PROSPECTS FOR WOOL

Press, Volume LXXXVII, Issue 26509, 25 August 1951, Page 9

PROSPECTS FOR WOOL

ATMOSPHERE “MUCH MORE HEALTHY”

AUSTRALIAN SALES NEXT WEEK (N.Z. Press Association —Copyright) SYDNEY. Aug. 24. "Now that the wool allocation scheme has been knocked on the head, the new season will open in a much more healthy atmosphere,” said Mr R. Bavin, Dalgety’s wool manager in Sydney, commenting on thq decisions of Australia, New Zealand, and South Africa to maintain auction selling of their clips. “The timely announcement on the eve of the opening of the Australian sales seems to have been expected in the United States, where a few days ago, the Department of Agriculture predicted higher prices for wool this season than the closing levels in Australia last season," said Mr Bavin. "Intensified interest in the

New Zealand sales this week also indicates a strengthening of the belief that present levels are not compatible with the rising consumer demand for a definitely restricted world wool clip. "As the international political situation seems to have deteriorated rather than improved since the last season closed, there is no reason to expect that the United Nations military requirements have suddenly betome less. • Wool is now about 50 per cent, cheaper than in February, and the lower price of woollen goods will have world-wide repercussions.” The first series of the 1951-52 wool auctions in Australia will begin in Sydney on Monday. About 60,000 bates will be offered. A survey of trade circles on market prospects shows that the optimism which preceded last season’s opening has been replaced by caution. Some experts suggest an initial fall of 5 per cent, on the June values, which would mean an average price of about 75cf for the series. The average price in August, 1950, was 107.56 d. Agents say the market will be cheaper because buyers are generally hesitant at the opening sale, and United States buying strength will not be felt until later in the season. Well-informed opinion in Sydney and Melbourne is that the wool marketing referendum, voting in which closed yesterday. would reject the Federal Government’s scheme to fix minimum prices for wool in Australia. BRADFORD TOPS QUOTATIONS (New Zealand Press Association) LONDON, Aug. 23. Current quotations for Bradford tops are as follows:—Merinos: 70’s, 184 d per lb: 64’s. 180 d; 60’s, 162 d. Crossbreds: 56’s, 115 d; 50’s, 83d; 46’s, 77d.

COMPANY NEWS

KORMA TEXTILES MEETING EFFECT OF FLUCTUATIONS IN WOOL PRICES (New Zealand Press Association) AUCKLAND, Aug. 24. Recent wide fluctuations in the prices of wool had increased the difficulties of manufacturers of woollen goods, said the chairman of Korma Textiles (New Zealand), Ltd. (Mr J. A. Gentles), at the annual meeting to-day. During the period of peak prices early this year, the company limited its purchases as far as possible to meet immediate requirements for orders in hand, but increases in the prices of manufactu r ed goods were inevitable. This effect, however, had been to some extent offset by the restoration of the Government wool subsidy, now payable on an equal basis to all wool manufacturers. Without the subsidy retail prices must have risen further. Although wool prices had now dropped, b#t were still higher than in the previous year, particularly in fine quality wools, there would be a time' lag before the reduction would be reflected in the cost of manufactured wool tops and yarn. The company’s stocks of raw materials and manufactured or partly-manufactured goods were below requirements at the balancing date, because of the interruption in shipping facilities from Australia and the non-delivery of wool tops on order. This position was now being corrected, although deliveries were still subject to the availability of shipping. GRAIN AND PRODUCE MARKETS (Bu Our Commercial Editor.) The small seeds markets in North Canterbury remain exceptionally quiet. No further price recessions are reported. A trickle of inquiries but no buying offers has set in from the United Kingdom. It is expected that buying orders may come next month. Meanwhile the British importers are apparently merely endeavouring to feel the pulse of the market. Quotations to Farmers Current quotations for small seeds and other produce are as follows: Potatoes.—Sutton’s Supreme O’- King Edward varieties, £l2 15s a ton; Red Dakotas, £l2 IDs; any other variety, £ll 15s. Al' prices lor f.0.b., s.e. Wheat.—Tuscan varieties, 9s 9d a bushel on trucks. Premium of 2d for Hunters. 4d for Pearl or Velvet, and 6d for Marquis, and Is for Hllgendorf. Ordinary price increments: April. Id a bushel: May, 2d; June. 3d; July, 4d; August. 4jd, September. sd. Special increments (inclusive of ordinary increments) for wheat held on the farm and delivered to the mills direct from the farm on which it has been grown; April, 3d a bushel, May, Id; June. sd; July. August, and September. 6d

Ryegrass (M.D).—Certified perennial mother seed, 15s a bushel; p.p., 14s; uncertified, Ils. Hl: mother seed, 20s a bushel; standard, 19s: uncertified. 17s 6d. Italian: mother seed, 18s a bushel- standard, 17s; uncertified, 15s 6d White Clover (M.D.).—Mother seed, 3s 7d per lb; p.p., 3s 4d; uncertified, 3s Id. Cocksfoot.—Up to Is 6d to 2s per lb (farmers' dressed). Red Clover (Cowgrass).—2s per lb. machine dressed. Brownton.—Certified, 4s 6d per lb; uncertified, 4s. Oats.—Algerians. 7s 6d to 7s 9d a bushel; Gartons, 6s 6d to 7s; Duns. 7s to ss; black oats. 6s to 7s. The price range in each ease is according to quality. Linseed (1952 harvest).—£so a ton on trucks. Lupins.—7s a bushel, on trucks (sacks extra). Barley.—7s a bushel, malting. (Neto Zealand Press Association) DUNEDIN DUNEDIN. August 24. Values of most seeds are steady at recent levels, and the general disinclination of growers to sell has restricted trading in riiany lines. There has been a steadying in value of white clover, this being a result of the need for some merchants to fulfil contracts made for August delivery and also contracts for overseas shipments. The inquiry for cowgrass is not strong, but Montgomery red clover of good quality has created some interest. SUDDEN RISE IN TIN PRICES (N.Z. Press Association—Copyright) LONDON, August 23. Tin is quoted at £952 10s a ton for spot, and £902 10s for forward. MINING Martha Returns. —For the four weeks ended August 11. the mine operated for 20 days, crushing 6147 tons of ore for a result of 1187 fine ounces of gold and 8316 fine ounces of silver.—(P.A.) Premier Gold.—For the fortnight ended August 24. the dredge won 73 ounces gold, from 19,239 yards, in 159 hours.—(F.O.O.R.) Grey River Dredge.—The Grey River dredge return for the clean-up period August 7 to August 21 was 545 J ounces gold from 176.000 yards of material treated in 245! hours.