Russian Market For N.Z. Wool

Press, Volume CVIII, Issue 31678, 14 May 1968, Page 1

Russian Market For N.Z. Wool

(N.Z Press Association)

WELLINGTON, May 13.

Russia might soon step up her use of New Zealand wool, the general manager of the Wool Board (Mr J. D. Fraser) said on his return to Wellington from Moscow tonight.

Mr Fraser also suggested New Zealand should import more goods from Russia. Eastern European countries were also prepared to buy more New Zealand wool on certain conditions, Mr Fraser said. “I expect a firming in the

price of crossbred wool, but no significant price increase because we have a stockpile to sell,” Mr Fraser said.

Last month he attended a meeting of International Wool Secretariat directors in London and subsequently visited Poland, Czechoslovakia, and the U.S.S.R. Mr Fraser cited the increasing awareness of bi-lateral trade deals as a means of selling wool and dairy products at satisfactory prices. He called the JugoslaviaNew Zealand agreement involving railway waggons and New Zealand wool and butter extremely significant. “You can’t expect the Eastern European countries suddently to increase the use of our wool. They have certain types of wool, certain types

of product, and a certain type of market. “However, they have indicated they are prepared to buy more of our wool on certain conditions; for example, that there is more trade between their countries and our own.”

Mr Fraser excepted Russia from those countries which could not suddenly increase their usage of wool. “The USSR. has a population of 235 million people and she could make an increase in the use of our wool which, while it might not be great in percentage terms to them, would be important to us. “In the next few months, Russia could move towards increasing her use of our wool.” Mr Fraser said the Russians were interested in trade “and

they made this point quite strongly.”

“There are areas of our trade which are not subject to import licensing and which might be filled with goods from Russia.”

Mr Fraser said he expected the price for New Zealand wool to firm for three reasons:

The economic situation in Britain and Europe was picking up; the low price being received for the wool was helping New Zealand to sell more; I.W.S. activity was increasingly important, and two new processes artificial crimping of wool to increase its resilience, and piece dyeing of carpets to enable easier tailoring of carpets to meet consumer demand for colour —were now being commercially tested.