Merchants take issue

Press, 24 April 1987, Page 27

Merchants take issue

Wool merchants have rebuffed a recent Wool Board charge that growers are selling their clip too cheaply and said there are sound reasons for the increasing private sales of wool. Last month a Wool Board production officer, Mr Bryan Bradley,said private sales are often more than 20 cents a kilogram below the auction value and advised growers to seek several quotes before selling. But the president of the Federation of New Zealand Wool Merchants, Mr Morrin Hardy, of Gisborne, said the price on the day, prompt payment, and a net on farm price are giving increased sales to merchants. Farmers who sell privately know what their wool is worth before it leaves the shed, he said. “There is none of the risk associated with waiting for auction, where prices can fluctuate, and growers know they get a better service from private merchants.” Mr Hardy said the intelligence of farmers is insulted and the integrity of merchants questioned by the “unfair innuendo” contained in the board’s warning/

The amount of wool sold privately will continue to grow markedly, he predicted, as the industry evolves and fanners consider sales options. Mr Bradley has reaffirmed his suggestion that growers get more than one quote for their wool.

“I am not condemning private selling, but farmers should obviously seek at least three quotes from buyers if they want to obtain the best price.” Mr Bradley said fanners he talked to had found his comments apt and helpful.