UNKNOWN

Manawatu Times, Volume XLIX, Issue 2544, 29 November 1924, Page 10

UNKNOWN

' ■/ Bumv FOR FARMS. 1N evidence. CLOTHING TRADE. ; NOT EXPKCTED aI1(i strengthening high prices paid for ?J}& are facts that are a beneflcia! influence £jis, 'S '■ life of the community. fleet is good, inspiring d optimism in the out-'■-ijpfi)i'H man on the 'land. Two i may be noted. One is already evident in the particularly for sheep osili on s, and the other is SliiiiiV* l bigh er prices should give lien manufacturing trade, Zealand lias recently somewhat severe depreslone is' noted by land im applies to almost all farm, lands, for it is not but butter, mutton, lamb that have opened the sea--1 ’eople are beginning to talk about farms again instead lahd offhand as a hopcThat more hopeful : ’-i-"' 5 important. It indicates a from that concentration of |M j.ikj enterprise in the cities HBBns -which has held such dantrue prosperity of the mmmn. tllere ls plenty Of inquiry “We can sell any number if we could only arrange for declared one well-know'n agent on Saturday. “In the days tliero has been inquiry [S&Wdarly for sheop country. That i with the prospects so good i wool and lamb. But there isj ■To a 8 demand for small one-man Wairy farms. B What An Extra Penny Means. I “Finance is the sticking point. New Bzealand has great funds in London ■sauks, but the question is how to ■bring the money here without drop■ping too much on the way. A rise 01 Bid. per lb. on wool, such as was reIcorded at Napier, means an extra ■million pounds in the aggregate, as ■the Dominion’s clip amounts to about 1240,000,0001 b. The rise so far record■3d this season over prices ruling last ■March means an increase in the farm Bjrs’ receipts of from £5,000,000 to ■16,000,000. But we have got to gel flrold of that money first. When it is

n circulation it is going to make a Treat difference in the complexion of iffairS, not only on the land, but throughout every phase of the counry’s life." Other agents had the same story to ell of a more hopeful tone and better nqulry. It was time too, they considered, that attention was turned '4om bricks and mortar in the city. Jrban values could not Jje maintained £ the country were neglected and alowed to stagnate. A favourable disrosition toward rural securities was essential and the buoyancy of the primary markets was producing the right atmosphere. An easing of the exchange position and the opening of the minds of large trustee concerns and financial organisations was need ed now to consolidate the greater health apparent, in rural affairs. Admittedly the golden fleece was having a great influence in that direction, and would, moreover, encourage the farmer to lau i«h out, whether by stocking up his present holding or inducing him to underudee the farming of a larger area. Reaction on Clothing Prices. High prices for wool are bornd to re-act on all woollen goods, states the head of an Auckland wholesale firm. is not, however, expected that the. effect will be immediate. The woollen trade in the Dominion has been depressed as a result of heavy importations. Until these are cleared and demand sets in, there should be no increase in prices. A dehd loss to New Zealand mills is certain at the quotations at which they are executing orders if they have to manufacture the articles at the present prices of wool. They have been working recently against 'keen outside competition, and have had to cut their prices drastically. To meet the position created by heavy imports and heavy stocks prices were cut to induce people to buy. Certain lines are at present selling at a dead loss, and even so the demand has not been f.uflicient to enable the mills to work full time.

Referring: to a report from Palmerston North, forecasting a rise in (he price of suits above that asked during the war period, the warehouseman considered this rather a rash statement. If the retailers were well stocked, as they'had been, they were not going to put up prices immediately. Until they sold out present stocks the rise would not have any effect on prices. Good Effect on Trade. Of course ■ the prospect of higher prices ultimately might induce the farseeing of the buying public to take advantage of present prices. But more business might be expected from the retailers who were short-stocked, but had t been holding back in the expectation of lower quotations. The recent sales would convince them that that expectation was vain, and they would try to get in on the present basis. In that way the improved value forth e raw material was bound to have a good effect on trade, apart from the greater purchasing power placed in the farmers’ hands. Quotations for, British woollens had already increas- j ed, compared with a few months ago, i ‘and this was all in favour of clearing J present stocks and starting sooner or j later on the higher basis made neces-1 aary by wool prices, j