WOOL VALUES

Poverty Bay Herald, Volume LII, Issue 17174, 26 October 1926, Page 13

WOOL VALUES

CONTINENTAL KEENNESS Sales on the Sydney wool market offer evidence of the* circumstances under which the world’s trade is proceeding at present. Relatively, skirtings are cluingin,r hands at better figures than fleece wools. The constant call is for top, yarn, and textile makers to keep prices for their goods within specified limits. For example, a comber may he able to turn out a good class 64’s top made iiom fleece wool at 49d to 50d. At the same time he may be able to purchase pieces of broken, fleece at figures which enable him to produce n less attractive 64 s top at 48d. The man who ouys the top is fully aware that it is not equal to the 'higher priced article in quality; but to ere*, business lie, in his turn, must be able to sell his goods within certain limits. His machinery must he kept moving. , , . , It is expensive to keep a plant motionless. ' It’ does Pot then earn interest on ils capital cost, the hands essential to run it become unemployed, they may seal ter. and the owner’s organisation become disrupted. lie, therefore, must exert every effort <o keep the prices of his manufactures limited. That, is the reason clearances of broken pieces, bellies, and locks of good combing length are frequently noticeable at Id lo much as 4,1 'per lb. above last years results, while the fleece, makes figures only about equal to those of the preceding clip.

; SKIRTINGS SOUND. ! p,y a- pessimist that circumstance might he accepted as a reason why wool should cheapen. It*might he considered that the price of the staple is beyond the purchasing power of the worlds people. Rut the point must he lciucmbered that the skirtings grown on the sheep of to-day are not the short pieces, bellies, and locks of years ago. They are a. sound manufacturing proposition. Their improvement lias, _ no doubt, diminished the intensity of demand foi fleece lots. In the past a manufacturer had to buy fleece parcels if he. wished to turn out passable materials. But the modern sheep grows more wool and earns more money than his predecessor, and no advantage was ever gained which did not have it attendant disadvantages. _ The Western New South Wales pa.storalist of vears a°r> never dreamt of a 101 b cut of wool from his flocks. Twenty-five years hack the sheep of the State gave an * average cut of 61b a head.

1 1 FAI.Tin: OUTLOOK. The outlook for the market continues healthv. Continental inquiry has proved must keen. Last year Frrtnce was an outstanding competitor from that qumle.r This season Germany has gained further strength as a purchaser, and that fact is not surprising. In the seven months ended duly 31 her export trade in tops, yarns, niid fabrics displayed general expansion, business in the latter showing a 30 per cent, growth compared with 1925. .Japanese orders also are plentiful ,ftii|d Yorkshire, though not keen to pay high pri'es, is still purchasing in good volume, English authorities agree that the generally field Australian opinion of a practically firm level ol prices lor the season has good ground for its ha.se. Winehconibe, Carscon, .Ltd. contends that the statistical 1 position is thoroughly .sound. Less wool is available for sale than last year, and any material <lr 01 ) in the world’s requirements is unlikely. That slate of aatfirs has proved a source «>f strength in the past,, and is likelv to do so again, Broad-fibred and doubtful yielding fleece wools are 5 per cent, eheiincr than five weeks ago, bill rates for a!! oilier classes are firm.