BUYING OLD GOLD

Evening Post, Volume CXVI, Issue 65, 14 September 1933, Page 9

BUYING OLD GOLD

BUSINESS LANGUISHING

IN SPITE OF HIGH PRICE

"Old gold bought. Highest prices given,' 1 is a.sign, which was very con.spicuous iv "Wellington, in common with other cities of the Dominion. During ■the last fow-months,, however, such 'indications of tho business of old gold buying have become fewer. Yet one might imagine that it would bo otherwise, peeing that the price of gold has l^en steadily rising. Tho reason tho business is languishing seems to bo in the fact that all the old gold which comparatively few for.tunate possessors' lad for disposal has long ago been *old.: It was sola, too, at a time when tliQ price of gold: seemed high, although it. had not then soared to'anything lik» its present level. A better return ■would'have been secured now had .sellers hung on to their trinkets, but not anticipating such a phenomenal lise hi tho price of gold, they were generally content to sell whije the going seemed good and to secure- a little oxtra cash to tide over bad times. Practically all dealers in old gold tell tho same tale of a decided slump in the business, and their general opinion seems to be that anyono who ever had old gold* to sell has long ago tonverted it into bank notes. Business to tho tune of several hundred pounds •per month was at one time being done l>y some of tho bigger dealers, but this lias dwindled down to a fow minor transactions.

Most of tlio dealers tell tho same tale of customers who twelve to fijjhlcon. months ago' .used to bring ,inU> tlio shop bangles, watches, rings, jtuid jewellery made . of. tho precious metal W.ith"hoj)iplessly inflated ideas of 1 lie value of tho : various trinkets. In the sellers'' opinion the sentimental valuo o.f the object: about to change hands, was -usually higher than_ the market value, and considerably higher, 100. But as the buyer of old gold docs inyt'pny •anything for sentimental value,'or for' artistic '-workmanship; and as family heirlooms fail to warm.: the cockles of lii's- cold and calculating heart, there was often much disappointment at tho amount offered for ■the- prof erred gold; so much so, that the would-be seller frequently said that lie or sho would go elsewhere; if that miserable price, was the highest that could bo offered. But tho .next dealer, estimating tho value of the trinket by Ilie weight and the quality of the gold, mid also resolutely refusing to add- a few shillings for sentimental value, usually offered approximately tho price, which in tho end was generally accepted by the disillusioned seller.

Not a few sellers, too, found to their sorrow, and perhaps rage, that what tliey had been treasuring as solid gold was merely a base imitation or thinly plated. Quito an extraordinary collection of <ikl gold produced from New Zealand homes has found its way during tho Dust two years into tho crucibles of tho dealers. Thousands of, people found that they possessed ; something which could be converted into cash without being much missed, although there might be a momentary pang at parting for sentimental reasons. Country districts were well combed by itinerant, mid not always reliable, buyers, and r-ity dwellers' were called upon by city dealers, Tho ■result ■■ apparently has been a general clean up and subsequent inciting down of all tho old gold that anyone will care to part with, and.it does not seem that tho business of old jgold buying is likely to thrive again even if" tho price of gold soars to twice its present height, for tho very 'simple reason that thero is now no moro eld gold to buy. ■ Statistical returns compiled for 1932 show that tho gold bullion exported from jNTew Zealand during tho year amounted to £1,171,811 in value as compared with £581,042 in 1931. This total included gold from old jewellery and other articles sold to gold buyers. Tho total-value of this was £241,348, of which £79,523 represented reexports. Obviously, therefore, in 1932 {Told buyers in the Dominion did considerable business-. What they have done in 1933 is probably only a small fraction of that.