WOOL FOR GERMANY

New Zealand Herald, Volume LXXIII, Issue 22404, 28 April 1936, Page 7

WOOL FOR GERMANY

LARGER IMPORTS SOUGHT SCHEME FOR PAYMENTS BUYING FROM DOMINIONS [from ont OWN correspondent] • LONDON, March 28 Details of a new scheme, by which Germany hopes to increase her purchases of Australian and Now Zealand wool, are given in the Yorkshire Post. Its twofold purpose is to exercise stricter control of wool imports into Germany, although this is not to bo interpreted as further restriction of volume, and to provide a greater amount of wool for internal consumption, as distinct from manufacture for export. The first purposo is to bo achieved by confining a revised form of "foreigners' special account" trade, within fewer hands, and it is understood that only about a dozen new accounts have been officially sanctioned, of which some are held bv firms in this country. Tho second objective will be sought by a complicated arrangement, under which, in effect, tho income from certain classes of German exports to Australia and New Zealand will bo utilised for the purchase of wool from those countries. The scheme probably owes its birth to German inability to conclude direct trading agreements with those countries, as a result of which other agencies have been brought into play. Tho new foreigners' special accounts are already functioning, although, until existing accounts are closed, as they are due to be in the near future, the new arrangement cannot be thoroughly tested. If the latter achieves all that is hoped, it will givo Germany extended access to Australia and New Zealand wool, but this new demand will be largely supplementary to the import trade in wool which Germany is now doing with this and other countries. The potential value of the scheme is indicated by the fact that in 1984 Germany's exports to Australia were in the neighbourhood of £2.000,000. A hypothetical caso is given to show how the scheme will work. When a German exporter sends certain goods to Australia the transaction enables a German importer to buy wool of corresponding value from a special account holder. The importer pays for his wool in marks, into the special account, the German exporter is paid from that account, and the sender of the wool to Germany is paid by receiving in sterling the amount due from the Australian importer of German goods. In other words, what might have been a German-Australian trading agreement, had Australia cared to i enter into one, is being operated through third parties. It seems probable that Australia may have had the opportunity of making a direct arrangement which would have served tho same purpose, but the Commonwealth is in a very strong position for avoiding such arrangements, as she can point with satisfaction to tho fact that all the world wants Australian wool and that the grant of special facilities to any one country might be an awkward precedent. Private enterprise in other countries has therefore come to Germany's aid. NEXT LONDON SALES GOOD MARKET PROSPECTS Tho third London series of wool sales for 1936 will commence on May 5. The Bank of New Zealand has received tho following cabled advice from its London office as at the close of business last week. The prospects for all wools in tho next series are favourable. The market is expected to show very little change. BUTTER MARKET FIRM NO CHANGE IN PRICES IMPROVEMENT SHOWN The London butter^ market is firm, with choicest salted New Zealand selling practically unchanged at 88s to 89s per cwt. One report indicates that there has been an improved demand. Cheese values also show little alteration. Both white and coloured are worth from 53s to 54s 6d per cwt. Tho market is firm. Merchants have received the following cablegrams, dated April 24, from their London principals:— Allen and Findlay, Limited, from Armour and Company, Limited.— Butter: The market is firm. Now Zealand, salted, 87s to 89s; unsaltod, 87s to 88s. Australian, 88s; Danish, 100s. Cheese: The market is firm. New Zealand, white, 53s to 545; coloured, 53s to 545. New Zealand» Producers' Co-opera-tive Marketing Association, Limited. — Buttpr: New Zealand, 87s 6d to 89s. Tho market improved during the weekend. Cheese: White and coloured, 53s 6d to 54s 6d. The market is firm. A. H. Turnbull and Company, Limited, from W. Weddel and Company, Limited. —Butter: Danish, 103s; New Zealand, salted, 89s; Australian, 89s. The market is firm. Cheese: White, 54s 6d; coloured, 54s 6d. Tho market is firm. PEDIGREE JERSEY SALES "RESHURE" STUD DISPERSAL Tho dispersal sale of the well-known "Reshuro" Jersey stud at Clcvedon, owned by Mr. H. S. Fleming, was conducted by Wright, Stephenson and Company, Limited. There was a good demand for bulls and practically a full clearance resulted. Tho top price of 65 guineas was paid by Mrs. Peoples, of Drury, for tho cow Reshuro Flirt. The same buyer also secured Reshure Winnie at 45 guineas. Reshuro Mirth realised 51 guineas, being bought by Miss Cauiield, of Clcvedon, and Mr. J\. J. Johnstone, of R unci man. paid 40 guineas for Hesluirc Eileen. The yearling bull Reshure Select was bought by Mr. J. Hamilton, of Te Aroha, for 50 guineas, and tho top price for two-year-old bulls was realised by Reshuro Marshall, which was bought by Mr. H, B. Keane, of Waiuku, for 35 guineas. ' OFFERING AT OTOROHANGA' Buving was restricted to local competition at the annual sale of pedigree .Jersey cattle conducted on behalf of the Otorohnnga'breeders, Messrs. T. and A. Smith, bv Wright. Stephenson and Company,' Limited. The top price among heifers went to Meadowerest Baby, which was purchased by Mr. W. R. Munro, of Otorohanga. The yearling bull Fernmoro Raleigh's Pride realised , the top prico of IG-i guineas, paid by Mr. F. D. Harvey, of Waiuku. ,