FARMING INDUSTRY

Manawatu Standard, Volume LIV, Issue 307, 24 November 1934, Page 9

FARMING INDUSTRY

CONDITIONS REVIEWED. UNSETTLED MARKETS. “In reviewing the market conditions relating to our primary produce for the past 12 months, it is seen that we are faced with a difficult task,” stated Mr T. Currie, chairman of directors, at the annual meeting of shareholders of the N,Z. Farmers Co-op. Distributing Coy., Ltd., at Eeilding yesterday, in the course of a comprehensive review of the farming industry. “While on the one hand, the returns to our woolgrowers and meat raisers have been fairly satisfactory, on the other the reward for the dairy farmer has proved most disappointing. “It is becoming more evident each year,” be added, ‘‘that as long as unsettled conditions prevail in the Homeland and on the Continent of Europe there is likely to be little prospect of any substantial appreciation in the values of our main primary products. We are an exporting country, and as such our prosperity depends upon the returns we receive from our exports. Whilst we may devise many schemes for improving quality and distribution at this end, these efforts, commendable though they may be in themselves, will be of little assistance while the great consuming markets of the world continue to offer the present low prices for most of our main products. “Wool and dairy research undoubtedly perform useful functions in ensuring that the quality of our goods compares favourably with those competing in the world’s markets; but until conditions overseas become more settled and freer credit between nations is available low ranges of pricey are likely to continue. The statutory relief in regard to interest and rates will assist in reducing costs of production, w’hite the continuance of the exchange premium has amplified our returns.

“With the burden of war debts and reparations still unsolved, and the extension of tariff barriers still unchecked, international trade remains restricted, to the disadvantage of creditor as well as debtor nations. WOOL MARKET.

“It is pleasing to me u> be able to stale tutu a Page increase m overseas shipments or wool is evidenced, indicating mat many neid-over clips nave been disposed, of. 1' or the x'2 months ending J line 30, 1934, the iota! slupnieliLS amounted to 52‘2,3u0 Pales, valued at £t3,287,40a, as against BUi,od3 bales valued at £O,lodjiJotl for me previous year. ‘‘in reviewing tile past selling season as a whole it must be again classed as disappointing, lor though me maiKet opened with a good tone aud the early sales, especially those in January, were very encouraging and provided splendid returns to growers, me later sales were inclined to be liteless aud values were again most disappointing, resulting in there being a considerable cauy over, tliougn fortunately not to tile same extent as previously, was tlie ease. Bmee the close of the New Zealand selling season, a further decline in prices has been evidenced on the London market. Fortunately the position lias recently shown some improvement, and while with world conditions so unsettled, and the general financial position so chaotic, it is most difficult to forecast the future, it is undoubtedly a fact that the position front a seller’s point of. view is improving and while prices might not quite equal the average of last year it is hoped the demand will be sufficient to encourage growers to meet the market and thus hasten tlie recovery in this most important industry. “Fortunately each year more growers are realising that it is to their advantage to support the local sales, and this season it is pleasing to note that many who have previously supported the London sales have decided to sell locally, where not only will they obtain the benefit of competition from all countries operating on the London market, but also from Australia and the local operators. “I desire again to impress on growers the advisability of having their clips prepared for sale in a manner likely to attract the attention of buyers from all parts of the globe. Fleeces should be bellied and properly skirted when put over the table, and if the grower is unable to class his wool, owing to lack of time or accommodation, his selling broker should be instructed to perform this most essential work. “Tlie company was successful in selling 23,260 bales in the past season at Wellington and Wanganui, an increase of 2592 bales, the average price over all being £ls 5s 9d per bale and 9.96 d per lb. This year we have been successful in securing many new clips and provided market conditions are reasonable, we anticipate recording a much bigger increase during the coming season. “It was hoped, when reviewing conditions at this time last year, that a more definite improvement would he experienced, but with the exception of wool, little advance lias been evident. However, in many cases our primary producers have been able to consolidate their positions, but the future still calls for caution and reasonable economy,” Mr Currie concluded.