AMERICAN TRADE.

Otago Witness, Issue 3332, 23 January 1918, Page 15

AMERICAN TRADE.

GENERAL CONDITIONS

Messrs John Dunn, Son, and Co. (New York) report as follows under date December s:

Transportation is again the most urgent problem facing the country. The railroads have apparently reached the limit of their capacity, operating as separate systems, and an effort is now being made to induce tho Government to allow all of the railroads in the eastern part of the United States to operate as a unit under one board of control. This seems in a fair way of accomplishment, and it is hoped that under this plan absolute necessities and war freight can be moved without altogether preventing the handling of ordinary goods. At the moment the congestion is so serious that it is impossible to get permits to move anything for export apart from Governmentowned goods; and this coming -only a fewweeks before severe weather may be expected makes the outlook far from satisfactory. The supply and distribution of coal is causing much concern, and some parts of the country are badly in need of fuel. The difficulty is largely one of transportation and great effort is being made to get the situation in hand before winter sets in.

Increasing Government regulation in every direction is 'the order of the day._ Imports are now restricted and many articles, including wool, cannot be imported', except under license. This has been done not so much to reduce tho foreign purchases of the country, as to make it possible to control the operations of certain German firms in neutral territory and to furnish matter for negotiation with neutral governments that are disposed to dispute trade regulations. More stringent control of enemy aliens has been found necessary, and it is probable that in the end identification cards for everyone will be used. The launching is announced of tho first wooden ship built to Government specifications, but her completion is some months off. The shipbuilding programme, particularly that for steel ships, is being delayed by the difficulty in securing machine tools and other shop equipment. There is great activity, but creating a number of new plants for ship construei!on is an undertaking of such magnitude that even tho preliminaries are not yet over in many case 3.

The stock market has been fairly steady

during the past month, but prices have cased off somewhat, although measures have been taken to discourage short selling. The halting of the German advance on the Italian front and the magnificent victory of Haig near Cambrai has been fully oftset, so far as sentiment goes, by the very discouraging news from Russia and the publication of Landowne's letter. This letter seems most unfortunate at this time, and has caused a very uneasy feeling in all financial markets.

Copper production which was ohecked for two or three months by labour difficulties is now almost normal again. Licenses ioi the export of brass and copper are being issued, and are coming through with little delay. The situation as to steamer tonnage for Australia is again difficult. An unusual number of steamers was cleared in Novenv ber, but nothing is jn sight for Deoember clcarance,_ only one steamer being reported, and she is understood to carry a cargo of oil for the West Australian Government. Several sailers have been chartered, and it would appear probable that a considerable percentage of the shipments to Australia will have to go forward by sail for the next few months at least. No change in steamer rates has been made since our last report. The rate on steel is still held firmly at £lO 10s 6d.