OUR LONDON LETTER.

Otago Daily Times, Issue 10240, 24 December 1894, Page 6

OUR LONDON LETTER.

(Fitoai Oor Own Correspondent.) Lonbon, November 9,

NOTES ON PRODUCE,

Tha accounts I receive of the wool market this week are of a qualified character. A fair amount of activity in consumption is recorded in all directions, with the single exception of the French trade, which is not up to the desired mark. Disappointment is generally expressed at the comparatively small, development of the trade which has followad the setslemeui; of the American tariff. Here the revivaKha? fallan very far short of what seemed to be reasonable expectations. The truth seems to be that there is still & vast accumulation in hand of the raw material, which has gradually mounted up, and which will take some time yet for consumers to work oif. Consequently, in spite o£ the magnitude of the turnover which is steadily going on, it is nob felt safe to indulge in very sanguine anticipations of any immediate rise in price. Writing to me on this subjoct, under yesterday's date, an eminent firm of woolbrokers points out that the results of continental "terme" operations have introduced a very artificialponitioninto thn "top" market, and are exercising a prejudicial influence upon the values of all other wool than the particular type specially affected. It is considered that this mußt for the time somewhat depress the situation with regard to wool. For the wosl sales which open on the 22nd iust.—the last series of the current ysar—the arrivals to date comprise 70,730 bales, of which New Zealand sends 12,390. About 6500 bales have bsen forwarded direct to manufacturing districts. New Zealand mutton is still a drug in tha market, and priceti have tended downward rather than upward. The best New Zealand mutton in tha market will only command 3^d to 3^-d per Ib, and inferior qualities are barely saleable at 2-£ dto 3d. Australian, it is true, is io even worse c&se, the best New South Wales being quoted at 2d to 2^l, but that does not make matters any better for Naw Zealand producers. I am told that this week's average prices for Australian mutton constitute a record as having reached the lowest po.nt ever yet touched. Yet some fear that in the lowest depths a deeper still may ba fouad. Let us hope they are wrong. It is noteworthy that Scotch mutton at tha present time is fetching exactly double the price of the equally good New Zealand mutton —viz., 6£d to 7d per lb,—and English is very nearly as dear. IE only some means could be devised for "splitting the difference " between the two and bringing up New Zealand mutton, say, to 5d or s£d, the rise would spoil salvation to New Zealand shecpowners. Bat when all the leading representatives of the trade mot in conclave recently to consider this very point, they were obliged to separate, after a whole afternoon's resultless talk, with the humiliating confession that they could hit on no plan of improvement. No way could he devised of regnlating the supply to suit tha demand, and, failing such regulation, prices are at the mercy of all sorts of incalculable chances. Still, it does seem to those who earnestly ponder this difficult question that, while homebred mutton is in active demand at 7d per lb, New Zealand mufcfcon ought to be worth more than 3jd, if only its distribution could be better regulated and the trade adequately pushed. The problem is how to effect this. Mr G. Pv. Valentine is still hard at work at his scheme for a big co-operative produeediatribating company, which he believes would, if successful, solve the problem. I understand he is at present in active negotiation touching the financial phase of the schema—no unimportant or over-easy side of the question. He seems very sanguine of success, and assuredly the plan is well worth trying. Bnt unluckily these artificial methods of market-making appear seldom to succeed. In this case certainly there is a large margin available for profit if the company could manage to force up the price of New Zealand mutton anywhere near English rates. Attention is still 'own* directed to the possibility of shipping !ivc c»U.le to England in lieu of frozen or chilled bast. Unfortunately, it seems hopeless to get absolutely authentic statements as to the cost of conveyance and maintenance. No authoritative accounts ate available as to the expanses in connection with the Port Pine shipment. One authority estfmate3 them at £24 per head, which would niemn a considerable loss. Another puta them at £17 per head, which would mean a moderate profit. It is a great pity that there should not have been the fullest and minutest details available with reference to a matter of such really national importance. But so it ib. AH we know definitely ia that the cattle arrived in splendid condition, and realised £22 11s per head for the shorthorns and £19 13s for the Devons —fairly respectable prices. The sheep averaged £1 4-s 2d apiece, which is regarded as somewhat disappointing. Still it represents nearly 5d psr lb, and that is a a very long chalk belter than the frozen meat price. Ot course the expenses may eat up all the difference, but that is just what we don't know »Hd what we particularly want to know before we can gauge accurately the value of the experiment and of its results. One high authority on the snbject insists that New Zealand meatgrowers mast, have mora strings to their bow than merely the two represented by freezing and canning. He says you will have to go in for " packing," smoking, and all sorts of other dodges, just as they do in America. He came to this conclusion after visiting Mr Armour's famous works at Chicago. Tho idea is worth weighing. Butter'looks no better than it did last week. The stores are full, and Australia keeps pouring into the already congested market vast quantities of a quality, I regret to say, decidedly superior to the large majority of New Zealand's butter shipments. The moribund Butter Committee, whose functions have long been virtually extinct, has, I see, got to loggerheads with the Victorian Dairymen's Association, and I am afraid the committee has not very much of good result to show as its raison d'etre. The real fact IB that when tha band of union first snapped, and the original principle which had been adapted as a fundamental one was entirely departed from, there was no longer any use in keepiug the committee even nominally extant. When Mr Henry Reynolds, who was its author and gnuling spirit, gave it up as & bad job " the game was up." He recsgnised that the effort, howevsr well meant and well' planned, had proved a failure. The " measure " was all right, the "men" were »11 wrong. They would not work together, and so it proved a failure. Thus the StandiNg Committee scheme hss benu tried both for meat and for butter, and in | each case it has failed. It would be utterly i useless even attempting to revive either. Past failure would involve hopeless discouragement ah initio. Seme nsw device must be sought. Meanwhile Mr Valentine is trying his idea of a co-operative distributing company. More power to him ! May he be successful! In connection with this esme subject I may mention that a "Queensland beef luncheon" was givfin on Tuesday at the Imperial Institute by Mr W. Smart, who read a paper on " The Anglo-Colonis.l Meat Trade," and illustrated it with an excellent " feed " of Queensland beef and New Zealand lamb, both being unsurpassable in quality—tender, juicy, and of perfect flavour. They were evidently appreciated by the guests, especially the Nsw Zealand lamb, which was all the more enjoyed inasmuch as lamb is an almost unattainable luxury at this time of year. An experiment was tried of shipping eggs from the Australian colonies to London, but they were stored in too cold a chamber and consequently burst: the yolk on thawing seemed to be all right au<3 of good flavour and colour, but tho white was epoiled by freezing. It is believed that eggs could be brought Home i

, safely at a low temperature—a few degrees i above freezing,—bat it is doubted whether they would realise paying prices, the Continental competition being ao very keen. ANGLO-COLONIAL NOTES. A very painful sensation was caused in London by the evidence given at the inquiry touching the wreck of the Wairarapa, which was cabled »t considerable length and published in the dailies yesterday morning. When the first news arrived of that terrible disaster people took for granted that there must have been some strauga mischance, the excellent arraagenients and sppHances and precautions eßtabliohed by the Union Steam Ship CocniwDy being so well kuown. Also seine comfort was taken in the first statements which represented the officers as doing their dnty nobly and the captain going down bravely with his ohip. But a lurid and disagreeable light is thrown on the affair by the evidence, as reported, of the first mate and oE the carpent&r. Special interest is felt inasmuch as so many people are now making the Australian - New Zealaad tour, relyitig. oh ths glowing accounts they have heard aud read of the Union Company's connecting stearoersi their excellence, safety, aud good management. AH the regular steamers bo-.iad for Australia and Ne>v Zealand appear to bg "full up" foe some weeks ahead. I know several people who have been disßppninted in obtaißing berths in any of tbis week's or next week's steamers. Sovetal intending passengers to New Zealand have had to try steamer after steamer and " line njion line " before they could get a passags at all. Gdnfiral satisfaction is expressed in the city at the result of the Bank of New Zealand directorate election. The new colonial board of the bank is regarded as a strong and sound one. Consequent on the receipt of the novrs tisafc the Hoube of Representatives had throws ouf; the Midland Railway Bill the debentures of that company have dropped heavily in the London market, and stand tv-day at abont 56. At present nobody seems to know what course will be taken by the company. AH the directors and officers in London are studiously reticent on the subject. I believe, however, that the chairman will shortly go out to New Zealand in the hope of effecting spme feasible arrangement.

Failing some concession ou the part of the colony ia the direction of modification of the original contract terms, I fear that costly and protracted litigation is inevitable. The directors in London say plainly that the colony in the first instance departed from the terms oE the contract and broka faith with the company, and rendered it impossible for the company to carry out the contract on its original baiis. I am afraid there is going to be much trouble and waßte of money over this unlucky affair unless some reasonable compromise can be arrived at. I'ne feeling in the City is unmistakably adverse to the "colony in this matter, as it is considered that the company has been badly used, and it has plenty of i&flueutial mouthpieces who do not fail to represent its treatment in the darkest light. It is a great pity some agree* meat cannot be arrived at.