HUGE WOOL ORDER

Hawke's Bay Tribune, Volume XVII, Issue 212, 22 August 1927, Page 7

HUGE WOOL ORDER

TO GO TO AUSTRALIA RUSSIA BUYING DIRECT. New York, July 16. The All Union Textile Syndicate of Russia will buy millions of dollars' worth of wool in. Australia, it was announced to the representative of the Vancouver “Daily Province” at the textile syndicate's New York office. The explanation of the purchases being made in Australia instead of through intermediates was that the system under which the syndicate operates require them wherever possible, to buy' directly from the producers. In this case it will be from the .wool raisers of the southern Dominion. The increase in purchases of wool by the Soviet syndicate is due. according to officials of the New York offices, to the restoration to nearlv normal of the textile industry in Russia OUTPUT INCREASES. In 1921 production of manufactured textiles had readied onlv 15 per cent, of the 1913 output In 1926 the output had' passed the 100 per-cent. mark and is now considerably above 1913 figures. The AH Union Textile Syndicate’s New York office handles the purchase of much American cotton, according to the foreign department of the Equitable Trust Company, who handle transfers of millions of dollars monthly for Soviet commercial transactions. The Chase National Bank also does some of the monev transfer business of that country. During the vear ended October 1. 1926. the Textile Syndicate purchased here for shipment to Russia 33.000.000 dollars’ worth of cotton. The current fiscal vear will proßSTilv see this volume doubled, as the nurchnses for the first seven months amounted to 35,000,000 dollars. In explaining the great increases in purchase of textile raw materials, an official of the Textile Syndicate stated that little of the manufactured product was being exported, that tho people of the Soviet had absorbed tho entire output for clothing and other purposes. RESTORES PLANTS. The restoration of the Russian textile plants has been accomplished through purchase of machinery in Germany and England. At this time, however, some equipment :s being imported from the United States All transactions for the Textile Syndicate in Australia aro being handled through a branch office in Sydnev which is under the direct control of the headquarters in Moscow.

Lack of commercial relations between Russia and England will have no effect upon purchases bv the, Textile Syndicate in Australia The woll shipment will be handled through Bremen for transhipment to the textile centres of Western Russia, most of which are located in the Moscow and Leningrad districts.