OUR COMMERCIAL LETTER.

Otago Witness, Issue 2201, 7 May 1896, Page 7

OUR COMMERCIAL LETTER.

{From Oun Own Correspondent.) London, March 21. WOOL. Touching first on New Zealand's chief export, wool, I may say that according to some of the mo3t trustworthy authorities, in spite of the absence of any appreciable demand from American operators, competition has decidedly gained in volume during the past fortnight. Prices for merino wool now stand, in the average, 10 per cent, above the January level. The improvement in the value of medium to good greasy merino wool, established at the opening of the sales, became at the close of last week much more irurked, while a freer participation in the biddings of the Home trade, assisted by some Russian buyers, strengthened the position of soured descriptions, which now rule oa relatively the same basis as kindred qualities in grease. Further, I learn that well-conditioned crossbred wools of all grades have met with a ready Bale at prices fully equal to the opening quotations, while recently the finer sorts have attracted more attention and now command 5 per Cent, above the closing rates of the last s,eries. Poorly grown, wasting " shipments, however, of medium qu *lity sell rather irregularly. Up to the present date 80,310 biles of wool have been offered, and of this large quantity only 1570 bales havebeen withdrawn. I am indebted to Messrs Chas: Balme and Co. for the following compaiison between the prices realised for New Zealand wool during the salea which clo3ed yesterday and those of the previous series :— Merino : fn grease- superior par, average to good Id per lb higher, ordinary and inferior id to }d per lb higher; scoured- superior id to Id per lb higher, medium ljd per lb higher, inferior la per lb higher; lambs' wool— superior unchanged, inferior J4 per lb lower Crossbred :In grease— flue Jd per lb higher, medium Jd to Id per lb higher, coarse id p 3 r lb higher ; washed and scoured— fine Jd to Id per lb higher, coarse id per i lb higher. from the same firm I bare the following

note :— " Increased consumption during the past 12 months has reduced the stocks in manufacturers' hands to smaller dimensions than has bsan the case for many years, and although tome contraction in the demand for woolleus and worsteds from the United States has recently been experienced, it is satisfactory to notice that other markets which have been practically closed to European manufactures during the late period of depression have latterly shown signs of renewed activity. It would appear, therefore, that "the trade, even without American support, will have but little difficulty in absorbing the reduced supplies of colonial wool available for the present year, while the prospective deficiency in next season's clip cannot fail to have an important effect on the future course of prices." FROZEN MEAT. With regard to New Zealand frozen mutton and lamb, 1 have just received the following note from M>ssrs H. S. Fitter and Sons, of Smithfield :—": — " Prices for frozen mutton are slightly weaker, especially for middling and inferior qualities. Tin* is due to the continued heavy arrivals (principally Australian), added to stocks on hand th.yfc are more than abundant. At the same time it is a most difficult thing to find a really good pared of prime New ,Zealftud sbeep, and if this "lack of prime quality continues it will certainly prejudice the development of the trade. Although the demand for Ne >■ Zealand lamb is verygiol for the time of the year, the heavy arrivals are weakening tha prices, and, as it "is knjwn.that there are large quantities expected in the near .future, the market is forced by those who are an-tious to .clear what they hive in hand. There is also another reason why prices are weaker, and that is, lamb 3to arrive (February and March shipments), have been offered in London at very low pvice3. To day p ices are as follow :— Canterbury (New Zealand) sheep, 3Jdto 3Jd per lb ; Wellington, 2|d to 3id per lb ; Canterbury (New Zeiiland) lambs, 4Jd to s£d per lb ; Wellington 4d to J>d per lb." v I have also the following memo, from the C.C.D. Convp my :— " Trade has continued very slow, there haß been no improvement in demand, no recurrence of the brisk trade of previous yeaTS at this season, and prices for all sorts aiv appreciably lower, the best sheep have been less inquired for, and the far more numerous plainer Bortß have been difficult to move, in sufficient numbers, at considerable reductions in price. The marketing of numbers of stale carcases, that had been held over, either anticipating short supplies and batter values, or from tha inability of consignees to clear, has tended to depress prices, and cannot but detract from the popularity of froz n mutton, for meat lacking bloom and to some extent periched from loag storaee cannot give satisfaction to consumers. Prices have fallsn from 3J>l per lb for best Canterbury sheep to 3f 3 per lb, and this week to 3id per lb ; Dunedius and Southlands have sold at 3|d, but 3Jd per lb is now the price ; North Island sheep (Wolliugtons and Napiera) are now selling at 3d per lb, and many of these are particularly bright and good. Ewes are now making 2gd to2id per lb." Of New Zealand lambs they say :-— " The size and weight of some of the lambs, especially amongst the Canterbury parcels, have been very noticeably and an average of 451b, with a number weighing from 581b to 601b, is unusual thus early in the season." GRAIN. As to the market for grain, Messrs W. Weddel and Co. write to me to-day :—" Trade has been dull and depressed during the pa<t fortnight, and, for the present at least, the small supplies afloat aud the reduction of stocks in warehouse in this country is having no effect whatever upon buyers, who find that the demands of the country have become emphatically restricted. , This is, no doubt, to be accounted for to a very large extent by -the exceedingly mild and open winter, which has now passed into spring. It is reported from various country districts that the consumption of breadstuff's has fallen off about 30 per cerit. from la3t year. The cheapness of potatoes, green vegetables, and meat of all kinds has tended to accentuate the dulness in demand for wheat. The fact, however, remains thatfl.ating parcels and stocks here are so lißht that they will render the market very susfceptible to any change in crop conditions either in France ' or America. Prices must be quoted about Is par quarter lower." New Zealand oats are in slightly improved demand at 24s to 25s for best. MISC ALLAN KOVS. New Zealand flax is dull. At last week's sales 410 bales were offered, but only 20 bales (good Wellington) were sold at .£ls 15i. Preserved meats are depressed, with small prospects of revival until after _aster. Beef is slightly down, mutton is unaltered ; but there are few, if any, sales. Tallow is falling ; prices are 3d down. At last week's sales 1150 casks were offered, but only 546 sold, and these at the lower prices. At piesent there are no symptoms of improvement. Hides are quiet, with hmall demand, but no reduction in price Rabbitskins are inactive ; but the next aalei will be held on Friday, and as yet the supply is very limited, bo some improvement in prices may be expected. DAIRY PRODUCE. The colonial dairy produce market has been fairly favourable, although the unbroken continuance of exceptionally mild weather has unquestionably been detrimental to the interests of colonial butter. A fair amount of business has been done and prices remain unchanged. Probably the reason is that the best qualities of colonial butter have become very scarce, and small parcels of the choicest brands have reached 102s to 104 a. Th«-re is, however, very little butter of this class in the market, and fc'6a to 100s is about the average price realised for what is commonly known as " choicest" creamery butter, 90s to 94s being obtained for the class known as " best factory." Foreign butter is by no means in large supply. On the other hand the demand is dull, else a decided rise in prices would assuredly have taken ploce before this. Pastry butter, however, is selling enormously above its relative value as com* pared with the highest classes. It is bringing 80s to 853 readily, whereas last year most of this inferior class of butter fetched little more than 50s. Some complaints have been made of the fishy flavour in the case ( of some of the Ruahine's butter, but I do not gather that this defect is very largely prevalent. I believe it has been noticed to a much larger extent in the case of the butter landed about the game time by the s.s. Australia from Victoria and New South Wales.