ENGLISH WOOL LETTER

New Zealand Times, Volume XLII, Issue 9625, 3 April 1917, Page 2

ENGLISH WOOL LETTER

GOVERNMENT WILL DISPOSE Oh COLONIAL CLIP BY SAMPLE. DISTRIBUTION SCHEME ANNOUNCED. .. from Our Special Correspondent. BRADFORD, February j. Most of the interest in the market this week has been connected with the Government and its troubles. There has been more than one conference between the branch ol( the Government responsible for placing khaki orders and manufacturers, and some plain things have been said on both sides. As mentioned week or lv,o ago, ditfercnt manufacturers have been told that they have to produce more Bedford cord us fast as possible, and this is a very difficult cloth to make. It is a 330 z cloth, and requires some very strong warps, because the weft has to-be beaten so closely to-.-ethor. Unless the warps are strong, they break under the pressure and in any case it is decidedly harder work than usual for the weaver. In some mills women workers find it too mucir for their strength, and refuse to weave tho cloth. Some of our manufacturers have asked for a price that would allow thorn a reasonable profit, only to be told by tho Contracts Department that they will have no such figure given to them. The long and short ol it was that they practically refused to make any Bedford cords, and some of them are now engaged to turn out whipcords instead. ... • n. Then, haa beer trouble too with tlr. spinners. The officials have had some more plain talk from this branch of the trade at a conference in Bradford last Friday. The Government informed them that they must have MO per cent, increase in output of mihtarv varus during the next month, which the spinners said was very difficult. Tho officials are supplying tops for them to spin yarns from, which are not good enough. Thoy . sending out tops which are new from tho combs, and expect spinners to turn out the same yarn as if they were matured. TOP SHORTAGE AND STEPS TO MEET IT.

The Government is short of tops, and most of the long wool of the hcgush clip has now been put through combs. The colonial supplies are not ye? to hand, and seeing tliere is sucb pressure on tonnage to bring wheat and other goods from Australasia, shipments ot wool are not expected to be here for some weeks. It ed happens that medium and fine crossbreds the Government finds itself specially short, and it has sent round to most topmakers a letter»asldng what tops they are read} to supply at prices on the enclosed list. This list , shows values for all classes from ‘lo’s to super 60’s, the farmer hel.Tquoted at' 2s 4d whereas tha present market price is 2s Bd, and the latter at 4s fid, whereas the Bradford price is 5s fid. A good deal has been heard recently about the Government commandeering tops, but they are not Join,, so yet. The letter sent to topmakers asks what they will supply of their 1 own free ViU at the very .low prices offered, and while a film ml oM be inclined to sell tops combed out of wool bought some months ago, it ceitainly could not sell those combed out of wool bought this last series, to sa> nothing of December, without register, ing a considerable loss.. Still, a few have signified their willingness to provide certain weights, and those who can do so are helping the officials in this way, but it means that lots .of tops on which they hoped to see a nice profit are now out of their hands. Besides, it is feared that if tbe G° ve ru nieut cannot secure' enough tops in tnis manner they will take measures, and “commandeer will then be a word that may be used. Topmakers who supply, goods at tneso prices have the right to claim, the return of the same weight of similar tops at the same price at such time as rao Government can deliver. The Government has fixed a list of selling prices of tops, though it has none to sell. Liter March 30th it may reduce these prices. It is improbable that it will have a big weight ot tops available to return to topmakers before that date, and if it reduces prices considerably, will topmakers want to take hack the tops they have “lent* to the Government? It might very/ easily mean that the price wifi he above the market level, and if they take them they will have a loss. In that case the profit that they were expecting on wools they are supplying to the Government will not be merely postponed, but lost en, tirelv- The Government promises no definite date on which it will deliver these tops, and no man is certain that the tops he may have to take hack will he as good as his own. One thing is clear, that the. prices offered by the Government, which are about fid per lb below those at whion it savs it is prepared to sell, show, what a wide margin the Army Contracts Department is wanting to work on. it has already got a monopoly of the wool market, and by this means it will secure a monopoly of the top market a good deal faster than it would have done it its own wool was arriving, and. was being combed in sufficient quantities to meet its own needs. TRADERS BEFOGGED.

In these conditions a number of topmakers hardly know what to do for the best A few are offering tops at less money than last week, in the fear that if they hold them the Government may commandeer them later on at prices which will mean loss. On tho other hand there are those who say that the market is firm enough, and ;v ho assert that they have made 5s 9d for fils during the oust week and intend to take no less. There seems to be a quiet business passing, but there is a good deal of uncertainty everywhere. A number of spinners of fine yarns are in need of more orders, and quotations have been reduced materially during tho past week. This is reflected on Botany tops, and some are ready to take as low as 5s fd for 64’s. Another good general buy would be an excellent thing for tho market to-day. because it would firm things up all round, but no one knows how far ordinary trade will be allowed to proceed, and the outlook is to uncertain that a hand-to-mouth business is all that can be expected. GOVERNMENT AND EXPORT TRADE.

It . lias been pointed out by the Chamber of Commerce to the Government that its announcement that it would not sell “unconditionally” tops at less money than the prices quoted three weeks or so ago. before March 30th, is causing some doubt. The chamber has asked if it will sell "conditionally” at lefs prices. It is pointed out that it will bo no difficult matter for America to underquote British mills if they have to work, on top values as issued by the Government tor export trade. There has been some talk of the Government itself doing the export, trade. It i s quite possible that we shall see this in regard to wool, but so far ns tops, yarns and fabrics are concerned, we think tho Army Contracts Department and War Trade Department have enough work on hand. The export business should be left with those firms who have worked it up aud know all its intricacies, and all the supervision the Government need exercise is that of saying whether the good s shall be. allowed. to go or not. It can trust the trade to secure the very highest possible price from foreign customers. GOVERNMENT LOSING MONEY ON FAULTY WOOLS. At the last series of London sales some very cheap scoured merinos indeed were secured. Scoured faulty crossbreds too were easier, but merinos were es-

pecially noteworthy. Bulky New South . Wiales * 6i’s, only slightly ' burry, were sold at 2s 6d or even less, though worse wools mad© 8s Cd or even more in December. Oil greasy merinos sold on Government account, very, little prices were realised compared with the previous series. Faulty pieces and < bellies went very cheap, and by comparing the values mad© in the sale room with those which tho Government will pay to the owner, it is clear that the- Army Contracts Department will lose money. In some cases it will be only a matter of Id or 2d. which is nothing considering the big profits realised on . tho better wools, but many of the scoureds did not realise the same price in Coleman street as the Government has promised to pay the grower. Nobody seems to want these faulty wools to-day. They are largely used in the woollen trade, and this part of the industry is working chiefly on Government account, or soon will be. For Government cloths, wools are being, supplied at prices which show the same fault as those paid to growers—-too little for "the best wools and too much for the worst. If Home civilian trade is to be restricted to a great extent, as is promised, who will buy these faulty wools? It seems clear that the Government's best place to dispose of these wools is America, to whom they could, be sent either carbonised or uncarbonised, and who is willing to take them. An elaborate priority scheme is ’being worked out here so that mills wanting wool for export trade can have it first, but it stands to reason that they will a«k for the best possible wools they can get, and in. any case it seems that the Government may have a problem in disposing of the big weights of faulty merinos which they own. GOVERNMENT ANNOUNCES ITS DISTRIBUTION SCHEME. An important announcement has been made about the Government wool scheme. Wool will come forward from the colonies preceded by samples and descriptions. Samples will be shown, in central warehouses in Bradford, where Government contractors may inspect same. Tho wools will be sent to the contractors at prices according to tut Government’s fixed list, no freight charged. Wool now coming into London will bo dealt with as described In other letters. Government contractors taking •vhat they need and the rest being sold bv open auction. Topmakers of Bradford are to bo put in groups of about six, with one large firm at tho head of group. The Contractors' Department will bargain with this large firm for an output of a certain quantity oi certain qualities of lops, and the large firm will then have a free hand, to get out these tops as fast as possible with the help of the smaller ones in the group. The Government will supply the wool and the topmakers will work for a commission, “"Spinners who want tops must apply to the department, and they can have anv special firm s make if possible. If they make their- own tops they can apply for wool, which will be supplied if on Government work, in the same way as to manufacturers. If it is for specialty work they must buy it from tho wool that is released for sale by auction, , ' „ The London sales will be continued for wool that the department does not need, but if the department selling limit is not reached.- it will be withdrawn ant] disposed of nrivately at no less than that price. Sales' may be held in Liverpool, Hull, and Goole. The Admiralty say boats will be taken there ns well as to London, and wool will, only be brought from the colonics if it is for the national interests. This is one reason why military work will come first, export trade next, and Home work last, so that nil the wool that can be used for the first two will have a claim to be brought.