DOMINION WOOL SALES

Press, Volume LXX, Issue 21320, 13 November 1934, Page 13

DOMINION WOOL SALES

LOWER PRICES PREDICTED GERMAN BUYER'S OPINION (PRESS ASSOCIATION TELEGRAM.) WELLINGTON, November 12. Mr Bruno Beyer, a wool buyer for German houses,*who reached Wellington by the Maunganui from San Francisco, said he did not think Germany could buy as much wool as last year, and his opinion is that the average prices in New Zealand will be much lower. Mr Beyer said that because of Germany's diminished export trade, not enough foreign currency was available to purchase large quantities of wool in foreign markets. It was the intention of the German Government to buy in the main from those countries which were good customers of Germany. The new order of things was likely to prove a material factor in the New Zealand wool market. Germany would buy something, of course, but he did not think her buying in New Zealand and also Australia, would be anywhere near as great as last year. Argentina was a very good customer of Germany and, because of her accumulation of a favourable trade balance, she would have the benefit of the greatest share of Germany's woolbuying, with perhaps even bigger prices ruling than in any other wool market.

"I do not think prices for wool will be anywhere near as high as last season," Said Mr Beyer. "I consider that if tne average is about 30 per cent. lower than for the peak period last year it will be very good."

SYDNEY SALES GOOD COMPETITION PRICES FOR BEST LTNES IN BUYERS' FAVOUR (UNITED PRESS ASSOCIATION —BY ELECTRIC TELEGRAPH—COFYRIGIIT.) (Received November 12, 10.10 p.m.) SYDNEY, November 12. At the wool sales 10,530 bales were offered, 8950 sold, and 730 disposed of privately. The average price in Sydney last week was £l3 13s 4d a bale, or 10.5 d per lb. There was good general competition from the Continent, Yorkshire, and Japan at the auctions to-day, but prices showed a tendency in buyers' favour for best lines, all other descriptions ruling firm at last week's closing rates. Greasy merino fleece sold to 18.1 d for five bales. BUTTER AND CHEESE RECENT IMPROVEMENT

A. H. Turnbull and Company, Christchurch, reporting yesterday on the position of the butter and cheese market, states that the great improvement in the butter market during the last three weeks will be welcomed by all connected with the industry. Messrs W. Weddel and Company, Ltd., have cabled that the recovery in butter has been due to the decline in arrivals of Continental supplies owing to heavy German buying, and that this reduction in arrivals, together with the continued consumptive demand, resulted in general buying throughout the trade. In the first fortnight in October the market was extremely dull, and it was very difficult to interest buyers even at the low prices that were then ruling. However, with the German Government increasing its quota and taking large supplies from Denmark, Sweden, and Latvia, the position was immediately altered. Another factor that has influenced the market is the decision of the Australian Dairy Board to limit its shipments from the beginning of this week to 2500 tons weekly. Provided the Germans continue taking Increased quantities, and that the Australian Dairy Board maintains its policy of limited shipments, there is every prospect of a steady market being maintained. With the rise in spot quotations, forward buyers immediately began to show interest, and considerable quantities of butter have been sold for October, November, and December shipment. The highest price recorded so far has been 9d, f.0.b., but the quantity sold at this figure is not very great. To-day the market seems quieter and forward buyers are very difficult to find.

Cheese The cheese market continued steady throughout October, and followed the rise in butter during the last three weeks. Messrs W. Weddel and Company, Ltd., cable that as the stocks of cheese on spot and afloat are normal, they anticipate that the market will remain steady. There has been a fair enquiry for cheese for make-up to the end of November, and buyers have been found for December make in a few instances. Prices at which factories have sold range from 5Jd up to s\d.

ENCOURAGING RISE IN PRICE OF CHEESE [THE PRESS Special Service.} WELLINGTON November 12. It is learned from the South Island Dairy Association, which controls more than 100 factories, that a number of f.o.b. sales have been made of the output of cheese to the end of November at prices ranging from 5d to o'hd a pound. Sales at 5-] d give a better price than has been realised for a while. Production this year is a little less than up to this time last year, but it is believed that the leeway will soon be made up. AUSTRALIAN DAIRYING INCREASED PRODUCTION ASSURED The expansion of the Australian dairying industry is being maintained at a rapid rate. Heavy rains have been experienced in most parts of New South Wales, with some flooding, and a record season for production is practically assured. Representatives of all States recently met the Federal Minister for Commerce, Mr F. H. Stewart, in conference, at which, it was pointed out

(hat production of butter was rapidly increasing and that the export quota under the stabilisation scheme should be correspondingly advanced. Accordingly a decision was issued by the Minister at the end of October that 74 per cent, of the butter production of Australia during November must be exported. Of the total cheese production 56 per cent, has been allocated for export during the same period. Action by the Commonwealth Government to enforce the production of a reasonably high percentage of choicest grade butter by all factories throughout the Commonwealth ha? been urged by the Australian Dairy Council. The imposition of an excise duty of 6d per lb on margarine manufactured from imported vegetable fatshas also been requested by the council.

Further efforts to advance the industry are indicated in the announcement that Mr G. Loftus-Hills, a research officer of the Victorian Department of Agriculture, has left to conduct a scientific investigation of many problems affecting the Australian industry abroad. Mr Loftus-Hills is to study the most recent developments in dairy research in the leading countries of the world. Particular attention will be given to the manufacture of butter and to the production of butter suited to the various sections of the English market. He will also investigate the use of dairy by-products and me hods of improving their quality and the economic organisation of research in dairying in various countries. While he is in Britain he will make bacterial examinations of the Australian butters when they arrive in the flush period of the season. After he has visited Europe Mr Lofius-Hills will go to the United States. The investigations are being financed by the Melbourne University, the Victorian advisory committee of the Australian Dairy (v-ouncil, and the Department of Agric ture.