TRADE IN AUSTRALIA

Evening Post, Volume CXVIII, Issue 50, 28 August 1934, Page 12

TRADE IN AUSTRALIA

THE PASSING OF WINTER

PROSPECTS BRIGHTER

'Evening Post," August 2S.

But i'ov the oyerfcloiuled butter market Australia's prospects for the export season 1934-35 would be most encouraging. The National Bank of Australasia in reviewing Australian conditions for July, noted the rapid change in the tone of world markets for wheat following a more general realisation of the conditions of wheat crops in the Northern Hemisphere, which.are now expected to produce <:6nsiderably less than last year's harvest. Consequently there will be no selling pressure from European producers such as was experienced late last year, and in the early parts of the current period. In addition, there is the possibility that . some European countries, which purchased little or no wheat from overseas iast year, will need to import during the next twelve mouths. In particular, it is suggested that Italy will require to import and may be seeking supplies, possibly about the close of 1934. Another important, consideration is that the drought in Europe affected other crops besides wheat and that supplies of feeding grains generally will be much reduced. Australian wheat farmers who were prepared to sell at 2s 6d per bushel at country were encouraged by the favourable turn-of the market to quote 3s. Flour business in considerable volume lias been concluded for shipment to Dairen, Manchuria, during September and October. The wool situation is still obscure, although the results of the Brisbane sales may be considered satisfactory in the circumstances. The dairy industry derives considerable support from the equalisation plan by which the price of butter for local consumption is stabilised on a basic j 140s per cwt. Prices of Australian butter as cabled reports of the market indicate continue low, the latest quotation being 75s to 76s per cwt (August 24). Reports from various States to ttie National Bank arc epitomised ns follows: — VICTORIA. fn most sections of trade and secondary industry in Victoria there appears to bo a slight improvement in turnover. Real estate market dull, although building and allied trades are "exceptionally active." The value of building permits issued during the 32 months ended June 30 last compared with the parallel period for 1932-33 increased by £1,650,034, and by £2,784,151 in comparison with 1930-31. Commercial and other buildings, for which permits were issued during 1933-34, were valued at £1,044,741. This value, of which more than one-half relates to the City of Melbourne, is the highest for any year since 1939-30. NEW SOUTH WALES. During July beneficial rains fell over a wide area of New South Wales, and an adequate supply of winter feed seems assured in most districts. Riverina crop and stock prospects are reported satisfactory following recent rains, which-great-ly benefited wheat crops and pastures. Excellent rains recorded in Central West and North-western area. Dairy cows generally are in good condition, and the recent rains have assured a sufficiency of winter green feed. Heal estate market quiet.during greater part of July, though towards the end of the month a better inquiry prevailed for city investments. Letting continues active. . ".There is evidence that investors >v several major building projects are awaitiug the outcome of the forthcoming Federal elections before proceeding with their plans. In the suburbs a good investment inquiry is noted for blocks Ol flats and for vacant sites in the higher areas suitable for modern flats. "City retailers report average mid-win-ter trading conditions experienced during the month. According to the latest journal of the Eetail Traders' Association, retail sales in Sydney for the first five months of the year show an increase ot ,5.6 per cent, when compared with the previous parallel period." QUEENSLAND. '•Seasonal conditions in Queensland generally may be classed as.favourable, and . . . graziers have come through without serious loss of stock. Over the greater part of Queensland pastoral country the runs are sufficiently grassed and watered to carry their holdings through the remainder of the winter, though there are quite large areas where, good soaking rains would be of marked benefit. The south-eastern farming areas and the Darling Downs country have been favoured with the best winter rainfall recorded for some years. "The output of butter has been showing some seasonal decline, but as soon as the clays get warmer the cream production and the butter outputs should show substantial increases. During the twelve months ended June 30 last Queensland produced its maximum annual output ot butter and topped the previous State record held by Victoria. During the year 44,620 tons of butter were submitted for export. This is 10,000 tons more than during the year ended June 30, 1933." OTHER STATES. South Australia.—Business houses report winter trade as difficult. Collections well maintained. Motor-body building very busy and difficulty experienced in coping with orders. Dairy cows generally in fair condition. Western Australia reports butter production sufficient for the State's own requirements and permitting a reserve for shortage. But it is expected that local manufacture will meet all domestic requirements until early in next year. Improvement in retail turnover is expected as a reault of favourable seasonal condi-, tions. The gold yield for June,_C6,2lßoz, was 27670z greater than the yield for June, 1933. Total production for the first half of this year, 316,3280z, valued at £2,054,369, inclusive of premium £1,310,667. The production for the] period, January-June, 1933, was 299,5060z. i Seasonal prospects in Tasmania are improving, and a favourable spring is anticipated. Retail trade has been quiet. Woolleu and hardware manufacturers! have good orders, though the rains early | in the month interrupted building activi- j tics, causing a decline in sales of hardware and builders' supplies. '.Casmanian j potatoes are in keen demand on the Syd- > ey market, mainland supplies being short, j