THE WOOL OUTLOOK

New Zealand Herald, Volume LXXIII, Issue 22544, 8 October 1936, Page 7

THE WOOL OUTLOOK

DEMAND FROM CONTINENT REFORM OF CURRENCY BETTER VALUES EXPECTED " The maintenance of wool values in spite of the absence of Japanese buying at the Australian sales is a tribute to the strength of the raw material position," states a report from Winchcombe, Carson, Limited, Sydney. " To sumo extent it supports tho opinion that increased' purchasing of Merino wool by Japan in South Africa must result in mofco extensive buying by the Continent and Yorkshire in Australia." Tho report continues that prices for crossbreds have advanced since the close of last season. That is of advantage to Merino values. If crossbreds were cheap, medium to fine types of them would be substituted for Merinos, but improved prices for the former tend to check that movement. In any case, the increase in military forces abroad and, in addition, the extensive manufacture of flags and general bunting for the Coronation festivities in Great Britain, put crossbreds into stronger demand than during recent years. Absence of heavy supplies and consumption of them will prevent them displacing Merinos to any great degree throughout the world's mills.

Continental demand for Merino wools has recently shown more life than for a considerable period. To some extent that revival has been due to anticipation of the devaluation of the French franc and other European currencies which has occurred.

That event removes a disability which lias hampered international trade for a number of years, and for that reason paves tho way for more sustained raw material values at better average levels than have been experienced during the past seven years. Experience with the suspension of the gold standard in England in September, 3931, the United States in May, 1933, and Belgium in March, 1935, points to improved wool prices when that action is taken.

SYDNEY AUCTIONS PRICES FAVOUR SELLERS STRONG COMPETITION (Received October 7, 10.T5 p.m.) SYDNEY, Oct. 7 At the Sydney wool sales to-day 12,018 bales were offered and 11,380 were sold. Also 2184 bales were sold privately. The market ruled in sellers' favour for all descriptions. There was strong competition from Yorkshire and the Continent. Greasy Merino-sold to 21id. EXPORT OF FRUIT SHIPMENTS TO BRITAIN NEED FOR REGULATION The necessity for Australian and New Zealand fruit exporters working closely together to regulate the export of apples to Great Britain was stressed by Mr. J. W. Blick, of tho Producers' Cooperative Distributing Society, Limited, Sydney, on his return from London recently. Mr. Blick was sent by tho society to investigate fruit marketing conditions in Britain.

"Unfortunately the apple export this year was not prolitablo on tlio whole, either to the Australian exporter or the British speculator," said Mr. Blick. "Both appear to have expected history to repeat itself by a return of the high prices which ruled in 1935, but they overlooked tlio fact that a year of scarcity is usually followed bv one of plenty. Tho position was aggravated, not only by a heavy crop of soft and summer fruit in England, but, also by Australia exceeding considerably tho total export agreed on at the end of 1935 by Australian and New Zealand exporters." Mr. Blick said a limit must be placed on tho quantity of Australian and New Zealand exports, tind when the limit was agreed on it must bo adhered to. Co-operation was also necessary between tho exporters of tho various fruitgrowing States of the Commonwealth to ensure uniformity of pack. American iruit had an advantage over Australian in that it was packed and graded uniformly. Co-operation by Australian fruitgrowers and exporters could also assist materially advertising and publicity in Great Britain.

"Tho future of Australian fruit oxports is dependent on tho outcome of tlio reconsideration of tho Ottawa agreement next year," added Mr. Blick. "The benefits gained in 1932 havo been largely lost by tho tariff manipulations of other countries."

Mr- Blick continued that tho disappointments caused by applo export* were in a measure offset by .tho satisfactory season for pears. Much of the credit lor the good sales was due to Victorian exporters for the consistent excellence and quality of their pears, which were available in substantial quantities throughout tlio season. South Australian navel oranges also were landed iu splendid condition and found favour with buyers at highly satisfactory prices. Mr. Blick said the Federal Ministry's hesitation and delay in renewing tho bounty of 1935 was to bo regretted. Had the bounty been renewed before the beginning' of tho senson, Australians would havo been able to reap more fully the benefit of the unusually high prices prevailing.

MINING NEWS YIELDS OF COMPANIES ]3pndigo I'iso and Shine (Central Otago).—Week ended September 110: 12oz. sdwt. from 12 tons of oro. GILLESPIE'S BEACH DREDGE Ah the dredge of Gillespio's Beach Gold Dredging Company, Limited (South Westland) was closed for seven shifts whilo new sleeves and corner plates were put on tho bottom tumbler and new bushes put in tho hanging blocks, tho dredgemaster decided not to wash up last week. Everything is now working well. REPORTS OF MANAGERS Maerewhcnua (North Otago).—Progress for September: The work on the mine was mostly concentrated on tho Golden Ciully development. Tho progress of tho tailings through tho tunnel was vory satisfactory and it is estimated that ?.00 cubic yards nri hour passed through tbo tunnel. All this material goes over gold-saving boxes and any values contained therein are saved Sluicing at Dtiffors Gull.v is now being terminated and work has begun on cleaning up. tho gutter and the long tail raco in that gully. A partial wash-up of tho boxes has produced approximately fioz of gold, valued at £43 10s, but tho main quantity which is lodged in tho gutter is still to bo washed up. Tho mine expenditure for the month amounted to approximately £BO. The extension money, £l2l, fur October, in connection with tho optiou to Loudon, has been received.