NEW SEASON’S WOOL.

Otago Daily Times, Issue 20202, 13 September 1927, Page 13

NEW SEASON’S WOOL.

SALES OPEN IN SYDNEY. A FIRMER MARKET. PROSPECTS OF DECREASED CLIP. (From Our Own ’,’orresfondenx.) SYDNEY, September 2. On Monday the firct sales of the new wool-selling season opened in Sydney, and from the commencement competition proved strong and prices showed an increase of from 5 to 10 per cent, compared with the closing rates of the old season. That the demand was keen was shov-i by the fact that 9G per cent, of V: wool catalogued on the first day of the sales was cleared. Russian inquiry was a feature of the sales this week, epresentative of the Soviet All-Textiles Union, with credits for £3,000,000, now being in Sydney for this purpose. Germany bought with decided freedom, and Franco also purchased in excellent volume. Belgium and Japan also gave the market great support. Competition from the English section was restricted. In New South Wales there is xp- ted to be a decrease of the present clip of about 145,000 bales on last year’s record clip of 1,550,000 bales, owing to the dry and cold weather of the winter months. Similar conditions have ruled m States except Western Australia, and in the aggregate the Australian clip is expected to "bo 400,000 bales less than last year Unless prices advance accordingly this will mean that Australian wool exports during 1527-28 will decrease in value about £8,000,900. As 2,600,000 bales were produced in the whole of Australia last year prices would have to advance on an average between 15 to 20 per cent, to balance the decreased production. At the annual meeting of Winchomhc Carson, Ltd., Australia’s largest woolselling brokers, (hr chairman (Mr Harold Bell) declared that this advance in prices would only he gained if trade in woollen goods in' the world became brisk. Apropos of this, it is interesting to note (hat, graziers organisations in New Emith Wales and Victoria have protested to the Prime Minister against the reported encouragement given by the Minis (er for Trade and Customs (Mr Prattcn) to the proposal to establish an artificial silk factory in Australia. The graziers assert that artificial silk is a menace to the wool industry, hut other sections of business point out that Australia's wool is mainly used outside Australia, and it competes against artificial silk factories already established in Europe.