ENGLISH WOOL SALE.

Poverty Bay Herald, Volume XLVII, Issue 15593, 9 August 1921, Page 9

ENGLISH WOOL SALE.

-MAY SKlillvS i iA»sl:u on a JlßillKft BASK,

(th'oin Our Special Correspondent.)

BRADFORD, May 18.—Since last writing another scries of London sales have closed, and it is gratifying to know that the end Ims come with values for practically all Colonial descriptions on a distinctly higher basin than was seen at the end of the previous sel'iesi So fains the raw material )s concerned, it appears thai Ihe tide'lias tinned in the London NUirket, and if the present tendency continues it jnay he expected that the effect will ultimately be felt in all other selling centres. In spite of the efforts made to belittle it the London market has always set the pate for the entire wool world, and exceptional as circumstances are to-day, there is nothing to indicate that, the UiSie honored ruling will ]>•> broken down-. This statement may be nut altogether acceptable to a certain Section of the Colonial end oC (he woo! industry, but it is nevertheless true and should be encouraging to all growers. What ha&i been .said may BOllnd very optimistic compared with what it has been necessary to report during [he past six months or more, for until tiie April series of London auctions vnlr.es in that centre moved steadily to a lower level, nobody being able lo see the bottom. liven to-day some arc xceplUal about the .permanency of the present advances, but there is no real reason. why it should not.be at least maintained. An extreme upward tend- : ency is undesirable in the interests of all parties, but it cannot tie ton Strongly emphasised that, wool users would not if they_could make lower values than those obtaining to-day an important part of their programme. They know quite well that the results of the depreciation seen dining recent months have been disastrous, and it is probably no exaggeration to say that, topmakers, spinner.-; ami manufacturers have lost more proportionately than wool growers. However, better days seem to be coming, and when merino wool has advanced Jo per icot., fine and medium crossbreds 10 per tent., with low crossbreds fully firm, there is reason tor satisfaction.

Continental buyers have been largely responsible for the purchases made during this series, Germany being well to the front. The* improvement in the Con tincntal rates ox exchange have no doubt been largely responsible for this. All German firms have a distinct advantage in the lower manipulation costs, these being at least one-quarter less than they are in this country for combinir, etc. This is greatly to the advantage of those who buy wool for shipment lo Germany, and unless) production costs in this country are brought, down to a distinctly lower level exporters of manufactured goods* in tlris country will be at a vc-rv .great disadvantage compared with (heir competitors. now crossbreds have sold.

f. roisbrcd wools have sold very well. Low qualities have certainly'not attracted much attention, whether grown in New Zealand or Australia,*" and the limits foe sliprs owned by 1 h<> Government, have been rather too high. Only a small quantity of scoureds have beer, offered. The improvement in fine and medium wools has probably been partly duo lo the improvement in the Conlineti lal rate of exchange, for as the sales have approached a close interest from that quarter has become .stronger. Compared with the previous series greasy line su] i rior crossbreds are now 2d per Hi. dealer, ordinary Ijd and medium Ed. coals:.- superior and ordinary wools being about on par. In scoured crossbreds fine, descriptions have been about Id dearer, with medium and coarse nl par. Fine slipe eios-'bted lambs have advair I'd 2d per lb., lower qualities remaining firm. Greasy Punla Arenas wools ill good condition have appreciated Id to 2d and wasty vtools Id. .M ANP FA CTC KING POSI T lON SLIGHTLY IMPROVED.

I Mills and offices having been closed during the past week for the Whitsuntide holidays it is impossible to report anything really new in the consuming market, but the writer learns from various sources that there has recently been some increase of interest among buyers of fully manufactured goods. Certainly the 11111041111 of business done bag been* tmall compared with what is regarded as ' a normal trade, but when both large and small firms express tliemselves as being fairly well satisfied with what they have done, there is evidente that .some little movement is taking place. One firm in a. moderate way of. business reports the tale of about 600 pieces during the first fortnight of May. No doubt this business and that put through by other firms has boon on a very low price basis, probably at an actual loss, but- something ha*. been done towards tJie reduction of the stocks which for so long have been such a serious hindrance to the development of new business. When firms begin to sell they arc? in the way for providing themselves- with cash to go into the market again, and in this way the wheels of uade are lubricated. I EXPORT TRADE. I The Board of Trade returns showing the amount of import and export trade dona in wool and its products during April have been published. They show thai- the quantity of foreign and colonial woo! imported during that month was the smallest of any month this year except- March, being 191,453 bales.' Of ibis quantity 71,418 bales were re-exported, 120.135 balesi being left- for homo con bumption. Of the quantity re-exported the United Slates took over 80,CCC bales. The exports, of partly and fully manufactured goods during the first four months of tin? present year compared with the corresponding period of 192 C 'are' given below, 'there was a substantial increase in tops, but a- large decrease 111 worsted yarn, woollen tissues and worsted •tissues. It is impossible to gather from the data the amount of trade done' with America, which has figured so' prominently during the last month or two, but no cluiibt the large increase of tops is accounted for by what went to that destination. j INCREASING IMPORTS. I Reference hag been made above to the necessity for a reduction of manufacturing eostsi in order to enable firms in (bis country to compete on equal terms with those, 011 the Continent. Naturally there is always- .some fluctuation in the relationship between imports and exports, and in spite of the feelings of uneasiness which have re ently been expressed, the .statistics available do nut indicate an immediate all round increase in the lextile goods imported into this eounlrv. During (he tirst four months of fbr present year the quantity ( ,f woollen ami worsted yarn imported was 2,369,028 in.. this quantify being lesss than half the weigh) inniorted in the corresponding period of I92i>. The imports of worsted cloths are shown below:—From Germany, fore months, 1920 4363 eq. vds.. four months, 1921. 19,575 sq. v.ls. : from France, 151,206 sq. yds.. 39.6C5 ,'sq. yds; from other countries, 186,198 sq.

vds:, 39.281 s,|. yds-; totals, 0«i767 Stj yds.. ybVlblJ sq. yds.

The. above particulars indicate that whilst a. larger quantity was imported from Grnnauy during the first four months of the current- year there in Iho corresponding period of 1920, imporUs from other sources were smaller. It may be expected that France and Germany will be the most serious competitor, this being indicated in the- following (ableshowing woollen cloth Imports i—From Germilliy, foul- months. 1.920, 14,518 (up yds., four months, 1921, 56,560 sq. yds.; from France, 2.006.756 sq. yds., 3,955,057 sip yds. ; from other countries'. 487.248 sq. vds., 545.533 sq. vds.: totals, 2.508,522 sq. yds., 4,557,150 sq. yds.