WOOLLEN GOODS

Poverty Bay Herald, Volume LXIII, Issue 19026, 28 May 1936, Page 14

WOOLLEN GOODS

OVERSEAS COSTS RISE ADVANCE OF 10 PER CENT DEARER RAW MATERIAL Overseas markets for woollen goods are now reflecting the higher prices for raw wools last season. English quotations for most classes of tabries have advanced by about 10 pc-r cent, so that by August deliveries in New Zealand of spring and summer goods will hear the corresponding! price increases, which will include the added costs of exchange and duties. Not only have prices for woollen tabries advanced, sometimes by 6d a yard, but there is a tendency for cotton and other goods to harden in sympathy, it is stated. Carpets show a definite advance, quite equal to 10 per cent over most lines. Furnishings of various sorts and also hats are included in the rises, one overseas quotation for men's hats received in Auckland on Monday advancing prices by 5s a dozen. “There is another side to the picture, fortunately,” said a warehouseman. “The higher prices for wool and other products received last season in New Zealand have improved spending power so that business generally is brisk, much brisker, indeed, than it has been for some years. While buying has improved, customers’ accounts are being reduced ; indeed, our book debts are lower than they have been since tire depression became manifest.” Improved business was a condition also reported in many classes of wholesale business from which inquiry was made.

It is apparent in the soft goods trade that strenuous efforts will be made to manufacture forward orders of New Zealand manufactured goods before September 1, when the shorter working week will increase manufacturing costs. New orders being booked for spring or summer delivery are either being made subiect to price additions caused by added labour costs, or higher rates than ruled recently are being quoted.