BETTER TRADE TONE.

New Zealand Herald, Volume LXVIII, Issue 20868, 9 May 1931, Page 11

BETTER TRADE TONE.

RECOVERY IN EXPORTS.

YEAR'S FIGURES ANALYSED

EFFECT OF DROP IN PRICES. •, A slight improvement in trade conditions during March is noted in the latest issue of the Abstract of Statistics.

"Exports picked up.considerably, and, besides showing an increase 'of 55.4 per cent, over the previous month's figure, approximate very closely to (lie total for March, 1930," says the Abstract. " The total for the first quarter of the year, however, still reflects to a marked degree the effect of the lassitude for so long characteristic of the export trade, inasmuch as a decrease of 30.8 per cent, is recorded, as compared with a similar period of last year, and a decrease of 35.1 per cent, oil the average for the March quarter during the last five years.

" Although exports have declined in total value by £6,500,000 below the quinquennial average, this enormous deficit is by no means due entirely to a diminished quantity of goods exported. In fact, a survey of the exports of the IDominion s principal primary products reveals that, with the exception of wool, quantities exported during the March quarter considerably exceeded the average of the past five years." Improvement in March Quarter. The following table shows the quantities of the export of five primary products during the March quarter, 1931, and a quinquennial average for the March quarters from 1927 to 1931: — Average, March Qr. March Qr. 1931. 1927-31. cwt. cwt. Wool . . • • 778,222 1.013,898 Frozen lamb . . 919.132 Z?l'lns Frozen mutton . . 317,840 Butter . . . . 644,682 1324,, ,2 Cheese . . . 679,122 654,44, The following tabic similarly compares the values of the exports:— £ £ Wool . • • • 1,971,349 6,275,087 Frozen lamb .. 2,526,214 2,449,041 Frozen mutton . . 486,218 604,487 Butter .. .. 3,573.810 *-^4.12 Cheese . . . • 1,879,502 2.417,641 Wool the Disturbing Factor.

" While all five staple products have contributed greatly toward t|ie uncomfortable financial position in which the Dominion's exporters have been placed, with its accompanying reaction upon the welfare of the whole community, it is obvious that wool has been the principal disturbing factor," comments the Abstract. " Apparently the comparatively non-per-ishable nature of this commodity has made it possible for a substantial quantity of wool to be withheld from a market that has depreciated to an extent of nearly 60 per cent. " This would account for the sud'm rise in the price of wool at the early sales of tlie present year, a, depleted market having at last forced the hand of buyers to such an extent that the second series of sales witnessed an enormous quantity of wool offered and purchased, although at a slightly inferior price to that realised at the opening sales. " The more perishable commodities, on the other hand, have had to continue on the depreciated market, with unfortunate rcsults'to the Dominion's prosperity. Exports of frozen lamb have increased by 27.2 per cent, in quantity, but only 3.2 per cent, in value, due to a fall in average prices realised of 18.9 per cent. Frozen mutton increased by 9.2 per cent, in quantity, but declined by 19.6 per cent, in value exported, as a result of 26.3 per cent, fall in price. In the case of butter, quantities exported increased by 3.2 per cent., values declined by 19.9 per cent., while average prices fell 22.5 per cent., while for cheese the corresponding figures were 3.8 per cent., 22.3 per cent, and 24.9 per cent, respectively." Year's Trade Analysed.

The provincial trade figures for the year ended March, 1931, were announced three weeks ago. The official figures, published in the Abstract, show that the exports amounted to £39,527,784, and imports to £38,300,807, leaving an excess of exports of £1,226,977. Figures for the previous vear were: —Exports, £49,045,817; imports, £49,167,914; excess of imports, £122,097. The decline of £9.518,033 in the 1930-31 exports as compared with the previous year's figure is du<3 almost wholly to lower The quantity cf wool exported showed a comparatively slight drop from 603,260cv.*t. to 542,115cwt., but the value fell from £10,610,979 to £5.464.228. a decline of £5,146,751. While the quantity of butter exported increased from 1,599,397cwt. to 1,841,245 c wt., the value fell from £12,022.330 to £10,513,684, a drop of £1.508,646. Other noteworthy declines in value, not always accompanied by declines in quantity, are as follows*;—

Motor Imports Drop Sharply. Increases of note were as follows: £ £ £ Lamb .. 7,054,834 6,901.305 153,529 Mutttm •• 2.084.246 1,988.370 95.876 Se . • 627,203 553.843 73.365 Gold . • 554,933 484,157 70.776

In imports the decrease of £10,867,107 in value is virtually on all-round one, only four items in a list of 47 showing increases. Motor vehicles show the biggest decrease, the decline being from £3,928,916 to £2.033,980, an amount of £1,854,936, representing 48 per cent.

1931. 1930. Decline £ £ £ Cheese . • • 5,964.699 6,180,213 215.514 Beef & • • • 493,041 638,131 145,090 Pork !> s. 453,920 522,4S3 68.563 Wheat . »• 245 63,070 62,825 Pens • • • • 75,702 117.789 42,087 Calfskins • • 169,557 205.565 36,008 Hides . . . • 329,507 384.662 55,155 ■Rabbit-skins 140,129 348,439 208,310 Sheepskins 1,259.620 1.793,500 503.880 Opossum skins 29.585 102.429 72,844 Phorniium fibre 125,039 309.412 184.373 Tallow . Coal 598.515 674.740 76.225 119.955 279,810 129.855 Kauri gum . . 155.60-2 264,452 .108,850 Timber 224.329 435,211 210,8S2