THE BREADSTUFFS AND PRODUCE MARKETS.

Otago Witness, Volume 14, Issue 2648, 14 December 1904, Page 20

THE BREADSTUFFS AND PRODUCE MARKETS.

Friday. The London wheat market shows another advance of 6d per quarter. Early in the week sales of Australian cargoes were reported at 33s 3d for December-January shipment, and at 33s l|d for February shipment, but later advices report sales o£ February shipment at 33s 3d. There is cvi- - dently considerable activity in cargoes. Tha most sensational news, however, is that/ owing to the advance in New York, 5000 quarters of American wheat have been shipped back tliere from Antwerp and R->ld! at 36s 3d. This affords striking illustration of the independent course taken by the American market, and points to all sorts of possibilities as the outcome of the American shortage. Present indications point £b> a continued firming in the London market, but the situation is so full of possibilities that it is difficult to essay a forecast witlj

Any -degree of .certainty. The Argentine crop, : now being harvested, should be available for shipment early in the New Year; indeed, private,, cables recently received in Melbourne state that Argentine shippers are" already offering cargoes of new wheat for forward shipment to Europe. Authoritative news as to the extent of the Argentine crop"« is eagerly _ awaited. . The new Indian wheat should be ready about April next, and the prospects of a good yield^are so far satisfactory.^ ,Tho total quantity of wheat and flour afloat for the "United Kingdom and the Continent shows an < increase on the ■week — another evidence ~of the strength -of the market. The quantity, as at "7th inst., afloat for the United -Kingdom was 2,855,000 quarters, as against 2,195,000 quarters --the previous week — an -increase of 690,000 quarters; and for the Continent, 1,650,000 quarters, .£s. against 1,6*0,000 quarters the-previ-ous week — an increase of 10,000. quarters. These- figures compare with ' the corresponding period in previous years .as follows : -=■„ Afloat American Average Afloat for - for ' -visible English TT.K. Continent. Supply. Price. Quarters. Quarters.' Quarters. . Quarter. 1904.. 2,855,000 1,650,000 7,548,375 30/ 1903.. 1,730,000 1,345,000 7,381,000 26/8 1902.. 2,155,000-1,400,000 9,791,000 25/1 1901. . 2,465,000 1,345,000 11,378,000 27/1 It "will- be noted fihat the American visible supply, in the -absence of exports, is steadilymounting 'up, and is now in excess . of • the .supply at the. same date hist year, but_still falls, far short of .the total ,for the- two previous years. .- . ' The" Australian markets show an improve■anent, the cabled quotations being from 3s 3£d.to 3s 4^d, as against 3s, 2d-to 3s 3d last week — a rise _of ljd^on the week. This advance is in the face of a firming freight ■ market, 25s per ton being asked for foreign "ships, whilst owners talk of 26s 3dand .upwards. The improvement in Commonwealth prices is due in part to the .advance' in IJondon, although -this is consider- • ably discounted by the advance . in freights. ' But perhaps the predominating factor in' the - rise is the heat wave which has passed' over New South Wales and part of Victoria, playing havoc with the crops in -certain -districts. The extent of the damage may be gathered by the following extracts from the crop reports published by the Sydney Town and Country Journal: —

The hot winds of the last three weeks have •wrought sad. havoc among the wheat crops in the Kane-mine and Trangie districts, and, instead of five or six bags to the acre, the iaxmers there are now dubious about getting more than three bags or two and a-h&lf. Nearly all the wheat crops about Trangie are being cut for hay. Numbers of wheatgrowers in the .Molong district have despaired, of garnering any grain, and are putting the crops for hay. Some" may yet harvest, half -croips. The wheat crops in the Bungendore "district are only a few, inches high, and "the harvest prospects are ruined by high drying winds and ■want of rain. Some farmers" 'are cutting the •wheat' crops for hay, but in many cases even this expedient is not worth while adopting. The jscorching 'westerlies have wrought terlible havoc among the Mudgee crops, and harvesting prospects are daily getting worse^ — in some localities are deplorable. Many, crops which promised" good yields will be" cut for hay, and the" wheat in "even the best fields is mostly .pinched. Some of the wheat plants are so stunted 'that the crops cannot be saved for hay, * and < "stock has been turned in to feed' down. ~~ The wheat .croips in Bathurßt district threaten to be almost a failure unless a soaking, downpour comes within a fortnight. Our cargo correspondent writes: — Haymaking .is proceeding,, all the wheat crops having to be sacrificed. There is no hope of any wheat being saved in this district. No rain has fallen, andi the hot winds and scorching days have dried up everything.

The weather in .the Forbes district continues very dry, and during the past week strong southerly winds have been blowing, drying up the wheat crops, and ripening them prematureTy. In consequence the yield will be much below what was expected. The grain is in many cases much pinched. Those farmers •with the beet prospects do not expect to cut more than ab->ot two bags to the acre. A great many are now cutting the wheatfields fox hay.

There is very little activity in the local wheat market — indeed, the few sales reported scarcely constitute a market. There are no buyers except for odd lines for. mixing, and, on the other hand, there are no anxious sellers; consequently, buyers have to pay full values -for what they need. As ihigh as 3s 7£d, on trucks Timaru, has been paid during tha.week for a little lot of prime milling Tuscan, but the ruling quotation is from 3s 5d to 3s 6d, on trucks, for good milling lines. Millers incline to think that a straight-out offer would shade these prices, but that, of course, remains to fes seen. There appears to be little prospect of local millers being in the market to any extent until- the JNe.w Year,-, when stocks of flour ebould be pretty well worked off. Most of the recent buying in Canterbury and North Otago has been done on account of the (Auckland mils, which have been putting out a good deal of flour in the North Island of late. The Christchurch Press reports as follows : —

There is a, better tone in the local wheat market, which is probably due principally to the rough weather prevailing during the last few days, though the advance in the Home -narket may also have given buyers more oon-

fidence. The local millers are operating as well as merchants, and there is a demand from Auckland. There is a fair quantity of wheat on offer, but growers are mostly holding for 3s 6d at country stations, and this is crnsidered beyond present market values, except probably for good lines of Tuscan, which is still meeting with most inquiry. A fair amount of wheat has changed hands during the past few days, including the following lines — 550 bushels of pearl at 3s 5d ex store, 2500 bushels of Tuscan at 3s 54d, a mixed line of 1080 bushels of pearl, Hunters, and Tuscan at 3s sd, 1400 bushels of Hunters and Tuscan at 3s 3ftd, and 3500 bushels of pearl and Hunters at 3s 3d at country stations, the highest price f.o.b. being 3s 8d for Tuscan. . -

There "has been a brisk demand for chick wheat for shipment during the past few days, and a fair quantity has been taken at 3s, ex store, for good whole fowl feed. This may have the effect of slightly firming the fowl feed market.

Millers are complaining loudly of the dulness in the flour trade, which is largely due to the extensive nature of the forward sales made some months back. The New Zealand Flourmfllers' Association's tariff stands unaltered as follows: — Sacks, £10; 100's, £10 10s; ~so's, £10 15s; 25's, £11. The shipping price is £9 10s, f.o.b. Offal is _• dull of sale; especially bran, which is in small demand. Stocks of pollard are accumulating, and -the spurt of last week is quite' off. - The tariff stands unaltered as follows: — Bran, £3 5s for local orders, and £3 f.o.b. for shipment; pollard, £4- per ton, both, for local orders and for shipment. There Js a better feeling in the oat mar>ket, but local stocks are now in such small compass that very little business is passing. There have %een several inquiries from -Australia during the week, presumably on South African account, and there are Tn.quiries for A grade Gartons for the West of England trade. In the absence of available, supplies no business has resulted. .'Quotations range from Is 8d to Is" o^d for A grade Gartons to Is s£d to Is 6d for B grade sparrowbills, all ex store Dunedin. JThe Bluff quotation for B grade ig Is 7d f.o.b. ' There is some difference of opinion as to the stock of oats in Southland in farmers hands. On the one hand there is "the fact that shipments to' date to Australia this year only amount to 48,000 bags, as against nearly 300,000 bags for the corresponding period last year. On the other band the shipments to London have been considerable, and some merchants incline +o the belief that, considering the lateness of the harvest, there will be no great carry over of oats this season, so that should any Australian demand spring up oats may yet see better prices.

The Christchurch Press reports : " There is fair ' inquiry for oats, and a sale has been made of 1200 bushels of duns at Is B£d at a country station for shipment north, and 360 bushels of Danish at Is 5d for local consumption. There is better inquiry for chaff, and supplies are scarcer on account of the wet weather. It is worth 55s at country stations."

The price of oatmeal stands "unchanged at £8 10s per ton. Pearl barley is quoted at £12 per ton. Our correspondent reports as follows on the Timaru and Temuka grain and produce .markets : —

The grain markets during the week have shown a slight improvement, but very little business, is passing. Holders are standing firm for late reserves, which buyers are not inclined to give, except for small lines to fill immediate requirements. The nibbling by millers from various sources would seem to indicate that- their stocks are net heavy ; at the same- time there are few buyers of big lines. Stocks,, however, are working down, and there is yet from four to five months to run before any new wheat will be fit to mill, as the season is a "very late one this year. Winter-sown crops are now coming along well, but spring-sown are generally poor. Indications point to a short siipply of Tuscan for next year.

Oat crops have improved during the last week or two owing to much more favourable weather conditions. Present stocks of oats are pretty well exhausted and prices have -hardened, with a very few offering. Potatoes. — Old Derwents are in good demand, but none offering. The following are ruling prices : —Wheat : Tuscan, 3s 6d to 3s 7d ; velvet, 3s 4d to 3s sd : Hunters, 3s 3d to 3s 4d; whole fowl, 2s lOd to 2s lid at country stations. Oats : Canadians, Is 8d to Is 9d; G-artons and sparrowbills, Is 7d to Is 8d; duns, Is 9d to Is lOd; Danish, Is od to Is 6d at country stations. Barley (nominal) : Malting, none offering ; good feed, 2s 6d to 2s 9d. Oat sheaf chaff: Prime, 60s; fair, 50s.

The potato market is firmer owing to short supplies and a good demand. Fair supplies of Auckland kidneys have been forward during the week, and have realised up to I*3 per owt for choice samples. The Melbourne shipment sold at 9s per cwt, and small consignments of new potatoes from Nelson and Oamaru realised 2d per lb: Peninsulas are in good demand at 2d per lb and Flat grown at lfcL The market is bare of old Derwents, which are quoted at £3 per ton ; a few lots have been sold as high, as £3 10s 6d and £3 15s. In the export dairy produce market December butter is offering at 9-id to 9£d f.o.b. New cheese, is now offering freely at 4id to 4Jd in wholesale quantities.

The local market continues glutted with farmers' and separator butter, which is exceedingly difficult to quit, and very low prices have been taken to clear accumu-

lating stocks. Farmers' pats are selling at 4^d to 5d per lb, and separator at 6d to 7a in bulk and 7£d to B^d in pats. Salt and milled have little inquiry. First-grade factory is unaltered at lO^d for bulk and lid for pats.

xhe local cheese market is firm, especially for good old cheese, 4£d to 4|d being asked for Akaroa, and 4|d to 5d for factory medrams.

Owing to lessening supplies and the approach of Christmas the egg market has taken a jump. This week's quotation is 9d per dozen, and sales are reported at 9 z u. There is a possibility of a further advance.

The demand for poultry is fully equal to the supply, but the quality coming forward is far from satisfactory. Current quotations are as follow: — Best young roosters, 4s to 4s 6cl ; hens, 3s to 3s 3d ; ducklings, 5s 6d to 6s; geese, 5s to 6s; turkeys — gobblers Bd. hens sd.

Pigs are in good demand. Baconers (up to 1651b) are quoted at 4d to 4£d; overweights, up to 3d. Hams are firm at 8d to B£d, and bacon at 7d to 7£d.

There i 3 a good inquiry from Auckland for prime chaff, but the high prices ruling hinder business. Current quotations range up to £3 15s per ton for choice oaten sheaf. Saturday. Latest cable advice is to the effect that the wheat markets are qtiiet, owing to an American relapse. Cargoes are reported as dull, and holders less firm. American winter wheat, however, is quoted at 118£ cents — close upon 5s per bushel, — and quotations for Australian cargoes are 33s afloat and 33s 3d to 33s 6d for shipment. Under date 2nd inst., the Sydney Morning Herald reports: — "Wheat continued to rule firm at 3s 3d for new season's grain, of which a few trucks are now beginning to come to hand. Last season new wheat was first delivered on about December 5, and in the previous season on November 26. Somewhat larger sales were effected."

In accordance with his usual custom at the beginning of December, the New South Wales Statistician has prepared a statement of the movement of wheat during the previous 12 months, which is as follows : — Total yield of wheat last harvest.. 27,330,000 Wheat required for local consumption — Food 8,670,000 bushels Seed 2,500,000 bushels— ll,l7o,ooo Available for export or other purposes 16,160,000 Exported by sea to November 26 (local wheat only) 10,136,000 Exporter bordcrwise to November 26 .. .. 1,639,000 Stacked at Darling Harbour 331.000 Total exported or ready for shipment 12,109,000 Balance 4,051,000 Slacked at country stations November 26 , 697,000 "3,351.000 Concerning these figures the Herald remarks: — Since the harvest a considerable quantity of wheat has been fed to stock, etc.,_especially of bleached wheat. Allowing 600,000 bushels on this score, the surplus wheat 3till in the State appears to be 2,750,000 bushels, not counting the 722,500 bushels required for food purposes during the month of December. The balance of 2.750,000 bushels is divided between the farms and the mills. If the whole quantity were on the farms' (which, of course, is not the case) it would not appear excessive, judging by the experience of the State of Victoria, ■Where information has been collected for some years past as to the stocks of old wheat remaining on farms at the 1 end of the year. The figures show that for the three years 1899 to 1901, when the total yield ranged from 15 to 19 million bushels, the stocks of old wheat on farms in Victoria varied from a million and a-half to over two million bushels; it is not, therefore, unreasonable to suppose that with a harvest of 27,330,000 bushels the stocks held in New South Wales should considerably exceed these figures.