FINANCE AND TRADE

New Zealand Times, Volume LXXV, Issue 5098, 17 October 1903, Page 16

FINANCE AND TRADE

Some highly interesting facts dealing with the methods adopted by Continental inruuilacturcis ler cent rolling both the local and export markets cl Britain hare recently been given in an annual report of the British United Alkali Company. Hus Under r.ho influence ol protective duties the foreign manufacturer had largely increased his production, in some cases beyond the quantity Lis own country could consume, the balance being exported, preferably to tho United Kingdom, where lie had no duty to pay. That was especially the case with the Germau manufacturers of bleacning powder, and to meet the difficulty t*u? company had had for two years past an agreement with the Gorman makers, as to the quantity* they should export to tho markets of the world, including tins country. The agreement was made lor a year at a time, and each time it came up for renewal tho company had been mot by larger demands on tho part ol tho German makers. When the agreement came up for the present year the Gorman manufacturers insisted that a considerable increase in the total quantity assigned to them must ho mane; that the Alkali Company should guarantee tho delivery of a minimum quantity of German bleaching powder wituiu the United .Kingdom; and on the other hand the company should undertake not to sell for consumption in Germany and Switzerland, and further that tho right was to bo given to tho German makers lo sell in our Homo markets and in tho United States at a difference in price in favour of Gorman bleaching powder which the company calculated would give tho Germans tho power of underselling them in these markets. They practically demanded that the works of tho German bleaching powder makers should bo kept in fujl operation, or nearly so, while tho output of tho works of tho British makers should he seriously curtailed.” This is a very fair instance of how froe-trado countries must suffer whoa tho competition of protected producers is initiated.

The Union Insurance Society of Canton, Limited, has received advice from tho head office of tho company that a dividend for the year enoiod 31st December, 11132, of 32 per cent, to shareholders has been declared, and a sum of 150,000d01. added to tlio reserve fund —which now stands at 1,750,000d01. tho balance of 500,000d01. being carried forward. Tho Australian trade in guano, says “The Ago,” is increasing. The Malden Island trade will, in future, ho worked by three vessels, tho Gerd, the Alastor and tho Prince John. Shipments from Ocean Island aro increasing, and wo uoto also that supplies aro being brought from Christmas Island via Singapore. With regard to tho deposits on tho Western Australian coast, the Government in that State, in view of, the rapid extension of agriculture, has practically come to an arrangement to consorvo the deposits tor ■ IVestern Australian agriculturists, and no more, exports will bo mado from Abrolhos Island or other centre to t-lio eastern States.

“Czarnikow’s Weekly Price Current,” dated 20th August, states“ Tho improvement in the demand for refined sugars and higher quotations from America favourably influenced the raw market, and 88 per cent, beet showed at ono time an aclvanco of nearly 3d idold crop and 2d for now, while- granulated sold at nearly '4d above last week’s prices. It must ho homo in mind that tho scarcity of foreign refined, available during the next two months, is chiefly duo to tho now legislation. New crop sugar has risen in sympathy, not withstanding tho satisfactory crop acounts from all parts of Europe, except, perhaps, France, and it depends upon tho weather during the next six weelrs whether there will be no dearth of sugar; in any case, tho fears expressed by a. certain portion of tho press that the convention will tend to restrict supplies are quite groundless. Tho inauguration of tho. new fiscal system must be expected to bring fluctuations; but, with ample supplies before us, certainly for the next twelve months, the present level, which on the average still scarcely covers the cost of production, is not likely to undergo any material change. Wo miust likewise take' into account that with a price of about 9s 3d for May, 190-1, which would mean 9s 9d to 9s lOid for Ootober-Dccember, 1904, we aro probably assured of liberal supplies for the crop 1904-1905.”

British crop reports by tho mail dated London, 21st Augpst, are unsatisfactory, bad weather having again been experienced. Better reports of tho yields of wheat were current in France, hut in Belgium, Holland and Germany too much rain had injured the crops. Tho latest official estimate of tho Hungarian crop is 18,676,000 quarters, Russian reports wore irregular. Wheat yields would probably be loss than in 1902, but up to tho last five years’ average. Ryo promised a poor yield, and greater local consumption of wheat was expected. Spain promised a good yield. Italy expected a good crop. Bettor reports carno from Canada, but no improvement was mentioned in tho United States. Notwithstanding reports of locusts, the Argentine prospects wore considered good. Carritt, Moore and Co. write from Calcutta thus:—“Tho fortnight’s offerings have been on a largo scale, and havo totalled about, 48,000 packages, nearly all of which have changed hands in tho auction room. Although quality, as a rule, has been less attractive, especially in the caso of : Assams, it has nevertheless been of average standard. Dooara and Terais havo remained star tionary at tho recent improvement There has been no appreciable movement either way in quality from Cachar and Sylliet. From Darjeeling supplies have been irregular in character, both high-class teas w'ith tmo flavour and indifferent, wcathery sorts havo been offered. Tho tone of tho market has shown littlo or no change; tho outside, demand has continued strong, and the sales havo passed off with a’ particularly keen and active demand for all grades and qualities, with tho exception of those Darjeelings where quality has fallen away, and as usual these have been somewhat slow of 5a.10.”