FEBRUARY IN MARK LANE.

Lyttelton Times, Volume CXX, Issue 14981, 29 April 1909, Page 10

FEBRUARY IN MARK LANE.

("The Field," March 6.)

That the past month has been an eventful one no frequenter of Mark Lane is. likely to deny, nor hacs interest been limited to one staple. Seven distinct occurrences may bo set down in order—(l) Gigantic shipments of wheat, linseed and oats from Argentina beginning quite early in the month; (2) unexpectedly firm holding of maize new crop m America, and consequent difficulty in fulfilling contracts to deliver in Great Britain : (3) remarkable corner in American wheat for May delivery, and consequent sharp rise in prices for March and April supply; (4) material fall in linseed and cottonseed owing to large supplies of Argentine linseed and the improved prospects of Indian oilseeds ; (5) important conference of millers from all parte of tho kingdom, with strong feeling for uniform _sale rates, against undercutting bakers 1 , being supplied, and also against contracts for more than three months' forward delivery; (6) Arctic weather increasing the demand for all dry food by perhaps 10 per cent; and (7) a rise of a halfpenny on the loaf, thereby affording flour holders a potential margin of 4s per sack advance, and wheat holders an analogous ri6o per quarter. In the first three days of March, which but for our eccentric calendar would belong to February, we have seen 2s of the 4s possible rise obtained by millers and paid by them for wheat. The situation in this respect, therefore, appears to be that bakers and farmers are both better off from a month ago, while millers are content with a large and brisk business at old profits. Of the American speculative movement it is sufficient to say that its centre is Chicago, and that it is credited with' controlling 40 per cent of the wheat in merchants' hands 'throughout the United States. Farmers' ability to swamp tho depot holdings with new deliveries at the 2s 6d per quarter advance effected since New Year's Day is stated to be controlled by the inability of the depots to receivo new deliveries until the old are cleared. But these are held for the much higher prices in question, and do not get cleared in the absence of bona fide demand for delivery thereat. Tho average prices of British produce have not shown for February as a whole the changes which marked the closing markets, which were those of London and Liverpool on February 27, Canterbury and Reading on February 28. Tho rise in wheat by February 28 whs 9d on the month, on barley \ras 4d on the month, and on oats was 2d on the month. The first three days of March added about Is 3d for wheat, 8d for barley, and 4d for oats, so that oil a normal monthly period of thirtyono days wo reckon British wheat 2s. British barley Is and British oats 6d

dearer. The comparison with previom Februarys, however, is the more important matterj though that with i previous month is the more immediatelj encouraging. The folloiving aro Feb ruary averages on British produce sinc< the new century:—

I Both the wheat and barley average. 1 for February, 1909, will be found to be thoroughly encouraging, the recovery - in_ value being steady since 1907. The price of oats is not satisfactory. A reason given at Mark Lane (but by buyers) is that the sample varies sc much from year to year. This is not to be disregarded, but is somewhat oi a surprise, seeing that the oat is, of all the cereals, that which i 6 best protected by Nature against the accidonts oi weather at harvesting. The oats which have had the cold dry air and winds ot January and February round the stacks should be worth a sovereign per quarter. "With respect to flour prices, they arc now about as follows:—Top price, 34s cash ex mill; town household, 30s cash ex mill; country roller whites, 27s cash ex London goods station; and stone ground, 26s per sack. Hungarian being practically unobtainable, we may note that flour made in London by Hungarian process is a fair substitute at 35s per sack. Foreign produce is not so strongly held as British as a whole, but may thus be divided—(l) Articles genuinely firm and confidently held _ for higher prices. These are American winter wheat, Russian and fine Roumanian wheat, Anatolian barley, Moravian barley, New Zealand, Swedish and Dutch oats, canary seed, haricots, dari, sor ghum and millet. (2) Articles which are dearer, but not at all a settled trade. Here one may name Manitoba, Canadian, Argontine.~ Californian, Oregon and Australian wheat, all sorts of maize, Russian barley, Gorman oats, and all sorts of foreign and colonial beans and peas. (3) Articles- which have either not shared in the advance or are only "dragged along in the procession." These are Russian datsj Argentine oats, Californian barley; and Indian wheat for June. .July and August delivery. There is no Indian wheat to be had for delivery in the present month or in April or May. The present range of foreign wheat prices is from 4.0 s to 445, with 42s as a fair mean. Buyers must, however, be careful as to weight; thus Durum at 40s i fid ner 4801 bis dearer than-Odessa Gliifka at 41s per 4961 b, but the seller quotes either at simply so much " per quarter." California i.s as much as •5001 bto the quarter. The price of Jmi ported barley shows a very wide range, a guinea being accepted for the poorest Persian and 44s paid for Anshea s best. There is little bulk offering, except of Californian, at 34s per 4481 b, and of Russian, -at22s 3d per 4001 b. Oats make only 15s 3d per 5041 b for new Argentine and 15s (id for 190 S Russian. The latter, which have had five months of Russia's north-east winds to reason j them, are probablv the bettor value at I the small price difference. Maize is rather cheaper for the small round corn —usually the most esteemed—than for either flat or vpllow. At 27s 6d to 28s all sorts of maize sell well. Other prices for foreign products arc: 26s per 4801 b for Dari, 27s per 41011) for buckwheat, 32s per 4801 b for Chinese beans, and I 39s per 5041 b for Canadian pea?. ! The fall in oil seeds is exceedingly welcome to farmers, who have been much oppressed by dear oilcake, while unable to reproach crushers or cake merchants when the wholesale car&o prices for the. raw material clearly explained tho terms quoted to tho agriculturist. To-day Argentine linseed is coming in quantity at 40s per 4161 b. I while heavy purchases of Indian new I crop at 42s nor 4101 b for April and Mav shipment offered an agreeable outlook on the nfiEr future. Cottonseed has declined 7s 6d per ton on the month. Sales of breadstiiffs in February exf reeded the average of British wheat, but were less than usual of imported I produce. . Prices sufficiently explain | this, the produce of British fields having uniformly undersold foreign and I colonial grain.

Here the change in the position from last year is very marked, and is alsomost encouraging to present holders. Imports of feeding stuffs for February thus compare with recent years :

February seldom receives a large supply of barley. Of oats the amount will strike the London reader as unexpectedly small. London received 200,000 quarters, a full supply, but all the rest of the United Kingdom received only 117.000 quarters altogether. .Of' maize, the briportS' wei'o smaller than in any preceding. Febru-j ary within the.record. L Argentina has been the great wheat shipper of the month, but Australia's 1,037,000 quarters exported are a considerable item._ America has done much lees than usual, but tho reason for this Ims ; already been detailed. Russia has shipped an average quantity. February, of course, is not a period which favours exports from a country where snow blocks rails and ice impedes navigation.

TJio supply of wheat on passage to the United Kingdom on March 1 was 3,500,000 quarters, as compared with 4,285,000 quarters a year ago, and 2,892,000 quarters two years ago.. Of flour, barley, maize and rice, anticipated arrivals do not attain an average, but oats and linseed should ho on free offer during tho next four or five weeks. Maizo shipments in February were bettor than usual from the three growers of round corn, Russia, Roumania and Turkey. The New World was a feeble shipper. Barley shipments from Russia were 518,000 quarters, and the recent yield in Russia was unquestionably above the avorage. Tho Russian shipments of oats, 372,000 quarters, were materially surpassed by the exports of Argentina, which amounted to 584,000 quarters. These two rivals, situate in different hemispheres, and growing their grain under sub-arctic and sub-tropical conditions respec- • ■tively, compete with a curious closeness, the grain from either source being light, and a poor, "husky" product, grown, however, on land otherwise almost unlettable, and offored at prices, 5s por cental or thereabouts, which, so far as mere cheapness is concerned "defy" the competition of p>au>. fertile areas.

Wheat Barley Oats (4801b). (4001b). (3121b) a. d. s. 3. s. d. February, 1900 . , 33 8 , 27 a 17 10 February, 1903 . 33' 2 26 8 18 0 February, 1907 . 26 6 21 3 17 7 Fobruary, 1906 . 23 9 23 4 19 0 1 February, 1905 . 30 7 25 1 16 9 I February, 190* . 27 1. 22 i 16 0 ! February, 1903 . 25 4 23 o 17 0 j February, 1902 . 27 2 26 11 20 3 i February, 1901 . 26 5 25 5 17 7

BREADS!UFFS (460IM. British. Imported. Total. February, 1909 . 7.51.000 1,368,090 2,319,000 February, 19.13 • . 770,030 2.400 COO 3,261.001 February, 1907 . c'0.5.000 1.427,000 2,232.000 February, 190G . 802 000 1.202.000 2.004 000 February, 1905 . 453.000 1.643,001 2,128,009 February, 1901 . 437 000 1.887 OOD 2.321.00) February, 1903 . 315,000 1,002.000 2.217,00:) February, 1902 . 681,000 1,851,000 2.032001 February, 1901 . 56S.OOO 1,341,000 1,912,000

Barley Oats Maizo (4001b). (8121b)S (430 lb). February, 1309 383,000 377.O0O 658.090: February, 130S 300.000 316.000" "" aio.oo:)-, February, 1907 . 3S3.000 190.000 £62,000: February, 1906 488,000 342.000 1.027,000 February, 190.1 343,000 341.000 ■ 882.00.1 February, 1901 723.000 405,000" .;. 922.00 V February, 1903 470.000 303,009- -. 837 000 February, 1902 .".22.000 329,000 775.000 February, 1901 . 340.000 GS2,000 1.126,000

America. Arpenfina . Russia. Qrs. Qrs. Qrs. February, 1909 • 686.000 3801,000 647,000 February, 1008 . 1,834,000 3,696 000 233.000 February, Februajp, 1007 . 1900 . 844,000 S86.000 1,695.000 1,427.000 603,000 1,254.000 February, 1905 . 135,000 1.384,000 1.145,000 Febmarj', 1904 . 413,000 1,867.000.' 1,101.000 February, 1903 . 790.000 869,000 1,010,000 February, 1902 . 1,378,000 221.000 805.000 February, 1901 . 1.230,000 496,000 672,000