NATIONAL MORTGAGE

Evening Post, Volume CV, Issue 107, 7 May 1923, Page 3

NATIONAL MORTGAGE

A CHANGE F.OR THE BETTER

WOOL, MEAT, AND DAIRY PRODUCE.

(FKOM OUR OWN CORRESPONDENT.)

LONDON,' Bth March

A more optimistic feeling prevailed at the annual meeting of the National Mortgage and Agency' Co. yesterday, than has been the case for the past three years. Beside the chairman (Mr. Robert Logan), other members of the board were Mr. C. S. Grenfell, Mr. L. E. Smith, and Viscount Hampden. The chairman first referred to the death of a. late colleague—Mr. Edward Pearce—who had been closely associated with the company since its inauguration some 47 years ago—first as an agent in Wellington, and. for about seventeen years as a member of the board in London. Sir Thomas Mackenzie and Sir James Mills, said the chairman, were at present in New Zealand carefully watching the interests of the company and assisting the general manager (Mr. G. R. Ritchie) with their advice and ripe experience of affairs. ; Mr. Logan summarised the conditions of trade during the past year. Things had changed, he said, entirely for the better. Large quantities of raw material had passed into consumption, not through London only but also at. the various sources of origin, and instead of large- stocks of wool remaining on hand, as was the case a year ago, it was safe to say that these stocks had been absorbed with the exception, of course, of Bawra wool. The quantity of raw wool taken into consumption during the past year was estimated at 5,000,----000 bales, of which Bawra wool accounted for well over 1,000,000 bales. The total offerings in London during 1922 were estimated at 1,265,000 bales an increase over 1921 of 272,000 bales Of last year's total New Zealand contributed 467,000 bales, as compared with 301,000 bales in 1921. In thflast year 729,000 oales were stated to have been bought on Home account, 429,000 bales T <? r -tthf o? 0?^116^. and 41,000 for the United States. Lastly, the average value was £22 a bale.in 1922, as against £18 m 1921. For 1916 and 1917 the figures were £27 and £32 10s per bale respectively. The.increase of merinos and toe crossbreds was estimated at from 25 to 30 per .cent., while coarse and medium crossbreds, of which the greater part of the New Zealand clip was composed, had risen something like 33 to 40 per cent. PROSPECT OF FIBMEB PRICES. From this it was evident that the demand for wool at the present time was considerably in excess of the rate of production, and that fine qualities were mostly sought after. There 1 were, how° ever, indications that. the manufacturers were turrnng their attention to' the coarser grades to satisfy the require Z"t °f $ eIT- cust «n«rs-an event which would no doubt, be hastened by theliquidation of Bawra stocks wbch now totalled only 1,000,000 baUW beginning of last season. Firmer prices ausfVl^ b? Mtic Pated *«& «£ w v • Another important fact which 1 Teae ?n ?r c thl situa«°n was the de- ! ou^ e lnvS d nUmber °f Sh66 P throu *h- [ Dairy .farming had been rapidly in ET V he D™°". andCt scan theTtV S"bs*ant« in the total output. The new season had been very-remunerative to' all en ff New im P? rta"fc industry. Values ot J\ew Zealand butter were now nearly U p t0 2s pe r b wholesale, and some shrinkage n the demand was almost inevitable. Si™" 8 ' % continu«l to make excellent Sfll^i-in c fr°zen outlook was still difficult and uncertain. Unfortunately , not much could be said for New Zealand frozen beef, which could not apparently compete successfully with the chilled article'from America. The total importations of frozen and chilled meats into the United Kingdom during 1922 Q?7°^ te- d I 8? 1 '000 tons/compared with 917,000 m 1921, and 720.000 in 1913. New /Zealand shipments, however, showed a' decrease of about 30 per cent, on the previous year's figures, while the proportion supplied by the whole of the British Dominions was about 35 per cent, of the total importations, against 40 per cent, .the year before. Another interesting item was that 1100 tons of fresli killed beef and mutton-were imported from the Continent, and 49,500 head of cattle from Canada and the United States. The chairman then quoted statistics with regard to sheep in New Zealand, and mentioned that a satisfactory feature of the returns was an addition of 348,000 breeding ewes. Speaking of the Meat Export Control Act, he said, although created nearly a year ago, the board, so far, had abstained from exercising the very full and drastic powers bestowed upon them, while, on the whole, the board's operations had met with a fair amount of approval. THE BALANCE SHEET. ' Issued capital, continued the chairman, remained the same, and also the reserve fund, which was £36,250 in excess of paid-up capital. Liabilities showed the usual fluctuations. Sundry creditors showed 'a, decrease of £133,000. Bills payable showed an increase of £40,000 due chiefly to increased'business in Eastern gocids shipped to branches and customers in New Zealand, for which acceptences a.gainst documents were given. Loans on mortgages 'and secured accounts showed an increase of £42,438, which was accounted for not so muchby new business as by further transfers of unsecured accounts to the secured category. Advances on wool and prodn.ee showed a decrease of £38,101, due chiefly to the firmer tone of the markets and better prices ruling for staple products,, which had enabled the prompt clearance of shipments upon arrival, particularly in the case of frozen meat towards the end of the year. . • The gross profit of the company was £188,100, as against £145,209 in the previousi year. Charges in Londom were £6500 down, a very* satisfactory result. Provision had been made for a bonus to the staff of 5 per cent, on their salaries. They could not give the staff any bonus last year, although they thoroughly deserved it. In bad times equ»lly with good times they got the most unstinted service from the staff both here and in the Dominion, and the directort were glad to recognise this.. i Debenture-interest had increased nearly £5000, which was partly due to the rates for debenture money mounting so rapidly. New Zealand taxation amounted to £84,600, and to meet a portion of this amount they had drawn upon Contingencies Reserve to the extent of £30,----000. This approximately represented arrears of taxation—the result of unsettled items spread over previous years which had now been finally cleared off. They expected that their taxation in New Zealand in the current year would be reduced. The board looked forward to a prosperous year, always provided that they did not experience any unforeseen set-back, either in England or the Dominion. Mr. Logan concluded by asking the meeting to pass the customary vote of I thanks to the staff at Home and in the j j Dominion. Viscount Hampden and Mr. L. E. Smith were re-appojjited directors;, j