WORLD WOOL SITUATION.

Press, Volume LXVI, Issue 19851, 12 February 1930, Page 14

WORLD WOOL SITUATION.

AN AMERICAN REVIEW.

(rnoif oto own correspondent.) SAN FRANCISCO, January 6. According to the monthly report of the Bureau of Agricultural Economics of the United States Department of Agriculture, just issued in Washington, production estimates for ten countries which supply a little over three-fourths of the world's clip, exclusive of Russia and China, now point to a clip in the neighbourhood of 2488 million pounds of wool or about the same as the previous year. Including the carryever from the 1928-29 season, supplies at the beginning of the current season were estimated at about 1$ per cent. above the preceding season. The ten countries alluded to are United States, Canada, United Kingdom, France, Germany, Argentina, Uruguay, Australia, New Zealand, and the Union of South Africa. Under th« 3 heading of Canada, the Washington report says: "It is now possible to make an approximate estimate of the 1929 Canadian wool clip due to the recent receipt of official sheep returns for the year. Wool pro- ! duction is now estimated at approximately 21,000,000 pounds, an increase of about 7 per cent, above the large clip of 1928. Preliminary sheep returns show that in June, 1929, there were 3,728,000 sheep and lambs in Canada compared with only 3,416,000 in 1928, an increase of 9 per cent. Of this

number 1,686,000 were reported ai adult shoep against 1,910,000 a yeai ago, and 1,686,000 as lambs, againsl 1,506,000 last year." The story of Australia is embodiec in the following statement: "Reports state that toward the middle of No vember seasonal prospects in Australia had improved considerably. While ther<; have been unofficial reports to the ef feet that the estimate of the Australian clip may be revised downward no official confirmation of this has been received, and the latest estimate still stands at 925,000,000 pounds, compared with 950,000,000 pounds in 1928. fn South Australia, where the drought was the worst in the history of the State, sheep numbers on June 30th, 1929, were estimated at approximately 7,000,000 including winter lambs, compared with 7,900,000 on June 30th, 1928, according to Consul Thomas C. Wasson. The flocks have been heavily depleted by mortality due to the drought, states the Consul, losses being estimated at over 500,000. This State, however, supports only about one-fourteenth of the number of sheep of Australia." Concerning Argentina, the Washington review states: "The clip has been slow in arriving on the market in Argentina, and the supply of super-coarse crossbredß is scarce. In Patagonia, where the fine crossbred predominates, shearing was satisfactory, and the wool is of much finer quality than that of last season. Moreover, the break in the staple so noticeable last season is not in evidence this season." In Uruguay the wool clip is estimated at about 8 per cent, above the previous year. Owing to the dry winter the wool is relatively free from defects, the quality in general is superior to that of the last clip, and the length of staple is considered up to standard, states the Anglo-South American Bank, Ltd., in its weekly report. The quality of this season's wool in the Union of South Africa is reported

aa sound, dense, and full of life am lustre, according to Mr B. P. Hannon president of the Port Elizabeth Pro duce Association, states Assistan Trade Commissioner Edward B. Lawson The wool is brighter, more showy, lea dusty, and possibly slightly mon greasy than last year's. The Depart inent of Agriculture has given notic< that, the Government intends to tak< the necessary steps to impose a tota levy of 24 cents on each bale of woo exported from the Union, beginning January Ist, 1930. An inspection fe< of one cent per pound and a special /e< of 23 cents per pound will be levied or each bale, according to a Reuter cablt to the "Yorkshire Observer." This fee was proposed at a conference of leading wool farmers, representatives of agricultural and wool organisations, Government officials, and members of the wool trade, states Assistant Trade Commissioner Lawson, for the purpose of having a fund available for research work organising wool farmers, and conducting vigorous publicity campaigns in South Africa and overseas to encourage the use of woollen materials. Wool supplies in the two largest primary markets, Australia and Argentine as indicated by receipts into store and stocks on hand were smaller at the beginning of November than they were a year previously at the same time. Smaller supplies from these two countries are to be expected | for the season 1929-30 due to reported I decreased clips as a result of drought, says the Washington review. In addition offerings at all Australian centres were being reduced 33 per cent, up to Christinas, whjle after that date they were to be spread evenly as far as possible up to June 30th. Up to November Ist receipts into store in those two countries were about 6 per cent, below the corresponding period of 1928. Shipments, too, \&re 12 per cent, below a year ago with stocks'on hand about two per cent, lower. 01 the 5,217,000 pounds of wool shipped from Argentina from October Ist to November 7th, 1929, approximately 41 per cent, came to the United States and 26 per cent, went to the United Kingdom. In Uruguay, where an 8 per cent, larger clip has been reported for the year, shipments for the first part of the new season from October Ist to November 7th have greatly exceeded these for the same period of 1928, amounting to 879,000 pounds, against only 162,000 pounds the previous year, according to the report in the review of the River Plate. Most of this large increase in shipments, however, probably consisted of wool of the preceding clip, as a considerable o,uantityu was reported as carried over into the present season. The bulk of the wool went to Italy and France. No wool up to that date had been reported as shipped to the U.S.A. or to the United Kingdom. Owing to the reported 20 per cent, fall in prices at the early London sales and reports of largo stocks on hand in consuming countries the Uruguay Government was taking into consideration the lowering of export duties on wool, according to a report from Consul General C. Carrigan, Montevideo, dated November Ist, 1929. I fc was P ro P ose d to lower the Customs valuation or raw wool, washed and semi-washed woo! from 22.88 dollars per 1001b to 18.48 dollars, the new values to jjo into effect immediately and remain effective for three months. There has been no export duty on washed wool, but. the raw and

semi-washed wools each pawl 4 per cent, on the above valuation. The duties and other taxes on 100 pounds of raw or semi-washed wool amounted to one dollar 21 cents in each case. New Zealand Wools at Boston. Domestic wools in the United States declined one to three cents a pound on a grease basis at Boston and from one to six cents on a scoured basis during the past month, with most of the declines taking place at the early part of December. The greatest decline was in 3-8 blood, strictly combing, which was three cents lower on a grease basis and six and a half cents lower on a scoured basis. Threepighths blood clothing wools declined five cents on n scoured basis. New Zealand wools at Boston declined from two to five and a half cents a pound, except 56s to 58s, which declined seven and a half cents and 58s, which were 11 cents below the price of November 2nd. Australian wools were mostly unchanged at Boston, except 64s to 70s, which wore from one and a half cents to three and a half cents higher, and 565, which declined one and a half cents during the month. South American wools declined one to three cents a pound grease basis Little interest has been shown in Boston in offerings of Australian wools for import. A few orders have been placed on merino wools, both of _ Australian and South African offerings, but the business has been smaller than usual. Private cabled reports to member* of th« wool trado hnvn indicated, however, that the markets on fine wools abroad have been somewhat firmer. Imports of wool into the U.S.A. for ten months were considerably greater than the previous corresponding period, and amounted to 238 million pounds, compared with 205 million pounds previously. Carpet wools showed the greatest increase. Wool i consumption for the month was the greatest of any month in the year, 59,351,974 pounds being used, 12 per cent, being foreign wool. Britain reported importing 49 million pounds of wool for the month, as against 34 millions the corresponding month of the previous year. Unemployment "increased in the British wool textile industry during October, as indicated by the number of unemploved registered at Bradford. Huddersfield, Halifax, Dewshury, and Batley..