TEA MARKET.

Auckland Star, Volume LXIX, Issue 125, 30 May 1938, Page 4

TEA MARKET.

1 CALCUTTA SEASON REVIEWED BRITAIN'S INCREASED DEMAND. SURTAX IN DOMINION. Tn a review of the Calcutta tea season, 1937-38, Heath and Co. (Calcutta), Ltd., states that Australia and New Zealand were still unable to place any material orders on the market. The reasons of previous years still applied, namely, the proximity and value of Java teas, coupled with the demand for the predominance of (pylon flavour in blends, in the case of Australia, and the prohibitive surtax applied to Indian tea in New Zealand. The review proceeds:—"Almost the only really satisfactory feature of the shipment figures is the greater weight taken by L'uited Kingdom provincial ports during the year. This market offers considerable advantages for that trade, and provincial buyers are likely to be supplied , in au increasing degree in future by direct shipments from Calcutta. Although it would have perhaps been preferred to see, a large portion of the crop distributed to outside markets, the extra 30,000,000!b shipped to the United Kingdom will greatly assist in replenishing etocks there, which at the moment is universally deemed necessary, and in bringing the market down to a level where buying can again be general. Canadian shipments were slightly ahead of last year, and it is satisfactory to note that the hold obtained by Northern India tea in that market is at least being maintained. Shipments to the United States were nearly 2.000,0001b down on the previous year. This can largely be attributed to the recent stagnancy of trade generally in that country, and to the extremely bearish view that many American buyers took of the future. There was certainly much more inquiry from that market towards the end of the season, but by that time there was little suitable tea available. It is expected that the coming seaeon will see a resumption of regular business with the United States —the level of price is likely to be more attractive, and there should be much more confidence in the future of the market. Buying for Iran was on a smaller scale. Shipments were less than half those made during the 1936-37 season. Disappointing Quality. /'Despite -theCfaet that prices'-jn^Cal-cutta compared favourably \y'ith ttidSe of rithef markete for a great part of : the time, orders during the first few nionths of the season were scarce, as, with • the expectation of lower rates later in the year, moet buyers wished to delay making purchases a* long as possible. Demand from the large London blending houses was sufficient, however, to. keep the market steady until November. The quantity of well-made leaf grades offered for export was again somewhat restricted, and, after the first few sales, suitable t.vpes were usually well supported by American operators, particularly the better liquoring sorts. Medium teas met with good competition, and on the whole real* ised satisfactory prices. Fine tea was in small supply, , and- sold readily. The standard of quality from all districts was lather disappointing. Early Dooars and Darjeelingfl were below average, and second-flush Assams included few outstanding invoices, although there was a fair weight of quite useful medium tea offered. It ie to be regretted that during the year so many teas were unnecessarily mixed and showed evidence of coarse plucking. The standard •of the requirement*) of United Kingdom blenders and dealers, as well as the American and Canadian trade, is higher than it has ever been, and it is sometimes difficult for buyers on this market to secure their quantities of tea up to the requisite standard in this respect." FEVERISH PACE. i 1 SPECULATION IN GOLD. I ——— DEVELOPMENT IN LONDON. (Received 0.30 a.m.) LONDON, May 29. A message from London states that on the Stock Exchange, while interest is almost entirely lacking in 6ound investment stocks, plenty of money is available for speculation in gold, which is proceeding at a feverish pace. Confidence in the future of jra'd has revived in the past week. The price of the commodity has gone up to £7 0/9. the highest level since the beginning of the year, while shares in gold mining companies have been subject to keen speculation. COMPANY AFFAIRS. SOUTHERN REGISTRATIONS. The registration of the following pri-' vate companies ie published in the Mercantile Gazette:— N.Z. Petroleum Company, Limited, Wellington. Capital. £250,600, in 600 A ordinary sharee of £1 each and 250,000 B ordinary shares of £1 each. Subscribers: Melbourne—Shale Oil Investigations Proprietary, Limited, 200 A; Vacuum Oil Proprietary Company, Limited, 200 A, 125,000 B. Wellington—California Texas Investment*, Limited, 200 A. 125,000 B. To carry on business of extracting, pumping, drawing, transporting and purifying and dealing in petroleum and other mineral oils and incidental. j New Dominion Canneries, Limited, 1 Greytown. Capital, £2050, in shares of £1 each. Subscribers: Greytown—F. C. Bunny, 1000; O. L. Robinson, 1000. Wellington—P. A. Reeves, 50. Manufacturers and packers and canners of and dealers in jams, preserves, fruite, etc. GISBORNE GAS COMPANY. 3TEADY PROFITS EARNED. The net profit of the Gisborne Gas Company, Limited, for the year ended March 31, was £1051, compared with £1007 and £1119 in 1936-37 and 1935-36, respectively. A dividend of 4d a share, equal to 1 2-3 per cent, compared with 3d t share (1% per cent) in each of the three preceding years, ie recommended by the directors. INCREASE OF CAPITAL. Wiseman (Frank), Limited, Auckland. I Capital increased by addition of £2000 j beyond registered capital of £3500.