TRADE IN AUCKLAND.

New Zealand Herald, Volume LXVIII, Issue 20841, 7 April 1931, Page 5

TRADE IN AUCKLAND.

WHOLESALE AND RETAIL.

BUSINESS METHODS CHANGING.

PRODUCE MARKETS REVIEW. Methods of. business over the past three months have shown a marked change as compared with those of the corresponding period of 1930. The speculative element has beeiu eliminated from buying as far as possible, and every effort is now being made to make the seller carry the risk of falling prices as long as possible. The long-established practice of buying forward has been abandoned in favour of the policy of buying from hand to mouth, and merchants are keeping stocks down, aiming at turnover and a minimum outlay of capital. The general trend of prices during the past three months has continued 'downward, and although there are signs in certain quarters that some commodities have reached bedrock levels, there are still indications that further falls in oilier lines can be expected within the next few months. Many lines in every-day use such as rice, tea and sago, are down to pre-war levels in the exporting countries, but increases in exchange rates and comparatively high freight and other handling charges prevent the full benefit of the fall being felt by the consuming public here. Prices for grain, seed and produce are well down on pre-war levels. With onions selling steadily around 8s (o 9s a ewt. through "Auckland stores it is difficult to believe that they brought as high as 144s a cwt. during a period of scarcity in 1917. The grain and produce .market has not been so lifeless for many years, prices showing very little movement from month to month and indications assure a continunce of present conditions for some time to come.

Manifests of vessels trading to the port of Auckland have registered the changing methods of doing business. Imports on account ol' individual merchants have tended to be made in considerably smaller parcels at more frequent intervals, buyers preferring to risk running short rather than have unnecessary capital tied up nfc any time. There has been a large falling off in the value of imports during the past month, also, on account of the general tendency to keep stocks right down at stocktaking date at the end of March, but this should be balanced by a heavy increase in the arrivals over the next six weeks.

Business in Auckland prior to the Easter holidays showed quite a healthy ' tone, and, although no outstanding increase in the volume of trade can be expected in the near future, there is every indication that the general lightening of stocks which has taken place in all sections of trade during the past three months under keen competition will make for steadier and healthier trading in the near future. TEA. Latest mail reports from London relative to the tea market show conditions practically unchanged from those of the corrcs- ' ponding period of lust year, offerings being, if anything, slightly smaller. The market 1 for indifferent quality tea is weak. Offerings at London public auctions for the eight months ended January 31 totalled 1 2.302,G00 packages, compared with 2,4G3,800 ' packages for the corresponding peric.d of 1929-30, and 2,255,500 packages' for the JuneJanuary period of 1928-29. COFFEE. The world's visible supplies of coffee at February 1 totalled 21,197,000 bags, com- , pared with 24,479,000 bags nt the same date of 1930, and 17,318,000 bag 3 in February of 1929. PINEAPPLES. Canners of pineapples are now endeavouri ing to force sales for April-June delivery and this has been responsible for certain recent reductions in prices. The market for this commodity remains very weak, with exporters complaining that they are being forced to deal at below costs of production. TAPIOCA. The Eastern market for tapiocas has fluctuated slightly on low levels recently as a result of erratic purchasing by European merchants and Indians. Production is reported to have been curtailed, but, even so. Eastern shippers are not prepared to forecast any immediate worthwhile hardening of the market. NUTMEGS AND MACE. Mail advices report that heavy purchases of nutmegs and mace have been made by a.' Japunese firm operating in Singapore for shipment to America. This is not expected to affect prices, in epite of the fact that stocks will be lowered temporarily. POTATOES. Increased shipments of Southern potatoes can be expected from now on, and, by the end of the month, Auckland should be depending on the South for all its potato requirements. The market in the South continues dull and depressed, with practically no likelihood of an early move to higher levels. Merchants here are taking practically no notice of the forward position, and indications are that there will be a large increase in the amount of business done on the Auckland wharf this seaeon. Good table potatoes are selling through Auckland stores ut uround 7a a cwt. ONIONS. Ample stocks of onions for immediate requirements are now held on the epot, and. with plentiful supplies offering from Canterbury, it does not 6eem likely that prices will show much change in the near future. Through store, Auckland, prices vary according to whether the onions are from local giowers. Melbourne or Canterbury, but the general price is in the vicinity of 8s a cwt. WHEAT. The' recent firmer tone in the Southern market for wheat has not been reflected in Auckland, where fairly heavy supplies of under-grade wheat keep quotations for good whole fowlwheat steady around Gs Gd a bushel. Under-grade wheat is selling through i store down as low ns Gs a bushel. BARLEY. j Ample stocks of Australian barley are i held on the epot. and steady sales are being j made through Auckland stores at around J 4s a bushel. ] OATS AND CHAFF. The market for oats and chaff shows practically, no movement. Good bright Southern chaff is selling through Auckland stores at around £8 a ton. B Garton oats are selling at around 3s 8d a bushel, with A's worth j Id to 2d a bushel more. MAIZE. The maize market is quiet and practically unchanged, with Auckland merchants asking around 5s 8d a bushel through'stoic. ENGLISH BACON MARKET. HEAVY RECENT SUPPLIES. The report of A. J. Mills and Company, Ltd., London, at I'cbruary 19, discussed the b.'icori situation, which is of so much importance to New Zealand producers. It was said: "This market is still carrying the iond of extraordinary receipts. Following the import in December of 1.005,061cwfc. wo again received in January 850,650cwt., and these, quantities at this season of the year can only be consumed at extremely low prices and values of all descriptions have eased since our report of January 14. Chore is, of course, an enormous consumption, and retailers are cutting out the Wiltshire sides, of which practically the wholo of our imports consist, and selling joints at prices which undoubtedly are materially interfering with lamb, mutton and beef, all of which are experiencing a very bad time, with considerably lower prices. Practically the wholo of our supplies are coming from Europe, as the United States and Canada cannot attempt to meet this competition at present prices. Prices for Polish, which is in good supply, were advanced 3s a cwt. last week, but trade has gone quieter and full prices are not always obtained. Heavy and stout selections of all descriptions are at a considerable discount under leanest,"-