DOMINION’S WOOL

Hawke's Bay Tribune, Volume XXIII, Issue 102, 11 April 1933, Page 11

DOMINION’S WOOL

SELLING SEASON ENDS BETTER TONE IN MARKET. SATISFACTORY CLEARANCE. There has been a better tone in the wool market during the selling season just completed. Ready clearances have been effected, as the result of a strong demand by buyers, within definite price limits, and tho willingness of growers to meet tho market. On the returns the season cannot be regarded as satisfactory, ruling prices being still unremuncrative to the grower. Average prices in the North Island are estimated at between 4d and 5d per lb. To put the industry on a 'secure footing crossbreds must improve 100 per cent, to 9d por lb, and a fair return for halfbreds is generally reckoned at lOd to Is per lb. Ruling prices in the low grade wools show a heavy loss to tho grower. LARGER PROPORTION SOLD. Perhaps the most satisfactory feature of the season was that a larger proportion of the clip passed into buyers’ hands. The amount of wool held over in previous seasons tended to have a depressing effect on the market and the sales should open next season to an unencumbered market. Although wool is not a spoilable commodity like butter thero ara limits to the period of holding, and accumulation helps the grower only in the event of a rising market. Growers generally realised the futility of further storage and some of the wool placed on the market during the season was subject to holding charges. On some of these lines a loss was natural. At the final sales this month tho clearance was over 60 per cent., and it is estimated that the amount sold during the whole season was between 85 per cent, and 90 per cent, of the total offering. This compares with a clearance last season of about 80 per cent., the amount offered being 572,342 bales aud that sold 465,810 bales. The estimated sales this season were about 600,000 bales. The strength of the demand this season was for the finer wools, which are fashionable at the moment. There has beeu wider inquiry for 50’s and over and the coarser grades has also been sought, although at lower limits. Although prices generally have been lower in tho North Island, there has been a keener demand and the sales havo shown more animation. In the South Island values have been slightly better, due to strong Japanese and local competition for the finer sorts. LIMITS OF BUYERS. Throughout most of the season buyers’ limits were restricted for the lower grades, but fairly elastic limits were revealed on competition for other sorts. However, the 46’s quality was more keenly sought in the closing stages of tho series and it appears that there is a greater Home demand for the lower grade tops. Bradford still has a considerable and steadying influence on the market, although there was increasing competition from other quarters. The sales closed very firm with all sections of the trade active. Continental competition was evenly spread throughout the series, with Bradford also a constant buyer, was more active on the South Island and the local mills also came on the market frequently. As far as the North Island was concerned the local mills filled most of their requirements at the opening sales. As far as can be estimated, shipment to London this season has not given particular advantage, in spite of the higher exchange rate. Values for the fine crossbreds in New Zealand were at parity with London. A fair quantity of wool has been shipped on consignment this year, but the movement was not as pronounced as in previous years. —“N.Z. Herald.”