THE BREADSTUFFS AND PRODUCE MARKET.

Otago Witness, Issue 2685, 30 August 1905, Page 20

THE BREADSTUFFS AND PRODUCE MARKET.

Friday. The London wheat market is inactive, and the only sales cabled during the week are of two Australian cargoes at 31s 9d to 31s 10id respectively. The most important news is the cable from Russia that the- harvest has failed in 25 provinces. There arc 72 whoat-g-rowing provinces in Russia, and if the failure of the harvest in 25 of ths 72 is confirmed, this fact, in view of the present dependence of Europe upon Russia for supplies, cannot fail to affect the future trend of prices. Latest advices concerning tho Russian harvest/ given by " Beerbohm, " under date July 14-, are to the following effect: — Russia.— The crop reports from this the niosc important wheat-growing country continue ta be pesplesing.y variable. Prj^ata advices trom Odessa, Nicoladeff, Thoodosia, Novorosnsk, and Kertch all speak in favourable terms r>r the crops, but from parts of th>& Azof anci tiie Volga districts the revcer&e is the case, ivhilsi official rep-crts from St. Petersburg uo persistent in stating that in the Central md Northern Governments the outlook is so unfavourable that famine in several districts is feared. Meanwhile the shipments 3[ v. heat continue unexpectadly .'arg-e, and ■here is an evidea^-gresTSfal claitre on the part 3f holders to dispose of their stocks reganies'3 of what tho new crop may prove to be. Due thing is quite clear — namely, that tha argo crops of ths past three years must h&vd eft a bis; surplus over, and above the home ."eqiuicnionts. At present the eyes of wheat operators ire turned to America eagerly awaiting luthcntie news of the coming crop in Canada and the States. In the event of America not being able to export to Kurope again this year, nothing seemingly. :ould hinder a rise in the market ; on tha )ther hand, if America is able to assume control of the London market once again, i sharp decline is likely to set in. Tho iituation is therefore full of probabilities, md speculators are on tho alert. "BeerDohm's " Utcst American advices 3lv& rout-hod in the following cautious strain: — The July report of the Washington Bureau hows a decline in the average condition of roth, winter and spring wheat dxuirg June^ lut by no in ears so much as was expected, ["he combined condition of the two crops is-, n fact, 85.8. ogain&l 81.5 last yeai, and as Uq acreage is reported to be p-bout 3/030,000

acres more than last year. a> larger crop thar last year is indicated. After the experience oi the past two years, in which, the Jidy estimates of the piobable crop wcro so falsified by subsequent events, it would bo un-wise to attempt an estimate this yeax. In these early bureau reports, in fact, the figures have Tvesn proved to be- absolutely tmreliabl'e as a guid-u to estimating the crop. Last year a crop of 675 million bushels was indicated on July 1, according to come authorities, but t"h.e resttlt proved to be a crop a little over 500 million bushels ;_ and in the pr-evious yea* the July indication was similarly 725 millions, and tho final result 638 millions. W-e shall content oursalves at present by saying that •this Cincinnati Price- Current's estimate is for r« probable crop of 665 millions; ihwb the New York Produce Exchangß Statistical] figures fcT a crop over 700 millions, and that other crop experts do not think that tha crop ■will much exoeed 600 millions. Meanwhile it is quife obvious-, from the weather reports T&ceivod during the last two months,- that the spring' -wheat crop had not baen so favoured by the meteorological conditions aa to lead one to -expect ah average yield ; but according to the North-western Miller's cabled report the weather has lately improved and a- radical change for tlbe better has taken place in. the crop conditions; the crop is, in fact, zmw describee! as fairly promising, and an average yield -expected; that is to say, a total spring wheat crop of 250 million bushels is jorobable. Meanwhile, we would suggest that' the July report of the "Washington Bureau is nol a sufficiently reliable document, ip. the nature of these matters, to afford a good basis for forming an opinion. The total quantity of wheat and' flour afloat for the United Kingdom, as at August 22, was 2,300,000 quarters, as again 5t_2, 585,000 quarters last week — a decrease of 285,000 quarters; and for the Continent 1,54-0,000 quarters, as against 1,550,000 quarters last week— a decrease of 10,000 quarters; — a totai decrease for the week -of 295,000 quarters. These figures compare with the corresponding period in previous years as follows: — & i si o^3 Quarters. Quarters. 1905 .. 2,300,000 .» 1,540,000 .. 32/1 1904 .. 3.105,000 .. 1,440,000 .„ 28/8 1903 .. 2,110,000 .. 1,150,000 .. 29/9 1902 .. 2,080,000 .. 1,095,000 .. 31/5 Under date London, July 14-, " Beerboihni" thus summarises the European position : — "WTieat. — With depressingly hot weather, doubtful crop prospects in France and America, continued large shipments from America, and new wheat within easy distance of millers in Europe, the market has bean naturally in a somewhat unsettled state. With the quantity afloat for Europe unusually large for tha time of year, however, buyei3 have exhibited little or no disposition to operate, and values generally have given way somevh*- 4 ' in the absence of demand. "With the' uncertainty that prevails with regard to the American crop and to the supplies to be expected in the autumn from that country, it is probable that prices will be difficult to depress, but the natural tendency on the part of buyers, on the eve of new wheat appealing' on the markets, is to expect to be able to buy cheaper by waiting, ancl this is a policy they are likely enough to pursue whilst the weather remains favourable for the harvest. Tie_ French crop may be no larger after a.ll than last year, but it does not follow,, even in that ense, thai France would become an immediate buyer of foreign wheat. Altogether th© trade is in such an uncertain condition that it had better be left, in the meanwhile, to take its own course. The Commonwealth markets maintain their steadiness, this week's quotations being : Melbourne, 3s scl to 3s s£d ; Sydney, 3s sgd; Adelaide, 3s sd. The Sydney Mail reports as, follows on the wheat situation : — Millers are still endeavouring to buy prime grain at 3s sd, and meeting- with but scant success. A few thousand bags are being; picked up in small lots, but no quantity can be obtained at less than 3s 5Jd, and the majority of holders are firm in their ideas at 3s 6d, expressing their confidence that, with what they believed to be the comparatively small stocks of r&ally prime milling wheat, 3s 6d will have to be paid before the month is out. This, however, has been the iope for some weeks past, and just -when it appeared sure of realisation some lots had been put on the market, presumably by weak holders, at about 3s 5d or 3s s£d, which has served to check any advance in prices. The quietness of the market is, of course, accentuated by the fact that no v^heat has left ihe State for export for some weeks past, ■whilst the .exports of flour have been small, totalling 153 toii3 only last week. The coming wheat crop in the Commonwealth promises well. _ The Australasian remarks in this connection : — "Everything bo far bas gone well with the new crop in 'Australia, and if present prospects could be (taken as a criterion of the yield, 80.000.000 /bushels would be estimated for the whole Commonwealth, as against 74,500,000, th© largest previous yield." The local wheat market continues quiet <but firm ; tho majority of the millers aro content to work off stocks on hand, but •when compelled to come into the market .they find themselves forced to pay an advance on previous rates. There is very little prime wheat offering, and 2s lid to 33 are the rulin© rates for prime milling lines, on trucks northern 1 - stations, with Mot much obtainable at the lower figure.

T 1 As high as 3s. Id, and even 3s 2d, is sai > to have been paid in North Otago fc prim-e Tuscan, but local buyers disclaii • having given these prices. The Karmo i > loading wheat at Timaru ''for orders." Th I wheat now being delivered in South Cai > terbury is reported to be very good i quality. The shipment of wheat no' ' going Home in the Aotea and othc ; steamers will also .help to relieve th '■ market. ■ 1 A limited business for local orders : doing in chick wheat, good whole fowl fee 1 selling in small lots at 2s lid ex stori ; Shippers are filling their orders at 2s 11 ', f.o.b. northern ports. [ I With the new month approaching th [ demand for flour has quickened, and . brisk business is passing. The New Zei ' land Flourmillers' Association's tari. 1 ' stands unaltved a.a follows: —Sacks, £9 pc j ton; '100's, £9 10s; 50's, £9 15s; 25's, £1( ; The shipping price is £8 10a f.o.b. 1 There has been a good demand for bra 1 during- the week, mainly on South Africa i account. The rise, in the price of offal i Australia, together with the reduction i Now Zealand freights, tends to divei South African orders he.re instead of to Aus tralia. It is reported that a few days ag • some millers cleared their accumulate 1 stocks of bran at a very low figure, 52s b net being mentioned in one case. In eou sequence of the outside demand, othe • millers are now holding 1 for full rates othewise, the offal market is unchanged The tariff stands: Bran, £3 15s per toi for local orders and ,£3 10s per ton f.o.b "' for shipment; pollard, £4- 10a per ton fo I both local orders and for shipment. 1 The oat market is again very quiet '' Business is confined to small local orders ! shippers being unable to obtain supplies oj ; this market. Good B grade are quoted a Is B£d ex store, aaid f.a.q. at Is Bd. Oataneal is unaltered at £10 per ton and pearl barley at £13 to £13 10s. The potato market beeps very firm, de spite th-s fact that the high prices ruling have brought in considerable deliveries dur ing the week from. Christchurch, Oamaru and the South. It is a tribute to th< strength of the position that prices hav< been so w-ell maintained, ruling quotation; being from £10 10s for a line up to £1] for smaller lots, with an upward tendency It is authoritatively stated that stocks ir Oamaru ar© now in extremely small com pass, and the rumours industriously circulated to the contrary are discredited in wellinformed quarters. The report of possibk importations from San Francisco is regardec as absurd. No one would bra foolish enough to run the risk of importing from such a distance, when new potatoes from the north may be expected in about two months' time. 1 To-night's cable from Sydney states thai I the reduced consumption is causing a slight 1 easing in the potr,to market, but that there is no prospect of successful importation from that quarter is evident from the following 1 report in th-e Sydney Hail of recent date: — " Tasmanian potatoes are selling at £9 for redskins and £8 10s for darks as against £2 153 and £2 7.s 6d respectively last year. According to statistics compiled by the Government statistician of Tasmania, the total yield of .potatoes in the island this year was 110,54-7 tons, as compared with 163,4-19 tons for 1904, or a falling off amounting to 57,872 tons." In the local dairy produce market butter priee&remain as follows: —First grade factory. Hid for bulk; prints, Hid for spot cash and llfd booked; farmers' pate. 8d to B^d; separator, 9{d to lid; bulk salt butter, Bid to 9d; bulk separator, 9^d to lOd. Th© local cheese market continues firm. Factory mediums are quoted at 6d and Akaroa at s£d. There is a good demand for eggs at 9c! per dozen, and tho mai-ket has steadied, no further drop being anticipated for a while. The following from the Sydney Town and Country Journal will be read with intere=t: " It is expected that enormous quantities of eggs, constituting a fresh record, will be placed during the -coming season in Govexmment cold store." Current quotations for poultry are as follow. —Hens, 2s 3d to 3s; roosters 3s 3d to 3s 9d; ducks, 3s to 4s; geese, 4s to ss; turkeys —hens sd, gobblers 7d. Pigs are in full supply, baconers Falling at 3|d; overweights and underweights at 3dHams are quoted at 7|d to Bd, ancl bacon at 7d to 7id. Chaff is in good stipply, and prices have eased slightly. Prime oaten sheaf, £3 ss; medium to good, £2 10s to £3.