The Whirlpool of Trade.

Poverty Bay Herald, Volume XIX, Issue 6487, 3 October 1892, Page 3

The Whirlpool of Trade.

! The writer of the commercial article in the Auckland Herald of Friday states : — Any conscientious writer must be troubled with the responsibility of giving a description of tha state of business. It is so beautifully mixed up as to puzzlo the most initiated. It used to be a saying that trade follows the flag ; but we believo nowadays trade follows the best value, and flag or friendship counts for nothing. The whirlpool for competition sacks under all considerations of association, and all sentiment is squeezed under tho practical necessity to fight for business. Those who are fortunately out of the whirlpool are the best off. There seems very little bottom in prices. Quotations based on 20s in the £ are no good as against cuts bought, say, at Gs Bd, or consignments sold nt n loss to the shippers. Buyers naturally hiicl properly say this is none of their trouble, and the result is that with constant increasing anxiety to hold good clients, there is a steady drift to bad and unprofitable business. Occasionally a strong requisite is held by strong parties with the inevitable stiffness. A graceful bow to circumstances follows, but there is a silent score by the recorder, and that is what is called trade. Under such circumstances the thought has occurred to us why make any reports. Legitimate market values aro upset by the inordinate grasp for business, and there is little difference in this respect between wholesale and retail distributors, all seem to be pushed by some unseen agency on the wrong road, and through want of good faith, and general fear of illegitimate inducement, there is a compulsion to play down low that is regretted in nine cases out of ten. Wo simply describe a position that is deplored by all, but it is apparently impossible to rectify it until competition is less severe. Australian advices are received by tho Te Anau. The state of affairs on the mainland (for Australia is a continent) is on the whole much worse. We are told that in Queensland 30 days is the limit of credit, and no considerable business can be done except on such restricted terms. The Shearers' Union, and the strikes, with labor agitation, has unnerved all the mercantile classes, and trade depression exists from King George's Sound to Cape J York.

t In reference to the recent collapse of some of the financial institutions in London of Mr J. Spencer Balfour, M.P., it is interesting to learn that he is a director of no less than 16 companies, a good many of which have a considerable amount qf paid-up capital, while some hold large deposits. One of the companies, the London, Edinburgh, and Glasgow Assurance Company (transacting life, industrial, health, and accident business) lias been a thorn (gays the Argus) in the side of the Board of Trade for several years past. In its last balance sheet it included as an asset a sum of money expended in " extension of business " amounting to £305,659 4s 10kl, while all the rest of the assets amounted to only £118,01S 5s Bd. If this is a specimen of the ordinary methods of stating accounts adopted by Mr Balfour's companies, it is not surprising that they are coming to grief.

The easiest way for a good wife to get along pleasantly is to practise what her husband preaches, and wear Hennessy's Boots. Ladies' Glace Kid Balmorals from eight and sixpence. — Advt.