LONDON WOOL SALES

Dominion, Volume 10, Issue 3004, 15 February 1917, Page 9

LONDON WOOL SALES

FURTHER RESTRICTIONS ON FROWERS' WOOLS (From Our Special Correspondent.) London, December Id, 191 G. Wo are having to write this on tto eve of tho opening of the final 6eries of sales for tho cm-rent year, and, unfortunately, tho mail oloses within a few nimuites of tho opening of tho auctions. Howevor, everything points to a remarkable series, and prices can advance nnywhero from 15 to 25 per cent. As we write this thore is anything but decided views expressed regarding tho likely course of values, although it might herd bo mentioned that there lias been part private selling in Coleman Street of freewool, and bobh for merinos and crossbreds advances on tho close of last eeries varying from 15 to 25 per cent., nave been made, it being a fact that 4s. 9d. has boon realised for a very nice line of Sydney scoured skin wools, for which had Is. been bid at the last series of sales it would have been accepted. Even for lyurry scoured combing wools Ss. Bd. has boen realised, tho same brand only making Is. 3d. per lb. in December, Mil, for similar wools. This gives tho reader some idea of how values have mored, and owners regard • these sales as somo indication of wliftt the trade will pay in the course of a few hours. The Wools Available. The list of arrivals this series makes most interesting rending, and the offerings would have been still moro eo but for tho action of the Government in deciding that wool consigned for salo on growere' account is not to be offered. This has como upon the entire industry like a wet blanket, and has called forth a good deal of adverse criticism. Everybody wants to know why this announcement could not have been made last Friday, when a series wore sanctioned. Tho present is the time of the year when the available quantities of second-hand wools are exceedingly limited, tho arrivals for a December series always comprising very largely new clip merinos. Out of the 90,000 'bales actually available we very muich doubt if thoro will be more than 60,000 bales of wools which can be sold, simply because the bulk of the wools from Australia comprise new clip merinos. Of course scoured skin wools, slipes, and those which have beon bought in Australia for reselling in London will be available, but in the aggregate the offerings will only be half what they should bo, and this fact has completely taken tho wind out of the sails of the trade. At this writing thero is nothing definitely known low the merino ■ wools are going to be handed to tho trade, or whether users will require to negotiate privately for them, and tho present unsatisfactory state of affairs is not relished by. either importer, selling broker, or the actual user. There certainly would have Men some vory nice and acceptable offerings of wool had they been allowed to bo offered publicly, it being a fact that several growers puit themselves to extra expense ar.d trouble in getting their sheep shorn, and the wool shipped in the hope of it reaching London in time for tho December eories. However, they have been put upon the fame basis as those who have been fortunate .enough to sell their wools in Australia, and a good deal of heartburning would have _been avoided if these wools coukl nil have been sold in Australia by growers, and turned into actual cash. The following is a list of the wools •n-hich. aro to hand, bnt.it is difficult to say what quantities will be actually available for sale:— Gross Tot. 1 ; 1 new Forward Old availarrivals, direct. Stock, able. Bales. Bales. Bales. Bales. Svdiiev 52,100 23,000 1,000 30,100 Queensland 'I. 33,800 15,000 200 19,100 PortPhillip . 11,800 i,500 4flfl 7,700 Adelaide .!..... B,CflO 6,500 100 3,200 Swan River .. .1,000 - MO 5,100 New Zealand. 11,300 500 5,(00 16,500 c"l:::::. A i> 9s. Total 1M.500 63,500 9,0C0 80,000 Government Control. Tho following order by tho Army Council was published on last Monday night's London "Gazette":— "In pursuance of tho powers conferred on them by the Defenco of the Kealm (Consolidation) Regulations, 1914, the Army Council hereby order that all persons engaged in the purchase or sale ol wool shall enter into such guarantees with Tespect to. such purchase or sale as may be required by or on benall of the Director of Army Contracts. The above was known in wool trade circles on Monday afternoon, and the order makes- it very clear that the Government is going to control the whole o: the colonial clip. This is part and pared of the wholo scheme of tho Army Council to regulate prices for the raw material as woll as for tops, yarns, and pieces, and it is utterly useless oilenng any word of protest. It is now patent to everybody that both men and materials are going to work under the directions of the War Office, and that wool itself is not going to be an article of commerco allowed to be dealt m by any Beotion of traders and used for speculative purposes. All classes of wool are first of all going to serve a national purpose, and rightly so. This wool will be available for purchase when required for export, and finally requirements of the Home trade will be considered last. It certainly looks a' 3if wool m future is only going to be allowed to be bought under license, and in making application for the- raw material the object of tho buyer willhave to be clearly stated. Of course, crossbrods are primarily wanted by the War Offtco to satisfy Army requirements, and certainly these wools will bo specially reserved tor that, purpose. The eanio needs cannot be urged in regard to merinos, end it is this fact which is receiving most Attention Many are imablo to sco through tho purpose of the Army Contracts Department in putting a firm hand upon Jine wools when tho quantity required ior military purposes is vory email indeed. Evidently the control of merinos and tho methods which are going to bo employed in their sale favour supplies being meted out to actual conaumors, aud not to those wanting to buy purely for speculative purposes. No doubt wool values have been forced higher and still higher by those who. have omploycd , their capital in purchasing for no other pprposo than reselling, these firms (Wing purely and simply a lnerchanting trade. No one bus yet given any really sound reason why they should be eliminated, but they arc not being regarded to-day by the War Office in favourable light, everything that is not necessary to-day for bringing the war to a successful finish being completely ignored. The very fact of the English wools not required by the Government being offered by public auction in Bradford nml tho Kale' prices being prohibited from appearing in tho Press, is construed us being dono purposely to keop farmers ignorant of tho prices actually made for domestic wools, but if wools are sold by public auction, tho prices actually niado aro bound to filter through into growing districts, in fact, it is humanly impossible to keep even Government quotations private, for, they often form the basis of conversation whero wool men congregate. Tho trade as a whole is anxiously waiting to know' how the big weight of merinos that will now como to London for sale will be dealt with, and the voico of the big meeting in Bradford 'last week-end made it perfectly clear that the tvado as a whole favours the offering of all surplus wools by public auction in Coleman Street Wool Exchange. A Commendable Opening. Before tho salo commenced ii statement was made by the chairman of tho Colonial Woolbuyers' Association, pointing out tho conditions which could bo enforced by tho Government, although no special restrictions eo far -has been imposed in regard to colonial wools. The Army Contracts' Department urged , that usoi's , wants be first met, and speculative, buying was strongly condemned. This had a strong effect upon buyers. Competition throughout w*s well sustained, but no excitement was seen. Generally speaking, merinos showed an appreciation of V; to 10 per cent., while crossbreda mostly appreciated fully 10 per cent. These results were gonorally loss than expeoted, but all tho eamo prices for wool aro high enough.