“Positive Thinking” On Wool Urged

Press, Volume CIX, Issue 32296, 14 May 1970, Page 6

“Positive Thinking” On Wool Urged

Because there was a major cloud on the wool horizon, farmers must demand positive and collective thinking if wool was to survive the intense competition which it now faced, the chairman of the meat and wool section of North Canterbury Federated Farmers (Mr A. F. Wright) told the section’s annual conference yesterday.

The Wool Research Organisation had defined a set of national standards for New Zealand wool types, but this could be of full benefit toj users and growers only if] most, if not all, of national production was channelled, through approved and recog- ; nised facilities, Mr Wright said. But many farmers had lost faith in the auction system, and were disposing of their wool by alternative methods. The time had come when, in the interests of wool, a firm stand must be taken by the proper authorities so there was organised marketing. Although farmers were entitled to sell outside the auction system if they desired, he believed this was not good for wool, Mr Wright said. As with Australia and South Africa, the New Zealand grower, through the International Wool Secretariat, would promote and develop world-wide markets and perhaps the time had arrived ( when j. similar approaches should be made an an altered (marketing system on behalf I of the three major I.W.S. contributors. In the last year the price of wool had fallen further and taking devaluation into con- ! sideration, wool was now sell- ■ ing at the lowest level since the downward trend started. Mr Wright said. Wool production had increased steadily in the last few years, but drought and ifarm economics could-halt the increase. In the near future (there might be a downward | trend unless the economies of 1 the wool trade tended to

improve the status of wool production. Wool’s main competitor, synthetics, had also shown a dramatic fall in price, and with the two products competing for the same market it I would seem any thought of a major rise in wool prices i would be optimistic, Mr Wright said. The requirement of the International Wool Secretariat was to advertise and promote wool, and if the I.W.S. was pulled out of this field

wool growers would be In even greater trouble for price. Mr Wright said that it had been announced that as from March 1 handling charges for wool through Lyttelton were increased dramatically from 18c to 30c a bale. It now appeared “some major adjustment in our favour” could soon be expected, Mr Wright said.