TRADE IN AUCKLAND.

New Zealand Herald, Volume LXIV, Issue 19777, 26 October 1927, Page 9

TRADE IN AUCKLAND.

~ ! i WHOLESALE AND RETAIL. ] I BRIGHTER COUNTRY BUSINESS- i PRODUCE MARKETS REVIEW. The holiday on Monday has made the wholesale houses extra busy this week in clearing up all the special orders on November account. These have been in good volume for the country, and travellers re-' , port the general tone of business has improved, especially in the dairying districts, where better prices for butter-fat and a favourable producing season have combined to put new heart into the farmers. Visitors to the Waikato during the week-end have returned with the information that farmers have been greatly cheered by the break in the weather, which was just what the pastures required to promote a good growth. City trade is gradually* brightening up, although not so readily as in the country, an important factor being the careful buying which took place during the winter. This applies particularly to men's clothing and mercery, for which the demand has noticeably improved during the spring weather of the past few weeks. There seems to oe a tendency, especially on the part of the younger men, to purchase goods of ,a better quality. , Good values in all descriptions • of men's wear are offering this season and clothiers anticipate satisfactory trade during the nest few weeks. WORLD PRICES ADVANCE. '' The September monthly, letter of 'the; American Trust Company, ; states the index of wholesale commodity prices (based on 100 in 1913) stood round about 141.3 during April. May and June, but during the first and becond weeks of August it rose to 143.3 and 245.1 respectively.* The outstanding advances were in cotton, < yheat and maize;, while the only commodities to slnw an appreciable decline were hides, pig-iron, coal and; fuel oil. There is considerable curiosity in regard to American trade, for its continued activity; is in striking contrast with that of Britain. At present there iB a world-wide tendency to try to balance the favourable and unfavourable symptoms," with a view to forecasting how long the 'present amazing prbsperity of America will" bold up prices. Among favourable signs there are increases in commodity prices, bank' clearings, oil output, wheat crop tonnage, imports and exports, and cotton consumption. Against these must be ■ placed a decline in freightcar 'ofldings, building permit totals pigiron output, coal output and unfilled steel orders, while there has'been an increase in, business failures. During July there were 175G bankruptcies in the United States, about 1C per cent, more than in. the same month rf 1926. Building permits for the month amounted to £40,000.000, compared with £49.000.000 in July, 1925. FRUIT FROSPECTS. Jn spite yf the sharp break in . the weathir during the week-end., reports indicate there will be no serious setback to the crop of pip fruits, many varieties of applss and pears having already set well during the period of perfect blossoming weather. Other varieties are still in full bloom, and have ample time to develop a eojd setting of fruit. This is particularly fortunate, for everything points to a good export outlet to the United Kingdom, where the absence of heavy American supplies should lea% r e the market fairly clear for the New Zealand frujt to realise go.od prices. All reports from the United States agree ther« is a general decline in the fruit crop in all the States except California, find this is so pronounced that the State Commercj Commission has ordered the railway companies to reduce the freight rates from, fa 2sd "to 6»_ftd per 1001b. on carload shipments of deciduous fruits, excluding apples from California to eastern points. ADples are nat included, as they «re not" regarded as'perishable. However, the general, shortage of all- varieties in -theeastern States wilt cause a great reduction in- the quantity of apples ava-lanje for flhwment ■ to Britain, and should leave an «- oeptionnlly good .opening for all that iNew Zealand can send. . Further reports confirm the poor setting of stone fruits in the neirhbourbood of Auckland, and many orchard ists look forward to light crons in peaces, wtfnnc.. and plums. .Strawberries will greatly bene•U by the rain. • r\LTFor>NIAN f!.4KNTT> PEACHES A carryover of 2,000.000 cases of cling peaches from last year, rather than a pari.icularly heavy crop this year, is probably responsible for the low Quotations recently revived from San Francisco. The largeriotal yield of fruit in California' this year seems to be iargely due to good crops m apricots, prunes and grapes. Having regard to the profitable nature of fruit production m that State it is of interest to note at what low ra'es the fruitgrowers can afford to sell their output. After prolonged negotiations this season between the growers and tne canners a sliding scale was agreed upon yielding the growers between £o and £b a ton. as against about £8 last year. The latest estimate makes the yield of peaches in California this year 485.000 tons, against r,<n ono tons last season. Apples and pears will be below normal, but most other varieties will about equal or excel last year s output. _ _ JUTE GOODS. Numerous inquiries for woolpacks during the past few weeks seem to indicate t.n at the usual importers have rather underestimated the reauirements for the season. A good clip is expected for the Dominion, and prices for woolpacks are rather more favourable to the farmers this year. 42m. being obtainable at 5s 6d each, and 48m at fis EGGS. Retail prices are unchanged at Is 6d for duck eggs and Is 8d for hen eggs, while the heavy demand for the latter for preserving purposes keeps the wholesale price f airlv firm at Is 7d No eggs have been exported from Auckland ■ during the present spring, and it is understood the price has also kent high enough m the bontn to prevent the profitable export of any surplus. The position appears to be due lo the fact that the high prices ruling for fowl food of all kinds last year prevented the increase in the flocks which would otherwise have taken place, so that there is now only a normal supply for local requirements Bakers have T?cen obtaining their usual extra supplies for preserving, to se* them through the scarce time of next autumn and winter, and householders have also been buying fairly heavily tor tne ~„rpo.« poTJTOra The market was rather hare of supplies until the arrival of the, Wingatui and baron and this caused these shipments to sell very readily, the regular price yesterday being £6 15s on the wharf or £< ex store. Importation from the South wiL apparently have to taice place, for. som«. weeks, fo'r the new crop is coming in very slowly. Yesterday Pukekohe was quoting 2Jd fo 4ld per lb. according to grade. When potatoes retail at 3d to fid. the demand is very limited, making practically no difference to the demand for old crop Southern The crop in the Franklin district has improved wonderfully in con l tion owing to the favourable weather this month, the rain during the week-end beine just what was wanted to bring it on more onieklv It is not expected that. blight will ensue, but exposed paddocks were knocked about a little by the wind, and will take a few days to recover Seer! potatoes have ceased to interest merchants, but the soil is now in i (*»<] order for planting that small ouantit.es mil doubtless continue to move off for the next few weeks, especially to any growers who lost their first crop through the incessant nim ONIONS A steady demand continues for Canadian tind C'alifornian onions at 17s 6d m bags nnd 18s 6d in crates, hut the present supplies will probably last until the Niagara arrives with another lot of Canadian. OATS AND CHAFF. The breaking of the drought in the parched areas in Australia nae altered tne position in fodder here, for speculators against a likely shortage following m tne summer have ceased to operate in the South The result has been the shipment of large quantities of chaff to Auckland which holders had been saving for the expected Australian demand Local price is fairly steady at £9 10s ex store, for best Southern, but the demand is not at ail heavy, and it will probably take a good while to work off th* abnormal supplies just to hnr.d. Oats are fairly firm, surplus stocks having already been mostly sold to Austraha" WHEAT AND FLOUR. The markets have been weakened by the good harvests secured in Canada and the United States both countries having a large exportable surplus. This is weighing against any damage caused in Europe by the exceptionally wet autumn An unusual feature was a severe frost in Canada during August, but this varied in intensity in different localities, and altogether it appears to have done very little damage The dry weather in Australia during the winter caused growers to hold their wheat; as they expected firmer prices, in spite of the large supplies in the Northern Hemisphere. However, fairly geheral rains "have removed this anxiety, and holders arc now more willing to sell, although prices have not seen the actuat fall that- might have been expected. The larger area in Western Australia, where the rainfall has been unexpectedly generous, seems to have brought this > State still further to the front as a factor in Australian

wheat supplies, although the three southern States naturally dorninate the position. Prices are not of much interest here now, as the fluctuating' customs tariff equalises the cost. Apparently in full expectation of this scheme ensuring a payable return, Canterbury growers are said to have a good acreage of winter and spring wheat planted, anc! if favourable weather conditions prevail there may be enough for the Dominion's requirements next year. This year a wants have been in doubt for some time, but it ia quits possible there will be enough wheat to last until next harvest. Flour is also inclined to weaken a little in Australia, but hardly enough to encourage importation. The general position appears to warrant the expectation of no material changes in the prices for flour and bread for some time. BRAN AND POLLARD. The larger quantity of wheat gristed in New Zealand since importations of. flour dropped off. ajid particularly'the : larger proportion of 2tew Zealand wheat used, has resulted in the production of more bran end po'lard than last year. However, the low prices have resulted in both lines selling well, and no abnormal accumulation of stock has taken place. When bran is obtainable at £5 15s, and pollard at £8 ss, it.is small wonder that much larger quantities are being used than were bought last yaur. MAIZE. Plenty is arriving from the coast, but the condition still varies a good deal. Consignments have realised round about 5s 3d on the wharf, according to quality. SEEDS AND FERTILISERS. ' Spring eales of grass seed have been very disappointing, the evident _ result of the farmers having heavily fertilised old pastures, instead oi putting down new grass. The same influence ia expected to reduce the quantity of fodder seeds required during the next two months, as it is less trouble to improve permanent pasture, .and the lew price for super and basic slag make 3 this policy very popular. FLAX. Larger quantities are coming in, but the market is not very buoyant, either in London or New York. However, regular, shipments are finding an outlet in both centres, and there are also fairly large quantities going to Australia, where New Zealand flax is regularly used for making binder r.wine and ropes. Millers round Auckland do not appear to aim at producing the high-grade of flax which the superior leaf generally obtainable round Foxton helps the millers in that district to turn out. and recent gradings have largely run to |ow point and common. Any little good fair coming in is realising up to £29 high point fair.£27, and low point .£25. The same position rules in regard to tow, most of it grading No. 3, which realises up to £'lo, but any No. 2 would probably realise up to £U. COAL IN OHUBA COUNTY. EXTENT OF THE 1 DEPOSITS. PROSPECTING IN PROGRESS. >■ i ' [BY TELEGRAPH.—OWN' COKHESSOKDENT.] TAUMARUNUI. Tuesday. For some time prospecting hast been going on in the Ohur& County-with the object of ascertaining the' extent of the coal deposits. t ln the Tangarakau Gorgeprospecting reveals a coalfield of considerable area, and the coal is reported to be suitable for steam and domestic purposes. A syndicate has been formed, and miners' cottages are to be built immediately. It is understood that Mr. E. W. Ruddick has disposed of 900 acres of land afTatu, and a company has been formed to develop the property. At Waitewhena there is said to be a coal seam several feet thick, and of good quality. This deposit is situated about, ten miles from Ohura. On the left bank of the Huhatahi Stream, aboat four miles from Ohura, a seam of coal was recently discovered. ARDATH TOBACCO CO. DIVIDEND OF 5 PER CENT. CAPITAL NOW £4,400,000. Record net profits, the amount being £291.959, are disclosed by the report for the year ended June 30 of the Ardatn . Tobacco Company. The 6 per cent, preference dividend absorbed £84,000, the directors proposed a dividend of 5 per cent, tax free on ordinary capital, requiring £150,000, and the placing of £50,000 to reserve, leaving £7959 to be carried forward. . ... The Ardath business was started over 30 years ago by Mr. Albert Levy, and in 1912 was registered as a company. In recent years the' dividend on the 6 per cent, preference capital, £725,000. .absorbed £43,500, while the ordinary capital, which was only £20,000, received 50 per cent, tax free. The annual report for 1925, the last issued by the company. disclosed a net profit of £288,042. of which £240,000 was added to the reserve fund, making it £740,000. In January, 1926, a holding company was formed, to which the whole of the Ardath assets were transferred* except 125,000 preference shares held by the public. In the following June a new company was registered, under the original title, with a nominal capital of £6,000,000, divided equally into 6 per cent. preference ana ordinary shares of £1 each, of which the whole of the ordinary shares, £3,000,00 C and £1,400.000 preference shares, were issued, these having been subscribed for in cash by th 6 Universal Tobacco Com panv. As the latter is controlled and managed by the British-American Tobacco Company, the Ardath thus became a subsidiary of that powerful organisation. The first balance-sheet issued by the new company includes among its assets goodwill, trademarks and registered brands, £2,942,438, and stocks, £1,200,067. MARKET REPORTS. FRUIT AND PRODUCE PRICES. In sharp contrast to vegetables, which were very plentiful, fruit of all kinds was in short supply at the Auckland City Markets yesterday. Apples, pears, lemons and tomatoes sold well at values mostly on a par with last week's quotations. Hothouse tomatoes rose 6d per lb., Cook Islands remaining at 17s a case. The Maheno arrived yesterday with a shipment of Australian fruit which will b« placed on the market to-day. The demand for both bananas and Island oranges remains keen owing to the gradual consumption of existing supplies, which will not be renewed until next week. All classes of vegetables were ottered at prices comparing favourably with late ! rates. There was little inquiry for potatoes, which have been decreasing in price since the arrival of new potatoes. Lettuce was also abundant, although values were ! not so high as at last Friday's sales. Beaut ! were quoted at Is 9d per lb., while peas i found sale at 6£d per lb. ' ■, ! Moderate supplies of hen and duck egg: I experienced a fair demand. Hen eggi 1 rose id a dozen on Friday's prices. The values for farmers' butter remained un changed. - . . . The following prices were realised:— FRUIT. Apples. Delicious, 9s to 14s a case; Star raers, lis to 13s 6d; Granny Smith, 13s' tc 13s 6d; Dougherty, 8s to lis. Pears. Nelii and Cole, repacked, 12s 6d to 15s a caso: P Barrys, 8s to 10s. Oranges., Island, 22s 6c a case; tomatoes, hothouse. Is 3d per lb. , Cook Island tomatoes. 16s to 17s .a case ' tree tomatoes, 5s to 9s a case; bananae repacked, 273 to 30a a case FIELD PRODUCE. Potatoes, Southern, 6a 6d to 7a per cv?t. new, 2|d to S|d per Ib.j kumaraS, list 13s 6d per cwt; pumpkins, 10s to 203 pe cwt,; swedes. 2s to 2s Gd a tag; onions 18s to 19s a crate; cabbage. 13s to 8s a sack on benches, Is Gel to 3s 6d a dozen; oauli flower, 3s to 8s a sack; on benches, 2s t< 6a 6d a dozen: lettuce Is 6d to 6a a case ! rhubarb. 2s Gd to 8s 6d a dozen: spinach Is a dozen; leeks, 8d to 4d s bundle; uprini onions, 3d to 3d a bundle. cucumberß. hot house, 5s to 9s 6d a dozen; celery, la to 4 ' a bundle; radish, 3d to- 6d a dozen bundles beans. Is 6d to Is 9d per lb.; peas. 4d ft 6id per lb.; asparagus, 7d to Is a bundle ; carrots, parsnips, beet and turnips, -t i Is 3d a dozen bundles. DAIRY PRODUCE. Hen eggs. Is 6d to Is 7d a dozen; duel ■ egrps. 1b od to Is 6d a dozen. Farmers 1 butter. Is 3d to Is iid p«x lb.