GUM EXPORTS DROP

New Zealand Herald, Volume LXXV, Issue 23169, 15 October 1938, Page 9

GUM EXPORTS DROP

SMALLEST FOR TEN YEARS RECENT CRISIS REFLECTED FUTURE PROSPECTS BRIGHTER The opinion that with the easing of political tension in Europe the future of kauri gum appeared to be much improved was expressed by a prominent merchant yesterday. Exports from Auckland last month were severely restricted by the limitation of shipping and tho violent fluctuations in the rates of war risk insurance. A total of only 75 tons was shipped overseas in September, against 427 tons in tho previous month and 204 tons in July. Tho total value dropped from tho high amount of £19,097 in August to only £3358 last month, the lowest figure for about 10 years. That this was due to abnormal conditions, however, is illustrated by the fact that the average price of £43 10s a ton was only about 25s lower than in August. The United Kingdom once again took tho largest amount, but her purchases wero rod need from 248 tons to 57 tons. No gum was shipped to either the United States or Canada, and casual buyers, such as Japan and Italy, wero absent. Australia took two tons, but there was a welcome increase in shipments to the Netherlands and Germany, which absorbed 11 and five tons respectively. "Several shipments were withheld pending the settlement of the European crisis, and exports this month should be higher," said a merchant. "Although orders are still difficult to obtain, prospects seem brighter. While chips and gums worth from £2O to £4O a ton are selling fairly well, better grade gums are becoming a problem. "Supplies coming in from the fields are fairly small, but they are suf4cient to meet the present requirements. With a spell of fine weather, however, production is expected .to increase considerably," BUSINESS ACTIVITY \ AUGUST CONDITIONS LONDON FUNDS DECLINE While evidence of the normal seasonal decline in business statistics is apparent from a study of some of the more important series of economic indicators, returns of banknote circulation, imports, building activity, railway passenger and goods traffic, motor vehicle usage and radio licences during August recorded greater activity. The Abstract of Statistics shows that tho value of cheque transactions is operating at lower levels than in the earlier months of the year, although the average for August was a record figure for that month since statistics were instituted in 1928. Net banknote circulation, averaging £9,880,480, was also a record for August, and tho third highest average yet recorded for any month. The highest average, £10,140,421, was recorded in April ol this year, the month in which the Easter holidays occurred. Deposits with the trading banks were at lower levels than for some months past, while advances were higher than in the threo previous months. Net oversells funds of New Zealand banking institutions amounted to £20,555,046 in New Zealand currency, on August 29, as compared with £32,523,515 on August 30, 1937. Imports continue at high levels, the total for August, £5,062,678, being the highest monthly total recorded this year, with the exception of January. Exports during August, although showing a slight increase on July, were on a much reduced level by comparison with the position 12 months ago. The excess of exports in the 12 months' . trading up to the end of August amounted to £3,879,772, as compared with £12,672,505 during the 12 months ended with August of 1937. BROKEN HILL PROPRIETARY USUAL DIVIDEND RATE » [BY TELEGRAPH —PRESS ASSOCIATION] WELLINGTON, Friday The directors of Broken Hill Proprietary, Limited, have declared a halfyearly dividend of Is 3d a share in Australian currency, of which, in terms of the issue, registered holders of provisional certificates will be entitled to one-third, or 5d a share, payable oil November 23. The rate is equal to 12£ per cent per annum and is unchanged. « GOLD STILL RISING QUOTATIONS FOR SILVER LONDON, Oct. 13 Fine gold is quoted to-day at !£7 6s 9.id an oz., compared with i £7 6s 5d yesterday, j Silver is quoted at 193 dan oz. spot, and 19|d forward, compared with 19Jd and 19 9-16 d yesterday. The quotation for silver at per fine oz. is 21 5-16 d, same as yesterday. British Wireless RUGBY, Oct. 13 Gold to the value of £1,615,000 sold to-day at £7 6s 9Jd. The following is a summary of the fluctuations in the price an ounce of , fine gold this year:— £ 8 d Highest price. September 28 . 7 7 0 Lowest price, Jaunary 3 .. 010 5

October 7 .. .. ..750 October 8 .. .. ..7 5 4Va October 10 .. ~ 7 5 10 October 11 .. .. ..70 l'A October I'2 .. .. .. 7 G 5 | October 13 •• ..7 6 OVa I GRAIN AND PRODUCE ; CANTERBURY MARKETS . [BY TELEGRAPH —PRESS ASSOCIATION] * CHRISTCHURCH, Friday ; There has been little change in the ! Canterbury grain and produce markets since the last report. Practically the only section which has been at all active i is that for small seeds, and the trade ! in that has been only steady. The potato | market is still showing no life. Mer- > chants report that Dakotas are nnsalei able and that the quotation of 30s a | ton on trucks for Suttons is only nom- > inal. The Government has indicated that it will take over a quantity of potatoes, reported to be about 500 tons, which was rejected from the shipment for South America by the Port Melbourne. These potatoes are being rebagged, but what their destination will be has not yet been announced. It is reported that the Government is considering sending them to the North i Island but has not yet mado a decision. There has been some demand for good machine-dressed white clover, and the price to farmers has firmed to Is to Is 2d. Thero has also been a steady i trade during the week in red clover, i ryegrass and chewings fescue. CHICAGO WHEAT MARKET CHICAGO, Oct. 13 Wheat.—December, 65J cents a ' bushel; May, 66i cents; July, 65£ cents.