SECOND EDITION. PRICE OF WOOL

Poverty Bay Herald, Volume LIII, Issue 16500, 18 November 1927, Page 8

SECOND EDITION. PRICE OF WOOL

MORE THAN MAINTAINED THE SALES AT NAPIER BRADFORD ON THE MARKET VALUES WILL CONTINUE. (Special to the Herald.) NAPIER, this day. The Napier wool sales endorsed Wellington values and the general increase of 2d per lb. has been well maintained. In individual cases the increase was even much more, and many farmers received an increase, on last year ranging up to 4d. One. seller was jubilant, having received 71d more per lb. for his fleece than he did at the November sale last year. Bradford spinners got busy and competed witli France and America -for suitable lots, but Bradford topmakers were left on the rocks. Oiie prominent buyer was of the opinion that the present values would hold throughout the season, owing to the demand from America and France, who are calling a merry tune for the others to dance to. Coarse wools were not so keenlysought after as the finer clips, which were somewhat firmer in tone than in Wellington. Bidding usually started at last year's values, but rapidly rose, and many bids wore, keenly disputed. The New Zealand mills were cut out entirely, and found themselves unable to make, a bid. BROKERS' REPORTS COMMON, SHELTON AND CO. (Special to the Herald.) NAPIER, this day. Messrs. Common, Sholtpn ahcl Co. report : " There is a full bench of buyers at the Napier wool sale, and keen competition has been the order of the sale, with Bradford operating strongly. French and Australian buyers are bidding spiritedly fur pieces and bellies. " The range of values is as follows: Hoggets, super IBd to 20|d, average to good 16Jd to 18£d, medium I4d to 16J d; crossbred fleeces, super 17d to 18d, good 16d to 16|d, medium 15|d to 16d, inferior 13d to 15d; halfbred fleeces to 21£d; Southdown to 22^1; dead wool to 15d ; pieces, firsts to seconds 13|d to 15d; bellies, ll'd to 14d; crutcllings BJd to lid: looks 7d to BJd; necks to 21$d. " Tli'o best local prices were A hgta 18]d, A ewes 18id, first pieces 14£d, bellies 133 d, necks 17£d, locks BJd." The clips offered on. behalf of Messrs. Common, Shelton and Co., Ltd., realised 'the following (policies :> —■ C: 6 AH 16|d. T under Bar: 4 AH 18Jd; 6 SDH. 15id: 18 AW 15fd; 4 B 14^d. Gold Creek : 4 BH 18d ; 7 B 153 d. Pateika. 1 B 2Ljd; SB 19d. Waikatea: Lots realised 19d, 17d, 16|d, 15Jd, 15Jd, 16|d, 13d and 8d respectively. ( DePELICHET, MeLEOD'AND CO (Special to the He'raldA N.APIER, this day. Messrs DePelichet, McLeod and Co., Ltd., report having held their first sale of the season to-day, whan they offered 3173 bales, 391 bales being from Gisborne. There was probably, the greatest attendance of buyers yet at a. Napier sale, representatives being present from all the wool manufacturing centres of the world. . Competition was spirited from the start, the first two lots selling at WUI and I9d. Buying was very distributed amongst those operating. As against the opening sale, last year, halfbred and superfine wools showed probably the greatest advance, though the improved values for crossbred wools was considerable, and very satisfactory for this province. Continental buyers were again dominating bidders : for pieces. Our catalogue was representative of the best Ronincy cross wiools. Tho highest price for fleece was Poukawa/over 0, nine balos halfbred fleece 24£d. The highest prices for pieces and necks Wore The Brow, five bales, Romney cross piece»s 213 d. Gisborne wools sold exceptionally well. We give below a, list, of clips and prices realised:— Poukawa over C: 9 bales halfbred fleece, 24id; 6 halfbred. 21d, 3 at 183 d, 24 .-it 17d, 13 at 16d, 35 at 14Jd to 15jjd; 5 halfbred pieces, 18Jd; 15 pieces at 13jd, 7 bellies at ll^d. Chesterhope,. for iliie Romney-cross wools : 3 at 203 d, 30 at 18d, 8 at'l7d, 3 at 16Jd, 6 at ISid, bellies 123 d. Oueroa: 9 at 20Jd, 6at 173 d, 7 at 17-id, 4 at i6ld, 5 pieces at 16*d, ; Motere, a Romney-cross clip: 6 bales I at 20£d, 14 at 18d, 13 at 16Jd, 5 rams at 15. Te Mahoe, from Gisborne: 5 fleece at 20id, 4 at 17d. Taheke over SRC: 8 fleece at 20d, 6 at 17d, 7 at l&d, 4 at 16d, 12 at 133 d to 14id. , Cross in circle: 4at 19d, sat 18£d. W.Kahu: sat 4at 16id. Mako: 8 at 19d, 19 at l&kl, 12 at 16d, 9 at 14|d, 8 pieces at 19d, 5 bellies at 13d. Tangihau: 25 at 18fdj 15 at 17|d; 7 at 164(1; 4 at 15|d; 22 at 15Jd; 19 at Hid; 32 pieces at 15?,d; 9 bellies 12d. Wainni over SRC,: 4 at 17*d; 5 at 17d; 10 at 16d; 5 at 15d. To Matai: (i at 17R Tawhunn: (5 at 17d; 4 at 16d; 4 Ist pes. 15Jd. TML over Mai-he: d at 16i}d. GHL: 5 at iCJd. Hokio: (> at Hijd. Glenaray: 4 fleece 103; 4 at 18Jd; 4 at ISd; 5 at 173 d; (i at.17.1d; 5 at Hid; 5 at in-jd. U.H. over Pneroa: 7 at 19id; 3at 19d; 21 at 17jd; 14 at 17.1; 21 at KSid; I •I- necks 19d; pieces 153-d; bellies 12(1. Inlerlotfed: Southdown: 4 Lales at 22.1 d; fi bales at 21d. "Halfbred at 2lid; other intorlottecl fleece 17§d to 19d. ' ■, WILLTAMS AND KETTLE. ■Messrs. Williams and Kettle, Ltd., report I hat Ihe following prices were realised by the Gisborne wool sold at the Napier wool sale to-day: Poha: 8 A 15Jd; 5 P. Lid. RF/Mntawhero: 5 HA 17d; 4 HB ifijd; 5 HO 15(1; IS A 17','d; 1(1 B L r ,:M; Hi f! ll.ijd; 5 bis. llijd. Toheroa: (i Alt 19Jd; 4 A 1(5 Id. Teau: 5 A Ki[d; (i B Kid; IT 4 H Hid. L'aroa: 4 B I7{d. PT: 4 BH .17(1. I/MS: 4 H Kid. AMI: 7 AAH 18-ld, 7 AA 16d, 7 AC 162 d. OTO: 5 A A 16Ad, 19 All 17.Vd, 7 C 154 d, 4 A 153 d. SG in square: 12 AlMßid. 5 B Js?d, 13 A 16Jd, 4 A pes. 16ld. Wilencote-. 8 AH 203 d, 9 AW l6|d,' 4 CW 15|d.

JMCK: 4 A 163 d. Ghenui: 4 Out B£d. RHF: 4 B 16(1, 4 C 14Ad, 4 Ist pes. I4d. Tekopae: 4AII Is|d, 5 C 143 d, 1 4 All 16-Jd. O'nly two lots wore passed. There was a good demand for line, wool.

MONETARY ASPECT OF WOOL SEASON'S PROSPECTS The substantial advance in prices refolded at the first wool sale of the season m Wellington on Monday lias been received with general satistaefion, but those closely connected with the wool market are somewhat nervous, fearing that the experience of the 192425 season may be repeated, and that at subsequent sales prices will recede. It may be admitted that the advance was too steep to hold, but it is scarcely probable that prices will show a continuous monthly recession as they did in the 1924-25 season, for the circumstances and conditions are quite dissimilar. The clip of last season was practicaly a record, and yet it lias vanished. It disappeared weeks ago, for in August last a good many Bradford firms were industriously seeking wool and finding none. The inherent strength of the wool position lies in the fact that stocks are light in all consuming centres, and manufacturers appear to have been caught short at a time when there is a revival in the demand for the finished products. High prices have been paid for wool so that -urgent immediate requirements may be met. Another factor that is influencing the trade is tho fact that there will be smaller clips from Australia and South Africa. Fine wools will be in short supply, especially if tho revival in trade so far as the ultimate consumer in concerned does not turn out to be. a mere flash in the pan. In the face of ibis users must turn to crossbred wool to help them out, so that while merino wool willl command full prices, crossbred wool must also benefit. WILL VALUES HOLD? It would not cause the least surprsie if, when bulk supplies are available, there is some drop in, values. No one can estimate what the drop will amount. to. The rise wms shown at to 3d per lb.', the bulk of the wool selling at an average, advance of about 2d per lb. If the season ends with an average increase in price of lid or even a id per lb., the monetary gain to New Zealand will be substantial. Growers can rely on it that the current wool clip will sell at a higher level of prices than the clip of last season, for two obvious reasons, one being that users are now operating very close to the sheep's back, and the other, that the general trade situation is improving and the principal consumers of wool are now in better financial circumstances. If the record clip of 192627 was consumed before tho now clip was ready, and in a year of more or less depressed trade, what must be tho position with a shrinkage in supplies of wool and an expanding demand which is now evident? The wool statistics compiled by Dalgety arid Co., Ltd., are the most authoritative, for exceptional care is taken by the company to attain the maximum degree of accuracy, and basing calculations on these statistics there is no doubt but that the wool growers of New Zealand will handle a substantially larger income than they did last year.

According to Dalgety's figures the production of wool in the Dominion in the 1926-27 season was 587,000 bales. The sheep returns at the end of April last showed an increase in the flocks of 774,000 bead. This being so. there should follow an increase in the wool ; production of, say, 15,000 bales, which should make the clip of 1927-28 season at least 600,000 bales. The sales of New Zealand wool in the Dominion last season wera 513,461 bales, which realised £9.208,118, equal 'to approximately £l7 18s 8d per bale, The wool production last season was in weight equal to 202,385.8601 b.. or an average of 3451 b. per bale. Assuming that the output this season is 600,000 bales, of an average of 3401 b. per bale, the total weight should be 204,000,C001b., and if, as is thought not unlikely, the increased price this season is equal to Id per lb., the position will then work out as follows : Season Bales £ 1926-27 ... 587,000 10,507,000 1927-28 ... 600,000 11,590,000 The gain will thus be just over a million sterling, and it is under rather than over the mark, for if prices show an average advance of Id per lb. the value per bale will show an increase of nearly 30s.—Dominion. A WORD OF CAUTION, A note of caution is struck by Dalgety and Co. (Auckland branch), who comment on the Wellington sale as follows: "On the small ottering it would be Unwise to speculate that the range of prices so early established would lemain unaltered during the remainder of the season. As regards supplies, there is undoubtedly a squeeze a.t the moment, but they will quickly be relieved by stocks coming on the market after the present November rounds. "We do not wish to be pessimistic, but on the present Bradford quotations lollops—and such quotations must always have a. certain influence on the marketrates recorded for certain qualities of wool appear dangerously high, and this is inclined to make the future of wool values as perplexing as it is vital. It would be unwise to predict anything in the nature of a coming boom in wool prices, but on the Wellington sale rates Bradford top quotations for 40/44 up to 48/50 would have to appreciate 2jd to 3d per lb. before greasy wool could be purchased here at Monday's range of prices. "It is sufficient at the moment to emphasise the fact that the position is sound and prospects encouraging, and that the world will lie able to a.bsorb all the wool produced so long as the basis () f values of the manufactured article is kept within the purchasing power of thi' wool using public."