WOOL FOR RUSSIA

Manawatu Times, Volume XLIX, Issue 2310, 1 December 1925, Page 5

WOOL FOR RUSSIA

ON SIX MONTHS CREDIT. , SOVIET ACTIVITIES. A good deal of publicity lias been given to the fact that representatives of the Soviet Russian Government arc in this country for the purpose of buying textile machinery and also large quantities of wool (says the Manchester ‘‘Guardian Commercial.”). It U said that these gentlemen are negotiating for the purchase of f10,000,0i worth of South African Merino wool! In the opinion of the writer they might as well have said £50,000,000. We have had too much experience of the tactics employed by these representatives not to know they cannot buy anything like the quantity stated, and, with practically every purchase they want six to nine months’ credit. A Capetown cable specially states that the Soviet Government is prepared to purchase £4,000,000 worth immediately “provided that six months’

credit can be arranged.” These are not the terms upon which wool is usually sold. In London at the colonial sales, as well as in South Africa and Australia, the terms are cash down in 14 days from the date of purchase, and it would be a good thing for all other sections of the- trade if such conditions obtained. When tops are bought in Bradford payment is due 14 days afterwards. A good deal of wool has been bought during, the past two years in Bradford for representatives of the Soviet Government, the terms of payment being cash down for onethird of the invoice, and then bills accepted at three, six and nine months for the balance. Of course, the Soviet officials have to pay very dearly for such terms and the sooner they toe the'line and provide the cash like the rest of the trade the cheaper wool they will get. In 1923, the total value of what would be mostly colonial wool purchased by Ruswa from the United Kingdom was only £33,000. British grow mvool exported to Russia in the same year came to £307,000. It can be taken for granted that it is not possible for Russia to purchase anything like the weight of -wool talked about, and certainly she cannot consume anything approaching the weight of wool involved in an expenditure ol even £4,000,000 let alone £10,000,000.