Good Prospects For Wool At Remaining N.Z. Sales

Press, Volume XCV, Issue 28253, 15 April 1957, Page 13

Good Prospects For Wool At Remaining N.Z. Sales

(New Zealand Press Association)

WELLINGTON, April 12. About 148,300 bales have still to be sold at auction during the seven remaining New Zealand wool sales before the season ends. With the Commonwealth selling season now in its final quarter, there is every indication that this quantity will be in keen demand, reports the New Zealand Wool Board. It is expected that all the wool available will be required to keep pace with the current sustained and healthy consumption. An outstanding feature of the marketing season has been that wool prices have been supported by the well-spread demand of one of the widest benches of buyers seen in post-war years. During January. February, and March, which comprise the third quarter of the wool season, wool values have moved within relatively narrow margins and have shown remarkable stability amid a succession of international crises which have tended to hamper trade and commerce. A relatively slight relaxation in prices mid-way through the quarter was more than recovered before the end of March. The quarter closed with prices of both Merino and crossbred wool at one of the best points of the season and above the average for last season. U.K. Consumption Down During 1956, the United Kingdom —the largest wool consuming country in the world and easily the largest buyer of New Zealand wools —was one of the few major manufacturing countries that did not improve on its 1955 level of consumption, although that level had been a good one. In the early part of 1956, United Kingdom consumption was slightly lower than in the previous year, but an increase in the later months enabled it to finish the year with an aggregate consumption virtually unchanged from 1955.

That improvement continued into 1957 and during the first two months consumption was ranging from 7 to 10 per cent! higher than in the corresponding months of 1956, varying according to the class of trade. During the last quarter the output of certain forms of United Kingdom processed wools at postwar record, or near-record,- levels and the high level of demand for United Kingdom wool tops for export suggests that consumption elsewhere is running at similarly high level. Encouraging trade conditions are reported from France and Germany, in particular, and a substantial turnover has been done in wool products of all kinds, says the board.