MARKETS IN ARGENTINA

New Zealand Herald, Volume LXXV, Issue 23057, 7 June 1938, Page 7

MARKETS IN ARGENTINA

EXPORTS FROM BRITAIN INCREASE OF 14 PER CENT TEXTILE GOODS IN DEMAND Exports from the United Kingdom to the Argentine for the first quarter of the current year increased by 14 per cent to £4,770,000 sterling, as compared with the figures for the corresponding period of 1937. The principal increases havje been in exports of . coal, textiles and vehicles, which have risen by 18 per cent, 29 per cent and 71 per cent respectively. The total value of yarns and piece-goods exported to the Argentine have increased by 21.8 per cent from £806,668 to £983,420. , The sharp rise from £213,23.8 to £364,379 in the value of exports of British vehicles to Argentina is stated to be mainly accounted for by shipments of Diesel railcars by the BritishArgentine railways. Exports of locomotive parts have diminished. Exports of woollen and worsted goods expanded from £630,349 to £867,897, or 37 per cent, and of coal from £4.50,087 to £532,166. A reduction from £.836,000 to £602,000 in exports of British iron and steel manufactures to Argentina is explained by a drop from £360,000 to £61,000 in shipments of thin steel plates and sheets. After heading the list of countries importing theso manufactures for many years past, Argentina has now begun to manufacture them. CABLE COMPANY FINANCE SCHEME CRITICISM IN COMMONS GOVERNMENT ARRANGEMENT LONDON, Juno 2 Tho financial arrangements between the Government and Cable and Wireless, Limited, were described by a Labour member in the House of Commons as a "ramp" and the company's cables as "junk." The critical member, Mr. G. Beneon said the cables were practically all over 40 years old. "I object," he added, "to tho Government being partners in a 'shark' firm like this." The debate arose on the second reading of the Imperial Telegraphs Bill, under which Eiypire rates have already been reduced. The bill transfers the freehold of four beam wireless stations to Cable and Wireless, Limited, cancelling a rental of £250,000 a year, and gives the company continued use free of the inland telegraph circuits necessary to the working of the beam stations. On the other hand, tho company transfers 2,600,000 £1 shares to the Government, out of a capital of £30,000,000, on which the Government I will receive £91,000 on tho basis of a dividend rate of 3.J per cent, as paid last year. The Financial Secretary to tho Treasury, Mr. Euan Wallace, who moved the second reading, defended the operation of the company under quasi public utility conditions, with Government control in all essentials, as necessary in view of the partnership between the Governments of the United Kingdom, the Dominions, India, the colonies and the mandated territories. He referred also to the prospect of possible foreign competition on Empire routes by direct-service wireless telegraphy. Mr. H. B. Lees-Smith (Labour) complained that the company was bound to gain and the Government bound to lose. The company, he said, had been over-capitalised and extravagantly managed, and had only itself to blame for its difficulties. The Government ought to get the whole of its property back. Sir Walter Womersley, Assistant-Postmaster-General. said that the Post Office wanted to get the lowest possible rates for -overseas communications. The new agreement meant a loss the Post Office of £IOO,OOO. which it was prepared to sacrifice for a big reduction in rates. The cables to-day, he said, were in good condition. A Labour amendment was rejected by 186 votes to 110, and tho bill was read a second time. Following the successful undercutting of cable rates by the operation of four beam wireless stations in the United Kingdom from 1926 and 1927 onward, the Imperial Wireless and Cable Conference of 1928 was called to examine the situation. It recognised that the retention of the cable system, which had been seriously affected, was essential to British commerce and defence. An amalgamation was arranged between the three great British cable companies, Eastern. Telegraph, Eastern Extension and Western Telegraph and Marconi's Wireless Telegraph Company, with which the British Post Office had contracted for the construction of the four beam stations, A merger company now Cable and Wireless (Holding). Limited, with a capital of £53.000,000, was formed to acquire the ordinary capital of tho cable companies, together _ with the ordinary and preference capital of the Marconi company. To facilitate public control the communication assets of the merger group wore made over to a single operating company, Cable and Wireless, Limited. It was also recommended that Cable and Wireless, Limited, should buy the Government cables and lease the beam stations. BUSINESS IN TEXTILES DECLINE ON 1937 FIGURES Tho figures of British wholesale trading for March, compiled by the Wholesale Textile Association in conjunction with the Economics and Statistics Section of the Bank of England, reveal that compared with the samo month last year, tho returns for the majority of departments fell slightly below last, year's high figures. Several departments showed an increase, but their weight was not sufficient to offset the decline in other sections. Stocks were standing at a fairly high level, presumably in readiness for tho Easter trade, while the rate of stock turnover of most classes of merchandise for tho three months was as high as could bo expected. "It should be borne in mind in connection with these figures that the late Easter delayed business," states tho Financial Times. "There has been a remarkable speed-up in the placing of orders in April." SUNSHINE INSURANCE An experiment is being made in Britain this year with an extension of insurance against rain, which is now transacted during the summer months on a largo scale, to insurance against insufficient sunshine for commercial purpose*.