WOOL TRADE.

Lyttelton Times, Volume CXVII, Issue 18282, 18 December 1919, Page 10

WOOL TRADE.

THE BRADFORD MARKET. [From Our Correspondent.] BRADFORD, October 24. Last week was marked by the introduction of overtime in tho woolcombiog industry, in accordance with tho decision of the operatives. From the limited experience of a few days, it looked as if the output would bo substantially increased. Practically speaking, under the new system tho machinery as ram continuously during the whole of the twenty-lour hours, and consequently, so far as labour is available, the maximum production is being obtained. This week, however, has seen a turther obstacle to the removal of the inadequate supply of fine tops which is so handicapping tho trade. This now development is one which will probably cause a quiet smile to appear on tho face of the grower of wool in the colonies. In Australasia a drought, has a very real significance,* and the vagaries of the rainfall exercise a. very serious effect on wool production. It is rather a novelty, however, to find a drought threatening to interfere quite drastically with the Bradford trade, and moving the spinner and manufacturer to pray for rain. For many weeks the rainfall in England has. been below normal,' and most districts aro suffering from a shortage of water. In Bradford, howover, the position is acute, because the' construction of an extra pipe-line from tho gathering reservoirs had to be abandoned during the war owing to Government veto. The result is that there is now oniy forty-six days’ supply in hand. The water is cub off daily from 6 p.m. to 6 a.m. Firms who havo their owu private supplies are unaffooted, and others are using every effort to carry on: hut there aro many firms who havo found it. unable to continue tho night turn in the woolcombing industry, where largequantities of water 1 are necessary for washing and scouring the wool. Further restrictions were foreshadowed m the event of the drought continuing, and those would have had a serious effect upon tho already restricted production of fine tops j but luckily this morning there is ram falling pretty heavily, and it looks as if the droflght had ended. &o far as the market is concerned, the continued rise in the value of merinoes and fine cross-breds is amazing Our quotations at tho end of this article show tho extent of the rise, hut it has also to bo homo in mind that the quotations given are for future delivery—. February or March in the case of merinoea, January or February in the case of fine cross-breds. Practically the entire output of tho trade up to that time has been mortgaged on existing contracts. Spinners, however, are short of tops to keep spindles running, owing to the inability of topmakers to keep up with their contracts, and consequently they are eagerly snatching any odd lots of tops available for prompt delivery. Spot lots of 70’& merinoes havo freely made 144 d during the past week. When it is remembered that 70’s were considered dear before the war at 30d the extraordinary extent of tho rise can be gauged. Botany yarns are practically impossible to buy for delivery within tho next few months, and it is apparent that the world’s demand for fine worsted piece goods is so insistent that price ia a secondary matter. A feature of the market, however, is a slight indication of an improved demand for medium and coarse crossbreds. Of course the future of tho strong wools depends largely on the revival of the German demand. -Up to a few days ago there was an excellent inquiry from this quarter,' bub business was confined to very, small lota, the idea apparently being to turn these over before ordering in larger quantities. During tho past few days, however, there has been quite a large turnover for both tops and yarns. Evidently the exchange difficulties are gradually being surmounted, and in. this connection the loan which the British Government is floating has helped to give greatof confidence. Topmakers and spinners are consequently acting more independently, because low cross-breds aro eminently reasonable in price, and everything in the near future should tend to strengthen their position. Of course, supplies of wool are comparatively plentiful, and will bo abundant when ne.\t year's Arrivals from the colonies are availablo. At the same time, there is also the machinery factor to 'bo considered. Tops are now relatively on a par with raw material; but if the demand should exceed the supply temporarily, . the margin between the two will expand. The position is accentuated at present, when there is a large vacuum to fill with wool products in Central Europe; but even before the war the value of tops fluctuated much more widely than that of wool, being alternately dearer and cheaper when cost of production was reckoned in. The following is our usual table of Bradford quotations for tops:—•

AVERAGE PRICES OP TOPS. Oct. Oct. Sept. 23 9. 26. d. d. d. July, 1911. d. 70’s merino . 129 120 *120 83 64’s merino . . 123 117 117 324GO’s super . , 137 111 111 314 60’b ordinary GO’e-Gl’s 1 Capo 117 110 110 81 117 111 111 82 &8's cross-bred . 94 90 87 26J 56’s crossbred ; 83 80 77 23J 50’s cross-bred . G8 65 64 204 46’s carded . . . 46 45 45 17 . 40’s prep arod . 86 8SJ 354 16 30’s prepared .85 344 344 15*2