OUR YORKSHIRE LETTER.

Otago Witness, Issue 2389, 14 December 1899, Page 7

OUR YORKSHIRE LETTER.

(From Oue Special Correspondent.) BRADFORD, October 20. THE WOOLCOMBERS' COMBINE AND ITS PROBABLE EFFECTS ON COLONIAL WOOLS.

Tho combining of 38 wool-combing establishments in Bradford and district represents a colossal concern, and one which in the common order of things will affect considerably the colonial wool trade in general. With a capital of £2.500,000, or rather with a present issua of £1.931,800, and the balance (debenture slock) only to be issued agaiii6t thp acquisition of additional properties, it will be seen that the combine is of fir?t magnitude, and will probably have to be reckoned with at no distant date. Hence we ask the

question, What is likely to .be its standing relation- to colonial wools in general?

Looking at this subject on its broadest haois possible, let me first of all set right somo false notions which have apparently got abroad among those dealing with colonial wools first hand, colonial wool agents, and the growers of the staple as well. The fear has been expressed that this combine will inflict a -somewhat crushing blow at future prices for wool in London and other colonial centres', reduce competition pr increase competition as circumstances arise, and that in the long run this woolcombers' combine will be no friend to the growers of the article. Such a preconceived notion is altogether wide of the mark, is hideously wrong, and born absolutely of a state of ignorance of the real condition of affairs.

Considering this important matter in the light of actual facts, who, we ask, are the promoters of this combine? for here rests the crux of the whole question. And, first, let us say that not the actual woolbuyers cr topmakcrs, but rather the woolcomber3, or those who have taken from the real actual woolbuyers the raw article and then combed it, or turned the wool into what is, known in the trade as 'ifrops." It will therefore be' teen that it is what are called "commission woolcombers" who are the principal moving factors in this present combine, and not really the buyers of the staple. It is very signi-. ficant indeed that the largest concerns being taken over (and they are of very large dimensions) do not buy a single bale of wool in a year, but content themselves ob takincf tho wool topmakers send them, paying to much-per Jb of combed wool, reckoned on .the yield of "top" to "noil." Still some of the firms joining in the combine are topmakers owning their own plant, but it is altogether impossible for these *to exercise any power over i values for the raw article, the extent of their operations being upon the price per lb at which wool shall be^combedAnother point of "considerable moment to ; the colonial trade is that by far the strongest j backing i" coming from the wool and top trade in ilia Bradford district, which naturally is receiving considerable consideration by way of being allotted shares in preference to the outside public, though the latter are being dealt with as fairly as possible. But the army of topmakers have, in fact, subscribed the whole of the capital required, and this simply means that the two or throe firms outside the combine will probably be induced to join hands witli the association. With so much interest in the concern of those actually buying the wool, it only sounds to sense that they vfrill patronise the association. The share capital may seem big in the eyes of the uninitiated, but among the trade it is looked unon with much favour, and the question discussed is not so, much the wisdom as the likelihood of securing an allotment. Considering the direct influence the ' combine v/ill have upon the colonial wool trade, we fail to see how it can otherwise affect it than favourably. The woo l will be require.! just the same, the same number of buyers will be there for it, and whatever price is paid will not affect the association one iota. All their profits will have to come from an increased tariff rate' for combing the wool, and higher charges are certain ; but with the promised support of the two .firms outside the combine, we fail to see any reason why the Yorkshire Woolcombers Association should not be in and out a commer- j cial success just like' the Bradford dyers' combine.

WOOL TONING "DP AGAIN.

The wool situation to-day shows a more decided aspect of sobriety than was the case a week ago. Then the market seemed to be suffering from an overdose of wool chloroform — i.e., bear talk, the slight drop in London, and spinners buying very heavily, but the combined effects of these factors have now evaporated, and though the after effect* of things being a little "sleepy" are still hers and there apparent, there is a de cided counteracting process at work, and thera is more tone and energy about the market. The continued tremendous consumption, and the strong showing of wool in the Australian centres are factors playing no small part in keeping this market steady and prices firm. There is no uneasiness manifest whatever, and holders are tarrying by their stocks in the most complacent manner poisiblc. Profits to-day are not so readily made as they have been, and wool U so high in price that men seem to have little for their "brass," and this is causing them to "sit" contentedly, for they believe the future is with them. The position of things in South Africa is not considered as likely to affect seriously this market, though it is worthy of mention that Bradford wool houses are buying~"hpavily out there the new clip that is just being marketed. Raw wool in Worstedopolis is still easy of sale, and anyone having a hundred bales of merino 3 can find a ready customer. This week ordinary 60's tops have again chauged hands at half a crown, and there seems to be a hardening tendency in 40's tops. Fine crossbreds still sell most readily, but low qualities rise iv favour very slowly. In English wools matters seem again to have settled down into a very sluggish state, the most favoured qualities being good Down wools. Mohair is quiet, but Cape sorts are coming to hand more freely, and there is no lack of consumption. Yarn spinners still find plenty of orders stirring, and are in a very independent position, and this is making them adhere strongly to the high prices they demand for yarns. Even in the export trade business is satisfactory. Among manufacturers the greatest brisknes3 possible prevails, and work for efficient hands is plentiful.