COMMERCIAL AND FINANCIAL

Evening Post, Volume LXXXIII, Issue 151, 26 June 1912, Page 4

COMMERCIAL AND FINANCIAL

Evening Post Office, Wednesday. The representations made to the Union S.S. Co. by Wellington butter exporters to the Canadian markets, with reference to the allotment of space in the Vancouver service, have, it appears, borne gooS fruit. Nothing at present is definitely settled, but it is understood that the shipping company will reserve 10,000 cubis feet of refrigerated space in each steamer for New Zealand exporters. Of this, 5000 feet can be booked for one month, and the remaining 5000 can be booked for two months ahead, and any space over and above 10,000 feet can be competed for on equal terms with Australian ■exporters of frozen produce to Canada. That is as far as tho Vancouver line via Auckland is concerned. On freight rates direct and transhipment, it is further understood, no concessions were made. With regard to the San Francisco line, New Zealand exporters are to have first refusal of all refrigerated space by that steamer. This arrangement is regarded by exporters as satisfactory up to a certain point, viz., relieving them from the obligation of booking space so far ahead as was formerly required. While, they did not get all they wanted, they are satisfied that there will be an improvement on last year. It should be remembered that shipments to Vancouver via San Francisco were made from Wellington because .this is the port of departure to San Francisco ; and the cargo was transhipped at San Francisco into Pacific coasting steamers with no refrigerated space on them.' In his speech to shareholders of the Trust and Agency Company of Australasia, Limited, in London on 9th May, 1 Mr. Francis A- Bevan observed that the company's profit had increased by more than £9000, which was entirely owing to the fact that it had been able to lend money at a higher rate. Loans in Aus tralia and New Zealand having been paid off, the company had invested the proceeds in loans in Argentina at a higher rate than they' were able to get in Australia, with the satisfactory result.announced. Mr. Senior, the general manager (who was also in New Zealand), had been in the Argentine, and he had gone most carefully through all the securities upon which the company had advanced money, and he had come to the conclusion that there was not a security which was not perfectly good. One satisfactory feature, too, was that directly the company made a loan in the Argentine, a certain amount of interest had io be paid on the advance, and the ' balance-sheet showed that "interest on loans paid in advance" amounted to £12,305 for the year, as against £6782. Mr. Senior had found that there wai still a great opportunity of lending money at favourable rates in the Argentine, and on the strength of that the company proposed to issue -12,500 ordinary and 12,500 preference SVSffiooT I**1 ** *" ordinary <WM _ WOOL. — Locally there is nothing doing in wool, this being the long vacation of the season in New Zealand. There are of course the local offerings of erutchmgs and oddmente, which brine full market rates for all light condition and wools free from overmuch seed. Dalgety's [London) reporting on the May sales 6tate that now that any immediate prospect of a change in the tariff eeems to have disappeared, demand for the United States is largely of a hand-to-mouth character, and buyers have of late shown much more crrcumspection in executing them orders than used to be the case. Fine lalfbreds, when in good condition, realised January closing rates, but thin-hair-ed, shabby, and waaty descriptions cold with some irregularity, and were frequently 5 per cent lower. Scoured and eliped crossbreds were in small supply, and sold *fc an advance of 5 per cent. ..The general result of' the past 'series may )8 considered highly satisfactory/" a$ .the Hiying.has'be'eri well maintained^ and at the. close prices- -ai« — at~±he highest point -of the eiikß.-whieh'ißVgood .augury .for'the remaining series of the- year: - The next sales, are fixed to open on 2nd- July, wffch a limit of 250,000 net new arrivals. At present, arrivals for this 6eries amount to about 150^000 bales, exclusive of the 20,000 bales of old stock. Messrs. Jacomb, Son. and Co., reporting* on 4th May, state that "the" outlook for', the future is promising." . HEMP.— The hemp market is still stagnant, 'and- there is very little! fibre now available. Prices to millers on Monday were from £18 15s to £19 par 'ton for good fair grade and £17 10s to £17 15s for fair grade. A full account -of the valorisation sjheme of the Siabe of Yucatan (Mexico), ehowa that ] the State Government •**<Joes notf intend to antagonise anybody engaged the hemp business, but only to prevent th« frequent fluctuations in price, which constitute a perpetual : sourceo£ anxiety to the producer, and in many cases determine: a' real loss which is neither fair .nor just; and involves a great; danger to the future of the , sisal industry of Yucatan." A committee has been set up to deal with the matter and regulate the price at which the sisal hemp shall be sold so as to leave reason.able .profit to the producer. The wellinformed^ Cordage Trade Journal (New York) points out that valuable as sisal io for the manufacture of certain classes of ropes and twines, and particularly binder twine (for which purpose it is almost exclusively used in the United States), there are other fibres used by manufacturers in all parts of the world, and any material increase in. prices of -sisal win naturally curtail the demand for it, notwithstanding the most powerful Government, bankers, or "other 'interests that may be imagined. Incidentally the Cordage Trade Journal points out that "there is every indication that the production of. Manila 'fibre will, during a series of yeare, be increased, and this fact alone will tend" to >prevent producers of Eisal (New Zealand, Mauritius, *ad other hard * fibres) from seing able, to T"'"'"t a -^ for any length of time prices that are not on a parity with ftose for Manila fibre." It is further

indicated that improvements in production in the direction of reduction of labour cost and other way« may achieve what the valorisation^ seeks, but in the journal's viewmust fail to do. It may not be generally understood that New Zealand hemp is the only cordage fibre that is not produced by coloured labour. MEAT. — The quotations now coming through from London indicate that the market is recovering from the nervousness induced by the transport labour troubles. Prices for lamb are Btill very high, but may ' presently ease. A large amount of cargo is being shipped from Southern ports, but comparatively little lamb in now being sent away from tho North Island. Mutton is slow of sale, but is improving. Business actually done during the past week was at' s|d to 5Jd per lb for South Island lamb, and 3|dc.i.f. for Canterbury mutton. Mutton is slow of Bale, but is improving. It uias hoped to test the Western Canada market this season with a small parcel of North Island lamb, but the freight from Wellington to Auckland for transhipment to the V ancouver steamer was held to be too high. BUTTER.— Notwithstanding the weafcening of the London butter ' market, prices at factories remain at 12d to 12Jd, and, in some cases, as high as 12£ d has been obtained but for the very first brands. Ordinary first grade lines, however, have been sold at lljjd to 12<L The Liverpool wholesale grocers have made representations to the Danish Minister for Agriculture concerning the methods of adding inclusions and establishing prices, which have in numerous instances in recent yeare to be out of harmony with the markets in consuming countries, "leading to constant friction with users of Danish produce." This unsatisfactory state of things is engendering deep resentment and disgust on the part of merchants and retailers, and the members of the association are determined, in the -absence of^ any .marked improvement,- to promote the sale of the produce of other and competing countries, which will result in the disparagement and neglect of Danish produce. MARGARINE.— The English health -authorities are haying the greatest difficulty in coping with the' fraudulent sale of margarine as butter. This article has been so perfected in manufacture is to defy experts in the butter trado to detect it by taste and sight alone from. genuine butter. It was also asked if the Presiquestion was asked » whether. th« Board of Agriculture knew .that the average retail profit on - margarine was 40 per cent., which enabled the retailer to give overweight, and thus unfairly . compete with butte.r It was also asked if the Presi \denfc of the Board of Agriculture (Mr. Runciman) would, consider tho question. of taking steps to prohbit the use of anatto colouring 'in margarine, which, gave it the, appearance 'of butter. The reply to the question wab that there was no evidence of any offence 'being committed for which legal proceedings could be taken by the sale of overweight margarine. Nor was it the intention of Mr. Bunciman to introduce further legislation on the subject of margarine during the present session. t Numerous cases of prosecutions for selling margarine as butter or -butter mixed, with high percentages of margarine are reported week by week in the British trade papers. These instances^ however, it should be borne in mind, are only such in which convictions hay» been obtained. '©HEESE.— Offers have' been received 4>y .a. local .exporting house of an output o£ cheese, for next season at 7d per pound, f.o.b. It was declined as too premature. Th&p 'is, 'however, a, feeling of strong confidence in the future of cheese, and it is estimated that the production next • season will 'be something approximating 35,000 tons. The effect on butter production is expected to be most marked, as many more factories will confine themselves to cheese. Business has been done, during the week with South Africa, and also Australia, at 7d per -pound, f.o.b. The Grocer (London) of *th May reports that a surprising state of affairs has existed in the cheese market during the last week or -two, and New Zealand cheese has been continually 1 offered at lower prices until a drop of 5b to 6s per curt has been roorded. Bad -thip happened a, month, op two earlier it would not have been bo surprising. At the present time, stocks of old Canadian cheese are the lightest recorded for many years, and new Canadian cheese has not yet appeared on this side, besides which, New Zealand arrivals are closely cleared, and no 6tocks of more than "hand to mouth" size are visible anywhere in the country. The weather for some time now has been conducive to a large consumptive demand, and no complaints of poor trade in this . article are | 1-eard. ' It therefore appears that sentiment has played the leading part, and this has very probably been much accentuated •by the slump in the butter market. It "is natural to assume that retailers have kept out of the market, lately, excepting for their immediate requirements, but it is well to recognise that it will; be a longtime yet before stocks can begin to accumulate, and with such a shortage in stocks as exists at the present' time' the slightest asms of any extra, buying might easily cause a reaction." GROCERIES.— Figs have opened up for the shipment to arrive here in November, at Is 6d per owt above last season's opening prices .for all descriptions except bags. Carton dates have advanced Is per owt for the same shipment. New season's Malaga raisins are quoted at prices a. shade lower than last season's opening rates. Prices for canary seed (September-October shipment) are likely to be higher on account of reports as to the crops being- damaged by bad weather. Private advices from Vancouver (15th May) show that all fctocks of salmon in British Columbia -were exhausted. No prices had then been made. With regard to Sockeyes for -the coming season, it was reported that 90,000 to 100,000 cases of half "fiats" had been bold to the United Kingdom. Sockeye tales and fiats were expected to rule high in price accordingly. Prices for the coming season in Frazers, Rivers, Inlet, and Cohoes were expected to be 15 to 20 per cent, higher than last season, and "pinks" sto 6 per* cent, higher. From Hongkong word has been received asking for quotations for preserved ginger as early as possible since exchange is rising more rapidly than "p"»l OATS.— Messrs. Reynolds and Co., Dunedin, reporting on the oat situation, describe the market as showing considerable activity the last few weeks, chiefly on the part of merchants with eouunifcmenia -"»«Jo to Australia, some, time ago still to cover. These requirements for the immediate future Beem to have been secured, and the reports of useful rains all over Australia following this have had the effect of depressing the market. It is, however, by no means certain that the market can fall away to any extent. The exports for May totalled the large amount j of almost one minion bushels, and June ! returns are likely to be about as heavy. This rate of export will quickly make an I Inroad into surplus stocks, and should have a tendency to keep the 'market steady. The uncertainty of the position is -appreciated' by the -bulk of merchants, who axe not prepared to take much , risk either by holding stockß or selling for forward delivery. PRODUCE.— The United Farmers' CoOperative Association, Ltd., report local prices as follow: — Oafas, new duns, 3s per bushel; Algerians, 3s 7d; Garton seed, 3s 2d; feed, 3s; seed sparrowbills, 3s 2d. Oatensheaf chaff, £5 10s to £5 15s per ton. Cape barley seed, 4s 3d per bushel ; whole fowl wheat, 4s 4d to 4s 6d per bushel; linseed meal fodder, £13 5s per ton; bran, £6 10s per ton. Ricemeal, £6 10s per ton. Pollard, £8 per ton. Maize, prime, 5s 6tl per busheL Titnaru roller floor, £9 15s per ton for sacks. Potatoes, new, £6 per ton. Cocksfoot, farmers' dressed, 6d per lb; machine dressed, B|d; machined ryegrass, 4s 6d to 5s 6d per bushel. White clover, 120s and 140s per cwt. Danthonia, Is lOd per lb. Cowgrass, 05b per cwt; Aslike, 100s per cwt. Partridge peas, 4s' od per bushel. Horse beans, 4s 6d per busheL