FRENCH INTEREST

Evening Post, Volume CXXVII, Issue 88, 15 April 1939, Page 12

FRENCH INTEREST

IN FUTURE SALES

The next sales on the rota are Dunledin April 19, and Wellington, April 24 Due note has been made by brokers of the comments of M. Seg&rd, president of the French Wool Association in the Roubaix and Turcoing districts on the effect of New Zealand import restriction on French forest in the New Zealand wool sales Although Fi-ench buyers attended the ChristSu?ch sale yyesterday and bought wool they did so on restricted limits tor which the threatening situation in i Europe was the cause. . Fears have been expressed in Dunedin that the sales to be held there may Ibe affected adversely by lack of French competition, but the condition of the market in Christchurch together with the acute tension in Europe at the present time, may be reflected in values at the Dunedin sale to be held next Wednesday. The "Otago Daily Times reports that the Dunedm Stock and Station Agents and Woolbrokers' Association has been informed by an important Continental operator that so far as he knows Continental buyers will be operating as usual at the Dunedin sale on Wednesday. In confirmation of this two Dunedin firms of brokers have received advice from prominent French buyers that no 1 instructions or suggestion had been received from the French Government with respect to the curtailment of buying in New Zealand. APPEAL TO MINISTER. A meeting of the local Woolbrokers' Association was held, at which the Christchurch announcement was fully discussed. At the conclusion of the meeting the president (Mr. Newman R. Wilson) got into telephonic com- j munication with the chairman of the New Zealand Woolbrokers' Association and advised him that local selling agents were greatly concerned at the announcement made in Christchurch. The New Zealand Association was i urged to approach the Minister of Finance (Mr. W. Nash) on the subject, and to insist that an agreement be reached with French representatives at present in New Zealand with a view to the continuance of their buying activities until the close of the present season pending a more complete arrangement before next year. A VITAL FACTOR. The importance attached to foreign competition, and especially that of France at Dunedin wool auctions may be gauged by the fact that within a few hours of the announcement from Christchurch some growers raised the question of the withdrawal of their clips from the catalogues that are at present being compiled for the final auction of the season on Wednesday. Added to this, is the fact that at the March sale in Dunedin Continental operators lifted by far the greater proportion of the offering of over 25,000 bales, one operator alone taking over 3500 bales. Moreover, the bulk of the wool bought on Continental account was destined for French manufacturers.

Brokers interviewed by the "Otago Daily Times" expressed concern at the possible withdrawal of so vital an influence on the buying benches as France. Not only on the score of quantity is French bidding desirable. The experience of the past has shown that the maintenance of price levels depends very largely upon the competition of foreign buyers irrespective of their actual purchases.