INCREASE IN EXPORTS.

New Zealand Herald, Volume LXVII, Issue 20597, 23 June 1930, Page 5

INCREASE IN EXPORTS.

OVERSEAS TRADE IN MAY.

IMPORTS STILL GROWING. RETURNS FOR THE SEASON. ADVERSE BALANCE OF £2,000,000 An increase of nearly half a million pounds in the total value of exports, in comparison with last year, is shewn by the returns cf overseas trade for May, issued by the Customs Department in Wellington on Saturday. Imports also increased by £159.000. so that the favourable balance for the month was £557,000 greater than in the corresponding month cf last rear. The returns compare as follows: — Mit 19.10. 13-33. Ircrene. Finorts .. £1,521.265 £4.023.195 £4.56,063 Impcrts .. 3,238.907 3.229.834 153.013 Excess . £1,122,355 £755,302 £337,055 ' The apparent increase in eiports is the first shown by any monthly return this rear. The direct comparison is, however. made with an abnormal figure since the valuation of exports in May last year was the lowest for the month since 1926. On the other hand, experts last month were recorded at much lower values than last year. Imports in May last year wera also at a low figure, below any corresponding return since 1922. and., in spite cf tbe increase, this year's return :3 below that for May in any of the years from 1925 to 1928. Exports during the first four months cf this year were recorded at a. figure just over £3,000.000 less than last year, ifcr the five months, the decline is £7,594,337; in addition, imports have increased by £31,381, so that for the period there has been an adverse movement of £7.645,763. A summary of the returns for the Erst five months of recent Tears is 5.3 follows: —

Experts are tie lowest sad Imports tie i:piiedt since 1526. With the latest retnrn statistics are available for 11 months of the "production Tear" to Jane 00. Following are details for this period of recent years:—

Compared with last season experts are lower by £8.260.074. while imports are greater by £2,741,355, representing an adverse movement of £11.001,425. Delay in the shipment cf produce has to some extent aggravated tie ejects cf lower prices on the visible trade; en the other hand, as the chairman of the Bank of New Zealand has remarked, the recorded value cf exports is subject to qualification by reason of the fact that produce has actually realised leas than the value attributed to it at the time of shipment. This distortion is inevitable in any system of trade statistics? it no doubt occurred in 1925-26, when similar conditions obtained. Comparison with the returns tor that year suggests that the present position is much mere favourable , —exports are higher and imports much lower, with the result that instead of an adverse balance of £6,000 ; 000, the excess of imports this season is less than £2,000,000. SUPPLIES OF COTTON. INDUSTRY i N AMERICA.; OTHER COUNTRIES* RIVALRY. The United States has long been recognised as the chief source of the cotton supply of the world, but a bulletin issued reeently by the New York Cotton Exchange Service indicates that the consumption of American cotton has been declining in recent years, and other countries have been able to gain a share in the world market. Consumption of American cotton in the Erst eight months of the current season was 9,238,000 bales, a decrease of 14.5 per cent, compared with the corresponding period cf 1928. Stocks of American cotton on March 31 amounted to 9,561,000 bales, an increase cf 5.1 per cent., compared with 1929, and of 1.4 per cent., compared with March 51, 1525. Spinners in Europe are using cotton produced in other countries in sufficient quantity to onset the decline in consumption of American cotton, and iarger quantities cf ether cotton are available than was the case a year ago. The quantity of merchantable American cotton available each year ha 3 been decreasing, and this has been largely responsible for the growing demand for cotton from Egypt, India and other countries. The quantify cf cotton used other than American is estimated at rather mere than 3.000,000 bales a year, so that, instead cf supplying 15,000,000 to 15.000.000 bales a year to manufacturers, the United States producers now supply only 12.000,000 to 15.000,000 bales. The low prices ruling for cotton in the last season have caused much anxiety in the United States, and an attempt Las been made by the Federal Farm Relief Board to stabilise prices at 15 cents a i'n The uncertainty created by this Government interference has, to a great extent. defeated the object of the board, as prices age more irregular than usual, and quotations for cotton for October delivery are much be-low these for July futures, indicating that market opinion is that the new crop will be effered at prices lower than those now ruling. Plantins conditions for the new crop have been favourable, and a normal yield cf cotton is expected for the season. OVERSEAS BUTTER MARKET. INDUSTRY IN AUSTRALIA. In a reference to the butter market the Melbourne Argus says:—"So far Australia has not felt the fall extent of iha decline in overseas prices, as the Paterscn plan bounty has enabled producers to obtain a fair price in spite of the unsatisfactory market There is no doubt., however, that a very trying period lies before the industry, as consumers overseas are not 'able to pay much for butter, and, in common with other commodities, batter will have to undergo a depreciation in value which may be permanent. "Current ideas of efficiency and economical production may have to be cast aside and it may foe necessary to find a new basis cf production costs At pre ; sent it is considered that the capital vain? i of land to graze on* cow is not nnreasc-r, able at £IOO Dairy farmers will have to face the probability of a reduction ix> | land values and in future the economic j basis may be recogi.tsed as nc more than I £75 capital land value for cacb cow."

J an.-iiay. Exports. Imports. Excess. 1323 . £26,U2S.27S £17.740,303 £8.233,378 1S21 . 30.510,347 18,761,427 12,045,220 19*25 . 34,397,537 21,220,297 13,777,3-i!} 1326 - 25.139.9W 39.999 J55 4,500,098 1927 . 25.956,325 15.562,171 E.426.754 122S 34,439,043 17.754.6S2 16,684.357 1S-29 *. 33,633,767 19.112.07S 14^321,669 1S30 . 26,033,360 19,163,453 6,375,Ml

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