PROSPECTS FOR WOOL

New Zealand Herald, Volume LXXI, Issue 21953, 9 November 1934, Page 8

PROSPECTS FOR WOOL

The first wool sale of the New j Zealand series is less than three; weeks awav, and ' interest in the i market prospects is quickening; everywhere. The outlook is more j encouraging at the moment than it j was even a few weeks ago. In Aus- j tralia the rise since July has been on | average one penny a pouncL Fori the July 1-September 30 period the 1 average price per bale of greasy wool, largely Merino, was £l2 3s 2d j or 9.13 d per pound. For the middle week of the Sydney sales of October the figures were £l2 6s 2d or 9.3d, for the following week £l2 9s 2d or 9.4 d and for the next £l3 4s IQd or 10.2 d. Thus the upward movement was in evidence before there was a definite agreement between Britain and Germany over the exchange question under which the debts owing to Bradford spinners will at least be partially discharged and future trading facilitated. The Bradford embargo against Germany has now been lifted and there has been a rise in the price of tops. Germany, however, was not an entirely negligible influence in the Australian sales held prior to the agreement, having been some buying,, perhaps of a slightly speculative nature, of wool that was not to be shipped direct. But according to the woolorganisations of Australia, difficulty in exporting woollen textiles by France, Belgium and Italy has reduced the demand for the raw material from these countries and hence political pressure is being applied for extending tariff concessions to some of their goods. Fine wool still commands a good premium in the market, because fashion demands the fabrics manufactured from it, but this year there is less disparity between the value* of crossbred, and those of the finer sorts than usual. This may be important to New Zealand, where the bulk of the offering is crossbred. There is thus greater reason than ever for the wool to be submitted to the buyers in the most attractive manner. The cost of careful classing and skirting is bound to be well repaid.