COMMERCIAL.

New Zealand Herald, Volume LXII, Issue 19124, 16 September 1925, Page 9

COMMERCIAL.

WHOLESALE AND RETAIL. LOCAL TRADE CONDITIONS. THE PRODUCE MARKETS. Tho week has opened rather quietly, as it is tho slack week in the month for the wholesale, while retailers are doing only a normal business. Country trade is looking up well, but the weather is rather unfortunate, some farmers judging this to be a very, backward spring. However, the dairy farmers are much i better situated than the grain growers jin Canterbury, and it requires only a [ little warm weather to bring on the pastures in plenty after the abundant rainfall lately. Tho London butter market is steadily rising, but is still about a halfpenny per lb. below the rates ruling at this time last year. On the other hand cheese is about l£d above last year's value. Most fanning products are at very remunerative rates and everything points to a good season, with its corresponding reflection in an active trading year. Hardware merchants are hopeful of a steady improvement, particularly in view of a larger building programme contemplated during the summer. Business so far has been a little disappointing, but several large city buildings are now starting, in addition to more activity in suburban residential building, and this will keep hardware houses busy. Shipping is quiet, so far as goods are concerned and there is considerable anxiety on the part of both importers and exporters, even though this is not a very serious time of the year for a temporary hold-np. The returns of British trade for August, received by cable this week, make very depressing reading. For the fifth month in succession the exports show a falling off from the figures of the corresponding month of last year, and they were already quite low enough. The total reduction of nearly £23,000.000 during the last five months disposes very effectively of the increase of about £14,000.000 in the export trade during the first three months of the year, and emphasises the appeal to tho Dominions for all the trade they can possibly give to the Old Country. Lord Burnham put this before an Auckland audience Jast month in the most practical way that has ever been presented, when he pointed out that aft-er-dinner speeches of loyalty were always appreciated, but "what wo want is orders." British import trade for the month of August at £91,750,000 also illustrates tho depression in trade, for it is the lowest for any month for a couple of years, with the exception of two months during the spring of last year and, in view of this suggestion of the reduced spending power of tho public, it is remarkable that the prices of New Zealand produce keep so high in London. CANADIAN FRUIT. Tho fruitgrowing industry is rapidly developing in Canada, and an interesting measure has recently been adopted for its protection. Owing to tho great danger of the moth found in peach trees in the United States being introduced into the peach-grow-ing sections of tho Dominion, especially in shipments of infected peaches from the infected districts, and the impossibility of inspecting euch shipments, the Federal Department of Agriculture has imposed an embargo upon tho importation of all fresh peaches and peach nursery Btock from the States of Wisconsin. .Illinois. Missouri. Arkansas and Mississippi, and the entire area east of those States. BRITISH SUGAR INDUSTRY. Having regard to the great controversy which has raged in England for years, aa to whether the local production of beet sugar should be systematically encouraged, or whether it should be crushed out of existence tho moment it shows any signs of spreading, it is interesting to note the present position, as reported by the mail. _ It is reported that' production in the . United Kingdom is another factor that will have considerable bearing on the market. Harvesting commences in , October, and it is estimated that the production will be 68,000 tons. This is about equal to the total annual consumption of New Zealand, and although the quantity may be regarded as negligible in comparison with the consumption in the United Kingdom, and particularly in comparison with _ the five million tons produced in Cuba this year, the production is regarded as significant at Home, as .the first real step toward independence of foreign supplies. Prior to the war the United Kingdom used to import about two million tons per annum, half refined and half raw, and about half under each heading used to come from Germany, at a cost of about £l2 per ton. The war stopped all that, and supplies wer9 drawn at immense cost from various countries, the most important for a time being Cuba, Mauritius, United States and Brazil, the average price paid to the United States in one year being over £6O per ton. During recent years the production of beet sugar in Europe has been steadily increasing again, and thi3 has helped very materially to bring down the price to its present level. CORNSACKS. Latest reports indicate that the poor prospects of the forthcoming jute crops have excited holders, and they expect that the present prices will be maintained, while there is a possibility of an increase. Auckland merchants arc asking 20s per dozen for fullweight 48-inch, which is very little below the record level during modern times. It is quite possible that the demand for jute will be considerably reduced if the present intention i 3 carried out, in the making of woolpacks out of wool, instead of jute, but this can only aSect the position next year, and this year full prices will rule. CANADIAN-AUSTRALIAN TARIFF. A significant result of the reciprocal tariff between Canada "and Australia, in regard to dried fruits, is advised from the former country, where importers have increased their prices one cent per lb. to conform with the new tariff. When the mail left this advance had not yet been passed on to distributors, but this adjustment would only be a matter of time, CURRANTS. The Control Board in Australia advises a further reduction of a halfpenny per lb., effective on October 1, in currants only. Sales to New Zealand are evidently not heavy, on account of the better quality of Amaliss and Patras currants securing the bulk of the trade. The quality of some shipments from Australia shows that the grading of some shippers is not ur> to the standard required, and as kinds of brands are often sent under tho one bill of lading indentors are unable to discriminate between shippers. As against the reduction in price of Australian currants, Mediterranean currants have advanced slightly for all grades, and tho market at present is firm. The purchase by the Greek Government of the balance of the 1924 crop has further strengthened an already firm market' AUSTRALIAN SULTANAS. Quotations from Australia are withdrawn, and higher values are expected, on account of, the high rates ruling for Smyrna fruit, and the exceptionally good reception which Australian sultanas have met with in London. When new prices are named it is generally expected that quotations will show a slight increase, and as stocks aro not heavy locally the new prices are awaited with interest. SHELLED NUTS. Advices indicate that new crop shelled almonds are to be much higher. Sicily reports a crop less than that of last year, and that one was particularly short, so that there ia practically no carry-over. Any hopes of lower prices seem to be out of the question, and this is inducing a pood deal of forward buying on to-day's prices, which are a good deal lower than replacement values. CANADIAN SALMON. The Niagara has brought a fairly completo assortment of all grades and packings of salmon, so that the higher level of the new season's Balmon should immediately be reflected in increased prices to retailer and consumer. EGGS. Prices are a little more regular this week, at a slight advance. Wholesalers are getting Is 6jd to la 7d, with a good demand for the bakers, while most retailers have now followed the advance, and are asking Is 7d for duck eggs and Is 8d for hen eggs. This i 3 about fourpence above the value ruling 3t this time last year, in spite of the fact that no export trade is taking place, but this is attributed to the fact that many farmers have reduced their flocks, as a result of the unprofitable prices realised last year, together with the nigh price of food this year. A small export trade 13 taking place from the South, but it is feared that unless thi3 is undertaken on a large enough Bcale to take up the available surplus, there will be a further reduction in the flocks, followed by still higher prices for eggs. POTATOES. Local market has responded to the higher cost of recent importations, and merchants are this week asking lis 6d ex store. Tho Wanaka and Katoa have relieved the immediate shortage, but with 20,000 sacks going to Sydney there is soma doubt as to whether adequate supplies win arrive during the next fortnight. Local growers are anxiouß foT a few consecutive fine days, bo that they can get on with their planting.

ONIONS. Japanoso are getting very low in istock. and the few now left are selling at 25s per crate. The Niagara on Monday brought down the first lot of Canadian, and these are quoted at 32s 6d to 355. These are only a small consignment, the main shipment not being due till the Aorangi cornea next month. OATS. A slight advance has been established in the South, and local merchants are gradually adjusting their quotation, although orders are only small. B grade are offering at 5s 4d ex store, but. there is no speculative buying, in spite of the poor prospects for neit harvcet. CHAFF. Australiau and Southern are now on offer at 9s and 10s 6d respectively, but many buyers are paying extra for Australian in good socks, which is quoted at 9s 9d. Fair sales of Tasmnnian are taking place this week, for delivery off the wharf. WHEAT. The pronounced features of the market are a scarcity of New Zealand wheat, with an assured shortage of rather alarming proportions in the coming harvest, tog'Stker with every prospect of a record crop in Australia. The winter and early spring weather has been about the most favourable ever known in Australia and with a high market on the other side of the world the returns will probably alter the whole financial position of the Commonwealth. Of course this is contingent on labour being available for handling it before the market drops a-gain. Fowl wheat is scarce locally, and ia quoted at 9s 3d ex store. MAIZE. A better demand is taking np the limited quantities arriving, and the market is firm at Ga 8d on the wharf in wholesale lines. FUNGUS. As usual -at this time of the year, only limited quantities are coming in, but there is a rather weak demand for export, and . the best price now being given by shippers is lOd per lb. FLAX. Quite a good demand sprung up recently, and this has resulted in practically all tho accumulated stocks being placed for shipment. The re3ult is that the now seison will Btart with almost bare stores, a favourable position for the opening trade. Most of tho mills have now started stripping, but it will be some time before the finished article arrives in the city. Just at the moment the keen export demand has slackened off, but shippers are giving up to £33 for good fair, £3l for high point fair, and £2G for low point. KAURI GUM. The unique conditions under which kauri gum ia produced and sold in Auckland arc being stressed by merchants and brokers in their opposition to the suggested control of the trade by the Government, for there is no commodity which is either produced or sold in a manner which requires t.ho special treatment demanded for this product. There are two classes of fieldsi on which gum is found, land which belongs to the Government and land owned by private individuals, and these two classes are about equal in area. The people who actually get it out of the ground are. permanent diggers, settlers who make this a side-line, and natives. Being mostly without. capital, they obtain their food and other supplies from storekeepers, the latter giving them credit, in the expectation that the accounts will bo settled as soon as the respective diggers have their gum prepared for the market, when they sell it to the storekeepers. These storekeepers in turn usually depend on advances from their city brokers, cash and goods being supplied on the strength of shipments of gum which the storekeepers will send to Auckland later on. Competition among the country storekeepers amply assures that the diggers got well up to the market price for their pm, which is taken in what virtually amounts to a system of barter, in order to secure the ordinary storekeeping business. "When the gum reaohes Auckland it is again subjected to treatmest that is meted on!; to no other commodity, and it is principally on account of the peculiarities of the article itself that grave doubts are expressed as to whether it can ever bo treated liko a commodity which varies to tho orient of only a feW pence according to quality. The grades of kauri trum aie legion, and instead of the merchants buying it at £6O, as was stated in one of ihe most forcible argumonts advanced in controlling the trade, the merchants buy it at anything from £2O to £3OO per ton, according to quality. In this respect it varies even moro than wool, for whereas in wool one sot .of buyers may be competing for one quality at lOd, while another set require only a quality worth 20d, in kauri gum there is the further complication that one merchant may be in a position to outbid all the others for r certain quality, because it suits him fomixing with what he already holds in stock, in order to make up a particular grade required for a particular kind of varnish. The consequence is that the broker conduits all the merchants, and by this means he i* able to do the very best for his client in the country, frequently obtaining a irrice from one merchant well above what all the other merchants have placed as their limit. Nobody really knows the value of kauri gum, for its only value is what it will pay the varnish manufacturers on tho other side of the world to give for it, in competition with a dozen other varieties of gum from ollier countries, bat competition between tho storekeepers and tho merchants, followed by similar competition among the importers m I-iondon and New York, keeps prices so steady that the actual prodacer £ets well up toward tho price that is paid by tho ultimate consumer, the varnish or linoleum manufacturer. It is on account of these conditions which are peculiar to kauri gum that Auckland dealers with a life-long experience in the trade are convinced that tho establishment of a board of control would be detrimental to tho interests of the producers, as well as tho community a,s a whole. MARKET REPORTS. FRUIT AND PRODUCE. Apples and pears were in good supply on the Auckland City Markets yesterday, and a large shipment of Sydney fruit, only a part of which was solcl, further augmented the quantities to hand. Field produce was again in very heavy supply, but prices were fairly stea.dy. Dairy produce, coming forward moderately well, experienced no marked change in values. A large shipment of Island fruit, including a considerable quantity of tomatoes and a few bananas and oranges, is expected by the Flora on Saturday. The following prices were realised:— FRUIT. Delicious apples. 9s to 10s Gd a case; Doughertys, 6s to 8s a case; cooking apples, 5s to 8s a case; other apples at proportionate prices; pears, 2s to 8s a case, according to quality; ripe bananas, first quality, 20s to 21s 6d a case; inferior quality, 10s to 15s a caso; oranges, Island repacked, 20s to 22s a case; mandarins, 6s to 22s a case; others, 10s to 15s a case; lemons, 5s to 10s a case. , FIELD PRODUCE. Southern potatoes, 10s to Us per cwt; new potatoes, lid to 5d per lb.; Japanese onions, 20s to 22s Gd a crato; cabbages, 4s to 9s 6d a sack; cauliflowers, la Gd to Gs 6d a sack; lettuce. Is Gd to 9s a casepumpkins, 9s to 14s 6d per cwt.; kumaras, Tauranga, 10s to Us 6d per cwt.; Island, 14s to 15s per cwt.; celery, Is to 7s Gd a bundle; cucumbers, hothouse, 5d to lid each; leeks, lid to 3d a bundle; rhubarb, 4s to Gs. a dozen bundles; carrots, beet and turnips, 6d to Is a dozen bundles! DAIRY PRODUCE. Hen eggs, Is 7d a dozen; duck eggs, is Gd a dozen; p*»i?t eggs. Is 4}d a dozen; farmers' butter, Is 5d to Is 7}d per lb.average price farmers' butter, Is Gd per lb. " CANTERBURY MARKETS. ANOTHER, RISE AND DROP. [BY TELEGKAPH. —PRESS ASSOCIATION'..] CHRISTCBXTRCH, Tuesday. The potato market is extremely sensitive at tho moment. On Saturday values relapsed again to £S f.o.b. s.i., after a slight steadying the previous day. Then a deluge of rain on Sunday night and yesterday inspired some people,, and a fair amount of business was done yesterday at from £8 10s to £8 15s, ihis figure being mentioned as having been paid in one instance. To-day's line weather caused another change, and offers at £8 10s are not being accepted. So far as., the farmers are concerned they will not accept less than £6 15s on trucks, which merchants are not prepared to pay. As Christchurch garden potatoes will be a month later this year on account of the wet weather, it would seem that the demand for old tubers will be prolonged for some weeks. The Karetu, which is due to sail shortly for Sydney, has a booking of 20,000 sacks of potatoes, but it is uncertain if this quantity will be loaded. There are a good few potatoes at the port, and it is not clear from the packing that they are destined for Sydney. There is no alteration in the Sydney values. Fowl wheat is the only other prodnct in request, and a good deal of business has been done at 7s 3d a bushel f.o.b. Oats are the same as at last report,, and also grass seed. .