EARNINGS OF RAW WOOL

Press, Volume XC, Issue 27376, 15 June 1954, Page 13

EARNINGS OF RAW WOOL

MAIN CONTRIBUTOR TO STERLING EXPORTS (Special Correspondent N.Z.PJL)

L.QN-DQN, June 14. Raw wool was again the main contributor to the export earnings of the sterling area (excluding the United Kingdom), says the "World Wool Digest.” In contrast to most raw material prices, wool prices moved upwards during the 1952-53 season, particularly at the end of

Although the high prices reached for Merino wool in the second quarter of 1953 were not maintained, prices of all qualities in general were about one-tenth higher at the end of 1953 than a year earlier.

The main factors contributing to the improvement in the market were heavier purchases of the Organisation for European Economic Co-operation and east European buyers, due to a general revival In the textile trade after the previous season’s recession. This revival was sufficient hot only to offset the considerable reduction in United States purchases of wool, but to absorb the offloading on to the world market of South American wool stocks held back during the previous season because of low world wool prices.

Australia exported a greater quantity of wool in 1953 than in any previous year, although this increase was outweighed by the reduced volume of exSorts from other sterling area producers, 'ew Zealand and South Africa both shared with Australia iin the increased quantity of wool sold to the Organisation for European Economic Co-operation countries, but Australia alone was responsible for the expansion of sales to other non-sterling countries in 1953. Japanese purchases were at a high level in the first half of the year, and when these fell off Eastern European countries, including the Soviet Union, entered the market. There was a small decrease in the quantity, although a rise in value, of wool sold to the United Kingdom in 1953.

Export! of wool to the dollar area decreased both in quantity and value, and this was the only market where sterling area exporters were faced with both a smaller total demand and heavier competing imports from Argentina and Uruguay. OVERSEAS EXCHANGE RATES

Latest telegraphic transfer rates as advised by the Bank of New South Wales are as follows:

„ „ x Buying. Selling. N.Z. to £100stg. 100/7/6 N.Z. on 101 New York— Doi. to £1 N.Z. .. 2.8132 Montreal— 2.7813 Doi. to £1 N.Z. .. 2.7620 Australia— 2.7264 £A to £100 N.Z. 124/10/9 Fiji— 124 £F, to £100 N.Z. 111/11/9 110/4/3 Western Samoa— £S. to £100 N.Z. — South Africa— 100 £N.Z. to £100 SA. 99/14/0 101/5/6 Belgium— Francs to £1 N.Z. 141.99 Denmark— 137.87 Kroner to £1 N.Z. -40.66 19 France (Metropolitan) Francs to £1 N.Z. 991 Holland— Guilder to £1 N.Z. 10.71 Norway— 10.45 Kroner to £1 N.Z. 20.24 Sweden— 19.57 Kroner to £1 N.Z. 14.60 Switzerland— 14.26 Francs to £1 N.Z. 12.24 Ceylon— 11.99 N.Z. pence to rup. 17 29-32 Hong Kong— * NZ. pence +> dol. 14 45-64 18 13-32 15 21-64 pNZ. pence to rup. 17 29-32 18 11-32 N.Z. pence'to rup. 25% 26 25-64 N.Z. pence to dol. 27 23-32 28 39-64 ManilaPesos to £1 N.Z. — 5.53 Western Germany— D.M. to £1 N.Z. .. 11.75 Noumea— 11.50 Francs to £1 N.Z. — 169.74