WOOL SITUATION.

Hawera Star, Volume XLV, 9 July 1925, Page 5

WOOL SITUATION.

CONSUMPTION EXCEEDS PRODUCTION. REGULATED SUPPLIES NEEDED. BY CABLE—PRESS ASSOCIATION—COPYRIGHT. .MELBOURNE, July 8. Mr Andrew Williamson, presiding at a meeting of the Australian Estate and Mortgage Company, said the statical wool position, based on the past three years’ consumption, exceeded production by at least one million bales per annum. This was only made possible by held-over war-time wools These were now sold, and there was no likelihood of a material increase in production. ' , There seemed little doubt that the wool stocks on the Continent were small, and Britain’s was hardly equal to the normal pre-war stocks. When confidence was restored buying would begin for the replenishment of depleted stocks. The whole position must be strengthened. He suggested that the best way for wool-growers to face the position Was to regulate their offerings in order to ensure that the market was neither flooded nor starved. Continued withdrawals only tended to postpone the restoration of stability and confidence, and to encourage the use of subtsitutes.

The board had carefully considered Sir John Higgins’ new wool marketing scheme, and had definitely decided against it as being most undesirab’e and fraught with the greatest danger to the growers’ best interests. He believed this coincided with the weight of opinion in Australia.