BIG MONEY FROM WOOL

Evening Post, Volume CXXIII, Issue 104, 4 May 1937, Page 10

BIG MONEY FROM WOOL

Wool sold in New Zealand between December last and April of this year has returned to growers a lg ross sum of nearly £15,000,000 in New Zealand', currency. From this substantial sum there will have to be deducted costs of production, handling and storage charges, and brokers' commission. In addition the wool grower will have to meet increases in taxation and labour. The exact amount of the gross proceeds of the Dominion sales as reported by the New Zealand Woolbrokers' Association is £14,903,257, which is a substantial and welcome advance on the realisation for the 1935-36 selling season amounting f> £9,840,427. These returns, it should be noted, are for wool sold at the series of auctions held in the various centres of the Dominion and forming part, the greater part, it is true, of the national wealth derived from wool, but it does not include wool from freezing companies as a byproduct of their business and that shipped by growers themselves for sale overseas. The wool trade year ends on June 30 next and when all returns are in the increase in value of wool exported during 1936-37 should place wool well in the lead of contributors to the national wealth. How long the wool market will remain at its present high level no one can say with certainty, but it would seem to be but common sense to use the present advantage for the building up of reserves as shock absorbers to soften the fall in values if and when it comes. What applies to the individual wool grower today applies with equal force to . those responsible for expenditure of national and local income: Build up reserves.