WARS AND TRADE

Otago Daily Times, Issue 23517, 3 June 1938, Page 9

WARS AND TRADE

NO SERIOUS INTERFERENCE POSITION IN SPAIN AND CHINA (SPECIAt TO DAILT TIME 3) AUCKLAND, June 2. Despite fighting in China and Spain, merchandise from these countries is still coming to hand in the Dominion, often at prices that do not bear the increases that might be expected because of the war conditions. Sherries and wines from Spain can still be imported in the quantities desired, though, as London is the clearing port, it is impossible to ascertain in all instances what proportion was recently shipped from Spain and what quantity came from the stocks held in England. The chief wine areas in Spain are in the hands of the nationalists and, in order to secure funds, General Franco’s policy is to maintain trade as much as possible. On all sherries he has imposed a special war tax of £4 a butt, a butt containing 112 gallons. Importations are now bearing the equivalent of this impost and certain other charges, but the advances in price vary and are not very large generally. Cork is scarcer and is still obtainable at prices which, for obvious reasons, are higher than the advanced British quotations, many of which are up by 15 to 20 per cent. The amounts paid in exchange duties and other costs naturally are increased as the result of the higher quotations, but a big check against inflated prices is that there are now mahy substitutes for cork, and glass stoppers have a big vogue. Casks for wine and other liquor show higher landed costs because it is now difficult to get supplies of Spanish oak and mahogany, and the demand on this market is now keener because • Russia is apparently no longer exporting Baltic oak, requiring this timber for her own use.

Although olive oil is higher in price than it was before the war started in Spain, it is actually lower than it was six months ago. But then, possibly, a good deal of this commodity now comes from the South of France and prices are following an easing trend on world markets. The markets are perhaps in slightly reduced quantities because of the disturbed conditions in the interior.

Walnut “meat” is still coming from China, the prices being firm but showing very little advance. Peanuts in shell and general lines from China are described as in very much the same condition.