to 10} ltij to 111 Hnlfhrc.l. .Ml 5S— F.xtra super 15 to I*s — Super — to IS 23J to 2« Average 13 to 14} 19 to 23 Halfbred. .10 ,-,r>— Super 13 to 14 17 to ISJ Average 11} to 12} 15 to 16J Extra Fine Crossbred. 48/50— Super 11 to 12 16} to 18 Average I*l} to 11 15 to l«j Inferior 9 to lo — Fine Crossbred, 46/48— Super 10J to 103 IT, to 17 Average 0} to 10 14} to log Inferior 8 to 9} — Medium Crossbred. 44/46— Super 10 to 10} I*l to 17 Average 9 to ftj 13} to 15} Inferior 8 to U — Coarse Crossbred, 40/44— Super Mr to 10} Ift to I*s Average Of to Of 13} to 14} Inferior 8} to 9 — Strong Crossbred, 36/40— - • Super 10 to 10} 14 to 15 Average •>( to ftj 121 to 131 Inferior 8} to 9 — Hoggets — 52 s*l 11 toll} — 50 50 11l lull _ 4* "0 0} tii IMJ 1.-,} to 17 4*!'4« 91 to 10} 14 to 1C I .a nibs — flown, crossbred . — 12 to 13} Fine _ i» to 15( •Medium — 12J1 to l.'ljj Seedy and inferior — ti to in Bellies anil Pieces— Crossbred : Cood to -iiper .. 7} to «} 11 to 12} Low to medium . ti to 71 9 to IOA. Halfbr.d : Belli.■« and pieces 8 to 9} 15 to 17 Crtitrhlngv— .Medium to good 7 to 9 11 tnl2t Inferior to seedy. 1 to *}} 9} to 11 f.ffl-k*— ,p Crossbred 4} to 5J f! to S] HIGHEST BIDS DECLINED. AVAIHKKK WOLL HELD OVER.

All the highest bids of the sale were declined because they were below the vendors' leservcs. Waiheke wool, as usual, btout-lit the best oilers, 17d beinu bid for two lots, one comprising 11 bales of tine haltbred grown by Gray Bros.. Mnn-o'-\Var Bay, Waiheke, and the other e ; ght bales of halfbred from Mr. 'YV. J O Council, Cowcs Bay. Both lots were passed in.

One of the best prices paid for lambs' wool was realised for five bales sold on account of Mr. C. Bayly, Glorit. For Corriedale wool the best bid of 18d was turned down by Captain G. A. Humphrevs-Davies. ( levedon. A lot of fine halfbred lionets' wool offered on account of Messrs. Chamberlain Bros.. I'onui Island, was passed i n at the same figure.

LONDON OPINION.

PINE WOOL MAY IMPROVE

CROSSBRED PROSPECTS DOUBTFUL

(Received 11 a.m.)

LONDON", November 28

London wool salon have not brought any increase in confidence. Messrs. Dawi*on« and Sons, commenting on the outlook, declare that it in overshadowed by depressing general conditions. Fortunately stocks of fine wool in Britain are litflit, and the trade should be in a good position to support values when the wheels of industry begin to accelerate. The immediate difficulty is that orders are not coming at the same rate as production. Everything points to an increase in business in the spring for fine wools, but the outlook for crossbreds, especiallv the lower grades, is obscure. Consequently a readjustment of values for the coming New Zealand season may be drastic.

CONTINENTAL DIFFICULTIES,

LONDON", November 28. A mefceage from Paiie state* that a delegation of French wool interests has strongly protested to the Government against the proposed tax of 8 per cent on export« of certain woollen goods. A telegram from Rome reports that the, Italian Government has authorised heavy increases in the prices of woollen textiles. ian(fin« from 60 per cent in the ease of pure wool anil 3a to 65 per cent in respect of yarns. Retailers are allowed to make a proportionate increase to enable profits to be maintained at a rate fixed in September, 1936. Importers are compelled to pay the Government an exorbitant rate for foreign exchange needed to import wool from Australia. j