COMMERCIAL.

New Zealand Herald, Volume LX, Issue 18550, 7 November 1923, Page 7

COMMERCIAL.

IMPROVEMENT IN TRADE.

CONDITIONS IF AMERICA.

THE PRODUCE MARKETS.

"Merchants report a general improvement in the condition of trade, but they are still waiting for the activity that they expect to see during the summer, having regard to the hopeful condition of the primary industries. Building trade keeps good, and retail has decidedly picked up since the welcome change in the weather, but the country trade has not yet shown the definite increase that seems to be overdue. It is explained in some quarters that in the country a much more cautious policy is now being adopted and that many buyers are quite determined to postpone all they can until they actually have the cash, so I that the dairy payments due in a fort- | night will have to be distributed before j there is any increase in purchasing. All this points to a greater rush than ever during the few weeks before Christmas, and the possibility of this is causing some buyers to operate while they can get j proper attention rather than wait till the j rush is on. Businete is being keenly competed for, ana while there is a good, total turnover it I must be borne in mind that it is now divided between a larger number of houses, so that it is difhcult for each, to keep up the returns. This leads to cutting, but from ! u, * 1 8 trana oired this week it would eeem j mat keen cutting does not necessarily imply profitable trading. Stocks are now fairly heavy in most de partments. large quantities of British goods having been landed during the last three or lour weens, after being delayed by the London strike, and this is another incentive to reduce stocks by cutting pr: .":s. Factors Affecting Values. . Values have not changed very much, speakm ° generally, although they are umtroued py factors, of immense importance. On tue one side of the Atlantic there is the paralysis of British trade, due to the deadlock in Europe, and this not only blocks trade with the territory directly affected, but also with those countries that are depending on European trade. All this leads to great efforts on the part of British manutacturers to capture trade, and very favourable quotations are constantly being received by New Zealand buyers. On the other side of the Atlantic the posiI tion eeems to be exactly the opposite, for | America is experiencing a trade boom which ! 18 absorbing immense quantities of material lof all kinds, manufactured and raw. The ! effect of this is that American manufacturers ■ are not particularly desirous of pushing ex- | port trade vo'-"* they can sell so well locally, ' and the <?X P*' V < ; returns for July, the latest j available, are .he lowest since August of last ! year, witn the solitary exception of February, i a short month. Dunn's Review has always S adopted a cautious attitude toward this boom, I and has usually suggested that it cannot possibly last. The latest number, however, j strikes quite a different note in describing trade conditions, although it still gives no I indication of the real cause of America's phenomenal prosperity, from which an, esti- ■ mate could be formed as to. how long it | will continue. Revival of Confidence. j The past month has seen a sharp revival jof confidence in the American busi- : ness world, and the number of I those who view the immediate future j with apprehension is rapidly diminishj ing. The volume of trade during the j summer months has held surprisingly well to I the recent high levels. Business in almost ! all branches is much better than it was j at this time last year, and the heavy moveI ment of merchandise is taxing the facilities | of the railroads, car loadings being larger i than ever known at this season. Even in j the building industry, where the greatest j falling off was expected, owing to the i absurd cost of labour and materials, activity |is well maintained. Permits were issued in I 167 cities during July for contemplated coni struction valued at £45.000.000, compared i with £41.000.000 .in July of last year, at 1 which time building was very active. Sales ■ of automobiles, a good index of. prosperity, I are well maintained. Beat opinion, on the whole, seems now to look for a, period of | at least average business activity and freer | from the violent fluctuations that have been • the rule since the war. i In view of the immense buying capacity I of America, the great creditor nation of the ■ world, it is impossible to over-estimate the | importance of a continuation of the remarkable prosperity of that great country, for its heavy or reduced- buying . must mean prosperity or ruin to certain industries in almost every country in the world. Activities of Farmers. The fino weather of the past week is causing the, farmers to o ive further attention to providing sufficient fodder crops for a dry summer, and large orders are coming in for seed maiae, turnips, carrots, rape, mangels, and Japanese millet. So far these are in advance of the orders for the last two years, and. point to the farmers being in a better position to take advantage of the improved prospects in dairying. The increasing popularity of millet is due to the fact that it can be fed off, thus saving the labour entailed in, handling other fodder crops, and the same inducement is expected to bring in the usual large. orders for swedes in a few weeks for providing abundance of feed for next winter. A few orders are already coming in. and, as orders for- fertilisers generally accompany the seeds, there is a heavy turnover in this department. Bonedust is rather dear, but super is obtainable at a favourable cost, and enormous quantities are being, taken up. There appears to bo a growing tendency to use special manures for each crop, and this creates a heavy demand for the various preparations put up by tho local firms. .. Lower quotations for basic flag have been named for next year, but very little business is reported so far. Merchants are inclined to hold off, as there is no indication of a rise to warrant speculative forward buying. Groceries.—Eastern advices again report a rise in sago and tapioca, bo that it is quite clear that the orders for the next direct steamer will be at a high level. Split peas uro in plentiful supply, after a good crop last summer. Two grades are now on offer. Norwegian advices are very unfavourable in regard to the new season's sardine pack. This usually opens in August, but last mail reported that no fish had appeared, during August and September. It was hoped they would be available in October, which would be the very latest that would allow of a reasonable pack of Silds end Brislings. Local stocks are only moderate,. and the Bummer demand is nearly commencing. Eggs..—ln r&entiful . supply, but it is thought that the flush is now over. Duck eggs are quoted at Is wholesale and Is 2d retail, but hen eggs are rather irregular. V, holesale is about Is 2d to la 3d and retail la 3d to Is 4d. Potatoes and Onions. Potatoes.— Old white aro practically all sold, and no more will be imported from Canterbury. Bed are still rather heavily stocked, and are selling at about 8a 6d, in a dull market. New Potatoes. —Digging has rapidly increased since the dry weather came in, and the price has fallen to 173 at Pukekohe Unfortunately for the growers, there are some who are not content to .make sales, but ! they are also sending in fair quantities on 1 consignment. The result has been that oc- ; casional sales have been made in Auckland i at a lower price than in Pukekohe. Australian are about over, and American are now selling better at 27s 6d to 3f)s per case. Oats.---Dull at about 4s 9d ex store. There is some speculative inquiry for shipment to Australia, but it has not put much life into the market. Chaff.--A good demand continues, but it is appreciably Teas than a month ago. Canter bury is selling at 10s 9d, Marlborough at lis 3d. and Australian at 10s. Wheat— Fowl wheat is in good demand at : 7e 3d ex store. . • Pollard. Demand is rapidly falling off and stocks will no doubt very soon accumu- ' late. Bran. —No more Importation will be i allowed, but there will be much' less rei quired for the future, and the local milling i should be quite equal to this. Maize. —Smaller arrivals have allowed the ! market to firm up a little, and rscent con- , signments have realised 4s lOd on the whar j in wholesale lines. 1 HAMILTON FOOD AND ICE CO. VOLUNTARY LIQUIDATION. I ! [Br TELEGRAPH.- -OWN CORRESPONDENT J HAMILTON. Tuesday. A notice in the last New Zealand Gazette 1 states that at a meeting of the Hamilton Fresh Food and Ice Company (Ltd.) on October 35, the following resolution 'was passed: " That it has been proved to the satisfaction of the company that the company cannot by reason of its liabilities con'•nue its business, and that it is advisable | to wna up the same and that it be wound iup accordingly." Mr. Donald Sincock, of i Hamilton, was appointed liquidator. FOREIGN EXCHANGES. ' Australian and N.Z. Cable Association. (Reed. 5.5.) LONDON, Nov. 5. The following rates on foreign exchanges are current to-day. as compaied with the l cabled quotations on November 1 and par:— v- ,- , ~ , . Nov. 5. Nov. 1. Par. New York:{*>!.) .. 4.46] 4.481 4.866 | Montreal fdol.) .. 53!* 4 54} IS Paris (fr.) .. 77.40 76.40 25.225 Brussels (fr.) . . 39.95 89.40 25.225 Rome (ire) \ . . 100} 99! 25.225 I Stockholm (kr.) .. 18.97 17.01 is 159 ! Chri.stiania (kr.) . . 30.05 29.90 18159 i Copenhagen (kr.) .. 26.15 26.20 18 159 Calcutta (pence) ..' 16 1-16 16J 24 '■ Hongkong (pence) ,72 27} — ! Yokohama (pence) 2SJ 26 1-16 24* Exchange on Berlin is quoted nominally :at 10 to 20 billion marks to ' the pound, I against one to two billions «n October 'Hi.