DOMINION MARKET

New Zealand Herald, Volume LXXIII, Issue 22612, 28 December 1936, Page 5

DOMINION MARKET

BRITISH APPRECIATION

CATERING FOR BUSINESS QUALITY STANDARDS RISING "At present the New Zealand market holds a more prominent place than ever before in the estimation of British manufacturing and shipping circles, and with good reason," states the British Export Gazette (London), in the course of a recent article on general trade conditions in the Dominion. New Zealand, the journal adds, is enjoying a full share of restored prosperity, for its exports of produce have during the last two years averaged £47,000,000, or a larger sum than 10 years ago, and much larger than in any year since 1929. This has meant spending power, with the result that imports, of which more than half come from the United Kingdom, have reached the level of £36,287,000, compared with only £26,498,000 in 1931 — an advance of nearly 50 ]>cr cent. "With all their advantages in this market, however, United Kingdom firms have certain problems to face. Their most serious competitors are Australia, the United States and Japan. Requirements of Market "With regard to New Zealand's requirements recent inquiries by Mr. R. Boulter, His Majesty's Trade Commissioner, showed that a demand for goods of higher quality is being encountered over a wide range of commodities. Price regardless of quality is not normally a controlling factor. Ihe years of depression did. however, compel consumers to look for cheaper goods than those to which they had formerly been accustomed. A reaction in favour of quality is now apparent. The expansion of secondary industries is also affecting the import trade. Among the complaints of' New Zealand importers may bo mentioned allegations by agents of lack of service by principals in such respects as inadequate supply of printed matter and detailed information regarding their products. There is undoubtedly room for improvement in this respect. The same need for improvement is to be found in the presentation of goods. In New Zealand, while a rough or unpainted surface may not affect the efficiency or life of an implement or machine, it may well prove a deterrent against selling it. Toilet preparations, in particular, call for exceptional thought and care in their artistic presentation.

Price Arrangement Disliked Failure to adhere to promised datf of shipment is another source of complaint. This is a matter of special importance in the case of distant sources of supply. For example, Australia can supply within three weeks what must take an equal number of months to secure from the United Kingdom. Of a different nature are the complaints which have been made against the practice of certain associations of manufacturers the members of which quote identical prices in response to invitations for tenders. There is a deeply rooted prejudice in New Zealand against this practice. Even where under such an arrangement the price quoted may be below that prevailing in the country of manufacture, the practice inevitably suggests an absence of free competition, and gives rise to much resentment.

BRAZIL COFFEE LOSSES PLIGHT OF INDUSTRY DIFFICULT POSITION FACED The plight of the Brazilian coffee industry was discussed at the annual meetings in London of the Agua Santa Coffee Company and the Santa Cruz Coffee Company. Mr. Henry Seheelman told the shareholders of the Agua Santa Company that the unfavourable statistical position made it increasingly difficult for the directors to finance the company's requirements. Its affairs had reached a stage when the question of liquidation should he faced. It was intended to harvest the next crop, and meantime the situation would receive the most eareful consideration. In any case, it was doubtful whether it would be possible to realise the properties at the present time. At the Santa Cruz meeting, Mr. W. G. Waldron said that the statistical position of Brazilian coffee was by no means good, notwithstanding tho reported continued destruction of large quantities of excess production, and viewing it from the many different angles it was impossible to form any appreciation of the situation that was not liable to be upset.

HIDE MARKET FIRMING UNITED STATES DEMAND In a review of the hide market on November 19, W. AVeddel and Company, Limited, London, stated that another definite rise in prices had been established on the River Plate market, and Argentine Frigorifieo sound ox hides fetched 90 pesos, which is equivalent to 7d per lb., c.f.f., S/W. This was very nearly tho highest price which had been paid since the 1932 slump. Tn January of this year 91} pesos was reached. At the present rate of progress, and taking into consideration the fact that there were at least three months ahead of good short-haired hides, it was not absurd to suggest that a further 5 to 10 per cent increase in price may be established. It would indeed be very satisfactory if the 100 peso mark could be reached. The buying was definitely in the hands of the North American operators. The Kuropean trade, for tho most part, was finding it impossible to coinpete. Nevertheless, day by day it was becoming increasingly obvious to tanners in London that the raw hide market must move to higher figures for all descriptions if tho bullish phase in the United States continued. In previous years, when the hide market had started to boom, it had usually been led bv North America, Tho international political situation did not at present appear to affect business in any way. All miscellaneous and colonial varieties were steadily gaining ground. Prime freezer cow hides from named works had made the equivalent of 6id for 30-401b. Other New Zealand freezer cows, 30-oolb., could not bo bought at less than Gd. COTTON, RUBBER, COPRA, ETC. (Received December '27, 5.5 p.m.) LONDON, Dee. 'JO (Quotations on December 19 in parentheses.) Cotton. —Spot, 6.94 d ('5.88 d) a lb.; January deliverv, 6.70 d (6.88 d). Rubber.—Para, 13d (13d) a lb.; plantation and smoked, 10 1-lGd (9 15-10(1). .1 ute. —January-February shipments, £l9 10s (£l9 2s 6d, December-Janu-ary) a ton. Copra.—January-February shipments, South Sea, sun-dried, £i'i to London and Rotterdam (£2l 15s) a ton; South Sea, smoked, £2l to Marseilles and Genoa (€2l 15s); plantation, liabaul. hot-air dried, JL'2l 17s 6d to and Rotterdam (£2l 15aL Linseed Oil. —£30 (£3O ss) a ton. Turpentine.—lis 9d 9d). a c\rt.