AUST. OPPOSITION TO WOOL SCHEME

Press, Volume CIV, Issue 30770, 7 June 1965, Page 15

AUST. OPPOSITION TO WOOL SCHEME

(N.Z. Press Association—Copyright) SYDNEY, June 6. Three of Australia’s leading woolbroking firms yesterday came out against the controversial wool reserve price scheme. They are Australian Mercantile, Land and Finance Company, Ltd., Pitt, Son, and Badgery, Ltd., and Winchcombe, Carson, Ltd.

The wool reserve price scheme, which has been approved by the Australian Government and submitted to graziers by the Australian Wool Industry Conference, allows for a “floor” price plan for all wool sold in the country.

The three companies, which handle a considerable percentage of wool auctioned throughout the country, have indicated they will give their reasons later.

The announcement by the three leading woolbroking firms follows a decision by the National Council of WoolSelling Brokers not to state its attitude towards the scheme. At the end of the national council’s meeting in Sydney yesterday the secretary (Mr W. A. Williams) said: “There is no statement being issued whatsoever.” Most brokers who attended the meeting opposed any definite declaration of policy on the issue at this stage. The joint statement said the decision rested with woolgrowers. Should a reserve price scheme be established, they would co-operate fully in its effective implementation. The three companies said, however, that they could not accept that the benefits claimed for the scheme could be substantiated.

They considered it their obligation to give their views to their clients. The national council's board of principals agreed to the meeting yesterday because of concern over the “floor” price plan, on which woolgrowers will vote in a referendum later this year. Indices Latest share price Indices are: London.—Financial Times (In dustrial ordinary 1935. equals 100: Government, 1928, equals 100: gold. 1955. equals UlO):

1964 Oct. 1 . 377.8’ 82 15 56.4 Dec 31 .. 355 0 79 0' 68 8 1965 June 2 .. 338.1 76.61 70.9 June 3 .. 336.1 77.06 71.1 June 4 .. 336.8 77.25 70.9 New York.— Dow Jones: Ralls. Indust. Sold 1964 Dec. 31 205 34 874 15 6.470.000 1965 Mav 14 209 50 939 62- 5.860.000 June 2 200.87 904.06 6, "90.000 June 3 200.42 899.22 5,720,000 June 4 200.47 900.87 4,530,000 Sydney —Sydney Stock Ex change <Julv. 1931 lune 1939 equals lOO):— Retail Ord Indus) 1964 Feb 27 . 472.6Q 379.21* 395.24 Dec 31 . 424 76 367 1)3 398 l> 1965 June 2 . 368.12 321.43 351 on June 3 . 367.20 347.02 122.60 June 4 . 368.04 323.42 354.45 •Peak