WOOL VALUES AND THE MANUFACTURER

Manawatu Times, Volume LVI, Issue 6519, 7 April 1931, Page 7

WOOL VALUES AND THE MANUFACTURER

Piece Goods Trade Lags BRADFORD OBJECTS TO RECENT RISE United Press Association.—By Electric Telegraph.—Copyright. LONDON, April 4. Regarding the wool position, the Bradford correspondent of the Yorkshire Post writes that there has been recently more pronounced indications of a determination not to follow the upward course of wool values, until it is easier to secure compensating prices for yarns and piece goods. There is a limit to the power of the raw material to dictate prices, and it is felt that for tho time being it has largely exhausted itself in this respect. Excitement in tho raw material market during the last few weeks has not been carried into the piece goods department, and it is surprising indeed to what a restricted extefit there has been any response by purchasers of fully manufactured materials to the rapid advance in wool, particularly in the finer qualities. The total volume of business in piece goods has not developed as one might imagine from the recent scramble for wool, and competition for a share in what has given out has not been so keen that makers-up and the piece goods merchant have not found it necessary to pay more than a very small percentage on the increased cost of raw material. JOY OF THE GROWER.

“NOTHING MORE OPPORTUNE.” SYDNEY, March 20. Tho increase in the price of wool seems to be the most definite thing that has happened in Australia during the past turn months. Nothing could be more cheering, nothing more opportune. When wool commenced to rise some doubters thought it. was a mere flash in the pan. But it has gone up and up in a most cheering fashion, and now Australia has the spectacle of buyers tumbling over one another in tho wild efforts to securo tho little wool that is remaining. What foresight was shown bj the brokers when they decided to limit tho catalogues! That decision was influenced by the low prices then offering, the view being held that as the manufacturing centres were not overstocked prices must advance. Unfortunately for Australia most of its wool has been sold at the lower levels.

At £l-1 14s 2d a bale —equal to ll.Sd per lb.—the aveago price paid for wool at tlie auction sales in Sydnoy last week touched "peak 5 ’ for the currentseason. Bidding throughout was sustained and brisk and competition was widespread. Early in the season there was little competition and most of the buyers adopted an ‘'after you” attitude to one another. Now all that has changed. Spurred by the knowledge that if they do not get their wool shortly thero will not be any' left, foreign buyers arc making a final spurt. Last week’s bidding was the keenest seen in Sydney for two years.. Time and again buyers were on their feet protesting bitterly. It was their bid, they snapped. With only another 120,000 bales offering it was no laughing matter to lose to a rival. When the sale swero resumed last Monday there was a further rise of. 5 per cent, with rivalry oven more keen than it was last week. During the week ended September 20 the average price a bale was £ll 14s, or S.Od per lb. It remained about that figure until the week ended December 6. Then in one week the average went down to £9 13s 9d a bale, or 7.6 d per lb, and remained at that figure until the end of January. Here arc details of the advances since that: —

So far this season 362,394 hales have hen sold, and dspit tli limitation of catalogues to 10,500 a day the number is ahead of last year’s figures for the same period.

Week ended per bale per lb. February 7 .. £11 4 4 S.Sd February 14 .. £11 10 11 3Jd February 21 .. £12 2 0 9.fid February 28 .. £12 16 7 10. Id March 7 .. £13 17 0 lO.Sd March 14 .. £14 14 2 11.8d