OUTLOOK FOR WOOL

Poverty Bay Herald, Volume LXIV, Issue 19339, 1 June 1937, Page 14

OUTLOOK FOR WOOL

STRONG HOME MARKET SMALLER STOCKS HELD Wool is strongly situated in Great Britain, and lour months will elapse before any appreciable supplies arrive from the primary producing countries, states the latest review of \\ iuchcombe, t-arson. Limited, .Australian woolnrokers. In Bradford prices for tops have been maintained. 64's .Merino being quoted at 39d. .! hat basis has been unchanged for the past live weeks. Meantime values for local lelhnongered wools in Australia have receded per cent. They are chiefly dependent upon Continental buyers for their sale, and the market for tops in Europe has fluctuated. The offerings available for London sales this year are considerably smallei than 12 months ago. Less opportunity, therefore, exists to replenish stocks from that source. At the close of Eebruaiy the quantity of wool on hand at public warehouses in London and other ports and at depots in Yorkshire was 1?) per cent less than at the corresponding date a year before and 29 per cent below 1935. 'Those figures indicate whv sellers if tops in Bradford have firmly held to the figures at which they are prepared lo sell their product. A Definite Guide dune sales in Sydney and Brisbane will supply a definite guide to the trend of rates for the sheep’s staple. The greasy wools which will he submitted will command attention from a much more extended range of buyers than ihe fi llmongered wool now available. Japan among other countries is likely to he a purchaser. That country’s imports of wool during the 13 months ended .January 31 last were approximately 117.0C0 bales less than in the similar previous period. Increased purchases made in Month Africa. New Zealand and South America did not fully compensate for the smaller quantities obtained in Australia. Active Japanese buying in the Commonwealth from January onwards has no doubt increased raw material stocks to some degree, but further supplies are likely to he needed. A small increase in the quantities of Merino wool available for consumption is probable during the coming season. South African (locks are recovering in number. Since 1934, the number of u-oolled sheep lias increased 4.300.000. Production of South African wool during .1932-33 was in the vicinity of 1.000.000 bales, but was down to 680.C00 bales in 1935-36. and i> likely to be in the vicinity of 800.000 bales this season, fudging by experiences of this selling year, however, ample scope for Ihe absorption of the wool exists.