LONDON WOOL SALES

Marlborough Express, Volume LIV, Issue 127, 1 June 1920, Page 6

LONDON WOOL SALES

STRONGER COMPETITION ;'IN,! LONDON. i •■■■■-

RELAXATTON OF BXPORft

ItL^RICTEONS

[FBOM OUR OORBKfIPONDENTj LONDON," March 25. . One cannot but feel greatly concerned about the political outlook in Germany and the adjoining countries, the turn of ©vents being' of more than ordinary concern to -members of the textile trade. There were hopes a month ago of Germany coming back gradiially into the arena of the textile trade, in> fact persistent rumors had been going round the trade for nearly two months that our Government had agreed to ship to Germany 1,000,000 • bales of raw material, chiefly crossbreds, . between now and the end of the year. This no doubt was the outcome of the readiness with1 which,:. coarse crossbreds were taken in at each series of sales this year when their limits were not realised, it being frequently stated in Coleman Street that they were destined for Germany. We think that such a supposition is now altogether outside the question, for the Imperial Government cannot afford to take unnecessary risks even with cheap bought Colonial wool. Neither do we think there is need so to do. There is a far greater consumption of medium and low crossbreds than, the average reader supposes, and one can safely say that the consumption of these is steadily expanding. The situation only needs judiciously handling to see shifted all crossbred supplies, and with more combing machinery getting back to york in France, together with a free f-xporfc to the Netherlands and Scandinavia, it looks as if the trade can absorb all arrivals without stocks accumulating. At. least that is the only interpretation which one farm put. upon to-day's .situation. There is being witnessed to-dny • a muchl bettor demand for ■ crossbreds of all dualities than at any previous time this year. and now that exnort of all qualities is allowed, we shall see more n-edinm and fine crossbred tops sent out of the country. BUSINESS ARRESTED. It may not be general knowledge, but well on the top side of thirty firms in Bradford and district had arranged to send wool to Germany to be handled on commission a fortnight ago, in fact it was mentioned in a very important quarter in Bradford six weeks, ago that twenty-five York-j-shire firms*'were already employing machinery in Germany, while the writer himself aas bought merino dry-washed tops that have been combed in Leipzig from wool sent over by a London broker. Many ■firms unable to meet all their requirements in Bradford have pm*-

chased wool in London whose destination was Germany, where same was to be combed, spun and woven on commission, the goods also being dyed and finished in the 'Fatherland. In some cases the cost of manipulation was to be paid for by a certain portion of the finished product being left in the hands of those who had daiie the work, and everything nidi' cated a. return to decent manufacturing conditions. Tn& present, upheaval has simply stopped all this, and although botn German and Bradford insurance companies have insured the goods, still many are now feeling very uncomfortable. It is the old story over again, namely, that once let extreme socialists obtain the reins of the Government and the whole country soon becomes involved in riot and blood-shed, bringing to end all peaceful living. It is a thousand pities that these cannot .we, for after all the bloodshed the whole nation must co back to first principles, namely t&it they must work if they would eat, and it is a thousand pities that any country should be disturbed by extreme socialists who are seeking to reform the country in a way that always spells ruin and not prosperity. The textile trad© in Germany is capable of vozy big things. It has. continued in the past to the prosperity of Germany, but it now looks as if the end has come to any reasonable development at least for : a long time to come, and Germany must go> back to remain in the mire caused by the recent Avar.

RESTRICTIONS RELAXED ON TOPS AND YARNS.

Good news was forthcoming a fortnight ago when the Board of Trade had been recommended to remove all export restrictions oft tops and yarn, and it is announced that the Board of Trade Journal to-day will contain an official notice removing the restrictions on the export of wool, tops and mixtures thereof and.of woollen and yarn and mixtures thereof. That is good news, and much overdue. Both topmakers, spinners and manufacturers have applied for licenses on a large scale within the last fortnight, a clear evidence of a big export trade, and those who have applied within the last seven days have been apprised of the fact that "licenses are no longer necessary that that customs officials at ports of shipment had1 been also notified. This is very good news, and no doubt is responsible for a freer movement of wool in London. It was hardly expected that Bradford export, houses could remain idle and see their Continental customers being supplied with, merino tops and no export allowed from this country. It" was too much of a good tiling, and we are glad that the Boaid of Trade has acted so speedily on the recommendation of the Export Sub-Committee. It is not generally known, but last January 300,0001b. of merino tops were imported from 1 ranee, and in February 700,0001b. It now means with the removal of all restrictions, that British topmakers, spinners and manufacturers ibave no longer any need to apply for a license, for all classes'of wool tops ir.ay now be exported to all countries with the exception of Bolshevik Russia.

WOOL PRICES HIGHER IN LONDON.

Tho outstanding feature of the London sales this week has been ;i further increias© in prices, and there is now general agreement that merinos are 10 to 15 per cent dearer, often the'latter. It does seem a bi.<> advance, but topmakers are now fra-iik enough to admit that 64's cannot be produced under 13s 6d and they see how foolish it is to attempt to sell at any less. What strikes one most is the maintenance of a ver^ keen demand for merino wool. It is all indicative of an extraordinary situation. Business must be exceptionally good; in Jact it,is, and it is amazing how, every day's catalogue is absorbed without any apparent difficulty. It makes one wondei what is proceeding behind the scenes for m Bradford, -combings gets worse and worse. There aro those who have had wool at the combers since last August who have not yet had a turn, and yet .merino wool "is moving out of hand at higher prices than ever. America is quieter than before, and one feels that it is France and the home trade which are entirely responsible for the way fine wools are selling. There has beer offered this series a big quantity oi scoured merinos, mostly. ■ Continental style, Since last writing 131^d hut teen .paid which makes a record, but the bulk of the merinos are selling anywhere from,' 100 dto 120 d, the top side; of IOOd being paid every day. A line of New Zealand scoured merino uool (Walter Peak) made 90d- and on the whole the course of merinos is excellent. .

;. .CROSSBREDS BEARER, There is no question as to the standing of crossbred .wools. No matter what quality is considered, they arc letter and fetching more money. Th-e bulk of these are to-day o to 10 per c-enfc. above last series and as far as one can see there is no likelihood of any tailing off in the demand. topmakers say that crossbreds are fetching all round 3d per;'lb more than they were last series, an advance which to say the least is significant. -One can understand a rise.of Id, but after all the talk of restricted export, heavy suplies and coarse and medium crossbreda remg unfashionable, there must be something very tangible otherwise these wools would never be moving as they are and at the advance which is being seen.. That is a situation which to say the least is very significant, and it looks as if there is a far greater consumption than the majority have the least conception or. Very good prices are forthcoming for scourea crossbreds, while siipes are anywhere from 3d to 6d dearer according to quality. From whatever standpoint the position is viewed, there certainly is a good deal of satisfaction to be derived from tho: way things are going in Cfoleman I Street. ■ I