THE FLAX MARKET.

New Zealand Herald, Volume XXXIX, Issue 11871, 24 January 1902, Page 4

THE FLAX MARKET.

The reference to the flax market in. our commercial column in this morning's issue will be read with interest by those who take note of the de-; velopment of this important industry. Subject as this commodity is to such fluctuations in value, the market is always watched very: closely, for a low price such as we saw only a few years ago, as against the present value, makes all the difference between temporarily closing down the flaxmills and running them at high pressure. The latter is now the state of the mills, and all fare naturally i keen to take full advantage of the present conditions. We hope that the present prices have come to stay, and • that millers will: do their part to see that the market is not lost through careless manufacture, as this has already been done on more than one occasion. The millers are not the only • ones who benefit by the present values,; as we understand that those who have in their hands the supply of green flax are not slow to profit by the eagerness shown by millers :to secure the necessary quantity. There can be little doubt that there is less flax available now, and, indeed, that unless special attention is given to its : cultivation, : the supply will gradually become less. In the old days it grew freely in suitable soils, : both on dry situations and in swamps. The former are to a great extent disappearing, as it is ■■■ a remarkable and well-known fact that flax always denotes good land, and consequently these";■;' spots are put under grass 'first. :"- As -for the swamps, they are denuded of the tall flax, which certainly grows j again, but with cattle running ! through it there is always a certain proportion which is kept down. The Government are )■ shortly ; going • to appoint a grader for Auckland, such, as 1 they have in Wellington, but it will be a little more difficult ito initiate that system here, ;as the/flax that comes into the market is put into so many stores, whereas in Wellington a central store receives it all. So far it has not been decided how it will be handled.: This will no doubt tend to uniformity,; as it has' already done in the case of butter, for anything that conduces to the prevention of irregularities will be found for the benefit of the trade. The latest cables from London have been to the effect that the market is again a little stronger, ■ after having shown signs of weakness lately. It is very probable that this has been caused by holders selling on the strength of the possibility of the market falling, for as we pointed out in this column last month, the continued high . price of Manila hemp has completely upset the calculations of the London merchants and • manufacturers.. Those who have sold as we have explained have now to purchase for filling their orders, and a temporary strengthening of the market has ensued. This is apparently the opinion of those in the trade, for while today the local market is stronger for immediate delivery, it is not the same for forward delivery.